JE W – Induction – Ph – II

15.3
Industrial Relation
Definition-industry
What is a Industry :-
 According to Section 2(J) Industry means any business , trade , undertaking
, manufacture or calling of employers and includes any calling , service ,
employment , handicraft or Industrial occupation or avocation of workmen
 In the famous case of Bangalore Water Supply and Sewerage Board v A
Rajappa ( AIR 1978 SC 548) , the Hon’ble Supreme Court laid down the
following tests to determine whether an activity is covered under the
definition of “Industry” or not
(a) Where there is a (I) Systematic Activity (II) Organised by Cooperation between
employer and employee (III) for the production and / or distribution of goods
and services calculated to satisfy human wants and wishes (not spiritual or
religious but inclusive of material things or services geared to celestial bliss eg
making on a large scale prasad or food ) – there is a Industry.
Definition-industry(contd..)
(b) Absence of profit motive or gainful objective is irrelevant whether the
undertaking is in the Public , joint , private or other sector.
(C) The true focus is functional and the decisive test is the nature of the
activity with special emphasis on the employer employee relationships.
Judging by the above criteria Supreme Court
observed that Clubs , educational institutes
cooperative research institute , charitable projects
etc if they fulfill the triple test , they cannot be
exempted from the scope of section 2(j)
 Definition-industrial relation

(i) relation between trade union & management

(ii)extended as relation between employer &
employees, employer & employer or employee &
employee
Dominant aspect of IR
Cooperation
Conflict
Definition-Industrial dispute
A “Dispute” arises when a demand is made by one party
which is rejected by the other
Section 2(K) – “Industrial Dispute” Means any
 Dispute or difference
 Between Employer and Employer or
 Between Employer and Workmen or
 Between Workmen and Workmen; which is connected with

Employment or non employment , terms of employment or

conditions of labour of any person
Strike and Gherao
What is a Strike – Section 2(q)
 Strikemeans a Cessation/refusal of Work by a body of
persons/any number of persons employed in any
Industry by common understanding.

 Pen down , tool down, wearing ribbon in protest is strike

 Go-slow does not amount to strike
 Hunger Strike , if peaceful and if does not result in cessation

of work will not constitute a strike.

 Demonstration at gate during lunch hours
Lockout
What is a Lockout – Section 2(I)
What is a Closure

 Lockout means the temporary closing of a place of employment

or the suspension of Work or the refusal by an employer to
continue to employ any number of persons employed by him.
Objective of IR

To Safeguard interests of labour and management

To avoid conflict
To raise productivity
Participants in IR

Workers and their organisation

Employers and their organisation
Government
Contd..
 Workers Union:
Serves as means of achieving desires and goals of
working class as:
Negotiation for higher wages and terms of
employment
Job security
Also support in welfare and education programmes
Machinery for Prevention, Conciliation and Adjudication

Works Committee
Conciliation officers
Board of conciliation
Courts of inquiry
Labour courts
Industrial Tribunal
National Tribunal
Voluntary arbitration
Individual dispute & collective dispute
I.D is a collective dispute
Discharges, dismissal, retrenchment and termination
is also I.D
Individual dispute also becomes I.D when supported
by a body of employees
Conciliation officers
Power of civil courts
Can enforce attendance
Compel production of any documents
Labour court /tribunal/national tribunal

Order of discharge or dismissal can be set aside by

them if unjust
During proceedings they have to rely on material on
records
 Unions and Associations

Registered Unions
Recognized Unions
Associations: Gazzeted and non-gazzeted
employees

NFIR & AIRF

Mechanisms for maintaining
IR in Railways
PNM
JCM
PREM
Informal Meeting
NP Meeting
Special meeting
 PNM
Set up in 1952

OBJECT

To resolve dispute between organized labour

and the Administraion
PNM-levels
Railway Level
Head Quarter Level (Quarterly)
Divisional Level (Once in two months)
Workshop Level
Railway Board Level
Ad hoc Tribunal Level
 TYPES OF CASES USUALLY TAKEN IN
PNM
1. Seniority
2. Promotion
3. Transfers
4. Selections
5. DAR
6. Compassionate Appointment
7. Pay Fixation.
8. OT arrears.
9. Settlement Cases
10. Health and sanitation
11. Water supply., Colony maintenance,Civil Engg works.
12. Electrical :- Provision of fans, water, coolers, lights
 Objectives of PREM

• To improve efficiency of the Orgn. (Railway)

• Housing and welfare activities to be made effective
• To devise action-oriented methods for organizational effectiveness
• Improve revenue earning and control expenditure
Participants in PREM
Two recognized unions
Two officers associations
RPF associations
Action to be taken

Consequence of illegal strike --

No work - no pay
DAR
Break in service
Removal/dismissal 14(ii)
Disciplinary action to be taken against prominent
participants in gherao
absence from work > Break in service
FIR in Police Station
Copy to Police Commissioner & Home Secy.
If no response > move before appropriate
magistrate or writ in High Court
THANK YOU