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5/13/2018 Industrial Dispute Presentation - slidepdf.com
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Industrial Disputes
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Suraj karol
Shruti Gupta
Tanya Verma
Deepshikha
Verma
Deepak Verma
Kuldeep Singh
Nivedita Thakur
Esha Sharma
Vaibhav Sharma
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MEANING AND CAUSES OF INDUSTRIAL
DISPUTES
FORMS AND IMPACT
METHODS OF PREVENTIONMETHODS OF SETTLEMENT
LEGISLATIVE AND OTHER MEASURES
INDUSTRIAL DISPUTES IN INDIA AFTER
INDEPENDENCE
EXISTING METHOD OF SETTLEMENT AND
PREVENTION IN INDIA
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Industrial Dispute means any dispute
or differences between employers
and employers or between employers
and workmen or between workmen
and workmen which is connected
with the employment or non-
employment or the terms of
employment or with the conditions
of labour of any person
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Economic Causes
Non Economic Causes
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:Wages and allowances
: Bonus
: Over Time Payment
:High Industrial Profits
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Working Conditions and Working Hours
Modernization and Automation of Plant
and Machinery
Personnel Causes Political Causes
; Leave
: Demand for better working condition: Failure to Recognise Unions
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Punishment to Workers
Mass Retrenchment & Undue
promotion
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FORMS OF
INDUSTRIAL
DISPUTES
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The industrial disputes are of many forms
which are as follows:- STRIKE
GHERAO
PICKETING
LOCKOUT
The outcome of industrial disputes is
locking out from the side of the employerand the workers may resort to strike,
gherao, picketing, etc.`
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STRIKE
Strike is quitting work by a group of workersfor getting their demands accepted by the
employer. It is a powerful tool used by trade
unions to pressurize the management to accepttheir demands. Strikes can be further of many
types:-
Sit down strike
Slow down strike
Hunger strike
Economic strike
General strike
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GHERAO Gherao is the action
taken by the workers under
which they resist the
employer to leave the work
premises or residence.
The person concerned is
put away in a ring made of
human beings i.e. workers.
Gheraos are also being
adopted by educational and
other institutions
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picketingIn picketing, workers carry display signs, banners and
play cards and prevent others from entering the place of work and persuade others to join the strike.
This is also done to draw public attention to a cause.
Picketers normally endeavor to be non-violent.
It is generally done in order to put pressure on the
management to meet certain demands.
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LOCK- OUT
Lock-out is the step taken by the employer to put
pressure on workers.
Employer close down the workplace until the
workers agree to continue the work on the terms and
conditions as given by the employer.
Lock-out, thus, is the counterpart of strike- the
corresponding weapon in the hands of the employer
to resist the collective demands of workmen or to
enforce his terms.
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IMPACT OF
INDUSTRIAL DISPUTESIndustrial disputes always have a negative impact
both on the industry and the nation as a whole.
Whenever there is a dispute in the industrial sector,
it costs dearly to the nation as a whole and to the
parties which are involved in the dispute in particular.
Industrial disputes disrupts the economy of the
country and create social problem for the society in the
form of law and order problem.
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The production gets hampered and the produce is
not of appropriate quality and quantity.
According to PIGOU, the industrial disputes
harm the national dividend in two ways:-
Lessens the demand of goods which othercompanies produce and which are used as a raw
material by the industry in which the stoppage has
occurred.
Lessens the supply of raw material or equipment
for the production for the industries which depend on
the injured industry for the supply of raw material
for their production
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All this directly injures the national dividend by
the reactions they set up in other industries in
addition to the direct injury that they carry tothemselves.
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26-15
Machinery for Prevention andSettlement of Industrial Disputes
Industrial Relations And Industrial Disputes
Machinery for prevention and settlement of disputes
Voluntary Methods
Collective Bargaining
Trade Unions
Joint consultations
Standing Orders
Grievance Procedure
Code of Discipline
Government Machinery
Labour Administ rat ion
Machinery
State Level
Central Level
Statutory Measures
Works Committees
Conciliation
(A) C.Officer
(B) C. Board
Arbitration
Adjudication
(a) Labour Courts
(b) Industrial Tribunals(c) National Tribunals
I n d u s t
r i al D i s p u t e s
A c t ,1 9 4 7
S t a t e
A c t s
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What is
CollectiveBargaining?
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Collective bargaining is a type of negotiation used by employees towork with their employers.
During a collective bargaining period, workers' representativesapproach the employer and attempt to negotiate a contract whichboth sides can agree with.
Typical issues covered in a labor contract are hours, wages,benefits, working conditions, and the rules of the workplace.
Once both sides have reached a contract that they find agreeable,
it is signed and kept in place for a set period of time, mostcommonly three years.
The final contract is called a collective
bargaining agreement, to reflect the fact
that it is the result of a collective
bargaining effort. The parties often refer to the result of
negotiation as a Collective Bargaining
Agreement (CBA) / as a Collective
Employment Agreement (CEA).
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a) Presentation in a collective manner, to the
employer, their demands and grievances by the
employees;
b) Discussions and negotiations on the basis of
mutual give and take for settling thegrievances
and fulfilling the demands;
c) Signing of a formal agreement or an informal
understanding when negotiations result in
mutual satisfaction; and
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a) In the event of failure of negotiations, a likely
resort to strike or lock-out to force the
recalcitrant party to come to terms.
When collective negotiations reach a
deadlock, the parties themselves may call in
third persons to help them settle their disputes.
The role of this third person is to break the
deadlock, to interpret the view point of one to
the other, and thereby to help the parties
arrive at an agreement.
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According to G.D.H COLE , “ A trade union means anassociation of workers in one or more occupations-an
association carried on mainly for the purpose of
protecting and advancing the member’s economic
interests in connection with their daily work.”In Indiathe trade union movement started after 1918..
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Joint consultation is usually done through
joint management councils(JMC).The JMC
normally consists of equal number of
representatives of workers and employers
looking after three things: information
sharing, consultative and administrative
matters relating to welfare, safety, training
etc and the formulation of standing orders.
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Standing orders: These are the rules andregulations which govern the conditions of employment of workers. The IndustrialEmployment (standing orders) Act of 1946provides for the framing of standing orders in
all industrial undertakings employing 100 ormore workers.
Grievance procedure: A model grievanceprocedure as suggested by the Indian LabourConference, 1958 has more or less been widely
accepted in India now.
Code of discipline: It consists of a set of self-imposed obligations voluntarily formulated bythe central organization of workers andemployers.
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There are a number of tripartite bodieswhich operate at central and state levels .
The Indian Labour conference , wage boards
and industrial committees operate at the
central levels & state Labour advisoryboards operate at the state levels
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The central industrial relations machinery consists of theChief labour commissioner , joint labour commissioner.Regional Labour commissioner .Assistant labourcommissioner and Labour enforcement officers .Important functions of this machinery are:-
Prevention , investigation & settlement of industrialdisputes.
Enforcement of awards ,settlement & other labor laws.
Fixation & revision of minimum wages.
Promotion of statutory & non statutory welfare
measures. Collection of statistics with regard to disputes.
Advice to central ministry of labor in regard to laborproblems.
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Works committees: As per the Industrial DisputesAct, 1947, works committees have to be set up allthose industrial units which employ 100 or morepersons. It is basically a consultative body
Giving greater participation to workers
Ensuring close interaction between labour andmanagement
Generating cooperative atmosphere for
negotiation between parties Opening the doors to unions to have a clear
view of what is going on within the unit
Strengthening the spirit of voluntarysettlement of disputes
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Adjudication: It is the process of settling
disputes compulsorily through theintervention of a third party appointed by the
Government. The Industrial Disputes Actprovides a three-tier adjudication machineryconsisting of:
Labour court
Industrial tribunal National tribunal
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Dispute settlement through third party
intervention.
It is an attempt to reconcile the views of the
disputant and bring them to an agreement. It is a friendly intervention of a neutral
person in a dispute to help the parties to
settle their differences peacefully.
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Independence and impartiality.
Physically and psychologically fit.
Honest,polite,patient .
Responsible, clear headed and mature. Should have friendly personality.
Well acquainted with the laws and
regulations.
Well trained.
Ability and versatility to form judgements.
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As a discussion leader.
As a safety value.
As a communication link.
As an innovator.
As a sounding board.
As a protector.
As a fail-safe device.
As a stimulator.
As an adviser.
As a face saver.
As a collective bargaining.
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1)Advance report/notice of proposed strikesor lockouts have to be given to theconciliation authority.
2)Make preliminary contacts with the parties
separately and: Give them information.
Obtain information from them.
Establish a relationship.
3)Scheduling,arranging and conductingmeeting with parties.
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1)The hard posture phase.
2)Search of accommodation.
3)Emergence of appropriate mood for
settlement of compromise.
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The report must indicate:
1)The steps taken by the conciliator to
ascertain the facts and circumstances,
2)The steps taken to bring about thesettlement.
3)Full statement of facts and circumstances.
4)The reason for which the settlement could
not be reached.
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A process in which a dispute is submitted to an
impartial outsider who makes a decision which is
usually a binding on both the parties.
The parties submit their disputes and are bound by
the award of an arbitrator.
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1)Judicial approach
2)Non-judicial approach
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1) Workers and management have greater
faith and confidence in a settlement
machinery.
2) More flexible.3) Less expensive.
4) Helps building up a sound base for healthy
industrial relations.
5) Suitable and compelling.
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Deprives labour of its right to go on a strike.
judgement is often arbitrary and ill-advised.
biased against labour.
Delay in arriving at the award and settlementof dispute.
Too much arbitration is not a sign of healthy
relationships
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1)An industrial dispute exists or isapprehended in an establishment;
2)The employer and worker agree in writing torefer the dispute to arbitration.
3)Agreement is in prescribed form and signedby the parties to it.
4)The agreement must be accompanied by theconsent of arbitrator.
5)Dispute must be referred to arbitration atany time before it has been referred tolabour court or tribunal or a nationaltribunal.
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An understanding of the complexities of
labour-management relationship.
Knowledge of collective bargaining.
Skills and experience,High integrity.
Acceptable to the parties.
Familiar with personnel policies,industrial
discipline and human relations.
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Hear both parties.
Investigation of the facts and circumstances
of the dispute.
PRINCIPLES FOLLOWED BY ARBITRATOR WHILE
DEALING WITH A PARTICULAR DISPUTE:
1) Fair hearing
2) Natural justice
3) Party should be free to give any evidence.
4) impartial
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Award must be in line with the jurisdiction.
Must be precise and definite.
Should be capable of being enforced.
Should contain a date or a specific period forimplementation.
Should not violate any provision of any
existing law.
Should contain sufficient justification.
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State intervention in the settlement of disputesstarted with the Trade dispute Act ,1929. Theact vested in Govt. with powers, which couldbe used when it considered fit to intervene in
Industrial Disputes. It provided for only adhocconciliation boards and court of inquiry.
The act was amended in 1938, whichauthorised the Central Govt. and Provisional
Govt. to appoint conciliation officers of mediating in or promoting the settlements of disputes.
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While this was the position in the country as a whole, a
more purposeful intervention in Industrial Dispute was
attempted in one of the industrial advanced provinces –
THE BOMBAY PRESIDENCY.
The Bombay Trade Dispute Act,1934, introduced forthe first time a standing machinery enable the state to
promote industrial peace.
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IMPORTANT PROVISIONS
Compulsory recognition of the unions by the employers.
Giving the rights to the workers to get their case represented
either through a representative union.
Certification of standing orders which would define the
conditions of the employment and make them known to the
workers.
The setting up of an industrial court with original as well as
appellate jurisdiction.
Prohibition of strike or lockout under certain conditions.
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The Industrial Dispute Act providing machinery for the
settlement of disputes through conciliation adjudication
was passed. Under this Act, as strike or lock out under
taken in public utility without 14 days notice or 6
weeks after such notice strike, and during the pendencyof conciliation proceeding before a conciliation officer
and 7 days after the conciliation proceedings was
declared illegal.
“An Act to make provisions for the investigationand the settlement of industrial disputes and for certain
other purposes”
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promote measures for securing and preserving
amity and good relations between employees and
the employers.
To provide a suitable machinery for investigation
and settlement of industrial disputes.
To prevent illegal strikes and lockouts.
To provide relief to workmen in matters of lay-offs,
retrenchment, wrongful dismissals and
victimization.
To give the workmen the right of collective
bargaining and promote conciliation.
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A permanent machinery conciliation has been setup for the speedy and amicable settlement of industrial disputes.
Compulsory arbitration in public utility services,including the enforcement of arbitration awards,
has been recognized. Strikes and lockouts during the pendency of
conciliation and arbitration proceedings and thearbitration awards, enforced by the Govt. order, areprohibited.
Specific time limits for various stages of conciliationand arbitration, to eliminate delays are prescribed.
An obligation on employers to recognize and dealwith representative trade unions, has been imposed.
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Works committee to provide machinery for mutual
consultation between employers and employees
have been set up.
The Industrial Disputes may be referred to an
Industrial Tribunal where both parties to anyIndustrial Dispute, apply for such reference or
where the appropriate Government considers it
expedient to do so.
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REASON OF RISE OF INDUSTRIAL DISPUTE IN INDIA
Tall promises made by INDIAN NATIONAL CONGRESS prior to
regarding changes in wages and working conditions.Rise in inflationary pressure which affected the cost of living.
Feeling of independence in minds of workers.
Growing influence of communist over workers.
Fear of retrenchment and unemployment.Misdirected leadership.
Lack of experience on the part of employers in dealing with
labor problems.
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• INDUSTRIAL UNREST WAS AT PEAK
• IN ORDER TO BRING PEACE INDUSTRIAL DISPUTE ACT WASINACTED AND INDUSTRIAL TRUE RESOLUTION WAS ADOPTED
1947
• DUE TO VARIOUS STEPS TAKEN BY GOVTMENT DISPUTESDECREASED
1948-1950
• PROVED FATAL TO INDUSTRIAL PEACE BECAUSE OFRATIONALIZATION PROCESS
1955,1956,1957
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• THE DECADE OF SIXTIES OPENED WITH AN INCREASINGTREND OF INDUSTRIAL UNREST
SIXTIES
• THIS YEAR IS CONSIDEREED TO BE MORE DISTURBEDYEAR.IT ACCONTED FOR 2939 DISPUTES.
1974
• NUMBER OF WORK STOPPAGES DECREASED OVER THEYEARS BUT THE EMPLOYERS DID NOT HESITATE FROMDECLARING LOCKOUTS
1975-1976( EMERGENCY PERIOD)
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• THERE WAS INCREASE IN STOPPAGES, MANDAYS LOSTAND NUMBER OF WORKER INVOLVED.
• DETERIORATION IN THE SITUATION AND MAHARASTRAAND BENGAL WERE WORST EFFECTED.
• IT COULD BE EXPLAINED AS AN OUTBURST OF THERIGOURS AND EXCESSES SUFFERED DURING EMERGENCY.
POST EMERGENCY PERIOD
• MARKED SOME VERL LONG STRIKES ORGANIZED BY THEWORKERS.
• ON JANUARY 13,1982,THE LONGEST STRIKE IN TEXTILEINDUSTRY IN INDIA WAS ORGANIZED BY THE TEXTILEWORKERS OF BOMBAY UNDER THE LEADERSHIP OF LATEDR.DATTA SAMANT.
• 2.5 WORKERS OF TEXTILE MILLS WERE INVOLVED.
DECADE BETWEEN 1981-1990
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• The economic scene marked a drastic changes in
the year 1991
• The process of economic reforms and structural
adjustments programmes made their beginning
•
The names like globalization and privatizationbecame household names.
• In the beginning of the economic reforms the
trade unions started resisting this process but it
could not last long• Many scholars will attribute, that the industrial
peace has been maintained since 1991 is
because of the economic reforms initiated from
july 1991 onwards.
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1.Voluntary
2.Statutory
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Code of discipline(ILO 1958)
Consist of three principle
1. Management and union agree
2. Management agree
3. Union agree
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is a legal technique for the resolution of
disputes outside the courts, where the
parties to a dispute refer it to one or more
persons (the arbitrator), by whose decision
they agree to bound
It is a settlement technique in which a third
party reviews the case and imposes a
decision that is legally binding for both side
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Operating in railways , post and telegraphindustries.
Universally accepted method.
TRIEPARTITE BODIES
COLLECTIVE BARGAINING
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Giving a list of unfair labour practice and
making them punishable.
Regulation strike and lockout.
Laying down law relating to layoff ,retrenchment and closure .
Prohibition change in condition of service of
a worker .
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