Machinary for Resolving Ind. Disputes

8/3/2019 Machinary for Resolving Ind. Disputes

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Settlement OF Dispute within the O r g a n i s a t i o n

Works Committee (Sec 3): 100 or more workmen, No. of

workmen representative = No. of employer representative,cannot go beyond recommendations.

Grievance Settlement Authority (Sec 9): 50 or moreworkmen, individual workman dispute, reference cannot bemade unless decision is not accepted to any of the disputing

parties.

Factors affecting the success of Preventive measures:-

An expansive attitude is required, openness on the partof management.

Adequate support from unions, climate of consent, nopartiality/prejudice.

Whole-hearted implementation of the recommendationsof the Works Committee.


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Disciplinary Action within Organisation

Domestic Enquiry, Disciplinary Action &Punishment: (Following the Principles ofNatural Justice)

Fair opportunity to defend, unbiased person to

conduct Enquiry. Domestic Enquiry should beconducted as per the rules of natural justice i.e.conducting Preliminary inquiry, issuing Charge-sheet, Notice, allowing Workman as well asEmployer to produce documents, witnesses, lead

evidence. The Enquiry Officer should report hisfindings including the reasons for the same. On thebasis of the report, the Disciplinary AuthorityAwards the punishment and not the enquiry officer.


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Arbitration Alternative method ofDispute Resolution.

In mediation an attempt is made to settle disputes with helpof eminent outsider, non-governmental board or boardconnected to governmental system of the country.

Mediation takes only on initiation & consent of disputing

parties.

It is a process by which a third party brings togetheropposing groups to:

To find solutions, offers alternatives, voluntary

agreement to disputes.

Does not impose judgments, assists in negotiations.

To bring adjustments to disputes which otherwise wouldhave led to stoppage of work.


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A r b i t r a t i o n Some Facts for Arbitration contd:-

There are two types ofArbitration: Without Notification toGovernment and With Notification to Government.

In former cases Arbitration would be binding only parties tothe settlement and in latter it would be compulsoryadjudication award.

Selection of Arbitrator and his Role: The parties may select their own arbitrators and in as many as

numbers. They maybe Presiding Officers, Ex-Judge etc.

If there are even nos. of arbitrators, then an agreement has to

be provide for appointment of another person as Umpire. Ifopinion of arbitrators is divided equally then decision ofumpire will prevail.

The role of arbitrator is confined to the dispute referred to himin the agreement of parties and cannot go into any matterswhether connected or incidental to dispute.


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A r b i t r a t i o n Best method to resolve dispute, cheap, less legal work,

quicker hearings and informal trials. The greatest advantage there is noright to appeal or review the Award.

Some Facts for Arbitration:-

Expected to consider the realities of situation, aspirations of people,it is based on Voluntarism and mutual trust.

An Arbitration agreement has to be in writing, in prescribed formand signed by the parties in the prescribed manner (under ID Actand Rules)

The Arbitration Agreement is required to be forwarded toappropriate government authority or Conciliation officer. It has to

be published in the Gazette.

If there is any industrial dispute or apprehension then at any timebefore the dispute is referred for compulsory adjudication, by awritten agreement refer the dispute for arbitration and forward thecopy to the Government. There should be majority of party, whowant to refer for arbitration. Opportunity is given to all.


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C o n c i l i a t i o n Conciliation Officers (Sec 4):

Conciliation officer is an independent facilitator appointed byGovernment. He shall intervene, investigate and initiateconciliation proceedings in the manner he deems fit for the

purpose of inducing the parties to arrive at a fair and amicablesettlement of disputes. Memorandum of settlement is signed ifsettlement is arrived.

If no fixed period is mentioned in the settlement thenit would be binding for a period of 6 months and for further

period of 2 months after giving notice of termination of the

settlement. Board of Conciliation (Sec 5): The Board consists a Chairman

(independent person) & equal no. representatives for both parties.Conciliation proceedings would commence on receipt of noticeof dispute, strike / lockout. If no settlement has arrived

then report is made in writing to Govt. authority &further the case may be referred forAdjudication.


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A d j u d i c a t i o nWhen a dispute is referred forAdjudication .

Labour Court (Sec 7): The Presiding Officer maybe thecurrent or ex-judge of High Court or at least 3 years as DistrictJudge or at least 7-years of Judicial duty. It deals with matters

pertaining to discharge and dismissal of workmen,application,interpretation & order passed under Standing

Orders, legality of strikes of lock outs etc.

Industrial Tribunals (Sec 7 (A)): Current or ex judge ofHigh Court or at least 3 years as District Judge. IndustrialTribunals deal with collective disputes such as wages, hours of

work, leave, closure retrenchment as well as all matters whichcome under the jurisdiction of Labour Courts.

National Tribunals (Sec 7 (B)): Only High Court Judgeappointed by the Central Government. Matters related to

National interest.


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1. The propriety or legality of an order passed by an employer

under the Standing Orders.

2. The application and interpretation of Standing Orders

3. Discharge or dismissal of workmen including reinstatement of orgrant of relief to, workmen wrongfully dismissed

4. Withdrawal of any customary concession or privilege

5. Illegally or otherwise of a strike or lockout and

6. All matters other than those specified in the third schedule

Matters within jurisdiction in Labour Court

(2nd Schedule of ID Act)


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a ers w n ur s c on n .

Industrial Tribunal(3rd Schedule of IDAct)

1. Wages including the period and the mode of payment.2. Compensatory and other allowances

3. Hours of work and rest intervals

4. Leave with wages and holidays

5. Bonus, profit sharing, provident fund and gratuity.

6. Shift working otherwise than in accordance with Standing Orders.

7. Classification by grades

8. Rules of discipline

9. Rationalization

10. Retrenchment of workmen and closure of establishment.

11. Any other matter that maybe prescribed.


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A d j u d i c a t i o n High/Supreme Court (Sec 7): Judicial Powers.

The difference is Tribunals functions as hybrid system ofadministration of Justice, but they are not courts in strict sense,while exercising Judicial powers. Therefore any grievanceagainst the Award can be appealed in these Courts.

Then WHY Tribunals are established: Ordinary Courts areoverburdened, Litigation cost, ProceduralDelays, SpecialKnowledge is required.

Some Unpleasant Facts: There is wide gap between Public &Private Sector workers. In India, it is easier to fire a Pvt. sector

worker without paying compensation. Public Sector can refer thedispute to Administrative Tribunals, Private Sector does not haveregular/free institution for dispute resolution.Compulsory Conciliation / dependence of Government

has lead to more bureaucracy and criticism. This led to

introduceA

rbitration in ID

A

ct, 1964 by way ofSec10(A) .


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A w a r d

Section 2(b) of Industrial Dispute Act, 1947.Award means an interim or final determinationof any Industrial Dispute or any question relating thereto by anyLabour Court, Industrial Tribunal or National Industrial Tribunaland includes an arbitration award made under Sec 10 (A)

Parties on which Award is binding:-

All parties to the dispute

All other parties summoned to appear in the proceedings asparties to dispute

If Employer is party then his heirs, successors,or assignees inrespect of the establishment to which the dispute relates

IfWorkman is party then all persons in establishment or part ofestablishment to which disputes relates and all person whosubsequently join the establishment.

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Machinary for Resolving Ind. Disputes