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ABBREVIATIONS

ID e.g. Acc. App. Govt. Art. v. Mgt.

Industrial Dispute Example According Appropriate Government Article Versus Management

ABSTRACT
In modern time, almost every sector of human social life is governed by Legal laws. In last couple of centuries, Industrialization has reached a new level across the globe. For every nation, industries have become an indispensable part of their economies. The evolution of industrial relations in India began a long time ago. The caste system greatly influenced the ancient industries and their development. Due to successive foreign invasions in India, the living conditions of slave and artesian couldn't be differentiated. Furthermore, under the autocratic regime of Muslim rulers, the conditions of employees worsened. Wages were not guaranteed, the living conditions of workers were harsh, and there was no proper management. The coming of the British didn't improve the working conditions. The post-independence era saw a developing relation between industry and labor. After this The Industrial Disputes Act, 1947 extends to whole of India. The objective of the ID Act is to secure industrial peace and harmony by providing machinery and procedure for the investigation and settlement of industrial disputes by negotiations. Various studies indicate that Indian labour laws are highly protective of labour, and labour markets are relatively inflexible. These laws apply only to the organized sector.

INTRODUCTION
In modern time, almost every sector of human social life is governed by Legal laws. In last couple of centuries, industrialization has reached a new level across the globe. For every nation, industries have become an indispensable part of their economies. Industrial sector affects directly a considerable population of country consisting of industrialists, workmen and their families. Those who are affected indirectly constitute a still larger bulk of the countrys population. So the need of industrial legislation had got enough attention around the globe. This led to the development of industrial jurisprudence which aimed to develop harmonious and amicable relations between the employers and the employees. Out of the struggle between workers, demanding a better share in the production and profit of the industry and the employers hesitation to part with it beyond a certain limit, have occurred the recognition of certain

principles which are considered to be fundamental in almost all developed countries of the world. The basic principles are: The right of workmen to combine and form associations or unions. The right of workmen to bargain collectively for the betterment of their conditions of service. The realization that economic struggle is inevitable because it is but natural that labour would agitate for better conditions. A shift from the doctrine of laissez faire to a welfare state. Tripartite consultations i.e, solution of the industrial or labour disputes through the participation of workers, employers and the government. The State can no more be a neutral onlooker but must interfere as the protector of the social good. Minimum standards must be guaranteed through State legislations.

Evolution of Industrial Dispute


The evolution of industrial relations in India began a long time ago. The caste system greatly influenced the ancient industries and their development. Due to successive foreign invasions in India, the living conditions of slave and artesian couldn't be differentiated. Furthermore, under the autocratic regime of Muslim rulers, the conditions of employees worsened. Wages were not guaranteed, the living conditions of workers were harsh, and there was no proper management. The coming of the British didn't improve the working conditions. After some time, however, most Indian industries were modeled after the British system of business, and this led to growth in various sectors.

Industrial Relations under British Rule:


During British rule, India was expected to be a colonial market for British goods up until a cotton mill was established in Mumbai in 1853 and a jute mill was established in Kolkata in 1955. The working conditions of workers, however, were still very harsh with low pay, and this gave rise to various disputes involving the management and employees. On the other hand, Tata Iron and Steel industry was also established in Jamshedpur in 1911. While there was great demand of iron and steel before and during the First World War, the working conditions of workers hadn't improved. Hence, the Factories Act of 1881 was established, and it granted workers certain rights.

Industrial Relations in First World War:


The First World War was an opportunity in disguise for local factories in India. Prices of virtually all products went up and profits soared, however, wages of lower employees were still the same. There were various strikes and disputes between management and employees. During this time, the Workmen's Compensation Act (1923), the Trade Union Act (1926), and the Trade Disputes Act (1917) were established. While the wages of employees remained the same, they were given a certain share of profits made by their hiring industry. Strikes, however, were sometimes prohibited under the Emergency Rules. The years following World War II involved

the most workers' upheaval, and saw the establishment of Industrial Employment Act (1946) and Industrial Disputes Act (1947).

Post-Independence Industrial Relations:


The post-independence era saw a developing relation between industry and labor. A conference called the Industrial Truce Resolution took place in 1947, and foresaw the establishment of the Minimum Wages Act, Factories Act, and Employees State Insurance Act in 1948. This ensured peace between labor and industry. While industrial relations in India have evolved a long way, some features of the early system still exist today. Modern industrial relations are dynamic, and may integrate industrial policies of American and British businesses. The Industrial Disputes Act, 1947 extends to whole of India. It came into operation on the first day of April, 1947. This Act replaced the Trade Disputes Act of 1929. The Trade Disputes Act imposed certain restraints on the right of strike and lockout in Public Utility Services. But no provision existed for the settlement of Industrial Disputes, either by reference to a Board of Conciliation or to a Court of Inquiry. In order to remove this deficiency, the Industrial Disputes Act, 1947 was passed. An undertaking, carrying on sovereign functions, is excluded from the definition of the word 'industry'. Even in departments, which discharge sovereign functions if there are units, which are industries, and which are substantially severable, then they would be covered by the definition of the word industry. Industrial Disputes have adverse effects on industrial production, efficiency, costs, quality, human satisfaction, discipline, technological and economic progress and finally on the welfare of the society. A discontent labor force, nursing in its heart mute grievances and resentments, cannot be efficient and will not possess a high degree of industrial moral.

Industry
Economics forms an important part of social life of any human being. Everyone gets affected by economic conditions prevailing around them. Industries provide us the countless items without which life seems impossible. So the question arises, what is an industry??

The word industry originated from the French word industrie or Latin industria which means delegation. As Oxford Dictionary and Macmillan industry puts it, the production of goods from raw material, especially in factories. In other words, A classification that refers to a group of companies that are related in terms of their primary business activities. An factory is different from company as a company is building or group of buildings where goods are made. Factory is a part of industry. Industry is a bigger unit and factory is a smaller one According to Sec 2(j) of ID Act, 1947 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 Bangalore Water Supply v. A. Rajappa case,1 A bench of the Supreme Court consisting of seven judges exclusively considered the scope of industry and laid down the following test which has practically reiterated as under: "Where there is (i) Systematic activity, (ii) Organized by co-operation between employer and employee, (iii) for the production and/or distribution of goods and services calculated to satisfy human wants and wishes, prima facie, these is an "Industry" in that enterprise." This is known as Triple Test. The Following points were also emphasized in the said case: (1) Industry does not include spiritual or religious services or services geared to celestial bliss. e.g. making on a large scale, "parsed" or food.

AIR 1978 SC 548

(2) Absence of profit motive or gainful objective is irrelevant but, be the venture in the public, joint, private or other sector. (3) The true focus is functional and the decisive test is the nature of the activity with special emphasis on the employer-employee relations. (4) If the organization is a trade or business, it does not cease to be one because of philanthropy animating the undertaking. Therefore, the consequences of the decision in this case are that professions, clubs, educational institutions, co-operatives research institutions, charitable projects and other kind of adventures, if they fulfill the triple test stated above cannot be exempted from the scope of industry.

Industrial Dispute
The literal meaning of dispute is an argument or disagreement between two people, groups or countries, or discussion about a subject where there is disagreement. In India, the Industrial Disputes Act, 1947 is the main legislation for investigation and settlement of all industrial disputes. The Act enumerates the contingencies when a strike or lockout can be lawfully resorted to, when they can be declared illegal or unlawful, conditions for laying off, retrenching, discharging or dismissing a workman, circumstances under which an industrial unit can be closed down and several other matters related to industrial employees and employers. In the modern factory system, there are two distinct classes, capitalists and labourers. These capitalists and labourers have conflicting and opposite interests which basis cause of the entire modern industrial dispute. So what is industrial dispute? An industrial dispute may be defined as a conflict or difference of opinion between management and workers on the terms of employment. It is a disagreement between an employer and employees' representative; usually a trade union, over pay and other working conditions and can result in industrial actions. When an industrial dispute occurs, both the parties, that is the management and the workmen, try to pressurize each other. The management may resort to lockouts while the workers may resort to strikes, picketing.
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Industrial disputes may be categorized into types, Interest disputes and Rights disputes. Interest disputes relate to determination of new wage level and other condition of employment. On the other hand, rights disputes is related to interpretation and application of existing standards and usually involve and individual worker or group of workers. Under category of rights disputes, claim is made that the workmen have not been treated in accordance with the rules, individual contracts of employment, laws and regulations and as per collective agreements. Such disputes are also described as grievance disputes. Such grievances may be regarding retrenchment ,dismissal, payment of wages, working time, overtime, demotion , promotion, transfer, seniority, job classification, work rules and fulfillment of obligation relating to safety and health laid down in an agreement

An industrial dispute may be defined as a conflict or difference of opinion between management and workers on the terms of employment. It is a disagreement between an employer and employees' representative; usually a trade union, over pay and other working conditions and can result in industrial actions. When an industrial dispute occurs, both the parties, that is the management and the workmen, try to pressurize each other. The management may resort to lockouts while the workers may resort to strikes, picketing or gheraos. In other words, Industrial disputes are conflicts, disorder or unrest arising between workers and employers on any ground. According to Sec 2 (k) of the act, An 'industrial dispute' is defined as any dispute or difference between employers and employees or between employers and workmen or between workmen and workmen, which is connected with the employment or terms of employment or with conditions of labour of any person.

Industrial Disputes Acc. to V.B. Singh:2


Mr. V.B. Singh defines industrial disputes falling under these categories: 1. Income (wage items, price rates, allowances, bonus, minimum and basic wages, etc.)

Rahul Noteblog Industrial Dispute

2. Employment (holidays, leaves like sick leave, etc., work-timings, welfare activities, etc.), 3. Technological changes (workload, standardization of raw materials, etc.).

Changes brought by ID Act,1947


The Industrial Dispute Act, 1947 may be described as the latest milestone in the historical development of Industrial Law in India. The fore-runner of this Act was the Employers and Workmen (Disputes) Act, 1860. Though the ID Act incorporated in itself many principles of industrial relations from past experience in working out former industrial laws, yet it deserves consideration for reorientation of past laws and for introduction of quite a few new principles. To fit the Act into changing conditions of industrial society a number of amendments have been made. Two New Institutions: The ID Act has introduced two new institutions for the prevention and settlement of industrial disputes. These are: 1. Works committee consisting of representatives of employers and workmen, and 2. Industrial Tribunal consisting of one or more members possessing qualifications ordinarily required for appointment by Judge of a High Court. Powers has been delegated to Appropriate Government to direct the employer by general or special order to constitute works committee in every industrial establishment employing one hundred or more workmen. The immediate object of this institution is to remove initially day-today frictions between employers and workmen in the establishment and to promote industrial peace and good relations. It is a measure of voluntary settlement of industrial disputes. A reference to an industrial tribunal will lie: Where both parties to any industrial dispute apply for such reference, and Where the Appropriate Government considers it expedient so to do.

By the amendment of the relevant provision of the Act it is now possible for the Appropriate Government to refer an industrial dispute to a tribunal when a dispute actually exists or is apprehended. The App. Govt. is further vested with power to enforce an award of a tribunal either wholly or in, part for specified duty. It is corollary to the welfare principle that the Government must always be vigilant so that no social injustice is meted out to any factor of production and as such the Appropriate Government is put under strict obligation to interfere in any industrial dispute, actual or threatened and to enforce the solution on both the labour and organization.

Some of the important causes of an industrial dispute are:

Demand for higher wages and allowances. Demand for payment of bonus and determination of its rate thereof. Demand for higher social security benefits. Demand for good and safer working conditions, including length of a working day, the interval and frequency of leisure and physical work environment.

Demand for improved labour welfare and other benefits. For example, adequate canteen, rest, recreation and accommodation facility, arrangements for travel to and from distant places, etc.

Besides, poor personnel management; conflicting legislative measure or government policies; and psychological factors such as denial of opportunity to the worker for satisfying his/ her basic urge for self-expression, personal achievement and betterment may also result in labour problems.

The Act is administered by the Ministry of Labour through its Industrial Relations
Division. The Division is concerned with improving the institutional framework for dispute

settlement and amending labour laws relating to industrial relations. It works in close coordination with the Central Industrial Relations Machinery (CIRM) in an effort to ensure that the country gets a stable, dignified and efficient workforce, free from exploitation and capable of generating higher levels of output. The CIRM, which is an attached office of the Ministry of Labour, is also known as the Chief Labour Commissioner (Central)
[CLC(C)] Organisation. The CIRM is headed by the Chief Labour Commissioner (Central).

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It has been entrusted with the task of maintaining industrial relations, enforcement of labour laws and verification of trade union membership in central sphere. It ensures harmonious industrial relations through:

Monitoring of industrial relations in Central Sphere; Intervention, mediation and conciliation in industrial disputes in order to bring about settlement of disputes;

Intervention in situations of threatened strikes and lockouts with a view to avert the strikes and lockouts;

Implementation of settlements and awards.

Amendment to Industrial Disputes Act 1947


The Industrial Disputes Act, 1947 was amended by The Industrial Disputes (Amendment) Act, 2010. The Amendment Act came into force with effect from15.09.2010. The salient features of the amendment to Industrial Disputes Act are: 1. In case of individual dispute of workman related to discharge, dismissal, retrenchment or termination by any means, now the workman has the right to approach labour court directly without waiting for conciliation proceedings and Govt. reference. But he has to wait for three months for this direct action from the date of filling his application before conciliation officer if the Govt. is not able to complete the reference process within three months. Earlier there was no such direct option available to workman to approach labour court. (Except in some states like Karnataka where State govt. has provided for direct approach to Labour court within 6 months of termination) 2. Such workman in case of individual dispute has to file claim within time limit period of three years. Earlier there was no such limitation period prescribed under the ID Act. 3. Wage ceiling of supervisor has been enhanced from Rs.1600/- per month to Rs. 10,000/- per month, which means now any person working in any industry doing any manual, unskilled, skilled, technical, operational, clerical or supervisory work drawing wages up to Rs. 10000/- will
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be a workman. Earlier this limit was up to Rs.1600/- By this amendment the coverage of workman has been increased and more people are covered now under the Act. 4. Definition of appropriate Govt. has been amplified. Now for the industry, corporation, PSEs owned or controlled by the Central Govt., the appropriate Govt. would be Central Govt. 5. In case of industry under the control of State Govt., appropriate Govt. would be State Govt. 6. Earlier to amendment only judicial officers were eligible to become the Judges (Presiding Officers) of labour court/ tribunal. Now with this recent amendment the Dy. Labour Commissioners/Joint Labour Commissioners with degree of Law & having 7 years of experience can also become labour court/ tribunal judges. 7. Every industry employing 20 or more workmen is now under legal obligation to constitute and have grievance redressal machinery in place in the organization to resolve the workers dispute at the first level. Earlier it was not legally essential. The related provisions which were brought in the ID Act in 1984 were never enforced. 8. Now a provision has been made to execute the labour court/ tribunal decision. Earlier there was no such provision in the Act and even after decision of the labour court/ tribunal there was no machinery to enforce its execution on the employer. Now the labour court/ tribunal shall transmit its award to concerned civil court which shall execute the award as if it is a decree passed by the court.

Constitutionality of the Industrial Dispute Act (XIV of 1947)


The Industrial Dispute Act (Act XIV of 1947) was challenged as ultra vires in view of Article 19 (1) (f) and (g) of the Constitution of India in so far as it makes the employer obliged to Act in accordance with the terms of the award, which is passed without the employers being consenting parties to the reference and in spite of their protests. The present contention of the employers was negatived in the decision in C.P. Sarathy v. State of Madras and others,3 holding that there is no restriction on the carrying on the trade or business. In another decision, Indian Metal and
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AIR 1951 Mad. 191

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Metallurgical Corporation v. Industrial Tribunal,4 question was raised whether the Industrial Tribunal has got the jurisdiction to adjudicate on the question whether a particular lock-out was justified or not and also whether it can decide the question whether an employer can close down a business temporarily, for an indefinite period or permanently. In this case it was held that the Act is not consistent with the Constitution. Again in another case Dindigal Skin Merchants Association v. I.T. Madurai and others,5 the validity of the Act of 1947 was challenged on the ground that it affected the fundamental rights to carry on trade and to enter into agreements for effectively carrying on the trade. The contention was negative and the Act was held to be intra vires. In Nagalinga Nadar Sons v. A.T.H.L.C. Section 36 (4) of the Act was challenged on the ground that it violated Article 19 (1) (g) and Article 14 of the Constitution as denying equality before law, but the court did not agree to the contention and negative it. In Hatisingh Manufacturing Company v. Union of India,6 the validity of sec 25 FFF (1) of the Act of 1947 was impugned as imposing unreasonable restrictions upon the fundamental freedom to close down an undertaking because liability to pay compensation is made a condition precedent to closure of an undertaking even if it is effected bona fide by an employer who is unable on account of unavoidable circumstances to carry on the undertaking and also because it operates retrospectively on closure effected since a date arbitrary fixed by the Act. It was held that the section is not violative of Article 19 (1) (g) and Art. 14 of the constitution and its constitutionality is beyond question

Purpose of the act:


In one sentence we can say that the purpose of the Act is to ensure social justice to both employees and employers and to advance the industries in India and also to harmonize the relationship between employees and employers.

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(1952) 1MLJ 481 AIR 1953 Mad. 102 6 AIR 1960 SC 923

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J.H.Huxley has observed that Many of our old ideas must be retranslated so to speak, into a new language. The democratic idea of freedom, must lose its XIXth century meaning of individual liberty in the economic sphere and must adjust to new conception of social duties and responsibilities. When a big employer talks about his democratic right to individual freedom, meaning thereby a claim to socially irresponsible control over a huge industrial concern and over the lives of thousands of human beings whom he happened to employee, he is talking in a dying language.

New Indian Industrial Dispute Act Principles:7


1. A permanent conciliation committee for the speedy settlement of industrial disputes. 2. Compulsory arbitration in public utility services and enforcement of arbitration awards. 3. Strikes during proceedings of conciliation and arbitration meetings are prohibited. 4. Set aside specific times for conciliation and arbitration meetings. 5. Employers have to be obliged to communicate with labor unions. 6. Mutual consultation has to be set up between industry and labor by the Works Committee. 7. Disputes between labor and industry have to be forwarded to an Industrial Tribunal. If the Industrial tribunal fails to handle the case, the case should be forwarded to the appropriate government.

Forms of Industrial Dispute


Industrial disputes are symptoms of industrial unrest in the same way that boils are a symptom of a disordered body Patterson. The following are the weapons used by employees. Whenever industrial disputes arise, workers generally resort to one or more of the following weapons, namely, strike, boycott, picketing and gherao.
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Rahul notes blog

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Strike: When workers collectively stop to work in an industry, it is known as strike. Strike can be defined according to the Industrial Disputes Act,1947 as: "It means a cessation of work by a body of persons employed in an industry acting in combination; or a concerted refusal of any number of persons who are or have been so employed to continue to work or to accept employment; or a refusal under a common understanding of any number of such persons to continue to work or to accept employment". Strike is of following types: Economics strike: most of the strikes of workers are for more facilities and increase in wage levels. In economic strike, the labourers demand increase in wages, travelling allowance, house rent allowance, dearness allowance and other facilities. General strike: it means a strike by members of all or most of the unions in a region or an industry. It may be a strike of ll the workers in a particular region of industry to force demands common to all the workers. It may also be an extension of the sympathetic strike. Stay in strike: in this case, workers do not absent themselves from their place of work when they are on strike. They keep control over production facilities but do not work. Such a strike is also known as pen down or tool down strike. Sympathetic strike: when workers of one unit or industry go on strike in sympathy with workers of another unit or industry who are already on strike, it is called a sympathetic strike. Boycott: the workers may decide to boycott the company in two ways. Firstly by not using its products and secondly by making an appeal to the public in general. Picketing: when workers are dissuaded from work by stationing certain men at the factory gates, such a step is known as picketing. If picketing does not involve any violence, it is perfectly legal. Gherao: Gherao in Hindi means to surround. The workers may gherao the members of the management by blocking their exits and forcing them to stay inside their cabins.the management uses its own methods to counter the workers: Employers association: the employers may form their unions to collectively oppose the working class and put pressure on the trade unions.

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Lock-out: an employer may close down the place of employment temporarily. Such a step is technically known as lock-out. It is the reverse of a strike and is a very powerful weapon in the hands of n employer to pressurize the workers to come back to work

Termination of service: the employers may terminate the services of those workers who are on strike by blacklisting them. Their lists may be circulated to other employers so as to restrict their chances of getting employment with those employers.

Objectives of the Act:


The objective of the ID Act is to secure industrial peace and harmony by providing machinery and procedure for the investigation and settlement of industrial disputes by negotiations. Various studies indicate that Indian labour laws are highly protective of labour, and labour markets are relatively inflexible. These laws apply only to the organized sector. Consquently these laws have restricted labour mobility, have let to capital- intensive methods in the organized sector and adversely affected the sectors long run demand for labour. Labour being a subject in the concurrent list, state level labour regulations are also an important determinant of industrial performance. Evidence suggests that States, which have enacted more pro-worker regulations, have lost out on industrial production in general.

maintain peace & harmony good relations b/w parties

objectives

prevent strikes & lock outs

right to collective bargaining

1. To encourage good relations between labor and industries, and provide a medium of settling disputes through adjudicator authorities.
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2. To provide a committee for dispute settlement between industry and labor with the right of representation by a registered trade union or by an association of employers. 3. Prevent unauthorized strikes and lockouts. 4. Reach out to labor that has been laid-off, unrightfully dismissed, etc. 5. Provide labor the right to collective bargaining and promote conciliation. In Workmen of Dimakuchi Tea Estate v. Mgt. of Dimakuchi Tea Estate,8 the SC laid down in the case: The promotion of measure of securing and preserving amity and good relation between an employer and workmen. Investigation and settlement of Industrial Dispute. Prevention of illegal strikes and lock-outs. Relief to workmen in in the matter of Lay-off (temporary removal) and retrenchment (permanent removal of employees). Promotion of collective bargaining. It enables the State to play a constructive role in employer workmen relationship. It provides machinery for the settlement of Industrial disputes by arbitration or adjudication. To achieve these objectives, the Act has provided proper methods of settling a dispute between employer and employees. Under the Act, a statutory machinery has been constituted for conciliation and adjudication of industrial disputes. It includes:

The Act provides for appointment of 'Conciliation Officers', by appropriate Government, charged with the duty of mediating in and promoting the settlement of industrial disputes. He/ she may be appointed for a specified area, or for specified industries in a specified area, or for one or more specified industries, either permanently or for a limited period. It is the duty of these officers to bring both the employees and employers together and help

AIR 1958 SC 353

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them to resolve their differences. If the dispute is settled, he/ she shall send a report, to that effect, to the appropriate Government.

The appropriate Government may, as occasion arises, constitute a 'Board of Conciliation', which shall consist of a chairman and two or four other members, as the appropriate Government thinks fit. The Chairman shall be an independent person and the other members shall be persons appointed in equal numbers to represent the parties to the dispute. Where a dispute has been referred to a Board, it shall, without delay, investigate the dispute and do all such things as it thinks fit for the purpose of inducing the parties to come to a fair and amicable settlement of the dispute.

The appropriate Government may, as occasion arises, also constitute a 'Court of Inquiry' to inquire into any matter appearing to be connected with or relevant to an industrial dispute. It shall, thereafter, report about it to the Government ordinarily within a period of six months from the commencement of its inquiry. Such a court may consist of one independent person or of such number of independent persons as the appropriate Government may think fit and where it consists of two or more members, one of them shall be appointed as the chairman.

The appropriate Government may constitute one or more 'Labour Courts' to adjudicate industrial disputes relating to any matter specified in the second schedule like issues related to standing orders, discharge or dismissal of workers, illegality or otherwise of strikes and lockouts, withdrawal of any customary benefit, etc. and to perform such other functions as may be assigned to them under the Act. A labour court shall consist of one person only to be appointed by the appropriate Government.

The appropriate Government may constitute one or more 'Industrial Tribunals' to adjudicate industrial disputes relating to any matter, whether specified in the second schedule or third schedule, and to perform such other functions as may be assigned to them under the Act. A tribunal shall consist of one person only to be appointed by the appropriate Government. The third schedule covers the matters such as wages, bonus, allowances and certain other benefits, certain working conditions, discipline, rationalisation, retrenchment and closure of establishment.

The Central Government may, by notification in the Official Gazette, constitute one or more 'National Industrial Tribunals' to adjudicate an industrial dispute which, in the
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opinion of the Central Government, involve questions of national importance or are of such a nature that industrial establishments situated in more than one State are likely to be interested in, or affected by, such disputes. Such a tribunal shall consist of one person only to be appointed by the Central Government.

The Act also makes it obligatory for an employer to set up a 'Grievance Settlement Authority (GSA)' in an industrial establishment in which fifty or more workers have been employed in the preceding twelve months. This authority shall have the responsibility to settle industrial disputes concerning an individual worker employed in that establishment.

No reference can be made under the Act to Conciliation Boards, Labour Courts or Industrial Tribunals, unless the dispute has first been the subject of a decision of a Grievance Settlement Authority.

A. Prevention of dispute
Prevention is always better than cure, so we need to adopt some method in order to avoid the dispute take place in the industry. a) Establishment of works committees, (b) Wage Boards, (c) process of collective bargaining, (d) Industrial truce resolution, (e) Standing orders, (f) Joint management councils, (g) Grievances procedures, (h) Codes of discipline and of efficiency (i) Suggestion system, (j) Voluntary arbitration, and (k) Improvement in Economic conditions of workers. These all provisions are on voluntary basis and there is no compulsion on employing these measures. The main purpose of such measures is to prevent the disputes before they arise. B. Settlement of the industrial disputes Settlement means a agreement which is arrived at in the course of conciliation proceeding and included a written agreement between employer and workmen where such agreement has been signed by the parties in such manner as may be prescribed and a copy thereof has been sent to the officer authorized in this behalf by the appropriate government and the conciliation officer.

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The procedures for settling labour dispute may be by mean of collective bargaining, negotiation, conciliation and mediation, arbitration and adjudication and these methods are well known as methods for settlement of industrial disputes. 1. Collective Bargaining: - Collective Bargaining is a technique by which dispute as to conditions of employment, are resolved amicably by agreement rather than by coercion. The dispute is settled peacefully and voluntarily, although reluctantly, between labour and management. Broadly Speaking Collective bargaining is a process of bargaining between employers and workers, by which they settle their disputes relating to employment or nonemployment , terms of employment or conditions of the labour of the workman, among themselves, on the strength of the sanctions available to each side . Occasionally, such bargaining results in an amicable settlement arrived at voluntarily and peacefully, between the parties. But quite often, the workers and employers have to apply sanctions by resorting to weapons of strike and lockouts, to pressurize one another, which makes both the sides aware of the strength of one another and that finally forces each of them to arrive at a settlement in mutual interest. The final outcome of bargaining may also depend upon the art, skill and dexterity of displaying the strength by the representatives of one party to the other. 2. Negotiation: Negotiation is one of the principal means of settling labour disputes. However, due to lack of trust between the employers and workmen or their trade unions or inter-rivalry of the trade unions and the employers being in a commanding position, many a time negotiations fail. 3. Conciliation & Mediation: Through conciliation and mediation a third party provides assistance with a view to help the parties to reach an agreement. The conciliator brings the rival parties together discuss with them their differences and assist them in finding out solution to their problems. Mediator on the other hand is more actively involved while assisting the parties to find an amicable settlement. Sometimes he submits his own proposals for settlement of their disputes.

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Conciliation may be voluntary or compulsory. It is voluntary if the parties are free to make use of the same, while it is compulsory when the parties have to participate irrespective of whether they desire to do so or not. Success of conciliation depends upon the appearances and their sincere participation in conciliation proceedings of the parties before the conciliation officers. 4. Arbitration: The resort to arbitration procedure may be compulsory or arbitrary. Compulsory arbitration is the submission of disputes to arbitration without consent or agreement of the parties involved in the dispute and the award given by the arbitrator being binding on the parties to the dispute. On the other hand in case of voluntary arbitration, the dispute can be referred for arbitration only if the parties agree to the same. Inter Union rivalry also sometimes makes it difficult in arriving at an agreement on settlement of an arbitrator who is acceptable to all the trade unions in the industry. 5. Adjudication: If despite efforts of the conciliation officer, no settlement is arrived at between employer and the workman. The both parties have to go to Labour Courts in order to deal with the disagreement which they cannot solve by themselves. The Court has power to decide disputes relating to matters specified. These matters are concerned with the rights of workers, such as propriety of legality of an order passed by an employer under the standing orders, application and interpretation of standing orders, discharge or dismissal of workman including reinstatement of grant of relief to workman wrongfully discharged or dismissed, withdrawal of any customary concession or privilege and illegality or otherwise of a strike or lockout. In short, the settlement of disputes through collective bargaining, debate and negotiation, conciliation & mediation, arbitration, adjudication should leaves no rancour behind and helps to create an atmosphere of harmony and co-operation

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Conclusion
In the end, we can say that the objective of Industrial Dispute Act is same as any other law i.e,. to maintain peace and harmony in the sector it deals with. Industrial sector is important for any country and for an industry to give maximum output, it is important to maintain proper relation between management and labour so that both can work helping each other. Moreover, everyone gets affected by industrial sector in one way or another so, the disputes in industrial sector affect all. To minimize the effect of these disputes, the industrial legislations were made and Industrial Dispute Act is a part of the same. By looking at the various provisions provided in the Act, we can confer that the objective of the Act is to prevent disputes and in other cases, is to settle them. Proper mechanism and authorities are provided in the act. The emphasis is on to balance the both factors: employers and employees.

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LIST OF CASES

Bangalore Water Supply v. A. Rajappa case AIR 1978 SC 548 C.P. Sarathy v. State of Madras and others AIR 1951 Mad. 191 Indian Metal and Metallurgical Corporation v. Industrial Tribunal (1952) 1MLJ 481 Association v. I.T. Madurai and others AIR 1953 Mad. 102 Nagalinga Nadar Sons v. A.T.H.L.C. Hatisingh Manufacturing Company v. Union of India, AIR 1960 SC 923 Workmen of Dimakuchi Tea Estate v. Mgt. of Dimakuchi Tea Estate AIR 1958 SC 353

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BIBLOGRAPHY

http://belgaumchamber.com/becomeamember/40-amendment-to-industrial-disputes-act1947.html Google book http://www.mbaknol.com/human-resource-management/introduction-to-industrialdisputesits-prevention-and-settlement/ http://www.rahulgladwin.com/noteblog/business/IR/indian-industrial-dispute-act-of1947.php http://labour.nic.in/clc/welcome.html#id http://www.indlaw.com/display.aspx?4785 KHSOU.htm S.N.Mishra- Labour and Industrial Laws (Central law Publications)27th edition S.S.Chaturvedi- Central law agency publication 13th edition http://www.macmillandictionary.com/dictionary/british/industry http://www.investopedia.com/terms/i/industry.asp http://www.differencebetween.info/difference-between-factory-and-industry oxford's advanced learner's dictionary 8th edition http://industrialrelations.naukrihub.com/causes-of-industrial-disputes.html http://sinabackground-everydaylife.blogspot.in/2011/10/industrial-disputes.html http://www.scribd.com/doc/23483788/Industrial-Disputes http://business.gov.in/legal_aspects/indl_disputes.php http://sinabackground-everydaylife.blogspot.in/2011/10/industrial-disputes.html http://www.scribd.com/doc/36543115/Dispute-Settlement-Procedure-Session-31

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