INDUSTRIAL DISPUTES

Patterson in his book Social Aspects of Industry said that resistance by workers against their exploitation by employer is industrial dispute.
Dankest in his book, An Introduction to Labour said that because of the nature of employment relationship disharmony between management and labour often arises and this results in Industrial Disputes.

Moore in his book, Industrial Relations and Social Order says, “Due to the conflicting objectives of employers and employees, differences often take place between them which result in industrial disputes.”

The Industrial Disputes Act of 1947 says, “Industrial disputes means any dispute or difference between employer and employees or between employers and workmen or between workmen, which is connected with employment or non-employment or the terms of employment or with the condition of labour of any person.”


Types of Industrial disputes

A. Two categories:

a. Disputes of rights
b. Disputes of interests

B. Two categories:

a. Economic Disputes
b. Non-economic Disputes


Causes of Industrial Disputes:
A. Basic causes
B. Operational causes

Basic or principal causes are as follows:

a. capitalist nature of economy
b. clash of economic interests
c. division of the product of industry (sharing the cake)
d. imperfect nature of labour market (behavioural pattern of labour market)
e. divergent objectives of the stakeholders
f. attitude of employers
g. governance of industry (industrial democracy or democracy within democracy)

Operational causes:
a. economic causes
b. working conditions for the workers
c. institutional causes (related to trade union, collective bargaining, labour practices, union security etc.)
d. psychological causes
e. personal rivalry

Machinery of settlement of industrial disputes:
Two categories:
A. Curative mechanism
B. Preventive mechanism


Causative mechanism:
a. conciliation officers (14 days)
b. board of conciliation (five members, two months)
c. council of enquiry (one member, six months)
d. labour court
e. tribunal
f. national tribunal
g. arbitration

The labour court, tribunal and national tribunal are collectively called Adjudicative Machineries and they function under one person aged not more than 65 years. He is known as the presiding officer of the concerned body.

Decisions handed over by these curative bodies are called Awards. Awards remain in operation for a minimum of one year to a maximum of three years.

Labour court adjudicates on matters related second schedule of the industrial disputes act of 1947.
National tribunal adjudicates on matters of national importance and matters related to the workers of more than one state.

Time frame is not fixed for the adjudicative machineries for pronouncing awards. But, government can specify a date by which the award is expected.

Preventive Machineries:

a. statutory mechanism
b. non-statutory mechanism

Statutory Preventive Mechanism:
a. Workers committees: In every undertaking employing 100 or more workers these committees are constituted to promote friendly relations among the stakeholders.
b. Grievance Settlement machineries: In undertaking employing more than 50 workers.
c. Standing orders: It is provided under Industrial Employment (Standing Orders) Act of 1946. It is obligatory on all the employers covered under Industrial Employment (Standing Orders) Act to frame standing orders covering conditions of employment governing relations between employers and employees.

Purpose of standing orders is to create an attitude of mind between the parties so that industrial harmony is achieved in the industrial establishment. Standing orders provide rules for settling differences or disputes on matters like attendance, demotions, promotions, dismissals, discharge, misconduct, late comings etc.

Non-statutory preventive machineries:

A. Indian Labour Conference and Standing Labour Conference are non-statutory bodies functioning at central level to settle industrial disputes. They are tri-partite bodies having representation from employers, trade unions and government. They carry out three important functions:
1. Promotion of uniformity in labour legislation
2. Laying down of a procedure for the settlement of industrial disputes
3. Discussion of all labour matters of national importance

B. Tri-partite bodies at central level:

a. Joint management councils
b. Code of discipline and code of conduct
c. Wage boards
d. Workers’ participation in management
e. Collective bargaining
f. Other tri-partite bodies at central level:

a. Implementation and evacuation committee
b. Central board for workers education
c. National productivity council
d. Industrial committees etc

C. State labour advisory boards: