2.  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.
 As per Section 2(k) of Industrial Disputes Act,1947, an industrial dispute in
defined as any dispute or difference between employers and employers, or
between employers and workmen, or between workmen and which is
connected with the employment or non-employment or the terms of
employment or with the conditions of labor, of any person.
 This definition includes all the aspects of a dispute. It, not only includes the
disagreement between employees and employers, but also emphasizes the
difference of opinion between worker and worker.
 The disputes generally arise on account of poor wage structure or poor
working conditions. This disagreement or difference could be on any matter
concerning the workers individually or collectively. It must be connected with
employment or non-employment or with the conditions of labor.

3.  From the point of view of the employer, an industrial dispute resulting in
stoppage of work means a stoppage of production.
 This results in increase in the average cost of production since fixed expenses
continue to be incurred.
 It also leads to a fall in sales and the rate of turnover, leading to a fall in profits.
The employer may also be liable to compensate his customers with whom he
may have contracted for regular supply.
 Apart from the immediate economic effects, loss of prestige and credit,
alienation of the labor force, and other non-economic, psychological and social
consequences may also arise.
 Loss due to destruction of property, personal injury and physical intimidation
or inconvenience also arises.
 For the employee, an industrial dispute entails loss of income.
 The regular income by way of wages and allowance ceases, and great
hardship may be caused to the worker and his family.
 Employees also suffer from personal injury if they indulge into strikes n
picketing; and the psychological and physical consequences of forced
idleness.
 The threat of loss of employment in case of failure to settle the dispute

4. Manifestation of conflict
(Union –management Conflict)
Management
Union
Non Unwillingness to
cooperation negotiate
Agreement Termination
Stress and
tension Demotion
Resentment Lay-off
Absenteeism Lock out
Morcha
,Gherao
Loss of
production
strike

5. Causes of Industrial Disputes
 Industrial Factors
 Management attitude to labour
 Government Machinery
 other causes
 Inter/Intra Union Rivalry
 Charter of Demands
 Work Load
 Standing orders/rules/service conditions/safety
measures
 Non-implementation of agreements and awards etc.

6. Industrial Factor:
 An industrial matter relating to employment, work wages,
hour of work, privileges, right and obligations of employee
and employers,
 The rising prices of essential commodities, their
shortages and non availability all those erode the value of
money as a result worker’s wage go down thus create
dissatisfaction.
 The rapidly increasing population which has no
opportunity for gainful employment, thus no improvement
for standard of living, thus put forward demand for higher
wages.

7. Management attitude towards workers
 Management is generally not willing to talk over any
dispute with their employees or their representative or
refer it to the arbitration even when trade union want
them to do so.
 The management unwillingness to recognize a
particular trade union is also an important source of
industrial strike.
 The management insistence that they alone are
responsible for recruitment, promotion, transfer, merit
and award and that they needn’t consult their
employee regarding any of these matter.

8. Government Machinery.
 Not successful in implementing labour law
 Inability of conciliation machinery to do its job and
consequently employee and management loss of
confidence in that.
 Irrelevance of certain provision of labour law and its
inadequate role in the context of challenges of present
industrial climate.
 The officers associated with conciliation proceedings have
very little training in handling the problem or dispute which
are referred to them.

9. Other factors/causes
 Inter/Intra Union Rivalry
 Charter of Demands
 Work Load
 Standing orders/rules/service conditions/safety
measures
 Non-implementation of agreements and awards
etc.

10. Classification of Industrial Dispute: Dispute relating to terms of
employment
 Interest Dispute : conflict of interest or economic dispute
 this dispute is relates to establishment of new terms and
conditions for the workers.
 This arise when the parties fail in their negotiations to reach an
agreement on the outstanding issues.
 Generally the dispute originate from trade union demand or
proposal for improvement of wage, fringe benefit, job security
or other term of employment.
Grievance Dispute: Conflict of Rights
It arise from day to day working condition in the organization
, usually as a protest by the workers in response to any unfair
treatment by management.
Promotion, demotions, transfer, jobs classification are the
main issues in this dispute.
The relevant provision of collective agreement, employment
contract, work rule or law are resorted to settle such grievance
issue.

11. Dispute over unfair labour practices
 The most common unfair labour practices in IR are
attempts by management of an undertaking to
discriminate against workers for being a trade union
member.
 Other unfair labour practices are generally the
concerned with interference, restraint or coercion of
employees from exercising their right to organize, join
or assist union.
Recognition Dispute: Industrial Dispute act.
It settled mainly through
•the dispute over the right of the trade union to represent a
particular class or category of workers for purpose of
collective bargaining are referred as Recognition dispute.
•Issues in recognition dispute differ according to the cause
which has led the management to refuse recognition.
•Settle down through laws..

13.  A legitimate weapon in the hand of workmen to be used by
them for asserting their bargaining power.
 Basically, the word strike means a temporary termination of
work by a group of employee in order to express their
grievances
 So in strike,
1. there should be termination of work
2. by a body of persons employed in any industry acting in
combination
3. There should be a concerted refusal or refusal under a
common understanding.

14. INDUSTRIAL
DISPUTE
STRIKE LOCK OUT
primary secondary others
Stay away strike Sympathy General strike
Pen down strike Strike Particular
Go slow strike
Work to rule Political strike
Token strike Bandhs
Lightning strike
Picketing and
boycott
Gherao

15.  Primary strike: generally pointed against the employer with
whom the dispute exist.
 Stay away strike: the workmen don’t come to workplace
during the prescribed working hour.
 They rather organize rallies, demonstration etc.
 Stay-in strike: also called sitdown or pendown strike where
employee remain at the place of work but refuse to work. It
is effective as the employer deprived of the use of the plant.
 Go slow strike: workers intentionally reduce the speed of
their work to reduce the production or efficiency while
pretending to be engaged .it is considered as a serious
misconduct and for which the workers can be dismissed as
well
 Token or protest strike: a short duration strike where the
employee try to inform the employer about their feelings
indirectly.

16.  Lightning or cat call strike: this strike announce suddenly
without any prior intention to go on strike.
 Picketing and boycott: act of posting picket and imply
marching and patrolling of the workmen in front of the premises
of the employers.
 A peaceful approach to get their demand by workers.
 Hunger strike: the usually takes the form of fasting by a group
of workmen after having posted themselves near the place of
work or at the residence of employer.
 The object being to coerce the employer to accept the worker’s
demand.
 Fasting by itself is neither wrong nor punishable but if it
undertaken to the point of starvation and death, it amounts to
offence.
 Gherao: is the physical blockade of a target either by
encirclement intended to block the regress and ingress from and
to a particular office, workshop and factory. The target may be
place or person.
 It is illegal and unconditional .

17.  Secondary strike : these are strikes in which the
pressure is applied not against the primary
employer with whom the primary workers have a
dispute but against some third person who has
good trade relation with him.
 Mostly popular in USA.
 General strike: its undertaken not by a particular
body of workmen against a particular master but
by workmen in general, irrespective of masters,
but against all masters.
 E.g. Bandhs and Hartals
 Such strike has economic demand or political
support.

18. Prevention of strike!!!!
 Incidence and frequency of strikes should minimized
through persisistent effort by management.
 It must require a well defined, precise and clear
personnel policies for employees in the organization.
 Effective administration and timely implementation of
these policies.
 And effective two way system of communication.
 Provision of humane condition of work.
 Suitable and speedy grievance handling procedures.

19. Lockouts…
 Lockout means the closing of a place of employment or
suspension of work or refusal by an employer to continue to
employ any no. of person employed by him.
 It is the action of an employer in temporary closing down or
shutting down his undertaking or refusing to provide his
employees with work with intention of forcing them either to
accept demands made by him or to withdraw demand made by
them on him.
 The futures of lockout are,
 A closure of industrial undertaking due to apprehension of
industrial dispute, violence and loss of property.
 It is the suspension of employment relationship between
employer and workmen
 A situation when employer refuses to provide work to the
workers by locking his premises and not allowing it’s employee
Thus whether it is strike or lockout , the consequences are detrimental to the
to come into work.
industry as a whole and the economy of the country because they lead to loss
of production through stoppage of work and consequent damage of national
economy.

20. Machinery for settlement
 Statutory Measure.
 Voluntary Measure.
 Statutory Measure :The major statutory measure is ID Act
1947, which creates different authorities to preserve
industrial harmony, prevention and settlement of industrial
disputes.
 The principle objectives of this act are, to prevent illegal
strikes and lockouts, to provide relief to workmen in terms
of layoff, retrenchment etc, and to give the workmen the
right to bargain collectively.
 DIFFERENT AUTORITIES CRAETED UNDER THE
INDUSTRIAL ACT 1947, FOR SETTLEMENT OF
DISPUTES ARE ………

21.  Work Committee: a purely consultative body which is
essentially advisory in nature and their decision are in the
form of recommendations.
 A bipartite body composing equal number of representative
of workmen and management and total number shall not
exceeds 20.
 The term of office bearer is 2yrs
 Committee shall meets once in every two years.
 Conciliation officer: Appointed by appropriate
government by notification in the official gazette.
 He may appointed for a specific area or specific industry.
 His duty is to mediate in and promote the settlement of
industrial dispute.
 He has to send a report of settlement or otherwise to the
appropriate government with in 14 days of commencement

22.  Board of Conciliation: an adhoc body constitute a
chairman and two or four members.
 The main purpose of this is to mediate and induce the
parties to come to fair and amicable settlement.
 If it’s remain unsettled, the govt. may refer the matter to
labour court, tribunal or national tribunal.
 Court of enquiry: an adhoc body as the occasion may
arise. Constituted by appropriate government to enquire in
to any matter connected with an industrial dispute.
 It has no power to impose any settlement on the parties
rather than it’s only a fact finding machinery.
 The court of enquiry may consists of one independent
person or such no. of independent persons as the
appropriate govt. think fits.

23.  Adjudication: the ID act provides for three tier system of
adjudication of industrial dispute. These case may be
referred to such court either after the receipt of failure
report from conciliation officer.
 Labour court , industrial tribunal of state and national
tribunal of central government.
 Voluntary arbitration: Arbitration is a means of securing
an award on a conflict issue by reference of a third party.
 It is a method in which dispute is submitted to an impartial
outsider who makes a decision which is usually binding on
both the parties.
 Voluntary arbitration is referred to as voluntary methods of
resolving individual dispute as both the parties are willing
to go to an arbitrator and submit to his decision
 Grievance settlement authority: such authority are
usually set up by enterprises where 50 or more workers
are employed.

24.  Standing orders: it is the rules and regulation which
governs the condition of employment of workers.
 They specify the duties and responsibilities on the part
of both employer and employee.
 They make both of them conscious of their limitations.
 Miscellaneous; it include central industrial machinery
consisting of chief labour commissioner, regional
labour commissioner together with labour enforcement
officer.
 Their main function are fixation of minimum wage,
verification of union membership, and prevention,
investigation and settlement of industrial dispute.

25. Voluntary machinery
 Voluntary machinery for settlement of industrial dispute
is based on code of discipline announced in1958.
 It includes both ethical methods and other methods to
ensure industrial democracy
 The industrial democracy is promoted by three methods
 Profit sharing and co-partnership.
 Collective bargaining is a process of negotiation and
other related pressure tactics like (threat, counter
threat) adopted by the employer and organized workers
represent by their union in order to determine their
terms and condition. The ultimate aim is to reach some
settlement acceptable to both the parties involved in
labour management relation
 Recognition of union this is very much essential for
strong collective bargaining.

26.  Ethical Measure:
1. Code Of Discipline In Industry
2. Inter-union Code Of Conduct, 1958
3. Code Of Efficiency And Welfare
4. Industrial Truce Resolution,1962

27. Industrial Relation Machinery Third Party
Settlement
 Sometimes industrial dispute settlement machinery
involving third party intervention.
 It may be of any form, Conciliation, Adjudication or
Arbitration.
 CONCILIATION: is a process by which the representative of
workers and employers are brought together before a third
person or body of person with a view to persuade the
parties to come to an agreement, to the satisfaction of both.
 The ID Act 1947 appointed a conciliators.
 the parties may accept the recommendation for settlement
of any dispute or reject it altogether. The conciliator has no
right to pass the final order.
 In fact the conciliator brings the contending parties to a
conference table and make attempt to narrow down the gulf
of difference between them by removing the sources of
friction and tension

28. Adjudication
•Adjudication means mandatory settlement of Industrial Dispute by labour
court or Industrial tribunal or national tribunal under ID Act or any other
corresponding state acts.
• on getting a report of failure of conciliation, the government has to
decide whether it would be appropriate to refer the dispute to
adjudication.
•The reason behind this is developing country like India can ill afford to
suffer from loss of production or profit due to long drawn strikes and
lockouts.
•The adjudication machinery is one of the has exercise considerable
influence on the work and labour aspect of labour.
•The three tier system of adjudication are Labour court, Industrial tribunal
and national court.
•The last one is adjudicates upon the disputes which are of national
importance or the dispute of such a nature which affects industrial
establishment situated in more than one state.
•When both the parties agreed to reference of the dispute to adjudication
, of their own accord, it is obligatory on the part of government to make a
reference. When a reference to adjudication is made by the parties, is

29. Arbitration
 It’s a means of securing an award on a conflict issue by a reference to
third party.
 It is a process in which a issue is submitted to an impartial outsider who
makes a decision which is usually binding on both the parties.
 The objective of arbitration is not compromise but adjudication, though
parties are at liberty to compromise.
 most popular in foreign countries.
 The arbitration procedure is relatively expeditious when compared to
ordinary court and labour tribunal.
 Voluntary Arbitration: it implies that two contending parties unable to
compose their difference by themselves or with the help of mediator or
conciliator, agree to submit the conflict/dispute between them to be
resolved by an impartial authority whose decision they are ready to
accept.
 Compulsory Arbitration : where parties are required to arbitrate without
any willingness on their part. When one of the parties to an industrial
dispute feels aggrieved by an act of other, it may apply to the appropriate
govt. to refer the dispute to an adjudicating machinery.