This document discusses various methods for settling industrial disputes in India, including voluntary and statutory methods. Voluntary methods include collective bargaining, joint consultations, standing orders, grievance procedures, and codes of discipline. Statutory methods involve third party assistance and include conciliation, arbitration, and adjudication through labor courts, industrial tribunals, and national tribunals. The document provides details on the processes involved in each of these dispute resolution mechanisms.
4. • It is the process of negotiation between
firm’s and workers’ representatives for
the purpose of establishing mutually
agreeable conditions of employment.
• It is a technique adopted by two parties to
reach an understanding acceptable to
both through the process of discussion
and negotiation.
5. PROCESS
PREPARING
BARGAINING
ISSUES
NEGOTIATIONS
SETTLEMENT AND
CONTRACT AGREEMENT
ADMINISTRATION OF
AGREEMENT
6. • The negotiation team should consist of
representatives of both the parties with adequate
knowledge and skills for negotiation.
• Advance preparation by employers and employees
• Parties must examine their own situation and
develop issues they believe will be important
8. • It begins when each side presents its initial
demands
• It goes for days until final agreement is reached
• It is a big relief for everyone when final
agreement is reached
• Its success depends upon the skill and abilities of
negotiators
9. • It is a crucial stage where in union-negotiating
team explains the agreement to members for a
vote
• If voted, agreement is formalized into a contract
• Contract must be clear and precise
10. Agreement must be implemented according to the
provisions of the agreement
Management is primarily responsible for implementation
of contract
It must be communicated to all affected levels
12. WORK COMMITTEES
As per provisions of Industrial Dispute Act, 1947
work committees have to be set up in all those units
which employ 100 or more persons.
They are composed of equal number of employer
and employee representatives
It is a consultative body
These have responsibility of removing the causes of
friction between labor and management in day to day
functioning.
13. Issues like wages, benefits, bonus, hours of
work, terms and conditions of
employment, training, transfers,etc come under the
purview of works committee
TISCO was the first to create a works committee in
1920
530 committees were operational at the end of 1987
14. JOINT MANAGEMENT COUNCILS
(JMCs)
• In Industrial Policy Resolution,1956, the need for
councils was emphasized
• Management supplies the facts regarding the unit
and council discusses various matters across the
table and then make recommendations
• JMCs should have equal number of workers and
employers representatives
• They look after three areas of: information
sharing, consultation and administrative matters
relating to welfare, safety, training, holidays
15. • The idea was implemented in over 150 units.
• At present 80 are operating in public sector units like
Air India, Hindustan Insecticides and in large
number of private sector units like TISCO, Arvind
Mills.
17. These are the rules and regulations governing the
conditions of employment of workers.
They specify the duties and responsibilities of both
employer and employees
As per provisions of Industrial Employment
Act,1946,Standing orders shall be framed in all
undertakings employing 100 or more workers
Standing orders have to framed in consultation with
employees and submitted to certifying officer.
18. Matters
Classification of workers
Hours of work, holidays, wage rate
Shift working
Attendance and late coming
Leave rules and disciplinary action
Certified copies must be displayed inside the
undertaking
It is binding on both employer and employee
20. It aimed at preventing disputes by providing for voluntary
and mutual settlement of disputes.
Principles regulating the conduct of the parties, as
provided for in the code, may be as:
Restrains both employer and employee from
unilateral action.
Parties shall not indulge in strikes, lockouts
without notice
Parties shall not resort to coercion or adapt
unfair practices
At present the code has been accepted by about 200
individual employers and about 170 trade
unions
LIC, SBI and RBI have accepted it
22. GRIEVANCE means employee dissatisfaction or
feeling of personal injustice relating to his employment
relation
It has to be redressed properly
It should not be suppressed
Grievances arise :
Violation of terms and conditions of employment
Violation of law
Violation of rules
Change in working conditions or past company
practices
Violation of health and safety standards
23. GRIEVANCE REDRESSAL
PROCEDURES
OPEN DOOR POLICY
Aggrieved party is free to meet top executive of
organization and get his grievance redressed.
STEP LADDER POLICY
Aggrieved employee has to follow a step by step
approach
26. It is a process by which representatives of workers and
employers are brought together before a third person or
group of persons to persuade them to come on a
mutually satisfying agreement.
Conciliator tries to bridge the gap between the parties
He tries to clear the fog surrounding the issue
He persuades parties to take a fresh look at whole
issue and explore the possibility of reaching a
consensus
He only advances a possible line of solution for
consideration by disputants.
28. Voluntarily referring the dispute to third party called
ARBITRATOR
He listens to the views of both the parties and
delivers a judgment on the dispute
He submits his judgment to government and
government publishes it within 30 days of
submission
It is binding on both the parties
30. It is compulsory arbitration and is the ultimate remedy
to resolve dispute
Settlement of dispute through intervention of third
party appointed by government
As per Industrial Dispute Act, 1947
Three –tier Adjudication machinery
Labour Court
Industrial Tribunal
National Tribunal
31. Labour Court
It deals with disputes relating to:
Legality of order passed by employer
Application of standing order
Grant of relief to wrongly dismissed person
Illegality or otherwise of strike or lock out
Industrial Tribunal
It has wider jurisdiction than labour court and deals
with following matters:
Wages including the period and mode of
payment
Compensatory and other allowances
Leave with wages and holidays
Shift working
32. Bonus, profit sharing, provident fund and gratuity
Rules of discipline
Retrenchment
National Tribunal
Appointed by Central government to deal with
disputes of national importance or issues likely to
affect industrial establishments in more than one
state