Industrial dispute is disagreement and difference between two disputants, namely,
labour and management
.This disagreement or difference could be on any matter concerning them individually or collectively. It must beconnected with employment or non-employment or with the conditions of labour.I hope you have understood.It should also be noted that, the subject- matter of an industrial dispute must be
which affects therelationship of employers and workers.
Let us now understand the severity of industrial disputes
It is self-evident that industrial disputes and industrial unrest are symptoms of a lack of co-operative spirit andof harmonious relations in industry. I am sure you all will agree that the manifestation of these symptomscauses stoppage of work or disruption of production and all consequential evils. The continued and prolongedindustrial unrest also has serious consequences for the
and also for the
at large.From the point of view of the
, an industrial dispute resulting in stoppage of work means a stoppage of production.Please understand that this results in the increase in the average cost of production since fixed expensescontinue to be incurred. It also leads to a fall in sales and the rate of turnover, leading to a fall in profits. The
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 labour 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
, an industrial dispute entails loss of income. The regular income by way of wages andallowance ceases, and great hardship may be caused to the worker and his family, many times resulting indeprivation, mal-nutrition, even starvation or near-starvation. The ability of trade unions to provide for theneeds of striking workers, particularly in India, is very limited. Employees also suffer from personal injury, andthe psychological and physical consequences of forced idleness. The threat of loss of employment in case of failure to settle the dispute advantageously, or the threat of reprisal action by employers also exists.Don’t you think that the psychological effects can be more dangerous than the physical consequences?Prolonged stoppages of work have also an adverse effect on the
productivity, national income. Theycause wastage of national resources. Class hatred may be generated resulting in political unrest and disruptingamicable social relations or community attitudes.
I am sure that all of you will agree with me that it would not be wrong to say that: