INDUSTRIAL DISPUTE ACT, 1947

OBJECT
THE OBJECT OF THE INDUSTRIAL DISPUTE ACT, 1947 IS TO MAKE PROVISION FOR THE INVESTIGATION AND SETTLEMENT OF INDUSTRIAL DISPUTES AND FOR CERTAIN OTHER PURPOSES. THE ACT IS PRIMARILY MEANT FOR REGULATING THE RELATIONS OF EMPLOYERS AND WORKMEN, PAST, PRESENT AND FUTURE.

MAIN FEATURE OS THE ACT
THE ACT EXTENDS TO WHOLE INDIA INCLUDING STATE OF JAMMU AND KASHMIR. IT IS APPLICABLE TO INDUSTRIES AND CERTAIN CATEGORIES OF INDUSTRIAL WORKERS. IT LYS DOWN A COMPREHENSIVE MACHINERY FOR THE PREVENTION AND SETTLEMENT OF INDUSTRIAL DISPUTES. THE MAIN EMPHASIS OF THE ACT IS ON COMPULSORY ADJUDICATION BESIDES CONCILIATION AND COMPULSORY

MAIN FEATURE OS THE ACT
AN AWARD SHALL BE BINDING ON BOTH THE PARTIES TO THE DISPUTES FOR THE SPECIFIED PERIOD NOT EXCEEDING ONE YEAR. IT SHALL BE NORMALLY ENFORCED BY THE GOVERNMENT. THE RIGHT TO STRIKE BY THE WORKERS AND LOCK-OUT BY THE EMPLOYERS HAS BEEN SUBJECTED TI RESTRICTIONS AS LAID DOWN IN THE ACT AND SUCH RIGHTS ARE NOT ABSOLUTE RIGHTS. A MODEL GRIEVANCES REDRESSAL PROCEDURE HAS BEEN INCORPORATED IN THE ACT.

DEFINITIONS - APPROPRIATE

GOVERNMENT GOVERNMENT AS WELL AS THE CENTRAL

STATE GOVERNMENT ARE VESTED WITH VARIOUS POWERS AND THE DUTIES IN RELATION TO MATTERS DEALT WITH IN THIS ACT. THE CENTRAL GOVERNMENT IS THE APPROPRIATE GOVERNMENT IN RESPECT OF INDUSTRIAL DISPUTES ARISING IN THE FOLLOWING INDUSTRIES:Any industry carried on by or under the authority of Central Government.

DEFINITIONS - APPROPRIATE GOVERNMENT and Credit Guarantee Deposit Insurance Corporation . . The Unit Trust of India. '13. Industrial Reconstruction Corporation of India Ltd . Export Credit and Guarantee Corporation Ltd . Central Warehousing Corporation. Food Corporation of India. '20. A Banking Company . Airports Authority of India . Regional Rural Banks.

DEFINITIONS - AVERAGE PAY This clause lays down the manner of calculating the average pay for the purpose of payment of compensation at the time of retrenchment of a workman. (ii) weekly paid workmen. In the case of monthly paid workmen.) monthly paid workmen. The determination of average pay is to be 'in a different way in the case of (. and (iii) paid workmen. The average pay is calculated in the following manner for the different categories workers. the average of the wages paid for three complete .

2 (b)] A banking company to fall within the meaning of the term has to satisfy two conditions. of an industrial dispute or any question relating there to . The following institutions have been specifically included in . Industrial Tribunal. It should have branches or establishments in more than one State. It should be a banking company as defined in section 5 of the Banking Companies Act. 1949. and by a Labour Court.DEFINITIONS A award isan interim or final determination. namely. National Industrial Tribunal or an Arbitrator under Section 10-A Banking company [Sec.

It means any systematic activity carried on by . Rajappa (AIR 1978 SC 548)• The judgment of the Supreme Court in this case paved the ground for amending the definition of industry.DEFINITIONS Industry [Sec. The Industrial Disputes Act. 1947 was amended in 1982 and the new definition was incorporated. 20)] The definition of 'industry' has been the subject of much discussion from time to time culminating ultimately in Bangalore Water Supply and Sewarage Board v.

but does not include . scientific. or institutions owned or managed by organisations .DEFINITIONS (b) any activity relating to the promotion of sales or business or both carried on by an establishment. or hospitals or dispensaries . research or training institutions. or educational. any agricultural operation except where such agricultural operation is carried on in an integrated manner with any other activity (being any such activity as is referred to in the foregoing provisions of this clause) and such other activity is the predominant one.

2. (k)) It means any dispute or difference between employers and employer.DEFINITIONS Industrial dispute [Sec. The difference or dispute must be between- . or between employers and workmen or between workmen and workmen which is connected with the employment or non-employment or the terms of employment or with the conditions of labour of any person. The definition of 'industrial dispute' given above can be divided into the following parts. There must be some difference or dispute.

The dispute should relate to an 'industry' as defined in Section 2(J). or (b) the terms of employment . The expression dispute or difference means a controversy fairly definite and of real substance.DEFINITIONS The dispute should be connected with(a) the employment or non-employment. It must be connected with . or (c) the conditions of labour of each person.

power or raw materials or the accumulation of stocks or the breakdown of machinery or natural calamity or for any other connected reason to give employment to a workman whose name is borne on the muster rolls of his industrial establishment and who has not been retrenched. 2(kkk))] It means the failure. refusal or inability on the .DEFINITIONS Lay-off [Sec. The above definition may be considered under the following three headsThere must be failure. refusal or inability of an employer on account of the shortage of coal.

two alternative acts of the employer constitute a lock-out. It may be described as the withholding of work by an employer from his employees in order to gain a concession from them.DEFINITIONS Lock-out [Sec. 2(L)) It means temporary closing of a place of employment or the suspension of work or the refusal by an employer to continue to employ any number of persons employed by him. (1) Temporary closing of a place of employment or suspension of work. . Under the present definition.

Retirement of workman on reaching the age of superannuation. otherwise than as a punishment inflicted by way of disciplinary action. Termination of service of the workman as a result of non renewal of the contract of employment between the employer and the . 2(Q)) It means the discharge of surplus labour or staff by the employer for any reason whatsoever. It does not include the followingVoluntary retirement .DEFINITIONS Retrenchment [Sec.

DEFINITIONS Settlement [Sec. 2(p)] There are two modes of settling industrial disputes between the employer and workmen: By a settlement arrived at in the course of conciliation proceedings. But in the case of a settlement arrived at otherwise than in the course of conciliation . In the case of a settlement arrived at in the course of conciliation proceedings. nothing is to be done either by the employer or by the workmen. and By a settlement otherwise than in the course of conciliation proceedings.

It means "A cessation of work by a body of persons employed in any industry acting in combination. or a concerted refusal or a . But it is to be used as a last resort when all other avenues for settlement of industrial disputes have proved futile. 2 (q)] Strike is a legitimate weapon in the hands of the workmen to be used by them for asserting their bargaining power.DEFINITIONS Strike [Sec. The right to strike is an inherent right of every worker.

DEFINITIONS WAGES (SEC 2(S) It means all remuneration capable of being expressed in terms of money which would if the terms of employment were fulfilled be payable to a workman in respect of his employment or of work done in such employment. According to the definition of the term 'wages' given in the Act the following are the essential:requirements which have to be fulfilled before .

2(s)) The term means any person (including an apprentice) employed in any industry to do any skilled or unskilled. The definition includesany person who has been dismissed. whether the terms of employment be expressed or implied. manual. supervisory. whose dismissal. Air Force Act or the Navy Act. discharged or retrenched in connection with an industrial DISPUTE any person. technical or clerical work for hire or reward. discharge or retrenchment has led to the dispute.DEFINITIONS Workman [Sec. The definition excludes● Any person subject to an Army Act. or .

The Act provides for the following modes of settlement of industrial disputes. (With the help of courts) and Arbitration (With the help of third parties). Voluntary settlement and conciliation (Authorities under the Act).MODE OF SETTLEMENT OF DISPUTES The main object of Industrial Disputes Act is investigation and settlement of industrial disputes. With that object in view various authorities have been created under the Act. Adjudication. .

The works committee must be composed of the representatives of the employers and the workmen engaged in the industrial establishment and MUST BE EQUAL IN NUMBER . The establishment must be an industrial establishment One hundred or more workmen should either be presently employed or should have been employed on any day in the preceding twelve months.Voluntary Settlement in Conciliation Works Committee The works committee as an instrument for peaceful settlement of INDUSTRIAL DISPUTE HAS BEEN INTRODUCED IN India for first time under the Industrial dispute act. 1947 Constitution: Section 3 of the Act empowers the appropriate government to Constitute a work committee There are two conditions which must be satisfied before a works committee can be constituted.

bonus. The works committee shall meet and discuss matters of common interest and make efforts to settle differences in respect of such matters. hours of work.Voluntary Settlement in Conciliation Works Committee Functions and duties: The works committees are required to promote measures for securing and preserving good relations between the employer and his workmen. Works committees are not intended to be substitute for trade unions. holidays with pay etc. The works committees are normally concerned with the problems arising in the day-to-day working of the establishment. wages. They are viewed as a prevention which is better than cure. matters concerning their welfare. training. The success of such committees lies in the efforts of both the parties. . though carry great weight are not binding either on the employer or workmen. for instance. The decisions of the works committees.

1947. The duty of conciliation officers is to mediate and promote the settlement of industrial disputes. . The Act makes conciliation compulsory in all disputes in public utility services and optional in other industrial establishments. Appointment: It is discretionary on the part of appropriate government to appoint conciliation officers. Conciliation or mediation is a procedure which endeavours to settle a controversy by assisting parties to reach a voluntary agreement and the ultimate decision is made by the parties themselves.Voluntary Settlement in Conciliation Conciliation Officers A 'Conciliation officer' means a conciliation officer appointed under the Industrial Disputes Act.

where notice under section 22 has been given the conciliation officer shall hold conciliation proceedings in respect of it. In regard to industrial dispute relating to a public utility service. Section 12(2) imposes a duty on conciliation officer to investigate disputes without delay and empowers him to do all such things as he thinks fit for the purpose of inducing the parties to arrive at a fair and amicable settlement of the dispute. . The conciliation officer may hold conciliation proceedings in the prescribed manner where an industiral dispute exists or is apprehended. Where the conciliation officer succeeds in bringing about a settlement.Voluntary Settlement in Conciliation DUTIES OF Conciliation Officers (Section 12). he is required to make a report to the appropriate government or its authorised officer together with a memorandum of settlement signed by the parties to the dispute.

The period for submission of the report can be extended by the agreement of the parties subject to the approval of conciliation officer. in his opinion. If the efforts to bring about settlement fail. . a settlement could not be arrived at. The conciliation officer must submit the report within fourteen days of the conciliation proceedings or within such shorter period as may be fixed by the appropriate government. then the conciliation officer is required to make a report to the appropriate government.Voluntary Settlement in Conciliation DUTIES OF Conciliation Officers (Section 12). While making such report he is to give a full statement of facts and circumstances and the reasons on account of which. Where a conciliation officer reported under section 12(4) that no settlement could be arrived at he will not be debarred from making further efforts to bring about settlement between the management and the workmen.

Where the parties to an industrial dispute apply in the prescribed manner. The chairman of the Board must be an independent person. The members appointed shall be in equal numbers to represent the parties to the dispute. Where an industrial dispute has been referred to a Board the appropriate government may be order prohibit the continuance of any strike or lock out in connection with such dispute which may be in existence on the date of the reference. The Board shall consist of a chairman and two or four other members as the appropriate government thinks fit.Voluntary Settlement in Conciliation Board of Conciliation The word 'Board' means a Board of Conciliation constituted under this Act. Where the appropriate government is of the opinion that any industrial dispute exists or is apprehended it may at any time by order in writing refer the dispute to a Board for promoting a settlement thereof. the appropriate government if satisfied that the persons applying represent the majority of each party shall make the reference accordingly. whether jointly or separately for a reference of the dispute to a Board. .

the Board is required to send a report to the appropriate government together with a memorandum of settlement duly signed by the parties to the dispute. The Board must submit its report within two months from the date on which the dispute is referred to it or such shorter period as may be fixed by the appropriate government. the reasons for which a settlement could not be arrived at and its recommendations for the determination of the dispute. The report is also required to contain full statement of the Board's findings thereon. In the event of failure. The appropriate government may extend the time for the submission of the report by not more than two months in the aggregate and may further extend the period if all the parties agree to that in writing.Voluntary Settlement in Conciliation Duties of Board of Conciliation Board is required to investigate without delay the dispute and all matters affecting the merits of the dispute. If a settlement is arrived at. . the Board is required to send a failure report to the appropriate government setting out therein the proceedings and steps taken by the Board for ascertaining the facts and circumstances relating to the dispute and efforts made by it to achieve settlement.

. But there are certain differences between the two which are as follows : The conciliation officer is an individual public servant while the Board consists of three or five persons. The conciliation officer may be appointed for a specified area or for specified industries in a specified area. the Board has to suggest the remedy for the determination of the dispute. The members of the Board of Conciliation act in a judicial capacity and enjoy more powers than conciliation officers. The conciliation officer holds the conciliation proceedings of his own accord when any industrial dispute exists or is apprehended. The functions of the Board are the same as those of the conciliation officer. The time for the submission of the report to the appropriate government in the case of conciliation proceedings by the conciliation officer is 14 days while it is two months in the case of the Board.Voluntary Settlement in Conciliation Conciliation officer compared with Board of conciliation It will be seen that where conciliation fails. However no such provisions exist in the case of the Board. the steps taken and the reasons why no settlement was arrived at. Board of conciliation takes over. but the machinery of the Board is set in motion when a dispute is referred to it. If no settlement is arrived at. the conciliation officer is required to send a report stating the facts and circumstances. In addition to his duty of a conciliation officer.

it can be referred to a labour court. But the first provision to section 10(1) lays down that where the disputes relates to a matter specified in the third schedule. to perform such other functions as may be assigned to them under this Act. Jurisdiction The second schedule provides for the matters relating to industrial disputes which shall be adjudicated by the labour courts. Adjudication means a mandatory or compulsory settlement of industrial disputes by Labour Courts or Industrial Tribunals or National Tribunals under the Industrial Disputes Act. if it is not likely to affect more than hundred workmen.Adjudication (with the help of Courts) LABOUR COURTS Functions: The functions of labour courts areto adjudicate the industrial disputes relating to matters specified in the second schedule of the Act. .

or has been a judge of a high court. and All matters other than those specified in the third schedule. or (d) he has been the presiding officer of a labour court constituted under any Provincial Act State Act for not less than five years. or (b) he has for a period of not less than three years. . been a district judge or an additional dis . judge. LABOUR COURTS Presiding Officer and his qualifications (a) he is. Illegality or otherwise of a strike or lock-out.Adjudication (with the help of Courts) LABOUR COURTS THE SECOND SCHEDULE The matters specified in the second Schedule areThe propriety or legality of an order passed by an employer under the standing orders The application and interpretation of standing orders. Withdrawal of any customary concession or privilege. or (c) he has held any judicial office in India at least for seven years. Discharge or dismissal of workmen including reinstatement of or grant of relief to workmen wrongfully dismissed .

Whereas a labour court can adjudicate an industrial dispute relating to matters in schedule the industrial tribunal can adjudicate disputes relating to matter contained in both schedules II III. . the first provision to section 10(1) lays down that where the dispute relates to a matter specified in the third schedule. However. and is not likely to affect mm than one hundred workmen the appropriate government may make reference to a labour court. Thus there is a concurrent jurisdiction of the labour court and the industrial tribunal in respect any matter included in the second schedule.Adjudication (with the help of Courts) Tribunals Functions: Industrial tribunals are constituted for the adjudication of industrial disputes relaTED to any matter specified in the second schedule or the third schedule.

Rules of discipline. . Retrenchment of workmen and closure of establishment . profit-sharing. Shift working otherwise than in accordance with standing orders. Compensatory and other allowances . Classification by grades . Bonus. provident fund and gratuity. Rationalization. Hours of work and rest intervals . Leave with wages and holidays .Adjudication (with the help of Courts) Tribunals THE THIRD SCHEDULE Wages including the period and mode of payment . Any other matter that may be prescribed.

appoint two persons as assessors to advise the national tribunal in the proceeding before it. or has been a judge of High Court. or He has been a district judge or an additional district judge for a period of not less than three years. if it so thinks fit. The reference to national tribunal can be made only by the central government. The central government may. . NATIONAL TRIBUNAL A national tribunal can be constituted only for the adjudication of industrial disputes involving questions of national importance or industrial disputes affecting industrial establishments situated in more one State. The national tribunal shall consist of one person only to be appointed as its presiding officer of the national tribunal unless he is or has been a judge of the high court.Adjudication (with the help of Courts) Tribunals Presiding Officer and his qualifications He is.

. and A period of twenty-one days from the date of notice must have expired.NOTICES THE object of section 9-A is to prohibit an employer from making any change in the conditions of service applicable to his workmen in respect of any matter specified in the fourth schedule unless he complied with the following conditionsA notice in prescribed manner of the nature of the change proposed to be effected must be given to the workmen likely to be affected by such change.

Such persons may be presiding officers of labour court. the reference should be made before the dispute had been referred under section 10 labour court . tribunal or national tribunal. the names of the person or persons to act as arbitrator or arbitrators must be specified IN the agreement. The will enter upon the reference. The award umpire shall be regarded as the arbitration award. The object of this section is to enable employers and employees to refer their dispute voluntarily to arbitration. if the arbitrators are equally divided in their· opinion. or tribunal or national tribunal . The essential require before a dispute can be referred to arbitration. If the arbitration agreement provides for a reference of the dispute to an even number of arbitrator the agreement must in that case provide for the appointment of another person as umpire. are as under : There should be an existing or apprehend industrial dispute the reference to arbitration should be by a written agreement.Arbitration (With the help of third Voluntary reference of disputes to Arbitration parties) Section 10-A authorises the employer and his workmen to refer the dispute to arbitration at time before the dispute has been referred under section 10. .

within six weeks before striking. (b) within fourteen days of such notice . c) before the expiry of the date of strike specified in such notice (d) during the pendency of conciliation proceedings before a conciliation officer and seven days thereafter. According to section 22(1) a person employed in a public utility service is prohibited from going on strike in breach of contract(a) without giving notice to the employer in the manner prescribed. .STRIKES AND LOCK-OUTS Prohibition of strikes and lock-outs [Section 22] Section 22 of the Act lays down restrictions on the right of strike and lock-out in public utility services.it follows there from that the strike can take place only during the last four weeks of the six weeks mentioned in the preceding clause .

It means lock-out can take place only during the last four weeks of the period of six weeks mentioned in the preceding clause .STRIKES AND LOCK-OUTS Prohibition of strikes and lock-outs [Section 22] Section 22(2) prohibits an employer carrying on any public utility service from declaring lock-out-(1) without giving to the workmen notice of lock-out in the prescribed manner within six weeks before locking-out. before the expiry of the date of lock-out specified in such notice. and any lock -out in pursuance of such a notice must take place within that period . within fourteen days of such notice. during the pendency of any conciliation proceedings before a conciliation officer and seven days thereafter. It means notice is effective only for six weeks. .

national tribunal or arbitator [where a notification has been issued under Section 10-A (3-A] and two months after the conclusion of such proceedings.STRIKES AND LOCK-OUTS General prohibition of strikes or lock-outs [Section 23] This section provides for a general prohibition against strikes and lockouts in all industrial establishments including public utility services in the following circumstances: during the pendency of proceedings before a board of conciliation and seven days after the conclusion of the proceedings. . during the period of operation of a settlement or award in respect of any of the matters covered by the settlement or award. tribunal. in breach of contract. during the pendency of proceedings before a labour court.

. In public utility services there can be no strike or lock-out without notice or prescribed period. there can be no strike or lock-out if any conciliation proceedings are pending before a conciliation officer. there can be strike or lock-out without notice. But in industrial establishments other than public utility services.STRIKES AND LOCK-OUTS Section 22 and 23 compared : The provisions of section 22 are applicable only to public utility services while the provisions of section 23 are general in character and are applicable to both public utility services as well as non public utility services. In section 23 during the pendency of any conciliation proceedings before a conciliation officer. strike or lock-out can be resorted to while in section 22 dealing with the public utility services.

because the workers enjoy a fundamental right to go on strike.ILLEGAL STRIKES AND LOCK-OUTS Section 24 lays down the circumstances when a strike or lock-out shall be considered to be legal or illegal. or continued in contravention of an order made under section 10-A (AWARD) Every strike in India is not illegal. or (3) continued in contravention of an order under section 10 (3) . They become illegal only when they fall within the mischief of section 24 of the Act. or commenced or declared in contravention of section 23 in any industrial establishment. . A strike or lock-out shall be illegal if it iscommenced or declared in contravention of section 22 in a public utility service.

ILLEGAL STRIKES AND LOCK-OUTS Effect of illegal strike: Where the strike is illegal. In order to entitle the workman to wages for the period of strike. AIR 1978 Sc. the strike should be legal as well as justified. 1489] . v. the workmen cannot claim wages for the period during which an illegal strike continues. The use of force of violence resorted to by the workmen during strike disentitles them to wages for the strike period (M/S Crompton Greaves Ltd. The Workmen.

Similarly where the strike is justified and the lock-out is unjustified the workmen would be entitled to the entire wages for the period of strike or lock-out. v Maha Laxmi Cotton Mills Workers Union 4 FIR 248J Where strike is unjustified and lock-out is justified. the strike must be held illegal irrespective of whether it was provoked by the employer. In such a case workmen are not entitled to any pay for the period of the strike [Maha Laxmi Cotton Mills Ltd.ILLEGAL STRIKES AND LOCK-OUTS Where strike is commenced without giving notice as required under section 23 or within 7 days of the conclusion of the conciliation proceedings. . the workmen would not be entitled to any wages at all.

In case of illegal lock-out the employer shall be punishable with imprisonment which may extend to one month or with fine which may extend to rupees one thousand or with both. . Penalty for illegal strikes or lock-outs [Section 26] In such a case the workman shall be punishable with imprisonment which may extend to one month or with fine which may extend to rupees fifty or with both.ILLEGAL STRIKES AND LOCK-OUTS Prohibition of financial aid to illegal strikes and lock-outs [Section 25] Section 25 prohibits any person from knowingly expending or applying any money in direct furtherance or support of any illegal strike or lock-out.

Penalty for giving financial aid to illegal strikes or lock-outs [Section 28] imprisonment which may extend to six months or with fine which may extend to one thousand rupees or with both.ILLEGAL STRIKES AND LOCK-OUTS Penalty for instigation [Section 27] The punishment in such cases is imprisonment for a term which may extend to six months or with fine which may extend to one thousand rupees or with both. .

LAY-OFF AND RETRENCHMENT The provisions of Chapter V-A of the Industrial Disputes Act. three types of industrial establishments have been exempted (a) Industrial establishments in which less than fifty workmen on an average per working day are employed in the preceding calendar month . 1947. . relating to lay-off and retrenchment compensation do not apply to all industrial establishments. or (c) industrial establishments to which Chapter V-B applies (inserted by the Industrial Disputes Amendment Act 1976). or (b) industrial establishments which are of a seasonal character or work only intermittently.

(iii) an accident . . (ii) authorised leave . and (vi) a cessation of work that is not due to any fault on the part of the workman. (iv) a strike which is not illegal .B defines what amounts to one year of continuous service. Section 25.LAY-OFF AND RETRENCHMENT Definition of continuous service [Section 25-b] The right to compensation under the Act accrues to a workman only if he has put in 'one year of continuous service'. Continuous service for any period means uninterrupted service for that period and interrupted service on account of any of the following reasons : (i) sickness. (v) a lock-out.

LAY-OFF AND RETRENCHMENT Right of workmen laid-off for compensation [Section 25-C] This section recognizes the right of workmen to get compensation when laid-off. It also lays down the method in which compensation has to be calculated. and (3) He has completed one year of continuous service. (2) His name is on the muster roll of the establishment. . Before a workman may claim lay-off compensation he must fulfill the following conditions. (1) He is not a badli or casual workman. If the above requirements are fulfilled. a workman whether laid off continuously or intermittently shall be paid compensation.

. Even if lay-off exceeds 45 days during any period of twelve months no compensation is required to be paid for the excess period if there is an agreement to that effect between the workman and the employer. Compensation can normally be claimed for not more than 45 days during any period of twelve months.LAY-OFF AND RETRENCHMENT A workman is entitled to lay-off compensation at the rate equal to 50% of the total of the basic wage and dearness allowance for the period of his layoff except for weekly holidays which may intervene.

or (ii) to retrench the workman. the employer bas two alternatives before him. the employer is enabled to adjust the amount of lay-off compensation paid during the preceding 12 months against retrenchment compensation payable under section 25-F. In case of such retrenchment.LAY-OFF AND RETRENCHMENT If the period of lay-off exceeds forty-five days. (i) to go on paying lay-off compensation for such subsequent periods. .

The period of detention of workmen if stoppage occurs during working hours should not exceed two hours after the commencement of the stoppage. .LAY-OFF AND RETRENCHMENT Duties of employer in connection with a lay-off THE EMPLOYER MUST MAINTAIN A MUSTER ROLL OF WORKMEN The lay-off must be for the reasons specified in section 2(KKK). The compensation for lay-off must be at the rate and for the period specified in section 25-C of the Industrial Disputes Act.

. and in the opinion of the employer the alternative employment does not call for any special skill or previous experience and can be done by the workman: it carries the same wages which would normally have been paid to the workman in his original employment. ● ● ● absence from the establishment at the appointed time – strike or go slow in one part of the establishment-where lay-off is the consequence of strike or slowing down of production by the workers in another part of the establishment. or in any other establishment belonging to the same employer situated in the town or village within a radius of five miles from the establishment to which he belongs.LAY-OFF AND RETRENCHMENT Workmen not entitled to compensation in certain cases [Section 25-F] Refusal to accept alternative employment: If a laid off workman refuses to accept alternative employment provided that such alternative employment is : ● in the same establishment from which he has been laid-off.

and notice in the prescribed manner must be served on the appropriate government or on such authority as may be specified by it. the workman has been paid at the time of retrenchment compensation equivalent to fifteen days average pay for every completed year of continuous service or any part thereof.LAY-OFF AND RETRENCHMENT Conditions precedent to retrenchment of workmen [Section 25-F] One month's notice must be given to the workmen proposed to be retrenched. provided it exceeds six months . It is clear that the requirement of serving a notice or paying wages in lieu thereof is mandatory. Section 25-F is not applicable to a closed or dead industry. .

LAY-OFF AND RETRENCHMENT Conditions precedent to retrenchment of workmen [Section 25-F] One month's notice must be given to the workmen proposed to be retrenched. the workman has been paid at the time of retrenchment compensation equivalent to fifteen days average pay for every completed year of continuous service or any part thereof. . and notice in the prescribed manner must be served on the appropriate government or on such authority as may be specified by it. It is clear that the requirement of serving a notice or paying wages in lieu thereof is mandatory. provided it exceeds six months . Section 25-F is not applicable to a closed or dead industry.

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