MAHARASHTRA NATIONAL LAW UNIVERSITY,

AURANGABAD.

VOLUNTARY ARBITRATION Vis-a-Vis INDUSTRIAL

RELATIONS

SUBJECT: - LABOUR AND INDUSTRIAL LAW - I

SUBMITTED BY:

BODHIRATAN BARTHE

ROLL NO: 17/BALLB/03

Semester VIII

UNDER THE GUIDANCE OF:

Ms. PRIYA GONDHALEKAR

&

MS. TEJAL VAKIL

 VOLUNTARY ARBITRATION Vis-a-Vis INDUSTRIAL RELATIONS

ABSTRACT
It may be safely asserted that one of the fundamental prerequisites for economic advancement in any State,
whatever be its ideological preferences or commitments, is industrial harmony; that is, ‘peace’ on the
industrial front and absence of ‘strife’. Any industry in any region where industrial strife is absent would
be the cynosure of the community. Alas, taking into account the competing interests of the industrial
employers and their work- force, any pragmatic person would conclude that industrial disputes cannot be
wished away. Therefore, any Government in power must ensure to pre- empts industrial disputes and
endeavor to evolve appropriate mechanisms to resolve them whenever they occur or, are apprehended. This
fundamental obligation of the Government assumes greater significance in the era of Liberalization,
Privatization and Globalization “characterized by de-licensing, de-regulation and de-control in order to
make [our economy] competitive. And to integrate the same with global economy”1
The disputants would be aware of the causes for the industrial dispute that has surfaced. They alone can
ensure the resolution of their dispute expeditiously. Of course, they can opt for Collective Bargaining to
thrash out their differences. If the Collective Bargaining Process fails, they can seek the assistance of
Conciliation Service. However, the drawbacks that are inherent in the Conciliation Machinery
contemplated under the Act, namely, the non-availability of Conciliation Officers possessing the requisite
attributes, lack of faith on the part of the parties in the system of Conciliation under the Act and the feeling
that “Conciliation is a hurdle to be crossed to have the dispute referred to adjudication” and the inter- union
rivalries, may prompt us to consider whether the system of Voluntary Arbitration would provide a more
efficacious machinery for the resolution of the industrial disputes2.

1
shodhganga.inflibnet.ac.in/bitstream/10603/95138/15/15_chapter%207.pdf
2
shodhganga.inflibnet.ac.in/bitstream/10603/95138/15/15_chapter%207.pdf

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TABLE OF CONTENTS

INTRODUCTION………………………………..…………………………………………………….…04

THE ARBITRATION AND CONCILIATION (AMENDMENT) ORDINANCE, 2015…..................…05

What is Arbitration……………………………………………………………………………..................06

Aim and Object of an Arbitration.

Fundamental feature of an Arbitration

Concept of Arbitration

Statutory recognition by India

ILO- INTE5RNATIONAL LABOR ORGANISATION…………………………………………....……07

Comparative study with UK………………………………………………………………………………08

Comparative study with US………………………………………………………………….…..………..08

THE ROLE OF ARBITRATION IN INDUSTRIAL DISPUTES- Section 10A…….………..….………09

Reference of Dispute to the Arbitration under Industrial Disputes………….………………………....…10

ADVANTAGES AND DISADVANTAGES OF ARBITRATION.................................................…......13

Challenge to arbitrator…………………………………………………………………………………….14

CONCLUSION ………………………………………………………………………………..…………15

FINDINGS…………………………………………………………………………………………..……15

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INTRODUCTION:

Industrial dispute act 1947 provides various methods to resolve dispute voluntarily, it may be without the
intervention of the state by Collective bargaining and is without conciliation or by voluntary arbitration.
Section 10A of Industrial Disputes (amendment) act 1956 an agreement refer to an industrial disputes.3
to an Arbitrator under this section is not settlement of disputes laid down in section 2(p) of ID act4. Because
the disputes subsists even after the agreement. Industrial disputes may be in controversy with the respect
to working condition, employment matters, wages or union recognition etc. Industrial Disputes should be
in existence or apprehended between the Employer- Employer, Employer –Employee, or Employee-
Employee and such disputes must be related to the work and such a dispute should be raised by a group or
a class of worker

STATEMENT OF PROBLEM
The main purpose of this study is to know more about the relevance of various rules, principle and concepts
of voluntary arbitration under industrial dispute resolution and to give purpose of the settlement. To reach
at this conclusion various case laws has been discussed to understand better about the working and the
thought process of the courts so as to make the concept survive harmoniously.

HYPOTHESIS
With the help of case laws and theories the usefulness and effectiveness of concept voluntary arbitration
has been discussed in order to see the perspectives of USA and UK on the same.

RESEARCH OBJECTIVES
Following are the research objectives:
 To briefly understand the concept voluntary arbitration.
 To understand the legalities and application of industrial dispute act.
 To discuss legal aspect of voluntary arbitration.
RESEARCH QUESTIONS
Following are the research questions:
 What is the procedure for voluntary arbitration and its advantage and dis advantage?
 What is the relevance of voluntary arbitration in industrial dispute act?

3
https://www.lawyersclubindia.com/articles/Arbitration-as-a-method-of-Industrial-Dispute-Resolution-5769.asp

4
Industrial Disputes Act, 1947

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LITERATURE REVIEW
For the purpose of making this research project various case laws, statutes, articles referred in order to
gathering information related to the topic one such article O.P. Malhotra, The Law of industrial Disputes.
(1981) and S.C. Srivastava, "Voluntary Labour Arbitration: Law and Policy", which gave immense
information to understand this topic thoroughly.

RESEARCH METHODOLOGY
The methodology in order to complete this paper is based on doctrinal method. Thorough research has been
done upon secondary data in order to complete the paper.

THE ARBITRATION AND CONCILIATION (AMENDMENT) ORDINANCE, 2015

The President promulgated the Arbitration and Conciliation (Amendment) Ordinance, 2015 on October
23, 2015. The Ordinance amends the Arbitration and Conciliation Act, 19965

The Ordinance amends this provision to specify that if the Court passes such an interim order before the
commencement of arbitral proceedings, the proceedings must commence within 90 days from the making
of the order, or within a time specified by the Court. Further, the Court must not accept such an application,
unless it thinks that the arbitral tribunal will not be able to provide a similar remedy6.

Time period for arbitral awards: The Ordinance introduces a provision that requires an arbitral tribunal to
make its award within 12 months. This may be extended by a six month period.7

5
https://www.prsindia.org/billtrack/the-arbitration-and-conciliation-amendment-ordinance-2015-4042
6
https://www.prsindia.org/billtrack/the-arbitration-and-conciliation-amendment-ordinance-2015-4042
7
https://www.prsindia.org/billtrack/the-arbitration-and-conciliation-amendment-ordinance-2015-4042

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What is Arbitration?

Section 2 of an Arbitration and Conciliation Act 1996 defines any arbitration whether or not administered
by permanent institution with an Arbitration agreement ant its clause8, Award may also be a foreign Award
as mentioned in Geneva and new York convention, means interim award and tribunal means a sole or an
panel of Arbitrator with its jurisdiction party means party to the Arbitration.

Aim and Object of an Arbitration:

Arbitration is an Voluntary Procedure referred for settlement of disputes between the parties and to obtain
the fair resolution of disputes by an impartial and a Neutral Tribunal without unnecessary delay or
expenses .

Fundamental feature of an Arbitration

 An alternative to the National court

 A private Mechanism for the dispute resolution
 Selected and controlled by the parties here the parties are called as Party Autonomy
 Final and binding determination of the parties right and obligation

Concept of Arbitration

For the settlement of the conflict, arbitration is an old age practice in India. Panchayat system is based on
this concept. In 1958 it was incorporated in the code of Industry discipline. In 1962 in Indian Labour
conference it was decided that the Arbitration would be preferred after conciliation under the adjudication
, The Government of india setup Nation Arbitration Board , In 1956 , it was decided that Voluntary
Arbitration would be included finally in 1957, section 10A was inserted which was enforced from March
1957.9

Statutory recognition by India:

The first statutory recognition was given to domestic Arbitration in India by Indian Arbitration Act 1940,
it purpose was to consolidate and amend the law relating to Arbitration. The statutes dealing with
international Commercial Arbitration were the Arbitration act 1937 and Foreign Award Act 1961–Geneva

8
Section 2 of Arbitration and Conciliation Act,1996
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and New York convention. The UNCITRAL Model Law on international Commercial Arbitration the
Arbitration and conciliation act 1996 seek amendment which was amended latest10.

International Labour Organization –convention and recommendation

 Voluntary Conciliation and Arbitration Recommendation, 1951 (No. 92)

Recommendation concerning Voluntary Conciliation and Arbitration Adoption: Geneva, 34th ILC session
(29 Jun 1951) - Status: Request for information.

 General Conference of the International Labour Organisation

Having been convened at Geneva by the Governing Body of the International Labour Office, and having
met in its 34th Session on 6 June 1951, and Having decided upon the adoption of certain proposals with
regard to voluntary conciliation and arbitration, which is included in the fifth item on the agenda of the
session, and Having determined that these proposals shall take the form of a Recommendation designed to
be implemented by the parties concerned or by the public authorities as may be appropriate under national
conditions adopts the following Recommendation, which may be cited as the Voluntary Conciliation and
Arbitration Recommendation11, 1951(Voluntary arbitration).12

If a dispute has been submitted to arbitration for final settlement with the consent of all parties concerned,
the latter should be encouraged to abstain from strikes and lockouts while the arbitration is in progress and
to accept the arbitration award.13

General provision

 Provision of this Recommendation may be interpreted as limiting, in any way whatsoever, the right
to strike.

Collective Bargaining Convention, 1981 (No. 154)

Article 6.

The provisions of this Convention do not preclude the operation of industrial relations systems in which
collective bargaining takes place within the framework of conciliation and/or arbitration machinery or

10
https://www.lawyersclubindia.com/articles/Arbitration-as-a-method-of-Industrial-Dispute-Resolution-
5769.asp
11
www.ilo.org/ilolex/cgi-lex/convde.pl?R092
12
International Labour Legislation. Clark, N.J.: Lawbook Exchange, 2005. ISBN 1-58477-461-4
13
https://slidelegend.com/545-collective-bargaining-ilo_5ae2ef657f8b9a99498b459e.html

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institutions, in which machinery or institutions the parties to the collective bargaining process voluntarily
participate14. With respect to the public sector, the Labour Relations (Public Service) Convention,
1978(No. 151) provides that the settlement of disputes over the terms and conditions of employment is to
be sought “through independent and impartial machinery, such as mediation, conciliation and arbitration,
established in such a manner as to ensure the dispute resolution15.

Comparative With UK

The general assembly of the United Nations adopted the United Nations Commission on International
Trade Law (UNCITRAL) Model Law on 21 June, 1985 (with amendments as adopted on 7 July, 2006) at
the end of eighteenth session of the commission. Both the Indian Arbitration and Conciliation Act, 1996
and the UK Arbitration Act, 1996 are based on the UNCITRAL Model Law16.

Schemes

 Part I of the Indian statute is extremely comprehensive and contains extensive provisions based on
the Model Law. Part I of the act was applicable to International Commercial Arbitration held outside
India.
 Part II of the Indian statute concentrates on International Commercial Arbitration, foreign awards
and their enforcement governed by the Convention on the Recognition and Enforcement of Foreign
Arbitral Awards or the Convention on the Execution of Foreign Arbitral Awards (New York and
Geneva conventions).
 Part III in the Indian act governs Conciliation and procedures for conducting due conciliation
proceedings.
 Part IV of both the countries acts provide for general provisions.

Comparative study with US

USA As there is no separate institutional mechanism for termination of employment procedures, there is
no special judicial or quasi-judicial body which could deal with dismissal claims in particular. Rather,
different avenues for redress of dismissal claims are dependent on the applicable statutory provisions and
on the route which the employee has taken in order to pursue such claims. For example, under the National

14
www.ilo.org/ilolex/cgi-lex/convde.pl?R092
15
www.ilo.org/ilolex/cgi-lex/convde.pl?R092
16
www.lawctopus.com/academike/arbitration-india-uk-comparative-study/

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Labour Relations Act, employees may pursue their claims under special appeal procedures set up under
this Statute.17

THE ROLE OF ARBITRATION IN INDUSTRIAL DISPUTES ACT

The Arbitration plays a very vital role to solve the disputes amicably between the employer and the
employees or the parties to the dispute by mutual Arbitral agreement with equal liberty to negotiation and
the Award is a final reward in the procedure of Arbitration .Section 10A18 This section 10A has 5 sub
section and this section states that where any Industrial disputes exist or apprehended and the employer
and the workmen agree to refer the dispute to the Arbitration , may at any time before the dispute has been
referred under section 10 to a labour court or tribunal or National Tribunal , by a written agreement , refer
the dispute to the Arbitration and the reference shall be to such person or persons19 as an arbitration as may
be specified in the Arbitration Agreement.20

 Legislative changes

This section has been newly inserted in the principal Act by Industrial Disputes (Amendment and
Miscellaneous) Act 1956

 It has been amended in the year 1964 as follows

a) sub section 1-A, 3-A, 4 –A have been inserted
b) In sub section 3 the world ‘one month ‘ are substituted for 14 days

 State Amendments

1. Andhra pradesh after sec 10A, 10B is inserted in AP ACT NO 32 OF 1987

2. Karnataka Act no.5 OF 1988

3. Kerela Act no 30 of 1979

17
www.eximbankindia.in/sites/default/files/Full%20OP/op160.pdf
18
Reference of Dispute to the Arbitration under Industrial Disputes Act 1947
19
legislative.gov.in/sites/default/files/A1947-14.pdf
20
S.C. Srivastava, "Voluntary Labour Arbitration: Law and Policy", 23, JILI 349, (1981)

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4. Maharashtra made changes in subsection I in vide Maharashtra Act no 1of 1972

5. Rajasthan has inserted many sections 10 b, c, d, e, f, g, h, I, j, k vide Rajasthan Act No.14 of 1970

6. Tamil Nadu after section 10A 10 B has been inserted ,

power to issue order regarding terms and condition of service pending settlement of dispute to secure
public safety and maintain public order of supplies and service essential to life to maintain employment or
industrial peace which has been referred provided no order made under the sub section which will be less
favourable to the workmen and those which are applicable to them at the time which is three months
industrial proceedings the date of order for the purpose of public utility service.21

WE WILL HAVE AN DETIALED OUTLOOK OF SECTION 10A OF THE ID ACT

SECTION 10 A

SUB SECTION (1) deals with the Industrial disputes exist apprehended and the employers and the work
men agreed to refer the dispute to the Arbitration, section 10A was inserted by section 8 of ID Act 1966.

1. The dispute should be existing or apprehended in an industry

2. The agreement of arbitration should be in writing.
3. The reference should have been made before the dispute referred under section 10 to labour
court, tribunals or National tribunals.
4. The number arbitrator or arbitrators should have been mentioned in the agreement as such person
becomes he presiding officer to the labour court, tribunals or National tribunals22.

Procedure before arbitrator or the arbitrators can follow his own procedure however the rules of natural
justice as section 11 of ID act shall follow such procedure as he may think fit has been In K P Singh v.
Gokhale23

In Gujarat street tubes ltd v. Gujarat steel Mazdoor sabha Court observed that section 11 of the act
prescribed the procedure and practices to be followed by an conciliation officer etc. but leaves the arbitrator
to follow his own procedure24.

Also this law correctly stated by another division bench of the MP High Court in Aftab- Jadid E-, Urdu
Daily v. Bhopal Shramjivi Patvakar Sangh.25

21
O.P. Malhothra, The Law of industrial Disputes. (1981) (Tripathi)
22
Industrial Disputes Act, 1947
23
K.p singh v. gokhale (1970) 1 llj 125 , 120 A (MP0 (DB)
24
gujurat street tubes ltd v. gujurat steel mazdoor sabha (1980) 1 llj 137(SC) .per Krishna iyer J
25
Aftab-E-Jadid, Urdu Daily v. Bhopal Shramjivi Patvakar Sangh . (1985) ILLJ 272 MP

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Umpire sub section 10 A-1

There is a provision for the appointment of an arbitrator in case of an even number of arbitrators by insertion
on section A . The Award of the umpire shall prevail in such a conflict shall be deemed to be an Arbitration
Award for the purpose of this act26

Arbitration Agreement – sub section 2 as may be prescribed

It states about the arbitration agreement which is to be signed by the parties it is sufficient if the requirement
of that the rule and form are substantially complied with in an Arbitration Agreement – should be in FORM
C the state government has prescribed their own rule4

Publication of Arbitration agreement - sub section 3

The parties should forward a copy of arbitration agreement to the appropriate Government at the
conciliation officer and then within one month from the receipt of copy appropriate Government shall
public the agreement in the official gazette.27 in North Orissa Workers Union v.State Of Orissa And Ors.28

The Noncompliance of the mandatory requirement of this provision would render the award itself invalid
observed in a landmark case Moorco Ltd v. Government Tamil Nadu Lab.29 the legislature has used the
imperative ward shall all the confusion was settled by the SC pronouncement in. Karnal Leather
Karamchari Sangatham v. Liberty Footwear co. stating that the arbitration agreement must be published
before the arbitrator considers the merits of the dispute and noncompliance of this requirement would be
fatal to the arbitral award30.

Employees and the workmen who are not the parties sub section (3A) of this Act was introduced by ID
amendment act 1964- states that the employers and workmen who are not the parties may be given a notice
to present their case before the arbitration within a period of one month notification is issued, such
notification under section 10A (4A) prohibiting the continuance of any strike lock out which exist on the
date of reference connected with the dispute in the land mark judgment the court held that the requirement
of this provision have not been completed with, will be rendered invalid in another case31

26
https://www.lawyersclubindia.com/articles/Arbitration-as-a-method-of-Industrial-Dispute-Resolution-
5769.asp
27
https://www.lawyersclubindia.com/articles/Arbitration-as-a-method-of-Industrial-Dispute-Resolution-
5769.asp
28
North Orissa Workers' Union vs State Of Orissa And Ors. (1971) IILLJ 199
29
Moorco Ltd V Government Tamil Nadu (2000) IIILLJ 247
30
Karnal Leather Karamchari sangatham v. Liberty Footwear co. 1990 AIR 247, 1989 SCR (3)1065

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Award of the Arbitrator

After the investigation, adjudicate upon the industrial dispute referred to the arbitrator under the arbitration
agreement and to submit the award signed by him. This award is should be published like any other award
under the act by appropriate Government within a period of 30 days from the receipt

section 17 award is final after being published under section 17(2) if itis not published as referred it will
be of being enforced as postulated by section 17 (A) of has no force of law section 17 makes an enforceable
on the expiry of 30 days from date of publication

Section 18 (2) Makes can arbitration award which has become enforceable and binding on parties

Section 18 (3) Makes the arbitration award in case of where the notification has been issued Sub section
3A of U/S 10A become enforced and binding on all parties to the dispute section

Section 19(3) The arbitral award remain in operation for a periods of one year from the date on which if
become enforce able its government wish to reduce extend the period

Section 19(6) Awards passed under sector 19(3) further continues to be binding on the parties even after
the expiry of its period of operation period of two month as lapsed from the date on which either of the
parties intimate its intention to the other to terminate the award

Section 20 Commencement proceeding of before an arbitrate under 10A on date of reference for arbitration
to conclude on the date when the award becomes enforceable

Section 21 Keeps certain matter confidential by arbitrator

Section 29 Makes breach of a term of an award is a penal offence

Section 30 Penalty in cases of unlawful disclosure of information requirement to be kept conferential

Section 33C Recovery of money or computation of any benefit capable of being computed in term of money
due of award from employer.32

Jurisdiction of an Arbitration

States of the arbitrator does not have the status of statutory arbitrator though there is similarity between the
two so he cannot given an order on the award passed by him as he lacks fundamental inherent judicial
power vested by the state in a court. The arbitrator should settle the dispute and is well expected to do
substantial justice between parties in giving the award the reference of the industrial dispute to an arbitrator

32
Industrial dispute act 1947

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U/S 10A is more Ad. Hoc arrangement the difference from private arbitration is the agreement made to
dispute is published by government his official Gazette The proceeding before him is Quasi-judicial is
character, the award is rendered to he becomes factious officio then he can’t interfere for the further
proceeding which is judicial in nature33

In a land mark case

Kerala SRTC v. A K Unjukrishna Pillai 1976 Lab I C 541, 543 (ker) per J. Bhaskaran34

The arbitrator will not proceed with the arbitration if the dispute referred to him is not industrial dispute
has no jurisdiction

Sub Sec (4) of S 10 Nor Sub S (1) like Sub S 1 (D) of S. 10 The arbitrator has strictly adjudicate upon the
dispute referred to him by agreement of parties of it court go into the matters connected with relevant
indeciduate dispute the general principal regarding validity of such arbitrator as mentioned in arbitration
Act 1940 award only would apply. If the misconduct of a part of arbitrator or where he exceeds this
jurisdiction never hears the parties or fails to determine important question referred to be an severed the
answered . The Award will be amenable to judicial review under Art 226 of the Indian constitutional in a
Supreme Court decision35

The Award will be amenable to judicial review under Art 226 of the Indian constitutional in a Supreme
Court decision in Management of National projects construction corporation Ltd v. Workmen36 Observed
The award of an arbitration U/S this Quasi-Judicial Section 16 (2) requires a labour court Tribunal national
tribunal is that their awards shall be shall be signed by its presiding official in another land mark case it is
stated that the award of an industrial arbitrator is unable to Judicial review in Rohtas industries the supreme
court observed :An award under section 10 A is not only untenable but more sensitively susceptible to the
writ lancet being a Quasi statutory body’s decision37

A single judge a madras high court took the view that a person appointed to arbitrator upon an industrial
dispute under section 10A the will be merely private arbitrator. Since such an arbitrator will not be

33
Labour Practices in India. (Eastern Book Company),
34
Kerala SRTC -VS- A K Unjukrishna Pillai 1976 Lab I C 541, 543 (ker) per J. Bhaskaran
35
National Commission on Labour (1969), Chapters 22 & 23.
36
Mangmt of National projects construction corporation Ltd –VS- Workmen (1978) I LLJ 86(CSC) per
Alagirism J
37
Rohtas industries Ltd –VS- works 1968 I LLJ 710,715=16 (pat) DB R1 1R 1967 Pat 224 putta J Sub-Section
(4) prohibition of continuance of strike and lock outs.

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governed by the provision of S.10A the exclusion of the arbitration act under sub S (5) will not apply to
such an arbitrator in below case38

For details refer see sec 10(3) which was discussed earlier in detail

Exclusion of the arbitration act: - Sub section (5)

Excludes the application of the provision of the arbitration act 1940 (2) to the award of an arbitrator under
sec 10(A).

The scheme of this Act does not contemplate a private arbitration outside the Act as method of resolving
an industrial dispute merely because the parties says that the matter will be left for informal arbitration, the
agreement cannot be stated to refer the dispute to an arbitration outside the preview of section 10(A) it was
held in a land mark judgment Hindustan National Glass v. Ganesh Kumar Agarwal39

ADVANTAGES AND DISADVANTAGES OF ARBITRATION:

Less expensive, faster and expeditors when compare to court, arbitration rules can be tailored, it is private
and confidential, one of the efficient dispute resolution machinery and Award is final outcome are its
Advantages. Legal fees have increased, it can also lead to delay, no temporary injunction, no appeal etc40

Challenge to arbitrator:

An arbitrator may be challenged only in two situations. First, if circumstances exists that give rise to
justifiable grounds as to his independence or impartiality; second, if he does not possess the qualifications
agreed to by the parties. A challenge is required to be made within 15 days of the petitioner becoming
aware of the constitution of the arbitral tribunal or of the circumstances furnishing grounds for challenge.41
Further, subject to the parties agreement, it is the arbitral tribunal (and not the court - unlike under the old
Act of 1940) which shall decide on the challenge.42

38
Estate staff union of south india commor labar 1970 LLJ 94
39
Hindustan National Glass v. Ganesh Kumar Agarwal
40
Labour Practices in India. (Eastern Book Company),
41
https://www.termpaperwarehouse.com/essay-on/Arbitration-In-India/331024
42
https://www.termpaperwarehouse.com/essay-on/Arbitration-In-India/331024

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If the challenge is not successful the tribunal shall continue with the arbitral proceedings and render the
award, which can be challenged by an aggrieved party at that stage. This is another significant departure
from the Model Law, which envisages recourse to a court of law in the event the arbitral tribunal rejects
the challenge.43

Conclusion.

While dealing with the voluntary arbitration one can conclusively say that there is a problem with ii as
similar to the general arbitration there are four elements which can hamper procedure of voluntary
arbitration

First of all there is huge lack of arbitrators and the arbitration proceedings also there is no appeal in this
dispute resolution mechanism

Secondly in most of the cases arbitration not taken seriously

Third the recognition of Trade union on the part of Employee is necessary perquisite for the success of
voluntary Arbitration

India in this contemporary situation needs an efficient arbitration act . There are some decisions which
aren't in tune with the letter or spirit of the Act. Hopefully, these would be addressed by the judiciary
within the near future and continuing popularity of arbitrations would be served by a very efficient
ADR mechanism

The philosophy of industrial disputes Act is seriously questioned today and productive resources
should be productively have to avoid and this solution would ensure Industrial peace.

Findings

In India there are some elements which affecting the adoption procedure of voluntary arbitration like that
of legal obstacles scarcity of Arbitrators who fails to win the trust of the parties. Cost to the parties presence
of complicated procedure, a major drawback of this is that there is no appeal against the competency of
arbitral award.

I can clearly say that if we remove some disadvantages from the procedure then this can become the best
way to resolve a dispute, which should be encouraged in a wider level by bringing certain amendments in
the act to rectify the disadvantages and to make it more effective.

43
https://www.termpaperwarehouse.com/essay-on/Arbitration-In-India/331024

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