H19153 Prateek Singh

H19159 Rudra Mandal

H19165 Shivam Chandra
Employee Relations
Law : Law of Industrial H19171 Somesh Tiwari
Relations H19177 Tanmoy Ayon Nandi

Case – Merchants of Menace : H19124 Akash Shrivastava

The Maruti Manesar H19130 Aravind N
H19142 Kirtan Ramesh Doshi
Group - 4
H19136 Deepankar Pareek
  MSIL in its Manesar factory had a total of 2,500 workmen, out of
which 1,100 were permanent employees and the rest 1,400 were
contract, apprentices and trainees.
 An unskilled contract worker was paid INR 5,500 a month, and a
skilled contract worker (with an ITI diploma) INR 7,000 whereas
permanent workers were paid close to INR18,000 per month.
 The benefits provided to a permanent employee included medical
benefits, bus service, and paid leave, but not to contract workers,
although the nature of work was same
Background facts  Management backed Maruti Udyog Kamgar Union(MUKU) in both

for Manesar Plant

Gurgaon and Manesar Plant, and workers wanted to establish their
own independent Maruti Suzuki Employees Union(MSEU)
 The MSIL management alleged that Union demands included an
increased salary, monthly conveyance of INR 10,000/-, laundry
allowance of INR 3,000/, and gift for every new launch, housing
allowance, paid vacation for seven weeks and 40 days for sick and
casual leave.
 The workers complained heavy handed approach by the
management, inadequate facilities and very strict policies and fines
imposed on the worked.
 Timeline of Incidents
In the year, 2000 All workers at Manesar After the incident over 147
employees of MSIL went stopped production in MSIL Manesar workers
on an indefinite strike wage protest on 4 June, and began were arrested in August
rise and incentive and a sit-down strike in the 2012, with around a total of
pension. This tussle facility. On 5 June MSIL 500 workers accused of
between the union and terminated all of the 11 participating in the
management continued on workers whose names were violence.
till 2012 on the union registration
document

June 3rd 2012, 11 leaders of On July 18th 2012, a strike

the workers met the Labour took an ugly turn and led to
Dept. officer for the death of the HR
registration of the Maruti Manager, injuries to many
Employee Suzuki Union employees and led to the
(MESU) at Chandigarh arrests of workers.
Labour Department office.
 According to the Article 19(1)(c) of the Indian constitutions, all citizens have
the right to form unions or associations. The Industrial Disputes Act, 1947
provides for the following definition of the strike-

Sec 2(q) strike" means a cessation of work by a body of persons employed in

any industry acting in combination or a concerted refusal, or a refusal under a

Legal VS common understanding, of any number of persons who are or have been so
employed to continue to work or to accept employment;

Illegal Strikes
As per the Section 24(1) of the ID Act, 1947

• A strike or a lock-out shall be illegal if-

• it is commenced or declared in contravention of section 22 or section 23; or
• it is continued in contravention of an order made under sub-section (3) of section 10 [or
subsection (4A) of Section 10A]
• Section 26 of the ID Act talks about the penalty for illegal strike
Justified vs Unjustified Strike

SERVICE CONDITIONS NATURE OF THE CAUSES OF THE URGENCY OF THE

OF THE WORKMEN DEMANDS STRIKE CAUSES OR THE
DEMANDS
 Legal Illegal

Justified
Payment of wages to
Cannot exist
worker*
Prohibited by the Attracts penalty in
government, the strike accordance with Sec.
Unjustified

will become illegal (26) of ID Act

after the orders
 ID ACT
• Section 22
• Section 23
• Section 10A
Statutory • Central Rule 71
Central Rule 74
Sections of •

Strikes CPC Section 144

Standing Order Act

ESI
 Procedure for Strikes

Section 22 and 23 Check For Legality, Concerned Authority Standing Order

Justifiability
Notice Of Strike to the employer not Payment of Wages according to Legality, Form L given to the employer for the Check if the Strike is in accordance to
before 6 months of commencement(PUS) Justifiability ( both should pe present) strike standing order
Commencement of Strike not before 14 Notice to Employee if illegal strike On receipt of notice of strike from the
days of notice(PUS) Disciplinary action against illegal inquiry employees, intimate the conciliation
Not during pendency of conciliation or officer through Form N
before 7 days of conclusion
Not during arbitration proceeding or 2
months after conclusion
Not during adjudication by LC,IT,NT or 2
months after conclusion
Strikes Handling
 Illegal Strike
 Notice of violation on notice board of firm
informing illegality and consequences of
participation in strike (punishable for 1 month
and fine)
 Copy to worker address
 Copy to Labour Authorities
 Legal Strike
 Injunction obtained for restricting worker
gathering near front gate under CPC
 Lockout in case of long strikes and notice to
workers of the same
 Ensure ESI authority confidence and watch for
undue worker advantage
THANK YOU