INDUSTRIAL

DISPUTE ACT 1947

Authorities
 Overview
Necessity of settling the dispute the moment it arises or at its initial stages.

◦ Industrial Disputes Resolution Methods/Mechanism

Collective
Adjudication Negotiation Conciliation Arbitration
Bargaining
 3 fold process
Object: Investigation and settlement of Industrial Dispute

i. Voluntary Negotiation
ii. Mediation and Conciliation
iii. Arbitration and Adjudication
 Authorities
Section 3: Works Committee
(Negotiation)

Section 4: Conciliation Officers (Conciliation ) Section 5: Board of Conciliation

Section 6: Court of Inquiry

(Investigation)

Section 7: Labour Court

Adjudication Sec 10 Section 7A: Tribunal Arbitration Sec 10A
Section 7B: National Tribunal
 Section 3: Works Committee
i. Individual establishments in which 100 or more workmen are employed or have been employed
on any day in the preceding 12 months.
ii. Appropriate Govt. may by general or special order require the employer to constitute works
committee.
iii. Equal number of representatives of Employers and Workmen engaged in the
establishments.
iv. Objects: to remove causes of friction between the employer and employees in the day to day
working of the establishments and to secure Industrial harmony and to see amicable relationship
is prevalent in the establishment.
v. Function: Promote measures for securing and preserving amity and good relations beteen the
employer and workmen and to comment upon matters of their common interest or concern and
to endeavour to compose any material differences of opinion.
vi. Recommendary
vii. Method: Negotiation
Section 3: Works Committee
◦ Case Laws
Kemp and Co Ltd Vs Their Workmen
Held: Works Committee has been provided to look after the welfare and interest of the
workmen. Works Committee is concerned with problems arising in day to day working of the
establishment and to ascertain the grievances of the employees and to arrive at some
agreement when the occasion so arises.
It endeavours to seek amicable settlement.
 Section 4: Conciliation Officers
i. Appropriate Govt. by notification in the Official Gazette appoint Conciliation Officers.
ii. Method: Mediation.
(Mediation: 3rd party attempts to secure settlement of labour disputes by persuading the parties to
continue negotiation or to consider procedural or substantive recommendation that the mediator
may make)
iii. Appointed for specified areas or specified industries.
iv. Conciliation Officers are charged with the duty of mediating in and promoting the settlement of
industrial dispute.
Section 5: Board of Conciliation
i. Appropriate Govt as occasion arises may constitute Board of Conciliation by notification in the
official Gazette.
ii. Constitution: A Chairman and 2 or 4 other members.
iii. Chairman is a independent person and other members represents the parties to the dispute
and is appointed on the recommendation of that party.
iv. Act in accordance with quorum.
 Differences
Conciliation Officer Board of Conciliation

◦ Not bound by procedural formalities ◦ Procedural formalities like courts and tribunals
subject to rules.
◦ Formal in nature
◦ Informal in nature
◦ Detailed report
◦ General Report ◦ 2 months
◦ Period for Submission of report is14 days ◦ Chairman and 2 or 4 other members
◦ Single person ◦ Dispute is complicated in nature and important
◦ Dispute is simple in nature issues are involved.
◦ Initiation after reference of Dispute by the
◦ Initiation of proceedings after notice PUS Appropriate Government
 Section 6: Courts of Inquiry
i. Appropriate Govt may as occasion arises constitute a court of Inquiry by notification id Official
Gazette.
ii. Inquiring into the matter appearing to be connected or relevant to Industrial Dispute.
iii. Constitution: 1 independent person/persons.
 Section 7: Labour Court
i. Appropriate Govt by notification in the Official Gazette.
ii. Second Schedule or Third Schedule(not likely to affect more than 100 workmen)
(Examples of matters specified in 2nd Schedule:- legality, interpretation and application of Standing
orders by an employer, discharge or dismissal or workmen, withdrawal of any customary privilege,
illegality of strike and lockout)
iii. Constitution: One person only
iv. Qualification of presiding Officer of Labour Court
a) He is or has been a Judge of High Court
b) Has been a District Judge or Addl. District Judge for period not less than 3 years
c) Held Judicial Office for 7 years and above
d) Presiding Officer of labour Court under State Act for 5 years and above.
e) Dy. Chief Labour Commissioner /Jt. Commissioner of State Labour Department having degree in law
and atleast 7 years of experience in Labour Dept and 3 years experience as Conciliation officer.
 Section 7A: Industrial Tribunal
◦ Appropriate Government by notification in the Official Gazette
◦ Second and Third Schedule
◦ Constitution: One person
◦ Qualification
i. He is or has been Judge of High Court
ii. Has been a District Judge or Additional District Judge for not less than 3 years
iii. Dy.Chief Labour Commissioner(central) or Jt.Commissioner Labour
Department(State ),having degree in law, 7 years experience in labour Department including
3 years experience as Conciliation Officer.
iv. Officer of Indian Legal Service with 3 years experience.
 Section 7B: National Tribunal
◦ Central Government by notification in Official Gazette.
i. In the opinion of Central Government, involves question of National importance.
ii. Questions are of such nature that industrial establishments situated in more than one State
are likely to be interested or affected.
o Qualification:- he is or has been Judge of High Court
o Two persons as assessors to advise the National Tribunal.