Methods of Settling Industrial Disputes (Arbitration, Joint Consultations, Works Committee, Conciliation, Adjudication etc)

11th July 2021 0 By indiafreenotes

If industrial peace is the backbone of a nation, strikes and lockouts are cancer for the same as they effect production and peace in the factories.

In the socioeconomic development of any country cordial and harmonious industrial relations have a very important and significant role to play. Industry belongs to the society and therefore good industrial relations are important from societys point of view.

Nowadays, industrial relations are not bipartite affair between the management and the work force or employees. Government is playing an active role in promoting industrial relations. The concept of industrial relations has therefore, become a tripartite affair between the employees, employers and the government concerned.

It is possible to settle the industrial disputes if timely steps are taken by the management. Such disputes can be prevented and settled amicably if there is equitable arrangement and adjustment between the management and the workers.

The following is the machinery for prevention and settlement of industrial disputes:

(i) Works Committees:

This committee represents of workers and employers. Under the Industrial Disputes Act 1947, works committees exist in industrial establishments in which one hundred or more workmen are employed during the previous year.

It is the duty of the Works Committee to promote measures for securing and preserving amity and good relations between the employers and workers. It also deals with certain matters viz. condition of work, amenities, safety and accident prevention, educational and recreational facilities.

(ii) Conciliation Officers:

Conciliation Officers are appointed by the government under the Industrial Disputes Act 1947.

The duties of conciliation officer are given below:

(i) He has to evolve a fair and amicable settlement of the dispute. In case of public utility service, he must hold conciliation proceedings in the prescribed manner.

(ii) He shall send a report to the government if a dispute is settled in the course of conciliation proceedings along with the charter of the settlement signed by the parties.

(iii) Where no settlement is reached, conciliation officer sends a report to the government indicating the steps taken by him for ascertaining the facts, circumstances relating to dispute and the reasons on account of which settlement within 14 days of the commencement of the conciliation proceedings.

Boards of Conciliation:

The government can also appoint a Board of Conciliation for promoting settlement of Industrial Disputes. The chairman of the board is an independent person and other members (may be two or four) are to be equally represented by the parties to the disputes.

The duties of the board include:

(a) To investigate the dispute and all matters affecting the merits and do everything fit for the purpose of inducing the parties to reach a fair and amicable settlement.

(b) A report has to be sent to the government by the board if a dispute has been settled or not within two months of the date on which the dispute was referred to it.

(iii) Court of Enquiry:

The government may appoint a court of enquiry for enquiring into any industrial dispute. A court may consist of one person or more than one person in and in that case one of the persons will be the chairman. The court shall be required to enquire into the matter and submit its report to the government within a period of six months.

(iv) Labour Courts:

As per the Second Schedule of the Industrial Dispute Act 1947.

The Government sets up Labour Courts to deal with matters such as:

(i) The propriety or legality of an order passed by an employer under the standing orders.

(ii) The application and interpretation of standing orders passed.

(iii) Discharge or dismissal of workmen including reinstatement, grant of relief to workers who are wrongfully dismissed.

(iv) Withdrawal of any customary concession of privilege.

(v) Illegality or otherwise of a strike or lockout, and all other matters not specified in the Third Schedule.

(v) Industrial Tribunals:

A Tribunal is appointed by the government for the adjudication of Industrial Disputes.

(vi) National Tribunal:

A National Tribunal is constituted by the Central Government for Industrial Disputes involving questions of national importance.

(vii) Arbitration:

The employer and employees may agree to settle the dispute by appointing an independent and impartial person called Arbitrator. Arbitration provides justice at minimum cost.