Social Justice In industrial adjudication, the concept of social justice has been given wide acceptance.

Different views have been expressed by different authorities about the exact meaning and scope of this concept. According to the Supreme Court, it was a vague and indeterminate expression and that no definition could be laid down which would cover all situations. According to Justice Holmes, social justice is an inarticulate major premise which is personal and individual to every court and every judge. In a democratic society, administration of justice is based on the Rule of Law, which, as conceived by modern jurists, is dynamic and includes within its imports social justice. It has been given a place of pride in our Constitution. The philosophy of social justice has now become an integral part of industrial jurisprudence. The philosophy of social justice has now become an integral part of industrial jurisprudence. The concept of social justice is a very important variable in the function of industrial relations. In a welfare State it is necessary to apply the general principles of social and economics justice to remove the imbalances in the political, economic and social life of the people.

CHAPTER V11

LABOlJR WELFARE AND SOCIAL SECURITY

7.1 Introduction 7.2 Objectives of Labour Welfare 7.3 Approaches to Labour Welfare 7.4 Principle of Labour Welfare 7.5 Classification of Labonr Welfare Work 7.6 Welfare Programmes for Organised Sectors 7.7 Social Security Measures 7.8 Social Security in India 7.9 Recent Trends 7.10 Benefits and Welfare Schemes of Employees of MRF, HNL, Kottayam Textiles, Travancore Cements Ltd. References 7.1 Introduction Labour welfare occupies a place of significance in the industrial development and economy. It is an important facet of industrial relations, the extra dimension, giving satisfaction to the worker in a way which even a good wage cannot. With the growth of industrialization and mechanization, it has acquired added importance. A happy and contented work force is an asset for the industrial prosperity of any nation.' Labour welfare is nothing but the maintenance function of personnel in the sense that it is directed specifically to the preservation of employee health and attitudes. In other words, i t contributes to the maintenance of employee morale. The welfare services in an industry is to improve the living and working conditions of workers and their families because the workers well-being cannot be achieved in isolation of his family2 Labour welfare, though it

has been proved to contribute to efficiency in production, is expensive. Each employer depending on his priorities gives varying degrees of importance to labour welfare. It is because the government is not sure that all employers are progressive minded and will provide basic welfare measures that it introduces statutory legislation from time to time to bring about some measure of uniformity in the basic amenities available to industrial workers. "Obviously, there is some creation and stimulation in the maintenance function just as there is some maintenance in all other operative personnel functions. But the primary emphasis in employee service programme has been on maintaining an employee's favourable attitude towards his work and work environment"."
.

. today, welfare has been generally accepted by employers. The state only intervenes to "widen

the area of appli~abilit~"T.h~e Committee on Labour Welfare (CLW), formed in 1969 to review the labour welfare scheme, described it as social security measures that contribute to improve the conditions under which workers are employed in India. Vaid considers it as an "expression of the assumption by industry of its responsibility for its employees".5 'fiough industrial workers are generally better paid, their conditions of work, and often poorer living conditions necessitate more than minimum amenities, and hence most statutory legislations apply to them. In a resolution in 1947, the ILO defined labour welfare as "such services, facilities and amenities as adequate canteens, rest and recreation facilities, arrangements for travel to and from work, and for the accommodation of workers employed at a distance from their houses, and such other services, amenities and facilities as contribute to improve the conditions under which workers are employed.6 The welfare measures influence the sentiment of the workers and contribute to the maintenance of industrial peace.7 Labour welfare is, thus, one of the major determinants of industrial relations. Apart from improved morale and loyalty welfare measures are of significance to reduce absenteeism and labour turnover in indush-ies. Whatever improves conditions of work and life for the employee, whatever leads to the increasing adaptation of thc worker to hls task and whatever makes him well contented will lessen his desire or need to leave. One of the thrust areas in the personnel in future would be the creation of the type of organizational environment that will help to make work more satishg.' Welfare measures also serve to enhance an organizations image as a caring employer.' This image can be very usehl to organizations in recruiting the workers. Social advantage of labour welfare is by no means less important than economlc ones The provision of canteen, where balanced diet is available at subsidized rates, improves workers health, entertainment's tend to reduce the incidence of vices; medical aid and maternity benefits improve the health of workers and bring down the rates of general, maternal and infant mortality and like wise educational facilities broaden their outlook and improve mental health. The welfare measures have more relevance in the context of the poor standard of livins of the Indian working class. It is, therefore, one major aspect of national programmes towards the promotion of the welfare of the people and is as such designed to create a life and work environment of decent comfort for worhng class. As stated already, the directive principles of state policy in our constitution have very significantly highlighted the need for securing just and humane conditions of work for this vital segment of the community. 7.2 Objectives of Labour Welfare 'There could be multiple objectives in having a labour welfare programme The concern for improving the lot of the workers, a philosophy of humanitarianism or what is now termed as

internal social responsibility, a feeling of concern, a caring by providing some of life's basic amenities, besides the basic pay packet. Such caring is supposed to build a sense of loyalty on the part of the employee towards the organization. The humanitanan approach has given way to a more practical utilitarian approach. The utilitarian approach views investment in welfare through an economic framework where the possible cost benefit to the organization gains greater concern through improved or quicker services from the employees. "'The welfare package by taking care of the basics of living, frees the worker to devote his time and attention to the organizational task and thus enhance efficiency and output. An attractive package, which provides benefits throughout the course of an employee's career, serves to attract and retain the better workers and simultaneously enhance their morale. The organization is also eligible to certain tax wncessions by spending on employee we~fare".'~ 7.3 Approaches to Labour Welfare Welfare 1s a dynamic concept and so it needs to be constantly adapted to the changing circumstances. This is a truism in the industrial system as well. For example the first approach was the paternalistic approach. This approach to labour welfare can be traced back to the begnning of the modem industrial system when there was hardly any difference between management and ownership and the owners got first hand information of the living and working conditions of workers. Some of them, motivated by philanthropic, humanitarian and religious considerations, did much to improve the lot of the working masses. Though considerable amount of the so called welfare work was done during the post first world war period; (mainly as a product of the stresses and strains of the war) it was insufficient to result in promoting welfare as is clear from the following observation of the British Trade Union congress Delegation (192728). "We became convinced that under the cover of paternalism and benevolence, many unjust conditions of work obtained.. . and that was not really much, if anythu~g, to be said in favour of employees parsing welfare work as against others who do not.. . . Our general conclusion on welfare work as at present carried on is that it is a delusion and a snare." Patemal~st~acp proach was followed by the ~ndustr~ael fic~ency approach Industrial eficlency approach was an outcome of the growth of b~g compatues wh~chb rought about a separation of funct~onso f management and ownersh~p,a nd ~ncreasedt he d~stanceb etween the owners and the workers Personal relationship was replaced by impersonal rules. With "bigness" arose the problem of commitment and efficiency, and a solution was attempted by formulat~ng welfare schemes. Thus, philanthropy was substituted by enlightened self-interest. The primary drawback of this approach was that it is the ulterior motive of improving efficiency that guides employer's welfare scheme. The latest approach to labour welfare is to conceive it as an integral part of the programme of general welfare. This approach, being a socialapproach, is neither philanthropic nor with any ulterior motive. It is so designed as an end in itself, to serve as an instrument of socio-economic policy. The objective of labour welfare scheme has at last aims "it serves man, to alleviate the burdens of his struggle for existence and to reduce the hardships of life"'2. 7.4 Principles of Labour Welfare Labour welfare is not a substitute for low wages and other allowances, nor can it be used as an argument against raising the earnings of workers. A failure to understand thls basic principle will only make labour welfare measures unpopular. The cardinal principle of labour welfare programmes is to ensure that it serves the real needs of workers concerned. Special classes of workers require special type of welfare services. Proper assessment of needs of the workers and determination of priorities, thereof, must be done.

Workers should be asked to participate in the formulation and administration of welfare programmes. This is necessary because the programmes are meant for them and their participation ensures that the welfare measures correspond to their needs. It also removes the suspicion of workers and the stigma of paternalism. Workers should be free to use or not to use the facilities and arnenit~es provided Any compuls~ono r pressure is encroachment upon workers' nght to 11ve as they please and they will resent it. The cost of welfare schemes must be well estimated and its financing must be establ~shedo n a sound basis. Ill-conceived welfare scheme without adequate consideration of its financing will mean either its failure or consequent financial strain to the management. It will also unnecessarily cause threat to ~ndustrial harmony since a service introduced once is difficult to be abandoned by the management. 7.5 Classification of Labour Welfare Work The classification of labour welfare is based on dividing industrial welfare measures into three categories. 1. Statutory 2. Voluntary 3. Mutual Statutory welfare is the product of the coercive power of the government. Statutory stipulations compel employers to implement welfare schemes. The government enacts rules in regard to labour welfare in order to enforce the mlnimum standard of health and safety of the workers. Employers have to observe the rules relating to working conditions, hours of work, hygiene, safety, light, ventilation, sanitation etc. Government have increased the statutory control of labour welfare. Voluntary welfare includes all those activities which employers undertake for their workers on a voluntary basis. There are some social organizations, which also undertake voluntary welfare work. Mutual welfare is undertaken by the workers themselves. Some trade unions also undertake the responsibility of workers welfare. Labour welfare is also classified under intra-mural activities, and extra-mural activities. The former include services provided inside the factory premises, and the latter include services and amenities outside the factory.
Significance of Industrial Relations Maintenance of harmonious industrials relations is on vital importance for the survival and growth of the industrials enterprise. Good industrial relations result in increased efficiency and hence prosperity, reduced turnover and other tangible benefits to the organization. The significance of industrial relations can be summarized as below:
1. It establishes industrial democracy: Industrial relations means settling employees

problems through collective bargaining, mutual cooperation and mutual agreement amongst the parties i.e., management and employees unions. This helps in establishing industrial democracy in the organization which motivates them to contribute their best to the growth and prosperity of the organization.

2. It contributes to economic growth and development: Good industrial relations lead to

increased efficiency and hence higher productivity and income. This will result in economic development of the economy.
3. It improves morale of he work force: Good industrial relations, built-in mutual

cooperation and common agreed approach motivate one to contribute ones best, result in higher productivity and hence income, give more job satisfaction and help improve the morale of the workers.
4. It ensures optimum use of scare resources: Good and harmonious industrial relations

create a sense of belongingness and group-cohesiveness among workers, and also a congenial environment resulting in less industrial unrest, grievances and disputes. This will ensure optimum use of resources, both human and materials, eliminating all types of wastage.
5. It discourages unfair practices on the part of both management and unions: Industrial

relations involve setting up a machinery to solve problems confronted by management and employees through mutual agreement to which both these parties are bound. This results in banning of the unfair practices being used by employers or trade unions.
6. It prompts enactment of sound labour legislation: Industrial relations necessitate passing

of certain labour laws to protect and promote the welfare of labour and safeguard interests of all the parties against unfair means or practices.
7. It facilitates change: Good industrial relations help in improvement of cooperation, team

work, performance and productivity and hence in taking full advantages of modern inventions, innovations and other scientific and technological advances. It helps the work force to adjust themselves to change easily and quickly Causes of Poor Industrial Relations Perhaps the main cause or source of poor industrial relations resulting in inefficiency and labour unrest is mental laziness on the part of both management and labour. Management is not sufficiently concerned to ascertain the causes of inefficiency and unrest following the laissezfaire policy, until it is faced with strikes and more serious unrest. Even with regard to methods of work, management does not bother to devise the best method but leaves it mainly to the subordinates to work it out for themselves. Contempt on the part of the employers towards the workers is another major cause. However, the following are briefly the causes of poor industrial relations: 1. Mental inertia on the part of management and labour; 2. An intolerant attitude of contempt of contempt towards the workers on the part of management.

3. Inadequate fixation of wage or wage structure; 4. Unhealthy working conditions; 5. Indiscipline; 6. Lack of human relations skill on the part of supervisors and other managers; 7. Desire on the part of the workers for higher bonus or DA and the corresponding desire of the employers to give as little as possible; 8. Inappropriate introduction of automation without providing the right climate;
9. Unduly heavy workloads;

10. Inadequate welfare facilities; 11. Dispute on sharing the gains of productivity; 12. Unfair labour practices, like victimization and undue dismissal; 13. Retrenchment, dismissals and lock-outs on the part of management and strikes on the part of the workers; 14. Inter-union rivalries; and 15. General economic and political environment, such as rising prices, strikes by others, and general indiscipline having their effect on the employees attitudes.

Industrial Disputes
Meaning According to Section 2(K) of the Industrial Disputes Act, 1947, and industrial dispute means any dispute or difference between employers and employees or between employers and workmen or between workmen and workmen, which is connected with the employment or nonemployment or the terms of employment or with the conditions of labour of any person. Thus form the legal point of view, industrial dispute does not merely refer to difference between labour and capital as is generally thought, but it refers to differences that affect groups of workmen and employers engaged in an industry. Essentially, therefore, the differences of opinions between employers and workmen in regard to employment, non-employment, terms of employment or the conditions of labour where the contesting parties are directly and

substantially interested in maintaining their respective contentious constitute the subject-matter of an industrial dispute. Causes of Industrial Disputes The causes of industrial conflict or disputes have been much varied. These may be described partly a psychological or social and partly political, but predominantly economic. Some important factors responsible for industrial conflict and poor industrial relations many be briefly stated as follows: Managements general apathetic towards workers or employees because of their contention that they want more and more economic or monetary rewards and want to do less work. Mental inertia on the part of both management and labour. Lack of proper fixation of wages inconformity with cost of living and a reasonable wage structure generally. Bad working conditions. Attempts by management to introduce changes (such a rationalization, modernization or automation) without creating a favourable to appropriate climate or environment for the same. Lack of competence or training on the part of first-line supervision as well management at upper levels in the practice of human relations. Assignment of unduly heavy work-loads to worker, unfair labour practices (such as victimization or undue dismissal). Lack of strong and healthy trade unionism, lack of a proper policy of union recognition and inter-union rivalries. A spirit of non-cooperation and a general tendency among employees to criticize or oppose managerial policies or decisions even when they may be in the right directions. A fall in the standard of discipline among employees largely due to wrong or improper leadership, often resulting in insubordination or disobedience on the part of employees. Difference in regard to sharing the gains of increased productivity. Inadequate collective bargaining agreements.

Legal complexities in the industrial relations machinery or settlement of industrial disputes. Lack of necessary changes in the working of government in accordance with changing needs and circumstances. Combination of too much law and too little respect for law even at high levels. Growing factional and personal difference among rank-and-file employees who are union members or union leaders and a tendency on the part of the management in some cases to prefer having with outside leaders and not give due respect to worker-leaders. Political environment of the country; and Agitation and wrong propaganda by selfish labour leaders to further their own interests of their own party.

Forms of Disputes Strikes, lockouts and gheraos are the most common forms of disputes. Strike 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 common understanding or an number of persons who are or have been so employed to continue to work or to accept employment. The following points may be noted regarding the definition of strike: Strike can take place only when there is a cessation of work or refusal to work by the workmen acting in combination or in a concerted manner. A concerted refusal or a refusal under a common understanding of any number of persons to continue to work or to accept employment will amount to a strike. A general strike is one when there is a concert of combination of workers stopping or refusing to resume work. Going on mass casual leave under a common understanding amounts to a strike. If on the sudden death of a fellow-worker, the workmen acting in concert refuse to resume work, it amounts to a strike (National Textile Workers Union Vs. Shree Meenakshi Mills (1951) II L.L.J. 516). The striking workman, must be employed in an industry which has not been closed down.

Even when workmen cease to work, the relationship of employers and employees is deemed to continue albeit in a state of belligerent suspension.

Types of Strike

Stay-in, sit-down, pen-down strike: In all such cases, the workmen after taking their seats, refuse to do work. All such acts on the part of the workmen acting in combination, amount to a strike. Go-slow: Go-slow does not amount to strike, but it is a serious case of is conduct. Sympathetic strike : Cessation of work in the support of the demands of workmen belonging to other employer is called a sympathetic strike. The management can take disciplinary action for the absence of workmen. However, in Remalingam Vs. Indian Metallurgical Corporation, Madras, 1964-I L.L.J.81, it was held that such cessation of work will not amount to a strike since there is no intention to use the strike against the management. Hunger strike: Some workers may resort to fast on or near the place of work or residence of the employers. If it is peaceful and does not result in cessation of work, it will not constitute a strike. But if due to such an fact, even those present for work, could not be given work, it will amount to strike (Pepariach Sugar Mills Ltd. Vs. Their Workmen). Lightning or wildcat strike: A wildcat strike is an unofficial strike i.e. a strike not sanctioned by the union. Such strikes occasionally occur in violation of the no-strike pledge in collective bargaining agreements. In such a situation union is obliged to use its best efforts to end the strike. Such strikes are prohibited in public utility services under Section 22 of the Industrial Disputes Act, 1947. Further, the standing order of a company generally required for notice. Work-to-rule: Since there is a no cessation of work, it does not constitute a strike.

Lockout Section 2(1) of the Industrial Disputes Act, 1947 defines lockout to mean the temporary closing of a place of employment or the suspension of work, or the refusal by an employers to continue to employ any number of persons employed by him, lockout, thus, is the counterpart of strike the corresponding weapon the hands of employer to resist the collective demands of workmen or to enforce his terms. It has been held by the courts that the suspension of work as a disciplinary measure does not amount to lockout. Similarly, temporary suspension of work called lay-off is not lock-out. Gherao

Gherao means encirclement of the managers to criminally intimidate him to accept the demands of the workers. It amounts to criminal conspiracy under Section 120-A of the I.P.C. and is not saved by Sec. 17 of the Trade Unions Act on the grounds of its being a concerted activity. Regulation of strikes and lock-outs Employees do not have an unfettered right to go on strike nor do employers have such right to impost lockout. The Industrial Disputes Act lays down several restrictions on the rights of both the parties. A strike or lockout commenced or continued in contravention of those restriction is termed illegal and there is serve punishment provided for the same. Illegal strikes and lockout are of two types: Those which are illegal form the time of their commencement; and Those which are not illegal at the time of commencement but become illegal subsequently. Section 22 and 23 of the IDA provide for certain restriction which if not followed make strikes and lockouts illegal from their very commencement. According to this section, no person employed shall go on strike in breach of contract Without giving notice of strike to the employer, as here matter provided, within 6 week before striking; or Within fourteen days of giving such notice; or Before the expiry of the date of strike specified in any such notice as aforesaid; or During the pendency of any conciliation proceedings before a Conciliation Officer and seven days after the conclusion of such proceedings.

Consequences of illegal strikes and lock-outs.

1. Penalty for illegal strikes [Sec.26(1)]: Any workman who commences, continues or

otherwise acts in furtherance of a strike which is illegal, shall be punishable with imprisonment for a term which may extend to 1 month, or with fine which may extend to Rs. 50, or with both.

2. Penalty for illegal lock-out [Sec.26(2): Any employer who commences, continues or

otherwise acts in furtherance of a lock-out which is illegal, shall be punishable with imprisonment for a term which may extend to 1 month, or with fine which may extend to Rs. 1,000 or with both.

3. Penalty for instigation, etc. [Sec. 27]: Any person who instigates or incites others to take

part in, or otherwise acts in furtherance of, a strike or lock-out which is illegal, shall be punishable with imprisonment for a term which may extend to 6 months, or with fine which may extend to Rs. 1,000 or with both.
4. Penalty for giving financial aid for illegal strikes and lock-outs [Sec. 28] : Any person

who knowingly expends or applies any money in direct furtherance or support of any illegal strike or lock-out shall be punishable with an imprisonment for a term which may extend to 6 months, or with fine which may extend to Rs. 1,000 or with both. Machinery for Prevention and Settlement of Industrial Relations The machinery for prevention and settlement of the disputes has been given in the following figure: Machinery for Prevention and Settlement of Industrial Relations

Voluntary Methods Code of Discipline Tripartite Machinery

Government Machinery

Statutory Measures

Workers Participation

Collective Bargaining

I.D. Act, 1947

State Acts

Labour Administration (States & Central Levels) Works Committee Conciliation Voluntary Arbitration Court of Enquiry Adjudication

Conciliation Officers

Conciliation Board

Labour Court

Industrial Tribunal

National Tribunal

Voluntary Methods Code of discipline

Formally announced in 1958, the Code of Discipline provides guidelines for the workers, unions and employers. The code which was approved by major national trade unions and principal organisation of employers enjoyed on them to create an environment of mutual trust and cooperation and to settle the disputes by mutual negotiation, conciliation and voluntary arbitration. It required the employers and workers to utilize the existing machinery for the settlement of disputes. A few important provisions of code of discipline are: Strikes and lockout cannot be declared without proper notice. The parties should not take any action without consulting each other. There should be no go slow statistics or any resort to deliberate damage to plant or property or resort to acts of violence, intimidation, coercion etc.

The code has moral sanction only and it does not entail any legal liability or punishment. Tripartite machinery Tripartite machinery consists of various bodies like Indian Labour Conference, the Standing Labour Committee, the International Committees, the Central Implementation and Evaluation Committee and the Committee on conventions. Generally, these committees include representatives from centre and the states, and the same number of workers and employers organisatoins. These various committees are basically of advisory nature, yet they carry considerable weight among the government, workers and employers. Workers participation in management Workers participation in management is an essential ingredient of industrial democracy. The concept of workers participation in management is based on Human Relations approach to management which brought about new set of values to labour and management. According to one view, workers participation is based on the fundamental concept that the ordinary workers invest his labour in, and ties his fate to, his place of work and, therefore, he has a legitimate right to have a share in influencing the various aspects of company policy.

According to G.S. Walpole, participation in management gives the workers a sense of importance, pride and accomplishment; it gives him the freedom and the opportunity for selfexpression; a feeling of belonging to his place of work and a sense of workmanship and creativity. It provides for the integration of his interests with those of the management and makes him a joint partners in the enterprise.

The forms of workers participation in management vary from industry to industry and country to country depending upon the political system, pattern of management relations and subject or area of participation. The forms of workers participation may be as follows: 1. Joint Consultation Modes 2. Joint Decision Model 3. Self Management, or Auto Management Scheme 4. Workers Representation on Board It should be borne in mind that when individuals are provided with opportunities for expression and share in decision-making, they show much initiative and accept responsibility substantially. The rationale of workers participation in management lies in that it helps in creating amongst the workers a sense of involvement in their organisatoin, a better understanding of their role in the smooth functioning of industry and provides them a means of self-realization, thereby, promoting efficiency and increased productivity. Collective bargaining Collective bargaining is a source of solving the problems of employees in the work situation collectively. It provides a good climate for discussing the problems of workers with their employers. The employees put their demands before the employers and the employers also gives certain concession to them. Thus it ensures that the management cannot take unilateral decisions concerning the work ignoring the workers. It also helps the works to achieve reasonable wages, working conditions, working hours, fringe benefits etc. It provides them a collective strength to bargain with the employer. It also provides the employer some control over the employees. The process of collective bargaining is bipartite in nature i.e., the negotiations are between the employers without a thirds partys intervention. Thus collective bargaining serves to bridge the emotional and physiological between the workers and employers through direct discussions.

Government Machinery The Ministry of Labour and Employment at the centre is the key agency for the policy formulation and administration in all the matters pertaining to labour. The State governments with the cooperation of their labour departments are responsible for the enforcement thereof. The Directorate General of Employment and Training (DGET), Office of Chief Labour Commissioner (CLC) (Central), the Director General of Mines Safety (DGMS), the Director General of Factory Advice and Labour Institutes, and Industrial Tribunals are some of the

agencies through which the Central Government discharges its functions related to framing of labour laws and settlement of industrial disputes. The Labour Secretary is the overall incharge of policy formulation and administration, and commissioners of labour in the States are the operative arms for the effective implementation of Labour Laws. Statutory Measures Industrial Disputes Act, 1947 The States are free to frame their own labour laws as the labour falls in the concurrent list, Some States like Maharashtra, M.P., U.P. and Rajasthan have their own Acts. In the rest of the states, Industrial Disputes Act, 1947 applies. However, in the States having their own Acts, the IDA, 1947 will be applicable to the industries not covered by the State Legislation. Formally announced in 1947, the Industrial Disputes Act, has been amended several times since then. Under the Act the following authorities have been proposed for the investigation and settlement of industrial disputes.

Works committees The IDA, 1947 provides for setting up works committees in every organisation having 100 or more employees. Having representatives of employees and employees, these are consultative bodies and are set up for maintaining harmonious relations at the work lace and sort out the difference if any. Though the act does not define the jurisdiction of these committees, yet their functions mainly include providing proper working conditions and amenities for the welfare of employees at the work place or away from the work. A work committee aims at promoting measures for securing the preserving amity and good relations between employees and workers. Conciliation When the services of a neural party are availed for the amicable solution of a dispute between the disputing parties, this practice is known as conciliation. The IDA, 1947 provides for conciliation and it can be utilized either by appointing Conciliation Officer or by setting up Board or Conciliation. The Conciliation Officers are appointed by the Government by notifying in the Official Gazettee. Usually at the State level, Commissioners of Labour, Additional and Deputy Commissioners of Labour act as Conciliation Officer for disputes arising in any undertaking employing less than twenty workers. In the conciliation process the officer ties to bring the disputing parties together towards a settlement of the dispute and hence works as a mediator. The intervention of conciliation officer may e mandatory or discretionary. But in the disputes related to public utilities in respect of which proper notice is served to him, his intervention becomes mandatory. The Board of Conciliation is a higher forum and is constituted for a specific dispute. It consists of equal number of representatives of employers and employees under the chairmanship of an

independent person, appointed by the government. The Board has to submit its report to the government regarding the dispute within two months from the date dispute was referred to it. However, depending on the case, the period can be extended. Voluntary arbitration Industrial Disputes (Amendment) Bill, 1956 incorporated Section 10A favouring voluntary arbitration. In case of existed or apprehended dispute, the disputing parties can enter into an arbitration agreement in writing. The success of voluntary arbitration depends on a sufficient degree of mutual confidence in decision by agreement on subjects which may be submitted for arbitration. Court of enquiry The IDA, 1947 empowers the appropriate government to constitute a Court of Enquiry. This body basically is a fact-finding agency, constituted just to reveal the causes of the disputes and does not care much for the settlement thereof. The Court of Enquiry is required to submit its report to the government ordinarily within six months from the commencement of enquiry. The report of the court shall be published by the government within 30 days of its receipt. Adjudication If the dispute is not settled by any other method, the government may refer it for adjudication. Hence it is a compulsory method which provides for three-tier system for adjudication of industrial disputes. This machinery consists of Labour Court, Industrial Tribunals and National Tribunal. The first two bodies can be set up either by State or Central Government but the National Tribunal can be constituted by Central Government only, when it thinks that the solution of dispute is of national significance. A Labour Court consists of one person only, called Presiding Officer, who is or has been a judge of a High Court. The jurisdiction of Industrial Tribunal is comparatively wider than Labour Courts, and further the Presiding Officer of Tribunal can have two assessors may be appointed by the Central Government to help its Presiding Officer. Labour Courts and Tribunals are now required to submit award to the appropriate government within three months in case of individual disputes The submitted award shall be published by government within 30 days from the date of its receipt. It shall come into force on the expiry of 30 days from the date if its publication and shall be operative for a period of one year, unless declared otherwise by the appropriate government. Review Questions 1. What is an industrial dispute? What are the causes of industrial disputes? 2. What are the forms of industrial disputes?

3. Explain various machineries for settlement of industrial disputes.