Dispute Resolution Mechanisms Under Industrial Disputes Act, 1947 and Industrial Relations Code

Industrial Relations Code, 2020 states in its objectives that it aims to "minimize the friction between the employers and workers; provide provisions for investigation and settlement of Industrial Disputes and achieve industrial peace and harmony as the ultimate pursuit in resolving industrial disputes" and thus, this article aims to analyze the multiple institutions provided in both Industrial Disputes Act, 1947 and its successor, Industrial Relations Code, 2020 to resolve industrial disputes and attain the objectives mentioned above. There are several mechanisms and institutions provided in Industrial Disputes Act, 1947 to prevent disputes and resolve disagreements between workmen and employers. These include Works Committee (S.3), Board of Conciliation (S.5), Courts of Enquiry (S.6), Labour Courts (S.7), Tribunals (S.7A) and Voluntary Arbitration (S.10A). The industrial relations Code is inclusive of most of the forums and methods mentioned above except Conciliation Board (although it includes conciliation officer), Labour Court and Court of Inquiry and adds Grievance Redressal Committee to the list. Works Committee It is included under S. 3 in both Industrial Disputes Act (ID Act), as well as Industrial Relations Code (IRC). Works Committee has to be formed by the appropriate government through a general or special order in establishments having more than 100 workmen and this remains same in both the Industrial Disputes Act and Industrial Relations Code. Why would the Code leave its existence to the will of the 'appropriate government' and not make having a works committee mandatory in all Industrial establishments, since its purpose is to 'promote measures for securing and preserving amity and good relations between employer and workers', is something that has not yet been established? In fact, in the words of the Second national commission on labour, the works committee has been utterly unsuccessful and the reason for its failure has been attributed to both its method of formation and the functions that have been assigned to it. Regardless, if in case the appropriate government does decide to form a Works Committee, it shall have equal number of representatives of both the employer and the workmen and in no case, the representatives of workmen shall be less than the number of representatives of the employer, as per S.3 of both the ID Act, 1947 and IRC. Grievance Redressal Committee This committee was absent in the ID Act, 1947 although, via 2010 amendment, S.9C was added to the Code which provided for a similar mechanism (Grievance Settlement Authority). This section is only applicable in industrial establishments having fifty or more workmen and allows for only six members to be on this Grievance settlement authority. The chairperson membership is to rotate annually, alternatively between all committee members (once from representatives of employer and once from representatives of workmen). All proceedings of the committee have to be completed in a month and there is a provision of an appeal to the employer against the decision of grievance settlement authority and the employer have to dispose of the appeal within a month of receiving its receipt. On the other hand, the Grievance Redressal Committee features in Chapter 2 of IRC in S.4. S.4 states that all establishments with 20 or more workmen must have a grievance redressal committee which shall have an equal number of representatives from the workmen and the employer's side. The total number of members on the grievance redressal committee shall not be more than 10 (as opposed to 6 in grievance settlement authority of ID Act, 1947) inclusive of proportional representation of women workers' representatives. On a rotational basis, the chairperson will be selected annually from committee members. Application regarding a dispute/grievance has to be filed within one year from the date from which cause of action arises and the grievance redressal committee has to try to complete its proceedings within thirty (30) days from the date it receives the receipt of such application. Although the committee's decision is based on a majority view, if more than 50% of members representing the workmen do not concede to the decision, then it shall be deemed that no decision has been arrived at. Furthermore, if the aggrieved worker is not satisfied with the decision of the Committee, he can file for conciliation with the conciliation officer through the trade union of which he is a member (as opposed to filing an appeal to an employer as given in 9C, ID Act, 1947), within sixty (60) days of being made aware of the decision of the Committee. If dissatisfied with this process also, the aggrieved worker may, on the expiry of forty-five (45) days of applying to the conciliation officer, may make an application directly to the Tribunal for adjudication of the dispute and the...

Dispute Resolution Mechanisms Under Industrial Disputes Act, 1947 and Industrial Relations Code

Rashmi Bagri

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