Conflict is an expression of hostility, negative attitude, rivalry, disagreement, incompatibility, etc Conflict arises due to limitation of resources, competition

& difference in values, goals, attitude, expectations, etc

Conflict also called as Dispute

Economic Social

(wage, salaries, etc) (low morale, corruption rising unemployment, etc) Political (political rivalry, unstable Govt., etc) Technical (loss of job due to automation) Psychological (loss of job, half truths, etc) Market (competition, recession, etc) Legal (court order of closing down factory, shifting, etc)

Non-cooperation Argument & quarrelsome behavior-indiscipline Hostility & irritations Stress, strain & anxiety Unwillingness to negotiate or participate in discussions Absenteeism Go-slow tactics Demonstrations Strikes

Refusal to discuss or negotiate Disciplinary issues resulting in suspension, demotion, dismissal, etc Lay-offs Lock-out Termination

An Industrial Dispute means any dispute or difference between employers & employers or between employers & workmen or between workmen & workmen, which is connected with the terms & conditions of employment of any person. Dispute may be raised by workmen (union or group of workmen) Individual workman can raise disputes relating to dismissal, discharge, retrenchment or termination of his service.

For Prevention
a) Works Committee b) Collective Bargaining

For Settlement
a) Conciliation b) Voluntary Arbitration c) Adjudication

How the disputes are raised & settled

INDUSTRY
EMPLOYER DISPUTE FAIL TO SETTLE
CONCILIATION OFFICER

EMPLOYEE

MUTUALLY SETTLE (Agreement)

FAILS

SUCCEEDS (SETTLEMENT)

APPROPRIATE GOVT.

ADJUDICATION

Does not refer (parties are free to lockout or strike)

LABOR COURT

INDUSTRIAL TRIBUNAL

NATIONAL TRIBUNAL

Awards(binding at least for 1 year)

It provides guidelines for the workers, unions and employers A few important provisions of code of discipline are:

a) Strikes and lockout cannot be declared without proper notice. b) The parties should not take any action without consulting each other. c) 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.

The appropriate government may require the employer to set up works committee In an establishment where 100 or more workers are employed It is composed of equal no. of representatives of workmen & management Functions are to preserve peace & establish cordial relations to solve differences of opinion on matters of common interest Decision taken carries weight but is not conclusive & binding

Where workers/ their representatives & employers sit together & negotiate to resolve disputes The employer & employee relations should be settled down through themselves & not with the intervention of third party Negotiation, compromise, concessions, sacrifice, etc can happen in process As soon as compromise is reached the terms of agreement are put into operation

It is a continuous, dynamic process of solving problems, on the principles of give & take & balance of power Objectives
a) To settle disputes relating to wages & working conditions b) To protect the interests of workers through collective action c) To resolve differences through voluntary negotiations & arrive at a consensus d) To avoid third party intervention

Identification of the problem

Preparing for negotiations

Negotiation of agreement
Implementation of contract

Unanimity among workers Strong, independent & well organized union Willingness to adopt Give-and-Take approach Mutual trust & good faith Attitude should be positive Absence of unfair labor practices A problem solving approach Strength of parties

Process in which representatives of management & employees (their unions) are brought together before a third person or body of persons with a view to persuade them to arrive at some agreement to their satisfaction & in the larger interest of industry or community as a whole. Government can appoint
a) Conciliation Officer (minor disputes) b) Board of Conciliation (major disputes)

CO is to investigate & promote settlement of disputes His role is only advisory & mediatory No authority to make final decision or pass formal order directing the parties to act in a particular manner CO submits report to Govt. giving full facts & copy of settlement, or causes of failure Conciliation proceedings are obligatory in case of public utility services

Govt. may constitute a Board for settlement of industrial disputes An Independent Chairman, equal representatives of parties concerned as members Investigate the dispute & all matters affecting, inducing parties to come to a fair settlement Proceeding to be held in public Board submits report to Govt. giving full facts & copy of settlement, or causes of failure No power to impose a settlement on parties

If the parties to dispute, submit a written agreement to the Govt., mentioning that issues can be solved in arbitration proceedings & arbitrator is acceptable Govt. may appoint Arbitrator Investigates the dispute & submit Arbitration Award signed by Arbitrator This becomes enforceable & is binding on all parties to the agreement

Quasi-judicial body but voluntary Principles of Natural Justice & fair play to both parties to be followed Recommended & given place in Law by Govt. but very few dispute cases were referred Main reasons
a) Choice of suitable arbitrator acceptable to both parties b) Payment of arbitration fees

If a dispute is not settled by negotiation or conciliation, if the parties do not agree to get it settled by voluntary arbitration, the Govt. may refer to follows depending on matter of dispute Constituted by both
Central & State Govt.

a) Labor Court b) Industrial Tribunal c) National Tribunal

Constituted by Central Govt. only

One person only Presiding Officer Judge of High Court or District Judge or Additional District Judge(not less than 3yrs) or in Judicial Office(not less than 7yrs) Constitution of Labor Courts is for adjudication of Industrial disputes relating to any matter specified in the second schedule and for performing such other functions assigned to them under the Act.

1.

2.
3.

4.

5.
6.

The propriety or legality of an order passed by an employer under the standing orders; The application and interpretation of standing orders; Discharge or dismissal of workmen including reinstatement of, or grant of relief to workmen wrongfully dismissed; Withdrawal of any customary concession or privilege; Illegality or otherwise of a strike or lock-out and All matters other than those specified in the Third schedule.

One person only Presiding Officer Two assessors to advise the PO may be appointed Wider jurisdiction than Labor Court

1. 2. 3. 4. 5. 6. 7. 8. 9.

10.
11.

Wages, including the period and mode of payment. Compensatory and other allowances; Hours of work and rest intervals; Leave with wages and holidays; Bonus, profit sharing, provident fund and gratuity. Shift working otherwise than in accordance with standing orders; Classification by grades; Rules of discipline; Rationalization; Retrenchment of workmen and closure of establishment; and Any other matter that may be prescribed.

One person(PO), may be assisted by two assessors Constitution of national tribunal is for adjudication of Industrial disputes, which in the opinion of the General Government, involve questions of national importance or are of such a nature that Industrial establishments situated in more than one State are likely to be interested in or affected by such dispute. Deals with disputes mentioned in Sch. II or III or any matter not specified therein

Every investigation by these authorities is deemed to be a judicial proceeding They can enter premises of an establishment to which dispute is related for the purpose of enquiry They are empowered to determine as to who, to what extent & to whom the cost of proceedings before them are to be paid Adjudication Awards are binding on the parties concerned, on their heirs, successors, on all persons employed subsequently