Organized by co-operation between an employer and an employee 3. The content of this article is intended to provide a general guide to the subject matter.
The laws apply only to the organised sector. A systematic activity 2. Dismissal of an individual workman is deemed to be an industrial dispute. The ID Act provides for the constitution of the Works Committee, consisting of employers and workmen, to promote measures for securing and preserving amity and good relations between the employer and the workmen and, to that end, endeavours to resolve any material difference of opinion in respect of such matters.
Chapter V-B, introduced by an amendment inrequires firms employing or more workers to obtain government permission for layoffs, retrenchments and closures. Objectives[ edit ] The objective of the Industrial Disputes Act is to secure industrial peace and harmony by providing mechanism and procedure for the investigation and settlement of industrial disputes by conciliation, arbitration and adjudication which is provided under the statute.
The ID Act provides that an employer who intends to close down an industrial establishment shall obtain prior permission at least ninety days before the date on which he intends to close down the industrial establishment, giving the reasons thereof.
A further amendment in which took effect in expanded its ambit by reducing the threshold to workers. It also provides for penalties for illegal strikes and lockouts and unfair labour practices and provisions regarding lay off and retrenchment as well as compensation payable thereof.
Every person employed in an establishment for hire or reward including contract labourapprentices and part-time employees to do any manual, clerical, skilled, unskilled, technical, operational or supervisory work, is covered by the Act.
Another method recognised for settlement of disputes is through arbitration.