here is the conditions and laws followed under strikes and lockouts, lay off, retrenchmet..

1. 15
Chapter
Strikes and lockouts
 Prohibition of strikes and lockouts
 Prohibition of lockout
 General prohibition of strikes and lockout
 Prohibition of S&L by order of government
 Illegal strike and lockouts
 Punishment for illegal strike
 Offences & Penalties

2. 2
Prohibition of strikes and lockouts
Section 22(1),Section 22(2)
 Section 22(1) puts straight restrictions on S&L in public utility
services unless mandatory provisions of law are observed.
 Conditions:
a)Notice of S/L must be given to the employer or the wokmen within six
weeks before S/L
b)There must be no S/L within 14 days of giving such notice
c)No S/L can be declared before the expiry of that specified date
d)Any Conciliation are pending before Conciliation officer,no strike can
be called or Lockout declared during the pendency of conciliation
proceedings and 7 days after the conclusions of such proceedings.

3. 3
Section 22(2)
 It lays down that no employer carrying on any public
utility service shall Lockout his workplace.
a)Without giving lockout notice
b)Within 14 days of giving such a notice
c)Before the expiry of the stipulated period
d)During pendency of any conciliation proceedings before
C.O & a week after such proceedings.
Section 22(4) lays down that notice of strike shall be given
by such number of person to those in prescribed manner
of section22(5)

4. 4
Prohibition of Lockout
 The prohibition as laid down in Section 22(2) against the
employer is similar to that against strike by workmen.
 For lockout a notice under Section22(2) is required to be
given.
 A lockout without proper notice is Illegal under Section
24 of the Act.

5. 5
General Prohibitions of Strikes and Lockout:Section23
According to Section23,no workman who is employed in any industrial
establishment shall go on strike in breach of contract & no
employer of any such workman declare a Lockout:
a) During the pendency of conciliation proceedings before a board &
7days after the conclusion of such proceedings.
b) During the pendency of proceedings before a labour
court,Industrial or national tribunal & 2 months after the
conclusion of such proceedings.
c) During the pendency of Arbitration proceedings before an
arbitrator and two months after the conclusion of such proceedings.
d) During the period in which a settlement or award is in operation,in
respect of any of the matters covered by the settlement or
award.But there is no bar to call strike or declare lockout in respect
to other matters.

6. 6
Prohibition of S&L by order of the Government
Sub-Section (Sec
10A(4A)
 If an industrial dispute is refered to a board,labour
court,Industrial or national tribunal,the appropriate government
may by order prohibit the continuance of a S/L in connection
with such dispute which may be in existence on the date of the
reference;or which has been refered to arbitration and a
notification has been issued under the section.

7. 7
Illegal strikes & lockouts
Section 22,23 & Section 10(3),sub-Section4-A of
the Section 10-A
S/L is Illegal: i) When it is commenced or declared in
contravention of section 22 or 23 of the Act
ii) When it is commenced in contravention of an order under
Section 10(3) or sub-section4-a of the Section 10-A.
Strike is justified or Illegal depends upon the circumstances
and statutory provisions.

8. 8
Continued….
A strike will not be treated as Illegal:
a) A strike in breach of the certified standing orders is not by itself
legal.
b) A strike is called strictly in compliance with the provisions of the
Act, eg:when workman is imposed additional task.
c) If a lockout has been declared in consequence of an Illegal strike or
a strike declared in consequence of an Illegal lockout.
d) If a S/L was commenced before and continued during pendency of
arbitration proceedings and also if it continued after a reference has
been made to a board,labour court or any tribunal.

9. 9
Prohibition of Financial Aid to Illegal S&L
Section 25
 No person shall knowingly expand or apply any money in
direct furtherance or support of any illegal strike or lockouts.

10. 10
Punishment for Illegal strikes
 If a strike is illegal then the guilty party is punishable
under section 26 of the Act.
 Even under Illegal strike a distinction has to be made
between i) Illegal but unjustified strike
ii) Illegal but justified strike.
 A strike may be unjustified-when raised in contravention
of the provisions of Act and both the demand & behavior
of strikes are unjust.
 A strike is justified if it has been raised for a good cause
& carried in peaceful manner.

11. 11
Offences and Penalties
 Section 26,27,28,32….
i) Any workmen who commences,continues in furtherance of illegal
strike ,shall be punishable with imprisonment up to one month,or fine
upto Rs50/ or with both.(Section 26)
ii) Any person who instigates or incites others to take part in an illegal
S/L, is punishable with imprisonment of six months or fine upto
Rs1000/ or with both.(Section 27)
iii) Any person who knowingly extends money in support of any illegal
strike shall be imprisoned for a term upto six months or fine upto
Rs1000/ or with both.(Section 28)
iv) If a person committing an offence under this act is a company, or
corporate body, an association, every manager, director, secretary,
agent, officer is deemed to guilty of such offence. (Section 32)

12. 12
Lay Off
According to the Industrial disputes Act,1947 Lay Off means the
failure,refusal or inability of an employer on account of
shortage of resources (raw material, breakdown of machinery).
It is merely a temporary suspension of his service contract.it
arises only when there is a “ failure”, “inability”, or “refusal”
on the part of employer to provide employment to his workers.
IT DOES NOT TERMINATE THE EMPLOYEE-
EMPLOYER RELATIONSHIP
Lay Off is a measure or a compromising device to cope with the
temporary inability of an employer to offer employment.

13. 13
Conditions under Lay Off
 Under the traditional law- According to this, the
management has right to layoff its workers & adjust labor
force to the requirements of work.
 Under labor law- According to Industrial dispute
Act,1947 the employers are empowered to layoff its
employees for other than the reasons (R/m,Breakdown
etc) specified under the Standing order Act.

14. 14
Prohibition on Lay Off
The amended Industrial Disputes Act,1982 has following prohibition on
lay off:
 No workmen (other than casual workers) whose name is on the
muster roles of an industrial establishment shall be laid off by his
employer except with the prior permission of such Authority . Unless
such layoff is due to shortage of power, natural calamity.
 If the refusal or the permission is not granted to the employer within a
period of two months from date on which the application is made the
permission applied shall be taken for granted on the expiry of two
months.
 If the application for permission has been made within period
specified therein, or where the permission for the lay off or the
continuance of lay off has been refused, such lay Off shall be treated
as illegal from the date on which the workmen have been laid off and
they are entitled with all the benefits.

15. 15
 The provisions of section 25 C shall apply to cases of Lay
off referred to in this section. These provisions are
applicable to all industrial establishments wherein not less
than three hundred workers are employed on an avg per
working day for the proceeding twelve months.

16. 16
Procedure of Lay Off
The Industrial Disputes Act,1947 does not lay down any procedure for
the lay off. The Industrial Disputes (central rules 1957),rules 75-A
makes it obligatory on the part of employer to provide a notice of the
period of lay off within seven days of commencement or termination
of such lay off. CONDITIONS:
a) The lay Off should occur due to something beyond the control of the
employer.
b) It should result in temporary non-employment of workman whose
name must appear on the muster roles of the Industrial establishment.
c) Lay Off always occurs in a continuing concern ,when the concern is
closed for all time to come, lay off has no relevance.
d) Lay Off cannot be declared merely for the reason that the employer
suffered financial loss for reasons beyond his control, for such lay off
should be unjustified and invalid too,the workman can claim full
wages for the period of lay off.

17. 17
Lay Off compensation to workman
 Under Section 25C the workmen who are laid off are
entitled to compensation. even when the lay off is the
result of settlement between the parties,the employer is
bound to pay lay off compensation unless the settlement
expressly provides otherwise.
 If the lay off is due to orders of the government
pertaining to the working hours in an industry and the
situation is beyond the control of the employer, lay off
compensation has to be paid.

18. 18
Provisions for compensation, the workman
 Must not be a casual workman
 His name must be in muster roles of the establishment
 He/she must have completed not less than one year of
continuous for service.
 Two major conditions for lay off compensation.
a) The workman of Section must have been laid off for
reasons contemplated by Section2(kkk)
b) Requirement of section 25 C must be fulfilled

19. 19
Continuous service
It is necessary on the part of employee for getting a lay off
compensation.
The uninterrupted service shall include:
a) The authorized leave period, on full wages, earned in the previous
year.
b) The period of absence due to temporary disablement caused by
accident arising out of and in course of employment.
c) The period of absence due to a strike which is not illegal,or lockout.
d) In case of female,the period of maternity leave,which should not
exceed twelve weeks.

20. 20
Workman not entitled to lay off
compensation
i) If a workmen refuses to accept any suitable alternative
employment offered to him by the employer
ii) Where a workman, who has been laid off does not
present himself for work at least once a day at the
appointed time during normal business hours.
iii) Where a laying off is due to strike or slowing down of
production by the workman in another part of
establishment.

21. 21
Retrenchment
The Act defines retrenchment as “the termination by employer, of the
service of the workman, for any reason, whatsoever, otherwise than
as a punishment inflicted by way of disciplinary action. But does not
include voluntary retirement, compulsory retirement of the workman
on reaching the age of termination of service on the grounds of
continued ill health”
Certain classes of termination not included under retrenchment i)
Voluntary retirement( workman agree to retire provided the benefits
given)
ii) Retirement on reaching superannuation
iii) Termination of the workman in the grounds of continued ill health.
The termination of service as a result of transfer of ownership of
an undertaking to another employer does not constitute
“retrenchment”

22. 22
1.Conditions precedent to
retrenchment of Workman
The conditions are valid in case of retrenchment of an
employee who have been in service for not more than
one year.
One month’s notice, in writing has been given to the
workman indicating the reason for retrenchment
Notice in prescribed manner has been served on the
appropriate government within three days of notice or
payment to workman.
The workman has been paid, at the time of retrenchment
compensation equivalent to 15 days.

23. 23
2.Procedure for retrenchment (Section 25G)
The employer is required to prepare a list of all workman in the
particular category from which retrenchment is contemplated,
arranged according the seniority of service in that category. A copy
of list shall be displayed on the notice board, atleast seven days
before the retrenchment.
 The workman must be a workman within the meaning of
Section2(S) of the Act.
 The workman should be employed in an establishment which is an
industry within the meaning of Section2(J) of the Act.
 The workman should belong to a particular category of workman in
the industrial establishment.

24. 24
3.Retrenchment compensation
According to clause B of Section 25 F workers are entitled
for retrenchment compensation. It provides that no
workman employed in any industry ,who has been in
continuous service for less than a year under an employer,
shall be retrenched until at the time of retrenchment ,be
paid compensation, which shall be equivalent to 15 days
avg pay for every completed year of service.

25. 25
4.Continuous service
For claiming retrenchment compensation, it is necessary that
workman must be in continuous service ddefined under
Section 25(B) sub Section(2).

26. 26
5.Reinstatement of a retrenchment
workman
The Section 25H imposes a statutory obligation on the
employer, to provide an opportunity to the retrenched
workmen, to offer themselves for re-employment and they
shall be given preference over new comers in the matter
of re-employment.
Such vacancies shall be notified on the notice board at least
ten days before they are to be filled.
Individual notice shall be given over post to all the
retrenched employees eligible to be considered therefor.
If the number of vacancies are less, then senior members are
given the priority.

27. 27
6.Penalty for Lay off & Retrenchment
without Permission
Any employer who contravenes the provision of Section 25
M or of Section 25 N, shall be punishable with
imprisonment for a term which may extend to one month,
or with fine may extend to one thousand rupees or both.

28. 28
Laws relating to standing Orders
Standing Orders
• The term ‘Standing Orders’ means rules relating to matters set
out in the Schedule of the Act.
 Extends to the whole of India
 To every establishment wherein 100 or more workmen are employed
 On any day preceding twelve months
 Once applicable to the establishment then it continuous if the no. of
workmen employed gets reduced to less than 100
 The appropriate Govt. can exempt any establishment from any of the
provisions of the Act

29. 29
Continued….
 It applies to railways, factories, mines, quarries, oil-
fields, tramways, motor services, docks, plantations,
workshops, civil construction and maintenance works.
 The Act has 15 sections and a schedule.
 It applies to all the skilled or unskilled, manual,
supervisory, technical, clerical work.
 The apprentices are also included.
 The persons employed mainly in a
managerial/administrative/supervisory capacity
drawing wages exceeding Rs.1600 are not covered.

30. 30
Schedule
Matters to be contained in the Standing Orders
 Classification of the workmen : temporary, casual, apprentices
 Manner of intimating to workmen
 Shift working
 Attendance and late coming
 Conditions of, procedure in applying for, and the authority which may
grant leave and holidays
 Requirements to enter premises by certain gates and liability to search
 Closing and reopening of sections of the establishments, temporary
stoppages
 Suspension or dismissal for misconduct
 Acts and omissions which constitute misconduct

31. 31
Submission of Draft Standing Orders
 Obligatory on the part of an employer or a group of employers to
furnish 5 copies of the draft standing orders
 Within 6 months of the application of the Act the employer shall
submit the draft standing orders
 Copies to be given to the certifying officer
 Draft has to enclose the prescribed particulars of the workmen
 The status and name of the trade unions to be given.
 It has to take all matters set out in the Schedule.

32. 32
Procedure for Certification of Standing
Orders
 Copy of draft standing orders to be sent to trade union/workmen
 Opportunity of hearing to trade union/workmen to be provided
 Certification
 Certified standing orders have the force of law and the violation of
any provision shall be taken action
 Standing orders to be applicable to all present and future workmen
 Standing orders must confirm the model standing order

33. 33
Conditions for certification of Standing
Orders
 Must compile as per the Model Standing Orders
 Fairness of the provisions shall be verified by the Certifying Officer
Appeal
Any employer, workman, trade union aggrieved by the order of the
certifying officer may, with in 30 days from the date on which copies of
the certified standing orders sent to them
Date of Operation of the Act
On the expiry of 30 days of the certification given by certifying officer
Or
After the expiry of 7 days of the decision given by appellate authority.

34. 34
Payment of Subsistence allowance
 Payment of subsistence allowance by an employer to a
workman who has been suspended by the employer and
his investigation is pending
 the allowance shall be at the rate of 50% of the wage for
the first 90 days of suspension
 The allowance shall be 75% of the wage after 90 days if
the investigation is delayed due to employer

35. 35
Penalty
 Any employer fails to submit draft standing orders or
modifies it, shall be punishable with fine which may
extend to Rs. 5000.
 In case of continuance of the above offence, fine up to
Rs.200 per every day.
 Any contravention of Standing Orders is punishable by
Rs. 100 fine .

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