Methods and Machinery for the settlement of Industrial disputes

Posted on Mar 15 2018 - 1:49pm by Preeti

Methods and Machinery for the settlement of Industrial disputes

Lasting industrial peace requires that the causes of industrial disputes should be eliminated. In other words, preventive steps should be taken so that industrial disputes do not occur. But if preventive machinery fails, then the industrial dispute settlement machinery should be activated by the government because non- settlement of disputes will prove to be very costly to the workers, management and the society as a whole.

The machinery for handling of industrial conflicts has been shown in the following figure.

A. Prevention of Industrial Disputes

The preventive machinery has been set up with a view to creating harmonious relations between labour and management so that disputes do not arise. It comprises of the following measures:

  1. Worker’s participation in management
  2. Collective bargaining
  3. Grievance Procedure
  4. Tripartite bodies
  5. Code of discipline
  6. Standing orders
  1. Worker’s participation in management

It is a method whereby the workers are allowed to be consulted and to have a say  on the management of the unit. The International Labour Organisation has been encouraging member to promote the schemes of worker’s participation in management. The important schemes of worker’s participation are:

i. Work committee

ii. Suggestion scheme

iii. Joint Management Councils

iv. Worker Directors

v. Co-partnership

  1. Collective bargaining

Collective bargaining is a process in which the representatives of the employer and the employees meet and attempt to negotiate a contract governing the employer. Collective bargaining not only includes negotiation, administration and enforcement of  the written contracts between the employees and the employers, but also includes the process of resolving labour management conflicts. Collective bargaining is democratic, flexible, pragmatic and durable means of regulating industrial relations.

  1. Grievance Procedure

It is established for an early settlement of worker’s grievances. In India, Sec. 9-C of the Industrial Disputes Act provides that in every establishment in which 100 or more workers are employed or have been employed on any one day in the preceding twelve months, the employer shall set up a time bound grievance redressal procedure.

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