SECTION-A

Q1. Describe the objectives of labor law.

 Employer-Employee Fairness
The Fair Labor Standards Act regulates employee wages and establishes the minimum wage
and overtime payments
 Employee Safety
The Occupational Safety and Health Act sets and enforces standards that employers must
follow to maintain a hazard-free work environment. The law covers all workers except
those who are self-employed, farms that hire only immediate family members and
employers protected under other federal agencies, such as the Mine Safety and Health
Administration. Hazards include any activity that can bring harm to employees, such as
mechanical failures, radiation and extreme temperatures.
 Protection from Disability Discrimination
Labor laws strive to provide equal opportunities to disabled people who have otherwise the
necessary qualification to apply to or be hired by a company. The law urges employers to
accommodate physical and mental limitations of the applicants subject to the necessary
qualifications being available.
If you have 15 or more employees, you must provide your disabled workers with the same
opportunities you provide the rest of your workforce.
 Age and Gender Equality
It is against the law, specifically the Age Discrimination in Employment Act of 1967, to
eliminate job applicants or remove existing employees from service on the basis of age if
they are older than 40. Aged employees can retain their existing work or get new options
alongside other applicants.
Protection from Retaliation
 Employees and applicants can object to unfair labor practices by filing a complaint. For
example, claims of discrimination can be filed with the Equal Employment Opportunity
Commission. Employers aren't allowed to retaliate or take adverse actions such as firing,
demoting or harassing employees who file unfair labor practice claims.

Q2. Explain collective bargaining.

Collective bargaining is a process of negotiation between employers and a group of

employees aimed at agreements to regulate working salaries, working conditions, benefits,
and other aspects of workers' compensation and rights for workers.
The interests of the employees are commonly presented by representatives of a trade
union to which the employees belong. The collective agreements reached by these
 negotiations usually set out wage scales, working hours, training, health and
safety, overtime, grievance mechanisms, and rights to participate in workplace or company
affairs.

Q3. Settle of machineries to resolve disputes.

Some of the major industrial dispute settlement machinery are as follows:
1. Conciliation
2. Court of Inquiry
3. Voluntary Arbitration
4. Adjudication.
This machinery has been provided under the Industrial Disputes Act, 1947. It, in fact, provides a
legalistic way of setting the disputes. As said above, the goal of preventive machinery is to create
an environment where the disputes do not arise at all.
This machinery comprises following organs:
1. Conciliation
2. Court of enquiry
3. Voluntary arbitration
4. Adjudication (Compulsory arbitration).

1. Conciliation:
Conciliation, is a form of mediation. Mediation is the act of making active effort to bring two
conflicting parties to compromise.
Mediation, however, differs from conciliation in that whereas conciliator plays only a passive and
indirect role,and the scope of his functions is provided under the law, the mediator takes active
part and the scope of his activities are not subject to any statutory provisions.
Conciliation is the “practice by which the services of a neutral party are used in a dispute as a
means of helping the disputing parties to reduce the extent of their differences and to arrive at an
amicable settlement of agreed solution.”
 Conciliation Officer:
The law provides for the appointment of Conciliation Officer by the Government to conciliate
between the parties to the industrial dispute. The Conciliation Officer is given the powers of a civil
court, whereby he is authorised to call the witness the parties on oath. It should be remembered,
however, whereas civil court cannot go beyond interpreting the laws, the conciliation officer can
go behind the facts and make judgment which will be binding upon the parties.

The conciliation officer is required to submit his report to the appropriate government along with
the copy of the settlement arrived at in relation to the dispute or in case conciliation has failed, he
has to send a detailed report giving out the reasons for failure of conciliation.
The report in either case must be submitted within 14 days of the commencement of conciliation
proceedings or earlier. But the time for submission of the report may be extended by an agreement
in writing of all the parties to the dispute subject to the approval of the conciliation officer.
 Board of Conciliation:
In case Conciliation Officer fails to resolve the differences between the parties, the government
has the discretion to appoint a Board of Conciliation. The Board is tripartite and ad hoc body. It
consists of a chairman and two or four other members.
The chairman is to be an independent person and other members are nominated in equal number
by the parties to the dispute. Conciliation proceedings before a Board are similar to those that take
place before the Conciliation Officer. The Government has yet another option of referring the
dispute to the Court of Inquiry instead of the Board of Conciliation.
The Board must submit its report to the government within two months of the date on which the
dispute was referred to it. This period can be further extended by the government by two months.
2. Court of Inquiry:
The court of enquiry is required to submit its report within a period of six months from the
commencement of enquiry. This report is subsequently published by the government within 30
days of its receipt. Unlike during the period of conciliation, workers’ right to strike, employers’
right to lockout, and employers’ right to dismiss workmen, etc. remain unaffected during the
proceedings in a court to enquiry.
A court of enquiry is different from a Board of Conciliation. The former aims at inquiring into
and revealing the causes of an industrial dispute. On the other hand, the latter’s basic objective is
to promote the settlement of an industrial dispute. Thus, a court of enquiry is primarily fact-finding
machinery.
3. Voluntary Arbitration:
On failure of conciliation proceedings, the conciliation officer many persuade the parties to refer
the dispute to a voluntary arbitrator. Voluntary arbitration refers to getting the disputes settled
through an independent person chosen by the parties involved mutually and voluntarily.
In other words, arbitration offers an opportunity for a solution of the dispute through an arbitrator
jointly appointed by the parties to the dispute. The process of arbitration saves time and money of
both the parties which is usually wasted in case of adjudication.

4. Adjudication:
The ultimate remedy for the settlement of an industrial dispute is its reference to adjudication by
labor court or tribunals when conciliation machinery fails to bring about a settlement. Adjudication
consists of settling disputes through intervention by the third party appointed by the government.
The law provides the adjudication to be conducted by the Labor Court, Industrial Tribunal of
National Tribunal.
These include:
(a) Labor courts,
(b) Industrial tribunals, and
(c) National tribunals.

(а) Labor Court:

A labor court consists of one person only, who is normally a sitting or an ex-judge of a High Court.
It may be constituted by the appropriate Government for adjudication of disputes which are
mentioned in the second schedule of the Act.
The issues referred to a labor court may include:
(i)The propriety or legality of an order passed by an employer under the Standing Orders.
(ii) The application and interpretation of Standing Orders.
(iii) Discharge and dismissal of workmen and grant of relief to them.
(iv) Withdrawal of any statutory concession or privilege.
(v) Illegality or otherwise of any strike or lockout.
(vi) All matters not specified in the third schedule of Industrial Disputes Act, 1947. (It deals with
the jurisdiction of Industrial Tribunals).
(b) Industrial Tribunal:
The Industrial Tribunal may be referred the following issues:
1. Wages including the period and mode of payment.
2. Compensatory and other allowances.
3. Hours of work and rest intervals.
4. Leave with wages and holidays.
5. Bonus, profit sharing, provident fund and gratuity.
6. Shift working otherwise than in accordance with the standing orders.
7. Rule of discipline.
8. Rationalization.
9. Retrenchment.
10. Any other matter that may be prescribed.

(c) National Tribunal:

The Central Government may constitute a national tribunal for adjudication of disputes as
mentioned in the second and third schedules of the Act or any other matter not mentioned therein
provided in its opinion the industrial dispute involves “questions of national importance” or “the
industrial dispute is of such a nature that undertakings established in more than one state are likely
to be affected by such a dispute”.

Q4. Write short notes on:

1. Lockout:
Lockout of any factory or industry is governed by the law called the Industrial Disputes Act 1947.
According to section 22 of this Act, lockout of factory or industry must be done only after issuing
prior notice to concern employees.
According to Industrial Disputes Act 1947,Lockout [Sec. 2(1)]: Lockout means "the temporary
closing of a place of employment, or the suspension of work, or the refusal by an employer to
continue to employ any number of persons employed by him".
A lockout is a work stoppage in which an employer prevents employees from working. It is
declared by employers to put pressure on their workers to come to their way by consensus
about settlement of issued lead to lockout.
2. Layoff:
According to [section 2 (kkk)] of Industrial disputes act, 1947
"lay-off" means the failure, refusal or inability of an employer on account of shortage of coal,
power or raw materials or the accumulation of stocks or the break-down of machinery [or natural
calamity or for any other connected reason] to give employment to a workman whose name is
borne on the muster rolls of his industrial establishment and who has not been retrenched.
Q5. Difference between conciliation arbitration and adjudication.

Conciliation, arbitration and adjudication are the different methods provided for in the Industrial
Disputes Act 1947 for the settlement of industrial disputes.
 1. Conciliation: The Government that is either the Central Government or the State
Government appoints conciliation officers who are usually officials of the State Labour
Department or the officials of the Ministry of Labour Government of India.
 Usually conciliation officers are appointed for a particular geographical area, usually a
revenue district. In certain cases the conciliation officer is appointed for a particular
industry in a particular area.
 If any industrial dispute arises between an employer and his workmen the workmen or the
employer can approach the Conciliation Officer for the area in which the industry is
situated and request him to hold conciliation talks in the dispute and settle the issue.
 The talks initiated by the conciliation officer are called conciliation talks. The conciliation
talks may end in the settlement of the disputes in which case a settlement is drafted and
signed by the employer, the workmen(trade union) and the conciliation officer.
2. Adjudication: The Labour Court/Industrial Tribunal gets the jurisdiction to decide an
industrial only if the Government makes a reference of that dispute to it. The proceedings
before the Labour Court/Industrial Tribunal are called adjudication proceedings.
 The Labour Court/Industrial Tribunal after following the procedure prescribed under law
finally gives its Award. This Award is sent to the Government and becomes operational
thirty days after the date of its publication by the Government. The Award given by the
Labour Court/Indiustrial Tribunal is binding on the parties to the industrial dispute.
However, any one of the parties in the adjudication proceedings before the Labour
Court/Industrial Tribunal can challenge the Award by means of a writ petition before the
High Court.
3. Arbitration: Arbitration is also a procedure for the settlement of the industrial dispute. In the
case of arbitration, the parties agree that the issue in dispute between them should be settled
by referring the issues for arbitration. The parties to the dispute can select the person who
should arbitrate the issue i.e., the arbitrator. The difference between arbitration and
adjudication is that in the case of arbitration the parties to the dispute agree to refer the dispute
for the decision of the arbitrator. In the case of adjudication, the dispute is referred for
adjudication by the Government. In the case of arbitration the parties to the dispute can choose
the arbitrators. In the case of adjudication the Presiding Officer of the Labour Court/Industrial
Tribunal are appointed by the Government. The parties to an adjudication proceedings cannot
choose the Presiding Officer of the Labour Court/Industrial Tribunal.

SECTION:B

Q.1 Industrial discipline and its types of disciplinary action.

Industrial Discipline on account of employees means complying with the predefined rules and
regulations of the organization.
It is a form of training that enforces organizational rules. Conduct problems arise from the
employees who fail to follow the code of conduct of the organization.

Types of disciplinary action

1. Written Reprimand
 A written reprimand is appropriate when the employee ignores a verbal warning about his
behavior. The reprimand outlines the incident, why the behavior is inappropriate, what
needs to change, and the consequences of non-compliance. A copy should go in the
employee's personnel file after he signs it.
2. Temporary Pay Cut
If problems continue, a temporary pay cut can be the next step. As a rule, these types of
reductions are implemented in full-step increments over one or two months.
3. Performance Improvement Plan
A performance improvement plan outlines specific actions that an employee must take to
meet your expectations. The worker may provide written comments, if he wishes, but
should realize that you're not renegotiating the terms of improving his performance.
4. Suspension
A written suspension notice is often the final step before termination. The letter outlines
the suspension's length, when the employee may return to work, what's needed to correct
the problem, and the consequences of not making the required changes
5. Demotion and Termination
Demotion involves reassigning an employee to a lower-paying position. This option is
typically invoked for a worker who hasn't improved his performance, but might function
successfully in a different role.

Q2. Write short note on employee grievance and procedure to handle grievance
in organization.
Employee grievance:
A grievance is generally defined as a claim by an employee that he or she is adversely affected
by the misinterpretation or misapplication of a written company policy or collectively bargained
agreement. The grievance procedure may also be part of a collective bargaining agreement.

Procedure to handle grievance in organization is shown below:

A grievance procedure is a means of internal dispute resolution by which an employee may have
his or her grievances addressed. Grievance processes may differ somewhat from employer to
employer and under various collective bargaining agreements. However, most will have certain
general processes in common.

Grievances are brought to the employee’s immediate supervisor. This may be either an informal
process or the beginning of the formal process. Usually, the supervisor and the union representative
will review the grievance to determine whether it is valid. Three possible outcomes may occur at
this stage of the process:

 The supervisor and the union representative may determine that no valid grievance exists.
 The grievance may be resolved.
 The grievance may not be resolved to the employee’s satisfaction, and it will move forward
to the next step in the process.

The next step typically involves the next level of supervisor in the company hierarchy. In most
union environments, the employee will be represented by the union and is not present in the review
process. A failure to resolve the grievance will lead to the next step in the grievance process.

The third step in the process will lead to a review by a higher level of company management and
potentially a higher-level union representative. Ultimately, the grievance may reach the highest
levels as set forth by the contract.

Q3. Write short notes on industrial relations act.

Industrial Relations Acts 1971

An Act to provide for the regulation of the relations between employers and workmen and their
trade unions and the prevention and settlement of any differences or disputes arising from
their relationship and generally to deal with trade disputes and matters arising therefrom.
Workers were given the right to belong to a registered trade union or not to belong to a registered
or unregistered trade union. Collective agreements were to be legally enforceable unless a
disclaimer clause was inserted.
There was a greater chance that collective 'no strike' clauses could be implied into individual
contracts of employment. Only registered trade unions had legal rights and to enjoy legal
immunities.
Continued registration was dependent on the organization having rules which specified how, when
and by whom, authority was to be exercised, especially concerning the taking of industrial action.
A grievance procedure was required to be included in the written statement of particulars of the
contract of employment. A worker under a normal contract of employment could receive
compensation for unfair dismissal to encourage the development of dismissal procedures.

Q4. Write short notes on employment standing orders Act.

This act may be called the Industrial Employment (Standing Orders) Act, 1946.
It applies to every industrial establishment wherein one hundred or more workmen are employed,
or were employed on any day of the preceding twelve months: Provided that the appropriate
Government may, after giving not less than two months’ notice of its intention so to do, by
notification in the Official Gazette, apply the provisions of this Act to any industrial establishment
employing such number of number of persons less than one hundred.
That the object of the Act is to have uniform Standing Orders providing for the matters enumerated
in the Schedule to the Act, that it was not intended that there should be different conditions of
service for those who are employed before and those employed after the Standing Orders came
into force and finally, once the Standing Orders come into the force, they bind all those presently
in the employment of the concerned establishment as well as those who are appointed thereafter.

Q5. Differentiate between retrenchment and layoff.

S.no. Retrenchment Lay-off

1. Section 2 (oo) defines “Retrenchment”. Section 2 (kkk) defines “Lay-off”.
2. Retrenchment is permanent. Of course, Lay-off is purely temporary.
the re-appointment of retrenched
persons is not bar at law. They may
again be appointed in appropriate cases.
3. In retrenchment, the employer lessens In lay-off, the employer is compelled to
overburdened employees under refuse employment under certain
circumstance s, viz. Government circumstances, viz. shortage of raw
policies, loss in some departments, etc. materials, power, finance, etc., which arise
temporarily in the industry.
4. While the process of retrenchment is Where the employer declares lay-off, the
going on, the industry does not stop its industry stops its function.
function. It continues to function.
5. In retrenchment, the last comes, first In lay-off, all the employees or a group of
goes. employees are refused to employment.
6. The Conditions Precedent are to be The Conditions Precedent is not necessary in
followed in case of retrenchment, viz. case of lay-off.
notice, retrenchment compensation,
notice to Government in the prescribed
manner, etc. (Sec. 25-F).
7. The retrenched employees are paid The laid-off employees are paid laid-off
retrenchment compensation + payment compensation. The payment of gratuity does
of gratuity not arise in lay-off.
8. Re-employment of retrenched workmen All of the laid-off employees should be taken
also takes place in certain back in their usual posts, as soon as the lay-
circumstances. off lifted out.