BOMBAY INDUSTRIAL RELATIONS ACT 1946

OBJECTIVES OF THE ACT

1. To regulate relations between employers and employee and to promote harmonious relation between them. 2. To provide machinery for settlement of disputes by adjudication or arbitration on consideration of equity, justice and good service. 3. To promote collective bargaining
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APPLICABILITY a) It extends to State of Maharashtra & Gujarat. b) Applicable only to certain industries like silk, cotton , hosiery ,woolen, textile processing, sugar, cooperative banking, generation and supply of electric energy and transport.
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INDUSTRY-Definition industry means (a) any business, trade, manufacture or undertaking or calling of employees. (b) any calling, service, employment, handicraft, or, occupation or avocation of employees; and includes AND INCLUDES agriculture and agricultural operations. any branch of an industry may by notification in the official gazette declare to be an industry for the purpose of this act

INDUSTRY DISPUTE-Definition industry dispute means Any dispute or difference between an employer & employee, or between employers & employees, or between employees & employees which is connected with any industrial matter.
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Definition of EmployeeEmployee means any person (including an apprentice) employed in any industry to do any manual, unskilled, skilled, Technical, Operational, clerical or supervisory work for hire or reward, whether the terms of employment be express or implied It includes a person who has been dismissed, discharged or retrenched from employment or whose services have been terminated on account of any dispute. It excludes persons subject to defence forces, police force and prison service It excludes persons who are mainly employed in managerial or administrative capacity draws basic pay (excluding allowances) >1000 rupees per month.

Definition of EmployersEmployer includesan association or a group of employers; Any agent of employer; where an industry is conducted or carried on by a department of the state government; where an industry is conducted or carried on by or on behalf of a local authority. where the owner of any undertaking in the course of or for the purpose of conducting the undertaking entrusts the execution of the whole or any part of work;
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Definition of Commissioner of Labour Means an officer appointed by the State Government for the time being to be the Commissioner of Labour and in respect of any of the powers and duties of the commissioner of labour that may be conferred and imposed on any person.

Definition of Board of Conciliation Means when an industrial dispute arises the state government may, by notification in the Official Gazette constitute a board of conciliation for promoting the settlement of such dispute. The board consists of a Chairman who is an independent person and an even number of members representing the interests of employer and employees.

Definition of Labour Officer means an officer appointed to perform the duties of a Labour Officer under this Act and includes in respect of such duties of the Labour Officer. Duties of Labour Officer: a) watch the interests of employees and promote harmonious relations between employers and employees. b) investigate the grievances of employees and represent to employers such grievance and make recommendations to them in consultation with the employees concerned for their redress. c) report to the state government the existence of any industrial dispute of which no notice of change has been given together with the names of the parties thereto.

Definition of Industrial Court The state government shall constitute a court of industrial arbitration. The industrial court shall consist of 3 or more members one of whom shall be its president. They must not be connected with industrial dispute every member of the industrial court shall be a person who is or has been a judge of high court or is eligible for being appointed as a judge of such court. The industrial court acts as a court of appeal against the order of the labour court.

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Registration of Unions Recognition of Undertaking and occupation: The Registrar may after making such inquiry as he deems fit, recognize for the purposes of this Act. (1) any concern in an industry to be an undertaking ; (2) any section of an undertaking to be an occupation. Maintenance of Registers and Approvd List: It shall be the duty of the Registrar to maintain in such forms as may be prescribed(a) registers of unions registered by him under the provisions of this Act, (b) a list approved unions.

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Registration of Unions Application for Registration:

Any union in which has the whole period of three calendar months a membership of not less than 25% of total number of employed in any industry or local area may apply in prescribed form to the registrar for registration as a representative union for such industry in local areas. They are the sole bargaining agents for representing employees in each industry in local areas. In any, local area if no representative union has been registered, a union having a membership of not less than 5% of the total numbers of employees employed in such industry in the said area may apply for registration of qualified Union. If neither a representative union nor a qualified union has been registered, a union having a membership of not less than 15% of the total number of employees employed may apply for primary union.

Registration can be granted on payment of prescribed fees & after holding necessary inquiry by the registrar. In local area there shall not be more than one representative union in respect of same industry
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Approved Union
Apart from registration of union as representative union the act recognizes another class of union as approved union. The registrar can enter the name on the approved list if the union makes application in that behalf & if its rules provide that: Membership subscription shall not be less than 50 paise Executive committee shall meet at intervals not less than3 months All the resolutions passed by executive committee or by the general body of the union shall be recorded in minutes book Auditor audits the a/cs at least once in each financial year No stoppages which is illegal under this act shall be sanctioned The registrar may not enter the union in the approved list if he is satisfied that it is not being conducted in the bonafide interest of its member, but to their prejudice
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Approved Union
THE RIGHTS OF OFFICERS OF APPROVED UNIONS (a) To collect sums payable by members to the union (b) To put up or cause to be put up a notice-board on the premises of undertakings in which its members are employed & affix notices thereon (c) For prevention or settlement of an industrial dispute (i) to hold discussions with the employees concerned who are members of the union (ii) to meet & discuss with an employer for redressing the grievances of its members employed in the undertaking (iii) to inspect, if necessary (d) An approved union is entitled to appear before a Labour Court or Industrial Court for the grant of legal aid at the expense of the State Government

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Representation of Disputes a) Association of employers shall be entitled to represent any employer. b) No employee shall be allowed to appear or act in any proceeding except through the representation of employees.

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STANDING ORDERS
The employer is required to submit for the approval of the Commissioner of Labour within six weeks in the prescribed manner Draft Standing Orders. The views of representative union or elected representatives are considered before settling standing orders. The Labour Commissioner shall forward a copy of the standing orders to the Registrar. The Model Standing Orders are applicable until standing orders in respect of an undertaking come into operation. Any person aggrieved by the decision of the Commissioner of Labour may appeal to the Industrial Court within 30 days from the date when standing orders come into operation. Any employer or employee can apply to the Commissioner of Labour for change in the standing orders only after a period of at least one year from the settlement date.

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NOTICE OF CHANGE
Employer has to give a notice of change in the prescribed form (form K) to the

representative of employees & has to send a copy of notice to the Chief Conciliator, Conciliator, Registrar & Government Labour Officer for any change in respect of industrial matters. He has also to affix a copy of such notice at a conspicuous place. Then the parties will discuss the change demanded & try to reach settlement within 7 days. If the desired change is in respect of an industrial matter not specified in Schedule I or III then the employee has to give notice in form L to the employer through representative of employees. If the dispute is not settled then it will be referred to the Conciliator & if still the dispute is not settled then Conciliator will declare that the dispute has ended in a failure & will give certificate to the employer. Then the dispute will be referred to the Industrial Court under Section 73A of the Act of its Adjudication & Industrial court will make an award in respect of the dispute after haring both the parties. For the change in standing orders or industrial matter specified in Schedule III, except Item 5 thereof, employee shall make an application to the Labour Court & in respect of Item 5 to the Industrial Court. Before the application to the Labour Court or Industrial Court, employee has to approach the employer with a request for change. If after notice of change is served, an agreement is arrived then a copy of agreement is to be forwarded to the Chief Conciliator, Registrar & Labour Officer. 17

A strike is illegal if:

1. Industrial matter is specified in schedule lll or regulated by any standing order for the time being in force. 2. Without giving notice (sec 42) 3. Employer has not carried out the provisions of any standing orders or has made an illegal change. 4. Where notice of change is given in accordance with the provisions of section 42and where no agreement in regard to such change is arrived at before the submission of case is received by the conciliator. 5. Where conciliation proceeding in regard to the industrial dispute to which the strike relates has commenced, before the completion of such proceeding and during the period of 10 days thereafter. 6. Where such limitations has been sent under section 52(a) to the conciliator before the receipt of the intimation by the person to whom it is to be given. 7. Where submission relating to such dispute or such type of dispute is registered and before such submission is lawfully revoked. 8. Where an industrial dispute has been referred to arbitration of a labour court or the industrial court before the day on which the arbitration proceedings are completed or the date on which the award of the Labour Court or the Industrial Court comes into operation. These provisions are not applicable if the union has offered in writing to submit the industrial dispute to arbitration and the employer does not accept the offer or after accepting the offer because of disagreement on the choice of the arbitrator does not agree to submit to the arbitrator without naming an arbitrator and thereafter the dispute has been referred to the arbitration. 9. If the strike has been commenced or continued in contravention of the terms of a registered agreement or a settlement or effective award. 10. Where an industrial matter or industrial dispute is referred to a Wage Board for decisions, before the date on which the decision comes into operation. 11. When there is any contravention of the decision of a Wage Board. 12. Where there is conciliation proceeding in regard to any industrial dispute has beencompleted, strike relating to such dispute will be illegal if it is commenced at anytime after the expiry of two months after the completion of such proceedings. 13. If 14 days clear notice of a strike not falling under conditions no. 1, 7, 8 and 9 wasgiven to the employees and the labour officer, and the strike was not commencedeither before the expiry of the period of notice or after 6 weeks from the date of its expiry and the employees who resume work within 48 hours from the timewhen Labour Court or the Industrial Court declares such strike to be illegal, willnot incur any penalty under this act for such strike.

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Penalties
Section 102 103 105 106 106 - A 108 Action Penalty for declaring Illegal Lock-Outs Penalty for declaring Illegal Strike Penalty for Disclosing confidential information Penalty for Illegal change Penalty for failure to appoint member of Joint Committee Penalty for obstructing person from carrying out duties Penalties for offences not provided for elsewhere Imprisonment Up to ---3 Months or -6 Month Penalty Rs.2500/- or more than. Rs.10 or Rs.1/per day May extend to Rs.1000/Rs.5000/- or both Rs. 50/- every day Rs.500/-

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Rs.100/Next time Rs.200/-

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COMPARISON OF ID v/s BIR

BIR Act 1946 This is a State Legislation. The Authorities under this acts: Commissioner of Labour, Registrar, Additional Registrar, chief conciliator, Board of conciliation, Labour officers, court of Enquiry, Wages Board, Labour courts, Industrial courts This act applies to industries which may be notified by the government generally or in any local area. The representative of Union is the sole bargaining agent for representing employees in each industry in a local area. Once the representative union so appears, nobody else can appear. The Provision relating to Strike/Lock outs are the same for all the industries covered under this act. If conciliation proceeding fails either of the parties can make a reference of the dispute to the industrial court prior to the intervention of govt. There is no provision under the act for lay-off, retrenchment etc and payment of compensation thereof. ID act 1947 This is a Central Legislation. The Authorities under this acts: Conciliation officer, Board of conciliation, court of Enquiry, Labour courts, Industrial courts

The act applies automatically to all industrial establishment. No such provision exists.

Sec 22 and 23 provide for strikes/lockouts in public an non public utility services respectively. No such provision exists. It goes direct to conciliation officer. If no settlement before him occurs, a failure report is sent to the government and government sits for the judgment. Chapter V-A and V-B of the act have made elaborate provisions for lay-off, retrenchment, Transfer of undertaking and closure in each case.

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THANK YOU

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