Sec 1 to 2A Chapter I (Preliminary)The Industrial Disputes Act, 1947

Sec 1 to 2A Chapter I (Preliminary)The Industrial Disputes Act, 1947

Free Online Judiciary Coaching Classes

1. Short title, extent and commencement.—

(1) This Act may be called the Industrial Disputes Act,  1947. 

2[(2) It extends to the whole of India: 3* * * * *]

(3) It shall come into force on the first day of April, 1947. 

1. This Act has been extended to Goa, Daman and Diu by Reg. 12 of 1962; to Pondicherry by Reg. 7 of 1963 (w.e.f. 1-10-1963); and Laccadive, Minicoy and Amindivi Islands by Reg. 8 of 1965, s. 3 and the Schedule. 2. Subs. by Act 36 of 1956, s. 2, for the sub-section (2) (w.e.f. 29-8-1956). 3. Omitted by Act 51 of 1970, s. 2 and the Schedule (w.e.f. 1-9-1971).

2. Definitions.—

In this Act, unless there is anything repugnant in the subject or context,— 

(a) “appropriate Government” means— 

(i) in relation to any industrial dispute concerning 4*** any industry carried on by or under  the authority of the Central Government, 5*** or by a railway company 6[or concerning any such  controlled industry as may be specified in this behalf by the Central Government] 7*** or in  relation to an industrial dispute concerning 8[9[10[11[a Dock Labour Board established under  section 5A of the Dock Workers (Regulation of Employment) Act, 1948 (9 of 1948), or 12[the  Industrial Finance Corporation of India Limited formed and registered under the Companies Act,  1956 (1 of 1956)], or the Employees‟ State Insurance Corporation established under section 3 of  the Employees‟ State Insurance Act, 1948 (34 of 1948), or the Board of Trustees constituted  under section 3A of the Coal Mines Provident Fund and Miscellaneous Provisions Act, 1948 (46 of 1948), or the Central Board of Trustees and the State Boards of Trustees constituted under  section 5A and section 5B, respectively, of the Employees‟ Provident Fund and Miscellaneous  Provisions Act, 1952 (19 of 1952), 13***, or the Life Insurance Corporation of India established  under section 3 of the Life Insurance Corporation Act, 1956 (31 of 1956), or 14[the Oil and  Natural Gas Corporation Limited registered under the Companies Act, 1956 (1 of 1956)], or the  Deposit Insurance and Credit Guarantee Corporation established under section 3 of the Deposit  Insurance and Credit Guarantee Corporation Act, 1961 (47 of 1961), or the Central Warehousing  Corporation established under section 3 of the Warehousing Corporations Act, 1962 (58 of 1962),  or the Unit Trust of India established under section 3 of the Unit Trust of India Act, 1963  (52 of 1963), or the Food Corporation of India established under section 3 or a Board of  Management established for two or more contiguous States under section 16 of the Food  Corporations Act, 1964 (37 of 1964), or 1[the Airports Authority of India constituted under  section 3 of the Airports Authority of India Act, 1994 (55 of 1994)], or a Regional Rural Bank  established under section 3 of the Regional Rural Banks Act, 1976 (21 of 1976), or the Export  Credit and Guarantee Corporation Limited or the Industrial Reconstruction Bank of India 2[the  National Housing Bank established under section 3 of the National Housing Bank Act, 1987 (53  of 1987)], or 3[4[an air transport service, or a banking or an insurance company], a mine, an oil field] 5[, a Cantonment Board,] or a 6[major port, any company in which not less than fifty-one  per cent. of the paid-up share capital is held by the Central Government, or any corporation, not  being a corporation referred to in this clause, established by or under any law made by  Parliament, or the Central public sector undertaking, subsidiary companies set up by the principal  undertaking and autonomous bodies owned or controlled by the Central Government, the Central  Government, and] 

7[(ii) in relation to any other industrial dispute, including the State public sector undertaking,  subsidiary companies set up by the principal undertaking and autonomous bodies owned or  controlled by the State Government, the State Government: Provided that in case of a dispute  between a contractor and the contract labour employed through the contractor in any industrial  establishment where such dispute first arose, the appropriate Government shall be the Central  Government or the State Government, as the case may be, which has control over such industrial  establishment;] 

6[(aa) “arbitrator” includes an umpire;] 

8[9[(aaa)] “average pay” means the average of the wages payable to a workman— (i) in the case of monthly paid workman, in the three complete calendar months, 

(ii) in the case of weekly paid workman, in the four complete weeks, 

(iii) in the case of daily paid workman, in the twelve full working days, preceding the date on which the average pay becomes payable if the workman had worked for three  complete calendar months or four complete weeks or twelve full working days, as the case may be, and  where such calculation cannot be made, the average pay shall be calculated as the average of the wages  payable to a workman during the period he actually worked;] 

10[(b) “award” means an interim or a final determination of any industrial dispute or of any  question relating thereto by any Labour Court, Industrial Tribunal or National Industrial Tribunal and  includes an arbitration award made under section 10A;] 

11[(bb) “banking company” means a banking company as defined in section 5 of the Banking  Companies Act, 1949 (10 of 1949), having branches or other establishments in more than one State,  and includes 12[the Export-Import Bank of India,] 13[the Industrial Reconstruction Bank of India,1[2***,] 3[the Small Industries Development Bank of India established under section 3 of the Small Industries Development Bank of India Act, 1989 (39 of 1989),] the Reserve Bank of India, the State  Bank of India 4[, a corresponding new bank constituted under section 3 of the Banking Companies  (Acquisition and Transfer of Undertakings) Act, 1970 (5 of 1970) 5[, a corresponding new bank  constituted under section 3 of the Banking Companies (Acquisition and Transfer of Undertakings)  Act, 1980 (40 of 1980), and any subsidiary bank]] as defined in the State Bank of India (Subsidiary  Banks) Act, 1959 (38 of 1959);] 

(c) “Board” means a Board of Conciliation constituted under this Act; 

6[(cc) “closure” means the permanent closing down of a place of employment or part thereof;] (d) “conciliation officer” means a conciliation officer appointed under this Act; 

(e) “conciliation proceeding” means any proceeding held by a conciliation officer or Board under  this Act; 

7[(ee) “controlled industry” means any industry the control of which by the Union has been  declared by any Central Act to be expedient in the public interest;] 

8* * * * *

(f) “Court” means a Court of Inquiry constituted under this Act; 

(g) “employer” means,— 

(i) in relation to an industry carried on by or under the authority of any department of 9[the  Central Government or a State Government], the authority prescribed in this behalf, or where no  authority is prescribed, the head of the department; 

(ii) in relation to an industry carried on by or on behalf of a local authority, the chief  executive officer of that authority; 

10[(gg) “executive”, in relation to a trade union, means the body, by whatever name called, to  which the management of the affairs of the trade union is entrusted;] 

11* * * * * 

(i) a person shall be deemed to be “independent” for the purpose of his appointment as the  chairman or other member of a Board, Court or Tribunal, if he is unconnected with the industrial  dispute referred to such Board, Court or Tribunal or with any industry directly affected by such  dispute: 

12[Provided that no person shall cease to be independent by reason only of the fact that he is a  shareholder of an incorporated company which is connected with, or likely to be affected by, such  industrial dispute; but in such a case, he shall disclose to the appropriate Government the nature and  extent of the shares held by him in such company;

1[(j) “industry” means any business, trade, undertaking, manufacture or calling of employers and  includes any calling, service, employment, handicraft, or industrial occupation or avocation of  workmen; 

(k) “industrial dispute” means any dispute or difference between employers and employers, or  between employers and workmen, or between workmen and workmen, which is connected with the  employment or non-employment or the terms of employment or with the conditions of labour, of any  person; 

2[(ka) “industrial establishment or undertaking” means an establishment or undertaking in which  any industry is carried on: 

Provided that where several activities are carried on in an establishment or undertaking and only  one or some of such activities is or are an industry or industries, then,— 

(a) if any unit of such establishment or undertaking carrying on any activity, being an  industry, is severable from the other unit or units of such establishment or undertaking, such unit  shall be deemed to be a separate industrial establishment or undertaking; 

(b) if the predominant activity or each of the predominant activities carried on in such  establishment or undertaking or any unit thereof is an industry and the other activity or each of  the other activities carried on in such establishment or undertaking or unit thereof is not severable  from and is, for the purpose of carrying on, or aiding the carrying on of, such predominant  activity or activities, the entire establishment or undertaking or, as the case may be, unit thereof  shall be deemed to be an industrial establishment or undertaking;] 

3[(kk) “insurance company” means an insurance company as defined in section 2 of the Insurance  Insurance Act, 1938 (4 of 1938), having branches or other establishments in more than one State;

1[(kka) “khadi” has the meaning assigned to it in clause (d) of section 2 of the Khadi and Village  Industries Commission Act, 1956 (61 of 1956);] 

2[3[(kkb)] “Labour Court” means a Labour Court constituted under section 7;] 

4[(kkk) “lay-off” (with its grammatical variations and cognate expressions) 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 5[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. 

Explanation.—

Every workman whose name is borne on the muster rolls of the industrial  establishment and who presents himself for work at the establishment at the time appointed for the  purpose during normal working hours on any day and is not given employment by the employer  within two hours of his so presenting himself shall be deemed to have been laid-off for that day  within the meaning of this clause: 

Provided that if the workman, instead of being given employment at the commencement of any  shift for any day is asked to present himself for the purpose during the second half of the shift for the  day and is given employment then, he shall be deemed to have been laid-off only for one-half of that  day: 

Provided further that if he is not given any such employment even after so presenting himself, he  shall not be deemed to have been laid-off for the second half of the shift for the day and shall be  entitled to full basic wages and dearness allowance for that part of the day;] 

(l) “lock-out” means the 6[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; 

7[(la) “major port” means a major port as defined in clause (8) of section 3 of the Indian Ports  Act, 1908 (15 of 1908); 

(lb) “mine” means a mine as defined in clause (j) of sub-section (1) of section 2 of the Mines Act,  1952 (35 of 1952)]; 

2[(ll) “National Tribunal” means a National Industrial Tribunal constituted under section 7B;] 

8[(lll) “office bearer”, in relation to a trade union, includes any member of the executive thereof,  but does not include an auditor;] 

(m) “prescribed” means prescribed by rules made under this Act; 

(n) “public utility service” means— 

(i) any railway service 7[or any transport service for the carriage of passengers or goods by  air]; 

8[(ia) any service in, or in connection with the working of, any major port or dock;] 

(ii) any section of an industrial establishment, on the working of which the safety of the  establishment or the workmen employed therein depends; 

(iii) any postal, telegraph or telephone service; 

(iv) any industry which supplies power, light or water to the public; 

(v) any system of public conservancy or sanitation; 

(vi) any industry specified in the 1[First Schedule] which the appropriate Government may, if  satisfied that public emergency or public interest so requires, by notification in the Official  Gazette, declare to be a public utility service for the purposes of this Act, for such period as may  be specified in the notification: 

Provided that the period so specified shall not, in the first instance, exceed six months but  may, by a like notification, be extended from time to time, by any period not exceeding six  months, at any one time if in the opinion of the appropriate Government public emergency or  public interest requires such extension; 

(o) “railway company” means a railway company as defined in section 3 of the Indian Railways  Act, 1890 (9 of 1890); 

2[(oo) “retrenchment” means the termination by the employer of the service of a workman for any  any reason whatsoever, otherwise than as a punishment inflicted by way of disciplinary action, but  does not include— 

(a) voluntary retirement of the workman; or 

(b) retirement of the workman on reaching the age of superannuation if the contract of employment between the employer and the workman concerned contains a stipulation in that  behalf; or 

3[(bb) termination of the service of the workman as a result of the non-renewal of the contract  contract of employment between the employer and the workman concerned on its expiry or of  such contract being terminated under a stipulation in that behalf contained therein; or] 

(c) termination of the service of a workman on the ground of continued ill-health;] 

4[(p) “settlement” means a settlement arrived at in the course of conciliation proceeding and  includes a written agreement between the employer and workmen arrived at otherwise than in the  course of conciliation proceeding where such agreement has been signed by the parties thereto in such  manner as may be prescribed and a copy thereof has been sent to 5[an officer authorised in this behalf  by] the appropriate Government and the conciliation officer;] 

(q) “strike” means a cessation of work by a body of persons employed in any industry acting in  combination or a concerned refusal, or a refusal under a common understanding, of any number of  persons who are or have been so employed to continue to work or to accept employment; 

6[(qq) “trade union” means a trade union registered under the Trade Unions Act, 1926  (16 of 1926);] 

7[(r) “Tribunal” means an Industrial Tribunal constituted under section 7A and includes an  Industrial Tribunal constituted before the 10th day of March, 1957, under this Act;] 

8[(ra) “unfair labour practice” means any of the practices specified in the Fifth Schedule; 

(rb) “village industries” has the meaning assigned to it in clause (h) of section 2 of the Khadi and  Village Industries Commission Act, 1956 (61 of 1956);] 

9[(rr) “wages” means all remuneration capable of being expressed in terms of money, which  would, if the terms of employment, expressed or implied, were fulfilled, be payable to a workman in  respect of his employment or of work done in such employment, and includes— 

(i) such allowances (including dearness allowance) as the workman is for the time being  entitled to; 

(ii) the value of any house accommodation, or of supply of light, water, medical attendance or  other amenity or of any service or of any concessional supply of foodgrains or other articles; 

(iii) any travelling concession; 

1[(iv) any commission payable on the promotion of sales or business or both;] 

but does not include— 

(a) any bonus; 

(b) any contribution paid or payable by the employer to any pension fund or provident fund  or for the benefit of the workman under any law for the time being in force; 

(c) any gratuity payable on the termination of his service;] 

2[(s) “workman” 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, and for the purposes of any proceeding  under this Act in relation to an industrial dispute, includes any such person who has been dismissed,  discharged or retrenched in connection with, or as a consequence of, that dispute, or whose dismissal,  discharge or retrenchment has led to that dispute, but does not include any such person— 

(i) who is subject to the Air Force Act, 1950 (45 of 1950), or the Army Act, 1950  (46 of 1950), or the Navy Act, 1957 (62 of 1957); or 

(ii) who is employed in the police service or as an officer or other employee of a prison; or

(iii) who is employed mainly in a managerial or administrative capacity; or 

(iv) who, being employed in a supervisory capacity, draws wages exceeding 3[ten thousand  rupees] per mensem or exercises, either by the nature of the duties attached to the office or by  reason of the powers vested in him, functions mainly of a managerial nature

STATE AMENDMENT 

Kerala 

Amendment of section 2.—In section 2 of the Industrial Disputes Act, 1947 (Central Act 14 of  1947), in clause (s), for the words “clerical or supervisory work” the words “clerical, supervisory  work or any work for the promotion of sales” shall be substituted. 

[Vide Kerala Act 12 of 2017, s. 2] 

Assam 

Amendment of section 2.—In the principal Act, in section 2, in clause (s), in between the words  “or supervisory work” and “for hire or reward”, the words „or any work for the promotion of sales”,  shall be inserted. 

[Vide Assam Act 22 of 2007, s. 2] 

4[2A. Dismissal, etc., of an individual workman to be deemed to be an industrial dispute.—

5[(1)] 5[(1)] Where any employer discharges, dismisses, retrenches, or otherwise terminates the services of an  individual workman, any dispute or difference between that workman and his employer connected with,  or arising out of, such discharge, dismissal, retrenchment or termination shall be deemed to be an  industrial dispute notwithstanding that no other workman nor any union of workmen is a party to the  dispute.] 

1[(2) Notwithstanding anything contained in section l0, any such workman as is specified in  sub-section (1) may, make an application direct to the Labour Court or Tribunal for adjudication of the  dispute referred to therein after the expiry of forty-five days from the date he has made the application to  the Conciliation Officer of the appropriate Government for conciliation of the dispute, and in receipt of  such application the Labour Court or Tribunal shall have powers and jurisdiction to adjudicate upon the  dispute, as if it were a dispute referred to it by the appropriate Government in accordance with the  provisions of this Act and all the provisions of this Act shall apply in relation to such adjudication as they  apply in relation to an industrial dispute referred to it by the appropriate Government. 

(3) The application referred to in sub-section (2) shall be made to the Labour Court or Tribunal before  the expiry of three years from the date of discharge, dismissal, retrenchment or otherwise termination of  service as specified in sub-section (1).] 

STATE AMENDMENT 

Andhra Pradesh 

In Section 2A, After the existing sub-section (2), the following sub-section shall be added, namely:— 

“(3) Notwithstanding anything in sub-sections (1) and (2), no such dispute or difference between  that workman and his employer connected with or arising out of, such discharge, dismissal,  retrenchment or termination shall be deemed to be an industrial dispute if such dispute is not raised in  conciliation proceeding within a period of three years from the date of such discharge, dismissal,  retrenchment or termination: 

Provided that the Labour Court or the Conciliation Officer, as the case may be, may consider to  extend the said period of three years when the applicant workman satisfies the Court or Conciliation  Officer that he had sufficient cause for not raising the dispute within the period of three years.”. 

[Vide Andhra Pradesh 12 of 2015, s. 2] 

Free Judiciary Coaching
Free Judiciary Notes
Free Judiciary Mock Tests
Bare Acts