Industrial Disputes
Industrial Disputes
Industrial Disputes
Chapter I: Preliminary
Section 1: Short title, extent and commencement
• This Act may be called the Industrial Disputes Act, 1947.
• It extends to the whole of India.
• It shall come into force on the first day of April, 1947.
Section 2: Definitions
(a) "Appropriate Government" means-
(i) in relation to any industrial disputes concerning:
• any industry carried on by or under the authority of the Central Government, or
• by a railway company or
• concerning any such controlled industry as may be specified in this behalf by the Central Government
or
• a Dock Labour Board established under section 5A of the Dock Workers (Regulation of Employment)
Act, 1948, or
• the Industrial Finance Corporation of India Limited formed and registered under the Companies Act,
1956, or
• the Employees’ State Insurance Corporation established under section 3 of the Employees’ State
Insurance Act, 1948, or
• the Board of Trustees constituted under section 3A of the Coal Mines Provident Fund and
Miscellaneous Provisions Act, 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, or
• the Life Insurance Corporation of India established under section 3 of the Life Insurance Corporation
Act, 1956, or
• the Oil and Natural Gas Corporation Limited registered under the Companies Act. 19561, or
• the Deposit Insurance and Credit Guarantee Corporation established under section 3 of the Deposit
Insurance and Credit Guarantee Corporations Act. 1961, or
• the Central Warehousing Corporation established under section 3 of the Warehousing Corporation
Act, 1962, or
• the Unit Trust of India established under section 3 of the Unit Trust of India Act, 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
Corporation Act, 1964, or
• the Airports Authority of India constituted under section 3 of the Airports Authority of India Act, 1994,
or
• a Regional Rural Bank established under section 3 of the Regional Rural Banks Act, 1976, or
• the Export Credit and Guarantee Corporation Limited or
• the Industrial Reconstruction Corporation of India Limited, the National Housing Bank established
under section 3 of the National Housing Bank Act, 1987, or
• the Banking Service Commission established under section3 of the Banking Service Commission Act,
1975 or
• an air transport service, or a banking or an insurance company, a mine, an oil-field. a Cantonment
Board, or a major port,
the Central Government, and
(ii) in relation to any other industrial dispute, the State Government;
Industrial Disputes Act, 1947
(aa) "Arbitrator" includes an umpire;
(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;
(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;
(bb) "Banking Company" means a banking company as defined in section 5 of the Banking Companies Act,
1949, having branches or other establishments in more than one State, and includes the Export-Import Bank
of India, the Industrial Reconstruction Bank of India, the Industrial Development Bank of India, the Small
Industries Development Bank of India established under section 3 of the Small Industries Development Bank
of India Act, 1989, the Reserve Bank of India, the State Bank of India, a corresponding new bank constituted
under section 3 of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970, a
corresponding new bank constituted under section 3 of the Banking Companies (Acquisition and Transfer of
Undertakings) Act, 1980, and any subsidiary bank, as defined in the State Bank of India (Subsidiary Banks)
Act, 1959;
(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;
(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;
(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;
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Industrial Disputes Act, 1947
(i) “Independent Person” 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:
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;
(j) "Industry" means any systematic activity carried on by co-operation between an employer and his
workmen (whether such workmen are employed by such employer directly or by or through any agency,
including a contractor) for the production, supply or distribution of goods or services with a view to satisfy
human wants or wishes (not being wants or wishes which are merely spiritual or religious in nature), whether
or not,
(i) any capital has been invested for the purpose of carrying on such activity; or
(ii) such activity is carried on with a motive to make any gain or profit, and includes-
(a) any activity of the Dock Labour Board established under section 5A of the Dock Workers (Regulation
of Employment) Act, 1948;
(b) any activity relating to the promotion of sales or business or both carried on by an establishment;
(1) any agricultural operation except where. such agricultural operation is carried on in an integrated
manner with any other activity (being any such activity as is referred to in the foregoing provisions of
this clause) and such other activity is the predominant one.
Explanation: For the purposes of this sub-clause, "agricultural operation" does not include any activity
carried on in a plantation as defined in clause (f) of section 2 of the Plantations Labour Act, 1951 (69 of
1951); or
(2) hospitals or dispensaries; or
(3) educational, scientific, research or training institutions; or
(4) institutions owned or managed by organizations wholly or substantially engaged in any charitable,
social or philanthropic service; or
(5) Khadi or village industries; or
(6) any activity of the government reliable to the sovereign functions of the government including all
the activities carried on by the departments of the Central Government dealing with defence research,
atomic energy and space; or
(7) any domestic service; or
(8) any activity, being a profession practiced by an individual or body of individuals, if the number of
persons employed by the individuals or body of individuals in relation to such profession is less than ten;
or
(9) any activity, being an activity carried on by a co-operative society or a club or any other like body of
individuals, if the number of persons employed by the co-operative society, club or other like body of
individuals in relation to such activity is less than ten;
(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;
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Industrial Disputes Act, 1947
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;
(kk) "Insurance Company" means an insurance company as defined in section 2 of the Insurance Act 1938,
having branches or other establishments in more than one State;
(kka) "Khadi" has the meaning assigned to it in clause (d) of section 2 of the Khadi and Village Industries
Commission Act, 1956;
(kkk) "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;
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 temporary dosing 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;
(ll) "National Tribunal" means a National Industrial Tribunal constituted under section 7B;
(lll) "Office Bearer", in relation to a trade union, includes any member of the executive thereof, but does
not include an auditor;
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Industrial Disputes Act, 1947
(v) any system of public conservancy or sanitation;
(vi) any industry specified in the 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;
(oo) "Retrenchments" means the termination by the employer of the service of a workman for 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
(bb) termination of the service of the workman as a result of the non-renewal of the contract of employment
between the employer and the workman concerned on its expiry or of such contract being terminated under
a stipulation on that behalf contained therein; or
(c) termination of the service of a workman on the ground of continued ill-health;
(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 an officer authorized 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 concerted 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;
(qq) "Trade Union" means a trade union registered under the Trade Union Act, 1926;
(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;
(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;
(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 confessional supply of food grains or other articles;
(iii) any traveling concession;
(iv) any commission payable on the promotion of sales or business or both;
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Industrial Disputes Act, 1947
(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, or the Army Act, 1950, or the Navy Act, 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 one thousand six hundred 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, function mainly of a managerial nature.
(2) It shall be the duty of the Works Committee to promote measures for securing and preserving amity and
good relations between the employer and workmen and, to that end, to comment upon matters of their
common interest or concern and endeavour to compose any material difference of opinion in respect of
such matters.
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Industrial Disputes Act, 1947
Section 5: Boards of Conciliation
(1) The appropriate government may as occasion arises by notification in the Official Gazette constitute a
Board of Conciliation for promoting the settlement of an industrial dispute.
(2) A Board shall consist of a Chairman and two or four other members, as the appropriate government
thinks fit.
(3) The Chairman shall be an independent person and the other members shall be persons appointed in
equal numbers to represent the parties to the dispute and any person appointed to represent a party shall
be appointed on the recommendation of that party:
PROVIDED that, if any party fails to make a recommendation as aforesaid within the prescribed time, the
appropriate government shall appoint such persons as it thinks fit to represent that party.
(4) A Board, having the prescribed quorum, may act notwithstanding the absence of the Chairman or any of
its members or any vacancy in its number:
PROVIDED that, if the appropriate government notifies the Board that the services of the Chairman or of
any other member have ceased to be available, the Board shall not act until a new Chairman or member, as
the case may be, has been appointed.
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Industrial Disputes Act, 1947
(aa) he has, for a period of not less than three-years, been a District judge or an Additional District
Judge;
(4) The appropriate government may, if it so thinks fit, appoint two persons as assessors to advise the
Tribunal in the proceeding before it.
Section 7C: Disqualifications for the presiding officers of Labour Courts, Tribunals and
National Tribunals
No person shall be appointed to, or continue in, the office of the presiding officer of a Labour Court, Tribunal
or National Tribunal, if-
(a) he is not an independent person; or
(b) he has attained the age of sixty-five years.
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Industrial Disputes Act, 1947
No employer, who proposes to effect any change in the conditions of service applicable to any workman in
respect of any matter specified in the Fourth Schedule, shall effect such change-
(a) without giving to the workmen likely to be affected by such change a notice in the prescribed manner of
the nature of the change proposed to be affected; or
(b) within twenty-one days of giving such notice:
PROVIDED that no notice shall be required for effecting any such change-
(a) where the change is affected in pursuance of any settlement or award; or
(b) where the workmen likely to be affected by the change are persons to whom the Fundamental and
Supplementary Rules, Civil Services (Classification, Control and Appeal) Rules, Civil Services (Temporary
Service) Rules, Revised Leave Rules, Civil Services Regulations, Civilians in Defence Services (Classification,
Control and Appeal) Rules or the Indian Railway Establishment Code or any other rules or regulations that
may be notified in this behalf by the appropriate Government in the Official Gazette, apply.
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Industrial Disputes Act, 1947
(c) refer the dispute or any matter appearing to be connected with, or relevant to, the dispute, if it relates
to any matter specified in the Second Schedule, to a Labour Court for adjudication; or
(d) refer the dispute or any matter appearing to be connected with, or relevant to, the dispute, whether it
relates to any matter specified in the Second Schedule or the Third Schedule, to a Tribunal for adjudication:
PROVIDED that where the dispute relates to any matter specified in the Third Schedule and is not likely to
affect more than one hundred workmen, the appropriate government may, if it so thinks fit, make the
reference to a Labour Court under clause (c):
PROVIDED FURTHER that] where the dispute relates to a public utility service and a notice under section 22
has been given, the appropriate government shall, unless it considers that the notice has been frivolously or
vexatiously given or that it would be inexpedient so to do. make a reference under this sub-section
notwithstanding that any other proceedings under this Act in respect of the dispute may have commenced:
PROVIDED ALSO that where the dispute in relation to which the Central Government is the appropriate
government, it shall be competent for that government to refer the dispute to a Labour Court or an Industrial
Tribunal, as the case may be, constituted by the State Government
(1A) Where the Central Government is of opinion that any industrial dispute exists or is apprehended and
the dispute involves any question of national importance or is of such a nature that industrial establishments
situated in more than one State are likely to be interested in, or affected by, such dispute and that the
dispute should be adjudicated by a National Tribunal, then, the Central Government may, whether or not it
is the appropriate government in relation to that dispute, at any time, by order in writing, refer the dispute
or any matter appearing to be connected with, or relevant to, the dispute, whether it relates to any matter
specified in the Second Schedule or the Third Schedule to a National Tribunal for adjudication.
(2) Where the parties to an industrial dispute apply in the prescribed manner, whether jointly or separately,
for a reference of the dispute to a Board, court, 68[Labour Court, Tribunal or National Tribunal], the
appropriate government, if satisfied that the persons applying represent the majority of each party, shall
make the reference accordingly.
(2A) An order referring an industrial dispute to a Labour Court, Tribunal or National Tribunal under this
section shall specify the period within which such Labour Court, Tribunal or National Tribunal shall submit
its award on such dispute to the appropriate government:
PROVIDED that where such industrial dispute is connected with an individual workman, no such period shall
exceed three months:
PROVIDED FURTHER that where the parties to an industrial dispute apply in the prescribed manner, whether
jointly or separately, to the Labour Court, Tribunal or National Tribunal for extension of such period or for
any other reason, and the presiding officer of such Labour Court, Tribunal or National Tribunal considers it
necessary or expedient to extend such period, he may for reasons to be recorded in writing, extend such
period by such further period as he may think fit:
PROVIDED ALSO that in computing any period specified in this sub-section, the period, if any, for which the
proceedings before the Labour Court, Tribunal or National Tribunal had been stayed by any injunction or
order of a civil court shall be excluded:
PROVIDED ALSO that no proceedings before a Labour Court, Tribunal or National Tribunal shall lapse merely
on the ground that any period specified under this sub-section had expired without such proceedings being
completed.
(3) Where an industrial dispute has been referred to a Board, Labour Court, Tribunal or National Tribunal]
under this section, the appropriate Government may by order prohibit the continuance of any strike or lock-
out in connection with such dispute which may be in existence on the date of the reference.
(4) Where in an order referring an industrial dispute to a Labour Court, Tribunal or National Tribunal] under
this section or in a subsequent order, the appropriate government has specified the points of dispute for
adjudication, the Labour Court or the Tribunal or the National Tribunal, as the case may be, shall confine its
adjudication to those points and matters incidental thereto.
(5) Where a dispute concerning any establishment or establishments has been, or is to be, referred to
a Labour Court, Tribunal or National Tribunal] under this section and the appropriate government is of
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Industrial Disputes Act, 1947
opinion, whether on an application made to it in this behalf or otherwise, that the dispute is of, such a nature
that any other establishment, group or class of establishments of a similar nature is likely to be interested
in, or affected by, such dispute, the appropriate government may, at the time of making the reference or at
any time thereafter but before the submission of the award, include in that reference such establishment,
group or class of establishments, whether or not at the time of such inclusion any dispute exists or is
apprehended in that establishment, group or class of establishments.
(6) Where any reference has been made under sub-section (1A) to a National Tribunal, then notwithstanding
anything contained in this Act, no Labour Court or Tribunal shall have jurisdiction to adjudicate upon any
matter which is under adjudication before the National Tribunal, and accordingly-
(a) if the matter under adjudication before the National Tribunal is pending in a proceeding before a Labour
Court or Tribunal, the proceeding before the Labour Court or the Tribunal, as the case may be, insofar as it
relates to such matter, shall be deemed to have been quashed on such reference to the National Tribunal;
and
(b) it shall not be lawful for the appropriate government to refer the matter under adjudication before the
National Tribunal to any Labour Court or Tribunal for adjudication during the pendency of the proceeding in
relation to such matter before the National Tribunal.
Explanation: In this sub-section "Labour Court" or "Tribunal" includes any court or Tribunal or other
authority constituted under any law relating to investigation and settlement of industrial disputes in force
in any State.
(7) Where any industrial dispute, in relation to which the Central Government is not the appropriate
government, is referred to a National Tribunal, then, notwithstanding anything contained in this Act, any
reference in section 15, section 17, section 19, section 33A, section 33B and section 36A to the appropriate
government in relation to such dispute shall be construed as a reference to the Central Government but,
save as aforesaid and as otherwise expressly provided in this Act, any reference in any other provision of this
Act to the appropriate government in relation to that dispute shall mean a reference to the State
Government.]
(8) No proceedings pending before a Labour Court, Tribunal or National Tribunal in relation to an industrial
dispute shall lapse merely by reason of the death of any of the parties to the dispute being a workman, and
such Labour Court, Tribunal or National Tribunal shall complete such proceedings and submit its award to
the appropriate government.
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Industrial Disputes Act, 1947
agreement but are concerned in the dispute, shall be given an opportunity of presenting their case before
the arbitrator or arbitrators.
(4) The arbitrator or arbitrators shall investigate the dispute and submit to the appropriate government the
arbitration award signed by the arbitrator or all the arbitrators, as the case may be.
(4A) Where an industrial dispute has been referred to arbitration and a notification has been issued under
sub-section (3A), the appropriate government may, by order, prohibit the continuance of any strike or lock-
out in connection with such dispute which maybe in existence on the date of the reference.
(5) Nothing in the Arbitration Act, 1940, shall apply to arbitrations under this section.
Section 11: Procedure and powers of conciliation officers, Board, courts and Tribunals and
National Tribunals
(1) Subject to any rules that may be made in this behalf, an arbitrator, a Board, court, Labour Court, Tribunal
or National Tribunal shall follow such procedure as the arbitrator or other authority concerned may think fit.
(2) A conciliation officer or a member of a board or court or the presiding officer of a Labour Court, Tribunal
or National Tribunal] may for the purpose of inquiry into any existing or apprehended industrial dispute,
after giving reasonable notice, enter the premises occupied by any establishment to which the dispute
relates.
(3) Every Board, court, Labour Court, Tribunal and National Tribunal] shall have the same powers as are
vested in a Civil Court under the Code of Civil Procedure,1908, when trying a suit, in respect of the following
matters, namely:
(a) enforcing the attendance of any person and examining him on oath;
(b) compelling the production of documents and material objects;
(c) issuing commissions for the examination of witnesses;
(d) in respect of such other matters as may be prescribed, and every inquiry or investigation by a Board,
court, Labour Court, Tribunal or National Tribunal, shall be deemed to be a judicial proceeding within the
meaning of sections 193 and 228 of the Indian Penal Code.
(4) A conciliation officer may enforce the attendance of any person for the purpose of examination of such
person or call for] and inspect any document which he has ground for considering to be relevant to the
industrial dispute or to be necessary for the purpose of verifying the implementation of any award or
carrying out any other duty imposed on him under this Act, and for the aforesaid purposes, the conciliation
officer shall have the same powers as are vested in a civil court under the Code of Civil Procedure, 1908, in
respect of enforcing the attendance of any person and examining him or of compelling the production of
documents.
(5) A court, Labour Court, Tribunal or National Tribunal may, if it so thinks fit, appoint one or more persons
having special knowledge of the matter under consideration as an assessor or assessors to advise it in the
proceeding before it.
(6) All conciliation officers, members of a Board or court and the presiding officers of a Labour Court, Tribunal
or National Tribunal shall be deemed to be public servants within the meaning of section 21 of the Indian
Penal Code.
(7) Subject to any rules made under this Act the costs of, and incidental to, any proceeding before a Labour
Court, Tribunal or National Tribunal shall be in the discretion of that Labour Court, Tribunal or National
Tribunal, and the Labour Court, Tribunal or National Tribunal, as the case may be, shall have full power to
determine by and to whom and to what extent and. subject to what conditions, if any, such costs are to be
paid, and to give all necessary directions for the purposes aforesaid and such costs may, on application made
to the appropriate government by the person entitled, be recovered by that government in the same manner
as an arrear of land revenue.
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Industrial Disputes Act, 1947
(8) Every Labour Court, Tribunal or National Tribunal] shall be deemed to be civil court for the purposes
of sections 345, 346, and 348 of the Code of Criminal Procedure, 1973.
Section 11A: Powers of Labour Court Tribunal, and National Tribunal to give appropriate
relief in case of discharge or dismissal of workmen
Where an industrial dispute relating to the discharge or dismissal of a workman has been referred to a Labour
Court, Tribunal or National Tribunal for adjudication and, in the course of the adjudication proceedings, the
Labour Court, Tribunal or National Tribunal, as the case may be, is satisfied that the order of discharge or
dismissal was not justified, it may, by its award, set aside the order of discharge or dismissal and direct
reinstatement of the workman on such terms and conditions, if any, as it thinks fit, or give such other relief
to the workman including the award of any lesser punishment in lieu of discharge or dismissal as the
circumstances of the case may require:
PROVIDED that in any proceeding under this section the Labour Court, Tribunal or National Tribunal, as the
case may be, shall rely only on the materials on record and shall not take any fresh evidence in relation to
the matter.
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Industrial Disputes Act, 1947
(2) If a settlement of the dispute or of any of the matter in dispute is arrived at in the course of the
conciliation proceedings, the Board shall send a report thereof to the appropriate government together with
a memorandum of the settlement signed by the parties to the dispute.
(3) If no such settlement is arrived at, the Board shall, as soon as practicable after the close of the
investigation, send to the appropriate government a full report setting forth the proceedings and steps taken
by the Board for ascertaining the facts and circumstances relating to the dispute and for bringing about a
settlement thereof, together with a full statement of such facts and circumstances, its findings thereon, the
reasons on account of which, in its opinion, a settlement could not be arrived at and its recommendations
for the determination of the dispute.
(4) If, on the receipt of a report under sub-section (3) in respect of a dispute relating to a public utility service,
the appropriate government does not make a reference to a Labour Court, Tribunal or National Tribunal]
under section 10, it shall record and communicate to the parties concerned its reasons therefor.
(5) The Board shall submit its report under this section within two months of the date on which the dispute
was referred to it or within such shorter period as may be fixed by the appropriate government:
PROVIDED that the appropriate Government may from time to time extend the time for the submission of
the report by such further periods not exceeding two months in the aggregate:
PROVIDED FURTHER that the time for the submission of the report may be extended by such period as may
be agreed on in writing by all the parties to the dispute.
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Industrial Disputes Act, 1947
(a) if the appropriate government is of opinion, in any case where the award has been given by a Labour
Court or Tribunal in relation to an industrial dispute to which it is a party; or
(b) if the Central Government is of opinion, in any case where the award has been given by a National
Tribunal, that it will be inexpedient on public grounds affecting national economy or social justice to give
effect to the whole or any part of the award, the appropriate government, or as the case may be, the Central
Government may, by notification in the Official Gazette, declare that the award shall not become
enforceable on the expiry of the said period of thirty days.
(2) Where any declaration has been made in relation to an award under the proviso to sub-section (1), the
appropriate government or the Central Government may, within ninety days from the date of publication of
the award under section 17, make an order rejecting or modifying the award, and shall, on the first available
opportunity, lay the award together with a copy of the order before the Legislature of the State, if the order
has been made by a State Government, or before Parliament, if the order has been made by the Central
Government.
(3) Where any award as rejected or modified by an order made under sub-section (2) is laid before the
Legislature of a State or before Parliament, such award shall become enforceable on the expiry of fifteen
days from the date on which it is so laid; and where no order under sub-section (2) is made in pursuance of
a declaration under the proviso to sub-section (1), the award shall become enforceable on the expiry of the
period of ninety days referred to in sub-section (2).
(4) Subject to the provisions of sub-section (1) and sub-section (3) regarding the enforceability of an award,
the award shall come into operation with effect from such date as may be specified therein, but where no
date is so specified, it shall come into operation on the date when the award becomes enforceable under
sub-section (1) or sub-section (3), as the case may be.
Section 17B: Payment of full wages to workman pending proceedings in higher courts
Where in any case, a Labour Court, Tribunal or National Tribunal by its award directs reinstatement of any
workman and the employer prefers any proceedings against such award in a High Court or the Supreme
Court, the employer shall be liable to pay such workman, during the period of pendency of such proceedings
in the High Court or the Supreme Court, full wages last drawn by him, inclusive of any maintenance allowance
admissible to him under any rule if the workman had not been employed in any establishment during such
period and an affidavit by such workman had been filed to that effect in such court:
PROVIDED that where it is proved to the satisfaction of the High Court or the Supreme Court that such
workman had been employed and had been receiving adequate remuneration during any such period or
part thereof, the court shall order that no wages shall be payable under this section for such period or part,
as the case may be.
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Industrial Disputes Act, 1947
(d)where a party referred to in clause (a) or clause (b) is composed of workmen, all persons who were
employed in the establishment or part of the establishment., as the case may be, to which the dispute relates
on the date of the dispute and all persons who subsequently become employed in that establishment or
part.
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Industrial Disputes Act, 1947
adjudication, as the case maybe,] and such proceedings shall be deemed to have concluded on the date on
which the award becomes enforceable under section 17A.
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Industrial Disputes Act, 1947
Section 23: General prohibition of strikes and Lockouts
No workman who is employed in any industrial establishment shall go on strike in breach of contract and no
employer of any such workman shall declare a lock-out-
(a) during the pendency of conciliation proceedings before a Board and seven days after the conclusion of
such proceedings;
(b) during the pendency of proceedings before a Labour Court, Tribunal or National Tribunal] and two
months, after the conclusion of such proceedings;
(bb) during the pendency of arbitration proceedings before an arbitrator and two months after the
conclusion of such proceedings, where a notification has been issued under sub-section (3A) of section l0A;
or
(c) during any period in which a settlement or award is in operation, in respect of any of the matters covered
by the settlement or award.
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Industrial Disputes Act, 1947
(1) a workman shall be said to be in continuous service for a period if he is, for that period, in uninterrupted
service, including service which may be interrupted on account of sickness or authorized leave or an accident
or a strike which is not illegal, or a lock-out or a cessation of work which is not due to any fault on the part
of the workman;
(2) where a workman is not in continuous service within the meaning of clause (1) for a period of one year
or six months, he shall be deemed to be in continuous service under an employer-
(a) for a period of one year, if the workman, during a period of twelve calendar months preceding
the date with reference to which calculation is to be made, has actually worked under the employer
for not less than-
(i) one hundred and ninety days in the case of a workman employed below ground in a mine;
and
(ii) two hundred and forty days, in any other case;
(b) for a period of six months, if the workman, during a period of six calendar months preceding the
date with reference to which calculation is to be made, has actually worked under the employer for
not less than-
(i) ninety-five days, in the case of a workman employed below ground in a mine; and
(ii) one hundred and twenty days, in any other case.
Explanation: For the purposes of clause (2), the number of days on which workman has actually worked
under an employer shall include the days on which-
(i) he has been laid-off under an agreement or as permitted by standing orders made under the Industrial
Employment (Standing Orders) Act, 1946, or under this Act or under any other law applicable to the industrial
establishment;
(ii) he has been on leave with full wages, earned in the previous year;
(iii) he has been absent due to temporary disablement caused by accident arising out of and in the course of
his employment; and
(iv) in the case of a female, she has been on maternity leave; so, however, that the total period of such
maternity leave does not exceed twelve weeks.
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Industrial Disputes Act, 1947
Section 25D: Duty of an employer to maintain muster rolls of workmen
Notwithstanding that workmen in any industrial establishment have been laid-off, it shall be the duty of
every employer to maintain for the purposes of this Chapter a muster roll, and to provide for the making of
entries therein by workmen who may present themselves for work at the establishment at the appointed
time during normal working hours.
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Industrial Disputes Act, 1947
Section 25FFA: Sixty days’ notice to be given of intention to close down any undertaking
(1) An employer who intends to close down an undertaking shall serve, at least sixty days before the date on
which the intended closure is to become effective, a notice, in the prescribed manner, on the appropriate
government stating clearly the reasons for the intended closure of the undertaking:
PROVIDED that nothing in this section shall apply to-
(a) an undertaking in which-
(i) less than fifty workmen are employed, or
(ii) less than fifty workmen were employed on an average per working day in the preceding twelve
months.
(b) an undertaking set up for the construction of buildings, bridges, roads, canals, dams or for other
construction work or project.
(2) Notwithstanding anything contained in sub-section (1), the appropriate government may, if it is satisfied
that owing to such exceptional circumstances as accident in the undertaking or death of the employer or the
like, it is necessary so to do, by order, direct that provisions of sub-section (1) shall not apply in relation to
such undertaking for such period as may be specified in the order.
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Industrial Disputes Act, 1947
compensation under clause (b) of section 25F, but if the construction work is not so completed within two
years, he shall be entitled to notice and compensation under that section for every completed year of
continuous service or any part thereof in excess of six months.
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Industrial Disputes Act, 1947
(iii) a plantation as defined in clause (f) of section 2 of the Plantations Labour Act, 1951;
(b) notwithstanding anything contained in sub-clause (ii) of clause (a) of section 2,
(i) in relation to any company in which not less than fifty-one percent of the paid-up share capital is
held by the Central, Government, or
(ii) in relation to any corporation [not being a corporation referred to in sub-clause (i) of clause (a) of
section 2] established by or under any law made by Parliament, the Central Government shall be the
appropriate government.
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Industrial Disputes Act, 1947
(9) Notwithstanding anything contained in the foregoing provisions of this section, the appropriate
government may, if it is satisfied that owing to such exceptional circumstances as accident in the
establishment or death of the employer or the like, it is necessary so to do, by order, direct that the
provisions of sub-section (1), or, as the case may be, sub-section (3) shall not apply in relation to such
establishment for such period as may be specified in the order.]
(10)] The provisions of section 25C (other than the second proviso thereto) shall apply to cases of lay-off
referred to in this section.
Explanation : For the purposes of this section, a workman shall not be deemed to be laid-off by an employer
if such employer offers any alternative employment (which in the opinion of the employer does not call for
any special skill or previous experience and can be done by the workman) in the same establishment from
which he has been laid-off or in any other establishment belonging to the same employer, situate in the
same town or village, or situate within such distance from the establishment to which he belongs that the
transfer will not involve undue hardship to the workman having regard to the facts and circumstances of his
case, provided that the wages which would normally have been paid to the workman are offered for the
alternative appointment also.
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Industrial Disputes Act, 1947
(7) Where no application for permission under sub-section (1) is made, or where the permission for any
retrenchment has been refused, such retrenchment shall be deemed to be illegal from the date on which
the notice of retrenchment was given to the workman and the workman shall be entitled to all the benefits
under any law for the time being in force as if no notice had been given to him.
(8) Notwithstanding anything contained in the foregoing provisions of this section, the appropriate
government may, if it is satisfied that owing to such exceptional circumstances as accident in the
establishment or death of the employer or the like, it is necessary so to do, by order, direct that the
provisions of sub-section (1) shall not apply in relation to such establishment for such period as may be
specified in the order.
(9) Where permission for retrenchment has been granted under sub-section (3) or where permission for
retrenchment is deemed to be granted under sub-section (4), every workman who is employed in that
establishment immediately before the date of application for permission under this section shall be entitled
to receive, at the time of retrenchment, compensation which shall be equivalent to fifteen days' average pay
for every completed year of continuous service or any part thereof in excess of six months.
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Industrial Disputes Act, 1947
(8) Where an undertaking is permitted to be closed down under sub-section (2) or where permission for
closure is deemed to be granted under sub-section (3), every workman who is employed in that undertaking
immediately before the date of application for permission under this section, shall be entitled to receive
compensation which shall be equivalent to fifteen days’ average pay for every completed year of continuous
service or any part thereof in excess of six months.
Section 25Q: Penalty for lay-off and retrenchment without previous permission
Any employer who contravenes the provisions of section 25M or section 25N shall be punishable with
imprisonment for a term which may extend to one month, or with fine which may extend to one thousand
rupees, or with both.
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Industrial Disputes Act, 1947
Section 28: Penalty for giving financial aid to illegal strikes and Lockouts
Any person who knowingly expends or applies any money in direct furtherance or support of any illegal strike
or lock-out shall be punishable with imprisonment for a term which may extend to six months, or with fine
which may extend to one thousand rupees, or with both.
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Industrial Disputes Act, 1947
Chapter VII: Miscellaneous
Section 33: Conditions of service, etc., to remain unchanged under certain circumstances
during pendency of proceedings
(1) During the pendency of any conciliation proceeding before a conciliation officer or a Board or of any
proceeding before an arbitrator or a Labour Court or Tribunal or National Tribunal in respect of an industrial
dispute, no employer shall-
(a) in regard to any matter connected with the dispute, alter, to the prejudice of the workmen
concerned in such dispute, the conditions of service applicable to them immediately before the
commencement of such proceeding; or
(b) for any misconduct connected with the dispute, discharge or punish, whether by dismissal or
otherwise, any workmen concerned in such dispute, save with the express permission in writing of
the authority before which the proceeding is pending;
(2) During the pendency of any such proceeding in respect of an industrial dispute, the employer may, in
accordance with standing orders applicable to a workman concerned in such dispute or, where there are no
such standing orders, in accordance with the terms of the contract, whether express or implied, between
him and the workman-
(a) alter, in regard to any matter not connected with the dispute, the conditions of service applicable
to that workman immediately before the commencement of such proceeding; or
(b) for any misconduct not connected with the dispute, discharge or punish, whether by dismissal or
otherwise, that workman:
PROVIDED that no such workman shall be discharged or dismissed, unless he has been paid wages for one
month and an application has been made by the employer to the authority before which the proceeding is
pending for approval of the action taken by the employer.
(3) Notwithstanding anything contained in sub-section (2) no employer shall, during the pendency of any
such proceeding in respect of an industrial dispute, take any action against any protected workman
concerned in such dispute-
(a) by altering, to the prejudice of such protected workman, the conditions of service applicable to
him immediately before the commencement of such proceeding; or
(b) by discharging or punishing, whether by dismissal or otherwise, such protected workman, save
with the express permission in writing of the authority before which the proceeding is pending.
Explanation: For the purposes of this sub-section a "protected workman" in relation to an establishment,
means a workman who, being a member of the executive or other office bearer] of a registered trade union
connected with the establishment, is recognized as such in accordance with rules made in this behalf.
(4) In every establishment, the number of workmen to be recognized as protected workmen for the purposes
of sub-section (3) shall be one per cent of the total number of workmen employed therein subject to a
minimum number of five protected workmen and a maximum number of one hundred protected workmen
and for the aforesaid purpose, the appropriate government may make rules providing for the distribution of
such protected workmen among various trade unions, if any, connected with the establishment and the
manner in which the workmen may be chosen and recognized as protected workmen.
(5) Where an employer makes an application to conciliation officer , Board, an arbitrator, a Labour Court,
Tribunal or National Tribunal under the proviso to sub-section (2) for approval of the action taken by him,
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Industrial Disputes Act, 1947
the authority concerned shall, without delay, hear such application and pass, within a period of three months
from the date of receipt of such application], such order in relation thereto as it deems fit:
PROVIDED that where any such authority considers it necessary or expedient so to do, it may, for reasons
to be recorded in writing, extend such period by such further periods as it may think fit:
PROVIDED FURTHER that no proceedings before any such authority shall lapse merely on the ground that
any period specified in this sub-section had expired without such proceedings being completed.
Section 33A: Special provision for adjudication as to whether conditions of service, etc,
changed during pendency of proceedings
Where an employer contravenes the provisions of section 33 during the pendency of proceedings before a
conciliation officer, Board, an arbitrator, Labour Court, Tribunal or National Tribunal any employee aggrieved
by such contravention, may make a complaint in writing in the prescribed manner-
(a) to such conciliation officer or Board, and the conciliation officer or Board shall take such complaint into
account in mediating in, and promoting the settlement of, such industrial dispute; and
(b) to such arbitrator, Labour Court, Tribunal or National Tribunal and on receipt of such complaint, the
arbitrator, Labour Court, Tribunal or National Tribunal, as the case may be, shall adjudicate upon the
complaint as if it were a dispute referred to or pending before it, in accordance with the provisions of this
Act and shall submit his or its award to the appropriate government and the provisions of this Act shall apply
accordingly.
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Industrial Disputes Act, 1947
(2) Where any workman is entitled to receive from the employer any money or any benefit which is capable
of being computed in terms of money and if any question arises as to the amount of money due or as to the
amount at which such benefit should be computed, then the question may, subject to any rules that may be
made under this Act, be decided by such Labour Court as may be specified in this behalf by the appropriate
government within a period not exceeding three months:
PROVIDED that where the presiding officer of a Labour Court considers it necessary or expedient so to do,
he may, for reasons to be recorded in writing, extend such period by such further period as he may think fit.
(3) For the purposes of computing the money value of a benefit, the Labour Court may, if it so thinks fit,
appoint a Commissioner who shall, after taking such evidence as may be necessary, submit a report to the
Labour Court and the Labour Court shall determine the amount after considering the report of the
Commissioner and other circumstances of the case.
(4) The decision of the Labour Court shall be forwarded by it to the appropriate government and any amount
found due by the Labour Court may be recovered in the manner provided for in sub-section (1).
(5) Where workmen employed under the same employer are entitled to receive from him any money or any
benefit capable of being computed in terms of money, then, subject to such rules as may be made in this
behalf, a single application for the recovery of the amount due may be made on behalf of or in respect of
any number of such workmen.
Explanation: In this section "Labour Court" includes any court constituted under any law relating to
investigation and settlement of industrial disputes in force in any State.
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Industrial Disputes Act, 1947
(c) where the worker is not a member of any trade union by any member of the executive or other
office bearer of any trade union connected with, or by any other workman employed in the industry
in which the worker is employed and authorized in such manner as may be prescribed.
(2) An employer who is a party to a dispute shall be entitled to be represented in any proceeding under this
Act by-
(a) an officer of an association of employer of which he is a member;
(b) an officer of a federation of associations of employers to which the association referred to in
clause (a) is, affiliated;
(c) where the employer is not a member of any association of employers, by an officer of any
association of employers connected with, or by any other employer engaged in, the industry in which
the employer is engaged and authorized in such manner as may be prescribed.
(3) No party to a dispute shall be entitled to be represented by a legal practitioner in any conciliation
proceedings under this Act or in any proceedings before a Court.
(4) In any proceeding before a Labour Court, Tribunal or National Tribunal, a party to a dispute may be
represented by a legal practitioner with the consent of the other parties to the proceeding and with the
leave of the Labour Court, Tribunal or National Tribunal, as the case may be.
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Industrial Disputes Act, 1947
(aaa) the appointment of assessors in proceedings under this Act;
(ab) the constitution of Grievance Settlement Authorities referred to in section 9C, the manner in
which industrial disputes may be referred to such authorities for settlement, the procedure to be
followed by such authorities in the proceedings in relation to disputes referred to them and the
period within which such proceedings shall be completed;
(b) the constitution and functions of and the filling of vacancies in Works Committees, and the
procedure to be followed by such Committees in the discharge of their duties;
(c) the allowances admissible to members of Courts and Boards and presiding officers of Labour
Courts, Tribunals and National Tribunals and to assessors and witnesses;
(d) the ministerial establishment which may be allotted to a Court, Board, Labour Court, Tribunal or
National Tribunal] and the salaries and allowances payable to members of such establishments;
(e) the manner in which and the person by and to whom notice of strike or lock-out may be given
and the manner in which such notice shall be communicated;
(f) the conditions subject to which parties may be represented by legal practitioners in proceedings
under this Act before a Court, Labour Court, Tribunal or National Tribunal;
(g) any other matter which is to be or may be prescribed.
(3) Rules made under this section may provide that a contravention thereof shall be punishable with fine not
exceeding fifty rupees.
(4) All rules made under this section shall, as soon as possible after they are made, be laid before the State
Legislature or, where the appropriate government is the Central Government, before both Houses of
Parliament.
(5) Every rules made by the Central Government under this section shall be laid, as soon as may be after it is
made before each House of Parliament while it is in session for a total period of thirty days which may be
comprised in one session or in two or more successive sessions, and if, before the expiry of the session
immediately following the session or the successive sessions aforesaid] both Houses agree in making any
modification in the rule, or both Houses agree that the rule should not be made, the rule shall thereafter
have effect only in such modified form or be of no effect, as the case may be; so however, that any such
modification or annulment shall be without prejudice to the validity of anything previously done under that
rule.
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Industrial Disputes Act, 1947
33
Industrial Disputes Act, 1947
5. Bonus, profit sharing, provident fund and gratuity;
6. Shift working otherwise than in accordance with standing orders;
7. Classification by grades;
8. Rules of discipline;
9. Rationalization;
10. Retrenchment of workmen and closure of establishment; and
11. Any other matter that may be prescribed.
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Industrial Disputes Act, 1947
(d) refusing to promote workmen of higher posts on account of their trade union activities;
(e) giving unmerited promotions to certain workmen with a view to creating discord amongst other
workmen, or to undermine the strength of their trade union;
(f) discharging office-bearers or active members of the trade union on account of their trade union
activities.
(5) To discharge or dismiss workmen-
(a) by way of victimization;
(b) not in good faith, but in the colorable exercise of the employer’s rights;
(c) by falsely implicating a workman in a criminal case on false evidence or on concocted evidence;
(d) for patently false reasons;
(e) on untrue or trumped up allegations of absence without leave;
(f) in utter disregard of the principles of natural justice in the conduct of domestic enquiry or with
undue haste;
(g) for misconduct of a minor technical character, without having any regard to the nature of the
particular misconduct or the past record or service of the workman, thereby leading to a
disproportionate punishment.
(6) To abolish the work of a regular nature being done by workmen, and to give such work to contractors as
a measure of breaking a strike.
(7) To transfer a workman mala fide from one place to another, under the guise of following management
policy.
(8) To insist upon individual workmen, who are on a legal strike to sign a good conduct bond, as a
precondition to allowing them to resume work.
(9) To show favoritism or partiality to one set of workers regardless of merit.
(10) To employ workmen as "badlis", casuals or temporaries and to continue them as such for years, with
the object of depriving them of the status and privileges of permanent workmen.
(11) To discharge or discriminate against any workman for filing charges or testifying against an employer in
any enquiry or proceeding relating to any industrial dispute.
(12) To recruit workman during a strike which is not an illegal strike.
(13) Failure to implement award, settlement or agreement.
(14) To indulge in acts of force or violence.
(15) To refuse to bargain collectively, in good faith with the recognized trade unions.
(16) Proposing or continuing a lock-out deemed to be illegal under this Act.
35