The Industrial Disputes Act, 1947 extended to the whole of

India India, officially the Republic of India, is a country in South Asia. It is the List of countries and dependencies by area, seventh-largest country by area; the List of countries by population (United Nations), most populous country since ...

and regulated Indian labour law concerning trade unions as well as Individual workman employed in any industry within the territory of Indian mainland. Enacted on 11 March 1947 and It came into force 1 April 1947. It was replaced by the Industrial Relations Code, 2020.

Objectives

An act to make provision for the investigation and settlement of industrial disputes, and for certain other purposes. The objective of the Industrial Disputes Act is to secure industrial peace and harmony by providing mechanism and procedure for the investigation and settlement of industrial disputes by conciliation, arbitration and adjudication which is provided under the statute. The main and ultimate objective of this act is "Maintenance of Peaceful work culture in the Industry in India" which is clearly provided under the Statement of Objects & Reasons of the statute. The laws apply only to the organised sector. Chapter V talks about the most important and often in news topic of 'Strikes and Lockouts'. It talks about the Regulation of strikes and lockouts and the proper procedure which is to be followed to make it a Legal instrument of 'Economic Coercion' either by the Employer or by the Workmen. Chapter V-B, introduced by an amendment in 1976, requires firms employing 300 or more workers to obtain government permission for layoffs, retrenchments and closures. A further amendment in 1982 (which took effect in 1984) expanded its ambit by reducing the threshold to 100 workers. The Act also lays down: # The provision for payment of compensation to the workman on account of closure or lay off or

retrenchment Retrenchment (, an old form of ''retranchement'', from ''retrancher'', to cut down, cut short) is an act of cutting down or reduction, particularly of public expenditure. Political usage The word is familiar in its most general sense from the mot ...

. # The procedure for prior permission of appropriate Government for laying off or retrenching the workers or closing down industrial establishments # Unfair labour practices on part of an employer or a

trade union A trade union (British English) or labor union (American English), often simply referred to as a union, is an organization of workers whose purpose is to maintain or improve the conditions of their employment, such as attaining better wages ...

or workers.

Applicability

The Industrial Disputes Act extends to whole of India and applies to every Industry and its various industrial establishment carrying on any

business Business is the practice of making one's living or making money by producing or Trade, buying and selling Product (business), products (such as goods and Service (economics), services). It is also "any activity or enterprise entered into for ...

trade Trade involves the transfer of goods and services from one person or entity to another, often in exchange for money. Economists refer to a system or network that allows trade as a market. Traders generally negotiate through a medium of cr ...

manufacture Manufacturing is the creation or production of goods with the help of equipment, labor, machines, tools, and chemical or biological processing or formulation. It is the essence of the secondary sector of the economy. The term may refer to a r ...

distribution Distribution may refer to: Mathematics *Distribution (mathematics), generalized functions used to formulate solutions of partial differential equations *Probability distribution, the probability of a particular value or value range of a varia ...

of goods and services irrespective of the number of workmen employed there in. Every person employed in an establishment for hire or reward including contract labour,

apprentice Apprenticeship is a system for training a potential new practitioners of a Tradesman, trade or profession with on-the-job training and often some accompanying study. Apprenticeships may also enable practitioners to gain a license to practice in ...

s and part-time employees to do any manual, clerical, skilled, unskilled, technical, operational or supervisory work, is covered by the Act. This Act though does not apply to persons mainly in managerial or administrative capacity, persons engaged in a supervisory capacity and drawing > 10,000 p.m or executing managerial functions and persons subject to Army Act, Air Force and Navy Act or those in police service or officer or employee of a

prison A prison, also known as a jail, gaol, penitentiary, detention center, correction center, correctional facility, or remand center, is a facility where Prisoner, people are Imprisonment, imprisoned under the authority of the State (polity), state ...

Applicability to Parent Act

* Trades Dispute Act

Related Sections Of The Act

* Section 1 : Short title, and commencement

Important Definitions

* Section 2A : Appropriate Government Any industry carried on by or under the authority of the Central Govt, or by a railway company or a Dock Labour Board, or the Industrial Finance Corporation of India Ltd, or the ESIC, or the board of trustees of the Coal Mines PF, or FCI, or LIC or in relation to any other industrial dispute, the state Government. * Section 2J : Industry The definition of Industry under the Act is taken from the Supreme Court's judgment in ''Bangalore water Supply and Sewerage Board v. A. Rajappa. '' Triple Test formulae The organization is ''Prima Facie'' an industry if it is 1. A systematic activity 2. Organized by co-operation between an employer and an employee 3. for the production of goods and services calculated to satisfy human wants and wishes. (not spiritual or pious in nature but inclusive of material things or services geared to seek celestial bliss) * Section 2BB: Banking company * Section 2G : Employer * Section 2J : Industry * Section 2K : Industrial dispute * Section 2A : Industrial dispute between individual and employer * Section 2KA: Industrial establishment or undertaking * Section 2KK: Insurance company * Section 2LA: Major port * Section 2LB: Mine * Section 2N : Public utility service * Section 2O : Railway Company * Section 2RR: Wages * Section 2S : Workmen (Including an Apprentice)industrial act

Related Schedules

* Schedule II - S7 : Matters Within The Jurisdiction Of Labour Courts * Schedule III - S7A : Matters Within The Jurisdiction Of Industrial Tribunal * Schedule IV - NOTICE OF CHANGE * Schedule V - UNFAIR LABOUR PRACTICE

Notes

External links

Introduction to the Act

The Industrial Disputes Act, 1947
{{DEFAULTSORT:Industrial Disputes Act, 1t947, The Acts of the Parliament of India 1947 Labour relations in India Indian labour law Legislation in British India 1947 in politics Industrial agreements 1947 in labor relations