3.1.9 Strikes and Lockouts
Strike is suspension/cessation of work by a
group of employees employed in any
industry, acting in combination. ( S. 2(q)
Lockout is temporary shutting down a place
of business by the employer.(S.2(l)
Both these are coercive measures for
compelling each other to accept their
respective demands.
Ss. 22 to 25 restricts their respective rights
to strike or lockout.
No work no pay principle applies if the
strike is illegal and unjustified, on the
contrary the workman are liable to the
disciplinary action.
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Employer is liable to pay wages to the
workmen for illegal and unjustified lockout.
Strike or Lockout during the pendency of
proceedings before the Conciliation
Officer/Conciliation Board/ Court of
inquiry/Labour Court/Industrial
Tribunal/National Tribunal is illegal and
therefore prohibited.
3.1.10 Lay off
Failure, refusal, or inability of an employer
to provide work within two hours of
presenting himself (employee) to work,
due to:
- shortage of coal, power or raw material;
- accumulation of stocks;
- breakdown of machinery;
-natural calamity or for any such reasonable
reason (Sec.2(kk)
Employer is required to pay compensation
at the rate of 50% of basic wages and D.A.
for all days of lay-off except weekly
holidays, wherein 50 or more but less than
100 workmen are employed.
No lay off wherein more than 100 workmen
are employed without prior permission of
appropriate authority, within 60 days of
proposed lay off.
A workman is, however, not entitled to any
compensation:
- whose name is not on muster roll ;
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-
who has not actually worked for 240/190
days in previous year ;
- refused to accept an alternative
employment within 5 miles;
- failed to present himself for work at the
appointed time and place;
- if such lay-off is due to strike or go- slow
on the part of the workman
- more than 45 days during any period of 12
months, if there is an agreement to that
effect between the workmen and the
employer.
3.1.11 Retrenchment
Termination of service by the employer for
any reason whatsoever, but excludes :
- dismissal due to disciplinary action ;
- voluntary retirement of workman ;
- non-renewal of contract of
employment;
- due to continued ill-health.
(Sec. 2(oo)
Conditions precedent for retrenchment of
the workman who has worked for 240 days
in preceding 12 months:
- one month notice or wages in lieu thereof;
- retrenchment compensation @ 15 days‘
wages for every completed year of service ;
- reasons for retrenchment ;
- complying with the principle of ―last come
first go‖;
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- sending Form P to labour authority.
(Ss.25F & G)
3.1.12 Closure
Closing down the place of employment or
part thereof in a permanent nature.
(Sec. 2 (cc)
Intimation to the authority at least 60 days
before in Form Q wherein 50 or more
workmen are employed. (S.25FFA )
Prior approval at least 90 days before of the
Govt. in Form QA when there are 100 or
more workmen are employed.
Condition precedent :
- notice or notice pay;
- closure compensation as per the
retrenchment provisions under Sec.
25(f);
- in case of the undertaking is closed
due to unavoidable circumstances,
i.e. beyond the control of the
employer, the amount of the
compensation shall not exceed the
average pay for 3 months. For this
purpose, financial difficulties/losses,
accumulation of indisposed stock,
expiry of period of lease or license,
or the exhaustion of minerals in case
of mines shall not constitute the
unavoidable circumstances beyond
the control of employer.
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Undertaking engaged in the construction of
buildings, bridges, roads, canals, dams, etc.
are not required to serve the notice or
approval of the Government. But if the
construction work is not completed within 2
years, the workmen shall be entitled to
notice as well as compensation for every
completed year of continuous service.
