PowerPoint Presentation

IRLL Session-XXVIResolutions of Industrial Conflicts

Standing Orders and Grievance ProcedureObjective of the Session

To facilitate the students to understand

The meaning and provisions included in Standing Orders and Trade Unions Act-1926Text Book

Dynamics of Industrial Relations,C.B.Mamoria, Sathish Mamoria & G.V.Ganker Himalaya Publishing House, N.Delhi-2010 (308-321)

What do you mean by Standing Orders and why they are important.

What do you mean by Grievances and how settlements are made.Industrial Employment Standing Order Act,1946.Introduction & DefinitionTo avoid friction amongst the employers and workmen employed in an industry is the principal aim of Indian Legislation in India.It was considered that the society had a vital interest in the settlement of terms of employment of Industrial Labor and also settlement of Labor problems.Therefore, the steps were taken by the Central Government to enact Industrial Employment (Standing Orders) Act, 1946 with a view to afford protection to the workmen with regard to conditions of employment.Definition under the Act (Sec.2) Standing Orders mean rules relating to matters set out in the Schedule to the Act [Sec.2(g)] to be covered and in respect of which the employer has to draft for submission to the Certifying Officer, are matters specified in the Schedule. Objective of the ActThe purpose of having Standing Orders at the plant level and other commercial establishments is to regulate industrial relations.

This Orders regulate the conditions of employment, grievances, misconduct etc. of the workers employed in industrial undertakings.

Unsolved grievances can become industrial disputes.

Model Standing OrdersClassification of WorkersPublication of Work Time, Holidays, Pay Days and Wage RatesShift WorkingAttendance and Late ComingLeave and Holidays, Casual Leave, Payment of WagesLiability to search and entry into premises thru certain gatesStoppage of Work rights and liabilities arising therefromTermination of EmploymentDisciplinary Action for MisconductSuspension or Dismissal for misconductCompliaiants / Means of redress for employees against unfair treatment

Procedure for the Approval of Standing OrdersThe main provision that deal for the approval of Standing Orders are:

Procedure for the submission of Draft Standing Orders [Section 3].Procedure for the Conditions for Certification of Standing Orders [Section4].Procedure for Certification of Standing Orders (Procedure for Adoption) [Section 5].Appeals [Section 6].Procedure for the submission of Draft Standing OrdersWithin 6 months from the date on which this Act becomes applicable to industrial establishment, the employer shall submit to the Certifying Officer 5 copies of the draft standing orders proposed by him.Provision shall have to be made as such every matter set out in the Schedule which may be applicable to the industrial establishment and were model standing orders have been prescribed.Subject to such conditions as may be prescribed, a group of employers in similar industrial establishments may submit a join draft or standing orders under this section.Procedure for the Conditions for Certification of Standing OrdersThe standing order to be certified by the certifying officer under certain conditions:

If provision is made therein for every matter set out in the schedule which is applicable to the Industrial Establishment; andIf the standing orders are otherwise in conformity with the provision of this Act and it shall be the function of the Certifying Officer or appellate authority to reasonableness of the provision of any standing orders.

Procedure for Certification of Standing Orders (Procedure for Adoption)The Certifying officer receipt of the draft Standing Orders from the employer shall forward a copy of the draft standing orders to the recognized trade union of the establishment seeking submission of objection to draft standing orders if any.The standing orders came into operation on the expiry of 30 days from the date on which the authenticated copies of the standing orders are forwarded to the employer and the workmen by the certifying officer.The conditions of employment, which will be binding on the employer and the workmen from the date when they become operational.

Appeal of Standing OrdersAny employer, workmen, trade union or other prescribed representatives of workmen aggrieved by the order of the Certifying Officer may appeal to the appellate authority within 30 days from the date on which copies are to be sent to them.

The appellate authority may confirm the standing orders as certified, or may make modifications or additions to render them certifiable and it has to send copies of the same to the concerned person within 7 days of the order[Sec. 7].Modification of Standing OrdersStanding Order finally certified under the Act shall not, except on agreement between the employers and the workmen or their Trade Union be liable to modification until the expiry of 6 months from the date on which the standing orders came into operation.

Subject to the provision of sub-section (1), an employer or workman or a trade union or other representative body of the workmen may apply to the Certifying Officer to have the standing orders modified, and such application shall be accompanied by 5 copies of the modifications proposed to be made.

GrievanceThe term Grievance is used to designate claims by workers of a TU concerning their individual or collective rights under an applicable collective agreement, individual contract of employment, law, regulations, work rules, custom or usage.

Such claims involve questions relating to interpretation or application of the rules.Causes of GrievanceImproper working conditions such as strict production standards, unsafe workplace, bad relation with managers, etc. Irrational management policies such as overtime, transfers, demotions, inappropriate salary structure, etc. Violation of organizational rules and practices

PROCEDURE FOR SETTLEMENTA grievance procedure is a formal process which is preliminary to an arbitration which enables the parties involved to attempt to resolve their differences in a peaceful, orderly and expeditious manner. The code of discipline adopted by the Indian labour conference in 1957 laid down that the management and unions should establish, upon a mutually agreed basis grievance procedure which would ensure a speedy and full investigation leading to a settlement. At present, the model grievance procedure in India provides for five successive time bound steps, each leading to the next unless the aggrieved employee prefers an appeal. These steps are as follows:

Step 1: The aggrieved employee verbally explains his grievances to his immediate supervisor or in a conference or a discussion specifically arranged for the purpose. The employee seeks satisfaction from his supervisors. The supervisor must give his answer within forty-eight hours of the presentation of the complaint. The grievance can be settled if the supervisor has been properly trained for the purpose, and if he adheres strictly to a basic problem-solving method.Step 2: the second step begins when the grievance is no settled by the supervisor. If the employee does not receive an answer within the stipulated time or he is not satisfied with the answer, he shall either in person or with his departmental representatives present his grievance to the head of the department designated for this purpose. The head of the department is generally the chief business manager, a superintendent or an industrial relations officer who goes into the grievance and gives his decision on the matter. He is required to furnish his answer within three days of the presentation of the grievance.

Step 3: If the employee is not satisfied the answer, he can approach the grievance committee which shall evaluate the case and make its recommendations to management within seven days o presentation of the case. The grievance committee is compose of some fellow-employee, the shop steward or a combination of union and management representatives. The committee may suggest any one of the possible solutions: It may call upon the grievant to accept the employers proposed settlement.It may advise him that the trade union will not press for anything more than has already been suggested.In some cases, it may recommended that the issue be submitted for arbitration. The employee would be informed about the recommendation with three days.

Step 4: If the committee fails to a take decision within the stipulated period or if the employee is not satisfied with the decision, he can make an appeal for revision to management. Management is supposed to communicate its decision within seven days of the workers revised petition. Step 5: If the employee is dissatisfied with the managements decision, union and management may refer the grievance for voluntary arbitration within a week of the receipt of managements decision by the aggrieved employee. The parties may agree beforehand that the arbitrators award will be final and binding on both the parties

Views of the NCLA formal greivance procedure should be introduced in units employing 100 or more workers.Its other recommendations are (a) There should be a statutory backing for the formulation of an efective grievance procedure which should be simple, flexible, less cumbersome and more or less on the lines of the Model Grievance Procedure.It should be time-bound and have a limited number of stepsA greivance should procedure should be such that it gives a sense of satisfaction to the individual worker, ensures reasonable exercise of authority to the ManagerThe constitution of Greivance committee should have a provision that in case unanimous decision is not possible, arbitration may be referred.

MISCONDUCT Any act or omission on the part of an employee which is a breach of any duty, obligation orassignment arising under or flowing from any law or contract of employment or service rules orstanding orders, settlements or awards or improper conduct or wrongful behavior is a misconduct.

TYPE OF MISCONDUCTSMinor Misconducts

The following acts or omission on the part of an employee shall amount to minor misconduct:

1. Late coming2. Absence from duty without leaves for a period of less than six days3. Loitering, gossiping in department during working hours4. Failure to ware tight clothes/specified uniform.5. Negligence of duties or neglect of work.

Major MisconductsThe following acts or omission on the part of an employee shall amount to major misconduct:1. Willful insubordination or disobedience of any lawful and reasonable order of a superior.2. Going on legal strike or abetting, inciting, instigation.3. Willful slowing down in performance in work or instigation there of.4. Theft, fraud or dishonesty in connection with the employers business or property.5. Taking or giving bribes or any illegal gratification.6. Habitual absenteeism without leave for more than 10 consecutive days or over staying thesanctioned leave without sufficient grounds.7. Habitual breach of any standing order or any law applicable to establishment.8. Collection without the permission of the manager or any money within the premises ofestablishment.9. Engaging in trade within the premises of establishment.10. Drunkenness, Riotous, Disorderly or indecent behavior on the premises of the establishment.11. Commission of any acts subversive of discipline or rude behavior on the premises of theestablishment.12. Habitual neglect of work or habitual negligence.13. Canvassing for union membership or collection of union funds within the premises of theestablishment.14. Willful damage to work in process or any property of the establishment.15. Holding meetings inside the premises of establishment without the permission of themanager.16. Disclosing to any unauthorized person any information in regard to the processes of theestablishment.

PENALTIES FOR MINOR MISCONDUCTWarning, fine, passing adverse entry in service records, recovery of loss of goods for which the concerned workman is accountable, recovery from wages of the whole or part of any loss caused by the workman through negligence.

PENALTIES FOR MAJOR MISCONDUCTSThe following penalties may be imposed for good and sufficient reasons if an employee found guilty of major misconduct.

Warning or censure, withholding of increment, fine, stopping promotion, demotion, suspension, discharge, dismissal, vacation of company quarter or any other punishment which the manager