CONCILIATION AND ADJUDICATION UNDER INDUSTRIAL RELATIONS CODE, 2020

Industrial Disputes Act, 1947 had provided an integrated conciliation and adjudication framework. Firstly, attempts were made to resolve a dispute through conciliation proceedings. In case of failure of conciliation proceedings, appropriate government used to refer the dispute to adjudication. The conciliation and adjudicatory framework under the IR Code is to a great extent similar to previous regime but there has been a change in the manner of reference to Tribunals. Now in case of failure of conciliation proceedings or passing of 90 days after initiation of conciliation proceedings, as the case may be, an aggrieved party can directly approach the Tribunal.

CONCILIATION PROCESS

Section 53 (1) provides for the conciliation procedure for settlement of disputes. If Industrial disputes exists or is apprehended or a notice under Section 62 is given, the Conciliation Officer has to hold conciliation proceedings. Such conciliation Proceedings cannot be initiated after expiry of two months from the date on which such industrial dispute arose.

Section 53 (2) mandates the Conciliation Officer  to investigate the dispute and all matters affecting the merits without any delay. Conciliation Officer  may do all such things as he thinks fit for the purpose of inducting the parties to come to a fair and amicable settlement of the dispute.

Draft IR (Central) Rules prescribes detailed  procedure of conciliation proceedings. Where the conciliation officer receives any notice of a strike or lockout or  application in respect of an existing industrial dispute; or information regarding apprehended industrial dispute, then, he  has to – (i)  in case of  notice of strike or lockout enter the details on the designated portal and hold conciliation proceedings and inform the concerned parties the date of sitting for such purpose, (ii) in case of existing industrial dispute, enter the details on the designated portal and examine the application and if he finds that such dispute pertains to the jurisdiction of State Government, transfer the application to the concerned authority or otherwise proceed with the application and hold the conciliation in respect thereof, and (iii) in case of apprehended industrial dispute, enter the details on the designated portal and issue a fresh notice to the parties concerned declaring his intention to commence conciliation proceedings.

 The employer’s representative and the worker’s representative, on receipt of the notice, have to submit their respective statements in respect of the said dispute in the first meeting of the conciliation proceedings. The conciliation officer has to, without delay, ascertain the facts and circumstances relating to the dispute and enquire into all matters affecting the merits and hold conciliation proceedings between the parties to the dispute and may do all such things as he thinks fit for the purpose of inducing the parties to come to a fair and amicable settlement of the dispute.

Section 53 (3) provides that if settlement of dispute or any of the matters in dispute is arrived at in the course of conciliation proceedings, the conciliation proceedings, the conciliation officer has to send a report thereof to the appropriate government or an officer authorized on this behalf by the appropriate government together with a memorandum of the settlement signed by the parties to the dispute.

 IR(Central) Rules prescribes the detail procedure in case of settlement in conciliation proceedings. The  settlement arrived at in the course of conciliation proceedings or a written agreement between the employer and worker arrived at otherwise than in the course of conciliation proceeding shall be in Form I. Memorandum of  Settlement has to  signed – (a) by the employer or by his authorized agent, or where the employer is an incorporated company or other body corporate, by the agent, manager or other principal officer of such company or such other body corporate; and (b) on behalf of workers, by any of the following office bearers of Trade Union  namely  President, Vice-President, Secretary (including the General Secretary),  Joint Secretary, any other office bearer of the Trade Union authorized in this behalf by the President and Secretary of the Union,  or  five representatives of workers duly authorized in this behalf at the meeting of the workers held for the purpose. In case of an industrial dispute between individual worker and employer, the settlement shall be signed by the employer and the worker concerned.

If a settlement of the dispute or of any of the matters in dispute is arrived at in the course of the conciliation proceedings, the conciliation officer has to submit report to  appropriate Government or an officer authorized in this behalf by that Government along with a memorandum of the settlements signed by the parties to the dispute. Report has also to be uploaded on the designated portal of Ministry of Labour and Employment.  The report has to, inter alia, contain the submissions of the employer, worker or Trade Union, as the case may be, involved in the dispute and it shall also contain the efforts made by the conciliation officer to bring the parties to an amicable settlement, reasons for refusal of the parties to resolve the dispute and the conclusion arrived at by the conciliation officer. All the evidences before the conciliation officer, except the documentary evidence, has to be filed in the form of affidavit and the parties to the dispute have to file the application or, as the case may be, reply or rejoinder thereof in the form of an affidavit.

Section 53 (4) provides for  procedure in case of failure of conciliation proceedings. If no settlement is arrived at the Conciliation Officer has to send the concerned parties and to the appropriate government a full report in the electronic or other form setting forth the steps taken by him for ascertaining the facts and circumstances relating to the dispute and for bringing about a settlement together with a full settlement of such facts and circumstances and the reasons on account of which, in his opinion, a settlement could not be arrived at. Draft IR (Central) Rules prescribes that if no settlement is arrived at in the conciliation proceedings, the conciliation officer has to, within seven days from the date on which the conciliation proceedings are concluded, upload a report on designated portal of the Ministry of Labour and Employment and forward a copy thereof through electronic mode or by registered post or speed post or in person to the parties to the dispute and to the appropriate Government. The report has to be made accessible to the parties concerned on the said designated portal by the Ministry of Labour and Employment.

Section 53 (5) provides for the timeline for sending report. The Conciliation Officer has to send report within forty-five days of initiation of conciliation proceedings but if conciliation proceeding has been initiated on the notice of strike or lockout under Section 62, the report has to be sent by the Conciliation Officer within fourteen days.  The time may be extended with agreement of parties in writing.

Section 53 (6) empowers the parties to directly approach the approach the Industrial Tribunal by making an application in prescribed form within ninety -days in case of failure of conciliation proceedings, which is a departure from the earlier regime under Industrial Disputes Act, 1947 wherein appropriate government used to refer a dispute.

REFERENCE TO NATIONAL INDUSTRIAL TRIBUNAL

The procedure of reference of a dispute to Industrial Tribunal by appropriate government has been done away with in case of failure of conciliation proceedings, but procedure of reference by appropriate government has been retained in case of National Industrial Tribunal. Section 54 (1) empowers the Central Government to refer an industrial dispute to National Industrial Tribunal which in its opinion involves questions 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 industrial dispute.

Section 54 (2) provides that in cases where industrial disputes have been referred or transferred to the National Industrial Tribunal, the National Industrial Tribunal has to hold its proceedings expeditiously and shall submit its award within period specified in the reference.

__________________________________________________________