ALTERNATE DISPUTE RESOLUTION- MSS LAW COLLEGE
SIMULATION EXERCISE PROBLEM NO. # 2
The Tand Co acompany registered under the CompaniesAct, 1956 is a separate legal entity. At
the material time 56% of its shares were heldby the Central Government, 32% by the Telugu
State Government and 12% byprivate individuals. The day to day affairs of the Tand co was
contingent on the workmen comprising teclnical, non-technical and General workmen with five
cqegories to meet work arising out of the exigencies of T and Co. Aletter for Memorandum of
settlement to be arrived between the representative of the management and representatives of the
recognized union for not to resort to strikes, stoppage of work or go-slow tactics in the
proceedings before the commissioner of labor forming a basis of agenda. The permanent
workmen are ag:ain sub-divided into classes (A) and (B) and with recognized union by the
management whc remain out of the settlement are fifty.
^om workmen from non-recognized union in disparity about the non-inclusion of certain issues
ike bonus, pension, regularization in order of merit and other terminal benefits within the above
said settlement had approached Industrial tribunal raising the question of reference under section
10(1) of LD. Aci 1947. Under that agreenent, there was categorization of workmen into four
categories with different grades of payas follows:
(1) Unskilled workmen were to be in the grade of Rs. 70-4-110.
(2) Semi-skilled workmen in the grade of (a) 85-5-135; (b) 95-5.145; and (c,
100-6-160.
(3) Skilled worknen in the grade of (a) 130-8-210; and (b) 145-9-235-10-255.
(4) Hlighly skilled workmen in the grade of 160-12-280-15-310.
The Mazdoor Sabha workmen (non-recognized union of T and co)
lodged their protest against
the settlement alleging that the regularization of werkmen was done
without following the order
of merit. It is the case of the Mazdoor Sabha that the
managenient in collusion with the other
union, brought about the settlement, the result of which is that many juniors were
given higher
grades and some in the semi-skilled and unskilled category.were placed in
the skilled or highly
skilled workmen category. Sixty-eight of the workess belonging to the
Mazdoor Sabha, on the
ground that they were not parties to the settlement and that the
settlement does not provide for
fitment into various categories, raised an industrial dispute through their
union and hence the
reference to the Labour Court as no seniority list was attached in total workmen of about two
hundred and fifty for various categories.
The Letter of the conciliation proceedings, shouldbe address aspects of regularization on merit
in the Wage scales set against each, will be introduced for Technical workmen and General
workmen in the Industry with effect from 1-4-1968.The number of posts required in the two
Divisions in each of the grades set out above will be determined jointly by the management and
the union by an evaluation based on the skilis required for different jobs, and in this process one
nominee of the recognized union willbe associated with the management. The two divisions will
have separate evaluation teams doing this job.ALL Workmen will be fitted into the respective
grades on the basis of trade tests where necessary.
TNTVe
HOWEVER The recognized union has also given a letter to the commissioner of labor for the
conducting of conciliation proceedings to address the various issues and resolve the conflict
between the workmen and the management for peace and harmonization. After refusal by the
management, The Unrecognized Union has filed a Writ Petition before the Hon'ble High court.
The Commissioner of Labour invoking the provisions under section 10
AND 12 of Industrial
Disputes Act 1947 case was referred for Concilliation proceedings towards this
industrial
dispute.
