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Unit 10: Industrial Disputes Act, 1947

10.1.1 Other Important Terms Related to the Act Notes

(i) Existence of a Dispute or Difference

The existence of a dispute or difference between the parties is central to the definition of industrial
dispute. Ordinarily a dispute or difference exists when workmen make demand and the same is
rejected by the employer. However, the demand should be such which the employer is in a
position to fulfil. The dispute or difference should be fairly defined and of real substance and not
a mere personal quarrel or a grumbling or an agitation. The term “industrial dispute” connotes
a real and substantial difference having some element of persistency, and likely, and if not
adjusted, to endanger the industrial peace of the community. An industrial dispute exists only
when the same has been raised by the workmen with the employer. A mere demand to the
appropriate Government without a dispute being raised by the workmen with their employer
regarding such demand, cannot become an industrial dispute (Sindhu Resettlement Corporation
Ltd. v. Industrial Tribunal, 1968-I L.L.J. 834 S.C.). However, in Bombay Union of Journalists v. The
Hindu, AIR 1964 S.C. 1617, the Supreme Court observed that for making reference under Section
10, it is enough if industrial dispute exists or is apprehended on the date of reference. Therefore,
even when no formal demands have been made by the employer, industrial dispute exists if the
demands were raised during the conciliation proceedings. When an industrial dispute is referred
for adjudication the presumption is that, there is an industrial dispute (Workmen v. Hindustan
Lever Ltd., (1984) 4 SCC 392).
Unless there is a demand by the workmen and that demand is not complied with by the
management, there cannot be any industrial dispute within the meaning of Section 2(k). Mere
participation by the employer in the conciliation proceedings will not be sufficient (W.S. Insulators
of India Ltd. v. Industrial Tribunal, Madras, 1977-II Labour Law Journal 225).

(ii) Parties to the Dispute

Most of the industrial disputes exist between the employer and the workmen and the remaining
combination of persons who can raise the dispute, has been added to widen the scope of the term
“industrial dispute”. So the question is who can raise the dispute? The term “industrial dispute”
conveys the meaning that the dispute must be such as would affect large groups of workmen and
employers ranged on opposite sides. The disputes can be raised by workmen themselves or
their union or federation on their behalf. This is based on the fact that workmen have right of
collective bargaining. Thus, there should be community of interest in the dispute.

It is not mandatory that the dispute should be raised by a registered Trade Union. Once it is
shown that a body of workmen either acting through their union or otherwise had sponsored a
workmen’s case, it becomes an industrial dispute (Newspaper Ltd., Allahabad v. Industrial Tribunal,
AIR 1960 S.C. 1328). The dispute can be raised by minority union also. Even a sectional union or
a substantial number of members of the union can raise an industrial dispute. However, the
members of a union who are not workmen of the employer against whom the dispute is sought
to be raised cannot by their support convert an individual dispute into an industrial dispute. In
other words, persons who seek to support the cause must themselves be directly and substantially
interested in the dispute and persons who are not the employees of the same employer cannot
be regarded as so interested. But industrial dispute can be raised in respect of non-workmen
(Workmen v. Cotton Greaves & Co. Ltd., 1971 2 SCC 658). Industrial dispute can be initiated and
continued by legal heirs even after the death of a workman (LAB 1C 1999 Kar. 286).

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