IRLL

Session-XXVI

Resolutions of Industrial
Conflicts
Standing Orders
and Grievance
Procedure

Objective of the Session

To facilitate the students to understand

The meaning and provisions included in

Standing Orders and Trade Unions Act1926

Text Book
Dynamics of Industrial Relations,
C.B.Mamoria, Sathish Mamoria &
G.V.Ganker
Himalaya Publishing House, N.Delhi2010 (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 & DEFINITION

To 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 ACT

1.

The purpose of having Standing Orders at the plant

level and other commercial establishments is to
regulate industrial relations.

2.

This Orders regulate the conditions of employment,

grievances, misconduct etc. of the workers employed
in industrial undertakings.

3.

Unsolved grievances can become industrial disputes.

MODEL STANDING ORDERS

Classification of Workers
Publication of Work Time, Holidays, Pay Days and Wage
Rates
Shift Working
Attendance and Late Coming
Leave and Holidays, Casual Leave, Payment of Wages
Liability to search and entry into premises thru certain
gates
Stoppage of Work rights and liabilities arising therefrom
Termination of Employment
Disciplinary Action for Misconduct
Suspension or Dismissal for misconduct
Compliaiants / Means of redress for employees against
unfair treatment

PROCEDURE FOR THE

APPROVAL OF STANDING
ORDERS

The main provision that deal for the approval of

Standing Orders are:

1.

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].

2.

3.

4.

PROCEDURE FOR THE SUBMISSION OF

DRAFT STANDING ORDERS
1.

2.

3.

Within 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 ORDERS
The standing order to be certified by the certifying officer
under certain conditions:
1.

2.

If provision is made therein for every matter set out

in the schedule which is applicable to the Industrial
Establishment; and
If 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)
1.

2.

3.

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 ORDERS

Any 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
ORDERS

Standing 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.

GRIEVANCE

The 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
interpretation or application of the rules.

to

CAUSES OF GRIEVANCE
a.

Improper working conditions such as strict production

standards, unsafe workplace, bad relation with
managers, etc.

b.

Irrational management policies such as overtime,

transfers, demotions, inappropriate salary structure, etc.

c.

Violation of organizational rules and practices

PROCEDURE FOR SETTLEMENT

A

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 NCL

A 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 steps
A greivance should procedure should be such that it gives a
sense of satisfaction to the individual worker, ensures
reasonable exercise of authority to the Manager
The 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
or
assignment arising under or flowing from any law or
contract of employment or service rules or
standing orders, settlements or awards or improper
conduct or wrongful behavior is a misconduct.

TYPE OF MISCONDUCTS

Minor Misconducts

The following acts or omission on the part of an

employee shall amount to minor misconduct:

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

Major Misconducts
The 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 the
sanctioned 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 of
establishment.
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 the
establishment.
12. Habitual neglect of work or habitual negligence.
13. Canvassing for union membership or collection of union funds within the
premises of the
establishment.
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 the
manager.
16. Disclosing to any unauthorized person any information in regard to the
processes of the
establishment.

PENALTIES FOR MINOR MISCONDUCT

Warning, 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 MISCONDUCTS
The 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