INDIAN RAILWAYS

INDUSTRIAL RELATIONS

1. PERMANENT NEGOTIATING MACHINARY:

Founded in 1951 when Shri Lal Bahadur Shastri was the Railway
Minister. With a view to maintain contact with organized labor &
resolve disputes & differences arising between organized labor & the
Administer, machinery was set up called “Permanent Negotiating
Machinery”.
The meetings between the organized labor & Railway Administration
are arranged in 3 tiers:
1. The Railways level
2. The Railway Board level
3. The ad hoc Tribunal level

• All the matters which could not be settled at Railway level

would be settled at Railway Board level.
1. Separate meetings with AIRF & NFIR & Railway Board once in a
quarter.
2. Chairman would be a member staff.

• Matters of important nature on which no agreement is reached

are put up to Ad hoc tribunal.
Chairman would be retired Judge of Supreme or High Court having his
own staff.

1. JOINT CONSULTATIVE MACHINARY

With a view to have harmonious relations between employers &
employees in the matter of common concern, GOI has established a
machinery known as Joint Consultative Machinery &Compulsory
Arbitration, which discusses matters relating to conditions of service,
welfare of employees & improvement of efficiency & standard of work.
Joint Consultative Machinery works in 3 tiers - National Council,
Departmental Council & Regional Council.
2. SETTING UP OF ANOMALY COMMITTIES TO SETTLE
THE ANOMALIES ARISING OUT OF 6TH PAY
COMMISSION’S RECOMMENDATIONS
In terms of an agreement with the staff side of the National council it
has been decided that appropriate Anomaly Committees should be set
up consisting representatives of official side & staff side to settle
anomalies arising out of implementation of 6th pay commission
subjected to following conditions:
• Definition of anomaly: where the official side & staff side are of the
opinion that vertical/horizontal relativities have been disturbed as a
result of 6th Central Pay commission report leading to dissatisfaction &
adverse impact on efficiency OR any recommendation is in
contravention of the principle of the policy enunciated by 6th pay
commission without commission assigning any reason OR where the
maximum of the revised scale is less than the existing rate.
• Composition: There are 2 levels of anomaly committees: National
(Chaired by Additional Secretary/Joint Secretary) & Departmental.
• Committee shall receive anomalies through Secretary , Staff side of
resp council upto 6 months of date of its constitution.
• The arbitrator appointed shall consider disputed cases at National as
well as Departmental level.

1. A COMPARISON OF BASIC FEATURES OF PERMANENT

NEGOTIATING MACHINERY & JOINT CONSULTATIVE
MACHINARY (PNM & JNM)
1. PNM started functioning on Railway in 1951. Under the JCM,
National Council started working in 1966 & Departmental Council in
1968.
2. Under PNM, a wide range of subjects can be discussed whereas
under JCM, subjects relating to general conditions to service & work
& welfare can be discussed. Matters of only 1 department are
discussed at departmental council & that of more than 1
department are discussed at national council.

1. HOURS OF EMPLOYMENT REGULATIONS

Based on Geneva & Washington Conventions sponsored by ILO & to
fulfill the obligation undertaken by Indian govt, had arisen to amend
Indian Railways Act, 1890 in 1930 to regulate hour of employment,
period of rest & payment of overtime.
2. CORPORATE ENTERPRISE GROUP
To have systematic participation of labor in management for
improvement in working of railway system & efficiency, a corporate
system was set up at central level in ministry of railways in 1972 to
provide for free flow of exchange of ideas. These have been set up on
Zonal railways.

3. STAFF COUNCILS
These are bodies organized of railways on territorial basis or staff basis
or combination of both. Objective of this body is to maintain good
relations & spirit of cooperation between railway administration &
 groups of non-gazatted railway employees. These are of 3 tiers i.e.
Central, Divisional & Area or Station committee council.

Functions: 1. Staff can bring questions concerning conditions of

Service.
2. Matters of common interest can be discussed.
3. Staff councils functions on various welfare Committees
& advise on all
welfare activities.

4. PREM (PARTICIPATION OF RAILWAY EMPLOYEES IN

MANAGEMENT)
In 1972 the first step was taken by Railway Ministry and constituted
CEG (Corporate Enterprise Group of Management) by giving
opportunities to organized labor to highlight their views on the Railway
working and also suggested measures needed to be taken for
improving efficiency on the Railways. This machinery was introduced
in 3 tier basis i.e. Railway Board level, Zonal level and Divisional level.
Nominated members from the recognized Trade Unions are
participating in this meeting and improvement in efficiency of Railway
working and also suggesting means of improving Railway working.
Thereafter workers were involved in important deliberations at various
levels to provide efficient rail transport service to the traveling public.
This machinery was again restructured in 1994 and was named as
PREM (Participation of Railway employees in Management). This has
given meaningful and effective participation of workers in
Management process.
Separate cell under the direct control of Secretary, Railway Board is
created.
Joint Secretary Railway Board assists in convening the meeting.
Hon’ble Saffar Sharif the then Railway Minister taken a decision and
written a letter to then Prime Minister of India Shri Narshima Rao and
taken this decision.
On 1st May, 1995 on the May Day in New Delhi for the first time in
history of Indian Railways, top leaders of workers Federation of
Railways participated in the meeting along with Minister of Railways,
Railway Board and General Meetings

Level of Participation :
• DRM Level : Divisional Set up of Organised labour with DRM, Sr.DPO
 • Zonal Level : with GM/AGM, CPO along with all POHDs and Zonal set
up nominated by Recognised Trade Unions.
• Railway Board Level : with Chairman and MS along with all
Additional Members of respective departments and representatives
from Federation nominated by recognized Federation.

Main Purpose of Participative Management:

This participative management has created importance to the workers by
giving better social status, respect and their suggestion of improving attitude
towards work was taken into account in production process.

• It has also helped for attaining industrial peace and harmony.

• It gave the worker an acceptable status within the working community
and a sense of purpose in activity.
• It provides opportunity for workers self-management.
• This has also provided the workers sharing of a part of managerial
powers.
• Evaluate the functioning of the railways & exchange data & ideas on
way & means for improving the efficiency & viability of the enterprise.
• Appraise the investment programmes, particularly housing & other
welfare services.
• Identify areas & devise action- oriented methods for maximizing
organizational effectiveness, the use of technology.
• To facilitate effective & meaningful participation of the Railway
employees in management process.
• To give them a sense of involvement & pride in organization’s work.

The Management’s primary interest lies in the improving the

productivity, reducing cost and thus improving profitability.

Workers interest lies in improving their earnings. When earning

improves through sharing gains in productivity, naturally harmony of
interest is promoted.

The main purpose of this machinery is to improve running of Railway

system and delivery of better service of the traveling public.
 This machinery is not discussing the grievances of Railway employees.

THEMES SUGGESTED FOR DISCUSSIONS FOR

PREM MEETINGS:
• Care of customers
• Quality
• Measures to improve revenue earnings
• Expenditure control
• Commercialization of working
• Human resource development
• Redeployment of surplus labor
• Holistic initiatives

1. ACTS APPLICABLE:
1. PAYMENT OF WAGES ACT 1957
2. MINIMUM WAGES ACT, 1948
3. WORKMEN’S COMPENSATION ACT, 1923
4. FACTORIES ACT, 1948
5. INDUSTRIAL DISPUTE ACT, 1947
6. TRADE UNIONS ACT, 1926
7. CONTRACT LABOUR ACT, 1970

2. SETTLEMENT MACHINERY :
Applicability of Industrial Dispute Act comes into picture here covering
all railway workmen other than those on supervisory level whose
wages exceed 1600 Rs per month.
3. TRADE UNION ACT 1926:
A trade Union is a continuous association of wage earners for the
purpose of maintaining & improving workers’ conditions & their lives.

UNIONS ON RAILWAYS:
1. NATIONAL RAILWAYS MAZDOOR UNIONS
2. CENTRAL RAILWAY MAZDOOR SANGH
3. MADHYA RAILWAY KARMCHARI SANGH
4. NATIONAL FEDERATION OF INDIAN RAILWAYMEN
5. BHARTI RAILWAY MAZDOOR SANGH
6. East Central Railwaymen’s Congress (ECRMC), Patna
7. Uttar Paschim Railway Mazdoor Sangh (UPRMS), Jaipur
8. South Western Railway Employees’ Sangh (SWRES), Hubli
 9. North Central Railway Employees’ Sangh (NCRES), Allahabad
10. South East Central Railway Mazdoor Congress (SECRMC), Bilaspur
11. East Coast Railway Shramik Congress (ECORSC), Bhubaneswar
12. West Central Railway Mazdoor Sangh (WCRMS), Jabalpur

Facilities given to unions by railways:

1. Through permanent negotiating machinery staff
2. Through joint consultative machinery
3. Staff benefit fund
4. Participation through Labor Advisory Committee
5. Staff Committee
6. Issue of card passes to union workers and many more.

CRMS is representing over Central Railway through 78 Branches. 26 in

Mumbai, 18 in Bhusawal, 13 in Nagpur, 12 in Solapur and 9 in Pune .CRMS is
affiliated to NFIR and INTUC. Each Branch is representing DRM directly by
correspondence under the signature of Branch Secretary. The issues which
are not settled through the Correspondence are listed out as the Agenda to
be discussed in Divisional PNM Meeting. The PNM Meeting at DRM level is
conducted every alternate month and a total of 6 meetings in a year.
At the HQr. Level, the items sent by the Divisions are represented to G.M.
C.Rly and the issues which are not settled by correspondences are listed out
for Agenda for HQr.PNM to be discussed with G.M.C.Rly. Agenda for PNM
Meeting is sent one month in advance
MORCHA & DHARNA
• Mass demonstration against denial of transport allowance to Railway
Employees of Mumbai Area
• Mass Demonstration by Railway employees in front of G.M’s office
C.Rly CST Mumbai on 14.10.08 at 17.30 hrs.
 History of the formation of INRWF
(Indian National Railway Workers
Federation) now NFIR

In the annals of the Railway Labor Movement, May, 16, 1948

should be written in golden letters for on that date during
Second Session of the INTUC being held at Bombay, the INTUC
Working Committee decided that a very sizable number of
railway employees having joined the INTUC, it had become
imperative to form a Central Body to coordinate their activities
and direct the movement on the right lines. The Indian
National Railway Workers Federation (INRWF), thus, came into
being.

NFIR as Member of IRWO's Governing Body

NFIR being the Governing Body Member of Indian Railway

Welfare Organization (IRWO) has assisted the organization
looking into the interests of Railway men.

IRWO has been set up under the patronage of Ministry of

Railways to look after the housing needs of the serving and
retired Railway Employees as a Social Welfare Measure on
‘NO-PROFIT NO-LOSS’ basis. The Registrar of Societies has
registered IRWO under the Societies Registration Act of 1860.
The aim of IRWO is to provide housing to the serving Railway
personnel, retired Railway personnel, spouses of deceased
Railway personnel of Public Sector Undertakings under Ministry
of Railways and personnel of IRWO.
IRWO is engaged in acquiring land from Government
Organizations like Local Development Authorities, Housing
Boards etc., and private parties in case the Government
Organizations do not allot the land. IRWO undertakes
construction of houses/flats at reasonable costs for its primary
members. IRWO raises funds as subscription from the primary
members and loans from financial institutions.

NFIR as a Member of the Governing Body, advises IRWO from

time to time and resolves the shortcomings and deficiencies in
the process of acquiring land and construction of dwelling units
at reasonable costs to its primary members, who are Railway
employees. NFIR played an important role in securing refund of
money to the allottees of Faridabad Project.

The ALL INDIA STATION MASTERS' ASSOCIATION, Delhi, (Regd.

popularly known as AISMA has entered into 57 years of age
(1953 - 2010) as an instrument to tackle the problem
pertaining to the STATION MASTERS. This is a Railway Trade
Union working for the welfare of Railway Employees,
particularly 35,770 Assistant Station Masters (ASMs), Station
Masters (SMs), Station Managers (SMRs) and Transportation
Inspectors (TIs).

THE PAYMENT OF BONUS ACT, 1965

INTRODUCTION

1 BONUS

Bonus implies something paid as a gesture of goodwill. The

Encyclopedia Britannica has defined Bonus as-

“An award in cash or its equivalent by an employer to an

employee for an accomplishment other than that of paid for
regular wages, such accomplishment considered being
desirable though not required by the contract of employment.
It is usually intended as stimulus but may also express the
desire of the employer to share with the employee the fruits of
their joint enterprise.”

So, bonus is payment made to the employees out of profits

earned by employers over & above the remuneration. It is not
ex- gratia payment but the statutory right of employee.

2 HISTORY:
The practice of paying bonus in India originated during
First World War when certain textile mills granted 10% of
wages as war bonus to their workers in 1917. In certain cases
of industrial disputes demand for payment of bonus was also
included. Bonus Act is the outcome of the recommendation
made by the tripartite commission which was set up by the
Govt. of India in 1961. Commission was asked to consider the
payment of bonus based on profit to employees by employer.
Accordingly, Payment of Bonus Ordinance, 1965 was
promulgated on May 26, 1965. Subsequently, it was accepted
by the parliament & accordingly in 1965, the Payment of
Bonus Act was enacted.

3OBJECTIVES:

1. To impose a statutory obligation on employer of every

establishment to pay bonus to all eligible employees.
2. To outline the principles of payment of bonus according
to prescribed formula.
3. To provide for payment for maximum or minimum
bonus.
4. To provide machinery for enforcement of bonus.

4SCOPE & APPLICATION

1. It extends to the whole of India
2. Applies to

Save as otherwise provided in this Act, it shall apply to

–

(a) every factory; and

(b) every other establishment employing 20 or more
persons on any day during an accounting year.
 Subsequent reduction in the no. of employees won’t
make it inapplicable.

1. Act doesn’t applies to public enterprises except those

operating in competition with similar other private
undertakings.
2. Not applicable to non- profit making undertakings like
R.B.I, L.I.C of India etc.
3. All banks are covered in this Act.
4. In case of factories, if the no. of employees fall below
10, the Act can’t be enforced.

5NON-APPLICATION OF ACT: Nothing of this Act

applies to

• Employees employed by any insurer carrying on

general insurance business.
• Seamen defined in clause 42 of section 3 of
Merchant Shipping Act,1958.
• Employees registered under any scheme under
Dock Workers (Regulation of Employers
Act,1948)
• Employees of Central or State Govt.
• Employees employed by:
1. Indian Red Cross Society or any institution of
similar nature
2. Universities and other educational institutions
3. Hospitals, chambers of commerce & social
welfare institutions & other non- profit
organizations.

6DEFINITIONS:
In this Act, unless the context otherwise requires,-

(1) “accounting year” means -

(i) in relation to a corporation, the year ending on the

day on which the books and accounts of the
corporation are to be closed and balanced.
(ii) in relation to a company, the period in respect of which
any profit and loss account of the company laid before it
in annual general meeting.
(iii) in any other case -

(a) the year commencing on the 1st day of April; or

 (b) if the accounts of an establishment maintained by
the employer thereof are closed and balanced on any
day other than the 31st day of March, then, at the
option of the employer, the year ending on the day
on which its accounts are so closed and balanced.

(2) “allocable surplus” means-

(a) in relation to an employer, being a company other

than a banking company which has not made the
arrangements prescribed under the Income-tax Act
for the declaration and payment within India of the
dividends payable out of its profits in accordance with
the provisions of section 194 of that Act, sixty-seven
per cent of the available surplus in an accounting;
year;
(b) in any other case, 60 % of such available surplus;

(3) “appropriate Government” means-

(i) in relation to an establishment in respect of which

the appropriate Government under the Industrial
Disputes Act, 1947, is the Central Government, the
Central Government;
(ii) in relation to any other establishment, the
Government of the State in which that other
establishment is situate;

(4) “available surplus” means the available surplus

computed under section 5;

(5) “award” means an interim or a final determination of

any industrial dispute or of any question relating thereto
by any Labour Court, Industrial Tribunal or National
Tribunal constituted under the Industrial Disputes Act,
1947 or by any other authority.

(6) “employee” means any person (other than an

apprentice) employed on a salary or wage not exceeding
1
[three thousand and five hundred rupees] per month in
any industry to do any skilled or unskilled manual,
supervisory, managerial, administrative, technical or
clerical work for hire or reward, whether the terms of

1
 employment be express or implied;

(7) “employer includes-

(i) in relation to an establishment which is a factory, the

owner or occupier of the factory, including the agent
of such owner or occupier, the legal representative
of a deceased owner or occupier and where a person
has been named as a manager of the factory under
clause (f) of sub-section (1) of section 7 of the
Factories Act, 1948 (63 of 1948), the person so
named; and

(ii) in relation to any other establishment, the person

who, or the authority which, has the ultimate control
over the affairs of the establishment and where the
said affairs are entrusted to a manager, managing
director or managing agent, such manager,
managing director or managing agent;

(8) “salary or wage” means all remuneration (other

than remuneration in respect of over-time work) capable
of being expressed in terms of money, which would, if
the terms of employment, express or implied, were
fulfilled, be payable to an employee in respect of his
employment or of work done in such employment and
includes dearness allowance (that is to say, all cash
payments, by whatever name called, paid to an
employee on account of a rise in the cost of living), but
does not include-

(i) any other allowance which the employee is for the

time being entitled to;

(ii) the value of any house accommodation or supply of

light, water, medical attendance or other amenity or
of any service or of any concessional supply of food
grains or other articles;

(iii) any traveling concession;

(iv) any bonus (including incentive, production and

attendance bonus);
 (v) any contribution paid or payable by the employer to
any pension fund or provident fund or for the benefit
of the employee under any law for the time being in
force;

(vi) any retrenchment compensation or any gratuity or

other retirement benefit payable to the employee or
any ex gratia payment made to him;

(vii)

any commission payable to the employee.

7 Eligibility for bonus.—Every employee shall be

entitled to be paid by his employer in an accounting year,
bonus, in accordance with the provisions of this Act, provided
he has worked in the establishment for not less than thirty
working days in that year.

8 Disqualification for bonus.—Notwithstanding

anything contained in this Act, an employee shall be
disqualified from receiving bonus under this Act, if he is
dismissed from service for --
(a) fraud; or
(b) riotous or violent behavior while on the premises of
the establishment; or
(c) theft, misappropriation or sabotage of any property
of the establishment.

9PAYMENT OF MINIMUM & MAXIMUM BONUS:

Act requires that where an employer has any allocable

surplus, he shall be bound to pay to every employee a
minimum bonus which shall not be less than 8.33 % of wages
& salary earned by employee during the accounting year or
Rs 100, whichever be higher.
All employees earning a wage or salary not exceeding Rs
3500 per month in any establishment as specified in
schedule of Act are entitled to bonus under the Act. The
amount of bonus payable has to be calculated on a maximum
salary of Rs 3500.

10Computation of number of working days.—

For the purposes of section 13, an employee shall be deemed
to have worked in an establishment in any accounting year
also on the days on which--
(a) he has been laid off under an agreement or as
 permitted by standing orders under the Industrial
Employment (Standing Orders) Act, 1946 (20 of
1946), or under the Industrial Disputes Act, 1947 (14
of 1947), or under any other law applicable to the
establishment;
(b) he has been on leave with salary or wage;
(c) he has been absent due to temporary disablement
caused by accident arising out of and in the course of
his employment; and
(d) the employee has been on maternity leave with
salary or wage, during the accounting year.

11Set on and set off of allocable surplus.— (1)

Where for any accounting year, the allocable surplus exceeds
the amount of maximum bonus payable to the employees in
the establishment under section 11, then, the excess shall,
subject to a limit of twenty per cent. of the total salary or
wage of the employees employed in the establishment in
that accounting year, be carried forward for being set on in
the succeeding accounting year and so on up to and inclusive
of the fourth accounting year to be utilized for the purpose of
payment of bonus in the manner illustrated in the Fourth
Schedule.
(2) Where for any accounting year, there is no available
surplus or the allocable surplus falls short of the amount of
minimum bonus payable and there is no sufficient amount
carried forward which could be utilized for the purpose of
payment of the minimum bonus, then, such minimum
amount or the deficiency, as the case may be, shall be
carried forward for being set off in the succeeding accounting
year and so on up to and inclusive of the fourth accounting
year in the manner illustrated in the Fourth Schedule.
(3) The principle of set on and set off as illustrated in the
Fourth Schedule shall apply to all other cases not covered by
sub-section (1) or sub-section (2) for the purpose of payment
of bonus under this Act.
(4) Where in any accounting year any amount has been
carried forward and set on or set off under this section, then,
in calculating bonus for the succeeding accounting year, the
amount of set on or set off carried forward from the earliest
accounting year shall first be taken into account.]

12Time-limit for payment of bonus. – [All

2

amounts] payable to an employee by way of bonus under this

Act shall be paid in cash by his employer --

(a) where there is a dispute regarding payment of bonus

pending before any authority under section 22,

2
 within a month from the date on which the award
becomes enforceable or the settlement comes into
operation, in respect of such dispute;
(b) in any other case, within a period of eight months
from the close of the accounting year:
Provided that the appropriate Government or such
authority as the appropriate Government may specify in this
behalf may, upon an application made to it by the employer
and for sufficient reasons, by order, extended the said period
of eight months to such further period or periods as it thinks
fit; so, however, that the total period so extended shall not in
any case exceed two years.

13Recovery of bonus due from an

employer.- Where any money is due to an employee by
way of bonus from his employer under a settlement or an
award or agreement, the employee himself or any other
person authorised by him in writing in this behalf, or in the
case of the death of the employee, his assignee or heirs may,
without prejudice to any other mode of recovery, make an
application to the appropriate Government or such authority
as the appropriate Government may specify in this behalf is
satisfied that any money is so due, it shall issue a certificate
for that amount to the Collector who shall proceed to recover
the same in the same manner as an arrears of land revenue.

Provided that every such application shall be made

within one year from the date on which the money became
due to the employee from the employer.
Provided further that any such application may be
entertained after the expiry of the said period of one year, if
the appropriate Government is satisfied that the applicant
had sufficient cause for not making the application within the
said period.

. 14Penalty.- if any person-

(a) contravenes any of the provision of this Act or
any rule made thereunder, or
(b) to whom a direction is given or a requisition is
made under this Act fails to comply with the
direction or requisition, he shall be punishable
with imprisonment for a term which may extend
to six months, or with fine which may extend to
one thousand rupees, or with both.

APPLICABILITY OF BONUS ACT IN INDIAN

RAILWAYS:
Productivity Linked Bonus (PLB)

Agreement signed between the Railway Board and the

two Federations(All India Railwaymen’s Federation and
National Federation of Indian Railwaymen) on 22 nd
November, 1979, states that -

“The Indian Railways are a departmental undertaking of the

Government of India and as such, are excluded from the
purview of Payment of Bonus Act. The Railwaymen have,
however, been representing for a long time that being
industrial employees they should be covered by the Payment
of Bonus Act and paid bonus accordingly.

Discussions have been held since August 1979 with the

representatives of the Railwaymen to see if any solution can
be found to this problem since the railway employees are
not covered by the Payment of Bonus Act, the Railways
being a departmental undertaking. The chief consideration
borne in the mind was the important role of the Railways as an
infrastructural activity in the performance of the economy as a
whole. Having regard to this, it was felt by the Government
that any solution to the problem would have to stress higher
productivity on the part of the railwaymen which in turn would
result in better performance by the Railways. This line of
thought suggested the desirability of , accepting the concept
of productivity-linked bonus in lieu of bonus on the lines of
Payment of Bonus Act. The representatives of All India
Railwaymen’s Federation and National Federation of Indian
Railwaymen responded in a spirit of coordination to the
Government’s suggestion for accepting the concept of
Productivity Linked Bonus.
This PLB Scheme was accepted by the two Federations (NFIR
& AIRF) when Government of India represented by Railway
Board have accepted this scheme.

During the year 1995, the Federation insisted that the rate of
PLB should be enhanced upward from Rs.1600/-. The
Government have considered and revised the rate from
Rs.1600 to Rs.2500 on 20-9-995 through an Ordinance.

The Minister for Railways is the final authority in this matter

and no role is envisaged in the agreement either of the
Finance Ministry or the Finance Minister. The unilateral
intervention of the Finance Ministry causes anguish and
resentment amongst the Railwaymen all over the country.
The Indian Railways Strike of 1974
Indian Railways strike of 1974 has been the most widespread revolt by the
working class in independent India & was a unique event for several reasons.
It occurred at a time when labour militancy was at its highest in independent
India: the number of workdays lost owing to all industrial disputes in India
touched 40 million in 1974. The strike provided a stunning launch pad to
mass appeal for those like George Fernandes who, as the president of the All
India Railwaymen's Federation (AIRF), was the main leader of the strike
The strike commenced on 8 May 1974. The strike was brutally suppressed by
government with thousands being sent to jail and losing their jobs. The strike
was called off on 27 May 1974. The 1974 strike forced political parties across
the spectrum to spell out their stand clearly. The strike also provided a
stunning launch pad to mass appeal for those like George Fernandes who, as
the president of the All India Railwaymen's Federation (AIRF), was the main
leader of the strike. Although portrayed as a failure, the strike achieved later
what it sought to achieve then.
The role of the three main agents becomes clear after examining the strike
closely - the Indian state, the Railways management and the workers'
unions. Conventional labour studies perceived unions as intermediaries
between workers, whom they were supposed to represent, and employers. In
the case of the state-owned Indian Railways, the government played the role
of the employer and that of the agency entrusted with the task of protecting
the interests of the weaker party in the compact between labour and capital.
Although the Railway Board is supposed to work under government
supervision, in reality it enjoyed more autonomy in day-to-day matters than
what the government has or is willing to concede
The Railways bureaucracy and the government preferred to deal with
"tamed" leaders of the Railways' working class. In doing this, it thwarted all
attempts by workers to establish "their own" unions. The government
stubbornly refused to recognize union on the basis of election of
representatives by secret ballot & perceived the unions as devices with
which it could "discipline" the workers. The 1974 strike was symbolic of
the workers' refusal to accept the "patron-client" character of the
two major unions which claimed to work for their behalf.
In the Railways, government patronage of the two dominant unions led to
two developments that provoked the upsurge of workers in 1974.
1. The distance between the officially recognized unions and the rank and
file widened because workers no longer saw the unions as representing
their interests before the government.
2. The government's patronage of the officially recognized unions, at the
exclusion of all other voices of the working class, led to a complete
blockage of possibilities of the redress of the grievances of ordinary
workers. The situation was thus fertile for an explosion of anger from
below.
Studies from union, government and Railways management sources -
exposes the shocking working conditions that provoked the workers to revolt
in 1974. The 1974 strike, contrary to popular belief, was not a sudden action.
It was preceded by strikes by rail workers across the country in 1967, 1968,
1970 and 1973. These strikes indicated that the workforce was restive and
on the brink of exploding into revolt.
The 1974 strike was led by Workers, particularly the newly-emergent crafts
unions among the rail workers. Workers, fed up with the bureaucratic ways
of the two officially recognized unions - the pro-Congress National
Federation of Indian Railwaymen (NFIR) and the Lohiite Socialist-
inspired AIRF - forced the leadership to address their long-pending
demands. The long working hours of rail crew.
Historically, many of the British-run rail networks had termed the work of
the loco staff as "continuous", implying that workers would have to remain at
work as long as the train ran on its trip, often for several days at a stretch
especially on the goods trains. Independence did not change this.
The spread of diesel engines and the consequent intensification of work in
the Indian Railways since the 1960s created much resentment among the
workers Besides this, there were other issues. Pay scales in the Indian
Railways had remained stagnant,
The first hints of workers' disillusionment with the recognised unions came in
1966 when firemen at Madurai, Tamil Nadu, organised themselves into the
Southern Railways Firemen Council. Similar councils were soon formed in
other parts of the State. The strikes of these councils, in 1967 and 1968,
were so effective that goods and passenger traffic came to a halt. The strike
was called off by the workers only after the Railway Minister agreed to settle
their demands. The success of the "independent" union led to the formation
of the Loco Running Staff Association (LRSA), which played an important role
in the 1974 strike.
In February 1974, the National Coordinating Committee for Railwaymen's
Struggle (NCRRS) was formed to bring all the railway unions, the central
trade unions and political parties in the Opposition together to prepare for
the strike to start on May 8, 1974 Even as negotiations were proceeding, the
government arrested Fernandes at the Lucknow railway station on May 2.
Across the country thousands of railway workers were arrested. The
provisions of the Defence of India Rules and the Maintenance of
Internal Security Act (MISA) were used against the workers.. With the
countrywide arrest of the top leadership of the unions, the success of the
strike now depended greatly on zonal and local union leaders, and of course,
the rank and file. Workers from other industries and services were quick to
express solidarity with the striking rail workers. The action of the
government provoked the workers to go on an immediate strike instead of
waiting for May 8.
In Bombay, electricity and transport workers as well as taxi drivers joined the
protests. In Gaya, Bihar, striking workers and their families squatted on the
tracks. More than 10,000 workers of the Integral Coach Factory in Perambur,
Tamil Nadu, marched to the Southern Railway headquarters in Chennai to
express their solidarity with the striking workers. Similar protests erupted
across the country. Not a single important rail centre in India was immune.
The brutal methods adopted by the government against the striking workers
and their families have been fairly well-documented. The railway colonies
were practically under siege. For instance, in Mughalsarai in Uttar Pradesh,
which has one of the biggest railway yards in the world, women were
assaulted and even children were not spared. The Border Security Force
(BSF), the Central Reserve Police Force (CRPF) and the Provincial Armed
Constabulary were deployed in the labour township. There were also
instances of workers forced by terror to work. Instances of train drivers who
were shackled in their cabins were reported at the height of the strike.
Much has changed on the labour landscape since 1974. Although Sherlock's
sympathies evidently lie with the revolt by the crafts unions against the
established unions, events since 1974 have proved that these unions have
themselves been successfully tamed by the Railways management and the
government. The strike leadership, particularly Fernandes, were perceived as
having betrayed those who had sacrificed their all for the larger cause.
Fernandes, as Union Railway Minister soon after the Emergency, has been
criticised for having failed to restore the rights that thousands of workers lost
during the strike.