TRADE DISPUTES ACT A third definition in Jobseekers Act 1995, s.35 is the widest.

For purposes of the Jobseekers Act a trade dispute is "any dispute between employers and employees, or between employees and employees, which is connected with the employment or non-employment or the terms of employment or the conditions of employment of any persons, whether employees in the employment of the employer with whom the dispute arises, or not". Political disputes as such are not "trade disputes" and therefore are NOT protected. "Collective bargaining" means "negotiations relating to or connected with one or more of those matters" (TULRCA 1992 s.178(1)). A different definition is used for some of the purposes of the new rules introduced on 6th June 2000 by Employment Relations Act 1999 sched.1.1. As a general rule.for purposes of these new rules "collective bargaining" refers to negotiations relating to pay, hours and holidays only unless any other matters are voluntarily agreed. The importance of all this is that the legal right to conduct collective bargaining is the essential basic feature of a recognised trade union. TYPES OF DISPUTES Strikes Strikes are a collective refusal to work,, usually with the purpose of putting pressure on the employer to agree to a claim for changes in wages, conditions or dangerous work practices, or as a protest against something the employer has done, such as dismissing someone in a way that is seen to be unjust. Bans and Limitations Bans and limitations may be imposed for similar reasons as strike action but the industrial point is made without stopping work altogether. There may be bans on overtime, or limits placed on the amount of overtime workers will do, thus disrupting employer scheduling. Pickets Picketing involves the physical presence of employees around a workplace with the object of publicising demands, persuading non-striking workers to join in, and possibly to prevent others entering the workplace, although picketers do not have the legal right to physically prevent people entering a workplace. Verbal persuasion is usually used to achieve this. Secondary Boycotts These involve a situation where, for example, members of a transport union, who are not directly involved in a dispute involving a mining union, refuse to deliver or take delivery of products from the firm who are in conflict with the mining union. This type of action makes the union liable to prosecution under the Trade Practices Act and is thus used with extreme caution by unions. Stop-Work Meetings Attendance at meetings to discuss a dispute may result in unauthorised absence from duty and workers may suffer a loss of pay for the time away. Lockouts Employers also take industrial action and in a lockout the employees are prevented from entering their place of employment to perform their work.

Causes of industrial disputes The causes of industrial disputes can be broadly classified into two categories: economic and non-economic causes. The economic causes will include issues relating to compensation like wages, bonus, allowances, and conditions for work, working hours, leave and holidays without pay, unjust layoffs and retrenchments. The non economic factors will include victimization of workers, ill treatment by staff members, sympathetic strikes, political factors, indiscipline etc. Wages and allowances: Since the cost of living index is increasing, workers generally bargain for higher wages to meet the rising cost of living index and to increase their standards of living. In 2002, 21.4% of disputes were caused by demand of higher wages and allowances. This percentage was 20.4% during 2003 and during 2004 increased up to 26.2%. In 2005, wages and allowances accounted for 21.8% of disputes. Personnel and retrenchment: The personnel and retrenchment have also been an important factor which accounted for disputes. During the year 2002, disputes caused by personnel were 14.1% while those caused by retrenchment and layoffs were 2.2% and 0.4% respectively. In 2003, a similar trend could be seen, wherein 11.2% of the disputes were caused by personnel, while 2.4% and 0.6% of disputes were caused by retrenchment and layoffs. In year 2005, only 9.6% of the disputes were caused by personnel, and only 0.4% were caused by retrenchment. Indiscipline and violence: From the given table, it is evident that the number of disputes caused by indiscipline has shown an increasing trend. In 2002, 29.9% of disputes were caused because of indiscipline, which rose up to 36.9% in 2003. Similarly in 2004 and 2005, 40.4% and 41.6% of disputes were caused due to indiscipline respectively. During the year 2003, indiscipline accounted for the highest percentage (36.9%) of the total time-loss of all disputes, followed by cause-groups wage and allowance and personnel with 20.4% and11.2% respectively. A similar trend was observed in 2004 where indiscipline accounted for 40.4% of disputes. Bonus: Bonus has always been an important factor in industrial disputes. 6.7% of the disputes were because of bonus in 2002 and 2003 as compared to 3.5% and 3.6% in 2004 and 2005 respectively. Leave and working hours: Leaves and working hours have not been so important causes of industrial disputes. During 2002, 0.5% of the disputes were because of leave and hours of work while this percentage increased to 1% in 2003. During 2004, only 0.4% of the disputes were because of leaves and working hours. Miscellaneous: The miscellaneous factors include Inter/Intra Union Rivalry Charter of Demands Work Load Standing orders/rules/service conditions/safety measures Non-implementation of agreements and awards etc.

1. Settlement of Trade Dispute 2. o Methods available for settling disputes .

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Direct negotiation Fact-finding Machinery final-offer Arbitration Conciliation Mediation Arbitration

3. Direct negotiation Direct negotiation is certainly one of the ideal methods Negotiation can also defined as the process of discussing a matter with a view to reaching agreement. A negotiated settlement is seen as a mature and harmonious Initially, negotiation can be envisaged as the two parties stating their relevant positions and, as the process takes place, moving towards a more central position where agreement is possible. A simple illustration of this is frequently seen in wage negotiations 4. The process of negotiating contains the following steps : 1) Preparation 2) Argument 3) Movement 4) Close 5) Agreement 5. The primacy of voluntary and direct negotiation is reflected in a number of ways: a) There is a general belief among all the parties, including the government that conciliation or arbitration should not be used until the normal, jointly agreed negotiating and disputes procedures in the organization or industry have been implemented. b) Have the third party intervention is invoked there is a clear preference among management and unions for conciliation rather than arbitration and there is no automatic resort to arbitration or conciliation fails. 6. c) While in the majority of cases where arbitration does take place it is invoked by a joint request from the two parties. Thus, arbitration may be used not to provide the final settlement but rather to provide a fresh basis for further negotiation. 7. Fact-finding Machinery The Industrial Relations Act allows the Minister of Human Resources to appoint a committee of investigation or a board of inquiry where a trade dispute exists. Its function is to look into the causes of the dispute and make recommendations either to the Minister (in the case of a committee) or to the House of Representatives in Parliament (in the case of a board). Fact-finding

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has been characterized as a semi-judicial process in which major reliance is placed on the facts of a dispute and the fact-finder and fact-finding board attempts to exercise few mediation principles or tactics. (Simkin, 1971). Final-Offer Arbitration Final-Offer Arbitration is a binding mechanism in which the arbitrator must choose one or the other of the final offers from the two parties in a contract negotiations dispute. Both parties need to be ready to compromise their original positions so that, if arbitration is necessary, both final offers look reasonable to the neutral. Conciliation Conciliation can be defined as: A strategy wherein the third party supports the direct bipartite negotiating process by assisting the parties to identify the cause and extent of their difference, to establish alternative solutions and their various implications and to develop and agree a mutually acceptable settlement. The conciliator also acts as a medium for the continuation of the dialogue. Goodmnan and Krislov (1974) point out that the conciliator has no authority to compelnor to impose a settlement. Stagner and Rosen describe the conciliator as a kind of technical consultant to both sides, helping them find a solution. He has only such tools as his prestige as an official mediator, his persuasiveness, his sense of humour and his ability to see the acts as they appear to each of the parties. Under the revised rules for conciliation of the Kuala Lumpur regional Centre for Arbitration, the conciliator may make proposals for a settlement of the dispute only at the request or with the consent of all parties. Conciliation is the process of arriving at a settlement of a trade dispute with the help of a third, neutral party. Conciliation can be voluntarily requested by either of the disputing parties or the Director-general of Industrial relations may intervene in a dispute in the public interest, requiring the parties to attend a conciliation meeting. Conciliation is the first stage in the Industrial Relation Act for expeditions settlement of trade disputes between the management and the workmen, with the intervention of a third party, namely the Director general of Industrial Relations at the Ministry of Human Resources. Mediation Mediation is a process available to the disputing parties involved in contract negotiations by which an outside party is called to help them reach a settlement. The mediator is a person who is considered unbiased and impartial and is sufficiently respected and trusted by both parties (Maimunah Aminuddin, 1999). The mediators function is to provide a positive environment for dispute resolution by inviting an extensive experts with professional experience in the field of labor relations. Arbitration Arbitration can be defined as : A strategy wherein direct negotiation between management and union is replaced with a process of adjudication which involves the third party in making a decision (award) between the two-conflicting positions. When the disputing employer and union cannot find a solution by themselves or with the help of the Department of Industrial Relations, In arbitration, an impartial third party is given the authority to settle the dispute by examining the information given by both ideas and making a judgment.

Measures For Improving Industrial Relations The following measures should be taken to achieve good industrial relations: Strong and Stable Union: A strong and stable union in each industrial enterprise is essential for good industrial relations. The employers can easily ignore a weak union on the plea that it hardly represents the workers. The agreement with such a union will hardly be honored by a large section of workforce. Therefore, there must be strong and stable unions in every enterprise to represent the majority of workers and negotiate with the management about the terms and conditions of service. Mutual Trust: Both management and labor should help in the development of an atmosphere of mutual cooperation, confidence and respect. Management should adopt a progressive outlook and should recognize the rights of workers. Similarly, labor unions should persuade their members to work for the common objectives of the organization. Both the management and the unions should have faith in collective bargaining and other peaceful methods of settling disputes.

Workers Participation in Management: The participation of workers in the management of the industrial unit should be encouraged by making effective use of works committees, joint consultation and other methods. This will improve communication between managers and workers, increase productivity and lead to greater effectiveness. Mutual Accommodation. The employers must recognize the right of collective bargaining of the trade unions. In any organization, there must be a great emphasis on mutual accommodation rather than conflict or uncompromising attitude. One must clearly understand that conflicting attitude does not lead to amicable labor relations; it may foster union militancy as the union reacts by engaging in pressure tactics. The approach must be of mutual give and take rather than take or leave. The management should be willing to co-operate rather than blackmail the workers. Sincere Implementation of Agreements. The management should sincerely implement the settlements reached with the trade unions. The agreements between the management and the unions should be enforced both in letter and spirit. If the agreements are not implemented then both the union and management stop trusting each other. An environment of uncertainty is created. To avoid this, efforts should be made at both ends to ensure the follow up of the agreements. Sound Personnel Policies: The following points should be noted regarding the personnel policies. The policies should be: Formulated in consultation with the workers and their representatives if they are to be implemented effectively. o Clearly stated so that there is no confusion in the mind of anybody. o Implementation of the policies should be uniform throughout the organization to ensure fair treatment to each worker. Governments Role: The Government should play an active role for promoting industrial peace. It should make law for the compulsory recognition of a representative union in each industrial unit. It should intervene to settle disputes if the management and the workers are unable to settle their disputes. This will restore industrial harmony. Progressive Outlook: There should be progressive outlook of the management of each industrial enterprise. It should be conscious of its obligations and responsibilities to the owners of the business, the employees, the consumers and the nation. The management must recognize the rights of workers to organize unions to protect their economic and social interests.
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What is the Industrial Court? The Industrial Court (the Court) is a Tribunal Non-Departmental Public Body with statutory powers. It was originally set up in 1919 to provide arbitration in industrial disputes and it still carries out this voluntary arbitration role. However its main function is now to adjudicate on applications relating to statutory recognition and derecognition of trade unions for collective bargaining purposes, where such recognition or derecognition cannot be agreed voluntarily. It also has a statutory power in relation to determining disputes between trade unions and employers over the disclosure of information for collective bargaining purposes. In addition, it has responsibility for dealing with complaints under a range of legislation deriving from European Directives, which provide employees with Information and Consultation rights at national and European level. The Court consists of a Chairman, a Deputy Chairman, 3 members experienced as representatives of employers and 4 members experienced as representatives of workers. The Court is supported by a Secretariat. All members of the Court are appointed by the Department for Employment and Learning after consulting the Labour Relations Agency Determinations are made by panels of three Court members appointed by the Chairman and consisting of either the Chairman himself or the Deputy Chairman, one member whose experience is as a representative of employers, and one member whose experience is as a representative of workers.