Tuesday, 17 June 2025

Authorities and Their Powers & Duties (With Sections & Case Law)


 INDUSTRIAL DISPUTES ACT, 1947

 Authorities and Their Powers & Duties 


 1. WORKS COMMITTEE [Section 3]

๐Ÿ”น Objective:

A Works Committee is constituted in industrial establishments with 100 or more workers.

๐Ÿ”น Composition:

  • Representatives of employer and workers (equal or near-equal).
  • Chaired by an employer’s representative.

๐Ÿ”น Powers & Duties:

  • Promote measures for securing and preserving amity and good relations.
  • Comment on matters of day-to-day importance like working hours, amenities, discipline.
  • Help settle minor issues at the earliest to avoid escalation.
  • Provide a forum for dialogue and cooperation.

๐Ÿ”น Limitation:

  • It cannot adjudicate or resolve serious disputes like retrenchment, wages, etc.

๐Ÿ”น Case Law:

North Brook Jute Co. Ltd. v. Their Workmen, AIR 1960 SC 879
The Supreme Court held that the role of the Works Committee is limited to preventing friction in daily affairs, and it is not empowered to deal with major industrial issues.

2. CONCILIATION OFFICER [Section 4]

๐Ÿ”น Appointment:

  • Appointed by the appropriate Government to promote settlement.

๐Ÿ”น Powers:

  • Can enter establishment premises to examine any relevant matter (Sec. 11).
  • Can call for and inspect documents, take witness statements.
  • Power to summon parties involved in the dispute.
  • Can initiate proceedings even without formal complaint.

๐Ÿ”น Duties:

  • Mediate and promote settlement of industrial disputes.
  • Submit a report to the Government under Section 12(4).
  • Report must be submitted within 14 days or the period fixed.

๐Ÿ”น Impact of Report:

  • If settlement is achieved → memorandum is signed by parties.
  • If not → the report forms basis for government’s decision to refer the dispute for adjudication.

๐Ÿ”น Case Law:

Bharat Bank Ltd. v. Employees, AIR 1950 SC 188

Held that conciliation is the most important stage. The report submitted by the officer is crucial in determining further proceedings.

3. BOARD OF CONCILIATION [Section 5]

๐Ÿ”น Composition:

  • Consists of a Chairman (independent) and representatives from employer and workmen.

๐Ÿ”น Powers:

  • Same as a Conciliation Officer.
  • Powers of Civil Court under Section 11:
    • Summoning witnesses
    • Taking evidence on oath
    • Production of documents

๐Ÿ”น Duties:

  • Try to bring about a fair settlement.
  • Report results to the Government:
    • Settlement Report under Section 13(3)
    • Failure Report under Section 13(4)

๐Ÿ”น Case Law:

State of Bihar v. D.N. Ganguly, AIR 1958 SC 1018
Clarified that the Government's discretion to refer a dispute for adjudication is based on the report of the Board of Conciliation.

4. COURT OF INQUIRY [Section 6]

๐Ÿ”น Objective:

A fact-finding authority to investigate matters relevant to an industrial dispute.

๐Ÿ”น Composition:

  • Can be a single person or multiple persons as decided by the Government.

๐Ÿ”น Powers:

  • Powers of Civil Court (Section 11)
  • Can regulate own procedure
  • Can enter premises and call for documents

๐Ÿ”น Duties:

  • Investigate and submit a report on matters connected with an industrial dispute.
  • Report to be submitted to the Government within 6 months (extendable).

๐Ÿ”น Limitation:

  • It cannot pass awards or settle disputes — only conducts inquiries.

๐Ÿ”น Case Law:

Bennett Coleman & Co. v. Punya Priya Dasgupta, AIR 1970 SC 426
Held that Court of Inquiry only investigates — no adjudicatory or enforcement powers.

5. LABOUR COURT [Section 7]

๐Ÿ”น Jurisdiction:

  • Adjudicate disputes on matters in Second Schedule:
    • Dismissals
    • Legality of strikes
    • Grievances about service conditions

๐Ÿ”น Appointment:

  • Presided over by a person with judicial experience (District Judge or equivalent).

๐Ÿ”น Powers:

  • Adjudicate disputes on legality of dismissal, retrenchment, strikes, etc.
  • Powers of Civil Court under Section 11
  • Can grant reinstatement, compensation, back wages
  • Binding awards published under Section 17

๐Ÿ”น Duties:

  • Conduct fair and impartial hearings
  • Issue binding awards within the prescribed time (Sec. 15).

๐Ÿ”น Case Law:

Western India Match Co. Ltd. v. Workmen, AIR 1973 SC 2650
Held that the Labour Court has full powers to review facts, apply law, and pass equitable orders.

6. INDUSTRIAL TRIBUNAL [Section 7A]

๐Ÿ”น Jurisdiction:

  • Wider than Labour Courts; includes Second & Third Schedules:
    • Wages
    • Allowances
    • Working hours
    • Retrenchment
    • Closure

๐Ÿ”น Composition:

  • One presiding officer, often a High Court judge or equivalent.

๐Ÿ”น Powers:

  • Same as Labour Court but for more complex or policy-level issues
  • Can grant interim relief under Sec. 10(4)
  • Powers of Civil Court

๐Ÿ”น Duties:

  • Adjudicate referred disputes and pass binding awards
  • Conduct proceedings fairly and judiciously

๐Ÿ”น Case Law:

Firestone Tyre & Rubber Co. v. Workmen, AIR 1973 SC 1227
Held that Tribunal has full authority to determine not only legality but also quantum of compensation, etc.

 7. NATIONAL TRIBUNAL [Section 7B]

๐Ÿ”น Jurisdiction:

  • Issues involving industries in more than one state
  • Questions of national importance

๐Ÿ”น Appointment:

  • By Central Government.

๐Ÿ”น Powers:

  • Same as Civil Court (Section 11)
  • Final award applicable throughout India (Sec. 15 & 17)

๐Ÿ”น Case Law:

Newspaper Employees v. Union of India, AIR 1957 SC 532
Recognized National Tribunal’s significance in resolving complex, nation-wide disputes and avoiding conflicting judgments by multiple state tribunals.

COMMON POWERS UNDER SECTION 11:

All adjudicatory authorities (Labour Courts, Tribunals, National Tribunals):

  • Powers of Civil Court:
    • Summoning witnesses
    • Taking evidence on oath
    • Enforcing attendance
    • Production of documents
  • Regulate own procedure
  • Can order discovery and inspection
  • Award becomes binding after publication (Sec. 17 & 17A)

 SUMMARY TABLE

Authority Section Main Function Power Case Law
Works Committee Sec. 3 Promote employer-worker cooperation Advisory only North Brook Jute Co.
Conciliation Officer Sec. 4 Mediate & Report Civil Court Powers Bharat Bank Ltd.
Board of Conciliation Sec. 5 Group-level conciliation Civil Court Powers D.N. Ganguly
Court of Inquiry Sec. 6 Fact finding No adjudication Bennett Coleman
Labour Court Sec. 7 Adjudication (Schedule II) Civil Court + Award Western India Match
Industrial Tribunal Sec. 7A Adjudication (Schedule II & III) Broad adjudication Firestone Tyres
National Tribunal Sec. 7B Nation-wide disputes Pan-India authority Newspaper Employees

 CONCLUSION

The Industrial Disputes Act, 1947 provides a multi-tiered dispute resolution mechanism, with preventive, conciliatory, and adjudicatory authorities. Each authority has well-defined duties and powers:

  • Works Committees and Conciliation Officers resolve disputes at the grassroots level.
  • Labour Courts and Tribunals adjudicate on substantive rights.
  • National Tribunals deal with high-stakes disputes across multiple states.

Courts have consistently upheld these mechanisms, ensuring speedy and effective resolution of industrial disputes.

๐Ÿ”– Blog by Chandan Sha | For more legal insights, stay tuned to Study on Law Hills.


๐Ÿ”– About Study on Law Hills

By Chandan Sha
One-stop blog for law notes, moot memorials & legal updates

Study on Law Hills is a legal blog that simplifies Indian law for students and professionals. From Constitution to Criminal Law, it offers:

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๐Ÿ”— Blog: studyonlawhills.blogspot.com
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๐Ÿ“ง Email: csstarmoon1000@gmail.com
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