Under the Industrial Disputes Act, 1947, special provisions have been made regarding strikes and lockouts in public utility services to ensure that essential services are not disrupted abruptly, affecting the general public.
Definition: Public Utility Service
As per Section 2(n) of the Industrial Disputes Act, 1947, a public utility service includes:
- Railways
- Transport services
- Postal, telegraph or telephone service
- Water, power, sanitation services
- Banking, insurance, etc.
(The appropriate government may declare any service as a public utility for a maximum of six months at a time.)
Provisions Relating to Strikes in Public Utility Services
Section 22(1): Prohibition of Strikes Without Notice
No person employed in a public utility service shall go on strike:
- Without giving notice of strike within six weeks before striking.
- Within 14 days of giving such notice.
- Before expiry of the date of strike specified in such notice.
- During pendency of any conciliation proceedings and seven days after such proceedings.
Purpose: This safeguards the continuity of essential services and gives time for dispute resolution.
Provisions Relating to Lockouts in Public Utility Services
Section 22(2): Prohibition of Lockouts Without Notice
No employer carrying on a public utility service shall declare a lockout:
- Without giving notice of lockout within six weeks before locking out.
- Within 14 days of giving such notice.
- Before expiry of the date of lockout specified in the notice.
- During pendency of any conciliation proceedings and seven days after such proceedings.
Purpose: Prevents arbitrary closure of essential services impacting the public and employees.
Duty to Report Notices
As per Section 22(3), both strike and lockout notices must be reported to the conciliation officer within five days of receipt.
Penalties for Illegal Strikes/Lockouts
- Section 26: Provides for imprisonment up to 1 month and/or fine up to ₹50 for illegal strikes and lockouts.
- Section 27–28: Prescribe penalties for instigation or financial aid to illegal strikes/lockouts.
Case law
🔹 Indian Steam Navigation Co. Ltd. v. Their Workmen, AIR 1960 SC 1058
Held: The Supreme Court emphasized the importance of proper notice and peaceful negotiations before resorting to a strike in public utility services.
🔹 Bangalore Water Supply and Sewerage Board v. A. Rajappa, AIR 1978 SC 548
Held: Laid down the broad interpretation of "industry" and confirmed that public utility services like water supply boards fall under the scope of the Act.
🔹 T.K. Rangarajan v. Government of Tamil Nadu, AIR 2003 SC 3032
Held: The Supreme Court ruled that government employees have no fundamental, legal or moral right to strike. Even in public utility services, strikes must be restricted and only after exhausting legal remedies.
🔹 State of Bihar v. D.N. Ganguly, AIR 1958 SC 1018
Held: Once conciliation proceedings have begun, going on strike is illegal under Section 22. The intent of the legislature is to encourage peaceful resolution, not disruption.
Conclusion
Under the Industrial Disputes Act, Sections 22–28 regulate strikes and lockouts in public utility services, ensuring:
- Mandatory notice period
- Prohibition during dispute resolution
- Penal consequences for violations
The judiciary has upheld these restrictions in favor of maintaining public order and balancing industrial interests.
Citation:
- Industrial Disputes Act, 1947, §§ 2(n), 22–28.
- Indian Steam Navigation Co. Ltd. v. Their Workmen, AIR 1960 SC 1058.
- Bangalore Water Supply v. A. Rajappa, AIR 1978 SC 548.
- T.K. Rangarajan v. State of Tamil Nadu, AIR 2003 SC 3032.
- State of Bihar v. D.N. Ganguly, AIR 1958 SC 1018.
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