"Workman" means any person (except an apprentice under the Apprentices Act, 1961) employed in any industry to do any manual, unskilled, skilled, technical, operational, clerical or supervisory work for hire or reward, whether the terms of employment are express or implied, and includes:

• Working journalists (as defined in the Working Journalists Act, 1955)
• Sales promotion employees (as defined in the Sales Promotion Employees Act, 1976)
• Any person whose dismissal, discharge, or retrenchment has led to a dispute or is connected with one

Does NOT include:

"Industrial Dispute" means any dispute or difference between:

• Employers and employers
• Employers and workers
• Workers and workers

...which is connected with the employment or non-employment, or the terms of employment, or the conditions of labour of any person.

"Strike" means a cessation of work by a body of persons employed in any industry acting in combination, or a concerted refusal, or a refusal under a common understanding, of any number of persons who are or have been so employed to continue to work or to accept employment.

Forms of strike covered by the definition:

• Complete cessation of work — all workers stop working
• Go-slow — deliberate reduction in the pace of work (courts have held this is covered)
• Work-to-rule — working strictly to the letter of the contract, no more (grey area)
• Sit-down strike — workers remain at the workplace but refuse to work
• Token strike — brief symbolic work stoppage

"Lock-out" means the temporary closing of a place of employment, or the suspension of work, or the refusal by an employer to continue to employ any number of persons employed by him.

A lock-out is essentially the employer's equivalent of a strike — used as a weapon in industrial disputes to pressure workers to accept terms.

"Retrenchment" means the termination by the employer of the service of a workman for any reason whatsoever, otherwise than as a punishment inflicted by way of disciplinary action.

Explicitly NOT retrenchment:

• Voluntary retirement of the workman
• Retirement on reaching the age of superannuation
• Termination of service of the workman as a result of the non-renewal of the contract of employment between the employer and workman on its expiry
• Termination of service of the workman on the ground of continued ill-health

"Trade Union" means any combination — whether temporary or permanent — formed primarily for the purpose of regulating the relations between workmen and employers, or between workmen and workmen, or between employers and employers, or for imposing restrictive conditions on the conduct of any trade or business, and includes:

• Any federation of two or more trade unions
• Associations of employers — these are also "trade unions" under the definition
• Any organisation which has among its objects the regulation of employment relations

"Lay-off" means the failure, refusal or inability of an employer on account of shortage of coal, power or raw materials, or the accumulation of stocks, or the breakdown of machinery or natural calamity or for any other connected reason, to give employment to a workman whose name is borne on the muster rolls of his industrial establishment and who has not been retrenched.

Key elements:

• The cause must be beyond the employer's control or a genuine business reason (not punitive)
• The workman must have been present at the workplace but refused work — not absent on their own
• The workman's name must be on the muster roll (i.e., they are a current employee, not retrenched)
• Lay-off is temporary — the employer expects to resume work; otherwise it becomes retrenchment or closure

"Award" [S. 2(b)] means an interim or final determination of any industrial dispute or of any question relating thereto by any Labour Court, Industrial Tribunal, or National Industrial Tribunal and includes an arbitration award made under S. 54.

"Settlement" [S. 2(gg)] means a settlement arrived at in the course of conciliation proceedings and includes a written agreement between the employer and workers arrived at otherwise than in the course of conciliation proceedings, where such agreement is signed by the parties thereto and a copy has been sent to the appropriate Government and to the Conciliation Officer.

"Appropriate Government" determines which level of Government has jurisdiction over a particular establishment for purposes of this Code:

"Continuous Service" means uninterrupted service in an establishment. A workman shall be deemed to have been in continuous service for one year if they have actually worked in the establishment for not less than: Days counted as "worked":

• Actual working days
• Days of authorised leave with or without wages
• Lay-off days (authorised)
• Maternity leave for women workers
• Absence due to employment accident or disease

"Fixed Term Employment" means the engagement of a workman on the basis of a written contract of employment for a fixed period, subject to the condition that:

• The workman's hours of work, wages, and other service conditions are not less favourable than those applicable to a permanent workman doing the same work or work of a similar nature
• The workman is entitled to all statutory benefits available to a permanent workman proportionally
• There shall be no bar on the employer on renewal of the contract of a fixed-term workman

• Minimum 7 members of an industrial establishment may apply for registration of a trade union
• Application filed to the Registrar of Trade Unions (appointed by the appropriate Government)
• Application must include: name, address, rules of the union, list of members, names of office-bearers
• Registrar examines if the union satisfies requirements; may ask for corrections within 30 days
• If satisfied, Registrar registers the union and issues a Certificate of Registration
• Registration takes effect from the date of application (not the date of certificate)

Immunities from civil suits (S. 17):

• A registered Trade Union is not liable to civil suits for acts done in furtherance of a trade dispute — e.g., inducing breach of employment contracts in the course of a lawful strike
• No court can issue an injunction against a registered union for acts in furtherance of a lawful trade dispute

Immunities from criminal prosecution (S. 18):

• Persons acting in furtherance of a trade dispute are not liable for criminal conspiracy merely on the ground that they induced someone to break a contract of employment
• Protection does not extend to violence, intimidation, or acts that are otherwise criminal

Rights:

• Right to maintain a general fund — for legal expenses, education, welfare, and strike support for members
• Right to collective bargaining once recognised as the Negotiating Union
• Right to check-off — employer must deduct union subscription from wages if member so authorises in writing

The Code introduces a framework for determining which union(s) have the right to negotiate with the employer:

Yes. The Registrar may withdraw or cancel a certificate of registration if:

• The union has ceased to exist
• The union has wilfully contravened any provision of the Code
• Membership falls below the prescribed minimum (10% or 100 workers, whichever is less)
• The union allowed a disqualified person to continue as an office-bearer
• The union's rules are being used for purposes not authorised by the Code

Standing Orders are formal written rules that govern the conditions of employment in an industrial establishment — specifying matters like classification of workers, working hours, leave, holidays, misconduct, disciplinary procedures, and termination.

Who must have Standing Orders:

• Every industrial establishment with 300 or more workers (at any time in the preceding 12 months)
• The appropriate Government may extend this requirement to establishments with fewer than 300 workers by notification

Standing Orders must cover the following matters (as specified in the Schedule to the Code):

• Classification of workmen (permanent, temporary, apprentice, probationer, casual, fixed-term)
• Manner of intimating to workmen periods and hours of work, holidays, pay days, and wage rates
• Shift working — conditions and rotation
• Attendance and late coming
• Conditions of, procedure in applying for, and authority which may grant leave and holidays
• Requirement to enter premises by certain gates, liability to search
• Closing and reopening of sections of the industrial establishment, temporary stoppages of work and rights and liabilities of the employer and workmen arising therefrom
• Termination of employment — notice period required from both employer and workman
• Suspension or dismissal for misconduct and acts or omissions which constitute misconduct
• Means of redress for workmen against unfair treatment or wrongful exactions by the employer or his agents
• Any other matter as specified by the appropriate Government

• Employer drafts Standing Orders covering all required matters
• Draft is submitted to the Certifying Officer (appointed by appropriate Government) along with a copy for the trade union or workers' representative
• Certifying Officer gives the trade union/workers a hearing on the draft
• Certifying Officer certifies the Standing Orders (with or without modifications) within 45 days
• Certified Standing Orders are sent to the employer and trade union
• Employer must post the certified Standing Orders in English and the language understood by the majority of workers at prominent locations in the establishment
• Standing Orders come into operation 30 days after the date they are posted

A Works Committee is a joint consultative body of employer and worker representatives that promotes measures for securing and preserving amity and good relations between employer and workers.

When mandatory: Every industrial establishment employing 100 or more workers on any day in the preceding 12 months must constitute a Works Committee.

Composition: Equal number of representatives from employers and workers. Worker representatives must be chosen from among workers engaged in the establishment — in consultation with registered trade unions.

Functions:

• Comment upon matters of common interest — safety, health, welfare, working conditions
• Endeavour to compose any material difference of opinion on such matters
• Promote measures for harmony and cooperation

A Grievance Redressal Committee (GRC) is a workplace-level dispute resolution mechanism for individual worker complaints — intended to resolve disputes quickly without formal legal proceedings.

When mandatory: Every industrial establishment with 20 or more workers must constitute one or more GRCs.

Composition: Equal representation of employer and workers. Chairpersonship rotates between employer and worker representatives.

Procedure:

• Worker files a written grievance with the GRC
• GRC hears the grievance and endeavours to resolve it within 30 days
• If resolved — decision recorded and implemented
• If not resolved OR worker is not satisfied — worker may appeal to the employer within 60 days
• If still unresolved — worker may raise a formal industrial dispute with the conciliation officer

"Industrial Dispute" means any dispute or difference between:

• Employers and employers
• Employers and workers
• Workers and workers

...which is connected with employment or non-employment, or the terms of employment, or conditions of labour of any person.

Common types of industrial disputes:

A settlement is an agreement reached between the employer and workers (through their union/representative) in the course of conciliation proceedings, and signed by both parties.

Duration of binding effect:

Major change under the Code: The advance notice requirement — previously only for "public utility services" — now applies to all industrial establishments.

A strike is illegal if:

• It is commenced or declared without giving the required 14-day advance notice
• It is commenced before the expiry of the notice period
• It is commenced during the pendency of conciliation proceedings and within 7 days thereafter
• It is commenced during the pendency of arbitration/Tribunal proceedings and within 60 days thereafter
• It is continued after the appropriate Government prohibits it
• It is in breach of a settlement or award that is in force

A lock-out is illegal if:

• It is declared without 14-day advance notice
• It is commenced during conciliation/Tribunal proceedings
• It is in breach of a settlement or award in force
• It is continued in contravention of a Government order

"Lay-off" means the failure, refusal or inability of an employer to give employment to a workman whose name is borne on the muster rolls and who has not been retrenched — due to shortage of coal, power, raw materials, accumulation of stocks, breakdown of machinery, natural calamity, or any other connected reason.

Lay-off compensation: Who is entitled:

• A workman with at least 1 year of continuous service
• Whose name is on the muster roll
• Who reports to work but is refused employment
• OR who is not given employment within 2 hours of reporting

"Retrenchment" means the termination of a workman's service by the employer for any reason other than as a punishment inflicted by way of disciplinary action — but does NOT include:

• Voluntary retirement of the workman
• Retirement on reaching superannuation age
• Termination on non-renewal of a fixed-term contract
• Termination due to continued ill-health

Procedure for retrenchment (establishments <300 workers):

1. Give 1 month's notice (or pay in lieu of notice) to the workman
2. Pay retrenchment compensation at 15 days' pay per year of service
3. Follow LIFO (Last In, First Out) — the workman who joined last must be retrenched first, among those in the same category
4. Give the workman a right of re-employment — if the employer re-hires for the same position within 1 year, the retrenched workman has the first right

This is the most significant change in the Code. For establishments employing 300 or more workmen on an average per working day in the preceding 12 months:

The LIFO (Last In, First Out) rule requires that when an employer retrenches workers, the workman who was last employed in the particular category must be retrenched first — i.e., the most recently joined worker goes first.

Conditions for LIFO to apply:

• The LIFO rule applies within the same category of workmen doing the same type of work
• The employer must give due consideration to the efficiency and fitness of workers when deciding which category to reduce
• LIFO does not override the employer's right to determine which category of workers to retrench — only the order within the chosen category

Two different procedures depending on size:

When an establishment is transferred, sold, or merged to/with a new employer:

• The service of every workman is deemed to be continuous — the change of employer does not break continuity of service
• The new employer takes over all existing terms and conditions of service — they cannot unilaterally worsen them
• Workers are entitled to retrenchment compensation only if they choose not to continue with the new employer (i.e., they effectively resign because of the transfer)
• If workers agree to continue with the new employer under the same or better terms, no retrenchment compensation is payable at the time of transfer

"Fixed Term Employment" means the engagement of an employee on the basis of a written contract of employment for a fixed period. The Code mandates the following conditions:

• The employment contract must be in writing
• Hours of work, wages, and conditions of service must be the same as permanent employees doing the same or similar work
• The fixed-term employee is entitled to all statutory benefits proportionally (EPF, ESIC, gratuity, etc.) as applicable to permanent employees
• Fixed-term employees receive a minimum 2 weeks' notice before end of contract (unless the contract provides otherwise)
• There is no bar on renewal of a fixed-term contract

The Code does not explicitly prohibit repeated renewals of fixed-term contracts. There is no provision that automatically converts a fixed-term employee into a permanent employee after a certain number of renewals.

However, there are implicit protections:

• The work performed must be genuinely temporary/seasonal/project-based — using FTE for permanently required work may be challenged as unfair labour practice
• Fixed-term employees accumulate gratuity with each renewal (across the total tenure)
• The appropriate Government may issue rules restricting repeated renewals in specific sectors

Unfair Labour Practices by Employers:

• Interfering with workers' right to organise and join a trade union
• Threatening dismissal or economic harm to workers for union activities
• Dominating, interfering, or contributing financial support to a trade union
• Refusing to bargain collectively in good faith with the recognised union
• Discharging or dismissing workers for filing complaints or testifying in proceedings
• Employing contract workers where prohibited
• Victimising workers for participation in any lawful strike

Unfair Labour Practices by Trade Unions:

• Coercing workers to join a particular union or preventing them from joining another
• Staging or instigating an illegal strike or go-slow
• Refusing to bargain collectively in good faith
• Engaging in sympathy strikes without giving notice
• Instigating or inciting workers to act against the terms of a settlement/award