Resolution of industrial dispute

Kathmandu University School of Law
Kathmandu University School of LawLecturer à Kathmandu University School of Law
Adv. Vijay Jayshwal
Kathmandu University School of Law
Resolution of Industrial Dispute (ID)
12/27/2019
Industrial Dispute : An Obvious
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 Labour disputes and the need to resolve them
efficiently, effectively and equitably for the benefit
of all the parties involved and the economy at
large.
 The range of choices for resolving labour
disputes is broad and largely depend on Labour
legislation of respective country as well as
workplace environment.
 The extra-judicial mechanisms of conciliation,
mediation and arbitration – that is, solutions
which do not involve going to court or appearing
before a labour tribunal.
 Judicial mechanism are involved the tribunal,
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 Disputes associated with the process of
collective bargaining (interest disputes) or in
the application/interpretation of collective
agreements (rights disputes) which arise
between employers and groups of workers
most often represented by trade unions.
 Generally speaking, employment disputes are
divided into two categories: individual and
collective disputes.
 As the term implies, individual disputes are
those involving a single worker whereas
collective disputes involve groups of workers –
usually represented by a trade union.
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 Collective disputes can further be divided into two
sub-categories: rights disputes and interests
disputes.
 A rights dispute arises where there is
disagreement over the implementation or
interpretation of statutory rights, or the rights set
out in an existing collective agreement.
 By contrast, an interest dispute concerns cases
where there is disagreement over the
determination of rights and obligations, or the
modification of those already in existence.
 Interest disputes typically arise in the context of
collective bargaining where a collective agreement
does not exist or is being renegotiated.
 In terms of collective disputes, the kind of dispute
often has important legal and strategic
consequences for determining the method for
resolving it.
 In the case of a rights dispute where there is a
valid collective agreement in force, this same
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 There are essentially three options: conciliation,
mediation and arbitration. All three of these
alternatives involve the intervention of a third party
and it is rather the degree of intervention that
differentiates one from the other.
 While both conciliation and mediation are
processes involving the intervention of a neutral
third party, the role of a conciliator is to help
facilitate communication between the parties,
without making any specific proposals for resolving
the dispute.
 On the other hand, in addition to keeping the lines
of communication open, a mediator’s role may also
include proposing terms of settlement, which the
parties are free to accept or reject.
 Arbitration may be compulsory or voluntary, binding
or advisory – depending on the legal
Dispute Resolution, International Labour
Standards and the ILO
12/27/2019
 The main ILO instrument dealing with dispute
prevention and settlement is the Voluntary
Conciliation and Arbitration Recommendation, 1951
(No. 92).
 It recommends that voluntary conciliation “should be
made available to assist in the prevention and
settlement of industrial disputes between employers
and workers.”
 It further recommends that such procedures should
include equal representation of employers and
workers, should be free and expeditious and that
provision should be made to allow the parties to enter
into conciliation voluntarily or upon the initiative of the
conciliation authority.
 It also recommends that parties should refrain from
strikes or lockouts while conciliation or arbitration
12/27/2019
 Dispute resolution is further addressed under
the Collective Bargaining Convention, 1981
(No. 154), which provides that bodies and
procedures for the settlement of labour disputes
should be designed to contribute to the
promotion of collective bargaining (Article
5(2)(e)).
 While Convention No. 154 focuses on collective
bargaining, it does not rule out the use of
conciliation and/or arbitration as part of the
bargaining process where such processes are
voluntary (Article 6).
 One objective of dispute resolution is in fact to
promote the mutual resolution of differences
between workers and employers and,
consequently, to promote collective bargaining
12/27/2019
 With respect to the public sector, the Labour
Relations (Public Service) Convention, 1978 (No.
151) provides that the settlement of disputes over
the terms and conditions of employment is to be
sought “through independent and impartial
machinery, such as mediation, conciliation and
arbitration, established in such a manner as to
ensure the confidence of the parties involved”
(Article 8).
 Also, the Examination of Grievances
Recommendation, 1967 (No. 130) addresses
dispute resolution at the enterprise level, including
rights disputes over alleged violations of collective
agreements.
 Other ILO instruments make reference to the role of
the labour administration in resolving disputes.
 For example, the Labour Administration
Recommendation, 1978 (No. 158) provides that the
“competent bodies within the system of labour
administration should be in a position to provide,
in agreement with the employers' and workers'
12/27/2019
 Labour Relations (Public Service) Convention
No. 151 (1978);
 Collective Bargaining Convention No. 154
(1981);
 Voluntary Conciliation and Arbitration
Recommendation No. 92 (1951);
 Examination of Grievances Recommendation
No. 130 (1967);
 Labour Administration Recommendation No.
158 (1978).
“Alternative Labour Dispute Resolution
(ALDR)”
Labour Act 2074
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 CHAPTER 18 : Provisions Relating to
Settlement of Individual Dispute
 CHAPTER 19 :Provisions Relating to
Resolution of Collective Dispute
12/27/2019
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12/27/2019
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t/ jftf{ hf/L/x]sf] cj:yfdf kIfx?sf] ;xdltn] ;f] cjlw ykug{afwf k'u]sf]dflgg] 5}g .
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!!(=dWo:ytfåf/fljjfb;dfwfgug{'kg{]M-!_bkmf!!*adf]lhdd]nldnfk
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;dfwfgdWo:ytfsf]dfWodaf6ug{];xdltePsf]df,
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-3_ ;+ljwfgadf]lhd;Í6sfnnfu"eO{ x8tfndf/f]snufOPsf]ePdf.
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Resolution of industrial dispute

  • 1. Adv. Vijay Jayshwal Kathmandu University School of Law Resolution of Industrial Dispute (ID) 12/27/2019
  • 2. Industrial Dispute : An Obvious 12/27/2019  Labour disputes and the need to resolve them efficiently, effectively and equitably for the benefit of all the parties involved and the economy at large.  The range of choices for resolving labour disputes is broad and largely depend on Labour legislation of respective country as well as workplace environment.  The extra-judicial mechanisms of conciliation, mediation and arbitration – that is, solutions which do not involve going to court or appearing before a labour tribunal.  Judicial mechanism are involved the tribunal,
  • 3. 12/27/2019  Disputes associated with the process of collective bargaining (interest disputes) or in the application/interpretation of collective agreements (rights disputes) which arise between employers and groups of workers most often represented by trade unions.  Generally speaking, employment disputes are divided into two categories: individual and collective disputes.  As the term implies, individual disputes are those involving a single worker whereas collective disputes involve groups of workers – usually represented by a trade union.
  • 4. 12/27/2019  Collective disputes can further be divided into two sub-categories: rights disputes and interests disputes.  A rights dispute arises where there is disagreement over the implementation or interpretation of statutory rights, or the rights set out in an existing collective agreement.  By contrast, an interest dispute concerns cases where there is disagreement over the determination of rights and obligations, or the modification of those already in existence.  Interest disputes typically arise in the context of collective bargaining where a collective agreement does not exist or is being renegotiated.  In terms of collective disputes, the kind of dispute often has important legal and strategic consequences for determining the method for resolving it.  In the case of a rights dispute where there is a valid collective agreement in force, this same
  • 5. 12/27/2019  There are essentially three options: conciliation, mediation and arbitration. All three of these alternatives involve the intervention of a third party and it is rather the degree of intervention that differentiates one from the other.  While both conciliation and mediation are processes involving the intervention of a neutral third party, the role of a conciliator is to help facilitate communication between the parties, without making any specific proposals for resolving the dispute.  On the other hand, in addition to keeping the lines of communication open, a mediator’s role may also include proposing terms of settlement, which the parties are free to accept or reject.  Arbitration may be compulsory or voluntary, binding or advisory – depending on the legal
  • 6. Dispute Resolution, International Labour Standards and the ILO 12/27/2019  The main ILO instrument dealing with dispute prevention and settlement is the Voluntary Conciliation and Arbitration Recommendation, 1951 (No. 92).  It recommends that voluntary conciliation “should be made available to assist in the prevention and settlement of industrial disputes between employers and workers.”  It further recommends that such procedures should include equal representation of employers and workers, should be free and expeditious and that provision should be made to allow the parties to enter into conciliation voluntarily or upon the initiative of the conciliation authority.  It also recommends that parties should refrain from strikes or lockouts while conciliation or arbitration
  • 7. 12/27/2019  Dispute resolution is further addressed under the Collective Bargaining Convention, 1981 (No. 154), which provides that bodies and procedures for the settlement of labour disputes should be designed to contribute to the promotion of collective bargaining (Article 5(2)(e)).  While Convention No. 154 focuses on collective bargaining, it does not rule out the use of conciliation and/or arbitration as part of the bargaining process where such processes are voluntary (Article 6).  One objective of dispute resolution is in fact to promote the mutual resolution of differences between workers and employers and, consequently, to promote collective bargaining
  • 8. 12/27/2019  With respect to the public sector, the Labour Relations (Public Service) Convention, 1978 (No. 151) provides that the settlement of disputes over the terms and conditions of employment is to be sought “through independent and impartial machinery, such as mediation, conciliation and arbitration, established in such a manner as to ensure the confidence of the parties involved” (Article 8).  Also, the Examination of Grievances Recommendation, 1967 (No. 130) addresses dispute resolution at the enterprise level, including rights disputes over alleged violations of collective agreements.  Other ILO instruments make reference to the role of the labour administration in resolving disputes.  For example, the Labour Administration Recommendation, 1978 (No. 158) provides that the “competent bodies within the system of labour administration should be in a position to provide, in agreement with the employers' and workers'
  • 9. 12/27/2019  Labour Relations (Public Service) Convention No. 151 (1978);  Collective Bargaining Convention No. 154 (1981);  Voluntary Conciliation and Arbitration Recommendation No. 92 (1951);  Examination of Grievances Recommendation No. 130 (1967);  Labour Administration Recommendation No. 158 (1978). “Alternative Labour Dispute Resolution (ALDR)”
  • 10. Labour Act 2074 12/27/2019  CHAPTER 18 : Provisions Relating to Settlement of Individual Dispute  CHAPTER 19 :Provisions Relating to Resolution of Collective Dispute
  • 11. 12/27/2019  kl/R5]b – !*  JolQmut ljjfbsf] ;dfwfg !!#=JolQmut dfu bfaL k]z ug{ ;Sg] M-!_ >ldsnfO{ o; P]g,lgodfjnL, k|rlnt sfg"g jf ;fd"lxs ;Demf}tf adf]lhd k|fKt xs ;DaGwL s'g} ljifodf JolQmut bfaL ePdf To:tf] >ldsn] /f]huf/bftf ;dIf lnlvt lgj]bg lbg;Sg]5 . -@_ pkbkmf -!_ adf]lhdsf] lgj]bg k|fKt ePdf /f]huf/bftfn] ;f] lgj]bg lnO{ >ldsnfO{ ;f]sf] lg:;flbg' kg]{5 . -#_ pkbkmf -!_ adf]lhd lgj]bg k|fKt ePdf /f]huf/bftfn] kGw| lbgleq ;DalGwt >lds;Fu 5nkmn u/L To:tf] bfaL ;DaGwL ljjfb ;dfwfg ug'{ kg]{5 . -$_ pkbkmf -#_ df h'g;'s} s'/f n]lvPsf] ePtfklg /f]huf/bftf / >ldssfaLr ePsf] ;xdltsf] cfwf/df ljjfb ;dfwfg ug'{ kg]{cjlw yk ug{ ;lsg]5 . !!$=sfof{nodf lgj]bg lbg] M -!_ b]xfosf cj:yfdf bkmf !!#adf]lhdsf] JolQmut bfaL d]nldnfkåf/f ;dfwfg ug{ ;DalGwt kIfn] sfof{no ;dIf lgj]bg lbg ;Sg]5M– -s_ bkmf !!#sf] pkbkmf -!_ adf]lhd lgj]bg k/]sf] ;ft lbgleq /f]huf/bftfn] 5nkmnsf nflu ;"rgfglbPdf jf,
  • 12. 12/27/2019 -v_ bkmf !!#sf] pkbkmf -#_ adf]lhd 5nkmn ubf{ ;xdlt x'gg;s]df /f]huf/bftf ;dIf z'? lgj]bg k/]sf] !%lbgkl5 . -@_ pkbkmf -!_ adf]lhd lgj]bg k|fKt ePdf sfof{non] ;DalGwt /f]huf/bftf / >ldsnfO{ 5nkmnsf nflu ldlt / ;do tf]sL ;"rgflbg' kg]{5 . -#_ sfof{non] pkbkmf -!_ adf]lhd lgj]bg k|fKt ePsf] PSsfO{; lbgleq /f]huf/bftf / >ldsaLr cfjZos jftf{ u/fO{ bfaL ;DaGwL ljjfb ;dfwfg ug'{ kg{]5 . -$_ pkbkmf -#_ df h'g;'s} s'/f n]lvPsf] ePtfklg sfof{no, /f]huf/bftf / >ldssfaLr ePsf] ;xdltsf] cfwf/df ljjfb ;dfwfg ug'{ kg]{cjlw yk ug{ ;lsg]5 . -%_ pkbkmf -#_ adf]lhdsf] jftf{ u/fpFbf ;DalGwt /f]huf/bftf / >ldsaLr ;xdlt ePdf ;f] bfaL ;DaGwL ljjfb ;dfwfg ePsf] dflgg]5 . -^_ pkbkmf -%_ adf]lhd ePsf] ;xdlt ;DalGwt kIfnfO{ afWosf/L x'g]5 . !!%=sfof{non] lg0f{o ug'{ kg]{ Mbkmf !!$adf]lhd ;d:of;dfwfg gePdf k|fKt k|df0fsf] cfwf/df sfof{non] kGw| lbgleq lg0f{o ug'{'kg]{5 .
  • 13. 12/27/2019 kl/R5]b !( ;fd"lxs ljjfbsf] ;dfwfg !!^= ;fd"lxs dfubfaL k]z ug{ ;Sg] M -!_ bz jf ;f]eGbf a9L >lds sfo{/t k|lti7fgdf b]xfo adf]lhdsf] ;fd"lxs ;f}bfafhL ;ldlt /xg]5M– -s_ k|lti7fgsf] lgjf{lrt cflwsfl/s 6«]8o'lgogsf] tkm{af6tf]lsPsf] jftf{ k|ltlglwx?sf] ;d"x, -v_v08-s_ adf]lhdsf] cflwsfl/s 6«]8o'lgogsf] lgjf{rg x'g g;s]sf] jf lgjf{rg ePsf]df sfo{sfn ;dfKt ePsf] cj:yfdf k|lti7fgdf /x]sf ;a} o'lgogsf] cfk;L ;xdltaf6 dgf]gog ul/Psf jftf{ k|ltlglwx?sf] ;d"x, -u_ v08-s_ adf]lhdsf] cflwsfl/s 6«]8 o'lgog jf v08-v_adf]lhdsf] ;d"x gePsf] cj:yfdf k|lti7fgdf sfo{/t >ldsx?dWo] ;f7L k|ltzteGbf a9L>ldsx?sf] x:tfIf/af6 ;dly{t k|ltlglwx?sf] ;d"x . -@_ ;fd"lxs ;f}bfafhL ;ldltn] >ldsx?sf] lxt ;DaGwL ljifodf /f]huf/bftf ;dIflnlvt ?kdf;fd"lxs dfu bfaL k]zug{;Sg]5. -#_ pkbkmf-@_ df h'g;'s} s'/f n]lvPsf] eP tfklg b]xfosf ljifodf ;fd"lxs dfu bfaL k]zug{kfOg] 5|}g M– -s_ g]kfnsf] ;+ljwfg k|lts"n x'g], -v_ck|dfl0ft jf cfwf/xLg cf/f]ksf] cfwf/df s;}sf] lxt k|lts"n x'g], -u_s'g} /f]huf/bftf jf >ldssf] JolQmut cfr/0fdf c;/ kg]{ljifo, -3_ cfˆgf] k|lti7fg;Fu c;DalGwt ljifo, -ª_ ;fd"lxs ;Demf}tf ePsf]df o; P]gdf plNnlvt ;dofjlw Joltt gx'~h]n;Dd, -r_;fdflhs ;'/Iff of]hgfsf] nflutf]lsPsf] of]ubfgsf] b/ tyf ;'ljwfsf ;DaGwdf . -$_;fd"lxs ;f}bfafhL ;ldltdf >lds ;+Vofsf] cfwf/df tf]lsP adf]lhd tLg hgfb]lv a9Ldf P3f/ hgf;Dd /xg ;Sg] 5g.
  • 14. 12/27/2019 -%_o; bkmf adf]lhd ul7t;fd"lxs ;f}bfafhL ;ldltnfO{ ;fd"lxs dfu bfaL k]zug]{,;Demf}tf ug]{,s'g} JolQm pk/ d'2f bfo/ ug]{jf d'2fdf k|lt/Iff ug]{;d]tsf clwsf/ x'g]5. !!&= ;fd"lxs dfubfaLsf ;DaGwdf jftf{ ug]{ M -!_bkmf !!^ adf]lhd ;fd"lxs dfu bfaL k]zePdf ;DalGwt /f]huf/bftfn]dfu bfaL k]zul/Psf] ;ft lbgleq ;fd"lxs ;f}bfafhL ;ldltnfO{ jftf{{ x'g] :yfg /;do ;d]t pNn]vu/L lnlvt ;"rgf lbg' kg{]5. -@_pkbkmf -!_adf]lhd ;"rgf lbOPsf]df ;"rgfdf plNnlvt :yfg/ ;dodf jftf{ ug{;fd"lxs ;f}bfafhL ;ldltsf ;b:ox? pkl:yt x'g' kg{{]5. -#_ pkbkmf-@_ adf]lhd jftf{ ubf{b'j} kIfaLr;xdlt jf ;Demf}tf ePdf ;fd"lxs dfu bfaL ;DaGwL ljjfb ;dfwfg x'g]5. -$_pkbkmf -#_ adf]lhd ePsf] ;xdlt ;DalGwt kIfnfO{afWosf/L x'g]5. !!*= d]nldnfk u/fpg] M -!_b]xfosf cj:yfdf ;fd"lxs dfu bfaL ;DaGwL ljjfb d]nldnfkåf/f;dfwfg ug{;DalGwt kIfn]sfof{no ;dIflgj]bg lbg ;Sg]5M– -s_ bkmf !!&sf] pkbkmf-!_ adf]lhdsf] cjlwleq /f]huf/bftfn] ;fd"lxs ;f}bfafhL ;ldltnfO{ jftf{ ug{;"rgf glbPdf, jf -v_bkmf !!&sf] pkbkmf-#_ adf]lhd jftf{ ubf{dfu k]zePsf] PSsfO{; lbgleq ;xdlt x'gg;s]df . t/ jftf{ hf/L/x]sf] cj:yfdf kIfx?sf] ;xdltn] ;f] cjlw ykug{afwf k'u]sf]dflgg] 5}g . -@_pkbkmf -!_adf]lhd lgj]bg k|fKt ePdf sfof{non] ;DalGwt kIfx?nfO{lemsfO{ d]nldnfk u/fO{ljjfb ;dfwfg ug'{kg]{5. -#_ pkbkmf-@_ adf]lhdsf] d]nldnfk;DaGwL sf/afxLsf] 6'Ëf] sfof{nodf lgj]bg k|fKt ePsf] ldltn] tL; lbgleq nufO;Sg' kg{]5. t/ jftf{ hf/L/x]sf] cj:yfdf kIfx?sf];xdltn] ;f] cjlw ykug{afwf k'u]sf]dflgg] 5}g. -$_pkbkmf -#_ adf]lhd sfof{nosf] /f]xj/df jftf{ ubf{b'j} kIfaLr;xdlt ePdf ;fd"lxs dfu bfaL ;DaGwL ljjfb ;dfwfg x'g]5. -%_pkbkmf-$_adf]lhd ePsf] ;xdlt ;DalGwt kIfnfO{afWosf/L x'g]5.
  • 15. 12/27/2019 !!(=dWo:ytfåf/fljjfb;dfwfgug{'kg{]M-!_bkmf!!*adf]lhdd]nldnfk gePdfb]xfosf]cj:yfdf;fd"lxsdfubfaL;DaGwLljjfbsf];dfwfgdWo:ytfsf] dfWodaf6u/fpg'kg{]5 M– -s_ ;fd"lxs;f}bfafhL;ldltjf/f]huf/bftfaLr ;fd"lxsdfubfaL;DaGwLljjfbsf] ;dfwfgdWo:ytfsf]dfWodaf6ug{];xdltePsf]df, -v_cTofjZos;]jf;~rfngug{{]k|lti7fgdf;fd"lxsljjfbpTkGgePsf]df, -u_ljz]ifcfly{sIf]qleqsf]k|lti7fgdf;fd"lxsljjfbpTkGgePsf]df,jf -3_ ;+ljwfgadf]lhd;Í6sfnnfu"eO{ x8tfndf/f]snufOPsf]ePdf.