Understanding Lock-Outs in Business Context
Essentially, "Lock-out" is a term used for the closure of a business, which corresponds to the refusal to continue work, complete suspension of business, or suspension of employment on the premises. A lockout is resorted to when the employer willfully culminates the process of shutdown. Please refer to the "Lock-Out" declared in the provisions under sections 10(3), 10A(4A), 22, or 23, which is illegal and punishable under the Industrial Dispute Act.
In the supposed situation as per your query, if the workmen go on an illegal strike, the employer usually resorts to the factor of a "Lock-Out." The employer, prior to declaring the same, needs to seek consent from the Labour Commissioner.
Legal Implications and Employer's Intentions
In the context of the term Lock-Out, the employer intends to close the place of business completely, and the compensation depends on the liability of the employer, whether the lockout is deemed legal or illegal.
Do not get perplexed with the difference between Lock-Out and Lay off; a Lock-Out restricts the workmen from continuing the rest of the business activity. However, in your queries "And how can he achieve his production target during this period?" and "Can he employ another worker to achieve such a production target?" - you aren't referring to the term "Lock-Out." Here, the employer may seek legal advice from the Labour Commissioner and issue an advance notice to the workers to address the employer's business losses.
Hence, the lockout differs in various case-to-case scenarios of different establishments.
Regards