Facing a Sudden Strike in Engineering: How Can HR Navigate and Resolve This?

Handling a Strike in the Engineering Industry

We are in the engineering industry, and I work as Plant HR. For the past two months, negotiations have been ongoing regarding wage settlement with the workers' union. This union is registered, but it is not a recognized union as per the MRTU & PULP Act. However, yesterday, all of a sudden, the committee members walked out of the meeting, stopped work, went outside the gate, and started shouting slogans against management.

Given the above scenario, please let me know:

- How to handle this strike?
- What preventive steps should be taken?
- Lastly, how can this strike be resolved?

Looking forward to your reply.

Regards,
Sucheta

Dear Sucheta,

A worker strike is an illegal strike. You can issue a notice against the union and submit it to the nearest labor office. After that, a labor officer will inspect the industry and discuss the matter with the management and union leader. Additionally, you can refer to the model standing Act.

Thank you.

Handling an Illegal Strike at the Plant Level

Apart from informing the Labour Office, there are actions that need to be taken at the plant level. A notice should be displayed for the attention of all workers, stating that the strike is illegal and anyone participating in it is subject to disciplinary action. Additionally, a separate notice should be posted indicating that 8 days' wages will be deducted in response to the sudden cat-call strike (subject to the provisions of your standing orders).

Moreover, if the strike is partial and affects only a section of the process, another separate notice should be displayed naming the preceding and succeeding sections. It should inform that work will be provided to the extent possible, and if not feasible, the workers in the preceding and succeeding sections of the work process will be sent out on "No Work" without wages for the day.

All the above notices are to be followed up with suitable actions so that they can be used as a bargaining point during negotiations.

Regards,
M Venkatraghavan

[Email Removed For Privacy Reasons]

Dear Sucheta,

You can display the notice "No work, No Pay" as a standing order act. You can discuss with the higher management regarding disciplinary action against illegal strikes.

Thank you.

Dear Sucheta,

Your post seems to be incomplete due to a lack of certain essential information.

Questions for Clarification

1) How many unions are functioning in your industry?

2) Is there a single union recognized under the MRTU & PULP Act as the sole Bargaining Agent?

3) If so, how is it that you started negotiations with an unrecognized union regarding a common or general issue like wage revision?

4) Can we infer that you have not recognized any union among the many or even the only union functioning for obvious reasons?

5) Was the stoppage of work following the walkout only on the day of the last negotiation, or does it continue indefinitely?

6) Is yours a Public Utility Service?

7) In any case, since it is in violation of the provisions relating to strikes under laws like the Bombay Industrial Relations Act, ID Act, MRTU & PULP Act, or the certified Standing Orders of your industrial establishment, did you inform the Conciliation Officer for your area?

8) Have you taken any of the legal steps narrated by Mr. Venkatraghavan so far?

Please let me know if you need any further assistance.

Kind regards

Understanding Strike Terminology and Resolution

Breaking a strike is an outdated term and is also illegal, as it is considered an Unfair Labour Practice. It is important to use correct terminology in forums like this. You need to resolve issues effectively.

List down the issues, and once the workers are on strike, whether legal or illegal, the matter should be referred to the local conciliation officer. Provide a formal letter and wait for a few days. If they continue to strike, I always recommend considering a lockout. Engage in dialogue with the union and aim to resolve the situation as early as possible.

All other means may seem heroic and interesting on paper, but the fact remains that issues need to be resolved.

Handling Strikes: A Guide to Amicable Settlement

Strike is a legal right for workers. My response to your queries will not cover "How to break a strike" but will guide you towards an amicable settlement with your workers. Please insist that your management does not become impatient, as this may lead to actions that could put you on the defensive. From the text you submitted, it seems the strike you mentioned is illegal and unwarranted. However, it appears that your workers are "picketing" outside your premises. To handle this, please read the following steps and proceed.

1. Find out if the enhancement of wages is the only issue for which workers are "picketing" or if there are other issues involved.

2. Are the workers paid minimum wages, or do you have your own wage structure? If you have your own wage structure for categories of workmen, ensure it complies with the MW Act and is x% above the rates specified in the legal announcement. Keep your worksheets handy for presentation when required.

3. Has any dispute between your management ever been sent to a council or the Commission for Conciliation, Mediation, and Arbitration (CCMA)? If yes, please keep it handy.

4. Did your employer ever sign any agreement with the union on "Wage Settlement"? If yes, please keep the signed agreement handy. Note that a collective agreement or arbitration award binds the parties.

5. Has your management made any decisions that would change the working conditions of workers?

6. Is the picketing/strike for wage revision subject to a decision as in point 5 above?

7. Are the workers participating in the picketing/strike providing an essential or maintenance service? Are the jobs done by them of a "perennial" nature? If so, is there any demand from them for confirmation/regularization of the services of involved workmen?

Once you have a dossier ready with all papers as above, please follow the steps below.

a. Please get in touch with the Labour Office having jurisdiction over your premises and find out from the clerical staff if the respective authorities are aware of unrest in your premises or if any notice of picketing/strike has been officially submitted to them by the union.

b. List down the demands put forward by the union in chronological order. Take the dossier to your management, explain the homework done as above, and ask them if they have anything in mind to partly meet any point listed on the "Charter of Demand." Make it absolutely clear to your management that it won’t be taken as a commitment but just to have a feel of their thoughts on the problem at hand.

c. Please note that as per the Labour Relations Act 1999, peaceful picketing outside the premises is legal. However, you may go to court and obtain an order for imposing Section 144 covering the close vicinity of your premises.

d. Any trade union or one or more persons acting on their own behalf or on behalf of a trade union or an individual employer or firm in contemplation or prolongation of a trade dispute may attend at or near a place where a person works or carries on business, if they attend merely for the purpose of peacefully obtaining or communicating information or peacefully persuading any person to work or abstain from working.

e. Note further that picketers are not supposed to picket within the premises without exclusive permission from your management.

f. Picketers are not to deal in or handle the employer's products.

g. They are also not supposed to disturb the business and manufacturing process of the employer.

Once you are satisfied with answers to all the points above, with due permission from your management, you may have discussions with a few representatives of the union for an amicable settlement.

If it does not work, write a letter to the Local Labour Commissioner to intervene and start the arbitration procedure.

Regards,

Immediate Actions for Handling an Illegal Strike

You have to immediately file an application in the Labour Court for a declaration of an illegal strike under Section 25 of the MRTU & PULP Act. Simultaneously, you can initiate disciplinary action against those who have abetted the strike or indulged in indiscipline, such as violence or other such acts. If the acts are serious, you can suspend them pending an inquiry. As already stated in other posts, put up a notice for "no work, no pay."

Filing Complaints and Monitoring Activities

You also need to file a complaint for unfair labour practices in the Industrial Court, seeking an injunction for the prevention of obstruction to men and material and gherao of officers, as well as restraining willing workers from joining duties. Besides this, you have to keep a watch on each and every activity of the union, like sabotage on the shop floor, etc. Immediate action needs to be taken. Basically, the union has to be restrained by some judicial authority so that law and order will not be breached. Then issue chargesheets and hold an inquiry against the errant workmen.

Regards

Dear Venkatraghavanji, Umakanthanji, Soumitraji, DMC123, thanks for your suggestions and queries. We have only one union, though registered, it is not recognized as per MRTU & PULP. With this union, we entered into a previous wage agreement. It was the old union representative/committee with whom we entered into the previous wage settlement. After their term expired, a new committee was elected by workers with whom the negotiations were carried out.

We are not a Public Utility Service. We do not have Certified Standing Orders; instead, we have Model Standing Orders. Since negotiations were ongoing, we did not seek the help of the Conciliation Officer.

We had put a notice on the notice board at the gate every shift, insisting workers come to work and also mentioned "No Work No Pay." The copy of the same was sent to ALC, Factory Inspector, Police Station, Electricity Board.

At the enticement of some outside people, some workers started picketing and threatening staff members and managers of the plant.

Our pay structure, compared to the surrounding industrial area, is much better, with the lowest being double the minimum wages applicable to the industry plus all legal requirements, e.g., PF, Bonus, Insurance, etc. The hike they were asking for is nearly three times the current wages. We were ready for a reasonable increase but to no avail.

After five days, and after a lot of background work, we were able to convince a sizable number of employees to resume work but decided to take disciplinary action against those involved in threatening staff and picketing by suspending pending inquiry and conducting a domestic inquiry against them.

Those who have resumed work have formed a new committee with whom management has started negotiations and concluded a wage agreement. The copy of the wage settlement was sent to the Commissioner of Labour, Union, Labour Secretary.

Regards,
Sucheta

Sharing my view on the said situation, there is no need to panic because it is a normal practice of workmen in any unionized industry to enforce their demands through a strike. Every union member believes that a strike is a powerful tool for them. So, remain calm and consider the legality of the picketing done by your company workers. Have they given you notice about it? What other procedures have they followed? To dismantle the union or address the strike, you should consult with the union members. Always remember that any action you take could potentially create new problems for your industry, so think carefully before initiating any actions.

Secondly, try to keep the plant running by any means necessary. This is crucial for both you and the union members. If you fail to maintain operations, it will be a victory for the union members; if you succeed, it will be your victory. Visiting the labor office or relying solely on legal action may not be very helpful. It is likely that the union members are also aware of labor laws. Utilize diplomacy to resolve the matter. Reach out to the members who are outside the factory one by one and communicate with them emotionally. In my experience, individuals who support unions do not necessarily want to be part of one, but circumstances might force them to do so. Engage with members at their homes in the presence of their families, as most people prefer to maintain a certain image in front of their loved ones and avoid discussing such matters at home. Consider employing a divide and rule strategy.

Always keep in mind that the strength of a union lies in its numbers. If you can win over the majority, others will likely follow suit. Avoid drawing unnecessary attention to them, as it might provoke further actions on their part. Dealing with strikes or labor issues requires tact, diplomacy, and various other tools. However, always think carefully before taking any action.

Kind regards, [Your Name]

It is indeed unfortunate that the employees decided to go on a flash strike. There are a few issues that will need handling. You have to gauge the reason why such an extreme step was taken by the employees. Once the reasons are clear, you have to analyze the situation and talk to the top management on priority to get the issues sorted. That one important reason that led to the strike needs to be tackled immediately to avoid further disturbance.

Legal Actions and Preventive Measures

Legally, you can file an application in the Labour Court and get the strike declared illegal. You can charge sheet the errant workmen for an illegal strike and initiate a disciplinary enquiry against them. Notices are required to be put advising the workmen to restore normalcy. You have to seek police protection in case you have the apprehension that the situation may go out of control and seek an injunction from the Industrial Court also.

Regards

I am sorry to differ from the above view of our friend, Mr. Venkatraghavan, since his suggestion seems superfluous to me in the context of the situation. There is only one trade union functioning in the industry, and with this union, only the bilateral settlement relating to the revision of wages stands duly signed with the newly authorized members of the committee after negotiations, and normalcy also stands restored.

When there is no split in the union (of course, a positive presumption only from the latest response of the poster), I am inclined to think that such an exercise of obtaining individual acceptance and undertaking is quite unnecessary. As some disciplinary action is contemplated by the management against the troublemakers in the wake of the settlement, it may give room for the creation of some ruckus out of this additional exercise.