How Should I Handle Union Workers Leaving Early Without a Domestic Inquiry?

Hello all, I am working as an HR executive in a paint manufacturing company. The company has a total of 75 employees, out of which 20 are workers who are part of a union. The workers have not been following the shift timings and have been leaving their workplace 2 hours early for the past 3 months. I had previously issued them a warning letter and started deducting their salary under the "no work, no pay" clause, but there has been no improvement so far. Three days ago, I issued them a show cause notice, but none of them have replied yet. Now, the management is considering suspending them. Please suggest what I should do in this regard. Can I suspend them without a domestic inquiry?

Regards, Roma Sharma

Hi,

Now you need to conduct a domestic inquiry with the union member and the worker, and then issue a suspension order.

Applicability of the Employment Standing Orders Act

First, check if the Employment Standing Orders Act is applicable to your establishment. It applies to establishments having 100 workmen (in Maharashtra, it applies to 50 workmen).

Suspension Pending Chargesheet/Enquiry

If yes, it provides for suspension pending Chargesheet/Enquiry, during which you have to pay the worker a subsistence allowance at 50% of wages.

Even if the Act does not apply, you can still do it as a principle. Issue a Chargesheet immediately as well as hold the enquiry, which should be finished within three months.

The woman can remain suspended until the enquiry is finished and orders are issued.

Regards,
Vinayak Nagarkar
HR Consultant

Justification for Wage Deduction

Without prejudice to the workmen's actions and the reasons behind such acts, you are justified in deducting 2 hours' wages every day for the 2 hours they did not work. If your Standing Order provides for the deduction of 8 days' penal charges for concerted action by 10 or more workmen, then impose/deduct an 8-day wage cut as a penal deduction after putting up a notice/final warning in this regard.

Issuing Show Cause Notice and Raising an Industrial Dispute

Besides issuing a show cause notice, please also raise an industrial dispute from the management side before the Conciliation Officer of your jurisdiction. Once conciliation is initiated, the Conciliation Officer will advise the workmen to restore status quo/normalcy, meaning that leaving the work spot 2 hours early should be restored. Failing which, the action/work stoppage becomes illegal under the ID Act.

Conciliation Proceedings

During the conciliation proceedings, it may be easy to settle the issues and restore normalcy. Failing which, the Conciliation Officer has to refer the case for adjudication.

Do not suspend them and precipitate the issue as an industrial dispute, as eventually raised by the workmen/union.

Reasons for Refusing to Follow Shift Timings

What could be the reason for refusing to follow shift timings? Shifts are common in all factories. Management needs to sit across with the workers and find out the real issue plaguing the workers.

Disciplinary Action Procedure

The procedure for disciplinary action is simple and clear. All aspects need to be considered before any steps are taken, which will lead to a strike and breakdown in production. However, it does not mean indiscipline will be overlooked or tolerated. Strike a balance between the carrot and stick.

Suspension and Subsistence Allowance

As far as suspension is concerned, suspension and subsistence allowance go hand in hand.

Thank you all for your answers; they will help me resolve this issue.

Another question I have is regarding the total manpower in my company, which is only 75 people. Is a certified standing order necessary? If so, please assist me in creating one as there is currently no certified order in the company.

Regards,
Roma Sharma

After giving a showcase notice and implementing different disciplinary actions, if employees do not improve their attitude, you can address poor performance and reduce their pay based on decreased productivity resulting from leaving the workplace before their scheduled duty time.