Dear Mohana,
The scheme of the ID Act,1947 has been designed in such a way so as to reduce friction in industrial relations by taking due consideration of the inevitable difficulties likely to be faced by the labor as well as management. That's why there are provisions like lay-off, retrenchment etc., which are proportionately related to the no of workmen employed. If the reason for such a move is genuine and essential to protect the industry and its workmen in the long run, it is permitted subject to certain conditions imposed by the Act. Therefore, either the proposal of the employer of such a move or the non-acceptance of the same by the workmen cannot be simply dismissed in limine.
Hence, as a HR Manager it is imperative that you should have a thorough knowledge of such special provisions with reference to the total no. of workmen employed on the rolls of the industry. Better go through the definition of lay-off u/s 2(kkk) and the provisions under Chapters V-A and V-B and then decide how to legally proceed in the matter.