Strike and lockout industrial disputes are acts of opposition by labourers and employees of any firm. In this act, the employees of any industry practice strike and leave work in order to get their demands fulfilled. As a part of this act, the junior staff of any organisation stand in opposition to senior staff and ask them to fulfil their demands. Demands can be related to an increment in wages, the introduction of the new policy, the removal of specific rules, etc. Although strike and lockout industrial disputes are not good for the industry’s reputation, it becomes the best way of demanding something from the administration.
Strike and industrial lockout dispute
Strike and lockout industrial disputes are an act of opposition by the employees against their administration to fulfil their demands. The employees usually strike, and the employers usually do the lockout. Such disputes and strikes in industries are like a weapon for employers and employees, with which they ask the other party to fulfil their demands. Any strike in the organisation impacts the organisation’s overall production, while the lockout impacts employees’ salaries.
Difference between strike and lockout under industrial disputes
Let’s understand the difference between strike and lockout under industrial dispute.
Strike
Strikes are defined under the industrial dispute act. Section 2(Q) of this act defines a strike as a temporary cessation of work. It is carried out by a group of employees belonging to the same designation and organisations. The intention and demands of the strike remain the same for all the employees. In simpler words, it is a type of refusal of work that was assigned to the employees by the administration. It is organised to fulfil the necessary demands of employees by the administration of the industry. It results in a loss for any organisation. It drastically reduces the production rate and growth rate of any organisation.
Lockout
Lockout is also defined under the act of industrial dispute act. Section 2(1) of this act temporarily defines lockout closing of the industry. It is the temporary suspension of functions of the organisation. It is the refusal to work by the employers of the organisation. In this situation, the employer restricts the entry of any employee. There are two main elements of the lockout. These are retaliation and coercion. Although, if the termination takes place when the raw materials for production are not present, in such cases, it is not termed as a lockout.
Effects of strike and lockout industrial dispute
Let’s understand the effects of strikes and lockout industrial disputes on various aspects.
Effect on employees
Strike and industrial lockout disputes result in the fulfilment of demands of the employees. They’ll get benefits like increased wages, insurance facilities, etc. Along with this, sometimes disputes and strikes in industries may result in the resignation of various employees. Because instead of fulfilling the demand, the administration staff might terminate employees who are demanding and striking.
Effect on organisation
Strike and lockout industrial dispute results in the decline of the overall production of any organisation. Sometimes the administration of the organisation has to face many losses due to the higher demands of the employees. Although, they have to implement the policies that employees are demanding whether it is beneficial for the growth or not.
Effect on the economy
Strike and industrial lockout disputes have a major effect on the economy of the country and the organisation. It results in the decline of production, which affects the organisation’s overall growth. It also reduces the reputation of the firm in the market. Such disputes and strikes in industries only have a negative impact on both the industry and the economy.
Common reasons behind disputes and strikes in industries
Let’s understand some common reasons behind the disputes and strikes in industries:
- Long working hours of the industry
- Increase in the salary.
- Demand for bonuses.
- Payment of salary on time.
- Fewer wages
- Fewer holidays in a year.
Common reasons behind lockouts
Let’s understand some common reasons behind the lockout of industries:
- The employers organise it in response to the strike carried out by the employees.
- Tension and disputes within the organisation, mainly between managers and workers.
- For demanding a change in the policies of the firm
- To make some modifications in the previous workflow of the industry
- The practice of any type of mean act or illegal activity within the organisation.
Conclusion
Strike and industrial lockout disputes occur due to dissatisfaction of employees and employers. However, practising such acts does not give any good results. Either it results in the loss of the organisation or a reduction in the overall production. Sometimes disputes and strikes in industries are the reason behind the lockout. Although, most of the time, employers organise lockouts as an answer to employee strikes. Strike and lockout industrial disputes are not good for the growth and expansion of any firm. Practising such acts is prohibited in most organisations. The lower wages are the major reasons behind such strikes and industrial lockout disputes.