STATISTICS ON INDUSTRIAL DISPUTES, CLOSURES, RETRENCHMENTS

AND LAY-OFFS IN INDIA DURING THE YEAR, 2007

Summary of Main Findings 

            Labour Bureau receives statistics from State Labour Departments and Regional Labour Commissioners (Central) relating to all temporary work-stoppages on account of Industrial Disputes and reasons other than Industrial Disputes, on voluntary and monthly basis, involving 10 or more workers, whether directly and / or indirectly in the prescribed format. Besides, the statistics on permanent Closures, Retrenchments and Lay-offs are also collected.  These statistics are disseminated by different sequences in this volume and placed on Bureau’s Website http:/ /www.labourbureau.nic.in

            During, 2007, 389 industrial disputes were reported involving 0.72 million workers and resulting in loss of 27.17 million mandays, Rs.1879.34 million (in 131 cases reported) in wages and of Rs.16063.63 million production loss was reported (in 82 cases).  Out of these disputes, 67 (17.22%) were in central sphere and 322 (82.78%) in the state sphere.  The private sector accounted for 321 (82.52%) industrial disputes and the public sector only 68 (17.48%) disputes were reported.  There has been a declining trend in the number of disputes and workers involved and mandays lost has been increasing as compare to the previous year 2006. (Para 1.1, 1.2, 1.3 and 1.4 of Chapter-1) 

            Among the states, West Bengal accounted for highest number of disputes i.e. 169 (43.44%).  The manufacturing sector among the industry groups reported 236 (60.67%) of the disputes and the ‘Indiscipline’ was the cause which accounted for 34.4% of disputes followed by “Wages & Allowances” 22.37% and “Personnel” 13.9% disputes reported during the year 2007. (Para 2.2, 2.3 and 2.7 of Chapter-2) 

          The temporary work-stoppage have two components – strikes and lockouts.  Out of 389 industrial disputes reported during 2007, 210 (53.98%) were strikes and 179 (46.02%) were lockouts.  The private sector accounted for 67.62% (142) of the strikes.  Amongst the states, Tamil Nadu accounted for highest number of strikes i.e. 70 (33.33%) and West Bengal reported highest number of lockouts i.e. 145 (81.01%). There has been a declining trend in the number of strikes and lockouts during 2007 as compared to the year 2006.  ( Table 2(II)(d) and Table-2(II)(g) of Chapter-2 ).  

            The number of work-stoppages due to reasons other than industrial disputes during the year 2007 were 163.  Out of the total, 161 were lockouts and 2 were strikes.  Here too, there has been a declining trend in the number of disputes, workers involved and mandays lost which indicates the better management of the economy and availability of raw materials, power and sufficient demand for the products etc during the year. (Para 4.2 of Chapter-4).  

            The number of Permanent Closures, as reported through monthly returns, was 91 industrial units, affecting 3,894 workers during the year 2007. The permanent closures of industrial units during the year 2007 have shown as decreasing trend over 2006. Among the States, Tripura accounted for highest number of closures i.e. 58.24 % (53) and workers affected were highest in the State of Uttar Pradesh i.e. 49.85% (1,941) of the total closures. The ‘Manufacture of Food Products and Beverages’ accounted for highest number of closures i.e. 13.19% and workers affected were highest in the ‘Manufacture of other Non-metallic Mineral Products’ i.e. 22.91%. ‘Financial Stringency’ was the main cause of closures which accounted for 47.25% of closures. (Para 1.3 and 4 of Chapter-5).                                                                                                                       

            The number of Retrenchments of workers by the industrial establishment during the year 2007 was 23 cases affecting 264 workers. There were 3 cases in the Central Sphere and 20 cases were reported from State Sphere. The State of Kerala reported highest number of retrenchments cases 6 whereas the Haryana State reported highest number of workers affected 102.Among the industry groups the ‘Manufacture of Machinery and Equipment not elsewhere classified’ and ‘Land Transport; Transport via Pipe Line’  accounted for the large number of retrenchments (3 cases each affecting 91 and 47 workers respectively).

There has been a declining trend in the number of retrenchments cases and number of workers affecting during 2007 as compared to the year 2006. (Para 1.3 and 4 of Chapter 6). 

            The number of Lay-off cases, as reported in the monthly returns during the year 2007, was 43 cases in which 6,992 workers were affected and resulted in a time-loss of 986,164 mandays. During the year 2007, the numbers of lay-offs and workers affected have shown a declining trend over 2006 but mandays lost slightly increased during the year under review. The highest number (25.58%) of lay-offs were caused by the ‘Shortage of Power’ faced by industrial units and the industry group ‘Manufacture of Chemicals and Chemical Products’ reported highest number of Lay-offs (18.60%) (Para 1.3 and 4 of Chapter-7).