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Questions and Answers
The Labour Act 2006 foresees that a worker can raise a dispute before the Labour Court on the ground of violation of any right conferred by the Bangladesh Labour Act 2006.
The Labour Act 2006 foresees that a worker can raise a dispute before the Labour Court on the ground of violation of any right conferred by the Bangladesh Labour Act 2006.
True
There is an alternative mechanism for settlement of individual disputes other than by the intervention of the Court.
There is an alternative mechanism for settlement of individual disputes other than by the intervention of the Court.
False
Individual disputes cannot be taken to court by the CBA as industrial disputes.
Individual disputes cannot be taken to court by the CBA as industrial disputes.
True
According to the Labour Act, an industrial dispute shall be deemed to exist unless it has been raised by an employer or a collective bargaining agent in accordance with the provisions of chapter 14 of the Act.
According to the Labour Act, an industrial dispute shall be deemed to exist unless it has been raised by an employer or a collective bargaining agent in accordance with the provisions of chapter 14 of the Act.
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No differentiation is made between rights' dispute and interest dispute; both are considered as dispute under law.
No differentiation is made between rights' dispute and interest dispute; both are considered as dispute under law.
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Both rights dispute and interest dispute can be taken to the Labour Court under this legislation.
Both rights dispute and interest dispute can be taken to the Labour Court under this legislation.
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The idea underlying the provisions of the Bangladesh Labour Act, 2006 is to promote industrial peace and establish a harmonious and cordial relationship between labour and capital by means of conciliation, mediation and adjudication.
The idea underlying the provisions of the Bangladesh Labour Act, 2006 is to promote industrial peace and establish a harmonious and cordial relationship between labour and capital by means of conciliation, mediation and adjudication.
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Bipartite negotiation and conciliation are two important methods of settlement of industrial disputes because they provide grounds for amicable settlement in a free and unfettered environment.
Bipartite negotiation and conciliation are two important methods of settlement of industrial disputes because they provide grounds for amicable settlement in a free and unfettered environment.
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As a third party, the conciliators try to help the conflicting parties resolve their disputes amiably and restore good relationship between the disputants.
As a third party, the conciliators try to help the conflicting parties resolve their disputes amiably and restore good relationship between the disputants.
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In essence, bipartite negotiation and conciliation are complementary to each other and can, if successfully used, provide a solid foundation to industrial relations.
In essence, bipartite negotiation and conciliation are complementary to each other and can, if successfully used, provide a solid foundation to industrial relations.
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In Bangladesh, the relevant law provides dispute settlement machinery which is discussed below at length.
In Bangladesh, the relevant law provides dispute settlement machinery which is discussed below at length.
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Bipartite negotiation as a means to prevent and solve disputes helps develop harmonious relationship between the management and workers.
Bipartite negotiation as a means to prevent and solve disputes helps develop harmonious relationship between the management and workers.
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The scope of bipartite negotiation has been expanding with the growth of industrialization in general and trade unionism in particular.
The scope of bipartite negotiation has been expanding with the growth of industrialization in general and trade unionism in particular.
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Bipartite negotiation takes place between the employers and their employees over job–related affairs.
Bipartite negotiation takes place between the employers and their employees over job–related affairs.
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The employees are usually represented by their elected representatives who form the CBAs, while the employers are allowed to participate in collective bargaining themselves or through their representative.
The employees are usually represented by their elected representatives who form the CBAs, while the employers are allowed to participate in collective bargaining themselves or through their representative.
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The legal provisions relating to the process of bipartite negotiation need a brief discussion here.
The legal provisions relating to the process of bipartite negotiation need a brief discussion here.
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A trade union, which is elected as CBA, can raise a dispute in writing and place it before the management for settlement through negotiation.
A trade union, which is elected as CBA, can raise a dispute in writing and place it before the management for settlement through negotiation.
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Similarly, the employers can also raise a dispute and place it before the CBA for negotiation.
Similarly, the employers can also raise a dispute and place it before the CBA for negotiation.
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Bipartite negotiation starts within 15 days of submitting a written demand from either party.
Bipartite negotiation starts within 15 days of submitting a written demand from either party.
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It has to be completed within 30 days after first meeting.
It has to be completed within 30 days after first meeting.
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If bargaining is successful, a memorandum of settlement is recorded in writing and signed by both the parties and a copy thereof is forwarded to the Government, Director of Labour and conciliator.
If bargaining is successful, a memorandum of settlement is recorded in writing and signed by both the parties and a copy thereof is forwarded to the Government, Director of Labour and conciliator.
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It has been reported that though the law provides a favourable environment for bipartite negotiation, the scenario is different in practice.
It has been reported that though the law provides a favourable environment for bipartite negotiation, the scenario is different in practice.
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Bipartite negotiation is not so successful as is desired by the legislature in incorporating such mechanism for settlement of dispute.
Bipartite negotiation is not so successful as is desired by the legislature in incorporating such mechanism for settlement of dispute.
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Conciliation in industrial dispute becomes necessary mainly when the settlement of disputes fail at the bipartite negotiation level.
Conciliation in industrial dispute becomes necessary mainly when the settlement of disputes fail at the bipartite negotiation level.
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In fact conciliation can be taken as an extension of the function of collective bargaining or simply as “assisted collective bargaining” in which the conflicting parties can have a fair chance of settlement of industrial disputes through the services of expert negotiators.
In fact conciliation can be taken as an extension of the function of collective bargaining or simply as “assisted collective bargaining” in which the conflicting parties can have a fair chance of settlement of industrial disputes through the services of expert negotiators.
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If bipartite negotiation fails, any of the parties concerned may request the conciliator in writing, to conciliate the dispute within 15 days from the date of the failure of collective bargaining.
If bipartite negotiation fails, any of the parties concerned may request the conciliator in writing, to conciliate the dispute within 15 days from the date of the failure of collective bargaining.
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The practice of conciliation is compulsory in Bangladesh before resorting to industrial action.
The practice of conciliation is compulsory in Bangladesh before resorting to industrial action.
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The role of the conciliator is to suggest solutions that can help find a compromise between workers and the management, but can not impose a solution.
The role of the conciliator is to suggest solutions that can help find a compromise between workers and the management, but can not impose a solution.
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The success of conciliation depends on the willingness of the two sides to resolve their differences.
The success of conciliation depends on the willingness of the two sides to resolve their differences.
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If a settlement of the dispute is arrived at in the course of conciliation, the conciliator shall send a report thereof to the Government together with a memorandum of settlement signed by the parties to the dispute.
If a settlement of the dispute is arrived at in the course of conciliation, the conciliator shall send a report thereof to the Government together with a memorandum of settlement signed by the parties to the dispute.
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If the conciliation fails, the conciliator shall try to persuade the parties to agree to refer the dispute to an Arbitrator for settlement.
If the conciliation fails, the conciliator shall try to persuade the parties to agree to refer the dispute to an Arbitrator for settlement.
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If the parties do not agree to refer the dispute to an Arbitrator for settlement, the Conciliator shall, within three days of the failure of the conciliation proceedings, gives a certificate thereof to the parties.
If the parties do not agree to refer the dispute to an Arbitrator for settlement, the Conciliator shall, within three days of the failure of the conciliation proceedings, gives a certificate thereof to the parties.
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The conciliation proceedings may continue for more than 30 days if the parties agree.
The conciliation proceedings may continue for more than 30 days if the parties agree.
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The Director of Labour may, at any time, carry on with conciliation proceedings, withdraw the same from a conciliator or transfer the same to any other conciliator, and the other provisions of this section shall apply thereto.
The Director of Labour may, at any time, carry on with conciliation proceedings, withdraw the same from a conciliator or transfer the same to any other conciliator, and the other provisions of this section shall apply thereto.
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Statistics show that in the period from 1990 to 2004 an average of 310 disputes was taken up for conciliation annually, of which 22.48 per cent were successful and 48.06 per cent failed.
Statistics show that in the period from 1990 to 2004 an average of 310 disputes was taken up for conciliation annually, of which 22.48 per cent were successful and 48.06 per cent failed.
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In fact, conciliation has become a weak machinery in settlement of disputes
In fact, conciliation has become a weak machinery in settlement of disputes
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Arbitration is a voluntary process for the settlement of industrial dispute
Arbitration is a voluntary process for the settlement of industrial dispute
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When conciliation fails, arbitration may prove to be a satisfactory and most enlightened method of resolving industrial dispute.
When conciliation fails, arbitration may prove to be a satisfactory and most enlightened method of resolving industrial dispute.
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The legal provisions relating to the process of collective beginning need a brief discussion here
The legal provisions relating to the process of collective beginning need a brief discussion here
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If the conciliation fails, the conciliator tries to persuade the parties to refer their dispute to an arbitrator.
If the conciliation fails, the conciliator tries to persuade the parties to refer their dispute to an arbitrator.
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If the parties agree to refer the dispute to an arbitrator for settlement, they make a joint request in writing to the arbitrator agreed upon by them.
If the parties agree to refer the dispute to an arbitrator for settlement, they make a joint request in writing to the arbitrator agreed upon by them.
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The arbitrator shall give his award within a period of thirty days from the date on which the dispute is referred to him or such further period as may be agreed upon by the parties to the dispute.
The arbitrator shall give his award within a period of thirty days from the date on which the dispute is referred to him or such further period as may be agreed upon by the parties to the dispute.
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After he has made an award, the arbitrator shall forward a copy thereof to the parties and to the Government.
After he has made an award, the arbitrator shall forward a copy thereof to the parties and to the Government.
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The award of the arbitrator is final and no appeal shall lie against it. An award shall be valid for a period not exceeding two years, as may be fixed by the arbitrator.
The award of the arbitrator is final and no appeal shall lie against it. An award shall be valid for a period not exceeding two years, as may be fixed by the arbitrator.
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In practice no dispute is referred to the Arbitrator due to the fact that either the dispute is settled at the time of conciliation or in failure the parties feel interested to go to the Labour Court rather going for arbitration.
In practice no dispute is referred to the Arbitrator due to the fact that either the dispute is settled at the time of conciliation or in failure the parties feel interested to go to the Labour Court rather going for arbitration.
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In case of failure of conciliation, the party which has raised an industrial dispute may, within fifteen days from the date of the receipt of a certificate of failure under section 210(11), serve on a notice of strike or lock-out to the other party.
In case of failure of conciliation, the party which has raised an industrial dispute may, within fifteen days from the date of the receipt of a certificate of failure under section 210(11), serve on a notice of strike or lock-out to the other party.
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However, the CBA, before serving any such notice, has to obtain the consent of three-fourths (75 per cent) of its members through a secret ballot specifically held for the purpose of obtaining their consent over the strike action.
However, the CBA, before serving any such notice, has to obtain the consent of three-fourths (75 per cent) of its members through a secret ballot specifically held for the purpose of obtaining their consent over the strike action.
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The secret ballot has to be conducted by ballot committee formed by the CBA.
The secret ballot has to be conducted by ballot committee formed by the CBA.
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Examination/verification of the records relating to secret ballot is done by the conciliator.
Examination/verification of the records relating to secret ballot is done by the conciliator.
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The Bangladesh Labour Act 2006 not only recognized the right to strike and lock but also put some limitations, namely,
The Bangladesh Labour Act 2006 not only recognized the right to strike and lock but also put some limitations, namely,
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No party can serve a notice of strike or lockout while conciliation is taking place or during the proceeding before the Labour Court or Labour Appellate Tribunal.
No party can serve a notice of strike or lockout while conciliation is taking place or during the proceeding before the Labour Court or Labour Appellate Tribunal.
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The Labour Court and the Labour Appellate Tribunal has the right to prohibit any strike or lockout during pendency of any proceeding before it.
The Labour Court and the Labour Appellate Tribunal has the right to prohibit any strike or lockout during pendency of any proceeding before it.
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If a strike or lock-out lasts for more than 30 days, the Government may, by order in writing, prohibit the strike or lock-out. But the Government may prohibit a strike or lock-out at any time before the expiry of thirty days if it causing serious hardship to the community or is prejudicial to the national interest.
If a strike or lock-out lasts for more than 30 days, the Government may, by order in writing, prohibit the strike or lock-out. But the Government may prohibit a strike or lock-out at any time before the expiry of thirty days if it causing serious hardship to the community or is prejudicial to the national interest.
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In the case of any of the public utility services the Government may, by order in writing, prohibit a strike or lock-out at any time either before or after the commencement of a strike or lock-out.
In the case of any of the public utility services the Government may, by order in writing, prohibit a strike or lock-out at any time either before or after the commencement of a strike or lock-out.
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If the strike does not follow the above procedures, it can be considered an illegal strike or lock-out and in that case the liable worker or employer shall be punished with imprisonment for a term which may be extended to one year or with fine which may extend to five thousand taka.
If the strike does not follow the above procedures, it can be considered an illegal strike or lock-out and in that case the liable worker or employer shall be punished with imprisonment for a term which may be extended to one year or with fine which may extend to five thousand taka.
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Data reveals that an annual average of four strikes or lock-outs were declared during the period of 1990-2004 due to failure of conciliation, involving on average 14,048 workers and production loss of Tk 30,173,300/-.
Data reveals that an annual average of four strikes or lock-outs were declared during the period of 1990-2004 due to failure of conciliation, involving on average 14,048 workers and production loss of Tk 30,173,300/-.
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After the stages of bipartite negotiation and conciliation are exhausted, the disputant parties may resort to settling their dispute by referring it to the arbitrator or by a strike action or lock-out as discussed above or through the Labour Court.
After the stages of bipartite negotiation and conciliation are exhausted, the disputant parties may resort to settling their dispute by referring it to the arbitrator or by a strike action or lock-out as discussed above or through the Labour Court.
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An industrial dispute may be referred to the labour court in any of the following ways:
An industrial dispute may be referred to the labour court in any of the following ways:
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The Labour Court is constituted with a Chairman and two Members to advise him, however, in the case of trial of an offence or adjudication of any matter under Chapters Ten and Twelve it shall consist of the Chairman alone.
The Labour Court is constituted with a Chairman and two Members to advise him, however, in the case of trial of an offence or adjudication of any matter under Chapters Ten and Twelve it shall consist of the Chairman alone.
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The Members of the Labour Court are appointed by the Government in prescribed manner and to be the Chairman of the Labour Court a person is to be the sitting District Judge or Additional District Judge.
The Members of the Labour Court are appointed by the Government in prescribed manner and to be the Chairman of the Labour Court a person is to be the sitting District Judge or Additional District Judge.
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While trying an offence the Labour Court shall administer its proceedings without its members.
While trying an offence the Labour Court shall administer its proceedings without its members.
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The Labour Court has the power to dismiss the case or to decide the same ex-parte.
The Labour Court has the power to dismiss the case or to decide the same ex-parte.
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The award, decision or judgment of the Labour Court shall be delivered, unless the parties to the dispute give their consent in writing to extend the time-limit, within sixty days following the date of filing of the case, provided that the delay of its delivery shall not invalidate the award, decision or judgment
The award, decision or judgment of the Labour Court shall be delivered, unless the parties to the dispute give their consent in writing to extend the time-limit, within sixty days following the date of filing of the case, provided that the delay of its delivery shall not invalidate the award, decision or judgment
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An award, decision or judgment of Labour Court shall be given in writing and delivered in open Court and a copy thereof shall be forwarded to each of the parties.
An award, decision or judgment of Labour Court shall be given in writing and delivered in open Court and a copy thereof shall be forwarded to each of the parties.
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Any party aggrieved by an award, decision or judgment of the Labour Court may prefer an appeal to the Labour Appellate Tribunal within sixty days of the delivery thereof and the decision of the Tribunal in such appeal shall be final.
Any party aggrieved by an award, decision or judgment of the Labour Court may prefer an appeal to the Labour Appellate Tribunal within sixty days of the delivery thereof and the decision of the Tribunal in such appeal shall be final.
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Data reveals that an annual average of 5,668 cases were filed during the period of 1990-2006 of which 35.37 per cent cases were disposed of during the year and 64.63 per cent cases remained pending at the end of the year.
Data reveals that an annual average of 5,668 cases were filed during the period of 1990-2006 of which 35.37 per cent cases were disposed of during the year and 64.63 per cent cases remained pending at the end of the year.
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About 50per cent of the cases took a time period ranging between 12 months and 36 months.
About 50per cent of the cases took a time period ranging between 12 months and 36 months.
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The time required for 25per cent of the cases ranged between three years and five years
The time required for 25per cent of the cases ranged between three years and five years
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About 8 per cent of the cases took more than five years.
About 8 per cent of the cases took more than five years.
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The average time taken to decide the cases by the First Labour Court and the Second Labour Court of Dhaka was more than 17.5 months and 31 months respectively.
The average time taken to decide the cases by the First Labour Court and the Second Labour Court of Dhaka was more than 17.5 months and 31 months respectively.
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The reasons behind the backlog of cases in the Labour Courts are as follows:
The reasons behind the backlog of cases in the Labour Courts are as follows:
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The Labour Court is the pioneer adjudication body in settling labour disputes
The Labour Court is the pioneer adjudication body in settling labour disputes
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But Chairman of the Labour Court is appointed from the District Judge or Additional District Judge, and does not have specific training on labour laws.
But Chairman of the Labour Court is appointed from the District Judge or Additional District Judge, and does not have specific training on labour laws.
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Similarly, Judges of the Labour Courts do not have any experience in dealing with labour issues but are often appointed under political pressure of the ruling party and not based on qualifications or standardized recruitment procedures.
Similarly, Judges of the Labour Courts do not have any experience in dealing with labour issues but are often appointed under political pressure of the ruling party and not based on qualifications or standardized recruitment procedures.
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Remuneration of the members is very poor leading to disinterest in attending the Court.
Remuneration of the members is very poor leading to disinterest in attending the Court.
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The practicing lawyers of the Labour Court submit frequent time petitions which create unreasonable delay in disposing of the case.
The practicing lawyers of the Labour Court submit frequent time petitions which create unreasonable delay in disposing of the case.
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The Labour Appellate Tribunal has the power to hear or dispose appeals from the Labour Court
The Labour Appellate Tribunal has the power to hear or dispose appeals from the Labour Court
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It consists of a Chairman or if the Government deems fit, of Chairman and such number of Members as determined by the Government.
It consists of a Chairman or if the Government deems fit, of Chairman and such number of Members as determined by the Government.
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The Chairman shall be a former Judge or Additional Judge of the Supreme Court and any Member thereof shall have been a Judge or an Additional Judge of the Supreme Court or is or has been a District Judge for at least three years.
The Chairman shall be a former Judge or Additional Judge of the Supreme Court and any Member thereof shall have been a Judge or an Additional Judge of the Supreme Court or is or has been a District Judge for at least three years.
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The Labour Appellate Tribunal on appeal may set aside, vary or modify any award decision in judgment or sentence given by the Labour Court or send the case back to the Court for rehearing; and shall exercise all the powers conferred by the Code on the Labour Court.
The Labour Appellate Tribunal on appeal may set aside, vary or modify any award decision in judgment or sentence given by the Labour Court or send the case back to the Court for rehearing; and shall exercise all the powers conferred by the Code on the Labour Court.
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The judgment of the Tribunal shall be delivered within a period of not more than 60 days following the filing of the appeal
The judgment of the Tribunal shall be delivered within a period of not more than 60 days following the filing of the appeal
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From the data it is revealed that an annual average of 278 appeals were filed for disposal during the period 1990-2006 of which 33.45per cent appeals were disposed of during the year and 66.55per cent appeals were pending at the end of the year.
From the data it is revealed that an annual average of 278 appeals were filed for disposal during the period 1990-2006 of which 33.45per cent appeals were disposed of during the year and 66.55per cent appeals were pending at the end of the year.
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The mains reasons behind the backlog of cases in the Labour Appellate are that there is insufficiency of Benches of Appellate Tribunal
The mains reasons behind the backlog of cases in the Labour Appellate are that there is insufficiency of Benches of Appellate Tribunal
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At present only two Benches exist which are not sufficient to deal with the huge volume of appeals from around the country
At present only two Benches exist which are not sufficient to deal with the huge volume of appeals from around the country
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Study Notes
Dispute Settlement
- Dispute settlement mechanisms are outlined in the Bangladesh Labour Act 2006
- Individual disputes can't be handled by a CBA (collective bargaining agent) as an industrial dispute
- Industrial disputes exist only when raised by an employer or a collective bargaining agent
- Disputes can be categorized as 'rights' disputes and 'interest' disputes
- Both rights and interest disputes can be taken to the Labour Court
Dispute Settlement Machinery
- The goal of the Bangladesh Labour Act 2006 is to promote industrial peace
- The Act establishes different authorities (both adjudicatory and non-adjudicatory) for dispute resolution
- Non-adjudicatory authorities include participation committees and arbitrators
- Adjudicatory authorities include Labour Courts and Labour Appellate Tribunals
- Dispute settlement starts with conciliation, followed by negotiation, and finally adjudication in court
Bipartite Negotiation
- Bipartite negotiation helps develop a harmonious relationship between management and workers
- The scope of bipartite negotiation has grown with industrialization and trade unionism
- It occurs between employers and employees regarding job-related issues
- Employees are usually represented by CBAs, while employers can participate directly or through representatives
- A dispute is raised by either party (employer or union) and placed before the other party for negotiation
- Negotiation must be completed within 30 days of initiating the process
Conciliation-Tripartite Negotiation
- Conciliation is necessary when bipartite negotiation fails
- It acts as an extension of collective bargaining or assisted collective bargaining
- If bipartite negotiation fails, one party can request a conciliator within 15 days
- Conciliation is compulsory before industrial action in Bangladesh
- A conciliator's role is to suggest solutions, not to impose them
- Success depends on the disputing parties' willingness to resolve differences
Conciliation Tripartite Negotiation (cont.)
- If a settlement is reached, a memorandum is signed and forwarded to the relevant authorities
- If conciliation fails, the conciliator can try to persuade parties to refer the matter to an arbitrator
- Proceedings can continue past the 30-day limit if the disputing parties agree
- The Director of Labour can manage the process and transfer it to another conciliator
- Data shows that conciliation has become less effective in resolving disputes in Bangladesh
Arbitration
- Arbitration is a voluntary process used when conciliation fails
- Legal provisions for collective bargaining need review
- Parties make a written request to an arbitrator for settlement
- Arbitrator's award is delivered within 30 days (or a mutually agreed upon period)
- An award is final and not subject to appeal, with a validity period of no more than two years
Right to Strike or Lockout
- In case of failure of Conciliation, the party can serve a notice of strike or lockout within 15 days
- To do so however unions must get a secret ballot consent from three-fourths of their members (75%)
- Certain conditions like labor court pendency or a time threshold may suspend the right to strike or lock-out
The Adjudication System
- The Labour Court is composed of a Chairman and two members, typically a District Judge or Additional District Judge
- In cases involving offences under specific chapters, the Labour Court is presided over by the chairman alone
- The court must make a decision within 60 days unless the parties agree to extend the time threshold
- If either party is dissatisfied with the court's decision, they can appeal to the Labour Appellate Tribunal
Adjudication by Labour Appellate Tribunal
- The Labour Appellate Tribunal can hear and dispose of appeals from the Labour Court.
- The Tribunal is comprised of a chairman and other members whose positions are determined by the government.
- The chairman is a former judge from the Supreme Court, and other members must have been judges or additional judges of the Supreme Court or a District Judge for at least three years
- The Tribunal has ample power to set aside, modify or vary decisions or, if needed send the case back for another hearing
High Court Division of the Supreme Court of Bangladesh
- The Labour Court has exclusive jurisdiction over labour matters, but parties can petition the High Court if fundamental rights are violated or there are procedural errors in the Labour Court
- This was the case before the 2006 Bangladesh Labour Act, which allows appeal to the Labour Appellate Tribunal
- Appealing to the High Court is possible over fundamental rights violations or procedural issues
Role of Labour Administration in Dispute Settlement
- The director of labor can fulfill some roles as conciliator, complainant and settlement authority.
- Many people can be appointed to aid conciliation
- The Labour Court has specific powers over cases in dispute
Preventive Measures for Avoiding Disputes
- The Bangladesh Labour Act 2006 encourages the formation of Participation Committees
- These committees involve equal representation from both workers and employers
- They aim to build trust, promote understanding and ensure application of labour laws
Dispute Settlement in Export Processing Zones (EPZs)
- BEPZA has its own Industrial Relations Department that helps settle disputes
- The Department uses checklists to monitor compliance with BEPZA guidelines
- Negotiation is the first method tried; conciliation if negotiation fails
- The right to a strike or lock-out may be suspended in some cases
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Description
This quiz covers the key aspects of dispute settlement mechanisms outlined in the Bangladesh Labour Act 2006, including types of disputes, roles of collective bargaining agents, and the process involved in resolving disputes. Explore how industrial peace is promoted through various adjudicatory and non-adjudicatory authorities. Test your understanding of bipartite negotiations as well.
