Settlement between Workers & Management not binding under Industrial Disputes Act If Not Sent to Prescribed Authorities

Laxman Vs State of Rajasthan (Rajasthan High Court)

The provisions of Rule 2(p), Rules 58 and 75 of the Rules, 1958 clearly reflect that for a settlement arrived at between the parties by mutual negotiations, the same has to be sent to the State Government, Labour Commissioner and the conciliation officer concerned.

The provisions are not without reason, inasmuch as on account of unequal bargaining power between the workmen and the management, in case a mutual settlement is arrived at the

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