Section 13 of the Industrial Disputes Act 1947 - Duties of Board

Section 13 prescribes the duties of a Board of Conciliation after an industrial dispute has been referred to it. The Board must endeavour to bring about a settlement, investigate the dispute without delay, report a settlement or failure to the appropriate Government, and complete its report within the statutory time framework.

Legal scope: This article states the legal position before 1 July 2024, when the Bharatiya Sakshya Adhiniyam, 2023 came into force. The Bharatiya Sakshya Adhiniyam concerns evidence and did not itself amend Section 13 of the Industrial Disputes Act, 1947.
Section 13 at a glance
  • Section 13 applies when an industrial dispute has been referred to a Board under the Act.
  • The Board must endeavour to bring about settlement of the dispute.
  • It must investigate the dispute and matters affecting its merits and proper settlement without delay.
  • If settlement is reached, the Board sends a report and signed memorandum of settlement to the appropriate Government.
  • If settlement fails, the Board sends a detailed report, findings, reasons for failure and recommendations.
  • For a public utility service dispute, the Government must record and communicate reasons if it does not make a reference under Section 10 after receiving the Board's failure report.
  • The ordinary time for the Board's report is two months from the date the dispute was referred, subject to the statutory extensions.

Section 13(1) - Duty to endeavour to settle the dispute

Where a dispute has been referred to a Board under the Industrial Disputes Act, it is the Board's duty to endeavour to bring about a settlement. For that purpose, the Board must, in the manner it thinks fit and without delay, investigate the dispute and all matters affecting its merits and the right settlement of the dispute. It may do such things as it considers fit to induce the parties to reach a fair and amicable settlement.

Section 13(2) - Report when settlement is reached

If a settlement of the dispute, or of any matter in dispute, is reached during the conciliation proceedings, the Board must send a report to the appropriate Government together with a memorandum of settlement signed by the parties to the dispute.

Section 13(3) - Report when no settlement is reached

If no settlement is reached, the Board must, as soon as practicable after the close of its investigation, send a full report to the appropriate Government. The report is required to set out:

the proceedings and steps taken by the Board to ascertain the facts and circumstances relating to the dispute and to bring about settlement;
a full statement of the relevant facts and circumstances;
the Board's findings on those facts and circumstances;
the reasons why, in the Board's opinion, settlement could not be reached; and
the Board's recommendations for determination of the dispute.

Section 13(4) - Public utility service disputes

If the Board submits a failure report under Section 13(3) concerning a dispute relating to a public utility service, and the appropriate Government does not make a reference to a Labour Court, Tribunal or National Tribunal under Section 10, the Government must record and communicate its reasons to the parties concerned.

Section 13(5) - Time limit for Board report

The Board must submit its report within two months from the date on which the dispute was referred to it, or within a shorter period fixed by the appropriate Government. The appropriate Government may extend the period from time to time, but such Government-granted extensions cannot exceed two months in the aggregate. The second proviso separately permits extension for such period as all parties to the dispute agree upon in writing.

What is a Board of Conciliation?

Section 5 authorises the appropriate Government, as occasion arises, to constitute a Board of Conciliation by notification in the Official Gazette for promoting settlement of an industrial dispute. A Board consists of a chairman and either two or four other members. The chairman must be an independent person. The other members are appointed in equal numbers to represent the parties to the dispute, subject to the statutory provisions governing nomination and appointment.

Meaning of industrial dispute

Section 2(k) defines industrial dispute as a dispute or difference between employers and employers, employers and workmen, or workmen and workmen, connected with employment or non-employment, terms of employment or conditions of labour of any person. Section 2A separately deems specified disputes relating to an individual workman's discharge, dismissal, retrenchment or termination to be industrial disputes.

Meaning of settlement

Section 2(p) defines settlement. It includes a settlement arrived at in the course of conciliation proceedings and, subject to the statutory conditions, a written agreement between an employer and workmen arrived at otherwise than in conciliation. A settlement reached in the course of conciliation has the binding effect prescribed by Section 18.

Meaning of public utility service

Section 2(n) defines public utility service. The definition includes specified services and industries, including railway service and certain transport services, postal, telegraph or telephone services, industries supplying power, light or water to the public, public conservancy or sanitation systems, and industries specified in the First Schedule that are declared public utility services in accordance with the Act.

Meaning of appropriate Government

Section 2(a) determines the appropriate Government for different industrial disputes. Depending on the establishment, industry and statutory category, the appropriate Government may be the Central Government or the State Government. Under Section 13, the Board's settlement or failure report is submitted to that Government.

Board powers and procedure under Section 11

Section 11 supports the Board's functions. Subject to the applicable rules, a Board may follow such procedure as it thinks fit. A member of a Board may, after reasonable notice, enter premises occupied by an establishment to which the dispute relates for inquiry into an existing or apprehended industrial dispute. A Board also has specified Civil Court powers under the Code of Civil Procedure, 1908, including powers relating to attendance and examination on oath, production of documents and material objects, and commissions for examination of witnesses.

Section 13 compared with Section 12

Section 12 governs duties of an individual conciliation officer. Section 13 governs duties of a Board of Conciliation after a dispute has been referred to the Board. Both provisions seek an amicable settlement, but Section 13 requires a Board's failure report to include its findings and recommendations for determination of the dispute and contains its own two-month reporting framework.

Reference under Section 10

Section 10 empowers the appropriate Government, subject to its terms, to refer industrial disputes to the authorities specified in that section. Section 13(4) specifically requires reasons to be recorded and communicated where, after a Board's failure report concerning a public utility service dispute, the Government does not make a reference to a Labour Court, Tribunal or National Tribunal under Section 10.

Official sources

Refer to the Ministry of Labour and Employment - Industrial Disputes Act, 1947 and the official consolidated copy of the Industrial Disputes Act, 1947.

The applicable statutory text, rules, notifications and State amendments should be checked for the establishment, industry, State and relevant date of the dispute.