Strikes and Lockouts Under the New Labour Code

The Indian labour law system has recently undergone major reforms through the introduction of the Industrial Relations Code, 2020, which is part of the new labour codes.

One of the most important changes under this Code relates to strikes and lockouts. The law now makes it harder for both workers and employers to take sudden industrial action, by introducing stricter procedures.

 

What is a Strike and a Lockout?

Before understanding the new rules, it is important to know the meaning:

• A strike happens when workers stop working to demand better wages, conditions, or rights.
• A lockout happens when an employer temporarily closes the workplace or stops workers from working due to an ongoing dispute.

Both are serious steps and can affect business operations and workers’ livelihood.

Key Change: 14-Day Notice is Now Mandatory

Under the Industrial Relations Code, 2020, workers cannot go on strike suddenly.

New Rule

Workers must give a 14-day advance notice before starting a strike.

This means:

• A strike cannot begin immediately
• The employer gets time to respond
• The dispute may be resolved through discussion

This provision aims to reduce sudden industrial disruption.

 

Earlier Rule vs New Rule

Earlier

The notice requirement applied mainly to public utility services, such as:

• Railways
• Electricity
• Water supply

Other industries were not always covered under strict notice rules.

 

Now

The new Code applies this rule to many more sectors, including:

• Factories
• Private companies
• Mines
• Plantations
• Large industrial establishments

So, strikes are now more regulated across the economy.

 

Lockouts Also Require Notice

The Code also places similar restrictions on employers.

Employers must also give a 14-day notice before declaring a lockout.

This creates balance because:

• Workers cannot suddenly strike
• Employers cannot suddenly lockout

Both sides must follow legal procedure.

Restrictions During Conciliation Proceedings

The Code also states that strikes and lockouts are not allowed:

• During conciliation proceedings, and
• Up to 7 days after such proceedings end

Conciliation is a legal process where the government tries to help both parties settle the dispute peacefully.

This ensures that industrial action is avoided while resolution is in progress.

 

Why Has the Government Introduced These Changes?

From the policy and legal viewpoint, the government wants to:

• Promote industrial peace
• Encourage dispute resolution through dialogue
• Avoid sudden work stoppages
• Improve ease of doing business
• Maintain stability in industries

The law expects strikes and lockouts to be the last option, not the first step.

Concerns Raised by Workers and Unions

Trade unions have raised concerns that:

• The right to strike becomes more difficult
• Workers may lose bargaining power
• Procedural requirements may delay urgent protests

Therefore, the new law has created an ongoing debate between labour rights and industrial discipline.

Impact on Employers

For employers, these changes provide:

• More time to manage disputes
• Less risk of sudden shutdowns
• Better continuity in business operations

Employers must ensure compliance and strong internal grievance systems to avoid disputes reaching this stage.

 

The Industrial Relations Code, 2020 introduces stricter and more uniform rules on strikes and lockouts.

The mandatory 14-day notice requirement and wider applicability show the government’s intention to regulate industrial action and promote peaceful settlement of disputes.

However, the real impact will depend on how fairly the law is implemented and whether it maintains a balance between:   Worker’s rights and Industrial stability