What are the Causes of Industrial Disputes?

1) Economic Causes:

Industrial disputes relate to economic causes include –

1. Demand for higher wages.
2. Demand for higher dearness allowance.
3. Demand for a share in the profits of the Company.
4. Demand for better working conditions.
5. Rationalization and Automation in Industry
6. Demand for facilities such as medical, education, housing, etc.

2) Managerial Causes:

It includes the following-

1. The attitude of employers towards labor in respect of (i) not recognizing the trade unions (ii) recognizing the rival union (iii) not following the labor policy.
2. Defection recruitment policy includes – i) Hire and Fire Policy, (ii) Recruitment of Casuals, (iii) Wrong transfer and promotion policies (iv) Not making workers permanent for long.
3. Delays in the labor agreement.
4. Incorrect interpretation of terms of the agreement.
5. Inefficient leadership.
6. Layoff and retrenchment.

3) Other Causes:

It includes –

1. Irresponsible trade union.
2. Political affiliation.