The Industrial Disputes Act, 1947

The Industrial Disputes Act, 1947 (ID Act) is enacted to provide for the investigation and settlement of industrial disputes, and for certain other related purposes.


The ID Act extends to the whole of India and is applicable to the industries. 

As per the Act, Industry means any systematic activity carried on by co-operation between an employer and his workmen (whether such workmen are employed by such employer directly or by or through any agency, including a contractor) for the production, supply or distribution of goods or services with a view to satisfy human wants or wishes (not being wants or wishes which are merely spiritual or religious in nature), whether or not: 

(i) any capital has been invested for the purpose of carrying on such activity; or 

(ii) such activity is carried on with a motive to make any gain or profit, and includes:-

(a) any activity of the Dock Labour Board established under section 5A of the Dock Workers (Regulation of Employment) Act, 1948 (9 of 1948);

(b) any activity relating to the promotion of sales or business or both carried on by an establishment, but does not include:-

  1. any agricultural operation except where such agricultural operation is carried on in an integrated manner with any other activity (being any such activity as is referred to in the foregoing provisions of this clause) and such other activity is the predominant one.  Explanation:—For the purposes of this sub-clause, “agricultural operation” does not include any activity carried on in a plantation as defined in clause (f) of section 2 of the Plantations Labour Act, 1951 (69 of 1951); or
  2. hospitals or dispensaries; or
  3. educational, scientific, research or training institutions; or
  4. institutions owned or managed by organisations wholly or substantially engaged in any charitable, social or philanthropic service; or
  5. khadi or village industries; or
  6. any activity of the Government relatable to the sovereign functions of the Government including all the activities carried on by the departments of the Central Government dealing with defence research, atomic energy and space; or
  7. any domestic service; or
  8. any activity, being a profession practised by an individual or body of individuals if the number of persons employed by the individual or body of individuals in relation to such profession is less than ten; or
  9. any activity, being an activity carried on by a co-operative society or a club or any other like the body of individuals, if the number of persons employed by the co-operative society, club or other like the body of individuals in relation to such activity is less than ten;
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