Industrial action

Industrial action refers to collective measures taken by workers, often organized by trade unions, to protest against working conditions, pay, or other employment-related issues.
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Updated on Jun 19, 2024
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3 key takeaways

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  • Industrial action is a collective effort by workers to protest against employment conditions, typically organized by trade unions.
  • Common forms of industrial action include strikes, work-to-rule, go-slows, and lockouts.
  • Industrial action aims to exert pressure on employers to address workers’ grievances regarding pay, working conditions, job security, and other employment issues.

What is industrial action?

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Industrial action encompasses various activities undertaken by employees as a form of protest against their employers. These activities are usually a result of disputes over issues such as wages, working hours, job security, or workplace conditions. Industrial action is often the last resort after negotiations between workers (often represented by trade unions) and employers have failed.

Common forms of industrial action

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Strike: Workers refuse to perform their jobs, resulting in a complete work stoppage. Strikes can be either general, involving all workers, or selective, involving specific groups of workers.

Work-to-Rule: Employees perform their duties strictly according to the rules and regulations, refusing to do any extra work or go beyond the minimum requirements. This often slows down productivity.

Go-Slow: Workers deliberately reduce their pace of work, leading to decreased productivity and efficiency without completely stopping work.

Lockout: An employer temporarily shuts down the workplace, preventing workers from entering and performing their jobs. This is usually a response to industrial action taken by employees.

Sit-In: Workers occupy the workplace but refuse to perform their duties. This form of protest disrupts normal operations without employees leaving the premises.

Picketing: Workers gather outside their place of employment to protest and dissuade others from entering or doing business with the employer.

Importance of industrial action

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Collective Bargaining Power: Industrial action strengthens the bargaining position of workers by demonstrating their solidarity and ability to disrupt business operations.

Highlighting Grievances: It brings attention to workers’ issues and grievances, increasing public awareness and putting pressure on employers to negotiate and address concerns.

Negotiation Leverage: The threat or actual occurrence of industrial action can incentivize employers to return to the negotiating table and find mutually acceptable solutions.

Legal and Institutional Framework: In many countries, industrial action is protected by law, and there are established procedures and regulations governing its use, ensuring that workers can exercise their rights within a legal framework.

Example of industrial action

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Example: Strike for Higher Wages

Employees of a manufacturing plant are dissatisfied with their wages, which have not increased in several years despite rising living costs. After failed negotiations with the management, the workers, led by their trade union, decide to go on strike.

  • Duration: The strike lasts for two weeks.
  • Impact: Production at the plant halts, causing significant financial losses for the company.
  • Outcome: Faced with mounting pressure, the employer agrees to a 10% wage increase and improved working conditions.

This example demonstrates how industrial action can effectively pressure employers to address workers’ demands and reach a compromise.

Challenges and considerations

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Economic Impact: Industrial action can lead to significant economic losses for both employers and employees, as well as disruptions to customers and suppliers.

Legal Constraints: There are often legal requirements and restrictions governing industrial action, such as notice periods, ballot requirements, and limits on secondary action (supporting strikes in other companies).

Public Perception: Industrial action can influence public opinion, either garnering support for workers’ rights or causing frustration due to disruptions in services.

Resolution and Reconciliation: Successful resolution of industrial disputes often requires effective communication, negotiation skills, and willingness from both parties to compromise.

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  • Trade unions
  • Collective bargaining
  • Employment law
  • Labor rights

Explore these related topics to gain a deeper understanding of the mechanisms, legal aspects, and implications of industrial action, as well as strategies for effective labor relations and dispute resolution.


Sources & references

Arti

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Arti is a specialized AI Financial Assistant at Invezz, created to support the editorial team. He leverages both AI and the Invezz.com knowledge base, understands over 100,000 Invezz related data points, has read every piece of research, news and guidance we\'ve ever produced, and is trained to never make up new...