The Industrial Relations Code, 2020 has quietly but decisively redrawn the legal map for workplace disputes in India. One of its most significant shifts is the exclusion of civil courts from matters that now fall exclusively under the jurisdiction of Industrial Tribunals. For HR and IR professionals, this is not just a procedural change, it is a jurisdictional finality that alters how disputes must be managed.
The Biggest Shift Employers Must Internalize
Civil courts no longer have jurisdiction over:
- Trade union registration or recognition
- Internal union disputes
- Service conditions
- Matters assigned to Industrial Tribunals
This means that forum selection is no longer a formality, it is a risk decision. Filing in the wrong forum can lead to dismissed cases, delayed resolutions, and escalated unrest.
Industrial Tribunal = Exclusive Domain
Single-Member Bench (Speedy Disposal)
Handles individual service disputes, including:
- Termination, dismissal, disciplinary actions
- Wage fixation & allowances
- Bonus, leave & service benefits
- EPF appeals & social security matters
Double-Member Bench (Collective Wisdom)
Handles collective or high-impact disputes, including:
- Trade union disputes
- Large-scale retrenchment or closure
- Interpretation of Standing Orders
- Industry-wide or state-wide impact issues
- Matters notified by the Government
Why This Matters to HR, IR & Compliance Teams
- Dismissed cases: Filing in civil courts will be rejected outright.
- Delayed resolutions: Misfiling prolongs disputes and increases costs.
- Escalated unrest: Wrong forum selection can fuel industrial disputes.
- Audit exposure: Non-compliance with IR Code procedures invites penalties.
In the IR Code era, Industrial Tribunals are the only valid forum for workplace disputes. Employers must update compliance manuals and train HR teams accordingly.
Compliance Risk Matrix
| Dispute Type | Forum | Risk if Filed in Civil Court |
| Termination/Dismissal | Industrial Tribunal (Single Bench) | Case dismissed |
| Trade Union Recognition | Industrial Tribunal (Double Bench) | Case dismissed |
| Wage Fixation | Industrial Tribunal | Case dismissed |
| Retrenchment/Closure | Industrial Tribunal (Double Bench) | Case dismissed |
Strategic Advice for Employers
- Update HR Policies: Clearly state that disputes are to be referred to Industrial Tribunals.
- Train HR & Legal Teams: Ensure they understand jurisdictional boundaries.
- Audit Standing Orders: Misinterpretation now falls under Tribunal jurisdiction.
- Engage Proactively: Early resolution at Tribunal level reduces litigation costs.
Disclaimer: This blog is for educational purposes only. Jurisdictional rules may vary based on state notifications and judicial interpretations. For case-specific advice, consult a certified Labour Law Consultant or practicing advocate.
