Procedure for Bi-Partite Committees under the Industrial Relations Code, 2020

Sukirti Agarwal

Sukirti Agarwal

Published on: May 1, 2026

Shatakshi Sharma

Updated on: May 1, 2026

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Introduction

The Industrial Relations (IR) Code, 2020, simplifies labor management by merging three major federal laws into one. A key feature of this Code is the introduction of Bi-partite Committees, which are built to encourage teamwork, maintain a peaceful workplace, and offer a clear, organised way to settle disagreements.

1. Works committee :

• The committee acts as the primary internal platform for open dialogue between management and staff, aiming to sustain a peaceful and cooperative work environment.
• Industrial establishments that have employed 100 or more people in the past year may be required by the government, through a general or special order, to form this committee.
• The total number of worker representatives must be at least equal to the number of management representatives.
• Worker delegates are chosen from the existing staff according to government guidelines and must be selected in coordination with the recognized trade union.
• The committee’s objective is to build and maintain positive harmonious relationships between the employer and the workforce.

2. Grievance redressal committee (GRC) :

• GRC serves as a required internal system for settling individual staff complaints quickly, helping to avoid unnecessary pressure on outside labor courts.
• Industrial establishments with a workforce of 20 or more are legally obligated to establish these committees.
• Membership must be split equally between management and staff representatives.
• The committee is restricted to a maximum of 10 members.
• To maintain fairness, the Chair position must switch between employer and employee representatives every year.
• There must be a fair number of women members, matching at least their percentage in the overall staff.
• Workers have a one-year window from the date of the issue to submit their grievance.
• The committee is required to wrap up its investigation and reach a decision within 30 days of filing.