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Economic Causes of industrial disputes
Really, the most common causes of industrial disputes are economic causes.


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These are follows:-

(a) Wages: The wage-increase was the prime most cause of dispute both after the first and second world wars. A large number of strikes were organised during this time because of the rise in cost of living. The real wages of the workers declined faster and they were dissatisfied with their present wages and struggled for the improvement in wages. By having a cursory glance on the history of industrial dispute, it becomes clear that cause of most of the industrial disputes was wages.

(b) Dearness Allowance and Bonus:
Increase in cost of living was the main cause of the demand of dearness allowance by the workers to equate their wages with the rise of prices. Bonus also play an important role as a cause of industrial dispute. Both the quantum and the method of bonus payment has led to a number of disputes.

(c) High Industrial Profits:
During and after the world wars, prices of the commodities went up and the industrialists earned a huge profits. In order to get share in the prosperity of the industry, it naturally led to the resentment on their part. The increased profits also led to the demands of higher wage and bonus. Now, in the changing world, concept of labour has changed considerably. They think themselves as a partner of the industry and demand their share in the profits.

(d) Working Conditions and Working Horus: The working conditions in Indian industries are not hygienic. There is not ample provision of water, heating, lighting, safety etc. Working hours are also greater. The demand of palatable working conditions and shorter hours of work led to labour disputes.

(e) Modernization and Automation of Plant and Machinery:
The attempt at modernization and introduction of automatic machinery to replace labour has been the major cause of disputes of India. Workers go on strike, off and on, to resist rationalization. A strike in cotton textile industry in Kanpur in 1955 for 80 days long is an example of such disputes. Workers in life-insurance corporation went on strike recently against introducing computers in the corporation.

(f) Weakness of Trade Unions:
Weaknesses of trade unions encourages the employers to deny certain basic needs of the workers such as medical, education and housing facilities etc. This led to resentment on the part of workers who resorted to direct action.

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