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Unfair Labour Practices under IR Code 2020:
Second Schedule Parts I & II for UPSC EPFO APFC with 10 MCQs
Identify employer and worker unfair labour practices, understand the conditions, and practise classification step by step.
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Why unfair labour practices matter for APFC
An unfair labour practice (ULP) is conduct listed in the Code’s Second Schedule. Start by asking: who acted—the employer or the workers/their union? Then identify the listed conduct and check any condition, such as whether a strike is illegal or whether a union is recognised. This simple method makes the long Schedule easier to understand and revise.
Unfair labour practices (ULPs) sit at the junction of trade-union freedom, collective bargaining and industrial discipline. The Industrial Relations Code, 2020 carries forward the old Industrial Disputes Act list almost intact — but relocates it. That single relocation is the highest-yield trap in this chapter.
This note gives you the statutory anchors (Sec 2(zo) and Sec 84), grouped high-yield tables for Parts I and II of the Second Schedule, four short classification scenarios, penalty figures under Sec 86(5)/(6), and ten MCQs. For the wider Code landscape, revisit CrackTarget’s Industrial Relations Code 2020 overview and timed drills on the EPFO mock tests page.
Definition and Section 84 prohibition
Sec 2(zo) says an unfair labour practice means any of the practices specified in the Second Schedule. There is no open-ended “unfairness” test outside that Schedule for the ULP label under the Code.
Sec 84 is flat and wide: no employer or worker or Trade Union — whether registered under the Code or not — shall commit any unfair labour practice specified in the Second Schedule. Registration is irrelevant. Absence of a union does not immunise an employer for items that do not depend on union activity (for example, certain dismissals, mala fide transfers, favouritism, or keeping workers temporary for years to deny permanent status).
The Schedule has two Parts: Part I covers employers and trade unions of employers (16 numbered items); Part II covers workers and trade unions of workers (8 numbered items). Exam stems almost always ask which side of the Schedule a fact pattern falls on, or whether a named act is even listed.
Part I — Employer and employer-union ULPs (16 items)
Part I is the longer list. Group it by theme rather than by rote number, then map the number when a stem quotes it.
| Items | Theme (high-yield gist) |
|---|---|
| 1 | Interfere with / restrain / coerce rights of organisation — threaten discharge if workers join a TU; threaten lock-out/closure if a TU is organised; grant a wage hike at a crucial TU-organisation period to undermine the effort |
| 2–3 | Dominate, interfere with or financially support a TU; take active interest in organising workers’ TU; show partiality to an unrecognised TU; establish an employer-sponsored TU |
| 4 | Encourage/discourage membership by discrimination — punish for urging others to join; dismiss for a strike that is not illegal; change seniority / refuse promotion for TU activity; unmerited promotions to create discord; discharge office-bearers for TU activity |
| 5 | Discharge/dismiss by victimisation; colourable exercise of rights; false criminal implication; patently false reasons; trumped-up absence; disregard of natural justice / undue haste; disproportionate punishment for minor/technical misconduct |
| 6–8 | Abolish regular work and give it to contractors to break a strike; mala fide transfer under guise of management policy; insist on a good-conduct bond from legal strikers as a precondition to resume work |
| 9–11 | Favouritism regardless of merit; keep workers as badli/casual/temporary for years to deprive permanent status/privileges; discharge or discriminate for filing charges or testifying against the employer |
| 12–16 | Recruit during a strike that is not illegal; fail to implement award/settlement/agreement; force or violence; refuse to bargain in good faith with recognised Trade Unions; propose or continue a lock-out deemed illegal under the Code |
Notice the bargaining duty in item 15 is with recognised Trade Unions. Notice item 12: recruiting during a strike is a ULP only when that strike is not illegal. The illegal/legal distinction flips several Part I protections.
Part II — Workmen and trade-union ULPs (8 items)
Part II is shorter and often under-revised. APFC loves residence demonstrations, go-slow/gherao, and the recognised-union bargaining mirror.
| Item | High-yield gist |
|---|---|
| 1 | Advise, actively support or instigate any strike deemed illegal under the Code |
| 2 | Coerce workers on self-organisation / joining or refraining from a TU — including picketing that physically debars non-strikers from entering, and force/violence/threats against non-strikers or managerial staff |
| 3 | A recognised union refuses to bargain collectively in good faith with the employer |
| 4 | Coercive activities against certification of a bargaining representative |
| 5 | Wilful go-slow, squatting on premises after working hours, or gherao of managerial/other staff (Code Explanations define go-slow) |
| 6 | Stage demonstrations at the residence of employers or managerial staff |
| 7 | Incite or indulge in wilful damage to the employer’s property connected with the industry |
| 8 | Force, violence or threats of intimidation to prevent a worker from attending work |
The Code clarifies go-slow for item 5: more than one worker in an establishment conjointly work more slowly and with less effort than usual to press a demand (pay, conditions or other). “Usual” means the specified work standard, or — if none is specified — the average of the previous three months. Squatting after hours and gherao sit in the same item; they are not a “soft” substitute for a strike.
Penalties and consequences (high-level)
Sec 84 prohibits the practice. Sec 86(5) attaches a fine of not less than ₹10,000, which may extend to ₹2 lakh, for committing a ULP. For a repeat of the same offence after conviction, Sec 86(6) provides a fine of not less than ₹50,000 up to ₹5 lakh, or imprisonment up to three months, or both.
For exam purposes, remember: ULPs are prohibited; first-offence penalty is a fine band; repeat can attract imprisonment. Enforcement detail (cognizance, compounding, who may complain) is secondary to knowing the Schedule side and the Sec 86(5)/(6) figures. Always prefer the bare Act wording if a stem quotes a specific sub-section.
Related IR Code topics already on CrackTarget include fixed-term employment, gratuity parity and IR Code cross-links — useful when a stem mixes FTE status with Part I item 10 (perpetual temporary engagement).
Worked classification examples
Scenario A: Management announces a special wage hike the week a new union begins collecting membership forms, openly to “calm things down”. → Part I, item 1(c) — wage increase at a crucial period of Trade Union organisation to undermine the effort. Employer ULP.
Scenario B: A recognised union refuses to sit across the table unless the employer first dismisses a rival office-bearer. → Part II, item 3 — recognised union refusing to bargain in good faith. Workmen/union ULP. (Mirror of Part I item 15 on the employer side.)
Scenario C: Workers stage a noisy protest outside the plant manager’s home after a failed wage talk. → Part II, item 6 — demonstration at the residence of managerial staff. Workmen ULP, even if peaceful at the gate would have been treated differently.
Scenario D: During a strike that is not illegal, the employer brings in fresh hands to keep production running. → Part I, item 12 — recruiting during a strike which is not an illegal strike. Employer ULP. If the strike were illegal, this particular item would not apply in the same way.
High-yield traps
- Schedule number: ID Act 1947 = Fifth Schedule; IR Code 2020 = Second Schedule. Same substance, different number. Do not write “Fifth Schedule of the IR Code”.
- Sec 84 covers everyone: employer, worker, Trade Union — registered or not.
- Recognised union matters for bargaining: Part I item 15 and Part II item 3 both turn on recognition / recognised union.
- Illegal vs legal strike flips several items: Part I item 4(b) protects participation in a strike that is not illegal; Part I item 12 forbids recruiting during a strike that is not illegal; Part II item 1 hits support of an illegal strike.
- Residence demonstration is listed: Part II item 6 — not a grey area.
- Go-slow has a statutory explanation: conjoint slower work by more than one worker; “usual” = standard or 3-month average.
- Item 10 needs object: keeping badli/casual/temporary “for years” with the object of depriving permanent status — length alone is not enough without that object language in a careful answer.
- Penalty band: first ULP → fine ₹10,000–₹2 lakh (Sec 86(5)); repeat → ₹50,000–₹5 lakh or up to 3 months’ imprisonment or both (Sec 86(6)).
Revision memory card
Anchor: Sec 2(zo) defines → Sec 84 prohibits → Second Schedule lists. Old law bridge: ID Act Fifth Schedule ≈ IR Code Second Schedule. Part I (employer, 16): organise rights → dominate/sponsor TU → discriminate for membership → bad dismissals → strike-breaking contract labour → mala fide transfer → good-conduct bond → favouritism → perpetual temporary → testify retaliation → recruit in legal strike → ignore award → force → refuse bargain → illegal lock-out. Part II (workmen, 8): illegal strike support → coerce membership/non-strikers → refuse bargain → coerce certification → go-slow/squat/gherao → residence demo → damage property → block attendance by force. Penalty: 10k–2L; repeat 50k–5L / 3 months / both.
10 practice MCQs with score analysis
Attempt all ten, then press Submit. You will see correct, wrong and unattempted counts, your percentage and explanations.
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FAQ
Is the ULP list in the Fifth Schedule of the IR Code?
No. Under the IR Code, 2020 the list is the Second Schedule. The Fifth Schedule was the corresponding list under the Industrial Disputes Act, 1947. Same substance; different Schedule number — a classic APFC trap.
Does Sec 84 apply only to registered Trade Unions?
No. Sec 84 binds every employer, worker and Trade Union, whether registered under the Code or not.
Is a demonstration at a manager’s residence a ULP?
Yes. Part II item 6 of the Second Schedule lists staging demonstrations at the residence of employers or managerial staff as a workmen/union ULP.
What is the first-offence penalty for a ULP?
Under Sec 86(5), a fine of not less than ₹10,000 which may extend to ₹2 lakh. A repeat of the same offence after conviction attracts the higher band (and possible imprisonment) under Sec 86(6).