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Labour Laws Chandigarh Ministry of Labour and Employment Industrial Disputes Act, 1947

Extension of the Industrial Disputes (Punjab Amendment) Act, 2020 to the Union Territory of Chandigarh

14-Nov-2025 | No. 5019

This notification extends the provisions of the Industrial Disputes (Punjab Amendment) Act, 2020 to the Union Territory of Chandigarh with effect from the date of its publication in the Official Gazette. The extension is subject to several modifications, including the omission of some sections and insertion of clarifying words in Section 3 to reflect its application to Chandigarh.


Key Provisions-

i) Addition of a three-year limitation period for raising disputes relating to dismissal, discharge, retrenchment, or termination under Section 2A, with limited scope for extension.

ii) Increase in the threshold for applicability of Chapter V-B (relating to layoff, retrenchment, and closure) from 100 to 300 workers, with flexibility for the Government to extend applicability to establishments with at least 100 workers.

iii) Amendments enhancing compensation by requiring payment of an additional three month's average pay in certain cases.

iv) Addition of an explanation in the Fifth Schedule defining go-slow as a prohibited unfair labour practice.


With the extension of this Act (with amendments) to Chandigarh, industrial establishments operating in the UT must now comply with the revised provisions governing industrial disputes, retrenchment, closure, compensation, and unfair labour practices.

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