Govt. Releases the Draft Industrial Relations (Delhi) Rules, 2025

Notification No. 15(12)/Lab/2022/4473-4479; Dated: 03.12.2025

The Government has notified the draft Industrial Relations (Delhi) Rules, 2025. These rules apply to the industrial establishments that fall under the jurisdiction of the Government of the National Capital Territory of Delhi. The draft rules have been issued in the exercise of the powers conferred by Section 99 of the Industrial Relations Code, 2020 (‘Code’).

Section 99 of the Industrial Relations Code, 2020, empowers the appropriate Government to make rules for giving effect to the provisions of the Code. It authorises detailed rule-making on matters such as trade union processes, grievance redressal, standing orders, strikes, lock-outs, retrenchment, closure and powers of authorities. The rules have been published for stakeholder comments. Objections and Suggestions can be submitted within 30 days to the Labour Department.

The key highlights of the draft Industrial Relations (Delhi) Rules, 2025 are as follows:

(a) Constitution of Works Committee – As per the draft rules, employers must constitute a Works Committee, with a maximum of 20 members, ensuring that the number of representatives of workers is not less than the number of representatives of the employer. Registered Trade Unions may choose their representatives as members for the works committee in proportion to their membership.

(b) Formation of Grievance Redressal Committee – The draft rules prescribe the formation of a Grievance Redressal Committee comprising an equal number of members representing the employer and workers, which shall not exceed 10. There must be an adequate representation of women workers in the Committee, and such representation must not be less than the proportion of women workers to the total workers employed in the establishment.

(c) Payment of subscription by Trade Union Member – Section 7 of the Industrial Relations Code, 2020 states that a trade union is not eligible for registration unless the rules provide for payment of a subscription by members of the trade union as may be prescribed. Subscription refers to the annual fee that each member of the trade union must pay to remain a valid member.

Under the draft Rules, the minimum annual subscription payable by each member of a Trade Union must not be less than Rs 100/- per annum. The draft rules also require that the annual audit of the accounts of any registered trade union must be conducted by an auditor authorised to audit the accounts of companies under section 139 of the Companies Act, 2013.

(d) Voluntary Reference of Disputes to Arbitrator – The draft rules specify a formal agreement process for voluntary arbitration, specifying who can sign on behalf of employers and workers and mandating written consent from arbitrators. The agreement must be accompanied by the consent of the arbitrator or arbitrators, either in writing or electronically.

(e) Procedure for selection of Members of Industrial Tribunal – The draft rules outline the procedure for selection, tenure, salary, and service conditions of Judicial Members and Administrative Members of the Industrial Tribunal.

A Judicial Member will be appointed through a Search-cum-Selection Committee headed by the Chief Justice of the Delhi High Court or a Judge nominated by the High Court. The Administrative Member must be appointed by the appropriate Government based on the recommendation of the Search Cum Selection Committee.

(f) Procedure for Strikes and Lockouts – The draft rules formalise the procedures for strikes and lockouts. The notice of strike must be given to the employer of an industrial establishment in a prescribed form, duly signed by the Secretary and five elected representatives of the registered trade union. Employers issuing lockout notices must notify labour authorities and display the notice on a notice board or an electronic board at the main entrance.

(g) Special Provisions relating to Lay-off, Retrenchment and Closure – As per the draft rules, the employer must submit applications for permission in the prescribed form, and a copy of the application must be served electronically or by registered or speed post. The appropriate Government may review its order within 30 days of granting or refusing such permissions.

(h) Worker Re-Skilling Fund – The draft rules require employers who retrench a worker to electronically transfer an amount equivalent to 15 days’ last drawn wages of the retrenched worker to the account of the appropriate Government within 10 days. The Government must transfer the funds received electronically to the worker within 45 days of receipt of funds from the employer. The worker must utilise the amount for his re-skilling.

(i) Protected Workers – The draft rules mandate that every registered Trade Union connected with an industrial establishment, must communicate to the employer before the 30th April of every year, the names and addresses of the officers of the Union who are employed in the establishment and who, in the opinion of the Union, must be recognised as protected workers.

(j) Manner of Composition of Offence by a Gazetted Officer – Under the draft rules, the officer notified by the appropriate Government for compounding of offences must send a notice electronically/through a web portal to the accused in the prescribed form, consisting of three parts.

In Part I of the Form, the compounding officer must specify the name of the offender, details of the offence and the section in which the offence has been committed. Part II of the Form specifies the consequences if the offence is not compounded, and Part III of the Form must contain the application to be filed by the accused if he desires to compound the offence.

Further, if the offence is compounded before the prosecution, then no complaint for prosecution must be initiated against the accused.

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