(a) If so found by the Director of the Department of Workforce Services, no individual may serve a waiting period or be paid benefits for the duration of any period of unemployment if he or she lost his or her employment or has left his or her employment by reason of a labor dispute other than a lockout at the factory, establishment, or other premises at which he or she was employed, regardless of whether or not the labor dispute causes any reduction or cessation of operations at the factory, establishment, or other premises of the employer, as long as the labor dispute continues, and thereafter for such reasonable period of time, if any, as may be necessary for that factory, establishment, or other premises to resume normal operation.

(b) However, this section shall not apply if it is shown that the individual is not participating in or directly interested in the labor dispute and he or she does not belong to a grade or class of workers of which, immediately before the commencement of the labor dispute, there were members employed at the factory, establishment, or other premises at which the labor dispute occurs, any of whom are participating in or directly interested in the labor dispute.

(c) If in any case, separate branches of work, which are commonly conducted as separate businesses in separate premises, are conducted in separate departments of the same premises, each such department shall, for the purpose of this section, be deemed to be a separate factory, establishment, or other premises.