The article is devoted to the study of the specifics of views on judicial law-making at the level of interpretation of legal facts in the course of a labour dispute. The author considers the prerequisites for the formation of these ideas, reveals their content, notes the debatable aspects of their essence, shows the theoretical and practical significance of the methodology of judicial law-making. Based on the analysis, it is concluded that the actual recognition of the law-making monopoly of the court is accompanied in the institutional theory of law by attempts to substantiate its realism and rational limitation, focusing on the importance of the court decision as the responsibility of the individual choice of the law enforcement officer, a tool to fill gaps, situational approach and a special stage of law and order. Theoretical conclusions are supported by examples from the practice of courts in whose decisions it is possible to trace the use of a balanced model. It is shown how, due to the effectiveness of interpretation, including contra legem, judicial practice has an impact on the movement of the entire legal system, on the entire process of implementing labour legislation during the movement of a dispute. The author proceeds from the fact that judicial practice should be considered in two aspects — as an element of the legal system and as an activity for the administration of justice. In these manifestations, judicial practice is included in the mechanism of legal assignment, establishing a connection between a legal fact and legal consequences. However, with all the importance of judicial practice, its legal significance still remains not fully investigated, in particular, the concept and meaning of legal provisions developed by the court and formalized in judicial acts are not defined.