Professional Documents
Culture Documents
Human Resource
Management
Introduction to
Industrial Relations
Definitions
Relevance
Key Players
Frames of reference
Historical Milestones
Key Processes
Change
INDUSTRIAL RELATION
EVOULTION
Paternalism
Personnel department
Record keepers
Scientific management
Growth of trade unionism
Govts intervention & legislative
measures
Industrial relations department
Industrial Relations is
The art of living together for purposes
of production(J.Henry Richardson)
Includes the study of workers and their
trade unions, management, employers
associations and the state institutions
concerned with the regulation of
employment. (H.A.Clegg)
Industrial Relations
Problems of human relationship
arising from the sale of services for
a wage and working on the
premises of employers and under
their control from the subject
matter of industrial relations
(Dale Yoder)
Industrial Relations:
has acquired a deserved reputation
for being dull
because it has too often failed to
relate in any meaningful way to the
reality of peoples working lives,
how these were formed, how they
are constrained and how they might
be changed.
(Blyton & Turnbull, 1998)
Industrial Relations
Affects:
Economic Performance
Business Success
Every employment
relationship:
Economic exchange
Power relationship
Continuous & open-ended
Interdependent
Asymmetrical
Employers cannot rely on coercion or even
compliance to secure high performance.
Need active consent & co-operation.
Key Players
GOVERNMENT
EMPLOYEES EMPLOYERS
Labour-Management
Relationship
Armed
Open
Collaborative Truce
Warfare
-----------------------------------------------1.
Most labour-management relationships
fall to the right of the continuum
2.
Partnership rarely attempted as matter
of course
3.
Organisational change forces adaptation
(Adams, 2000)
Characteristics of IR
1.
2.
3.
4.
Forms of Industrial
Relations
Managing by Contending:
The stakeholders engage in a contest of
will with the dominant stakeholder
holding the reins and steering the
choice-making processes as well as
choices.
Contd
Managing by Conceding:
The dominant stakeholder manages
interactions with other less dominant
and dominated stakeholders by making
concessions to buy peace on an ad hoc,
situational basis. Ploy employed is
divide and rule.
Contd
Managing by colliding:
The dominant stakeholder strikes up
equations with individual stakeholder
representatives or with coalitions of
stakeholders, through which mechanism
of choice-making as well as choices are
influenced to favor the dominant
stakeholder.
Contd
Managing by Collaborative
Problem:
The dominant stakeholder in todays
deregulated environment is likely to be
the Corporation and the onus is on
corporations to create a new ethos,
revolving around collaboration and
mutuality though what can be termed
as the Transformational Process Model.
Objective of IR
1.
2.
3.
4.
SIGNIFICANCE OF INDUSTRIAL
RELATIONS
To help in economic progress of a country.
To help in establishing & maintaining true
industrial democracy.
To help management both in the formulation
of informed labor relations & policies
To encourage collective bargaining and boost
morale of workers.
To help Govt in making laws forbidding unfair
practices.
FUNCTIONS OF IR
EMPLOYEE-EMPLOYER RELATIONS
wages & salary admn
career prospects
retirement benefits
grievance handling
training & development
counseling
compensation on accidents
Contd
LABOUR-MANAGEMNT RELATIONS
recognition of union
collective bargaining
industrial disputes
tripartite dispute settling
welfare measures
health & safety
Contd
INDUSTRIAL
DEMOCRACY
Humanism in industry
Focus on employees
Social orientation
Public relations
Participative management
Formation of works committee
Contd
INDUSTRIAL PEACE & PRODUCTIVITY
Improve union mgmt relation
Avoid strikes & go-slow tactics
Prevent lock-outs & lay offs
Upgrade technology
Secure employee co-op
Minimize loss of man days/year
Contd
LIAISON FUNCTIONS
Formulation of IR policy.
Employee-attitude survey.
Liaison with local Govt authorities like labor
officers.
Liaison with state & central Govt industrial
department.
Participation in labour conferences.
Formulation of labour & industrial policies.
Contd
Contd
Contd
Industrial relations
operates at
at the national level:
At this level the industrial relations
operates so as to formulate labour
relations policy. In market economies
this is usually done through a tripartite
process
involving
government,
employers and workers and their
representative organizations.
Contd
Contd
Preventive Machinery
a)
b)
Trade Union
Joint Consultation
1.
2.
c)
d)
e)
Work Committee
Joint Management
Standing Orders
Grievance Procedure
Code of Discipline
Council
Contd
Settlement Machinery
a)
b)
c)
Conciliation
1.
Conciliation Officer
2.
Board of Conciliation
3.
Court of Inquiry
Voluntary arbitration
Compulsory Arbitration
1.
Labor Court
2.
Industrial Tribunal
3.
National Tribunal
TYPE OF LEGISLATIONS:
LAWS ON WORKING CONDITIONS
Factories Act
Shop and Establishments Act
Mines Act
Plantation Labour Act
Indian Merchants Shipping Act
Contd
LAWS ON WAGES
Contd
Laws on Industrial Relations
Contd
Contd
Laws On Social Security
Functional Requirements of a
successful Industrial Relations
Programme
Approaches to industrial
relations
Approaches to organisations
Unitary
Pluralistic
Co-operation
Authoritarian
Paternalism
Marxist
Conflict
Approaches to industrial relations
Input
Conflict
(differences)
Human
resource
management
Conversion
Institutions
and
processes
Systems
Revolution
Output
Regulation
(rules)
Social action
Labour market
Evolution
Comparative
Control of
the labour
process
Unitary perspective
Assumptions
Capitalist society
Integrated group of people within the work organization
Common values, interests and objectives
Nature of conflict and its resolution
Irrational and aberrant ( straying from the path)
If there is/are conflict, they are Frictional and personal
Coercion (force) or paternalism (limiting freedom through
regulation)
Role of Trade Unions
Intrusion from outside
Historical anachronism (relating to a wrong period)
Management only forced to accept trade unions in
economic relations
Unitary view
Organization is:
A group that united
Having same objectives
authority,common value, interest
and objectives
Managers have the right to manage,
managers have prerogative to make
decisions.
Pluralist perspective
Assumptions
Post-Capitalist society, where a relatively widespread distribution of
power and authority within the society, a separation of ownership
from mgt. a separation ,acceptance and institutionalization of
political and industrial conflict
Coalescence of sectional groups within work organisation
Differing values, interests and objectives
Competitive authority/loyalty structures (formal & informal)
Nature of conflict and its resolution
Rational and inevitable
Structural and institutionalized
Compromise, negotiate and agreement
Role of Trade Unions
Legitimate and accepted in both economic and managerial
relations
Internal and integral to organization
Pluralistic Perspective
Relatively widespread distribution
of authority and power within the
society
Separation of ownership from
management
Separation of political and
industrial conflict
Acceptance and institutionalization
of conflict in both spheres.
Pluralistic Approach
Organizations
is in a permanent
state of dynamic tension resulting
from the inherent conflict of interest
between the various sectional groups.
Trade
Unions
as
legitimate
representatives of employee interest
Stability in IR as the product of
concessions
and
compromises
between management and unions
Radical Marxist
Perspective
Assumptions
Capitalist society
Change society
Role of Trade Unions
Radical Marxist
Perspective
Contd
Theories of Industrial
Relations
Contd
IR = f(a, t, m, p, i)
Where a = Actors, employers, workers
and government
T= Technological context
M= Market context
P= Power context
I= Ideological context that helps to
bind them together
Contd
The
significant
aspects
of
the
environment in which the actors
interact are:
1. The technological characteristics of
the organization, the workplace and
work community.
2. The market or budgetary constraints
which impinge on the actors.
Contd
Criticisms
Contd
Contd
Contd
Contd
r= f(b) or r= f (c)
r= rules governing industrial
relations
b= collective bargaining
c= conflict resolved through
collective bargaining
Criticism
Too narrow
Overemphasizes the significance of the
political process of collective bargaining and
gives insufficient weight to the role of the
deeper influences in the determination of
rules.
Institutional and power factors are viewed as
of paramount importance, while variables such
as technology, market, status of the parties
and ideology are not given any prominence.
Contd
Contd
Contd
Contd
Contd
Goals
Style of leadership
Autocratic style
Democratic style
Motivation (satisfy the dissatisfied needs)
Contd
Contd
Concept of equality
Contd
Contd
ii.
Awakening
o
Nurturing faith in their moral
strength
o
Awareness of its existence
Unity
Contd
Gandhi ji advocates