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SOLUTION TO ASSIGNMENT

Question 1. Employee relations management (ERM) is all about management ofrelationship with employees in an organization. Explain the features and importanceof this ERM. 

Answer.

1. Employee relations management (ERM). Employee relationship managementrefers to managing the relation between the various employees in a business ultimately toachieve the goals of the organization. The relationship can be between employee and theemployer as well as between employees at the same level.

2. Features of ERM.

(a) Communication. These are the channels between employees and betweenthe management and employees, which need to be kept open and transparent.Failiure to do so would lead to frustration and low morale eventually leading to lowproductivity. Team briefings, appraisals, and employee surveys assist in improvingcommunication.

(b) Management of Employee Contract. Efficient contract management toinclude remuneration, working conditions, safety issues and company rules etc go along way in enhancing ERM aspcts.

(c) Conflict Management. Instances of conflict at the workplace and in betweenemployer and employee are bound to occur. These need to be managed. Meditationand Counselling are now replacing the traditional grievance redressal procedures.Training workshops are now devised for managers to acquaint them with the rules,regulations, redressal procedures and appellate rights prevalent in the organization.

(d) Employee Growth. Career planning of the employees has an important andmandatory part to play in an organization.

(e) Commitment. The organization climate and culture must provide for keepingthe employees motivated by way of providing them job satisfaction, benefitprograms, promotion avenues, training and development and a positiveorganizational climate and culture.

(f) Compliance with Employment Laws. The organization and managementmust comply to the rules and regulations laid down I respect of wages, workingconditions, retention and ensure that there are no biases and discrimination.

3. Importance of ERM. Every individual at the workplace shares a certain relationshipwith his fellow workers. An individual cannot work on his own, he needs people around. It isessential that people are comfortable with each other and work together as a single unittowards a common goal. It is important that employees share a healthy relation with each

other at the work place. Hence, the importance of ERM is:-

(a) A healthy relation with fellow workers would ease the work load on and in turnincreases productivity by improving employee morale, adaptability, productibility andcommunication.

(b) An individual feels motivated in the company of others whom he can trust andfall back on whenever needed.

(c) Healthy employee relations also discourage conflicts and fights amongindividuals and improve the communication system.

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(d) A healthy employee relation reduces the problem of absenteeism at the workplace.

(e) Job satisfaction is enhanced and employee retention is facilitated.

(f) Employee commitment and involvement is enhanced, teams work better andchange management is facilitated leading to success in an organization..

(g) Customer satisfaction is assured.

(h) Organizational culture is aligned to the employee expectations.(i) The company becomes a popular destination for recruitment as the image isenhanced.

(j) Employees feel wanted and hence retain a high level of loyalty andconfidentiality.

(k) It improves the communication system within the organisation.

(l) It increases the synergy between the culture of the organization and the

expectations of the employees. 

Question 2. What are the various types of communication? Explain the importance oforganizational communication. What are the methods to improve communication?

Answer.

1. Communication. It is the process of exchange of information between people.

2. Communication Types. There are two basic types of communication, formal andinformal. Formal communication is defined as communication through officially designatedchannels based on rules and guidelines. Informal communication, on the other hand, isdefined as episodes of interaction that don't reflect officially designated channels ofcommunication, and are influenced largely by the culture of the organization.

3. Forms of Communication.

(a) Passive communication. This is a form of communication in which theperson does not share his or her wants, needs, desires, or opinions. It is used toavoid confrontation and can cause alienation, anger, frustration and depression.

(b) One-way Communication. In one-way communication, information istransferred in one direction only, from the sender to the receiver. There isn't anyopportunity for the receiver to give feedback to the sender. This a formal method ofcommunication generally followed in military and other formal organizations. Rule,procedures and edicts are communicated as on-way communication. This form alsoenhances alienation.

(c) Two-way Communication. It is a form of transmission in which both parties

involved transmit information. This is also been referred to as interpersonalcommunication and it builds trust and loyalty. Employees are encouraged to clarifytheir doubts, seek support and express their opinions.

(d) Active Communication. Active communication is the bridge which will helpus build shared meanings and a better relationship with the employer. There arethree key dimensions in active communication viz congruence between verbal andnon-verbal, effective non-verbal and accurate expression of feelings. In such form ofcommunication the employees raise issues, and respond to any problem without anyhesitation. Misunderstandings if any are easily clarified.

(e) Non-Verbal Communication. Nonverbal Communication has been definedas communication of attitudes without words. It includes apparent behaviors such as

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facial expressions, eyes, touching, and tone of voice, as well as less obviousmessages such as dress, posture and spatial distance between two or more people.The various type are:-

(i) Laissez Faire. This is a type of leadership in which the manager givesa task to an individual or group and lets them decide the rest. Maximumfreedom is provided to the subordinates and a congenial atmosphere isprovided by the leader. Employees lake their own decisions on policy matters.

(ii) Inspirational. The leader tries to motivate people from within.

(iii) Intellectual. The leader stimulates the employees with innovativetheories and opportunities.

(iv) Individualised. Individuals are fitted into positions aligned to theirindividual need, talents and desires and not by force.

4. Importance of Organizational Communication

(a) Good Working Relations. Effective communication is essential in anorganisation to establish good working relations with peers, subordinates andsuperiors. Good working relations ensure a friendly and conflict-free environment.

(b) Problem Solving.  Good communication skills help employees convey theirproblems and issues in an effective way. This helps in preventing problems fromescalating. Problems can be resolved quickly.

(c) Enhance Production. Effective communication is necessary to keepemployees informed about the rules, policies and procedures. This helps employeesunderstand their duties better and perform their work in a better way. This increasesthe productivity and accuracy of the work done.

5. Methods to Improve Organizational Communication. The following methods canbe utilized:-

(a) Clear and Transparent. Policies and procedures need to be communicatedwith clarity and unambiguity.

(b) Accurate and Comprehensive. The communication need to be all inclusivewith modifications if any and nothing must be left out.

(c) Precise and Concise. The communications must not be unduly elaboraeteand must be with simple content and short sentences.

(d) Generic. To avoid any conflict successes and failiures must be communicatdin a generic manner. Use of “we” is preferred than “you” in discussions.

(e) Assertive. To arrive at correct decisions and conclusions, the communicationmust be assertive and positive.

(f) Attentive. The success of verbal communication is dependent on attentivityand good listening skills.

(g) Two-way Communication. Since opinions and views of both arties areincluded in such communication, it will help improve employee relations.

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Question 3. Human Resource Information System (HRIS) helps organizations tocarry out their HR administrative functions in an effective manner. What are theimportant features that makes a good HRIS? Mention some common applications ofHRIS. 

Answer.

1. HRIS. A HRIS, which is also known as a human resource information system orhuman resource management system is basically an intersection of human resources and

information technology through HR software. This allows HR activities and processes tooccur electronically. The Human Resource Information System (HRIS) is a software oronline solution for the data entry, data tracking, and data information needs of the HumanResources, payroll, management, and accounting functions within a business.

2. Important Features of HRIS.

(a) Salary & Job History. Document all salary and job changes. View the salaryhistory of each employee online including education details, salary, bonuses and alldeductions. Quickly view work history such as promotions and length of employmentin a position.

(b) Export and Import Information. Easily export scanned employee information

to Microsoft Word, Excel, pdf, XML or HTML. to customized software for graphicalrepresentation. This functionality is great for customizing reports and importinginformation into other programs thus saving re-keying the data. These inputs couldalso be exported to Visio or OrgPlus to produce up to date org charts to provide agraphical view of the organization showing the reporting structure.

(c) Document Library. To save time a number of standard letters and formssuch as Letters viz Offer of employment letter, welcome letters for new employees,termination letters, and forms viz Exit Interview, interview evaluation, employeesurvey and many others.

(d) Adhoc Report Writing. Users could create customized reports based onselected criteria and filters. Generally listed reports are created by tools such as

Crystal Reports to include tables and charts. These can then be formatted in pdfformat. Time stamps are also included.

(e) Automated Reminders and Alerts. Schedule reminders for performancereviews, benefit eligibility, probation periods, birthdays, anniversaries, training,reports and other company events. Prompts can be set so one will never miss animportant date or deadline again.

(f) Health and Safety Records. Maintain an accurate history of all incidents andand accidents. Enter all medical assessments performed for company regulations.

(g) Security. Control confidential information with various security levels fordifferent users. It helps to comply with the new privacy laws.

(h) Warnings & Disciplinary Actions. Document all written and verbal warnings.Capture employee and supervisor comments plus disciplinary actions.

(i) Jobs. Stores job descriptions, minimum skill requirements and salary gradelevels by position.

(j) User Defined Fields. Specific company policies for recruiting, salarystructure, promotions, increments, appraisals, transfers etc are included.

(k) Track Vacation, Leaves and Attendance. These are tracked anddocumented. Company’s vacation and leave policies are input and the system willtrack the number of days available based on years of service.

(l) Employee Self-Service. Employees can utilize the system for:-

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(i) Records and update personal details.

(ii) Record notes.

(iii) Apply for leave and view leave details.

(iv) Update bank details and view salary.

(v) Manage inbox, personal calendars and enroll in benefit plans.

(vi) View work schedules.

(vii) Sign up and view training schedules.

3. Applications of HRIS. HRIS can be applied in the following areas of HRM:-

(a) HR planning

(b) Succession planning

(c) Work force planning

(d) Work force dynamics analysis

(e) Staffing

(f) Applicant recruitment and tracking

(g) Employee data base development

(h) Performance management

(i) Learning and development

(j) Compensation and benefits

(k) Pay roll

(l) Job evaluation

(m) Salary survey

(n) Salary planning

(o) International compensation

(p) Benefits management

Question 4. What are the objectives of organizational discipline? List the types ofdisciplinary problems. Explain the steps of disciplinary procedures commonlyfollowed in many organizations.

Answer

1. Organizational Discipline. Organizational discipline is the orderly and

systematically conducting the affairs of the organization by the organizational members whostrictly adhere to the essential rules and regulations. Its objective is to correct wrongbehaviours & offenders, prevent inappropriate actions and maintain standards.

2. Objectives of Organizational Discipline. The objectives of the organizationaldiscipline are:-

(a) To obtain a willing acceptance of the rules, regulations and proceduresof an organization by its employees so that organizational goals can be achieved.

(b) To provide direction and leadership, so that the workforce acts in the rightmanner.

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(c) To promote co-operation and unity so that the employees work as a unitedteam.

(d) To improve employee relations  so that there are no conflics and there istrust and respect for each other.

(e) To improve efficiency and productivity  by bringing out the best in eachindividual.

(f) To impart an element of certainty  despite several differences in informalbehaviour pattern and other related changes in an organization.

(g) To develop among the employees a spirit of tolerance and a desire tomake adjustments.

3. Types of Disciplinary Problems.

(a) Excessive Absenteeism. Employees not reporting for work on flimsy andinvalid reasons will result in loss of productivity. The workforce need to remainmotivated so as not to absent themselves unnecessarily and not resort tosubstantiating their absence by producing false medical documents.

(b) Poor Timekeeping. Another issue of indiscipline is the lack of concern fortime in that reporting late, leaving early, extending breaks and doing personal workduring office hours also results in the development of an unconenial workatmosphere and reduction in efficiency and productivity.

(c) Improper Personal Appearance. Not sticking to the prescribed dress coderesulting in improper projection and also leading to safety concerns is another pitfallof discipline. Employees need to be made aware of the expectations of theorganization in this regard.

(d) Substance Abuse. Demotivated employees or those under stress couldresort to drug and alcohol abuse leading to lack of concentration and performanceduring working hours. This will also lead to excessive absenteeism and making thesituation even worse.

(e) Poor Performance. Employees not sticking to the laid down procedures andquality control procedures could lead to fall in standards and performance of theindividuals and the organization. This could be as a result of lackof capability or alack of interest.

(f) Poor Attitude. Negative attitude such as sleeping on the job, being careless,fighting with peers, insulting supervisors, being rude to customers and resorting togambling at the work place are detrimental to other workers.

(g) Violation of Health and Safety Rules. Smoking in unauthorised places, notusing safety equipment and rules, ignoring faire hazard instructions etc are seriousviolations and need to be tackled immediately.

(h) Insubordination. This could be in the form of refusal to undertake alegitimate task, ignoring manager’s instructions, challenging orders, resorting toabusive language, being disrespectful, making gestures etc can affect the morale ofthe complete team and is detrimental for organizational development. Managersneed to be trained and empowered to handle such situations.

(i) Workplace Violence. This has to be dealt by trained security staff, whoshould be able to recognize signs and is no to be tolerated under any circumstance.

(j) Harrassment. Policies need to be in place to ensure there is no sexualexploitation and that no employee is pressurized to undertake illegitimate work. Suchinstances cause immense discomfort to co-workers and reduces morale.

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4. Steps of Disciplinary Procedures.

(a) Issuing a Letter of Charge. The manager issues a chargesheet to theemployee committing the misconduct. The charges are precisely and clearly statedin the chargesheet. The chargesheet also asks the employee to give an explanationfor the misconduct. Sufficient time is given to the employee to prepare a reply to thechargesheet.

(b) Consideration of the Explanation. Once the reply is obtained from the

chargesheeted employee, the explanations are considered. If the explanation isfound to be satisfactory, then no further action is taken. But if the management doesnot find the explanation satisfactory, it decides to issue a show-cause notice.

(c) Show-cause Notice. This is issued by the management when there sufficientevidence of the misconduct of the employee. This gives the employee anotheropportunity to provide an explanation for the charges made. Enquiry can also beinitiated by issuing a notice of enquiry detailing the name of the enquiry officer, thetime, date and place of enquiry.

(d) Conducting a full-fledged enquiry. The employee is given an opportunityfor justification. The findings of the enquiry are recorded and the enquiring officersuggests the disciplinary action to be taken.

(e) Making a Final Order of Punishment: The punishment for the misconduct isdecided after considering the nature of the indiscipline, the past record of theemployee, the precedents, and the effects of the disciplinary action on otheremployees.

(f) Appeal. When the employee feels that there has not been a fair hearing, theemployee is given a chance to make an appeal.

(g) Follow-up. The consequences and the impact o the disciplinary action arenoted.

Question 5. What is trade union and what are its objectives? Describe trade unionsin India.

Answer

1. Trade Union. An organization whose membership consists of workers and unionleaders, united to protect and promote their common interests. As per Trade Union Act ofIndia 1926 "Trade Union" means any combination, whether temporary or permanent,formed primarily for the purpose of regulating the relations between workmen andemployers or between workmen and workmen, or between employers and employers, orfor imposing restrictive conditions on the conduct of any trade or business, and includesany federation of two or more Trade Unions

2. Objectives of Trade Union. The objectives of trade union is to promote the interest

and welfare of its members in order to ensure a fair deal of social justice and to improvesocial status of workers in industry. The objectives in details are:-

(a) Effective representation of employee interest

(b) To voice decisions affecting workers.

(c) To improve economic conditions and provide improved standard of living ofemployees by securing better wages.

(d) o secure bonus for the employees from the profit of the concernedorganization.

(e) To provide better working environment for employees.

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(f) To safeguard the interest of the employees by actively participating in theorganization’s management and negotiate if required.

(g) To provide financial support to employees.

(h) To provide improved social status to the employees and secure their socialwelfare through group schemes.

(i) To prevent employees from employers exploitation.

(j) To provide organizational stability, growth and leadership.3. Trade Unions in India. The entire period of the growth of trade unionism up till nowis conveniently divided into three periods , First period 1875-1918 (Beginning of TradeUnions in India), Second period 1918-1947 (Development of Organized Trade unions),Third period 1947 till date (Rise of Trade Unions).

(a) First Period. The first period of trade unions in India started from 1875 andlasted up to first world war. During this period the trade union movement wasessentially humanitarian. Some friendly societies were formed to look in to thewelfare of workers. These unions were sporadic in nature. The first Indian tradeunion, Bombay Mill Hands Association was formed in 1890, with an immediate aimof agitation for a revision of first Indian Factories Act 1881. The other significant

events were:-

(i) The Amalgamated Society of Railway Servants of India & Burmaregistered under the Indian Companies Act of 1882 was created in 1897.

(ii) The Printers Union , Calcutta and Bombay postal union were formed in1905 and 1907 respectively.

(iii) The Kamgar Hit Vardhak Sabha was setup in 1909.

(b) Second Period. This period actually marked the beginning and growth oforganized and continuous trade unions. Madras became the nucleolus of organizedthe labour activity, when B.P.Vadiya founded the Madras Labour Union 1919. Therewas significant spread of trade unionism in 1920. Trade unions like Ahemdabad

textile workers union , N.W Railway employees union , indian colliery employeesunion the jamshedpur labour association ,the bombay port trust employees union,and the E.B. Railway Indian employees association were formed . By 1924 therewere 1671 trade union in India. The all India trade union congress was formed in1920. It is in this phase that the working class started getting involved in politicalactivities aligned to the struggle for Independence.

(c) The Trade Union Act. The act received its assent on 25th march 1926. Itcame into force on 1st June 1927.As “the Indian trade unions act 1926 (16 of 1926).By Sec.3 of the Indian Trade Unions (Amendment)Act 1964 the word “Indian” hasbeen omitted and now it stands as The Trade Unions Act, 1926. The act legalisedregistered trade Unions in India and protected them from civil and criminal cases. By

the time India became independent there were four central trade unions:-(i) All India Trade Union Congress.

(ii) Indian National Trade Union Congress.

(iii) Hind Mazdoor Sangh.

(iv) United Trade Union Congress.

(d) Third Period. In the period 1918-47 the ideology inspiring trade union wasnationalistic. But after independence, trade union developed into an effectiveinstrument for protecting and safeguarding the interest of the labourers. TradeUnions are now politically affiliated. Presently the central tade unions are:-

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(i) Bharatiya Mazdoor Sangh (Rashtriya Swayamsevak Sangh)

(ii) All India Trade Union Congress (Communist Party of India)

(iii) Centre of Indian Trade Unions (Communist Party of India (Marxist))

(iv) Hind Mazddor kian Panchayat

(v) Hind Mazdoor Sabha (socialists)

(vi) Indian Federation of Free Trade Unions

(vii) Indian National Trade Union Congress (Indian National Congress)

(viii) National Front of Indian Trade Unions

(ix) Naional Labour Organization.

(x) Trade Unions Coordination Centre.

(xi) United Trade Union Congress (Revolutionary Socialist Party)

(xii) United Trade Union Congress – Lenin Sarani

(xiii) National Front of Indian Trade Unions (Nationalist Congress Party)

(xiv) All India Central Council of Trade Unions (Communist Party of India

(Marxist-Leninist) Liberation)

(xv) All India United Trade Union Centre (Socialist Unity Centre of India(Communist))

(xvi) Labour Progressive Federation (Dravida Munnetra Kazhagam)

(xvii) Trade Union Coordination Committee (All India Forward Bloc)

(xviii) Bharatiya Janata Mazdoor Manch (BJMM)

Question 6 Write short notes on :

(a) Factories Act, 1948

(b) Industrial Disputes Act, 1947

Answer

1. Factories Act, 1948. This act applies to the whole of India. The main objective ofFactories Act, 1948 is to ensure adequate safety measures and to promote the health andsafety and welfare of the workers employed in factories. The act also makes provisionsregarding employment of women and young persons (including children & adolescents),annual leave with wages etc. Every Factory has to be registered and neds to obtain alicence for working, which has to be renewed at periodic intervals. The plans, designs andspecifications of any construction or modification needs prior approval of the State govt.The main provisions are:-

(a) Facilities. It specifies the minimum requirements for health, safety andgeneral welfare of workers.

(b) Safety. Issues regarding:-

(i) Fencing of machinery.

(ii) Firefighting.

(iii) Functional lifts and hoists.

(iv) Stairs and passages free from obstruction.

(v) Appliance to protect eyes from dust.

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(vi) Checked pressure plants.

(c) Working Hours.

(i) Not more than 48 hours in a week.

(ii) Mandatory weekly holiday.

(iii) Compensatory holidays in case weekly off is working.

(iv) Not more than nine hours in a working day.

(v) Half an hour rest after five hours of work.

(vi) No overlapping of shifts.

(d) Overtime Wages. Double the prescribed rate in case a worker works morethan nine hours in a day and 48 hours in a wek.

(e) Leave. One day of leave for every 20 days of work in the previous calendaryear provided that worker has worked for 240 days in that calendar year.

(f) Child Employment. Children below the age of 14 cannot be employed.Children in the age group of 14 – 15 can only work for .5 hours in a day or night. Adolescents cannot work between 7pm and 6 am.

(g) Obligations Regarding Hazardous Processes and Substances.Information about hazardous substances and danger involved must be provided andsafety measures ensured. Safety committees must form part of the setup.

2. Industrial Disputes Act, 1947. The Industrial Disputes Act, 1947 extends to wholeof India. It came into operation on the first day of April, 1947. This Act replaced the TradeDisputes Act of 1929. The objects of the industrial relation's legislation in general are tomaintain industrial peace and, to achieve economic justice. The main provisins of the actare:-

(a) Work Committee.The works committee is considered to be powerful socialinstitution only to secure cooperation between workers and employers, but to makethe will of the employees effective on the management. According to sec.3 of the

Industrial Disputes Act, 194"1, in the case of an industrial establishment in which 100or more workmen are employed or have been employed oh any day in the preceding12 months, the appropriate Government may, by general or special order, requirethe employer to constitute a Works committee consisting of representatives ofemployers and workmen engaged in the establishment. The number ofrepresentatives of workmen on Works Committee shall be not being less than that ofthe representatives of the employers. The representatives of the workmen shall bechosen from among the workmen in consultation with their trade union, if anyregistered under the Indian Trade Union Act.1926. The duties of the WorksCommittee are to promote measures for securing and preserving amity and goodrelations between the employers and workmen and to comment upon matters of theirinterest or concern and to endeavour to compose any material difference of opinionin respect of matters of common intents or concern of employers and workmen.

(b) Conciliation Officers. The appropriate Government may by notification in theofficial gazette, interest appoint conciliation officers for any specified area or for oneor more specified industries, either permanently or for a limited period of time.Conciliation officers are charged with the duty of holding conciliatory proceedings forthe purpose of bringing about a fair and amicable settlement of any industrialdispute. The jurisdiction, powers and other matters in respect of the ConciliationOfficer ~hall be published in the Gazette

(c) Board of Conciliation. The appropriate Govt. may as occasion arises bynotification in the in the Official Gazette constitute a Board of Conciliation for

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promoting the settlement of an industrial dispute. A Board shall consist of aChairman and two or four other members, as the appropriate Government thinks fit.The Chairman shall be an independent person and shall be appointed on therecommendation of the party they represent.

(d) Courts of Inquiry. The appropriate Government may, as occasion arises, bynotification in the official Gazette, constitute a Court of Inquiry for inquiring into anymatter appearing to be connected with or relevant to an industrial dispute. Such a

Court may consist of one or more independent persons, as the Government mayappoint. Where it consists of more than one member, one of them shall be appointedas Chairman.

(e) Labour Court. The appropriate Government may, by notification in theOfficial Gazette, constitute one or more Labour Courts for the adjudication ofindustrial disputes relating to any of the following matters or for performing suchother function as may be assigned to them under the Act. The composition is one ofthe following:-

(i) A former judge of the High Court.

(ii) A judge for three years in the district court.

(iii) A member of any tribunal for at least two years.(iv) A judge in any court of the country for seven years.

(v) A chairman for any provincial labour court for at least five years.

(f) Industrial Tribunals.. Industrial Tribunals were created for it's first time by theIndustrial Dispute Act.1947. The composition is one of the following:-

(i) A judge of High Court.

(ii) A district judge or an additional district judge for at least three years.

(iii) Two persons as assessors can be appointed to assist the tribunal.

(g) . .National Tribunal. The Central Government may, by notification in the

Official Gazette, constitute one or more National Industrial Tribunals for theadjudication of industrial disputes which, in the opinion of the Central Governmentinvolve questions of national importance or are of such a nature that industrialestablishments situated in more than one State are likely to be interested in, oraffected by, such disputes. A National Tribunal shall consist of one person only to beappointed by the Central Government. In order to be qualified as a Presiding Officerof a National Tribunal, a person must be or must have been a Judge of a High Court,or must have held the office of the Chairman or any other member of the Labour Appellate Tribunal for at least 2 years. The Central Government may appoint twoassessors to advise the National Tribunal.

(h) Arbitration. Any dispute can be referred to arbitration with the consent of theparties involved. The consent has to be obtained prior to referring the dispute to atribunal or court. The board of arbitration should have equal participation from theparties involved and in case the parties desire one person can be elected as anarbitrator.