HUMAN RELATIONS
Transcript of HUMAN RELATIONS
HUMAN RELATIONS
MEANING OF HUMAN RELATIONS
According to Scott, “Human Relations is a process of an effective motivation of individuals in a given situation in order to achieve a balance of objectives which will yield greater human satisfaction and help accomplish company goals.”
Scope of Human Relations Every person brings a set of
talents, ambitions and experience, matching them to a standardised technology is a challenge.
Organisational aspects such as size, geographic location and degree of automation define the scope.
Contd… Innovation in technology requires the
restructuring of job roles and responsibilities. Promotion of individual to positions of greater
responsibility creates a need for changed behaviour which in turn creates HR problems.
Inexperienced workers may not be able to perform their roles or tasks in work groups in a competent manner. This also creates disputes between them and their co workers.
HR MOVEMENT The Human Relations movement
became popular in the year 1940s and early 1950s when much attention began to be paid to the worker’s needs and realising the importance of human beings in total productivity. Hawthorne Studies laid down the foundations of relationship between productivity and physical working environment.
EMPLOYEE GRIEVANCE According to Michael J Jucious,
“grievance is any discontent or dissatisfaction, whether expressed or not, whether valid or not, arising out of anything connected with the company that an employee thinks, believes or even feels, is unfair, unjust or inequitable.”
Contd… Best approach towards grievance
is to anticipate them and take steps to tackle them before it takes dangerous form.
An ordinary manager redresses it after it arose but an excellent manager anticipates it and prevents the very occurance.
Contd… It can be known before it occurs through
several means: Observation Opinion Survey Gripe Boxes: Box at prominent positions
should be kept for lodging anonymous complaints.
Exit Interviews Open Door Policy
Nature and Causes of Grievances
P.C.Tripathi has broadly classified the causes of grievance in categories :
Grievance resulting from working conditions Grievance resulting from management
policy Grievance resulting from violation of certain
rules or agreements Grievance resulting from personal
maladjustment.
Essentials of Sound Grievance Handling
Conformity with prevailing legislation Acceptability Clarity Promptness Simplicity Training Follow up
STEPS IN GRIEVANCE HANDLING
The Code of Discipline adopted by Indian Labour Conference, 1957 laid down that the management and unions should establish, upon a mutually agreed basis, grievance procedure which would ensure a speedy and full investigation leading to a settlement.
The Model Grievance Procedure in India provides for five successive time bound steps, each leading to a next case.
Steps Step 1: The aggrieved employee
verbally explains his grievance to his immediate supervisor or in a conference etc. The employee seeks satisfaction from his supervisor, who should give his answer within 48 hours of the presentation of complaint.
Steps Step 2: If the grievance is not
settled by the supervisor or if the employee is not satisfied with the response, he can approach the departmental head. The head is required to submit his answer within three days of the presentation of grievance.
Steps Step 3: If even now the employee
is not satisfied, may approach the grievance committee. This committee evaluates the case and presents its recommendations within seven days.
Steps Step 4: If the employee is not satisfied,
may make an appeal to the management for revision. Management may communicate within seven days.
Step 5: If the employee is even now unsatisfied, may refer to grievance to voluntary arbitration within a week of the receipt of management’s decision. The parties may agree beforehand that the decision of the arbitrator will be final and binding on both the parties.
GRIEVANCE MANAGEMENT IN INDIAN INDUSTRY
There are three legislations dealing with grievance handling: The Industrial Employment Act 1946 The factories Act 1948 Industrial Disputes Act 1947
Contd… The Industrial Employment
(Standing Orders) Act 1946: For establishments employing 100 or more workers, should have standing orders and a provision for grievances of workers against unfair treatment and wrongful exactions by the employer or his agents.
Contd… Factories Act 1948: Appointment of
welfare officer in every factory employing 500 or more workers. They also look after complaints and grievances of workers.
Contd… The Industrial Disputes Act 1947:
The employer in relation to every industrial establishment in which 50 or more workmen are employed shall provide for a grievance settlement authority.
Any member of the organisation, in case of industrial dispute may refer such dispute to the grievance settlement authority.
The Grievance Settlement Authority shall follow such procedure and complete its proceedings within such periods as may be prescribed.
No reference shall be made to Boards, Courts or Tribunals of any dispute referred to in this section unless such dispute has been referred to the Grievance Settlement Authority concerned and decision of the authority is not acceptable to any of the parties to the dispute.
DISCIPLINE According to Richard D Calhoon,
discipline is “a force that prompts individuals or groups to observe the rules, regulations and procedures which are deemed to be necessary for the effective functioning of an organisation.”
ASPECTS OF DISCIPLINE There are two aspects – Positive and
Negative. Positive Aspect: Inherent desire of
the employee Negative Aspect: When personnel
are forced to observe rules and regulations on account of fear of some penalty.
OBJECTIVES OF DISCIPLINE To gain willingly acceptance of the rules,
regulations, standards and procedures of the organisation from the employees.
To develop the feeling of cooperation among the workers.
To maintain good industrial relations in the organisation.
To increase the working efficiency and morale of the employee.
To develop a sense of tolerance and respect for human dignity.
ESSENTIALS OF A GOOD DISCIPLINARY SYSTEM
Knowledge of rules Prompt action Fair action Well defined procedure Constructive approach- Preventive
rather than punitive Review and revision
The Hot Stove Rule According to Douglas McGregor,
hot stove rule implies that if the rules and penalties are clear and well understood, a violation creates some natural consequences, just as touching the hot stove has.
Immediate: Disciplinary action should be taken immediately.
Contd… Warning: He should have a warning which
should clearly communicate that what will happen if he does not abide by the rules.
Consistent: Everyone who commits similar mistake will be dealt with in a same manner.
Impersonal: A person should be punished for any wrong committed, without any bias of who he is.
Commensurate: A person who repeatedly touches the hot stove burns his hands as many times, similar with misconducts.
Code of Discipline Formulated after a great deal of discussion and
recommendation of the Indian Labour Conference (15th session), held in July 1957.
Following are the Principles: There should be no lockouts or strikes before notice No unilateral action should be taken in connection with any
industrial matter No deliberate damage should be done to plant or property The existing machinery for the settlement of disputes
should be utilised Acts of violence, coercion, intimidation etc should not be
indulged in Awards and agreements which may destroy cordial
industrial relations may be avoided.
KINDS OF PUNISHMENT/PENALTIES
Minor Penalties: Oral reprimand (warning): Mildest of all
disciplinary actions. Written reprimand: If the worker
continues with the misconduct, it is done to bring into record the misconduct.
Loss of Priviledge: Certain priviledges like good job assignments, freedom of movement etc are withdrawn.
Contd… Fines Punitive Suspension
Major Penalties: For major offences. With holding of increments Demotion Discharge Dismissal
PROCEDURE FOR TAKING DISCIPLINARY ACTION
Preliminary Investigation: To find out whether a prima facie case of misconduct exists. Only if it exists, the management should proceed further.
Issue of Chargesheet: If a prima facie case of misconduct exists, the management should proceed to issue a charge sheet to the worker. Following guidelines may be followed in framing the chargesheet: Each charge must be clear and precise. There should be a separate charge for each allegation. Charges must not relate to any other matter which has
been decided upon. Proposed punishment should be avoided in the
chargesheet.
Contd… Suspension pending enquiry (if needed): If
the nature of misconduct is grave and if it is in the interest of discipline and security, the management may suspend a worker even before the charge sheet is issued.
His pay will be: For the first 90 days, half his wages For the remaining period of suspension, three
fourth of his wages.
Contd… Notice of Enquiry: Following two
situations may arise: The worker may admit the charge. In
such case the employer may award punishment without further enquiry.
The worker may deny the charge. The employer may hold the enquiry.
Contd… Conduct the enquiry: The enquiry officer
is a judge, so it is necessary that he must be impartial and qualified to act in that capacity. A fair opportunity should be given to charge sheeted employee to examine the management witness.
Recording of findings of Enquiry Officer: At the conclusion of enquiry proceedings the Enquiry officer should decide as to whether the charges made are valid or not along with reasons for the findings.
Contd… Awarding Punishment: This should
be communicated to the employee quickly. The letter should contain the following:
Reference to (i) the charge sheet, (ii) the enquiry, (iii) findings of the enquiry
Decision Date from which the punishment is to be
effective.
ROLE OF HR MANAGER IN MAINTAINING DISCIPLINE
Advising and assisting top line management in determining and developing an appropriate disciplinary procedure.
Assisting in communication of the disciplinary procedure to all employees of the organisation.
Making sure that the disciplinary procedures confirm to legal provisions.
Ensuring fairness. Training the supervisors and executives in dealing with
disciplinary problems and cases. Involving the trade unions and the employees in
determining and implementing disciplinary procedures. Developing of self discipline and self control on the part
of employees and winning over the confidence of employees in disciplinary policies and procedures.
PRINCIPLE OF NATURAL JUSTICE AND DOMESTIC
ENQUIRY According to it no man should be held
guilty without getting an opportunity to explain his point of view. It states that the worker should be given a fair chance: To present evidence of his own choice To cross examine the management’s
evidence To explain his point of view without pressure
or fear.
PARTICIPATIVE MANAGEMENT
Refers to the process of involving employees or employee representatives at all levels of the decision making process.
Methods of ParticipationParticipation : At board level Through complete control Through staff or works councils Through joint councils and committees Through collective bargaining Through job enlargement and job
enrichment Through suggestion schemes etc.
IMPORTANCE OF PARTICIPATION
The employees identify themselves with work.
They feel motivated and important as they are involved in decision making.
It reduces conflict and stress. It results into better communication.
LIMITATIONS Sometimes participative situations can
be used to manipulate employees by management or trade unions.
The presence of feudalistic mindset, leads to loss of interest on the part of workers.
The unwillingness of the employer to share his power with the workers representatives.
EMPLOYEE EMPOWERMENT
A technique of involving employees in their work through the process of inclusion.
Empowerment encourages employees to become innovators and managers by giving them more control and autonomous decision making capabilities.
Contd…The characteristics of empowered
organisations are: An assumption of competence- a belief
that people can be trusted and therefore requires minimal checks and controls.
Learning from others. Empowerment requires a situation of
high trust and competence. Togetherness- regardless of status or
position.
CONDITIONS NECESSARY FOR SUCCESS OF EMPOWERMENT
Employees must be encouraged to take control of their work.
The environment must be receptive for employees with innovative ideas.
Employees must have access to wide range of information.
Empowered employees must be held accountable for their decisions.
Culture of organisation should be open and receptive to change.
STAGES OF EMPOWERING PROCESS
Stage 1: Get the basics right by fully using current capability.- Empowerment through delegation in the current task. Managers should be enablers.
Stage 2: Stretch people beyond their current capability to fulfill their full potential.
Stage 3: Strengthen empowerment by creating commitment.
COLLECTIVE BARGAINING Term coined by Sydney and Beatric Webb. Collective Bargaining is a method by which
the trade unions protect and improve the conditions of their member’s working lives. A process in which the representative of the employer and of the employees meet and attempt to negotiate a contract governing the employer-employee union relationship.
Characteristics of Collective Bargaining
Group Action rather than individual action.
Flexible and Mobile rather than fixed and static.
A bipartite process. Continuous process. Power relationship.
OBJECTIVES To maintain cordial relations between
employer and employees by settling disputes and conflicts.
Protects the interest of workers. Resolve differences between the employer
and the employee. Avoid the need of government
intervention. Ensure participation of trade unions. Promote industrial democracy.
TYPES OF COLLECTIVE BARGAINING
Conjunctive Bargaining: The employer and the employees try to maximise their respective gains. Issues like wages, bonus etc. are negotiated under conjunctive bargaining. The principle of “my gain your loss your loss my gain” is followed in it. It is also called distributive bargaining.
Contd… Co-operative Bargaining: Both parties realise
the importance of surviving in difficult times and are ready to negotiate the terms of employment in a flexible way.
Productivity Bargaining: Worker’s wages and benefits are linked to productivity. If they exceed the level, they get benefit. Standard productivity is finalised through negotiation.
Composite Bargaining: In it, labour bargains for wages as usual but goes a step further by demanding equity in matters relating to work norms, employment levels, etc.
PROCESS OF COLLECTIVE BARGAINING
The Negotiation Stage: In collective bargaining carrying out negotiations and reaching an agreement constitute only half the process. The negotiation stage is: Identification of a problem. Preparing for negotiations. Negotiations of agreements.
Contd… The Stage of Contract Administration:
Both the parties should be considerate and sensitive towards the problems of other parties. When a solution is reached, it is put on the paper taking the concerned legislation into consideration. Both the concerned parties sign the agreement, which becomes a binding contract for both the parties. Arbitration is the last resort.
STEPS IN THE PROCESS Planning for negotiations Determining the bargaining issues Negotiation Accomplishing the agreement Passing the agreement Monitoring the agreement
Contd…Planning for negotiation: Make a detailed plan for the
modifications in the contract language.
Determine the economic package that the company offers.
Create a bargaining book for storing all the information related to issues.
Contd…Identifying Bargaining Issues: Wage related Supplementary economic benefits: Issues
such as pension plans, paid vacations etc. Institutional Issues: Such as rights and
duties of employers, employees, unions, stock ownership scheme etc.
Administrative issues: Issues such as seniority, employee discipline etc.
Contd… Conducting Negotiations: Initial
demands of both employer and employee are determined. The negotiation process continues until the final agreement is obtained.
Accomplishing the agreement: The next step is to implement and achieve that agreement.
Contd… Passing the agreement: To identify whether
or not both the issues mentioned by each negotiating party are acceptable. In it the union-negotiating team examines the agreement and convert it into legal contract.
Monitoring the agreement: Post implementation of the agreement it is monitored that the agreement is implemented as per the issues mentioned in it.
Recommendations of National Labour Commission For Successful
Functioning of Collective Bargaining Government intervention in settlement of
disputes should be reduced to minimum level. Trade Unions should be strengthened both
organisationally and financially by amending the Trade Union Act of 1926.
Legal provisions may be made either by a separate legislation or by amending an existing enactment for compulsory recognition of Trade Unions and certification of Unions as bargaining agents, prohibition and penalisation of unfair labour practices, conferring legal validity and legitimacy on collective agreement.
Contd… One union for one plant or one
industry should be popularised. The government should declare its
policy to allow and encourage the parties to settle their conflicts and disputes through bipartite consultation and negotiation.
BARGAINING ISSUES Wages and working conditions. Rules and regulations pertaining to work. Incentive payments. Job security. Changes in technology and its impact on
employees. Transfer and promotions. Employee benefits. Recognition of employee unions. Union activities and responsibilities. Management rights.
FACTORS INHIBITING COLLECTIVE BARGAINING IN INDIA
Weak Unions Problems from government Legal problems Attitude of management Employers uncertainty about who is the
recognised bargaining agent Statutory fixation of conditions of work Political interference.