Industrial Relations Chapter 26. Industrial Relations What does ‘Industrial Relations’ mean?...
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Transcript of Industrial Relations Chapter 26. Industrial Relations What does ‘Industrial Relations’ mean?...
Industrial Relations
Chapter 26
Industrial Relations
What does ‘Industrial Relations’ mean?
Industrial relations refers to the relationship which exists between employers and employees.
It is most important that this relationship is good.
Good Industrial relations Good Industrial Relations ensure that:1. Discussions take place on a continuous
basis2. Disputes over wages, working conditions,
etc can be settled quickly and without a strike taking place.
3. Workers are happier in their work and are more productive
Industrial Relations
Industrial Relations
Bad Industrial Relations Bad Industrial Relations lead to:1. Disputes and strikes2. Loss of pay for employees3. Loss of profits for employers4. Workers looking for new jobs5. High levels of absenteeism and staff
turnover
Industrial Relations
What is a ‘Trade Union’?
Trade Unions are organisations formed by workers to protect the interests of their members.
Industrial Relations
Trade Unions help their members in the following ways:
1. They negotiate with employers for better wages, shorter working hours, longer holidays, safer working conditions, etc.
2. They protect members from unfair dismissal3. They represent members in discussions with
employer organisations and the government, on matters such as taxation, wages, etc.
Trade Unions
Industrial Relations
There are 4 types of Trade Union
1. Craft Unions2. White Collar Unions3. Industrial Unions4. General Unions
Trade Unions
Industrial Relations
1. Craft Unions Members belong to a particular trade and
have served an apprenticeshipeg.: Irish Actors’ Equity Union, Irish Master
Butchers Federation
2. White Collar Unions Members work in professional areas such
as the civil service and teaching.eg.: ASTI Association of Secondary Teachers TUI Teachers’ Union of Ireland
Types of Trade Union
Industrial Relations
3. Industrial Unions Members work in the same industry regardless of
the work they do in that industry. It represents people working at different types of
jobs in nursing, banking, etc.eg.: INO Irish Nurses Organisation, Prison Officers
Association
4. General Unions Members work in all types of industry such as
manufacturing, cleaning, electricians, etc.eg.: Services Industrial Professional and Technical
Union - SIPTU
Types of Trade Union
How is a Trade Union run?
Trade Union members elect certain people (shop steward, general secretary, president) and committees to run the union.
Industrial Relations
What is a ‘Shop Steward’?
This is the local union representative and is elected by members for a term of one to three years.
The main duties of a shop steward include:1. Recruiting new members2. Acting a as a link between members and
union HQ and passing on any information received from head office.
3. Negotiating with the employer on behalf of its members (employees)
Industrial Relations
The Irish Congress of Trade Unions (ICTU) This is a voluntary body made up of member
trade unions. Most trade unions in Ireland are affiliated to the
ICTU.1. It provides one voice for all its members (unions)2. It consults with the government and the
government on all matters of national interesteg.: wages, tax, social welfare3. Gives advice and training to trade unions4. Nominates people to the Labour Court and
Labour Relations Commission.
Industrial Relations
The other party in industrial relations is the employer.
Human resource (personnel) managers represent the employer in all discussions with workers/unions.
Many potential disputes are settled when shop stewards and personnel managers meet
Industrial Relations
Industrial Relations
At national level employers are represented by the Irish Business Employers Confederation (IBEC), the Irish Small and Medium Enterprises Association (ISME), Construction Industry Federation (CIF), etc.
Employers organisations:1. Provide one voice for its members
(employers)2. Represent employers in discussions with the
Government3. Sometimes intervene if one of their members
(an employer) is in dispute with a trade union4. It gives advice to its members
Industrial Relations
What is Collective Bargaining? This takes place between the Social Partnersi.e. the Government, Trade Unions, Employers
Organisations, etc They decide on the increase in the level of wages in
an economy over a period of time. In return for keeping wages increases low, the
government agrees to keep taxes low. Collective bargaining leads to the National Wage
Agreements Theses agreements lead to1. Better industrial relations (less strikes)2. Lower costs, lower prices and increased sales and
employment
Industrial Relations
The following are reasons for ‘Industrial Relations’ disputes:
1. Pay2. Working Conditions3. Unfair Dismissal4. Redundancy5. Demarcation6. Discrimination
Industrial Relations
1. Pay Workers might want higher wages. Workers might want extra pay for extra
work doneeg.: teachers getting paid for supervision
2. Working Conditions Fewer hours of work Safer Work Areaseg.: Insisting on safety netting on
scaffolding
Reasons for an Industrial Dispute
Industrial Relations
3. Unfair Dismissal of Workers Ensuring that employees are fairly
dismissed The Unfair Dismissals Act lays down what
an unfair dismissal is, what is a fair dismissal is, the proper procedure for dismissing workers and the forms of redress workers are entitled to if they’re unfairly dismissed.
Reasons for an Industrial Dispute
Industrial Relations
4. Redundancy Employees are made redundant if there is no
work available for them. Conflict can arise over what employees are laid
off first (Last In First Out [LIFO]) and the redundancy payment that they are entitled to.
5. Demarcation This relates to doing the work one is employed
and qualified to doeg.: an electrician doing the work of a plaster
Reasons for an Industrial Dispute
Industrial Relations
Unions can take 4 different types of ‘Industrial Action’ to back their claims:
1. Work to rule2. Go slow3. Overtime ban4. Sit in5. Strike
Industrial Relations
1. Work to rule Where employees will only do the
exact work they were employed to do
2. Go slow Where employees do their work but
do so as slowly as possible
Industrial Action
Industrial Relations
3. Overtime Ban Where employees refuse to do any
overtime required by their employer
4. Sit-in This is when workers refuse to leave their
place of work Unions are rarely officially involved in a sit-
in
Industrial Action
Industrial Relations
5. Strike Where workers stop working and place a
picket on the employer. If the strike is official it will have the
backing of the union and the ICTU
What is a Picket? This is when workers walk up and down
outside their workplace carrying placards stating that a strike is taking place
Industrial Action
Industrial Relations
Industrial Relations
All disputes should be resolved at the earliest possible stage to ensure that both the employee and employer do not loose out.
A Win-Win solution for both sides should be the aim.
If the written down procedures are followed then strikes should not take place.
Industrial Relations
The following are the 5 steps in the resolution of an industrial dispute:
1. Worker Supervisor2. Shop Steward Manager3. Union Official Head Office/employer4. Conciliation5. Arbitration
1. Worker – Supervisor The worker should firstly discusses the problem
with their supervisor. If there is no agreement then they go on to step 2
2. Shop Steward – Manager The shop steward will then discuss the dispute
with the manager. If there is no agreement we go onto step 3
3. Union Official – Employer A Union Official from head office will discuss the
problem with the employer (who informs IBEC). If there is no agreement then we go onto step 4
Industrial RelationsResolution of Industrial Relations Disputes
Industrial Relations
4. Conciliation An acceptable person or organisation is asked to
help both sides settle their dispute. This is an 3rd party or middle man. They encourage both sides to talk out their
problems and help both sides reach a mutually acceptable, negotiated solution.
They may suggest a way of solving the conflict. They cannot tell the parties involved what to do If there is no agreement we move onto step 5.
Resolution of Industrial Relations Disputes
Industrial Relations
5. Arbitration An acceptable independent person
or organisation is asked by both sides to examine the dispute and to make a decision which both sides gave agreed in advance to accept.
The decision is acted upon.
Resolution of Industrial Relations Disputes
Industrial Relations
The Labour Court This is a court of last resort. It is made up of a representative of employers, a
representative of the unions and an independent chairperson.
The labour Court investigates a dispute. They make recommendations having listened to both sides.
These decisions are not legally binding but both sides are expected to consider them seriously.
Usually both sides agree in advance to accept the recommendations of the labour court. This is called binding arbitration
Resolution of Industrial Relations Disputes