Presentation IR 1

7/31/2019 Presentation IR 1

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INDUSTRIAL RELATIONS

The concept of industrial relations means the

relationship between employees and

management in the day-to-day working of an

industry. But the concept has a wide meaning.

When taken in the wider sense, industrial

relations is a set of functional independence

involving historical, economic, social,psychological, demographic, technological,

occupational, political and legal variables.


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The concept of industrial relations has been

extended to denote the relations of the state withemployers, workers, and their organisations. The

subject therefore includes industrial relations and

joint consultations between employers and work

people at their work place, collective relations

between employers and their organizations and

trade union and part played by the State in

regulating these relations.


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Industrial Relation

IR can be defined as a government regulated

interaction between employer and their representative.

According to Dale Yoder IR is a relationship between

management and employees and their organizations,that characterize and grow out of employment.

According to ILO, IR deal with either the relationships

between the state and the employers and workersorganization or the relation between the occupational

organization themselves.


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WHAT DO EMPLOYER WANT ?

1.Increase market share.

2.Acceptable return on profit.

3.Conduct an efficient organization


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WHAT DO EMPLOYEES WANT ?

1. Earn best possible wage.

2. Secure and satisfying job.

3. To develop a career.4. To be in a satisfying work group.


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Common law duties of employer:

1. To pay the agreed wages.

2. To observe the agreed condition.

3. To provide a safe and healthy workplace.

4. To treat employee reasonable.

5. Not to damage an employee

reputation.


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Common law duties of employees:

1. To obey the lawful instruction of

employer.

2. To use reasonable skill and care inperformance of his or her duty.

3. To keep the employment trade

secret.


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Employer/Management Objective:

1. Organizational growth and

profitability.

2. Improving working efficiency.3. Achieving international

competitiveness.

4. New investment.

5. Encouraging innovation.


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Employee/Union Objective:

1. Improving and maintaining wages

and condition.

2. Job security.3. Training opportunities.

4. Career Progression.5. Participation in decision making.


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FEATURES

1. Industrial relations are mainly the relationsbetween employees and the employer.

2. Industrial relations are the outcome of the

practice of human resource management andemployment relations.

3. These relations emphasis on accommodating

other partys interest, values and needs. Parties

develop skills of adjusting to and cooperating

with each other.


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4. Industrial relations are governed by the system

of rules and regulations concerning work place

and working community.5. The main purpose is to maintain harmonious

relations between employees and employer by

solving their problems though grievanceprocedure and collective bargaining.

6. The government and shapes industrial

relations though industrial relations policies,

rules, agreements, mediation, awards, acts etc.


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7.Trade Union is another important institution in

the industrial relations. Trade union influence

and shape the industrial relations through

collective bargaining.

8. Industrial relations develop the skills and

methods of adjusting to and cooperating witheach other.

9.The Government-involves to shape the

industrial relations through laws, rules,agreements, awards etc.


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10. The important factors of industrial relations

are:

employees and their organizations, employer

and their associations and Government.


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FACTORS OF INDUSTRIAL

RELATIONS

1.Institutional Factors: These factors include

government policy, labour legislations, voluntarycourts, collective agreement, employee courts,

employers federations, social institutions like

community, caste, joint family, creed, system ofbeliefs, attitudes of works, system of power

status etc.


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2. Economic Factors: These factors include

economic organization, like capitalist,

communist mixed etc., the structure of labour

force, demand for supply of labour force etc.

3. Technological Factors: These factors includemechanization, automation, rationalization, and

computerization.


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4. Political Factors: These factors include

political system in the country, political parties

and their ideologies, their growth, mode ofachievement of their policies, involvement in

trade unions etc.

5. Social and Cultural Factors: These factors

include population, religion, customs and

tradition of people, race ethnic groups, cultures

of various groups of people etc.


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6. Governmental Factors: These factors include

Governmental policies like industrial policy,

economic policy, and labour policy, export

policy etc.


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THREE ACTORS OF INDUSTRIAL

RELATIONS

1.Workers and their

Organisations: The total worker plays an

important role in industrial relations. The totalworker includes working age, educational

background, family background, psychological

factors, social background, culture, skills,

attitude towards other workers etc. workers

organizations prominently known as trade unions

play their role more prominently in trade unions.


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The main purpose of trade union is to protect the

workers economic interest through collective

bargaining and by bringing pressure onmanagement through economic and political

tactics. Trade union factors include leadership,

finances, activities etc.


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2.Employers and their

organization: Employer is a crucial factorin industrial relations. He employees the worker,

pays the wages and various allowances, regulates

the working relations through various rules,

regulations and by enforcing labour laws. Heexpects the worker to follow the rules,

regulations and laws. He further expects them to

contribute their resources to the maximum. Thedifference between the demands of worker and

employer results in industrial conflicts. Normally

employers have higher bargaining power than

workers.


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But their bargaining power is undermined when

compared that to trade unions. Employers from

their organizations to equate (or excel) theirbargaining power with that of trade unions.

These organisations protect the interest of the

employer by pressuring the trade unions andgovernment.


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3. Government: Government plays abalancing role as a custodian of the nation.

Governments exerts its influence on industrial

relations through its labour policy, industrial

relations policy, implementing labour laws, the

process of conciliation and adjudication byplaying the role of both employees organisation

and employers organisation.


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OBJECTIVES OF INDUSTRIAL

RELATIONS

1.To promote and develop congenial labour

management relations;

2.To enhance the economic status of the worker

by improving wages, benefits and by helping in

evolving sound budget;

3.To regulate the production by minimizing

industrial conflicts through state control;4.To socialize industries by making the

government as an employer;


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5.To provide an opportunity to the workers to

have a say in the management and decision-

making;6.To improves workers strength with a view to

solve their problems through mutual negotiations

and consultation with the management;7.To encourage and develop trade unions in

order to improve the workers strength;

8.To avoid industrial conflict and their

consequences;

9.To extend and maintain industrial democracy.


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FUNCTIONS OF INDUSTRIAL

RELATIONS

1.Communication is to be established betweenworkers and the management in order to bridge

the traditional gulf between the two.

2.To establish a rapport between managers andthe managed.

3.To ensure creative contribution of trade unions

to avoid industrial conflicts, to safeguard the

interest of the workers on the one hand and the

management on the other hand, to avoid

unhealthy, unethical atmosphere in an industry.


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4.To lay down such considerations which may

promote understanding, creativity and

cooperativeness to raise industrial productivity,to ensure better workers participation.

5.Good labour-management relations depend onemployer and trade unions capacity to deal with

their mutual problems freely, independently and

responsibly.


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6.The trade unions and the employers and their

organisation should be interested in resolving

their problems through collective bargaining and

if necessary with the assistance of proper

government agency.

7.Workers and employers organizations shouldbe desirous of associating with government

agencies taking into considerations with general,

social, public and economic measures affectingemployers and workers relations.


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APPROACHES TO INDUSTRIAL

RELATIONS1.Psychological Approach to IndustrialRelations: According to psychologists, issues of

industrial relations have their origin in the

differences in the perceptions of management,unions and rank and file workers. The perpetual

differences arise due to differences in

personalities, attitudes, etc. Similarly factors likemotivation, leadership, group goals versus

individual goals etc., are responsible for

industrial conflicts.


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2.Sociological Approach to Industrial

Relations: Industry is a social world in

miniature. Organisations are communities ofindividual and groups with differing

personalities, educational and family

backgrounds, emotions, sentiments etc. These

differences in individuals create problems of

conflict and competition among the members of

individual society.


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3. Human Relations Approach to Industrial

Relations: Human resources are made up of

living beings but not machines. They needfreedom of speech, of thought, of expression, of

movement and of control over the timings. This

approach implies that the relationship betweenemployee and employer as between two human

beings. The term human relations include the

relationship during the out of employment

situations.

1 W k h ld k d l f bl


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1.Workers should seek redressal of reasonable

demands through collective action.

2.Trade unions should decide to go on strike

talking ballot authority from all workers and

remain peaceful and use non- violent methods.

3.Workers should avoid strikes to the possible

extent.4.Strikes should be resorted to only as a last

report.

5.Workers should avoid formation of unions inphilanthropical organisation.

Presentation IR 1

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