A study-on-industrial-relations

A STUDY ON “INDUSTRIAL RELATIONSHIP”

AT

GTN TEXTILES LTD

INTRODUCTION

THE CONCEPT OF INDUSTRIAL RELATIONS MEANS THE RELATIONSHIP BETWEEN EMPLOYEES AND MANAGEMENT IN

THE DAY-TO-DAY WORKING INDUSTRY. BUT THE CONCEPT HAS A WIDE MEANING. WHEN TAKEN IN THE WIDER SENSE,

INDUSTRIAL RELATIONS IS A “SET OF FUNCTIONAL INTERDEPENDENCE INVOLVING HISTORICAL, ECONOMIC,

SOCIAL, PSYCHOLOGICAL, DEMOGRAPHIC, TECHNOLOGICAL, OCCUPATIONAL, POLITICAL AND LEGAL VARIABLES”.

ACCORDING TO DALE YODER, INDUSTRIAL RELATIONS ARE A “WHOLE FIELD OF RELATIONSHIP THAT EXISTS BECAUSE OF

THE NECESSARY COLLABORATION OF MEN AND WOMEN IN THE EMPLOYMENT PROCESS OF AN INDUSTRY. THE CONCEPT OF

INDUSTRIAL RELATIONS HAS BEEN EXTENDED TO DENOTE THE RELATIONS OF THE STATE WITH EMPLOYERS, WORKERS, AND THEIR ORGANIZATIONS. THE SUBJECT THEREFORE INCLUDES

INDIVIDUAL RELATIONS AND JOINT CONSULTATIONS BETWEEN EMPLOYERS AND WORK PEOPLE AT THEIR WORK PLACE

COLLECTIVE RELATIONS BETWEEN EMPLOYERS AND THEIR ORGANIZATIONS AND TRADE UNIONS AND PART PLAYED BY

THE STATE IN REGULATING THESE RELATIONS.

NEED OF THE STUDY

Any organization to be effectively performed should have sound Industrial

Relations. A sound Industrial Relations comprises..,

1. Congenial relations between employees and employer.

2. Congenial labor management relations

3. Minimized industrial conflicts

4. Highly developed trade unions

5. Contribution to the organizational objectives

With respect to all these requirements an IR has to be maintained. As the

contribution of IR is vast there is a definite need to undertake a study to assess

and to develop the given requirements.

OBJECTIVES OF THE STUDY

1. To find the nature of relationships in and between different organizational

levels.

2. To assess the relationship between Employees, Unions and Employers.

3. To offer suggestions for improvement of industrial relations in G.T.N. Textiles

4. To offer suggestions by assessing the industrial democracy.

5. To promote and develop congenial relations between employees and

employer.

SCOPE OF THE STUDY

1. Relationship among employees, between employees and their superiors or

managers in and between different organizational levels.

2. Collective relations between trade unions and management

Methodology:

1 Any discipline whether small or serious will generally been noticed by the line supervisory. It can be either behavior in discipline or violation of production norms

2 A communication to that effect will be written in the prescribed proforma 3 By the true supervisor where he will narrate the incident of the/nature of the

indiscipline, the worker is indulged, in a send to the head of the department. The head of the department then goes through the complaint and conducts the preliminary enquiry. He writes his comments over the seriousness of the indiscipline and his name is sent to the two general managers. The head of the department will not comment over the proposed action of the punishment.

4 SGMW and SGMT in consideration with the SDGMP, taking into consideration the prevailing situation with regard to the industrial relation, union management relation and the employees (against whom the complaint has made) behavior with his past records, will decide the proposed action against the employer indulged in discipline

Research Design

This study on Industrial Relations has been carried out at GTN Textiles’ manufacturing plant, Medak Unit. A certain sample of workmen and staff has been chosen for the process. The views of staff and workmen have been extracted separately with the help of a pre-devised questionnaire. And in the due

process of the study a detailed analysis has been done on the responses given by them.

Data collection method

The data collected to carry out the study involves two types of data.

1 Primary Data: The primary data has been collected from the employees. This data helps most for the completion of the study by providing full and direct information, which needs some interpretation and analysis, to attain the objectives of the study.

2 Secondary Data: This secondary data has been collected from various sources such as books, journals, magazines and sites. Although the data collected or gathered from these sources neither participate directly in the analysis nor influence the outcomes. This forms a basis for an effective approach in making a report of what has been studied. This data forms a part of the report and facilitates to acquire pre-requisite knowledge regarding the study under consideration.

Data collection tools

1 To collect the above-mentioned primary data, the following tools can serve at its best:

2 Personal Interview: The employees under consideration have been interviewed personally to get the desired responses by asking questions. And those responses were noted.

3 Structural Questionnaire: The questionnaire consists of a set of close-ended questions, which are orderly arranged to extract the best from employees. In this study we make use of the questionnaire, for collecting the responses of workmen level and staff level separately

Research measuring tools

To carry out the above laid research design and to collect data in the prescribed manner, we have to use a tool that facilitates our study. As we cannot take all employees into consideration certain sample of staff and workmen is considered.

1 Sampling: To best suit this study a stratified sampling is undertaken. As per the company’s requirement the following sampling plan is designed.

2 Sampling plan: The employees come to plant in 4-shifts viz., A-shift, B-shift, C-shift and one General shift. . There are 6 departments

3 Sampling size:

The sample size for workmen level is 30

The sample size for staff level is 20

Thus the total sample size is 50

Literature Review

According to the ILO, “ Industrial relations deal with either the relationships

between the State and employers’ and workers’ organization or the relationship

between the occupational organization themselves. The ILO uses the expression

to denote such matters as freedom of association and the protection of the right

to organize, the application of the principles of the right to organize and the

right of collective bargaining, collective agreements, conciliation and arbitration

and machinery for cooperation between the authorities and the occupational

organizations at various levels of economy.”

“The concept of industrial relations has been extended to denote the relations of

the State with employers, workers and their organizations. The subject,

therefore, includes individual relations and joint consultation between

employers and work people at their work place; collective relations between

employers and their organizations and trade unions and the part played by the

State in regulating these relations.”

Thus Industrial Relations may be defined as: “The relations and interactions in

the industry particularly between the labor and the management as a result of

their composite attitudes and approaches in regard to the management of the

affairs of the industry, for the betterment of not only the management and

workers but of the industry and natural economy as a whole.”

Company profile

G.T.N.Textiles is one of the leading and popular spinning mills in India incorporated in 1962. It is creating waves in the textiles sector and a close competitor for Vardhaman and Coats. It is having as larger investor base all over India and listed in BSE and NSE. The Company, GTN textiles, engaged in the Manufacture of cotton yarn, mainly of finer counts was incorporated in, 1962, in Alwaye, Kerala, and at present belongs to the Patodia GTN Group. It has constantly modernized its production facilities. It has vertically integrated manufacturing set-up to product fine and superfine cotton yarns, grey knitted fabrics, gassed fabrics, mercerized fabrics and life style garments in Double Mercerized cotton It has the two subsidiary companies viz. G.T.N Exports Ltd. and Pack worth Udyog Ltd. GTN at present exports 99% of its turnover. It is a major exporter to Hong Kong, Japan, South Korea, Singapore, US and Canada and is also quite dominant in Italy, Germany, and the Netherlands. An American firm that sells them under the famous Cutter & Buck brand- brand that Clinton the golfer wears acquires T-shirts made by it.

Patspin India Ltd., a 100% Export Oriented Unit, has been promoted by the company along with M/s Itochu Corporation, Japan & M/s Kerala State Industrial Development. It has also strong marketing network in various countries to create a brand name.GTN has entered the domestic market as well with its golf and lifestyle.

GTN Textiles Ltd has recorded a six per cent growth in its sales at Rs 243.61 crore realized for the year ended March 31, 2007 compared to Rs 230.01 crore in the previous fiscal.

RECENT DEVELOPMENTS

The company's net profit for the year has almost doubled to Rs 7.08 crore as against Rs 3.63 crore. The board of directors of the company has declared 20 per cent dividend for the year 2006-07. As per the audited financial results of the company, GTN could bring down its interest charge during the year to Rs 14.58 crore from the previous year's Rs 16.43 crore.

The company which has undertaken modernization of its unit at an outlay of Rs 39.78 crore has spent Rs 26.31 crore as on March-end and the modernization is scheduled to be completed by December 2007. Patspin India Ltd net up Patspin India Ltd, the 100 per cent export oriented unit from the GTN staple, has recorded Rs 8.60 crore net profit for the year ended March 31, 2007 as against Rs 5.98 crore in the previous year. Its sale income from operation for the year stood at Rs 100.57 crore compared to previous year's sale of Rs 108.28 crore. The board of directors has declared a 9 per cent dividend for shareholders for the year.

GTN Textiles Ltd has reported 13 per cent drop in its operative income for the quarter ended aprial 30, 2007 compared to its net sales realized for the corresponding period in the previous year. Its net income fell to Rs 45.45 crore against Rs 52.47 crore.

The company's net profit for the quarter went down by 58 per cent at Rs 67 lakh against Rs 1.58 crore. The profit margin as a percentage to net sale income during the period too was sliced almost by half at 1.47 per cent against three per cent in the previous year.

GTN's stock-in-trade during the quarter went up to Rs 12.54 crore from previous year's Rs 5.99 crore. Its raw material cost too was higher this time, from Rs 27.32 crore last year to Rs 29.14 crore. Patspin India Ltd: Despite showing a 12 per cent increase in its net sale income for the quarter ended aprial 30, 2007, Patspin India's net profit fell to Rs 1.47 crore for the quarter compared to Rs 1.92 crore for the corresponding period in the previous fiscal. Its total sale was higher at Rs 26.32 crore (Rs 23.34 crore). As against this, the total

expenditure incurred during the period was higher at Rs 21.41 crore (Rs 17.73 crore). TWO promoters of GTN Textiles Ltd (GTL), a Kerala-based Rs 231-crore yarn manufacturer, have been gifted over one lakh equity shares each by another promoter of the company.

The GTL Vice-Chairman and Managing Director, Mr. Binod Kumar Patodia, was gifted 1,07,440 equity shares and the GTL Managing Director, Mr. Mahendra Kumar Patodia another 1,07,440 equity shares by their mother, Ms Deoki Devi Patodia.

The shares gifted by Ms Patodia are currently categorized under the promoter's holding. Hence, according to the company officials, the total promoter's shareholding in the company would remain unchanged in the post-gift scenario. As on December 31, 2006, Mr. Binod Patodia holds on his individual capacity of 3,45,630 shares, which rose to 4,53,070 by January 31, 2007. Under the HUF category, he held 5, 79,440 shares as on December 31, 2006, which remained unchanged. In the case of Mr. Mahendra Patodia, he held in his individual capacity 6,34,842 shares as on December 31, 2006, which rose to 7,42,282 shares by January 31, 2007.

Awards of the Company

Mill Exporter Yarn Gold Trophy Texprocil 1998-99 GTN Textiles Ltd

TEXPROCIL award winner 2001-02

GTN Textiles - Manufacturer-Exporter - Yarn, Gold Award

TEXPROCIL award winner 2002-03

GTN Textiles - Manufacturer-Exporter - Yarn, Gold Award

Future Plans

It also plans to step into compact spun yarn and enhance its marketing infrastructure as Compact spinning which is the latest spinning technology in the world, produces yams of high quality, which will further diversify the product mix of the Company. Expecting tough competition in the near future due to the opening up of world markets, the company has decided to lay more emphasis on product/market development, value-added yarns, customer services and technology up gradation. Company is of the view that, with focused efforts on technological advancements, product diversification, strategic marketing, cost control measures across the units and debt revamping will help in maintaining the bottom line and along with this , the new markets will help the company to maintain its leadership in medium, fine and super fine segments.

GROUP PROFILE

“THE MARKET PLACE IS THE DRIVING FORCE BEHIND EVERYTHING GTN DOES”

GTN group, an organization with over five decades of ceaseless efforts to select the best natural cotton fiber from the world markets and convert it into value added products such as high end fine count gray yarns, gassed yarns, mercerized and dyed yarns, knitted and woven fabrics and double mercerized garments at the consumer end of the markets.

Vertically integrated manufacturing set-up to produce fine and superfine cotton yarns, grey knitted fabrics, mercerized fabrics, gassed fabrics and life style garments in double mercerized cotton offers a unique one stop shop to those looking for an operationally strong and reliable source.

EXPORT PERFORMANCE

From the multi-location facilities in India, with an aggregate of 1,63,000 spindles, GTN has achieved performances which have been widely recognized in the market place:

Leading exporters of fine and superfine cotton yarns.

Winner of the “best exporter award from government of India continuously 8 years.”

Group annual exports exceeds 3 billion Indian rupees (us $ 66 million)

PRODUCT RANGE

Cotton yarns – count group NE20s to NE140s. Two for one twisted – knitting and weaving yarns. Gassed mercerized, mercerized dyed, Moulin, gray knitted and gassed

fabrics Double mercerized garments.

PORTFOLIO MIGRATION AND CORE COMPETENCE

From fibers to fashion the range of competencies in GTN group is simply long, linear and vast, be it spinning or mercerizing, knitting or weaving, designing or confection. Portfolio migration determined by core competence makes GTN an extraordinarily focused company and a reliable business partner to those, when time is of essence, quality is a passion, class and comfort a way of life.

QUALITY ASSURANCE

The focus of the quality policy of GTN group has been to provide products at a price and service advantage through direct response mechanism .in order to sustain the investments in the key technology areas concerning our business, at GTN we have made significant investments in the testing and quality assurance equipment from the best in the world in each of our production bases and also ensured a company-wide standardization discipline through implementation of ISO9002 norms. These are reinforced periodically through personal interactions between our field representatives and consumers of our products.

QUALITY POLICY

Highest level of customer satisfaction by meeting stated and perceived requirement maintaining consistency and timely delivery.

Continual up gradation of product quality and technology supported by R&D efforts in cost-effective manner.

To meet changing global demand for specialized yarns.

Motivating personnel for ensuring quality awareness at all levels.

Ensuring better quality life by its commitment to social and environmental needs.

QUALITY OBJECTIVES

ENSURE highest level of customer satisfaction through Understanding the customer related requirements fully, measured by the

no. of amendments to work-order. Complying with these consistently Ensuring timely delivery. Presently this is near 100% ENSURE continual up gradation of product quality, both to meet the

customer’s requirements and excel in business, as an ongoing process, through adoption of latest techniques/developments relevant to the industry consistent with the cost. This process pervades through the entire spectrum of organization activity.

AFFIRM persons who are aware, competent and trained to do the job undertake all activities pertaining to quality of product/services.

AFFIRM the activities/services

Industrial relations andTrade union movements GTN textiles (Medak unit).

The spinning mill was established in the year 1984 with a work force of 400 of these 300 were working in worker category and the remaining were staff. Textile industry was very new to this area and the skilled workers were not available. The management brought some experienced workers from some parts of Tamilnadu and Kerala. Since all this out source workers had already exposed to the trade unionism and did not take much time to get unionized. A full-fledged trade union emerged consequently in the year 1986. Initially two groups were formed and had affiliation to Indian national trade union Congress and Bharath masdoor sung. Management had a joint understanding with both the groups, with regard to work load norms, wages and other service conditions. This agreement was also registered as tripartite settlement with the government under Sub section 12 (3) of the section of industrial disputes out 1947

Things were fairly peaceful for 3years some of the workmen started showing allegiance towards communist groups. The atmosphere among the workmen began to pollute with 3 different Ideologies of 3 distinguished groups. Each group tried to dominate the others to show its Supremacy. In the process however, there was no much disturbance to the work in the establishment but there had been lot of fighting among the workmen. The communist group succeeded to establish their majority and could gain the ground as the recognized and majority union. This was affiliated to IFTU, a service organization of the extremists.

The leaders are from local area and the supporting workers were mostly from outside the state. Leaders slowly tried to inculcate militants in the trade unions as it was their primary objective .It was in the month of October 1988 and it was the time for the demand for bonus for the year 1987-1988.The union though, are not entitled for bonus as per the payment of bonus Act 1965, that to at 20%. The management expressed the inability, in the lite of the company not registering any profit during the set accounting year.

The union existing for the same, and began to non co-operate with the management in production in shop floor. The management how ever considers the payment of some amount as exgressia in place of bonus, not satisfied by the offer.

The union stood on their demand for 20% of bonus. The leaders instigated the workmen to intensify their non co-operation by giving false information about the companies profits and quoting another companies profits.

The workmen entertain very high hopes about their owners and blindly followed the instructions of the leaders. The situation began to worsen day by day, and the management has to face various problem in production and the quality of the product, in this situation are kept for 5 months and the union send a strike notice in the month of march 1989.The strike was band, though the strike was prohibited by the government in the textile industry, being a public utility concern with all the jubilance and high spirits, ignited by the union leader. The workmen suddenly resorted to strike on 10 April 1989. Slogans, derogatory remarks on the executive threatening, abusing have ruled the day every day. The management efforts to make the workmen understand the actual situation, their notices, their counseling and various other methods did not change the attitude of the workmen. They use to come into the establishment and mark attendance, sit in the shop floor and indulging in singing, dancing, gambling and playing dice, all through in the shop floor. The matter were refer to labour department, a series of conciliation meeting were held for four months April, May, June, July and yet their was no positive result, and the strike was continuing unabated enough damage was done and it was also doubted by the management that the company could no longer with stand such heavy losses.

However the management kept alive the dialogue with the union leader for the labour department.

The management having exhausted with all the alternatives self justified in declaring lock out of the establishment. Since all the workmen were sitting idle inside all seven days a week, it was not possible to forcibly evaluate them to declare the lock out. The management had to wait till the public holiday and accordingly declared the lock out on 15 August 1989.

This action by the management created confusion among the workmen. The workmen began to realize the gravity of the situation and discussed among themselves to rectify the situation for their own survival. As a result their came a vertical split among the voters the locals with in the state tried to unite and

leave the communists and show their allegiance to the local INTUC leaders. The workmen belonging to other states continued to repose their confidence in communists. The differences between these two separated them from each other, this lead to physical attachment between these two and in the process some of the INTUC workers were seriously injured. The senior leadership of INTUC from the state interfered and tried to solve the problem.

The management invited this Faction of the union and came to an understanding to lift the lock out. Lock out was lifted on 22 October 1989. The communist group agreed by this, tried to indulge in physical assaults on the loyal workmen of INTUC in the establishment. Many of the IFTU workmen were absent fearing in the revenge by the INTUC group. The establishment was slowly coming back to normal position. The IFTU leaders and the workmen, who have been continuously absenting for duties, hatched a plan to attack the INTUC workers to create a panic among them and to create terror among the workers. As per their master plan, attacked the INTUC worker in the establishment while they were on duty on 28 February 1990 in the midnight. They carried with them sticks, daggers, iron rods etc., the worker were suddenly attacked inside the factory and killed 5 of them and seriously injured 50 other workmen. The management and the worker both under stunned and though for a while that was the end of it. The management took care of all injured admitting them in hospitals and pay due compensation to the braved families of 5 deceased workmen. Many of their workers ran off from the company out of fear, The work came to stand still but only 40 workers were present out of 350. The workers who lives of the adjacent village only remained, the management did not loose faith on the Loyal workmen and tried to re-establish its part glory.

The company came under protection of 50 odd policemen. The district SP personally gave the assurance of safety under police custody to all workmen. The workmen responded positively and co-operated with the management. The management started recruiting fresh workmen and the company re-opened on 12 March 1990. The establishment gained strength day by day, and in the month of September started working at full capacity. The could able to export 100% of its goods to the developed countries. The rebuilding of confidence, spirit and faith, though took 6 months was amazing.

The company during these 6 months grown from 0-100. The media all over the country covered the whole episode created history in the surroundings and that ghastly incident of February 29 1990. Every thing ended with a good, not to be in a fairy tale

“They lived happily ever after”.

Disciplinary procedure

Disciplinary procedure in GTN textiles ltd is followed as per, a set of norms with in the preview of labour laws. We have to first compliment the management of GTN textiles ltd for maintaining absolute among its employees by sparingly using punitive methods. The discipline here is very strongly guarded both by the management and workmen during last 15 years. This is also evident by the survey we conducted at random among the employees.

Now we briefly discuss about the disciplinary procedure being followed in

GTN.

MANAGEMANT ACTION

Minor misconduct :

Minor misconduct will be given a show cause notice to the employee asking for explanation written in 48 hours.

If his explanation is satisfied he will be given a warning or suspended for three days. In some cases his increments will be withheld for three years, demote to the next lower.

Major misconduct :

On the issuing an employee a charge sheet he would be suspended to the other proceedings. An outside professional will be appointed as the enquiry officers and the enquiry will conducted in to the changes delinquent employees and if the misconduct is established appropriate disciplinary actions will be taken against him. As the management deems fit as the proper circumstances, proper

in particular care, punishment may range from service under normal circumstances. The dismissed employee will not re-consider as the employee, if at all management consider to reinitiate back of humanitarian or sympathetic grounds. They may do so offering him a fresh temporary employment, keeping in an observation for six months and without continuity of his fast service. All the above actions by the management punishment with regards to punish for their misconduct subject to relevant provision laid under labour acts.

GRIEVANCE PROCEDURE:

Grievances for the employees in GTN textiles are considerably low therefore the grievance re-dressel system does not follow any specific set of terms and conditions the management believes in preventions than cure, for example there is not even one grievance from any the employee. With regard to the payment, fulfillment of statutory benefits on behalf of employees. Payments of loans and the advances at least during last 15 years. The employees have easy access to top management and since the management and workmen has good relation. Grievances if any are being sorted out without any elaborate re-dressal systems.

INDUSTRIAL RELATIONS

INTRODUCTION

The concept of Industrial Relations means the relationship between employees and management in the day-to-day working industry. But the concept has a wide meaning. When taken in the wider sense, Industrial Relations is a “set of functional interdependence involving historical, economic, social, psychological, demographic, technological, occupational, political and legal variables”.

According to Dale Yoder, Industrial Relations are a “whole field of relationship that exists because of the necessary collaboration of men and women in the employment process of an industry. The concept of industrial relations has been extended to denote the relations of the state with employers, workers, and their organizations. The subject therefore includes individual relations and joint consultations between employers and work people at their work place collective relations between employers and their organizations and trade unions and part played by the state in regulating these relations.

Three Actors of Industrial Relations

According to John T. Dunlop three major participants or actors of industrial relations viz., workers and their organizations, management and Government are identified.

Workers and their organizations

The total worker plays an important role in industrial relations. The total worker includes working age, educational background, family background, psychological factors, culture, skills etc., Worker’s organizations prominently known as trade unions play their role more to protect the workers’ economic interest through collective bargaining and by bringing pressure on management through economic and political tactics.Employers and their organizations

Employer is a crucial factor in industrial relations. He employs the worker, pays the wages and various allowances, and regulates the working relations through various rules, regulations and by enforcing labour laws. Employers form their organizations to equate or excel their bargaining power with that of trade unions. These organizations protect the interest of the employer by pressuring the trade unions and government.

Government

Government plays a balancing role as custodian of the nation. Government exerts its influence on industrial relations through its labour policy, industrial relations policy, implementing labour laws, the process of conciliation an adjudication by playing the role of a mediator etc.,

Principles of Sound Industrial Relations

Maintenance of sound industrial relations is as crucial and difficult as that of

human relations. Hence, the following principles should be followed to maintain

sound industrial relations:

Recognition of the dignity of the individual and of his right to personal freedom and equality of opportunity.

Mutual respect, confidence, understanding, goodwill, and acceptance of responsibility on the part of the both employer, management and workers and their representatives in the exercises of the rights and duties in the operation of the industry.

Similarly, there has to be an understanding between the various organizations of employers and employees who represent the management and workers.

Functional requirements for Sound Industrial Relations

Top management support: Since industrial relations is a functional staff service, it must derive authority from the line organization. This is accomplished by having the industrial relations director report to the top line authority- the president, chairman or vice-president. Besides, top management must also set an example for others.

Sound Personnel Policies: They constitute a business philosophy for the guidance of the human relations’ decisions of the enterprise. The purpose of such policies is to decide ahead of emergency and what shall be done with a large number of problems that may arise daily. Policy can be successful only when it is followed at all levels from top to bottom.

Adequate practices: Adequate practices should have been developed by professional in the field to assist the policies of the units. A system of procedures is necessary to translate intention into action. The procedure and practices of industrial relations are the “tools of management” which keep the supervisor ahead of his job; the work of time-keeping, rate adjustments, grievance reporting a merit rating.

Detailed supervisory training: To carry out the policies and practices by the industrial relations staff the job supervisors must be trained in detail, and the significance of the policies must be communicated to the employees. They must be trained in leadership and communication.

Follow-up of results:

Constant review of the industrial relations programme is necessary not only to evaluate existing practices but also as a check on certain undesirable tendencies. Follow-up of turnover, absenteeism departmental morale, grievances, employee suggestions, wage administration, etc., must be supplemented with continuous research to make certain that the policies pursued are those best fitted to company needs and employee wishes.

It has been realized in Vedas that one of the important factors necessary for happiness in a group or community is good mutual relations. The industrial relations machinery during the Vedic times consisted of madhyamasi (mediator), a man of position and influence in the society. People in the rural community were able to solve and settle disputes by themselves. The village

officials attended to and solved the local problems. They were invested with judicial as well as executive authority.

This system prevailed under the Hindu government. The unions were not only the assemblies of the employees but they were also the institutions for maintaining cordial relations between employers and employees.

Every effort was made to improve the mutual relations between capital and labor. The Law givers (like Sukra) have warned the employers that employees become their enemies, in case they use harsh words, inflict heavy punishment, cut their wages, and treat them dishonorably. The employees who were treated with respect or kept content with their wages, and addressed with sweet words never leave the employer. In the Epics also, the employees were treated with respect, given some gifts and sweetly addressed.

To maintain good relations between employees and employers emphasis has been laid on good treatment of employees and to condone their minor faults. The lawgivers are unanimous in holding that disputes cannot end by continuing them; but they should be settled by peaceful means. They have advised that no employee should remain discontented because a disgruntled employee encourages other employees to create industrial unrest. Therefore, in their opinion, no such work or action should be undertaken if the employees show opposition.

Not only during the Vedic times but also even today in the modern industrial system cordial relations between the employees and employers play a crucial role to build a strong industrial work setting.

Hence, maintenance of good human relationship is the main theme of industrial relations, because in its absence the whole edifice of organizational structure may crumble down.

Definition and concept of Industrial Relations

The term ‘Industrial Relations’ comprises ‘Industry’ and ‘relations’. Industry means “any productive activity in which an individual is engaged”, and relations means “ the relations that exist in the industry between the employer and his workmen.” Observers like Dr. Kapoor say, “ Industrial Relations is a developing and dynamic concept and as such no more limits itself merely to the

complex of relations between the unions and management but also refers to the general web of relationships normally obtaining between employees- a web much more complex than the simple concept of labor capital conflict.”

Different authors have defined industrial relations in somewhat different way. Below are given some oft-quoted definitions:

FUNCTIONS OF INDUSTRIAL RELATIONS

Communication is to be established between workers and the management in order to bridge the traditional gulf between the two.

To establish a rapport between managers and the managed. To ensure creative contribution of trade unions to avoid industrial

conflicts, to safeguard the interests of workers on the one hand and the management on the other hand, to avoid unhealthy, unethical atmosphere in an industry.

To lay down such considerations which may promote understanding, creativity and co-operative ness to raise industrial productivity, to ensure better workers’ participation

Characteristics of Industrial Relations

Industrial Relations are outcome of employment relationship in an industrial enterprise.

Industrial Relations develop the skills and methods of adjusting to a cooperating with each other.

Industrial relations system creates complex rules and regulations to maintain harmonious relations

The government-involves to shape the industrial relations through laws, rules, agreements, awards etc.,

The important factors of industrial relations are: employees and their organizations, employer and their associations and government.

Importance of Industrial Relations:

‘Industrial Relations’ constitute one of the most delicate and complex problems of modern industrial society. Industrial relations has become one of the vital aspects in today’s industrial system as the times have always been changing bringing a lot of change in working and living conditions of people. Keeping pace with changing trends and tough competition with the world outside has become the key factor. Many changes have occurred in just a few decades with the advent of Industrial Revolution. The need for a more sophisticated industrial system should be devised keeping employee and his needs in mind. The importance of employee relations can be appreciated by observing the following aspects/changes:

With growing prosperity and rising wages, workers have gained better living conditions, polished education, sophistication and generally greater mobility.

Career patterns have changed as growing proportions have been compelled to leave the farms and become wage and salary earners under trying factory conditions.

Large number of men, women and children dwelling in urban areas under mass ignorance are drenched in poverty possessing diverse conflicting ideologies. The working organizations in which they are employed have become larger and shifted from individual to corporate ownership.

There also exist status-dominated, secondary group-oriented, universalistic and aspirant-sophisticated class in the urban areas.

Employees have their unions and employers their bargaining associations to give a tough fight to each other and establish their powers.

The government has played a growing role in industrial relations, in part by becoming the employer for millions of workers and in part by regulating working conditions in private employment.

Rapid changes have taken place in the techniques and methods of production. Technological advances have eliminated long established jobs and have created opportunities that require different patterns of experience and education.

Non-fulfillment of many demands of the workers has brought industrial unrest. They are the points of flexion and the base of industrial edifice.

All these changes have made employment relationship more complex. Hence, a clear understanding about these is as interesting as it is a revealing experience. The creation and maintenance of good relations between the workers and the management is the very basis on which the development of an Industrial Democracy depends. It in turn seeks to gain cooperation of the two partners in industry in the field of production and promotes industrial peace.

The healthy and orderly industrial relations in an enterprise generate attitudes that procreate progress and stabilize democratic institutions. ‘Stable industrial relations’ means a situation when requirements of management and the work force are discussed between them in a spirit of mutual trust and confidence and without causing friction. For example, the management would like to develop stable relation with a view to getting a disciplined and conscientious workforce for more work. This would reduce supervisory and administrative work as also enable better planning for future production and expansion. The workforce, on the other hand, expects liberal thinking by management and a more human approach to its need by giving stable relations. Stable relationship is, therefore, means to an end and not an end in itself. The unions are also involved in industrial relations. Through stability they obtain for the work force more benefits. The Government would like stable relations to prevail both for better production and for easier law and order.

1 DATA ANALYSIS AND INTERPRETATION

The following are the analysis, interpretation and graphical representations of the responses collected from the workmen. The inferences are drawn from these graphs as under:

1. Employees’ opinion on the overall industrial relations:

TABULAR FORM:

GRAPHICAL REPRESENTATION:

INFERENCE:

1. As can be seen in the graph, around 47% of workers are of the opinion that the overall industrial relations is good in theestablishment, while 43% of them feel that it’s fair whereas 10% of them suggest that it should be improved.

2. In case of staff, 95% of them are of the opinion that the industrial relations is good at the establishment, while 5% of them feel that it is fair.

3. On the whole majority of the employees at the establishment are satisfied with the industrial relations.

PARAMETERS WORKERS OPINION STAFF OPINION

GOOD 47% 95%

FAIR 43% 5%

TO BE IMPROVED 10% 0%

2. Employees have free access to the top management:

TABULAR FORM:


AGREE 77% 90%

DISAGREE 23% 10%


INFERENCE:

1. Around 77% of the employees’ agree that they have free access to the management, whereas 23% of them feel they don’t have.

2. Regarding the staff level, 90% of them are satisfied with it whereas 10% of them are dissatisfied.

3. On the whole majority of them are happy with their free access to the management.

3. The top management listens to the employees patiently:

TABULAR FORM:


AGREE 97% 100%

DISAGREE 3% 0%


INFERENCE:

1. From the above graph it has been identified that 97% of the workers agreed that the top management listens to them patiently, 3% of the workers disagree.

2. From the above graph it has been identified that 100% of the staff agreed that the top management listens to them patiently.

4. The management has faith in the employees as one of the main resources:

TABULAR FORM:


INFERENCE:

1 From the above graph it has been identified that 100% of the workers agreed the management has faith in the workers as they are one of the main resources to the company.

2 From the above graph it has been identified that 95% of the workers agreed that management has faith in the staff as they are one of the main resources to the company and 5% of the staff disagreed

4. The management has faith in the employees as one of the main resources:


AGREE 100% 95%

DISAGREE 0% 5%

TABULAR FORM:


AGREE 100% 95%

DISAGREE 0% 5%


INFERENCE:

From the above graph it has been identified that 100% of the workers agreed the management has faith in the workers as they are one of the main resources to the company.

From the above graph it has been identified that 95% of the workers agreed that management has faith in the staff as they are one of the main resources to the company and 5% of the staff disagreed

5. Whether the employees have confidence in the top management to run the industry efficiently:

TABULAR FORM:


AGREE 90% 100%

DISAGREE 0% 0%

CAN’T SAY 10% 0%

GRAPHICALREPRESENTATION:

INFERENCE

From the above graph it has been identified that 90% of the workers agreed that they have confidence in top management that they are capable to run the company efficiently and 10% of the wokers can’t say any thing

From the above graph it has been identified that 100% of the staff agreed that they have confidence in top management that they are capable to run the company efficiently.

6. Management always expects more from the employees:

TABULAR FORM:


AGREE 70% 81%

DISAGREE 30% 19%


INFERENCE:

From the above graph it has been identified that 70% of the workers agreed that management expects more from them and 30% of the workers disagreed.

From the above graph it has been identified that 81% of the staff agreed that management expects more from them and 19% of the staff disagreed.

7.The employees always expect more benefits from the management:

TABULAR FORM:


AGREE 80% 81%

DISAGREE 20% 19%


INFERENCE:

From the above graph it has been identified that 80% of the workers agreed that

they expect more from management and 20% of the workers disagreed.

From the above graph it has been identified that 81% of the staff agreed that they expect more from management and19% of the staff disagreed.

8.The management is satisfied with the employees’ performance:

TABULAR FORM:


AGREE 97% 100%

DISAGREE 3% 0%


INFERENCE:

From the above graph it has been identified that 97% of the workers agreed that management is satisfied with their performance and 3% of the workers disagreed.

From the above graph it has been identified that 100% of the workers agreed that management is satisfied with their performance.

Employees’ are satisfied with managements’ offers:

TABULAR FORM:


AGREE 60% 77%

DISAGREE 40% 23%


INFERENCE:

From the above graph it has been identified that 60% of the workers agreed that they are satisfied with the man agement ofers and 40% of the workers are not satisfied.

From the above graph it has been identified that 77% of the staff agreed that athey are satisfied with the management offers and 23% of the staff are not satisfied.

10.There is serious conflict between management and employees

w.r.t. wages/salaries:

TABULAR FORM:


AGREE 33% 23%

DISAGREE 67% 77%


INFERENCE:

From the above graph it has been identified that 33% of the workers agreed that management is satisfied with their performance and 67% of the workers disagreed.

From the above graph it has been identified that 23% of the staff agreed that there is conflict between them and management with respect to wages/salaries and 77% of the staff disagreed.

11. Canteen, recreation, transport, accommodation are:

TABULAR FORM:


AGREE 10% 62%

DISAGREE 80% 29%

CAN’T SAY 10% 9%


INFERENCE

From the above graph it has been identified that 10% of the workers, 80% of the workers and 10% of the canteen, recreation, transport, accommodation’s facilities are good fair and not ok respectively.

From the above graph it has been identified the 62% of the staff, 29% of the staff and 9% of the staff opine that canteen, recreation, transport accommodation’s facilities are good fair and not ok respective

12. Indiscipline among the employees:

TABULAR FORM:


MORE 0% 0%

TO A LITTLE

EXTENT

14% 19%

NORMAL 50% 48%

ABSENT 36% 33%


INFERENCE:

From the above graph it has been identified that 14% of the workers, 50% of the workers and 36% of the workers opinion that the indiscipline among the emploees are” to a little extrent”, normal and absent respectively.

From the above graph it has been identified that 19% of the staff, 48% of the staff and 33% of the staf opinion that the indiscipline among the employees are to a little extent, normal and absent respectively.

13. Punishments for indiscipline are:

TABULAR FORM:


HARSH 3% 0%

INPROPORTIONATE 44% 14%

FAIR 50% 52%

MEDIUM 3% 34%


INFERENCE:

From the above graph it has been identified that 3% of the workers, 44% of the workers 50% of the workers and 3% of the workers opinion that punishments for the indisciplines are harsh, inproortionate, fair and medium respectively.

From the above graph it has been identified that 14% of the staff, 52% of the staff and 34% of the staff opinion that punishments for the indisciplines are harsh, inproortionate, fair and medium respectively.

14. Do you like your children working in this industry if they are

employed:

TABULAR FORM:


YES 10% 48%

NO 84% 52%

CAN’T SAY 6% 0%


INFERENCE:

From the above graph it has been identified that 10% of the workers opinion that they like their children getting emnployed in their organization, 84% of the workers are not interested and 6% of the workers can’t say.

From the above graph it has been identified that 48% of the workers opinion that they like their children getting employed in their organization, 52% of the workers are not interested.

15.INDUSTRIAL PEACE, MORE THAN THE EXISTING ONE CAN BE

ACHIEVED THROUGH:

TABULAR FORM:


INCREASING FACILITIES

AND AMENITIES

26% 33%

INCREASING WAGES AND

OTHER MONETARY

BENEFITS

64% 33%

THROUGH CONSCELING

INDIVIDUAL WORKMEN

10% 29%

CAN’T SAY 0% 5%


INFERENCE:

From the above graph it has been identified that 26% of the workers opinion that industrial peace more than the existing one can be achieved through increasing facilities and amenities, 64% of the workers opinion that insustrial peace more than the existing one can be achieved through increasing wages and other monetary benefits and 10% of the workers opinion that industrial peace more than the existing one can be achievced through counseling individual workmen.

From the above graph it has been identified that 33% of the staff opinion that industriual peace more than the existing one can be achieved through increasifng facilities and amenities, 33% of the staff opinion that industrial peace more than the existing one can be achieved through increasing wages and other monetrary benefits, 29% of the staf opinion that industrial peace more than the existing one can be achieved through counseling individual workmen and 5% of the staff can’t say.

F I N D I N G S R E G A R D I N G W O R K M E N L E V E L

1. The communication aspect in workers regarding work is only above average and time

taken for that is around 5min, but communication casually is having major position. The

employees are freely communicating with each others.

2. The relationship among the employees is very strong as they are very helpful to each

other at any circumstances.

3. The majority of employees are having many close-aides to them

4. Most of the employees likes to communicates with others.

5. Moderate number of employees are having very few family friends

6. Employees most of them get in touch regularly.

7. Majorities of the employees borrow & lend money from very few others and there is

hardly any such situation where their relationship has been broken.

8. All these factors stress only one point, that the employees are having good relationships

among then with respect to each shift.

9. Almost all Employees are feels satisfies with the encouragement and behaviour of their

respective supervisors, and also close to each other.

10. The majority of employees communicate with staff members also.

11. But the relationship is not extended to closeness; rather they just make aware of each

other, due to this there is no aspect of disliking as such.

12. As a result, the majority employees expressed an average feeling regarding staff

members

13. All the above factors states that the relationship is weak between the staff & workers.

14. All most all the employees states of having good relationship between management &

union.

15. The union is working in the interests of all the employees & they often attend the union

meetings

16. The union leader also helps personally as well as with respect to work to all the

employees.

17. All the above stated facts connotes that, the relationship between trade union and

workers and as well as management.

18. Majority of the employs are feeling satisfied with respect to H.R. Manager.

F I N D I N G S R E G A R D I N G S T A F F L E V E L

1. The communication in staff level is high as they are communicating at an average of 10m

regarding work, whereas it was a bit decreased in case of casual communication.

2. The staff also helpful & close to each other, and having many close-aides to them

3. In the staff there exists, although not majority, a matter of disliking to talk with very few

of their colleagues.

4. Some of them are also having few family friends, and they are maintaining few regular

contacts

5. The inter relationship among the staff members is also good.

6. Staff members also satisfied with the behaviour and encouragement of their superiors.

7. The superior’s closeness with staff is having equal majority for normal as well as close.

8. The superiors are having a satisfactory feeling from their respective sub-ordinates.

9. The superiors are also moving closely with their respective sub-ordinates as they

involve in informal conversation with then more often.

10. The sub-ordinates also having close contacts with their respective superior.

11. The above factors states that the superior-subordinate relationship is very good,

12. Majority of the staff is not interested in the way the worker’s unions organize

themselves.

13. Some of the staff are getting problems with the union and they are facing those

problems often.

14. The relationship between the staff and workers is not looking anywhere favorable.

15. All the staff members are feeling satisfactory towards H.R. Manager

Conclusion

It has been increasingly realized that the industrial system has brought about a

number of complexities which have rendered the management of people in an organization

more difficult and complicated than man power management in earlier and simpler societies

because free, mobile men and women in modern societies whose complex and ever changing

problems for their managers and employers. Therefore, today’s industrial societies have

developed a distinct system of management based upon the experience of over 300 years.

Modern industrial relations represent a blending of older systems with innovation

introduced as society has changed through the ages. Some features of early system even now

persist, while other features are the result of industrial revolution and, therefore, represent

sharp breaks with traditional, creating challenging problems for the management for many of

them may be opposed by the workers.

The employment relationships are not static but dynamic. The most

important characteristic is the persistence of change. Technological advances eliminate

long established jobs and create opportunities that require sharply different patterns of

experience and education. Higher living standards encourage demands for new

products and services. Economic prosperity permits great economic security, and public

regulation makes the assurance of that security a problem for managers. All of these

changes have made the present system of employment relationships very complex.

Collaboration and cooperation is very necessary to achieve the designated objectives.

Understanding of human behavior is, therefore, very necessary on the part of those

responsible for managing manpower resources.

SUGGESTIONS & RECOMMENDATIONS

1. The communication among the workers as well as staff members is going on well but it

doesn’t means to be consistent. Measures should be taken to strike the right aspect

pertaining to them to communicate consistently.

2. The communication within the each section and department of workers and staff

respectively is fine, but when comes to the matter of different sections, shifts and

departments, it is not at all having even basics also. It is an essential to have

interdepartmental relations, so adequate measures, which cater to the needs of

employees and staff, should be employed.

3. The response regarding the relationship between workers- supervisors creates a feeling

that there is an congenial work environment. But these responses may be biased as the

employee fear of superiority. This environment should be maintained to protect the

interest of employees.

4. The workers – staff members relation is a bit drowsy, mutual co-operations in the work

environment should be entertained to develop a sense of belonging ness.

5. The workers-union relationship is dominating, such that, all the interests of the workers

are effectively protected by the union. The union’s formidable requests should be

granted to maintain these type of relations

6. The union-management relationship is going nicely till times. This is the most delicate

relationship, where the progress of the company lies on, and this relationship have

constant whistle such that any undesirable effects won’t occur.

7. The industrial relations in G.T.N Textiles are not in bad situation, as well as not in a good

situation. These relations can change overnight which may cause adverse affects, so

adequate earlier measures should be undertaken to strengthen the existing

relationships.

8. The company should be preplanned in those aspects, which are having more probability

to happen.

9. The staff-union relationship is sending alarming signals, which should be considered at

earliest to face the resultant effects.

10. The staff members are not close up-to-the mark, especially in I.T department, which lack

of perfect co-operation between them.

11. Prominent strategies have to be adopted to provide an congenial environment

respective to relations specified above, and the existing good relations are to be

improved to meet the changing requirements, which will result in an perfect Industrial

Relations and motivate us to perform our business uninterruptedly but with anease

“INDUSTRIAL RELATIONS”

A SURVEY IN GTN TEXTILES

1. How are the industrial relations in the company?

Good

Fair

To be improved

2. Do you have free access to the top management?

Yes

No

3. Does the top management listen to you with patience?

Yes

No

4. Does the management have faith in the employees as one of the main resources?

Yes

No

5. Whether employees have confidence in the management to run the industry

efficiently?

Yes

No

Can’t say

6. Management always expects more from the employee

Yes

No

7. The employees expect more benefits from the management

Yes

No

8. The management is satisfied with employee’s performance

Yes

No

9. Employees are satisfied with management’s offers

Yes

No

10. There is serious conflict between management and employees w.r.t wages/salaries

Yes

No

11. Canteen, Recreation, Transport, Accommodation are

Good

Fair

Not ok

12. Indiscipline among the employees is

More

To a little extent

Normal

Absent

13. Punishments for indiscipline are

Harsh

In proportionate

Fair

Medium

14. Do you like your children working in this industry if they are employed (if ‘No’,

please give reason)

Yes

No

Can’t say

15. Industrial peace, more than the prevailing scenario can be achieved through

Increasing the facilities and amenities

Increasing wages/other monetary benefits

Through counseling individual workmen

Can’t say

16. Do you feel it is necessary to involve the worker’s family members in some social activities

that will help cordial relations with management?

Yes

No

17. Dissatisfaction in various aspects among the employees is more in this establishment

Yes

No

Normal

Can’t say

18. Your position in this company when compared to other industries in this area is

Better

On par with

Lower than others

19. How are the opportunities outside w.r.t salary/comfort/facilities etc., outside if you leave

this job at present?

Better than this job

Equaling this job

Lower than this

20. Your overall opinion on the top management

Good

Fair

Bad

BIBLIOGRAPHY

S.No Nameof the author Title Name of the Publishers

1 Weihrich & koontz Essentials of Management Tata Mcgraw Hill-2000

2 Subba Rao HRM & IR Himalaya - 2002

3 Richard Pettinger Organizational Behaviour Macmillan-1990

4 Dale Yoder Personal Management Prentice Hall of India-1992