08 Industrial Relationship Management

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IndustrialIndustrial RelationsRelations

ManagementManagement

BY

AZERSHA.AARUMUGHAM.SU

JAMES SUDHAN PRADEEP.J

JEBIN


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Industrial Relations & Human Resource

ManagementLearning objectives:

To draw attention to the importance of the human factor in

organisations

To develop the conceptual skills needed to understand thenature of the employment relationship

To examine the nature, objectives and processes used by theprincipal actors in the employment relationship


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Industrial Relations

What we intend to cover:

Definition & Concept of IR

The nature of the employment relationship

The evolution of Industrial Relations

Importance & Aspects of IR

Approaches of IR

Industrial disputes/Conflict


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Introduction to Industrial Relations

y Definitions

y Key Players

y Concept

y Imlication


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Definitions

the consecrated euphemism for the permanent conflict, now

acute, now subdued, between capital and labour.

(Blyton & Turnbull, 1998)

Industrial Relations is


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Industrial Relations.

the regulation of the relationship between employers and

employees


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Industrial Relations Affects:

y Economic Performance

y Business Success

y Employees Experience ofWork


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Key Players

GOVERNMENT

INDEPENDENT 3RD PARTIES

EMPLOYEES EMPLOYERS


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CONCEPT

y

Industrial relation studies only in manufacturing andservice sectors.

y It omits the small scale,Agriculture,and other sectors

of the economy.

y IR covered from individual relations at the shop floorto the regional,national,and international bodies.

y IR characterized by both conflict and co operation.

yWithout labor and management the relationship can'texist.


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IMPLICATIONS

Trade unions

Managerial prerogative

Conflict


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Important Historical Milestones

Industrialisation brought about drastic changes in the workingmethods, man power management relations on the shop floor

18thc Industrial Revolution begins U.K.

Early 19thc Series of statutory decisions makingTUs illegal

1868 British Trade Union Congress (TUC) founded

1871-1906 Pro-union legislation in the UK

1894 Irish Trade Union Congress (ITUC) founded


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1909 Irish TransportWorkers Union (ITWU)

1913 The Dublin Lockout

1916- 1922 British unions break away

1946 Set up of the Labour Court

1880s Gradual decline in union membership

1987 Social Partnership Agreements


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Importance of Industrial Relations

&

Aspects Of Industrial Relations


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The healthy industrial relations are key to the progress and

success.

Their significance may be discussed as under

IMPORTANCE


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-Development of healthy labour

-Maintenance of Industrial relations

-Development of Industrial Democracy

ASPECTS OF INDUSTRIALRELATIONS


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Development of healthy :

The existence of strong

The spirit of collective

bargaining and willingness to take

recourse to voluntary arbitration

Welfare work


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MAINTENANCE OF INDUSTRIAL RELATIONS

Machinery should be set up for the

prevention and settlement of industrialdisputes

The government should have the refer

disputes to adjudication

The government enjoys the power to

maintain the status quo


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D

evelopment of industrialdemocracy Establishment of the shop councils

and joint management councils

Recognition of human rights n

industry

Increase in labour productivity

The availability of proper work

environment


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APPROACHESAPPROACHESy Psychological approach

y Sociological approach

y Human relation approach

y Socio-ethical approach

y V.V

G

iri approach

y Gandhian approach

y System approach


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PSYCHOLOGICAL APPROACH

y The general impression about the person is radically different

when he is seen as a representative of management from that of

the person as a representative of labour

y The management and labour see each other as less dependable

y The management and labour see each other as deficient in

thinking regarding emotional characteristics and interpersonal

relation


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SOCIOLOGICAL APPROACH

y The industry is a social world in miniature

y

This approach includes various sociological factors like valuesystem, customs, norms, symbols, attitude and perception of

both labour and management

y A process of the industrial culturisation of the working class has

set in social mobility to-day which accounts for the emergence of

mixed industrial work force


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HUMAN RELATION APPROACH

y The various human resources management policies includingthose relating to leadership and motivation have profoundinfluence on the employees work behavior.

y For maintaining a good industrial relation, the study of humanneeds is paramount importance; there are four types basic needssuch as:-

y Physiological

y Safety

y Social

y egoistic


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SOCIO-ETHICAL APPROACH

y A good industrial relations can be only maintained when both

the labor and management realize, their moral responsibility in

contributing to the said task through mutual co-operation and

greatest understanding of each others problem

y The goal of labor management relations may be stated as

maximum productivity , leading to rapid economic

development, adequate understanding among employees,employers, workers and government


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V.VGIRI APPROACH

y It has laid stress on collective bargaining and mutual negotiationsbetween employers and employees for the settlement ofdisputes.

y There should a bipartite machinery in every industry and everyunit of the industry to settle differences from time to time withthe active encouragement of government.

y It can be said that it puts ethical pressure on the parties for themaintenance of good industrial relations through peacefulsettlement of dispute


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GANDHIAN APPROACH

y Gandhijis views on industrial relation are based on his

fundamental principles of truth and non-violence, non

possession or aparigraha and non co-operation.

y This philosophy presumes the peaceful co-existence of capital

and labour

y Gandhiji has accepted the workers right to strike but in a

peaceful and non-violent manner


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SYSTEM APPROACH

y This approach is quite helpful in studying the industrial relations

in the sense that it focuses on participants in the process,

environmental forces and the output.

Environmental forces Participants in the system Out puts

Market orbudgetary restraints

Technology

Distribution ofpower in society

Union-management

government

Rules of theworkplace


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INDUSTRIAL CONFLICT


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INDUSTRIAL CONFLICT

yWhen different groups (unions, management, andworkers) different orientations and perceptions of

their interests, conflict occurs.

At organizational level, it occurs due to

y The interactions of union leaders and management,

union leaders and workers, and unions and workersand management.

y These groups manifest their conflict in many forms.


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U

nion management conflict- Unions-Non cooperation, arguments, hostility, stresses andtensions, unwilling ness to negotiate, absenteeism, work torule, demonstration, morcha, dharma

y Management- Unwillingness to negotiate, termination,demotion, layoffs, lockouts

Management workers conflict-y Workers-Unorganized withholding of efforts, intentional

waste and inefficiency, labour turnover, instances of breakingof rules, strikes

y Management-Autocratic supervision, overstrict discipline,penalties, unnecessary firing, , demotion, layoffs, lockouts


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Sources of industrial conflict

share of revenue

relative share of wages and salaries

changes in staffing levels

welfare of employees

technological change

change in work methods/duties

change in work location


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Causes of industrial conflict

Economic Wages, bonus, overtime payment etc.

Political- political instability, political affiliation of unions

Technological Change, adaptation, resistance, fear ofunemployment

Psychological- interpersonal conflict, motivation and

attitudinal problems

change in work methods/duties

change in work location


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critical causes of industrial conflict

income distribution

job security

managerial control


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How to solve conflicts

y Be calm.

y Always show respect.

y Discuss or debate.

y Apply rationality.

yAcknowledge emotions.


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Cont

y Be precise.

y Think creatively.

y Accept the situation.

y Change the environment.

yCompromise.

y Change the wording.


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Conclusion

y All the big organizations are needed the Department ofIndustrial Relation

y It will constitute and solve all the problems and needs ofthe employer and employees.

y IR Department leads the organization in a peaceful way


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BIBLIOGRAPHYBook Resources

y Dynamics of Industrial Relation-Mamoria & GankarHimalaya publishing house.

Web Resources

ywww.HR.com

ywww.IRconflict.com


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Thank you..

Documents

08 Industrial Relationship Management