Upload
myron-farmer
View
225
Download
0
Tags:
Embed Size (px)
Citation preview
HRM
UNIT 03-PART IINDUSTRIAL RELATIONS
Instructor:Surojit Chakraborty
School of HumanitiesKIIT University
Primary sources: Mamoria, Mamoria & Gankar; B.D. Singh
Modules
Concept & Meaning
Objective & Importance
Reason for Poor Industrial Relations
Industrial Relations: what it is
The term “industrial relations” is made up of two words-“industry” and “relations”.
“industry” means any systematic activity carried on by co-operation between an employer and his workmen for the production, supply or distribution of goods or the rendering of material services with a view to satisfy human wants. (State of Bombay v. Hospital Mazdoor Sabha, 1960)
“relations” refers to the workplace relationships between workmen and employers, between workmen and workmen, between employers and employers; as well as the relationships that the employers and workmen share with the institutions formed to promote their interests.
Dunlop’s System Theory
IR = f (a, t, m, p, i)
Where, a -> three actors shown in fig. 1
t -> technological context
m-> market context
p-> power context
i-> ideological context that binds them together
Government
Workmen & their
organizations
Employers & their
organizations
Industrial Relations
Objectives of Industrial Relations
The Industrial Revolution led to the establishment of two distinct classes-the capitalist class and the working class.
Frederick W. Taylor was the first person to bring the workers into the ambit of production decisions with his scientific management principles.
IR got the much needed boost with the human relations revolution in the 1930’s brought on by Elton Mayo’s Hawthorne studies and the Wagner Act (1935).
The objectives of IR are threefold:
i. Promotion of harmonious employer-workmen relations
ii. Maintenance of industrial peace and avoidance of industrial conflicts
iii. Establishment of industrial democracy
Importance of Industrial Relations
i. Resolution of and reduction in industrial disputes
ii. Increased morale of workforce
iii. Reduction in absenteeism and turnover
iv. Remove alienation of workforce
v. Optimum use of scarce resources
vi. Continuous production
vii. Economic growth and development
viii.Facilitates change
Reason for Poor Industrial Relations
i. Economic factors: poor wages & working conditions etc.
ii. Social factors: master-servant relationship etc.
iii. Technological factors: poor rate of technological change etc.
iv. Psychological factors: negative attitude of employer and low workmen morale etc.
v. Political factors: political affiliation of trade unions etc.
vi. Institutional factors: obsolete labour laws etc.
vii.Global factors: international trade and labour agreements etc.
viii.Organizational factors: lack of effective IR policies and practices etc.
N.B. Other issues like negative workmen perception, despotic managers, changes in working conditions, lack of communication and grievance handling mechanisms etc.: all of these will come under one or the other of the 8 factors given above.
Effects of Poor Industrial Relations
Effect on Workmen
i.Loss of motivation and increase in dissatisfaction
ii.Financial losses
iii.Less role in decision making
iv.Adverse effect on career
Effect on Employers
i.Disruption in production
ii.Less Profit
iii.Reduction in worker productivity
iv.Rigid workforce
v.Deviant workplace behaviour
vi.Loss of reputation amongst consumers
Effects of Poor Industrial Relations…contd.
Effect on Government
i.Loss of revenue
ii.Disruption of law and order
iii.Can be held as proof of its inefficiency
Effect on Consumers
i.Rise in prices or worsening of quality or both
ii.Scarcity of goods
Other Effects
i.Adverse effect on international trade
ii.Violation of international agreements
iii.Low rate of economic growth and development
Conclusion
Harmonious industrial relations is of paramount importance for not only the parties directly involved, but also for the society and economy as a whole.
N.B The conditions for good industrial relations will be taken up in a subsequent module
Thank You