9 industrial relations gm & tu
TRANSCRIPT
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Industrial Relations and Trade unions
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Industrial Relations It is the relationship between
employer and employee as a group. The role of different parties-
employers, employee and their unions, and state in maintaining this relationship.
It the mechanism of handling conflicts between employer and employee.
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Objectives To develop harmonious relationship
between operatives and management. Developing goodwill and understanding. Develop mutuality among the interests
of these parties. To raise productivity To curb employee turnover and
absenteeism
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Objectives….. To avoid governments interference. To establish and nurse the growth
of an Industrial Democracy (sharing of profits, managerial decisions)
To avoid industrial conflict/ industrial strife
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Obj. To eliminate- strikes, lockouts and
gheraos. Development of healthy labor-
management relations Maintenance of industrial peace
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Req. of a successful I.R. Prog. Creating trust between Employees
and Management Top Management support. Sound personnel policies Adequate practices should be
developed by professionals Detailed supervisory training Follow-up of Results
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Definition of Trade Union
Trade unions are voluntary organizations of workers or employers formed to promote and protect their interests through collective action.
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Trade Unions All organizations of employees
including those of salaried and professional workers as well as those of manual wage earners which are known to include among their functions that the negotiating with their employers with the object of regulating conditions of employment.
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1926 TU Act Sec. 2 Any body who has the willingness
to group together for the purpose of trade employment or terms of employment or can be united together shall be deemed to be union and as considered in TU Act 1926.
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Nature of Trade UnionAccording to the Trade Union Act 1926 it
is a combination, whether temporary or permanent, formed
(i) primarily for the purpose of regulating the relation between (a) workmen and employers or (b) between workmen and workmen, or (c) between employers and employers, or
(ii) for imposing restrictive conditions on the conduct of any trade or business.
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Nature of Trade Union
The analysis reveals that Trade Union is :-1. A combination of workers or employers.2. Such a combination could be permanent or
temporary.3. Could include federation of two or more unions,
and4. To regulate relations among workmen, between
workmen and employers or among employers themselves.
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Features of T.U T.U are voluntary associations formed by
employees to safeguard their interests through collective actions.
Such associations can work at the level on individual organizations as well as apex bodies (affiliated to trade unions)
Since TU are voluntary- employee has choice to join or not, TU has choice to affiliate or not to affiliate itself with an apex body of TU.
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Features of TU in India Various types of TU- primary unions,
regional unions, Central TU All major central TU are affiliated to
political parties Multiplicity of TU in single plant results
into inter-union rivalry Proliferation of TU results in Smaller
number of membership and financial constraints
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Features of TU in India Major decision making process is
controlled by the outsiders.
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Principles of Trade Unionism
Trade unions function on the basis of three fundamental principles.
Unity is strength. Equal pay for equal work or for the same
job. Security of service.
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Objectives of Trade Unions Wages & salaries Working conditions Discipline Personal policies Welfare Employee-employer relations Negotiating machinery Safeguarding organizational health and interest
of the industry
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Reasons for joining Union Dissatisfaction of employee Powerlessness Union Instrumentality
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Why do Workers Join Trade Unions?
To attain economic security- permanent employment with higher salary and benefits.
To improve their bargaining power
To inform worker’s views, ideas aims and dissatisfaction to the management.
To satisfy social needs.
To secure power.
Betterment of Relationships.
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TU movement in India TU activities started with the formation of
Bombay Mill Association in 1890. Followed by many other TU at Calcutta
and Madras . First World War- ILO International Labor
Organization (1919) and Swaraj movement etc. facilitated the TU movement
All India Trade Union Congress (AITUC)
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TU movement in India Formation of AITUC prompted the
formation of number of TU In 1926 Trade Union Act was enacted
to provide legal status to union activities and registration of unions.
1920s due to ideological differences many left AITUC and formed National Trade Union Federation.
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TU movement in India During Second World War strikes and
lockouts were banned under the Defence of Indian Rules.
After the independence, the growth of TU followed the pattern of development of political parties.
Congress Party formed- Indian National Trade Union Congress (INTUC) 1947
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TU movement in India Praja Socialist Party formed- Hind
Mazdoor Sabha 1948. Then Proliferation of political parties Presently more active TU are--- INTUC- Congress partyAITUC- Communist partyCenter of Indian TU- Communist
(Marxists)Bharatiya Mazdoor Sangh9 BJP etc.
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Present Central Trade Union Organizations
All India Trade Union Congress (AITUC) 1920
Bharatiya Mazdoor Sangh (BMS)
Hind Mazdoor Sabha (HMS) 1948
Indian Federation of Free Trade Unions (IFFTU)
National Front of Indian Trade Unions (NFITU)
National Labor Organization (NLO)
Trade Unions Co-ordination Centre (TUCC)
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Functions of TU Functions relating to members Functions relating to organization Functions relating to union
activities Functions relating to society
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Functions of Trade UnionThe basic functions of trade unions is to protect and promote the interest of the workers and conditions of their employment.
1. Militant Functions2. Fraternal Function3. Political functions4. social functions
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Militant/Protective Functions
Achieve higher wages and better working conditions.
Raise the status of workers as a part of industry and
Protect labour against victimization and injustice.
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Fraternal Functions Providing financial and non-financial assistance to
workers
Extension of medical facilities during sickness and casualties.
Provision of education, recreation, and housing facilities.
Provision of religious and social benefits.
To provide opportunities for promotion and growth.
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Political Functions Affiliating the union to a political
party Helping to enroll the members,
collecting donations Seeking the help of political parties
during periods of strikes & lockouts
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Social Functions Carrying out social service activities Discharging social responsibilities
through various sections of the society like educating the customers
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Problems for Trade Union Problems for Trade Union GrowthGrowth
a) Off-Centering Labourb) Segmentation of Workforcec) Core / Peripheryd) Employment Instabilitye) Investment Attractionf) Individualization of Labour Relationsg) Labour Cost Cuttingh) Leadership Credibility/ Inside vs. Outside
leadershipi) Failure of Institutions
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Trade Union Act, 1926Allows employees the right to form and organize unions.Min 7 persons is required to form their union and get it registered under this act.If union has been existing for more than 1 year the statement of asset and liability must be shown.The application must contain1. Name, occupation and address of members.2. Name of union, its head office details.3. Details about office bearers
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Grievance Management
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GrievanceGrievance refers to any discontent or dissatisfaction, whether expressed or not and valid or not, arising out of anything connected with the company that an employee thinks, believes or even feels, is unfair, unjust or inequitable.
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3 Cardinal principles of grievance settlement Settlement at the lowest level Settlement as quickly as possible Settlement to the satisfaction of
the aggrieved
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Steps in handling grievances
Define the nature of the grievance Collect all the facts (how, where, when, why,
whom) Establish tentative solutions to the grievance Collect additional information to check the
validity Apply the solution Follow-up (casual observation, direct
interaction , general discussion, feedback from other employees)
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Principles of handling grievance Fair demonstration of grievance
procedure Definite and clear Simple It should function promptly and speedily Right attitude of supervisor Confidence of supervisors Long run implications of the decision
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Causes of grievances Wages and working conditions supervision Management policies and practices Maladjustment of employee
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Identification of Grievances Exit interview Gripe box system opinion surveys open door policy
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Grievance procedure The grievance procedure is a
problem-solving, dispute-settling machinery which has been set up following an agreement to that effect between labor and management.
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Steps in Grievance Procedure Step 1- Aggrieved employee
explains his grievance to his immediate supervisor.
Step 2- Here grievance handled by the sectional/departmental head.Or representative of industrial relations/personal department.
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Steps in Grievance Procedure Step 3- Grievance committee
(having members from both management and union)
Step 4- Senior manager or personnel manager along with senior union representative arrives at the decision to refer the matter for arbitration.
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Steps in Grievance Procedure Step 5- Arbitrator is appointed
with the mutual consultation of management and union or the employee.
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Model grievance procedure 1958
Step 1- An aggrieved employee shall
first present his grievance verbally in person to the officer designated by the management for this purpose.An answer shall be given to him within 48 hours of the presentation of the complaint.
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Model grievance procedure 1958
Step 2- Aggrieved, in person and/or
accompanied by his departmental representative present his grievance to the HOD designated by the management for the purpose of handling grievances
Decision should be given within 3 days
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Model grievance procedure 1958
Step 3- Grievance committee
(recommendations within 7 days) In the case of difference of opinion
within the committee, matter is send to the manager on which he has to give recommendations within 3 days.
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Model grievance procedure 1958
Step 4- Appeal to the management for
revision. Worker has the right, if he desires ,
to take a union official along with him.
Decision should be made within a week from the date of receipt.
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Model grievance procedure 1958
Step 5- If no agreement is possible, the
union and management may refer the grievance to voluntary arbitration within a week from the date of receipt.
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Important points No interference from the formal
conciliation machinery, till all the steps in the grievance handling procedure have been exhausted.
If the grievance arise out of an order, the said order shall be complied first.
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Important points The workers representatives on the
grievance committee shall have the right to assess any document connected to the matter.
Management has the right to refuse if the document is confidential.
But then that document shall not be used against the worker in due course.
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Important points 72 hours time difference should be
there within one step and the other. In calculating time intervals,
holidays shall not be reckoned Management shall provide the
necessary clerical and other assistance for a smooth functioning of the grievance machinery.
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Constitution of grievance committee In case where the union is
recognized
2 representatives of the managementa union representativea union departmental representative
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Constitution of grievance committee Incase where the union is not
recognized or there is no union but a workers committee2 representatives of managementrepresentative of the departmentsecretary or VP of the works committeeMax. no. of members of grievance committee should not exceed 6