ppts on industrial relations
TRANSCRIPT
Introduction to industrial relations.
Back ground
Growth of labor jurisprudence
Development in Europe in 16th Century
Adoption of philosophy of laissez faire in most of the nations in Europe
Development of Marxian philosophy Labour unrest in Europe Emergence of communist states.
Rise of international labour organizations
Danial Le grand’s contribution International benevolent congresses
of 1856 and 1857 International factory and mine labour
conference of 1890 International association of labour
legislation 1900 Establishment of ILO 1919
ILO’s efforts to standardize principles governing industrial relation through conventions and recommendations.
Meaning of industrial relations
Meaning of industrial relations: It is a process by which people and their
organizations interact at the place of work to establish the terms and conditions of employment.
It denotes employee-employer relations, in both organized and unorganized sectors of the economy.
Definition given by ILO
Importance of industrial relations
Implication of industrial relations on workers and economy.
Development of healthy labour management relations.
Maintenance of industrial peace. Development of industrial democracy
Factors of industrial relations and factors affecting industrial relations.
Factors of industrial relations Workers and their organization Management The Government
Factors affecting industrial relations.
Institutional factors Economic factors Social factors Technological factors Psychological factors. Political factors. Enterprise-related factors. Global factors.
Approaches to industrial relations.
Psychological approach Sociological approach Human relation approach Socio ethical approach Gandhian approach System approach
Human relations approach For maintaining good human relations
in general and industrial relations in particular, the study of human needs is of paramount importance.
Types of human needs Physiological needs Safety needs Social needs Egoistic needs
Human relations approach Physiological needs
Food, water, clothing, shelter etc.
Security needs or safety needs Physical security Financial security Job security
Social needs Companionship affection
Egoistic needs Desire of self-esteem and Esteem from others.
How to manage IR under Human relations approach
Management has to design a suitable motivational strategy to provide environment for their optimum need satisfaction, required for maintaining good human relations in the organizations, which in turn also leads to good industrial relations.
Human relation approach cont…
If both the management and the workers understand and apply the techniques of human relations to industrial relations then it is beneficial for both of them leading to following results:
Workers are to achieve greater job satisfaction, develop greater involvement in their work and achieve a measure of identification of their objectives with the objectives of the organization.
Management will also get greater insight and effectiveness in the work leading to industrial progress
Socio-ethical approach This approach is not widely accepted It holds that industrial relations to great
extent depends on ethics of the people involved in it.
For maintenance of good Industrial relations both the labour and management should realize their moral responsibility and greater understanding of each other’s problem
Example - Scandinavian approach.
Socio-ethical approach contd..
The goal of labour management relations is ensuring maximum productivity, leading to rapid economic development
This goal can be achieved by adequate understanding among employers, workers and the government, of each other’s role in industry and willingness among parties to co-operate as partners in the industrial system.
Role of manager under socio-ethical approach
Development of a code of ethics and a management philosophy for industrial relations.
This philosophy should be firm but fair, tough but tender and hard but human.
Gandhian approach to industrial relations.
This approach of industrial relations is based on the following concepts: Truth Non-violence Aparigraha Non-co-operation trusteeship
Gandhian approach - contd…
Worker has right to strike This right has to be exercised in a just
cause, and in a peaceful and non-violent manner
It should be resorted to only after the employer fail to respond to their moral appeals
Disputes between employers and labourers are to be resolved non-violent means.
Non-co- operation amounts to peaceful strikes
Principles of Aparigraha
Individual does not have any right to hold or use wealth in disregard of the interest of society
The character of production is to be determined by social necessity rather than by personal whims or greed.
Trusteeship
There is no room for conflict of interest between the capitalist and labourers.
Characteristics of Indian labor Social composition Sex composition of workers Emergence of tribal labour Heterogeneity of labour Lack of differentiated class character High rate of absenteeism and labour
turnover Migratory character Instability and village nexus
Social composition
Workforce was generally provided by lowest castes, depressed classes.
Present trend
Sex composition
Participation of women in socioeconomic activities is a common practice in developed as well as developing countries of the world.
Position in India Domination of male workers in earlier
stages Women’s right to work Constitutional provisions
Tribal labour
Exploitation of forest resources
Heterogeneity of of labour
Division on the basis of caste, communities, ethnic group, religion, language, s
High rate of Absenteeism and labour turnover
Sickness Accidents or maternity Social and religious causes Other causes
Labour movement in India Labour movement confused with trade
union movement It is a movement for the workers Trade union movement is the movement by
the workers The people involved in the labour
movement are social reformers to improve working and living conditions.
It started from 1875 Trade union movement started in 1918
Trade union - Meaning By Webb “A trade union is a continuous association of
wage-earners for the purpose of maintaining or improving the conditions of their working lives.
Clyde states that A trade union is a continuing organization of employees established for the purpose of protecting or improving through collective action, the economic and social status of its members
GDH Cole defines a trade union to mean “an association of workers in one or more professions carried on mainly for the purpose of protecting and advancing the members’ economic interest of members.
Meaning of trade union under trade union Act
It is any combination, whether temporary or permanent, formed primarily for the purpose of regulating the relation between the workmen and employer, or between workmen and workmen, between employers and employers or for imposing restrictive condition on the conduct of any trade or business and includes any federation of two or more trade unions.
General features of trade unions It is an association of either employers or employees
or of independent workers. Examples of employer’s unions are :
Merchant’s of employers association , all India manufactures organization, Organization of industrial employers, the Tea planters' Association of North India, The united planters’ Association of South India.
General labour unions Combination of intellectual labour like All India
teachers’ association, all India Bank Employees Association, National federation of Indian Railwaymen, All-India Medical doctors’ association
Labour unions are relatively permanent association of workers and are not temporary or casual
Trade unions are association engaged in securing economic benefits for its members.
The character of trade unions has been constantly changing
The origin and growth of trade union have been influenced by a number of ideologies
Functions of trade unions in India Protect and promote the interest of workers and conditions
of their employment. To achieve higher wages and better working and living
conditions for members. To acquire control over running of the industry by workers. To minimize the helplessness of the individual workers and
protecting them from victimization. To raise the status of the workers as partners in industry To encourage sincerity and discipline among workers Take up welfare measures for improving the morale of the
workers To safeguard the security of tenure To enlarge opportunities for promotion and training To provide for educational, cultural and recreational
facilities
Types and structures of trade unions.
Unions classified on the basis of purpose
Union classified on the basis of membership structure
Structure of trade unions in India
Trade unions classified according to purpose
Reformist union Revolutionary union Reformist union:
Preservation of capitalist society Maintenance of usual employer-employee
relationship, Elimination of competitive system of production Desire to modify in industry in accordance with
what their members consider to be current modes in society
Reformist union …..
Improving working conditions by enforcing safety measures
Try to generate increased purchasing power
Seek to dignify labour by forcing upon public and its leaders a recognition of the importance of labour in modern society
Revolutionary unions Aim at destroying the present
structure completely and replacing it with new and different institutions.
They seek to destroy capitalist industry and abolish the wage system and private property, to put an end to a society based primarily upon competition and individual rights, and substitute some other system,
Classification of revolutionary unionism
Anarchist unions Political unions Predatory unionism Guerrilla union
Union classified on the basis of membership structure
Craft union Staff union Industrial union General union
Craft union Organizations of workers employed in a particular
craft or trade Such unions link together those workers who have
similar skills, craft training and specialization They are mostly found amongst non-manual
employees and professional workers The members are craft-conscious than class
conscious. These unions aim at safeguarding the interests of the
members against the onslaughts of employers. they provide only the barest minimum of associative
integration.
Staff union
It refers to both craft and industrial unions.
Industrial unions
Industrial unions are organisation of workers
Common bond is the industry They include all type of workers Organised upon an industry wise
rather than a craft wise basis. Solidarity among them is due to class
conciousness.
General unions Organisations which covers various
industries and labourers having different types of skills
Objectives of these unions are all-embracing in character
They have numerical superiority They are open to all classes of
workers
Trade union structure
National federations Federation of unions
Trade union movement in India
Early years Slow pace of the trade union movement First strike at Express Mills at Nagpur Establishment of Bombay Mill Hands
Association by N.M. Lokhande Limitation of this association
First world war period Increase in number of strikes and their
ruthless suppress of these strikes – starting point of trade union movement
Formation of the Madras labour union 1918 Formation of unions in Bombay and
Calcutta in the year 1918 itself Establishment of unions in all important
industries such as railways, docks, textiles, engineering and coal mining in 1920
Between 1920 -29 Formation of AITUC Expansion of number of trade unions
and membership Enactment of The Indian Trade union
Act.1926 Growth of the Left-wing influence on
the Indian Trade union Movement Split in AITUC and formation of Indian
trade union federation
Between 1930 -1939
Further split in AITUC and formation of red trade union congress
Reunification of trade union movement
Present scenario of trade union movement in India
Central trade unions Indian national trade union congress All Indian trade union congress United trade union congress Bhartiya Mazdoor sangh National front of Indian trade unions
Problems of trade unions
Internal problems External problems
Internal problems
Migratory character Heterogeneous character Poor economic condition Illiterate labour Ineffective leadership Lack of unity among different federations. Low membership Low standard of life
External problems
Problems with respect to recognition Political pressures Out dated labour law Impact of changing industrial scenario
Measures to strengthening trade union movement Educating workers Economic and social upliftment Encourage internal leadership Sufficient funds Internal unity Clarity as to recognition Free from political pressure Promotion of welfare activities Training of leaders Mobilizing mass support
Trade unions Act 1926
Scheme of the Act Registration of trade union Cancellation of registration Recognition of trade union Rights and privileges of registered
trade union.
Scope of the Act
It applies to all kinds of unions of workers and association of employers.
It extends to the whole of India
Registration of trade union Registration is not compulsory Any seven or more members by subscribing
to the rules of the trade union can apply for registration
At least 10% of the applicants should be actually employed in the industry
Application has to be made to the registrar of trade union
Application must be accompanied by copy of the rules of trade union and containing few statutory details
Details to be given along with Application
Name, occupation and addresses of members making application
Name of the trade union and the address of its head office
Titles, names, addresses and occupation of the officers of trade union
Legal status of registered trade union
Trade union is a body corporate Perpetual succession Common seal Registered trade union can sue and be
sued in its own name Can acquire, hold, sell or transfer any
moveable or immovable property
Cancellation of registration
On the application Suo motu
Registration obtained by fraud and mistake
Trade union ceased to exit. Contravention of provision of trade Act
Recognition of trade union Recognition of trade union is a voluntary
measure Annexure A to trade union Act 1926 on
recognition of trade union Where there are more than one trade union, a
union functioning of for at least one year after registration should get recognition
Once the union is recognized, there should be no change in its position for 2 years
Union with largest membership should be recognized
Unions which observe the code of discipline are entitled to recognition
Collective bargaining
Introduction Concept of collective bargaining Definition of collective bargaining
objectives of collective bargaining
Prime objective is to maintain cordial relations between the management and the workers;
settle disputes relating to wages and working conditions.Safe guard the interest of workers through collective
actionPrevent unilateral action on part of the employersTo raise workers standard of living and win a better share
in company's profitDemocratic participation in decision making on the
working conditions
Pre-requisites of effective collective bargaining Freedom of association Strong and stable trade union Enlightened management Mutual trust There should not be exaggerated demands It should be undertaken in the spirit of
accommodation rather than conflict Regular meetings between representatives and
employers to consider matters of common interest. Problem solving attitude Favourable political climate Avoidance of unfair labour practices from both sides
Factors inhibiting collective bargaining in India Lack of proper appreciation as to the philosophy,
objectives and advantages of collective bargaining among workers and also on the part of employers and policy makers.
Multiplicity of trade unions and rivalry among unions.
Organizational and financial weakness of trade unions
Lack of definite procedure to determine as to recognition of trade union
Frequent political intervention in the process of collective bargaining which gives political colour and orientation to the collective bargaining process
Provision of elaborate adjudication machineries Comprehensive coverage of labour laws
Grievance Handling and Industrial Discipline
Meaning of grievance Grievance is a complaint or
representation as regards to work place related matter arising from employment or service condition
Causes of grievances
Matters like discipline and dismissal Payment of wages and fringe benefits Working time, over-time entitlements Promotion, demotion and transfer Rights deriving from seniority Obligations relating to safety and
health as laid down in the agreement
Procedure for settlement of grievances
Procedure for settlement of grievances
Model grievance procedure
Indiscipline and misconduct
Meaning of indiscipline and misconduct
Causes of misconduct Forms of misconduct
Standing order
Meaning Objects of standing orders Model standing orders Types of punishments under standing
ordersLaw dealing with standing orders
Disciplinary proceedings
Ethical codes and industrial relations
Industrial disputes (Conflicts)
Definition of industrial disputes Essentials of industrial disputes
Factum of dispute Parties to the dispute Subjectmatter to the disputes Origin of disputes
Industrial disputes
Classification of industrial dispute Impact of industrial disputes Causes of industrial disputes
Strikes and lock out
Meaning Types of strikes When strikes justified? When the strike becomes illegal Meaning of lockout Right to lock out
Dispute settlement inside the organization
Works committee Joint management councils Grievance settlement authority Domestic enquiry
Dispute settlement machinery outside the organization
Conciliation
Arbitration
Adjudication
conciliation Conciliation
definition Conciliation officer
Meaning Appointment Procedure Powers Functions of conciliation officers Duties of conciliation officer
Board of conciliation
Constitution of board of conciliation Duties of Board Commencement and conclusion of
conciliation proceedings Persons on whom settlement is
binding Period of operation of settlement
Adjudication
Meaning of adjudication Constitution of adjudicating authority Judges of labour courts Jurisdiction of labour courts Duties of labour courts
Industrial tribunal
Constitution Judges of tribunal Jurisdiction Functions of tribunals
National tribunal
Constitution Presiding officer of national tribunal Jurisdiction Procedure Powers Finality of orders of national tribunal
High courts and Supreme Court
Awards of the adjudication bodies
Definition of awards Form of the award Publication of award Enforcement of award Persons on whom the award is
binding Penalty for breach of award.
Arbitration
Definition of arbitration Voluntary arbitration Reference to arbitrator Selection of arbitrator Arbitration agreement Publication of arbitration agreement Jurisdiction of arbitrator
Arbitration - continued
Procedure before the arbitrator Functions of arbitrator Commencement of arbitration
proceedings Status of arbitrator Award of arbitrator Exclusion of the arbitration Act
Workers participation in management
Evolution of concept of worker’s participation in the management
Participation of workers in management in industrially advanced countries
Levels of participation Sachar’s committee on worker’s
participation. Varma’s committee on workers
participation in management
Various policy and legislative measures to ensure industrial democracy in India
Form of workers participation in India
Joint councils and their function Plant council and its function Shop councils and their functions. Scheme of workers’ participation in
management in India.