Industrial Relations

Technical Notes for BBA Semester VI Students

- Singa Lama
Kantipur Valley College, Purbanchal University

UNIT 1: INTRODUCTION
1. Concept of Industrial Relations: The concept of industrial relations means the relationship between employees and management in the day-to-day working of 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 Prof. Dale Yadev: IR is a whole field of leadership that exists because of necessary collaboration of men and women in the employment process of an industry. According to ILO: IR deals with either the relationship between the state and the employee and workers organisation or relationship between the occupational organisations or relationship between occupational organisations themselves. Prof. J Henry Richerdson: IR is an art of living together for the purpose of production. Parties involved in IR i.e. workers, their organisation and employer who have common purpose production. In works situation they willing to bind together for work. H.A. Clegg: The field of IR includes study of workers, their Trade Unions, management, their association and the state institution concern with regulation of employment. Prof. J.T. Dunlop: IR is a complex of inter-relationship among workers, managers and agencies of the government. 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. Relations between the management of an industrial enterprise and its employees. Process by which people and their organization interact at the place of work to establish the terms and conditions of employment Industry Traditional Master-Servant Illiterate Not Conscious Ill Motivated Present Human Relations Educated Aware, Informed Willing, Motivated Management Traditional Authoritative Autocratic Paternalistic Perogative Present Collaborative Democratic Mutuality Restrictive

An Act or Art of Controlling Human Resources in Employment. Also referred as Labour Relations, Legal Relations, etc., Two Inseparable Limbs Interest apparently Conflict but Complementary. 1
Unit I: Introduction | Singa Lama | singa_lama@yahoo.com | www.facebook.com/singa.lama

Industrial Relations
Technical Notes for BBA Semester VI Students

- Singa Lama
Kantipur Valley College, Purbanchal University

2. Objectives of Industrial Relations: a. Congenial Labour - Management relations b. Enhance economic status of the workers c. Regulate the production by minimizing industrial conflict d. Socialize industries by making government as employer e. Workers to have a say in management &decision making f. Encourage &develop trade unions g. Avoid industrial conflict consequences h. Industrial democracy 3. Process of Industrial Relations:

Unit I: Introduction | Singa Lama | singa_lama@yahoo.com | www.facebook.com/singa.lama

Industrial Relations
Technical Notes for BBA Semester VI Students

- Singa Lama
Kantipur Valley College, Purbanchal University

4. Actors of Industrial Relations System:

Trade Unions

Employers' Association

Courts & Tribunals

a. Employees Bulk of work, work monotonous, unhygienic work environment, close control by managers, dissatisfaction with the system workers form trade unions to safeguard the interest of workers better wages good working conditions to get all rights. b. The Management Jobs, terms and conditions of employment Mgt. styles, and quality of relations RENSIS LIKERT styles exploitative authority system (Commodity) benevolent authority system (child) consultative authority system (co, union) participative authority system (friend) c. The government Protective legislations Grievance handling machinery

Unit I: Introduction | Singa Lama | singa_lama@yahoo.com | www.facebook.com/singa.lama

Industrial Relations
Technical Notes for BBA Semester VI Students

- Singa Lama
Kantipur Valley College, Purbanchal University

5. Pluralists & Marxists: a. Pluralists: In pluralism the organization is perceived as being made up of powerful and divergent sub-groups - management and trade unions. This approach sees conflicts of interest and disagreements between managers and workers over the distribution of profits as normal and inescapable. Consequently, the role of management would lean less towards enforcing and controlling and more toward persuasion and co-ordination. Trade unions are deemed as legitimate representatives of employees. Conflict is dealt by collective bargaining and is viewed not necessarily as a bad thing and if managed could in fact be channeled towards evolution and positive change. Realistic managers should accept conflict to occur. There is a greater propensity for conflict rather than harmony. They should anticipate and resolve this by securing agreed procedures for settling disputes. The implications of this approach include: The firm should have industrial relations and personnel specialists who advise managers and provide specialist services in respect of staffing and matters relating to union consultation and negotiation. Independent external arbitrators should be used to assist in the resolution of disputes. Union recognition should be encouraged and union representatives given scope to carry out their representative duties Comprehensive collective agreements should be negotiated with unions b. Marxists: This view of industrial relations is a byproduct of a theory of capitalist society and social change. Marx argued that: Weakness and contradiction inherent in the capitalist system would result in revolution and the ascendancy of socialism over capitalism. Capitalism would foster monopolies. Wages (costs to the capitalist) would be minimized to a subsistence level. Capitalists and workers would compete/be in contention to win ground and establish their constant win-lose struggles would be evident. This perspective focuses on the fundamental division of interest between capital and labor, and sees workplace relations against this background. It is concerned with the structure and nature of society and assumes that the conflict in employment relationship is reflective of the structure of the society. Conflict is therefore seen as inevitable and trade unions are a natural response of workers to their exploitation by capital.

Unit I: Introduction | Singa Lama | singa_lama@yahoo.com | www.facebook.com/singa.lama

Industrial Relations
Technical Notes for BBA Semester VI Students

- Singa Lama
Kantipur Valley College, Purbanchal University

1. 2. 3. 4. 5.

Success of Industrial Relations Top Management support Sound Personnel policies Adequate practice should be developed by professionals Detailed supervisory training Follow up results

Unit I: Introduction | Singa Lama | singa_lama@yahoo.com | www.facebook.com/singa.lama