North South University

School of Business
Report On

“INDUSTRIAL RELATIONS PRACTICES IN

BANGLADESH: A CASE STUDY BASED ON
TEXTILE INDUSTRIES IN BANGLADESH”

Prepared By-G
Atia Rahman Shuchi 092 0200 060
Istiaque Ahmed Khan 092 0641 060
Nadia Shahrin 091 0458 060
Musarrat Jahan Siddiqui 091 0471 060
Mohammad Omer 093 0972 060

Date: 02.05.2011
 ABSTRACT

In our paper we have focused on the white collar - blue collar

relationship in the textile companies of Bangladesh. In the
study we have selected four (4) textile companies in order to
analyze the existing industrial relationship in the textile
sector. We have tried to cover a brief overview of those four
textile companies including the company’s vision, mission,
and core values in the first phase. Then in the second phase
we have covered the demographic data of the respondents
working in sample companies. In this study we focused on the IR among the workers and
also between the workers and management. For the study we have used questionnaire which
has both open and closed ended segments. We have analyzed the industrial relationship
existing in the textile sector of Bangladesh depending on the responses received. Results
revealed several problems in the white collar - blue collar relationship in terms of conflict,
work council, work environment and grievances. We found that better environment, safety
and indiscrimination are expected by the blue collar people. In the last phase, we have
recommended a set of solutions to develop the current IR between the white collar and blue
collar employees in the textile companies of Bangladesh.

Acknowledgement

2
At first we would like to thank our instructor Dr. Khasro Miah for giving us such an
important task of analyzing Industrial Relationship in the Textile Industry. We would like to
place our gratitude to all the directors, executives and other employees of Rongdhonu
Textile, MBM Garments Limited, Needle Drop Textile, Newage Textile companies for
providing all sorts of information related to this project. Their overwhelming support for this
project gave us the inspiration to do a better report. We would also like to thank them for
providing valuable advice in the successful completion of this project. Finally, we thanks
Allah for giving us the ability to work for this report and complete it within due time.

3
 Table of Contents
Abstract................................................................................................................................1
Acknowledgement...............................................................................................................2
Table of Contents.................................................................................................................3

1. INTRODUCTION...........................................................................................................4
2. HISTORY OF TEXTILE INDUSTRY IN BANGLADESH..........................................5
3.METHODOLOGY...........................................................................................................8
4. PROCEDURES...............................................................................................................9
5. MEASURES……………..............................................................................................10
6. COMPANY OVERVIEW.............................................................................................10
7. ANALYSIS……………………………………............................................................12
7.1 Conflict........................................................................................................................12
7.2 Work Council...............................................................................................................14
7.3 Work Environment…………………………………………………………………..15
7.4 Grievances……………………………………………………………………………17
8. RECOMMENDATION.................................................................................................18
8.1 At Blue Collars’ Level……………………………………………………………….18
8.2 At White Collars’ Level………………………………………………………...……20
9. CONCLUSION & IMPLICATION.............................................................................21
10. REFFERENCES..........................................................................................................23

INTRODUCTION
4
Industrial Relations and employee development can be
expected to be an important determinant of company
performance. A variety of HRM practices are related to
the development of the human resources of the firm. First,
company investments in both technical and non-technical
training are likely to have a positive impact on the extent
to which the firm actually succeeds in developing the
skills/knowledge of its employees. Training was suggested
to be a high performance HRM practice in research by,
among others, Delaney and Huselid (1996), Huselid (1995), Koch and McGrath (1996),
and MacDuffie (1995). Generally, a positive, relationship has been established between
employee training and organizational performance (e.g., Delaney and Huselid, 1996;
Koch and McGrath, 1996). Delery and Doty (1996) offer an exception. Employment
security is seen by several authors (e.g., Pfeffer, 1995) as an important part of high
performance HRM practices.

Firms which provide and ensure good industrial relations

with the employees are expected to perform better and
have lesser churn of employees at the end of the day.
Good industrial relations will help employees perceive
that their jobs are secure. They are more likely to suggest
productivity improvements. They are expected to take a
more comprehensive and long-term view of their jobs
and the company’s performance. Conversely, companies
are more inclined to take a long-term view on how to
develop their employees and maintain a good industrial relation.

A well-functioning company career planning system may also encourage employees to

take more responsibility for their own development, including the development of skills
viewed as significant in the company (Doyle, 1997). It should be noted that a
5
management that supports industrial relations not only helps ensure that employees have
the skills they need to advance in the company, but also may help ensure that employees
possess the mix of skills that the firm believes is important for its future success. In other
words, the provision of career planning assistance may have a positive effect on the level
and type of skills and knowledge in the company (Doyle, 1997).
Finally companies that promote good industrial relations and harmony amongst workers
are likely to perform well since this feature provides a strong motivation for employees to
work hard so that they will be promoted (Lepak and Snell, 1999; Pfeffer, 1994). All of
the HRM practices listed above can be considered mutually related investments in
developing the competencies of the employees. Employee development practices
promoting better industrial relations would not have a significant positive effect on
managers as well as non-managerial employees.
Therefore, to understand and analyze the present industrial relationship existing in the
textile sector of Bangladesh we carried out this study. We took a sample of four textile
companies currently operating in Bangladesh. The companies are: Newage Textile
Company, MBM Garments, Needle Drop Textiles And Rongdhonu Garments.

HISTORY OF TEXTILE INDUSTRY IN BANGLADESH

Year Consequence
Before Bangladesh was firm based country and tea, jute were the main products to
1970’s export
1971 Bangladesh acquired independence in December 1971 from Pakistan
1972 The Government had nationalized virtually all the textile mills, the jute and
cotton ginneries and sugar refineries, most of which had been owned by
Pakistanis who had fled with the start of the military operations.

1974 To meet up the shortage in foreign countries, Ministry of International

Trade and Industry said a decision was expected soon on a plan to give a
grant of textile-made-up-goods to Bangladesh.
1975 Petition with Department of Labor and Industry for workmen's
compensation benefits. Another burning issue was about nationalization of
industry, such as jute or textiles, when the only people knew how to them
6
 were the former owners?
1977 Potentiality grew through foreign direct investment for developing countries
is the story of Desh Garments Ltd. Desh Garments was a small company
established in Bangladesh with a joint-venture with Daewoo,(South Korea)
a major world textile producer.
1979 Korean garment firm Daewoo Corp. brought 130 Bangladeshi workers to
Pusan totrain them to create textiles with the most advanced methods of the
time and to make th textile industry more efficient. However, an estimated
80 percent of Bangladesh's industrial sets remain under Government
ownership
1980 Import quotas also hit the developing countries hardest — more than 98 per
cent of Bangladesh's exports are hit by Canadian restraints.
1981 In the process of industrializing, poor countries have rapid growth rates and
want rich countries to drop tariff barriers to Third World textiles, leather
and other finished goods.
1985 Competition among textile industries started due to self-motivation through
piecework system by low-paid workers which rewarded high productivity.
1991 Just after the World War I, British imports wiped out the local leather and
textile industry
1992 Consequently imports of clothing, bed ding, and other textiles, largely from
Thai land, Bangladesh, India, Pakistan and China, jumped so high. In
addition to US textile and apparel industry lost at least one million jobs.
Wal-Mart has become the biggest customer of Asia’s Textile industries
specially of Bangladesh.
1993 South Carolina's textile workers lost their jobs and the only reason was
companies relocated, Haiti and Bangladesh, with wages at pennies per hour,
would be teeming with textile mills and other manufacturing facilities. The
burning issue of Child Labor was raised in those days.
1994 44 countries agreed on General Agreement on Tariffs and Trade (GATT).
To some expert’s third countries like Bangladesh, India would be benefited
due to nontariff barriers to developed countries. Uruguay Round got more
effective over GATT.
1996 The Oxford Committee started a campaign for the establishment of a code
of good practice in the textile industry focused on child labor in Bangladesh

7
 and Dominican factories that supplied big corporations.
1997 After visiting South African President Nelson Mandela to Dhaka, a niche
trading relationship has developed between our countries especially for
garments, textile etc.
2003 Clash between Asian giant like china and other Caribbean Basin countries
to Mexico and Bangladesh grew more and more in textile sector.
2005 Global apparel and textile industry had historically been highly protected
until the scheduled elimination of quantitative restrictions under the
Uruguay Round Agreement on Textiles and Clothing (ATC). The textile
industries of Asian countries from Bangladesh to Indonesia will benefit
from the new American quotas, as US buyers shift their purchases away
from China.
2006 A fire destroyed the four-story KTS Textile Industries in Bangladesh.
2007 Apparels & garments exports from Bangladesh totaled $9.21 billion, or 75
per cent, of Bangladesh total import.
2010 Bangladesh's garment industry employs more than 3.5 million workers, the
majority of them women, and is the second biggest employer after
agriculture. Factories in Bangladesh make garments for international brands
such as JC Penney, Wal-Mart, H&M, Kohl's, Marks & Spencer etc. in Dec
14, 2010 - Dozens killed in Bangladesh factory fire; 100 hurt 14 December
2010 - Dozens of people were killed after a devastating blaze raced through
a garment factory that supplies major multinationals such as Gap and JC
Penney.
2011 Recently, large-scale low-cost producer, India is also winning market share,
while the losers will be the textiles industries of smaller countries such as
Bangladesh, Cambodia, and Mexico. Even with quotas to WTO countries in
place, China's exports are rising so fast.

METHODOLOGY

The study was carried out in four textile companies located in Dhaka, Chittagong, Savar
and Ashulia. Through this research we tried to explore the actual scenario of management
– employee relationship. Workers are not only exposed to the physical hazards at the

8
workplace, but also different troubles caused due to industrial relation problems. The four
companies were identified based on their location.

Data were obtained through in depth interviews with some of the senior management
staff and direct interview with the workers. At Newage Textile Company, one HR
Manager and one Assistant Finance Manager (both male aged around 40 years) and two
directors (both males aged around 50 years) were interviewed. At Rongdhonu Textiles,
the Assistant Marketing Manager (a male aged around 30 years), an HR executive (a
male aged around 30 years) and the Production Manager (a male aged around 40 years)
provided information. At MBM Garments, the Finance Manager (a male aged around 50
years), a Quality Control Manager and a Deputy Manager (Commercial) (one male and
one female aged around 30 years) were interviewed while at Needle Drop Textile, two
directors (one male aged around 40 years and one female aged around 50 years)
participated in the study. Most of the workers were females in their 20s and 30s. The
study was conducted in such a way that respondents did not suffer discomfort,
embarrassment, or loss of privacy. The research ethics consideration of this study was
demonstrated by ensuring the strictest confidentiality to the research participants.
Employees who would be interviewed were informed in advance to eliminate the element
of an unpleasant surprise. Thus, respondents had given their informed consent before
participating in the research. A brief description of the purpose and benefits of the study
was discussed with the respondents before the interview.

PROCEDURE

The study began with a literature review of our text book and some other related books,
as well as articles in journals related to the research topic. Company records, newspaper
articles, handbooks and magazines were other sources of secondary data. Searching the
World Wide Web for information on the Internet also served as a source for secondary
data. Secondary data gathered through a literature review and opinions of various writers
on issues relating to HR management policies gave an indepth understanding of the study
boundary. Primary data were collected from indepth interviews with the white collar and

9
blue collar people of the companies and these sessions were done face to face. Follow up
discussions were carried out electronically through e-mails and telephone.

The study design had five steps. The first step was to obtain permission to carry out the
research from the directors of the companies. Telephonic permission was asked from the
directors outlining the objectives of the research on the basis of personal relationship.
After acceptance from the company, the next step was to visit the factories in person to
conduct the interviews. In the third step the workers to be interviewed were identified.
After identifying the respondents for the interview, the fourth step was to arrange a
meeting with the interviewees for some preliminary discussions. The final step was to
conduct interviews at the company’s premises.

As the focus of the study was on identifying management – employee relationship of the
textile companies in Bangladesh through qualitative data that were collected through
structured interviews. Structured interviews (30 questions) were carried out in their
working place and each one lasted for about half an hour. However, based on the
respondent’s answers, other relevant questions were also asked. Tape recordings of few
interview were made and later transcribed verbatim into written form. This was done
repeatedly in an effort to retain the essence of what the individual was trying to say.
Notes were also taken during the interview and a summary of each interview was drafted.
The interview drafts and the summarised responses to each question were tabulated and
analysed comparatively to identify key trends.

MEASURES

Based on a comprehensive review of related literature, a set of many criterion was

identified as the factors influencing the relationship between management and employee
for the analysis. These items were grouped into four categories, namely conflict, work
environment, work council and grievances.

COMPANY OVERVIEW

10
Company Rongdhonu MBM Needle Newage
Textile Garments Drop Textile Textile
Limited
Interviews Managing Executive Managing Executive
Director director Director director
Main product Sweater All kinds of Men Shirt Woven Men's
woven Products Boy Shirt formal & dress
Ladies shirts; boys &
Blouse girls formal &
Skirt Etc (all casual shirts
kinds of men’s,
women’s and
kid’s woven
items)
Establishment 2008 1983 2008 1984
year
Mission
Vision
Number of 550+ 2300+ 750+ 1300+
Employees
% foreign 0 0 0 0
Capital
No of foreign 0 1 0 0
expertise
Total Asset 428000 Not Mentioned 1800000 Not mentioned
( US $)
% Sale in 0 0 0 0
domestic
Market
% Of Overseas 100 (USA, 100 (USA, 100 (UK, 100 (USA,
Market Canada) Europe, Japan) Canada, USA, Canada, EU)
India, Turkey,
Germany)
Average Age 20 22 25 22
Average HSC HSC HSC HSC
11
Education
Average 6700+ 8000+ 8000+ 7000+
monthly salary
Business Not calculated 35% 30% 25%
Growth
Sales Growth / 8% US$ 29 million US$ 6-7 US $10 million
Yearly Million
Turnover

ANALYSIS

We have interviewed at least 20 high ranking officials like directors and proprietors of
various garments in the country. Some are situated in Dhaka, and some in Chittagong.
The results that we derived are as follows:

CONFLICT: Table:1:

Organizational conflict is a state of discord caused by the actual or perceived opposition

of needs, values and interests between people working together. Conflict takes many
forms in organizations. There is the inevitable clash between formal authority and power
and those individuals and groups affected.

White collar Blue collar

1.Leadership • Grouping • Interference of management
• No compromise • Seniors get priority
2. Sensitivity • Over reaction • Over reaction
• Wrong decision
3. Carelessness • Responsibility • Lack of support
• Responsibility disbursement

12
4. Dominance • Seniors dominate • Internal relationship
• Labor union deteriorate
• Supervisor
5. Communication • Teams crumble • Misunderstandings
• Misunderstandings • Personal clash
6. Discrimination • Not applicable • Arouse anger
• Unhealthy competition
7. Budget allocation • Intradepartmental • Partiality
conflict
8. Disagreement about • Delay decisions • Obstruct exploration of
core values • Create deadlocks more alternatives
9. Different • Noncooperation • Misunderstanding
values/interest • Misunderstanding • Fall in cordial relation
10. Poor performance • Interfere with • Improper treatment
empathy • Lack of support

Explanation:

In course of conducting the interview with the white collar and blue collar people of the
four textile companies we received data mostly supporting the general concepts and also
in line with secondary data collected by us. But we came across few striking differences
in their opinions too.

The white collar people of the sample companies emphasized that leadership decision
creates more conflict among workers that any other issue. They said that, while selecting
a leader, workers get divided into several groups and none of the groups’ compromise
with each other.

On the other side, blue collar people pointed out gender discrimination of the
management in determining wages, shift and overtime – resulting in management-
employee conflict. According to them the management does not allow female workers to

13
work longer hours and also during night shift. But none of the white collar people from
the textile companies agreed to the point of discrimination.

Furthermore, few respondents from the white collar group has given much stress on the
dominance of the senior and experienced workers over the other workers, for creating
conflict. They strongly commented that those working in the company for quite a long
time or are linked with the labor union gets priority over other workers and tries to
dominate.

WORK COUNCIL: Table:2:

White collar Blue collar

1. Conflict reduction
2. Bargaining power
3. Empowering employees
4. Communication channels
• Fast resolution • Easier procedure
• Mutual understanding
• Fast resolution
• Longer leaves • Could be better off
• Better pay
• Emergency support
• Flexible overtime
unavailable
• Optional shift
• Express wills • Express wills
• Most demands are
• Unionized
fulfilled
• Developed • Better discussion

• Acts as a media • Proper

communication
5. Correct market failures • To some extent • Can rely on

• Myopia view • Often fluctuates

Explanation:

14
In our discussion with the white collar people we found them quite happy with the work
council. But one of them holds a different view. He thinks work council is not successful
in correcting market failures, because they have myopia view. That means they only
think about short term solutions rather than long term solutions.

Most of the blue collar people of the four textile companies were found to be unaware
about Work Council. According to them, their overall situation in terms of job benefits
could be better off. Moreover, they have complaints about getting proper support during
their personal emergencies.

While talking about bargaining power most of the white collar people revealed the
increased bargaining power of employees in terms of longer leaves, flexible overtime,
optional shift and better pay.

WORK ENVIRONMENT: Table 3:

White collar Blue collar

1. Ease of environment
2. Management-employee •
relations
3. Job responsibility
4. Trusted environment
• Individual machines
• Sufficient air and light
• Enough break time
• Friendly environment
Workers respect
• Managers take care
• Cordial
• Limited
• Lack of ability of the
workers to carry on
• Two way trust
• Senior workers are trusted
more
• Mutual dependency occurs
• Pressurized job
• Too much light
• Crowded rooms
• Short break time
• Cordial
• Often formal
• Too much interruption
• Lack of management
confidence
• Senior workers are
trusted
• Lack of expected trust

15
5. Emphasize on human •
factors
6. Organization rules
7. Goals and outputs
8. Helping tendency
Feelings
• Skills
• Enthusiasm
• Set by the firm
• Informed during
orientation
• Everyone is equally treated
• Flexible during emergency
situation
• Allocated concerning
workers ability
• Easily obtainable
• Standardized
• Rare due to competition
• Prevails among group
members
• Absent during peak time
• Rarely
• Only skills
• Mandatory to follow
• Strictly active
• Flexible for higher
level
• No written documents
• Same goal for all
• Obtainable
• Too high during peak
seasons
• Prevalent
• In all respect

Explanation:

Most of the textile companies of our country nowadays follow the government rules in
maintaining work environment in the factories. While visiting the factories we found
little fluctuations in this regard.

The white collar people of the textile companies talked highly about the ease of
environment. They said that, the workers get a healthy physical environment and friendly
workplace. In contrast the workers of the same company complained about congested
sitting arrangements, work load and short time for refreshment. While visiting their
workplace we also found very narrow space between workers.

16
The whole array of the blue collar people talked much about lack of job responsibility
disbursement. According to them management do not have much confidence on them.
Even if some responsibility is given, management interferes a lot. This complaint was not
very specific by the workers of the other three companies.

One of the white collar respondent talked highly about their emphasize on human factors
in deciding the wages, working hours, bonuses, leave, overtime of the workers. He said
that, the high quality product of the company is obtained due to the highly motivated
workers. He thinks that the company strategies are designed concerning the aforesaid
human factors which in turn motivate the workers. This in turn enhances the factory
environment both for the blue collar and white collar people.

GRIEVANCES: Table 4:

White collar Blue collar

1. Absenteeism • Main problem • Common problem
• Regular
• Sudden inspection
2. Insubordination • Not applicable • Not applicable
3. Overtime • Flexible • Flexible

• Fixed during peak season

4. Plant rules • Flexible • Strict enough
• Acceptable • Merely acceptable
5. Wages • Sufficient • Average
• Yearly increment • Yearly increment
6. Decision • Centralized • Too much centralized
making • Simple • Complex

Explanation:

Filing grievances are not much found in our country. But while talking about grievances
we found that both the groups were accepting the presence of the sources of grievance in
their workplace.
17
Both the white collar and blue collar people unanimously pointed out centralized decision
making to be a factor for arising grievances. This observation is similar to the findings of
a study conducted on Palmar Limitee, a Textile Company of Mauritius.

On the other hand blue collar people stated pin pointing the strict plant rules. They said
that, lack of flexibility in plant rules creates much trouble and they are not happy under
these rules. These rules are quite old and require amendments to match with modern
times.

RECOMMENDATION

The recommendations, following the analysis has been prepared at two levels:
employee’s level and management level so as to meet the organizational goals and
objectives and create a better workplace.

At Blue Collars’ level

First of all, it is given that, there is workforce diversity, the ‘melting pot’ approach is
adopted to overcome the differences and become united. There exist vast differences
between the white collar and blue collar groups. Therefore, it is recommended that they
18
assimilate the culture of the organization together without forgetting their own lifestyles
and work styles.

As we have seen above, some degree of conflict is present but it has to be managed to be
functional before it becomes dysfunctional conflict. There seemed to be some tension
between the blue collar and white collar people. This may be due to adjustment problems.
Therefore, it is recommended that the employees take conflict in a good light which can
help them consider and tackle the problems. This solution was previously suggested and
found by Scott et al. (1989) and by Gunnigle (1989) in their study on industrial relations.

Considering another aspect, that of communication, it can be said that there exists
communication gap between the two groups. Suggestions boxes and superior-
subordinate discussion are recommended in which employees can have the opportunity to
identify and discuss their problems with management. But communication problems do
exist among employees as well. Given that the workforce is diversified at the textile
companies, it is recommended that the employees should assume that others are different,
eventually avoiding misinterpretations. However, as Scott et al. (1989) argue, this lack of
“personal distance” between employer and employee can result in both sides taking
issues much more personally when they do arise and with longer-lasting effects on
relations within the company.

Trust is also considered as an important aspect in employment relations. It is only

through trust that relations can be built. The white collar and blue collar people do not
seem to have sufficient mutual trust; therefore it is only recommended that they nurture
the trust as well as showing their trust among themselves.

Finally, the crucial aspect of employment relations lies in participation, involvement and
empowerment which can be attained through training or seminars. It is recommended that
training is provided to both management and employees on this issue .This will in turn
help the employees to feel more committed to their jobs by creating awareness.

19
Lastly, as far as the situation employees are concerned, it has seemed to remain stagnant
without any change, positive or negative. It is recommended that management take the
matter into consideration and thus devise a strategy which can benefit the companies as a
whole.

At White Collars’ level

At management level, it is recommended to bring more changes especially as far as

employee involvement and empowerment are concerned. Total Quality management can
bring changes as it lays emphasis on the importance on employee involvement as well as
joint consultation. It is recommended that management consider the introduction of TQM
and TQM initiatives can empower management in the sense that they become more
flexible and let go of the autocratic structure by adopting flatter structures.

Given that, majority of management have that the needs and interests of employees are
important, management have to devise a strategy to benefit both management and the
employees; as the results show that the employees’ are not better off. It is recommended
20
that management provide incentives, rise in wages and if possible fringe benefits to the
employees which will motivate the employees.

Given that the conflict level seems to be optimal, neither too low nor too high; is it
recommended that management continue managing the conflict and maintain it to where
it is.

CONCLUSION & IMPLICATION

Our study was an exclusive approach to find out the current aspects and scenario of the
industrial relationship in the textile companies of Bangladesh. From our study we found that,
most of the textile companies tend to follow more or less same style and environment in case
of industrial relation( though there exists some significant exceptions like that of , MBM
Textile Company’s focus on human factors in designing their strategies to motivate the
workers). From our study we summarized the overall industrial relationship in the textile
sector.

Through the analysis, our study revealed few solutions which can contribute to the
development of existing relationship between the white collar and blue collar people. We
propose these solutions for all the textile companies operating in Bangladesh, because we
believe that, this is the best possible way that can help the authority of any textile companies
operating in Bangladesh, to achieve an ideal relationship between the white collar and blue
collar people.

With regards to the process of employee relations in the four aforesaid textile companies,
it is clear that employee relations processes in these firms are distinctive and complex and
involve the interaction of many variables, both internal and external. The environment is
not conflict-free, however, but rather conflict is more covert or manifests itself at a more
personal level.
According to research findings of Opatha, (1994), Peterson and Lewins, (2000),
Adikaram & Rupasiri (2007), Nurse & Devonish, (2007) grievance problems are mostly
created due to centralized decision making and unacceptability of plant rules. In our study
21
we also found the same thing. More over training requirement of both the white collar
and blue collar people was emphasized by the study on Palmar Limitee of Mauritius.
Similarly, we have also derived the importance of training in order to develop the
industrial relationship in the textile sector.

To develop the present industrial relation between the white collar and blue collar people,
implementation of the recommendations are necessary. Moreover, industry leaders
should take steps to train both the white collar and blue collar people to enhance the
industrial relationship. Government of Bangladesh needs to ensure implementation of the
labor law and other laws relating to the Textile industry. Furthermore, to have a healthy
industrial relation in future, the blue collar people should try to follow the rules and also
cope with the situation.

REFERENCES

1. http://www.scribd.com/doc/7707539/Causes-of-Conflict-in-the-Workplace
2. http://en.wikipedia.org/wiki/Workplace_conflict
3. http://www.britannica.com/EBchecked/topic/287069/industrial-relations
4. http://www.wiley.com/bw/submit.asp?ref=0019-8676
5. http://www.awna.com.au/industrial-relations-articles.htm
6. http://www.sciencedaily.com/articles/science_society/industrial_relations/

22
 7. http://www.questia.com/library/sociology-and-anthropology/labor-and-
work/industrial-relations.jsp
8. http://rmit.libguides.com/content.php?pid=19769&sid=138246
9. http://www.irle.berkeley.edu/indrel/
10. http://humanresources.about.com/od/laborrelations/Labor_and_Industrial_Relatio
ns.htm
11. http://www.ilr.cornell.edu/ilrreview/
12. http://books.google.com/books?
id=Z15hFQcXz_oC&pg=PA538&dq=articles+on+industrial+relations&hl=en&ei
=D0G-
TZH0H4LorQe1iN2BBg&sa=X&oi=book_result&ct=result&resnum=1&ved=0C
DYQ6AEwAA#v=onepage&q=articles%20on%20industrial
%20relations&f=false
13. http://en.wikipedia.org/wiki/Works_council
14. http://www.eurofound.europa.eu/emire/GERMANY/WORKSCOUNCIL-DE.htm
15. http://www.importgenius.com/shipments/palmar-limitee.html

23
 APPENDICES

Appendix A: Questionnaire
Industrial Relation system in Textile Industry in Bangladesh:
A demographic Informed Case Study
SECTION A: PERSONAL CHARACTERISTICS
Please tick the appropriate box and answer questions where required.
1. Sex • Male • Female
2. Marital status • Single • Married
3. Position/ Title
4. Section/
24
Department
5. Length of • 0-5 • 6-10 • 11-15 • 15 years
service in the years years years and
present textile above
mill
6. You work in: • Team • Single

SECTION B: CONFLICT
Below are some statements. Please rate the extent to which you agree or disagree
according to the following scale and encircle or tick the appropriate number.
(Strongly Agree=1,……. Strongly =5)
1 2 3 4 5
1. Very often conflict arises among colleagues in your department
2. There is conflict present between you and your supervisor
4. There exists conflict between members of your department/section
and other departments/sections
4. Conflicts have negative effect on your performance

COMMENT:
……………………………………………………………………………………………
……………………………………………………………………………………………
…………………………………………
SECTION C: WORK COUNCIL
1 2 3 4 5
1. The worker’s council is helping in empowering employees
2. The employee’s situation is better off than how it was some two years
ago
3. The worker’s council has helped in creating the “ideal” climate for
the employees to work
4. You are satisfied with what the Worker’s Council is doing for the
employees
5. You feel confident and safe about having a Worker’s Council

COMMENT:

25
……………………………………………………………………………………………
……………………………………………………………………………………………
…………………………………………

SECTION D: WORK ENVIRONMENT

1 2 3 4 5
1. The climate within which I work is relaxed and easy going.
9. Management-employee relations are cordial.
10. Employees are allowed to take the responsibility for their job.
11. Those who can achieve productivity are highly trusted.
12. The principal emphasis of management is human factors (how
people feel….)
13. The management has spelt out firm set of rules and norms which
you, as employees, are supposed to abide by strictly.
14. When management provides information, it specifies the goals in
terms of outputs and methods.
15. Management is ready to build a bond of trust with the employees.
16. Employees are keen to help each other in the organization in the
way that they work.
17. Every suggestion made by an employee is taken into consideration
and then the decision is fed back to him within a short time.
18. Employees believe in team-working rather than individuals teams.
19. Employees are demotivated when they feel that they are not being
informed and consulted.

COMMENT:
……………………………………………………………………………………………
……………………………………………………………………………………………
…………………………………………

SECTION E: GRIEVANCES
1 2 3 4 5
7. The extent of formal and active Grievance Settlement Procedure
(GSP) in your textile mill is satisfactory
8. The GSP is very speedy to deal with troubles
9. The settlements provided by GSP are always acceptable
26
10. The performance of GSP at lower level is satisfactory
11. It is very simple to deal with the GSP
12. The decision making process of the GSP is participative
13. GSP always takes fair decisions

COMMENT:
……………………………………………………………………………………………
……………………………………………………………………………………………
…………………………………………

Appendix B: Company Brochures

Newage Garments Ltd.
Established in 1984, the company has been successfully exporting formal & dress
shirts for over two decades to exacting standards. With 220,000 pieces per month
production capacity, fabrics used are numerous and include solid and yarn dyed
COTTON, CVC, TC, POPLIN, POLYESTER, TWILL and DOBBY sourced from local and
regional suppliers. These products are supplied in various STAIN RESISTANT,
WRINKLE FREE, TEFLON, PEACH, SOFT and MERCERISED finishes. Our buyers are
happy to lean on us for product development based on a large collection of fabric
gathered from our extensive network of suppliers. Our representatives remain in
constant touch with these suppliers keeping track of their latest advances. We take
pride in being able to accommodate our buyers' fabric requests.

The 5,000 square metre factory is situated in Dhaka and employs over 1,300 people.
The factory has received certification from a number of our buyers who are satisfied
with our work practices

Quality Assurance:
We inspect up to 10% of all inbound fabric consignments at our premises using 4
points system. If incidence of defects rises above normal range in this initial random
check, the full quantity is inspected to assure acceptability of consignment.

Consistency of quality of production at each machine is controlled through traffic

light system marshalled by a team of quality inspectors reporting directly to
Managing Director. At end of the production all shirts are checked on leaving floor
and again before packing.

We use AQL level 2.5 for in house inspections, though other standards are also used
during third party inspections as demanded by the buyers.

Satisfied with our consistent supply record of superior shirts, one of our major
European customer has accorded Newage Garments the honour of QCC0 status. This
means, buyer totally rely upon our own inspection system for acceptance of their
merchandise.

Major Buyers:

27
 • C&A
• Carrefour
• Capital Mercury (J.C Penney, Sears, Wal-Mart)
• Auchan
• Ash City
• David Howard (Burton, BHS)

We place great emphasis on satisfying our buyers' requirements and have built an
award winning business on this philosophy. We welcome your enquiries and sincerely
look forward to working together.

Company profile:

Date of formation: December 20, 1983

Nature of business: Woven garments manufacturing & export
Factory address: 42/I, Indira Road, Dhaka-1215, Bangladesh
Annual Turnover/ USD US $10 million
Exporting countries: USA, Canada, EU
Production capacity: 220,000 pieces/ month
Woven Men's formal & dress shirts; boys & girls
Types of products:
formal & casual shirts
Quota category: 340 (USA); 341 (USA); 45 (6.0- Canada),7 & 8(EU)
No. of basic machines: 746
No. of workers: 1320
Standby self power generation; embroidery; QCC-1
Features & achievements
status; CAD, in-house testing facilities

28