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Project Write-up:

Industrial Relations and Industrial Disputes: Roles of Trade Unions, Management and
Appropriate Government
Group-2
Members: Adarsh PS(HR01001), Arjun Babu (HR01003), Deepak CR(HR01005), Tirtham
Mukherjee (HR01014)
Industrial Relation:
Industrial relations might be characterized as the relations and communications in the
industry, especially between the work and the executives because of their composite
perspectives and approaches to the administration of the issues of the business, for the
improvement of the administration and the laborers as well as of the company and the
economy all in all.
The term Industrial relations clarify the relationships among workers and the executives,
which stem straightforwardly or in a roundabout way from association boss relationship.
Industrial relation is the relation in the business made by the assorted and complex
perspectives and approaches of both administration and laborers regarding the company’s
administration.
According to Ordway, Read, and Metcalf, “Industrial relation is the composite result of the
attitudes and approaches of employers and employees towards each other concerning
planning, supervision, direction, and coordination of the activities of an organization with a
minimum of human efforts and frictions with an animating spirit of cooperation and with
proper regard for the genuine well-being of all members of that organization.” We can also
take the definition given by Mr.V.B.Singh, “Industrial relations are an integral aspect of
social relations arising out of employer-employee interaction in modern industries, which are
regulated by the State in varying degrees, in conjunction with organized social forces and
influenced by prevailing, institutions. This involves a study of the State, the legal system,
workers’ and employers’ organizations on the institutional level; and that of patterns of
industrial organization (including management), capital structure (including technology),
compensation of labor force, and the forces of the market on the economic level.”
Objectives of Industrial Relation:
The Labour Management Committee of the Asian Regional Conference of the ILO has
recognized certain fundamental principles as objectives of social policy in governing
industrial relations to establish harmonious labor-management relations.
They are:

(i) Good labor-management relations in industry depend upon employers and trade
unions resolving their problems mutually, freely, independently, and responsibly.
(ii) The trade unions and employers, and their organizations must be desirous of
resolving their problems mutually through collective bargaining. However, the
assistance of appropriate government agencies may be sought in determining the
problem whenever necessary in the public interest. Therefore, collective
bargaining is the cornerstone of good relations, and applicable legislative
measures must be adopted to aid the maximum use of this accommodation
process.
(iii) The workers’ and employers’ organizations should be desirous of associating with
government agencies keeping in view the social, public, economic, and general
measures affecting the relations between the two parties.

The committee, therefore, emphasized the need for the management to acquire a fuller
understanding of human factor in production and must use the appropriate methods of
employees’ selection, promotion and training, wage administration work rules and labor
discipline, lay-off and dismissal procedures, etc. and other policies and procedures and
practices to improve labour and personnel relations.

Industrial Dispute:

Industrialization in a nation has consistently added to the business, commitment to public


pay, other. It has always been the situation of a blended gift. The irreconcilable standing
among the executives and work is the thing that prompts modern debates. The administration
has an objective of benefit expansion. Then again, the specialists anticipate ascending in pay,
work security, insurance of their abilities, improvement in their status, and functioning
conditions. The individuals who control the creation components require severe organization,
closer management, and upkeep of extreme discipline and the execution of rules, principles,
and code of discipline. However, the specialists request an offer in the capital, voice in the
administration, the opportunity of articulation, support in administration, and respect of
workers. So, individuals who control the variables of creation and individuals who
consistently produce have unique or clashing interests, bringing forth modern questions.

According to the Industrial Dispute Act, 1947. Section 2 (K) “Industrial Disputes mean any
dispute or difference between employers and employers or between employers and workmen
or between workmen and workmen, which is connected with the employment or non -
employment or terms of employment or with the conditions of labour of any person”
Causes:
Modern questions are typical of every industrialized economy, regardless of whether it is an
entrepreneur economy or communist economy, or blended economy. Industry and current
debate consistently go inseparably; they are the cut out of the same cloth. The representatives
who give their administrations and time to the business are keen on higher wages, excellent
working conditions, and need a voice in the administration. The companies then again are
keener on benefits, usefulness, quality, and control of cost. With both these powers acting
inversely, there is the greatest chance of questions; thus, modern debates have become a
significant industrialization element. Industrial disputes might emerge out of financial,
political, social, or from socio - monetary foundations. Simultaneously the mentality of the
businesses and workers is likewise capable by and large. The variables prompting modern
debates might be industry-related, executives-related, government-related, or association-
related.
The most common causes of industrial disputes can be listed as:
1. Wages and Allowances
2. Personnel Policies
3. Retrenchment
4. Lay off
5. Leave and hours of work
6. Bonus
7. Indiscipline
8. Violence
9. Inter-Union rivalry.
10. non-implementation of awards or agreements
11. non-fulfillment of demands
12. Workload
13. Work standards
14. Surplus labor
15. Working conditions
16. Change of manufacturing process
17. Violation of rules or codes
18. Shift working
19. Political motives
20. Closure or lockouts
21. Inability to communicate effectively
22. Refusal to recognize unions
23. Authoritarian or autocratic attitude of management.
24. non-implementation of labor law.
Role of Union in Industrial Dispute:
1. One of the most critical roles that labor unions perform is that when there is a dispute
in the workplace, the union acts as an intermediary between employers and business
owners. Labour union leaders are experienced at solving problems through formal
arbitration and grievance procedures. Instead of viewing this process as contentious,
business owners should welcome the involvement of a union representative because it
can expedite the resolution. When issues arise at the workplace between you and your
employee, the goal is to secure a “win-win” in which both sides feel they have
attained something from the deal.
2. Every labor union in India operates under what is known as the collective bargaining
agreement, which helps secure fair wages, working hours, benefits, and the standards
necessary for wage increases. The collective bargaining agreement also protects your
employees from being fired without just cause, which protects you from litigation
because you can only terminate a worker if that worker violated your company’s
standards and policies. Some employers view the collective bargaining agreement as a
necessary evil. Still, it would be best if you considered it as a way to save your
company the time and money of having to negotiate wages, wage increases, and
benefits on your own.
3. The goal of most labor unions isn’t to create conflict with your business; the goal is to
ensure that employees are treated fairly and that they feel comfortable and secure on
the job. When that goal is achieved, employees tend to stick around instead of finding
a more favorable situation. Union members earn an estimated 30 percent more in
wages than non-unionized workers, and 92 percent of unionized workers have health
insurance, compared to only 68 percent of non-unionized workers.
4. Another union benefit is that union workers are much more likely to secure
guaranteed pensions than are non-unionized workers. By ensuring fair wages and
benefits, labor unions help keep the membership content. Workers who are satisfied
with their jobs are more likely to work hard instead of looking for a quick way to exit
your company.
Role of Government in Industrial Dispute:
The Industrial relations processes, and the connections among representatives and
managers, are impacted by the public authority and its offices through the public
authority’s development, passing, and execution of pertinent modern relations law,
arrangements, guidelines, and so forth. The legitimate structure inside which Industrial
Relations should work is dictated by the public authority and its organizations, potentially
in meeting with other job players in the modern relations processes.
These incorporate things, for example, worker’s guild agents, businesses, and select
representatives. The legitimate system can be the lawful limits forced on a
business/representative relationship. For instance, the measure of hours a representative is
permitted to work each week lawfully and how much a business is committed to paying a
worker for a specific measure of work. In South Africa, for instance, the BCEA (Basic
Conditions of Employment Act) can be viewed as a legislative commitment to overseeing
the connection among businesses and representatives and can, as such, be viewed as the
public authority’s commitment to directing the cycles of modern relations. The public
authority can likewise turn out to be straightforwardly or in a roundabout way engaged
with the modern relations processes when limits are exceeded, or arrangements turn out
badly. The public authority could become engaged with, for instance, resolving a modern
relations debate in court or changing or correcting an arrangement that has substantiated
itself imperfect, obsolete, or recently insignificant after the result of a specific case or set
of exchanges.
Role of Management in Industrial Dispute:
Top-level management must communicate and negotiate with employee organizations to
avoid strikes, lawsuits, and protests. This management level interacts with employee
organizations on a large scale, as opposed to lower tiers of management which mostly
rely on human resources to conduct employee interactions.
Low-level (or local) management interacts with employees individually (often through a
human resource department). All levels of management are involved in industrial
relations, but low-level control has little or no say in big-picture decisions (employee
compensation and benefit alterations).
In an industrial relations negotiation, management represents the company's interest (and
shareholders, if applicable). Management must work with employees to develop
compensation packages and policies that are acceptable for both parties.
When the relationship between management and employees sours, administration may be
forced to develop a crisis-management plan. Suppose an employee organization initiates a
large-scale strike or protest. In that case, management must act quickly (either give in to
employee demands or find an alternate solution) to avoid crippling profit losses.

Reference:
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13. https://www.britannica.com/topic/labour-law/Trade-unions-and-industrial-relations

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