DEFINING IR

Industrial relations encompasses a set of phenomena, both inside and outside the workplace, concerned with determining and regulating employment relationship Relationship between management and employees or among employees and their organization that characterize and grow out of employment.

Theories and Concepts Used to Analyse Industrial Relations

Approaches Used to Define Industrial Relations

(1) Institutional-based definitions: industrial relations are the sum of institutional processes that establish and administer the rules regulating workplace relations
Social Psychology-based definitions: industrial relations are the sum of social psychological interactions between individuals Class-based definitions: industrial relations are the sum of institutions, interactions and processes that are a product of wider social and economic influences, in particular the class divisions of contemporary capitalism

(2)

(3)

Approaches Used to Define Industrial Relations

(4) Human Resource Management: contracts of employment (involving trade unions, worker collectives, labour courts and government agencies), as well as management of conflict arising out of the personal interactions of individuals in the workplace, are part of labour management functions ( i.e. recruitment, selection, training, development, performance management, and so on) (5) Employment Relations (or Employee Relations): contracts of employment (involving trade unions, worker collectives, labour courts and government agencies), as well as the management of conflict arising out of the personal interactions of individuals in the workplace, are part of workplace relations, together with the normal functions of Human Resource Management.

FACTORS AFFECTING IR
Institutional factors Economic factors Technological factors Dynamic and changing Governments role

Wide coverage

OBJECTIVES OF IR
To enhance economic status of worker To avoid industrial conflicts and their consequences To extend and maintain industrial democracy To provide an opportunity to the worker to have a say in the management decision making To regulate production by minimizing conflicts To provide forum to the workers to solve their problems through mutual negotiations and consultations with management To encourage and develop trade union in order to develop workers collective strength

NATURE OF IR
IR arise out of employer employee relations IR is a web of rules: formed by the interaction of Govt, industry & labor IR is multi dimensional: influenced by complex set of institutional. economic & technological factors IR is dynamic and changing: keep pace with employee expectations, trade unions, employer associations and other economic and social institutions of society IR is characterized by forces of conflict and compromise. Individual differences and disagreements resolved through constructive means. Govt influences and shapes IR: with its laws, rules, agreements through executive and judicial machinery Scope of IR is very wide as it covers grievances, disciplinary measures ethics, standing orders, collective bargaining, participatory schemes and dispute settlement mechanism etc Interactive and consultative in nature: in resolving conflict,controversies and disputes between labor and management.

OTHER APPROACHES OF INDUSTRIAL RELATIONS

( DIFFERENT SCHOOLS OF THOUGHT )

PSYCHOLOGICAL APPROACH Differences in the perceptions of labor and management wrt factors influencing their relations i.e. wages. Benefits, services and working conditions etc Dissatisfaction compels workers to turn aggressive and resort to strike, lockouts and etc. SOCIOLOGICAL APPROACH Sociological factors such as value system, customs and traditions etc affect the relations between labor and management . HUMAN RELATIONS APPROACH Human behavior is influenced by feelings, sentiments and attitudes. As per this approach humans are motivated by variety of social and psychological factors like economic and non-economic awards to be used. GIRI APPROACH Collective bargaining and joint negotiations be used to settle disputes between labor and management. Outside interference to be avoided.

GANDHIAN APPROACH worker's right to strike but cautioned that this right be exercised in just cause and in a peaceful and non-violent manner for minimum wages etc like satyagrah- Non violent noncooperation

PARTIES TO IR

EMPLOYEES

EMPLOYERS

EMPLOYEE ASSOCIATIONS

EMPLOYER-EMPLOYEE RELATIONS

EMPLOYER ASSOCIATION

GOVERNMENT

COURTS & TRIBUNALS

SIGNIFICANCE OF IR
INDUSTRIAL PEACE
Both the parties consult each other before initiating any action, they primarily focus on goals that are realisable without overstepping Their territories.

INDUSTRIAL DEMOCRACY
The process of joint consultation paves the way for industrial democracy. This motivates workers to give of their best to the organisation and share the fruits of progress jointly with management.

IMPROVED PRODUCTIVITY
Cordial relation between labour and management ensures uninterrupted production .

BENEFIT TO WORKERS
When the production increases company would be in a position to offer fair economic and non economic incentives to its employees.