LAB OUR MANAGEMENT RELATIONS

(A) Meaning
According to the international lab our organization(ILO),”Industrial
relations deal with either the relationship between the state and
employers’ and workers’ organizations or the relation between the
occupational organizations themselves.”
Analysis of the definitions
(a) Industrial relations are the relations mainly between employees and
employer.
(b) Industrial relations are the outcome of the practice of human resource
management and employment relations.
(c) These relations emphasis on a accommodating other party interest
values and needs.
(d) Industrial relations are governed by the system of rules and
regulations concerning work, work place and working community.
(e) The government influence and shapes industrial relations through
industrial relations policies, rules, agreements, mediation, awards acts
etc.
Characteristics of industrial relations
(i) Industrial relations are outcome of employment relationship in an
industrial harmonious relations
(ii) Industrial relations develop the skills and methods of adjusting to
and cooperating with each other
(iii) Industrial relations system create complex rules and regulations to
maintain harmonious relations
(iv) The government-involves to shape the industrial relations through
laws, rules, agreements awards etc.
Peculiar features of industrial work
1. The industry is the association of large number of workers,
supervisors managerial personal consultants and other stakeholders
industry brings all these people together as a group to do the same
work.
2. The industrial work reduces workers independence.
3. The workers new to the industry find it difficult to follow the rules
and regulation and lead highly disciplined organizational life.
4. Wage/salary is the main factor to attract workers and skills and
abilities are the main factors to get suitable job.
5. Industrial employment is mostly based on economic considerations.
Employers buy the lab our and workers sell it.
 Factors of industrial relations
1. Institutional factors
2. Economic factors
3. Technological factors
4. Social and cultural factors
5. Political factors
6. Government factors
Three actors of industrial relations
1. Workers and their organizations
2. Employers and their organization
3. Government
CONTRAST BETWEEN HRM AND IR
Human resource management
1. There are only two important parties’ viz. employees the employer.
2. Formulations of objectives, policies, procedures and programmers of
human resources and implement them.
3. Reformulates the objectives, policies etc. based on industrial conflicts
which are the outcome of unsound industrial relations.
4. Individual employee contact with the immediate superior.
Industrial relations
1. These are four important parties viz. employees employer, trade
unions and government.
2. the implementation of HRM policies results in it
3. the sound IR contributes to the organizational goals. The unsound IR
result in industrial confluent demanding for change and reformulation
of HRM objectives and goals.
4. Employees contact even the top management as a group.
Principles of sound industrial relational
(i) Recognition of the dignity of the individual and of his right to
personal freedom and equality of opportunity.
(ii) Similarly there has to be an understanding between the various
organizations of employees and employees who represent the
management and workers.
Objectives of industrial relations
1. To promote and develop congenial lab our management relations.
2. To enhance the economic statue of the workers by improving wages,
benefits and by helping the workers in evolving sound budget.
3. To regulate the production by minimizing industrial conflicts through
state control.
 4. To provide an opportunity to the workers to have a have a say in the
management and decision making
5. To encourage and develop trade unions in order to improve the
workers strength
6. To avoid industrial conflict and their consequences; and
7. To extend and maintain industrial democracy.
Functions of industrial relations
1. Communication is to be establishing between workers and the
management in order to bright the traditional gulf between the two.
2. To establish a rapport between managers and the managed.
3. To lay down such considerations this may promote understanding,
creativity and co-operative to raise industrial productivity, to ensure
better workers participation.
FUNCTIONS OF INDUSTRIAL RELATIONS STAFF
1. Administration, including over-all organization and coordination of
industrial relations policies and programmers.
2. Liaison between outside group and personal offices as well as with
various level of management
3. Legal, including drawing regulations rules law or orders and
construction and interpretation.
4. Recruitment and employment of employees.
5. Placement, including induction and assignment
6. Performance report or merit rating
FACTORS CONTRIBUTING FOR HARMONIOUS INDUSTRIAL RELATION
1. There is a full acceptance by management of the collective
bargaining process and of unionism as an institution the company
considers a strong union as an assent to the management
2. The union is strong responsible and democratic
3. The company stays out of the internal affairs of the union its does not
seek to alienate the workers
4. Mutual trust and confidence exists between the parties there have
been no serious ideological incompatibilities.
5. There are widespread union-management consultations and highly
developed information sharing.
6. Neither party to bargaining adopts legalistic approach to the solutions
of problem of relationship
7. The environment factors do not by themselves cause peace but they
create conditions to develop it.
 Characteristics of collective bargaining
1. It is a group action as opposed to individual action and is initiated
through the representative of workers.
2. It is flexible and mobile, and not fixed or static.
3. It is a two-party process
4. It is a continuous process
5. It is dynamic and not static because it is a relatively
6. It is industrial democracy at work.
7. Collective bargaining is not a competitive process
8. It is art an advanced form of human relations.
Importance of collective bargaining
(i) In create the economic strength of unions and management;
(ii) Establish uniform conditions of employment with a view to
avoiding industrial disputes and maintaining stable peace in the
industrial.
(iii) Secure a prompt and fair redressed of grievances.
(iv) Avoid interruptions in work which follow strikes go-slow tactics
and similar coercive activities;
(v) Lay down fair rates of wage and norms of working conditions
(vi) Promote the stability and prosperity of the industry
Need for collective bargaining
1. A high degree at collective bargaining as measured in terms of the
proportion of workers covered by collective agreements.
2. Qualitative conduct of the parties to collective bargaining both before
a situation warranting negotiation develops and the methods followed
at the time of arriving at agreements.
3. The right priorities assigned to different method in the agreement and
their changing pattern over time etc.
Principle of collective barging
1. Collective bargaining should be made an educational as well as a
bargaining process. It should offer to trade union leaders an
opportunity to present to the management the wants.
2. the management and the trade union must look upon collective
bargaining as a means of finding the best possible solution.
3. there must be mutual confidence and goods faith and a desire to make
collective bargaining effective in practice.
4. Both the parties to a dispute should command the respect of each
other and should have enough bargaining power to enforce the terms
of the agreement that may be arrived at.
Forms of collective bargaining
1. It may be single plant bargaining, that is bargaining may be between a
single trade union. This type of collective bargaining prevails in the
united states and India.
2. It may be a multiple plant bargaining that is, bargaining may be
between a single factory or establishment having several plants and
the workers employed in all these plants.
In India, collective bargaining has been classified under four categories.
These are;
1. Agreements which are negotiated by officers during the course of
conciliation processing and are called settlements under the industrial
disputes Act.
2. Agreements which are conclude by the parties themselves without
reference to a board of conciliation and are signed by them copies of
such agreements however are sent to appropriate sent to appropriate
governments and to conciliation officers.
3. Agreements which are negotiated by the parties on a voluntary basis
when disputes are sub juice and which are later submitted to industrial
tribunals, lab our courts or lab our arbitrators for incorporation into
the documents as parts of a awards. These are known as consent
awards.
Essential condition for the success of collective bargaining
a. Constructive consultation between trade union and management is
possible only when the bargaining power of two parties is relative
equal and is exercised with responsibility and discrimination.
b. Two parties of collective bargaining accept the principle of free
consultation and free enterprise consistent with the advancement of
public interest.
c. The willing acceptance by management to recognize representative
union for the purpose.
d. Both the parties must have mutual confidence, good faith and a design
to make collective bargaining machinery a success.
e. An emphasis upon a problem solving approach with deemphasize
upon excessive legalism.
f. Dispose of the issues in the same meeting and minimize of the
pending of items.
g. Both the parties should represent the right and responsibilities of each
other.
h. The process of bargaining should be free from unfair practices.
 Functions of collective bargaining
(i) Increate the economic strength of employment
(ii) Establish uniform condition of employment.
(iii) Secure a prompt and fair redresses of grievance.
(iv) Lay down fair rates of wage ad other norms of working conditions.
(v) Achieve an efficient functioning of the organization
(vi) Promote the stability and prosperity of the company
(vii) It provide a method of the regulation of the conditions of
employment of these who are direct concerned about them.
Negotiation
a. Identification of problem
b. Preparing for negotiations
c. Negotiation of agreement
For union and management
a. Be friendly in negotiation introduce everybody. Relieve the existing
tension.
b. Be willing to listen there would be time enough for you to worry about
things and say no after you have heard all the facts
c. Know something about the personal history of the other party
representative.
d. Always bear in mind the fact you have to do what is right and fair.
e. Avoid the insertion of specific regulations or details in the contrast to
ensure greater flexibility.
f. Search for the correct solution at all times.
g. Avoid sharp practices
h. Keep the membership of the conference as small as possible small
groups facilities successful negotiations.
Factors hindering the functioning of collective bargaining
1. The failure of some employers to accept trade unions as a permanent
feature of the collective bargaining.
2. the non-availability of factual information
3. Unfair practices
4. the unequal strength of the parities both sides should be strong enough
the responsibilities which are inherent in the bargaining process and
5. The absence of a willingness on the part of either party to assume the
responsibilities which are inherent in the bargaining process
MANDATORY BARGAINING ITEMS
Wages
Hours of work
Discharge
Arbitration
Holidays, paid
Vacations paid
Duration of agreement
Grievance procedure
Lay-off plan
Reinstatement of economic strikes
Change of payment from
Hourly base to salary base
Union security and check-off
Work rules
Merit wage increate
Work schedule
Lunch periods
Rest periods
Pension plan
Bonus payments
Promotions
Company
Seniority
No strike clause
Severance pay
Non-discriminatory hiring of hall plant rules
Safety
Super-seniority of union
Over-time pay
Sick leave
Company house
Sub-contracting
Policies
Charge of employee
Semiotic in unit
Suggestions for the effective functioning of collective bargaining
(i) There must be a change in the attitude of employers and
employees
(ii) Collective bargaining is best conducted at plant level.
(iii) Employers and employees should enter upon negotiations on
points of difference or on demands with a view to reaching an
agreement.
(iv) Negotiations can be successful only when the parties rely on
facts and figures to support their point of view.
(v) To ensure that collective bargaining functions properly unfair
lab our practices should be avoided and abandoned by both
sides.
(vi) Once an agreements is reached it must be honored and fairy
implemented.
Indian institute of personnel management offered the following suggestions
(i) A truly representative enlightened and strong trade union should
come into being and should function on strictly constitutional
lines.
(ii) There should be a progressive and string management which is
conscious of its obligations and responsibility to the owners of the
business to the employees the consumers and the country.
(iii) There should be unanimity between lab our and management on
the basic objectives of the organization and of the workers and a
mutual recognition of their rights and obligations.
(iv) When there are several units of the company there should be a
delegation of authority to the local management and
(v) A fact-finding approach and a willingness to use new tools –for
example industrial engineering – should be adopted for the
solution of industrial problems.