Q1.

The industrial relations scenario has been perceived differently by different practitioners
and theorists’, Explain.

Answer

Introduction:- In industrial relations, the term ‘industry’ implies a productive activity in which an
individual or a group of individuals are involved, and the term ‘relations’ implies the relationships
between an employer and an employee at the workplace. The employees may be represented by a
union of workers. Industrial relations is a field that studies the rela-tionship between employers
and employees so that their interactions can be managed effectively. The industrial relations field is also
known as employee relations and sometimes labour relations. It primarily deals with areas related
to employment situations, including collective bargaining, trade unions, labour laws, and labour
management relations.

Concept and application:-let us see all the different approaches-

 ‰ Psychological approach: This is the traditional approach of industrial relations where

the management and the workers psychologically perceive each other. Negative perceptions
about each other lead to conflicts. These perceptions are influenced by various economic and
non-economic factors such as educational levels, transparency in communication, values, goals,
prestige, recognition, and security. Both the parties need to realign their attitudes
to achieve peace in the workplace.
 ‰ Sociological approach: Industrial relations depend on social factors of beliefs, customs,
rationality, and acceptance of change at the workplace. Additional social factors such as
housing, transportation, family structure, and stress also play a significant role in
influencing perceptions.
 Human relations approach: Industrial relations depend on the human resource at the
workplace. Their needs of freedom of expression, movement, and speech affect their
perceptions and behaviour. If the employer treats them casually without a consideration
of their feelings, conflicts are inevitable. To prevent and resolve such conflicts, it is
necessary for employers to understand and consider the needs and motivators of workers, such
as job satisfaction, engagement, and recognition.
 ‰ dunlop’s approach: This approach is named after its inventor, Professor john T. Dunlop of
the Harvard University. He defined industrial relations as a system comprising certain actors at a
work-place. The system also includes the context, ideology, and rules to govern the actors at the
workplace. The context includes the workplace environment, market, budget, and power
centres, which influence the actors. For example, the manufacturing industry has a
different context than the fashion industry. The market may be highly competitive or
monopolistic. The ideology defines the roles of each actor. The actors establish the rules for the
workplace and the community. These rules govern the compensation, duties, responsibilities,
and rights of the workforce and disciplinary issues.
 ‰ oxford approach: The Oxford approach is promoted by Flanders. According to him, a business
is a social system with a structure of relationships. The industrial relations field is a study of
 institutions of job regulations, such as work rules, wage structure, griev-ance procedures, and
trade unions. The formula to express industrial relations is as follows:
‰ r = f (b), or r = f (c)
Here:
‰ r = rules governing industrial relations
‰ b = collective bargaining
‰ tc = conflict resolved through collective bargaining
‰ The Oxford approach focuses on the political process of collective bargaining and side line
aspects, such as technology, market, and ideology. The Oxford approach is generally perceived
to be a narrow approach.
 ‰ weber’s social action approach: This approach emphasizes on the power to control the
context of bureaucratic environment and work organizations. It analyses the effect of politico-
organizational and techno-economic changes on the structure and processes of trade
unions, the subjective interpretation of workers’ approach
to trade unions, and the power of the employers, government, political parties, and unions.
 ‰ Gandhian approach: Mahatma Gandhi’s approach to labour issues focused on areas of
wage fixation, working conditions, functions of trade unions, utility of collective bargaining, use
and abuse of strikes, labour indiscipline, and workers’ participation in management. Gandhi
emphasised that strikes should be the last op-
tion after all peaceful methods of negotiations, conciliation, and arbitration have been
exhausted. He indicates the following three conditions for a successful strike:
‰- There should be a just cause for the strike.
‰ -It should be a non-violent strike.
‰ -Non-strikers should not be molested.
Gandhi appealed workers to consider the machinery as a trustee and protect it. He promoted
mutual respect and peace as essential for the growth of the industry as well as for the
improvement of work conditions.

Conclusion: According to Encyclopaedia Britannica, “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 workplace, collective relations between employers and their organizations and trade
unions and the part played by the state in regulating these relations.

Q2. Trade unions in India have evolved after independence. Elaborate.

Answer

Introduction:- A trade union is formed when a group of workers get together to achieve a
common objective, such as better wages or working con-ditions or welfare benefits. The trade
union then bargains with the employer through its representatives. Trade unions perform various
functions, such as negotiating with em-ployers on labour related issues, any changes affecting the
workplace, and concerns of members. Any agreement finalised with the employ-ers are binding on the
union members.In this chapter, you will study various important aspects of trade unions. Next, the
chapter explains trade union theories. In addition,
the chapter describes the constitution and development of trade unions. Moreover, you will
study about trade union movements and the roles of trade unions as collective bargaining agents.
Some of the other important topics covered in the chapter include trade unions Act, 1926, various
issues in trade unions, and various aspects of labour welfare.

Concept and application:- Trade Unions, in general, emerged as a result of the Industrial Revolution
which can be traced back to the 18th century when the Industrial Revolution began in Britain. The
Industrial Revolution is characterized by the setting up of large-scale factories, new lines of mass
production, mechanization and rapid economic development. It is natural that when a large number of
factories are set, there is a need for labour. Hence, the demand for unskilled and skilled labour grew. At
the time the industries were not properly organized and the employers concentrated on maximizing
profits which led to exploitation of the labour class who were uneducated and poor. In other words, it
led to the formation of two classes in the industrial sector:

 Employer Class – Who were profit-oriented and did not really bother about the working
conditions of the labour.
 Labour Class – Who were uneducated and had no knowledge of their rights and were also in
need of money.

The British started colonizing the Indian sub-continent in the 1600s and started to set up factories and
mills in India just like the Industrial Revolution in Britain. The main reason why the British found it apt to
start industrialization in India was that India had an abundance of cheap and poor labour along with
natural resources and land for setting up the industries. The cotton mill was established in 1851 in
Bombay and first jute mill was established in 1855 in Bengal.

Just like in Britain, the conditions of labour in India was worse. The exploitative and pitiable working
terms such as working hours, wages and expelling policies made the labours join hands and unite and
protest. One of the first unrest among labourers can be dated back to the year 1877 when due to
sudden reduction in wages the labourers of Empress Mill, Nagpur organized a strike. Factories
Commissions and Factories legislations caused no improvement in the working conditions of the labour
class in India. In 1885 all workers of India had also signed a memorandum with their employers to
provide them with basic minimum working conditions. However, the situation did not improve. 

The initial approach by labourers was humanistic in nature under the background of the setting up of
Indian National Congress and non-violence movement initiated by Mahatma Gandhi. 

One major lacuna with the 1926 Act was that though it provided for voluntary registration of Trade
Unions it did not provide for compulsory recognition of the Trade Unions by the employers and because
it was not compulsory for the employers to recognize the Trade Unions, obviously did not recognize
them. This again put a halt to the development of Trade unions. For example, whenever the members of
Trade Unions or their lawyers went to negotiate with the employers, the employers simply refused to
talk to them on the ground that they do not recognize such Trade union, though it is registered!The Act
was amended in 1947 which provided for compulsory recognition by the employers of the
representative Unions. However, the amended act has not been brought to force yet.

Independence of India was beneficial to Trade Unions in India in a huge way as the forefathers adopted
the principles of equality for all, justice and freedom including the freedom of expression. The
Constitution of India also recognized Freedom of Association as a Fundamental Right.Planning was also
adopted by India by the way of Five- year plans. The focus of the first two five-year plans was on
industry and agriculture which led to setting up of large public sector industries. With the setting up of
industries, the need for labour grew and trade unionism became active.

From the mid of 1960, the economic situation of India had started to deteriorate mainly because of
famines and wars witnessed by India in its preceding years. The rate of inflation rose and prices of food
and grains soared. Industries were also affected by the structural changes in the economy. There were
more protests, strikes and lockouts organized by the trade unions during this period.Nationwide
Emergency imposed during PM Indira Gandhi’s regime from 1975 to 1977 suspended all the
Fundamental Rights including the right to form associations and right to strike.

In 1991 the Government decided to open the economy by introducing the “New Economic Policy” (NEP).
With pressures of liberalization, privatization and globalization cracks and splits were also seen in Trade
Unions in India because the Government’s labour-friendly approach changed to be more investor-
friendly. Due to globalization, there was massive cutting in the workforce and trade unions were trying
hard to save labourers jobs. With the advent of liberalization in 1991, the industrial relations policy
began to change. Now, the policy was tilted towards employers. Employers opted for workforce
reduction, introduced policies of voluntary retirement schemes and flexibility in the workplace also
increased. The age-old policy of protectionism proved inadequate for the Indian industry to remain
competitive as the lack of flexibility posed a serious threat to manufacturers because they had to
compete in the international market. Thus, globalization brought major changes in industrial relations
policy in India. 

With difficulties faced by NEP, the trade unions had to face a barrage of problems but the silver lining is
the growth in the number of trade unions, better organization and functioning. As per data of Labour
Bureau, there are around 11,556 registered labour unions in India with average membership at 1283
members per union. 

Conclusion:- Trade Unionism in India has come a long way. Initially from having no legal backing to
illegalizing “strikes” by the unions to granting them registration procedure and compulsory recognition
and now having full-fledged legislations and special courts, trade unions in India have attained
remarkable status/standing in the labour movement. However, there are still few impediments that the
trade unions face such as lack of financial resources and governmental support. Hence, there is still
scope for the development of Trade Unionism in India. 

Q3. . Write briefly on: (a) AITUC and INTUC; (b) BMS and HMS

Answer (a)
AITUC- The AITUC full form is the All India Trade Union Congress. It is the first Central Trade Union of
India and the second largest trade union federation in India after the Indian National Trade union
Congress. Trade unions are organised associations of workers in a trade or profession. These are
interested in the economic and social welfare of the workers and are formed to further their rights and
interests. In India, Trade Unions in India are registered under the Trade Union Act (1926). The All India
Trade union Congress is the oldest trade union federations in India. Since its inception when unions
became organised on party lines, AITUC was the primary trade union organisation in India working
under the Indian National Congress. Know about the establishment of Indian National Congress on the
linked article. Since 1945, the All India Trade Union Congress has been politically associated with the
Communist Party of India.In the aftermath of the Second World War the AITUC played a significant role
in the foundation of the World Federation of Trade Unions (WFTU).AITUC is governed by a body headed
by National President Ramendra Kumar and General Secretary Amarjeet Kaur, both politicians affiliated
with Communist Party of India.

The beginning of the labour upsurge against oppression and exploitation dates back to the second half
of the nineteenth century, during the British Raj in India, with the emergence of a class of casual general
labour. Know about, Impact of British rule in India.

Shattering of the self-sufficient village economy with no new structures in place and the dumping of
cheap industrial goods that turned millions into landless labourers like artisans, spinners, weavers,
craftsmen, smelters, smiths, potters, etc., who could no longer live on agriculture. All these led to 
Poverty-stricken peasantry and landless labour forces. The widespread famines in India through the
period from 1850 to 1890 resulting in deaths of several lakhs and also reducing millions as beggars. This
background did help the 1857 revolt by princely states and the common masses against the
disempowering policies of British rule. From 1905 onwards there was a notable advance in the working
class actions. A strike took place in Bombay against the extension of working hours. Another great event
that led to the formation of AITUC was strike by industrial workers of Bombay from July 24 to 28, 1908,
in protest against the pronouncement of judgment sentencing six years imprisonment to freedom
fighter Bal Gangadhar Tilak. The October Revolution in 1917 in Russia during the First World War was a
great impetus for the Indian labour movement as the working class along with peasantry captured
power for the first time in the history of mankind. Strikes in India during the period was also a stimulus
for the formation of AITUC. In 1918 a great strike in cotton mills of Bombay started and soon it spread to
other areas. The strike against the Rowlatt Act had a great impact on the national struggle itself. Read
about Indian Freedom Struggle List for relevant information.

The founding conference or the first session of AITUC began on October 31st 1920, in Empire Theatre
Bombay with Lala Lajpat Rai as the founding President. Other leaders who participated were –  Netaji
Subhash Chandra Bose, V. V. Giri, Sarojini Naidu, C.R. Das, Jawarharlal Nehru, Mohammad Ali Jinnah,
Annie Besant, V.J. Patel, B.P. Wadia, Joseph Baptista, Lalubhai Samaldas, Jamnadas, Dwarka Das, B W
Wadia, R R Karandikar, Col. J.C. Wedgwood.

INTUC- The foundation of INTUC on 3 May 1947 just 3 months before India attained independence.
Acharya JB Kripalani who was then President of the Indian National Congress inaugurated the Founding
conference of INTUC. Among the distinguished leaders who attended the opening session were Pandit
Jawaharlal Nehru, Shankarrao Deo, Jagjivan Ram, B. G. Kher, OP Mehtab, Aruna Asaf Ali, Ram Manohar
Lohia, Ashoka Mehta, Ramchandra Sakharam Ruikar, Maniben Patel and other prominent trade
unionists.[2]
Under the guidance of Mahatma Gandhi, the founding fathers in their wisdom preferred to let the
INTUC have an independent identity with its own constitution, while at the same time functioning as an
arm of the Congress.
the workers in India are only a section of the people and not a class apart. The culture and their tradition
form part of the common heritage of the people of India. In organizing them and seeking the redressal
of their grievances, ways and means have to be evolved in consonance with our condition. No more
grafting or transplantation of a foreign ideology or method however suited to the condition else where,
is likely to yield healthy results here. What is required is an indigenous movement having its roots in the
Indian and soil. Such a movement has for long been in existence and has attained a remarkable center. A
new organization, that would give the correct lead to the working class and strives to established social
justice, peace and security with a constitution and working. Which would be essentially democratic
giving every one of its constituent units ample scope for free expression of views and action has become
imperative.”
Thus INTUC was born on May 3, 1947 as historic necessity, just before Indian attained independence.
The constitution of INTUC was adopted in the second day’s proceedings of the conference, Mahatma
Gandhi who was then in Delhi also blessed the new found trade union centre.

Answer(b)

BMS- B .M. S is a unique experiment in Indian Trade Union Movement. BMS was established, on
23.07.1955 (Tilak Jayanthi). Bharatiya culture forms the ideological basis of BMS Approach to culture is
subjective. BMS is one of the instruments of culture fighting against the mutually hostile but equally
anti-human Capitalism and Marxism, with the ultimate goal of establishing Bharatiya Social order based
upon the tenants of Integral Humanism.

Labour has always been regarded as the very foundation of the Bharatiya social structure. It is an
integral and vital part of society. The character of its problems is not sectional but national. To protect
and promote its interest is the therefore the natural responsibility of the entire nation. BMS is pledged
to fulfil this fundamental national duty towards labour.With a view of achieving national prosperity and
eradicating poverty, BMS is pledged to ‘maximum production and equitable distribution’. The spirit is
reflected in the ancient Bharatiya - ‘Shata Hasta Samahara Sahasra Hasta Sankira’ (with a hundred
hands produce; with a thousand hands distribute). Capitalism over-emphasise the importance of
production. Socialism over-emphasizes the aspect distribution. But, BMS lays equal stress on both
production & distribution. Maximum production is the national duty of labour, but at the same time
equitable distribution of the fruits of production is the legitimate right of workers. BMS has therefore
introduced in the labour field a new slogan based on patriotism-

“Desh ke hith me karenge kam, Kam ke lenge pooray dam”

Marxists and Socialists conduct their trade unions as an instrument for intensifying class conflict with
the ultimate goal of establishment of Socialism. BMS is a votary of integralism and nationalism and
therefore rejects the class conflict theory which would result in the disintegration of the nation. BMS is
determined to do away with the gross disparities and establish the ratio of 1:10 between the minimum
and maximum income of the land. The whole nation is one unit. All the nationals are only so many limbs
of the same body. Therefore their interests cannot be mutually conflicting. They are naturally
complimentary. The vehement advocacy of “socialism as a goal and class struggle as theory’ is a major
obstacle in the way of Trade Union unity”.Before the formation of BMS, the Indian labour field was
dominated by political unionism. The recognized Central Labour Organisations were the wings of
different political parties or groups and they were treated as instruments for capturing political power.
The trend was the product of westernized thinking that, the State was the sole representative of society.
Moreover, politicalisation was and is the main cause of multiplicity of unions and preference to political
rather than workers interest in the actual conduct of trade union affairs. This situation calls for
denunciation of political trade unionism. Truly speaking the STATE is not the sole representative of the
society but is merely one of the several institutions created by society for fulfilling the national needs of
course, every worker is conscious of his rights and duties as a citizen and is free individually to join or
not to join, work and not to work for a political party of his choice. But as union members collectively
the workers must keep out of politics.

HMS- Hind Mazdoor Sabha came into existence out of a historic necessity for an independent and free
trade union movement in this country. Till independence, there was only one central trade union
organisation, the ALl India Trade Union Congress (AITUC) which was formed in 1920. Though there was
split in this organisation twice, ultimately the different groups together again under the same umbrella.
Immediately after independence the Communists started lot of industrial strife on the basis of their
ideology and this was a problem for the ruling Congress Party. The Congress Party therefore took the
initative in forming a trade union centre. The socialists felt after one year's experience in INTUC, that it
could not act as an independant trade union centre and would act only as an appendage fo the
CongressParty. In view of the disillusionment with both AITUC and INTUC which did not contribute to
the growth of a democratic and independent trade union centre called Hind Mazdoor Panchayat (HMP).
As there was complete unanimity between social democrats and Royists in having faith in democracy
and an independnt trade union centre, both HMP and some independent organsiations maerged in 1948
and founded a new organisation called Hind Mazdoor Sabha. HMS cannot have any truck with any
political party by the vary nature of its principles. However, HMS believes that the workers have a stake
in a democratic state and the development of the egalitarian society. In a democracy workers have an
interesting elections as citizens and voters. This means that while they would not allow political parties
to dominate their unions, they are not apolitical as citizens. The workers are interested in the rules
chosen by the people, upholding the values of democracy, socialism, secularism and nationalism as
embodied in the Indian Constitution and directive principles. Wherever and whenever these values are
flouted, HMS will raise its voice and protest. Simultaneously it will extend its arm of friendship to those
who stand for those values irrespective of their political affiliation.