Mine Management

Industrial and
Community Relations

Budiongan
Deberto
Maglinte
Plaza
Wines
INDUSTRIAL RELATIONS
MEANING and CONCEPT

The term Industrial Relations comprises of two terms:

Industry and Relations

Industry any productive activity in which an individual (or a

group of individuals) is (are) engaged.
Relations the relationships that exist within the industry
between the employer and his workmen.
DEFINITION

The term industrial relations explains the

relationship between employees and management
which stem directly or indirectly from union-
employer relationship.
Labor-management, employee-employers relations
 Employer-employee relationships that are covered
specifically under collective bargaining and industrial
relation laws.
Concerned with the systems, rules and procedures
used by unions & employers to determine the reward
for effort & other conditions of employment.
Parties to IR
Employees Trade Union

Employers Industrial Relations Employer

Associations

Government Courts & Tribunal

OBJECTIVES
1. To safeguard the interest of labor and management by
securing the highest level of mutual understanding and
good-will among all those sections in the industry which
participate in the process of production.
2. To avoid industrial conflict or strife and develop
harmonious relations.
3. To raise productivity to a higher level in an area of full
employment by lessening the tendency to high turnover
and frequency absenteeism.
4. To improve the economic conditions of workers in the
existing state of industrial management and political
government.
IMPORTANCE
Uninterrupted Production
Reduction in Industrial Disputes
High Moral
Mental Revolution
Foster Industrial Peace
Promote Industrial Democracy
Slide Title
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ACTORS to IR
EMPLOYEES

EMPLOYER

GOVERNMENT
Role of Employee
To redress the bargaining advantage on
one-on-one basis
To secure better terms and conditions for
their members
To obtain improved status for the worker
in his/her work
To increase implementation of
democratic way of decision making at
various levels
Role of Employers
Creating and sustaining employee
motivation
Ensure commitment from employees
Negotiating terms and conditions of
employment with trade union leaders
Sharing decision making with
employees
Role of GOVERNMENT
Labor policies

Labor laws

Industrial tribunals

Wage boards

Industrial relations policy

CAUSES FOR POOR IR

An attitude of contempt towards the workers on the part of the

management.
Inadequate fixation of wages or improper wage structure.
Indiscipline
Unhealthy working conditions at the workplace.
Lack of human relations skills on the part of supervisors and
managers.
Desire of workers for higher bonus, wages or daily allowances.
Desire of employers to pay as little as possible to its workers.
 Inadequate welfare facilities.
Dispute in sharing the gains of productivity.
Retrenchment, dismissal and lockouts by the management.
Strike by the workers.
Inter-union rivals
General economic and political environment such as rising
prices, strikes by others and general indiscipline having their
effect on the employees attitude.
Mental inertia on the part of the management.
DEVELOPING SOUND IR
Develop trust between Labor &
Management
Maintenance of Industrial Peace
Continuous feedback & monitoring
Professional approach
Existence of sound, democratic trade
union
CODE OF DISCIPLINE

It specifies various obligations for the management

and the workers with the objective of promoting
cooperation between their representatives.
To maintain harmonious relations and promote
industrial peace, a Code of Discipline has been laid
down which applies to both public and private sector
enterprises.
OBJECTIVES of CODE of DISCIPLINE

Maintain peace and order in industry.

Promote constructive criticism at all levels of management and
employment.
Avoid work stoppage in industry.
Secure the settlement of disputes and grievances by a mutually
agreed procedure.
Avoid litigation.
Facilitate a free growth of trade unions.
Eliminate all forms of coercion, intimidation and violations of rules
and regulations governing industrial regulations.
PRINCIPALS of CODE of CONDUCT

There should be no strike or lockout without prior notice.

No unilateral actions should be taken in connection with any
industrial matter.
Employees should not follow go slow tactic.
No deliberate damage should be caused to a plant and property.
Acts of violations, intimidation and coercion should not be resorted.
The existing machinery for the settlement of disputes should be
utilized.
Actions that disturb cordial relationships should be avoided.
APPROACHES to IR
Unitary Approach

Pluralistic Approach

Marxist Approach
Unitary Approach

IR is grounded in mutual co-operation, individual

treatment, team work and shared goals.
Union co-operate with the management & the
managements right to manage is accepted because there
is no we they feeling.
Assumption: Common interest & promotion of harmony (
No strikes are there)
Its reactive IR strategy.
They seek direct negotiations with employees.
Pluralistic Approach

It perceives
Organization as a coalition of competing interest.
Trade union as legitimate representatives of employee interest.
Stability in IR as the product of concessions and compromises
between management & unions.
Conflict between management and workers is understood as
inevitable.
Conflict is viewed as conductive for innovation and growth.
Strong union is necessary.
Marxist Approach

Regard conflict as Pluralists

See conflict as a product of the capitalist society.
Conflict arises due to the division in the society between
those who own resources and those who have labor to offer.
All strikes are political.
He regard state intervention via legislation & the creation of
industrial tribunals as supporting managements interest
rather than ensuring a balance between the competing
groups.
COMMUNITY RELATIONS
What exactly does Community Relation mean?

A Community is a group of people who live in the same place, share the
same government, and have a common cultural and historical heritage.

Business organizations are among the more important community

institutions. Business serves the community by providing regular
employment, reasonable wages, and financial benefits; by purchasing
goods and services from local suppliers; by paying taxes to local
government; by contributing to charities and cultural programs.

People on their part, supply skilled labor, management personnel, and

investment capital; and consumes the goods and services which business
produces.
Benefits of good Community Relations

There are various benefits of good community relations to both

business organizations and people.

Business Organizations have found that recruiting of

employees is facilitated if a company is known in its
community as a good company to work for.

Employees and people prefer to work in a community

where they can send their children to good schools; enjoy
facilities for recreation and etc.
Three Strategic Levels
Its far different from doing nice things for
the community

1. Defensive: guarding against negative

acts, or acts of omission
2. Proactive: being a leader in positive acts
that appeal to key publics
3. Maintenance: finding ways to retain
relationships with public.
CORPORATE SOCIAL RESPONSIBILITY
DEFINITION

CSR is the continuing commitment by business to behave ethically

& contribute to economic development while improving the quality
of life of the workforce & their families, local communities and the
society at large.
CSR requires companies to acknowledge that they should be
publicly accountable not only for their financial performance but
also for their social and environmental record.
CSR encompasses the extent to which companies should promote
human rights, democracy, community improvement and sustainable
development objectives throughout the world.
WHAT is CSR?

CSR is an extended model of corporate governance based

on the fiduciary duties owed to all the firms shareholder.
CSR is about how companies manage the business
processes to produce an overall positive impact on the
society.
CSR is the responsibility of corporations to go above and
beyond what the law requires them to do.
CSR is the responsibility of corporations contribute to a
better society and cleaner environment.
MILLENIUM DEVELOPMENT GOALS at the HEART of CSR

Eradicate extreme poverty and hunger.

Achieve universal primary education.
Promote gender equality and empower women.
Reduce child mortality.
Improve maternal health.
Combat HIV/AIDS, Malaria & other fatal diseases.
Ensure environmental sustainability.
Develop a global partnership.

-United Nations Millennium Project

CAROLLS FOUR PART DEFINITION
CSR encompasses the economic, legal,
ethical and discretionary
(philanthropic) expectations that
society has of organizations at a given
point of time.
CAROLLS FOUR PART DEFINITION
Resposibility Societal Examples
Expectation
Economic Required Be profitable.
Maximize sales,
minimize cost.
Legal Required Obey laws and
regulations.
Ethical Expected Do what is right,
fair and just.
Discretionary/Phila Desired/Expected Be a good
nthropic corporate citizen.
CAROLLS FOUR PART DEFINITION
BUSINESS IMPACT of CSR

Shareholder value (changes in stock price and dividend).

Revenue (changes in revenues due to change in market share and new
markets).
Operational efficiency.
Access to debt and equity capital.
Costumer attraction and retention.
Creation of brand value and reputation.
Human capital.
Risk management.
innovation.
License to operate.
DRIVING FORCES BEHIND CSR

Globalization
Power & influence of business corporations
Growing access to education and information
Growing awareness of environmental issues
Spread of corporate sandals and public distrust
TYPES of CSR

ETHICAL CSR
About the responsibility to avoid harm or social injuries.
ALTRUISTIC CSR
Contributing to the common good at the possible expenses
of the business for altruistic, humanitarian or philanthropic
causes.
STRATEGIC CSR
About the firms social welfare responsibilities that benefit
both the corporation and stakeholders.
SOCIAL RESPONSIBILITIES of CORPORATION

Labor rights
Right to work
Right to hold opinions
Right to privacy
Cultural rights
Right to family life
ENVIRONMENTAL RESPONSIBILITIES of CORPORATIONS

UN convention on biodiversity
Use and handling of genetically modified
organisms
Greenhouse gas emission and global warming
Soil & water contamination
Treatment and reduction of waste water
Eco-efficiency
Recycling and reuse of materials
Protection of forest resources
Thank you!