3MBA_M1-INDUSTRIAL RELATIONS. IT IA ALAW RELATED SUBJECTpptx
jairajgupta1
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Jul 07, 2024
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About This Presentation
IT IA ALAW RELATED SUBJECT
Size: 753.59 KB
Language: en
Added: Jul 07, 2024
Slides: 48 pages
Slide Content
Introduction to Industrial Relations
CONTENTS Meaning, objectives and Importance Evolution of IR in India Approaches to Industrial Relations Role of Three Actors to Industrial Relations Causes for Poor IR Developing Sound IR Ethical Approach to IR: Idea of Trust-ship- Principles and Features, Code of Conduct.
Industry refers to economic activities, which are connected with conversion of resources into useful goods. I ndustry to refer to a group of similar businesses
ERM ERM is the process of managing relationships in an organization.
ERM can help HR Students develop the skills and knowledge necessary to: Resolve workplace conflicts: trained to identify and resolve workplace conflicts in a fair and timely manner. Protect employee rights: ensuring that employees are treated fairly and that they are not discriminated against on the basis of race, gender, age, religion, or any other protected characteristic. Promote employee engagement: ERM professionals can help to create a positive work environment where employees feel valued and appreciated. Attract and retain top talent
In addition, studying ERM can also help HR students develop several transferable skills that are valuable in any job. Communication skills Problem-solving skills Leadership skills
IR - Definition In its stricter sense, the term “industrial relations” means the practice of multi-pronged relationships between workers and management, unions and workers, and the unions and managements in an industry. “Whole field of relationship that exists because of the necessary collaboration of men and women in the employment process of an industry.” Dale Yoder
Parties to industrial relations Workers and their organizations: the personnel characteristics of workers, their culture educational attainments, qualifications, skills, attitude towards work, etc. play an important role in industrial relations. Workers organizations, known as trade unions, are political institutions. Trade unions are formed for safeguarding the economic and social interests of the workers. They put pressure on the management for the achievement of these objectives.
Parties to industrial relations Employers and their organizations: They provide employment to workers and regulate their behavior for high productivity. Industrial unrest arises when the employers’ demands from the workers are high and offer low economic and other benefits. In order to increase their bargaining power, employers in several industries have organised employers' associations. These associations put pressure on the trade unions and the government. They also participate in tripartite bodies constituted by the government to regulate industrial relations.
Parties to industrial relations Government: the government exerts an important influence on industrial relations by providing employment, intervening in working relationships and regulating wages, bonus and working conditions through various laws relating to labour. The government keeps an eye on both the trade unions and employers’ organisations to regulate their behavior in the interests of the nation.
Scope(ECS)
Scope
Objectives (FSA2E) To facilitate production and productivity; To safeguard the rights and interests of both labour and management by enlisting their co-operation; To achieve a sound, harmonious, and mutually beneficial labour management relations; To avoid unhealthy atmosphere in the industry, especially work, stoppages, go slows, gheraos, strikes, lockouts; and To establish and maintain industrial democracy
Essential Features(pi2srd) Parties in the Industrial Relations Activities: two parties-workers and management are involved in the process of establishing relations. However, the government agencies regulate /maintain industrial relations. Interactive Process: Industrial relations arise out interactions between different persons/parties. They are supervisors, workers trade unions, employers’ associations.
Essential Features Two-Way Communication: IR is a two-way communication process. One party gives stimuli, other party responds to the stimuli. State Intervention: State plays a vital role to influence industrial relations situations through its activities as facilitator, guide, counsellor for both the parties in the industry.
Essential Features Role of Trade Union: Workers' behaviors are largely influenced by their trade unions. Therefore, the unions' perceptions and attitudes toward management shape how workers interact with management Dispute Settlement Process: If, the management personnel believe on the philosophy of settling workers’ grievances/ disputes through bi-lateral negotiation process, they give much more emphasis on mutual talk, sharing responsibility, collaboration, partnership dealing and mutual trust.
Systems Approach John Dunlop gave the systems theory in 1958. He believed that every human being belongs to a continuous but independent social system culture which is responsible for framing his or her actions, behaviour and role.
Systems Approach: three sets of different variables : Actors (A) : refers to the individuals involved in the process of developing sound industrial relations. Contexts : refers to the setup in which the actors perform the given tasks. It includes the industry markets (M), technologies (T) and the power distribution and labour unions(P). Ideology (I) : The similar ideas, mentality or beliefs shared by the actors helps to blend the system.
Systems Approach John Dunlop’s Systems Approach Formula : This formula represents that the industrial relations system can be seen as a joint function of all the elements mentioned above.
Unitary Approach B rings together the teamwork, common objective, individual strategy and mutual efforts of the individuals. B elieves that the conflicts are inevitable which stems from improper management in the organization.
Unitary Approach I f everyone works towards the achievement of the common goals, it will tend to benefit everyone associated with the organization. C onsidered the organizational conflicts resulting in strikes to be useless and destructive.
Unitary Approach -Aims To create a productive, effective and harmonious work environment; T o develops a trustworthy, open, fair and transparent work culture; T o create a cordial work environment; T o restrict the role of the tribunals and other government associations like the trade unions and initiates direct negotiation between the management and the employees.
Pluralist Approach A lso called the ‘Oxford Approach’, was proposed by Flanders in 1970. This approach explained that the management and the trade unions are different and robust sub-groups which unanimously form an organization.
Pluralist Approach Collective bargaining was considered to be a useful technique for resolving organizational conflicts. Due to this, the management’s role has transformed from imposition and control; to influencing and coordinating with the workers.
Highlights of Pluralist Approach appoint personnel experts and industrial relations specialists to act as mediators between the management and trade unions. look into the matters of staffing, consultation , and negotiate with both the parties in case of conflicts. ensure that the trade unions get recognized and the union leaders can perform their duties freely.
Highlights of Pluralist Approach In the case of industrial disputes, the organization can avail the services of the external agent for settlement of such issues. The managers should resolve to a collective bargaining agreement when there is a need for negotiation and settlement with the trade unions. D epicts that the rules of industrial relations are a function of collective bargaining, or in other words, it is a function of handling conflicts through collective bargaining.
Marxist Approach Lenin gave concept of Marxist approach in 1978 Emphasized on the social perspective of the organization. This theory perceived that the industrial relations depend upon the relationship between the workers and the employers. There exists a class conflict between both the groups to exercise a higher control or influence over each other.
Assumptions of Marxist Approach IRs are unavoidable & never-ending source of conflicts under capitalism. Understanding the conceptions of capitalized society, capital accumulation process and the pertaining social relations, give a better overview of the industrial relations.
Assumptions of Marxist Approach The theory assumed that survival of the employees without any work is more crucial than the survival of the employer without the labours.
Human relations approach Given by Keith Davis. The organization and the society comprise of human beings who differ in their behaviour, emotions, attitude, mindset and personality. They come together to achieve common organizational goals and objectives. The purpose is to meet the social, psychological and economic objectives , by enhancing the overall productivity.
Human relations approach This theory focused on enhancing the level of efficiency, worker’s morale and job satisfaction by applying specific techniques or tools and policies. The approach highlighted a technique for enforcing proper control over the work environment: forming small workgroups eliminating the hurdles of sound labour-management relations
Objectives of Human relations approach To ensure cooperation by promoting the mutual interest of the organization; T o enhance the productivity of the individuals; T o satisfy the psychological, social and economic needs of the employees.
Gandhian approach The Gandhian approach to industrial relations was proposed Mahatma Gandhi Features of the trusteeship or Gandhian theory: He was not against strikes; but opined that: The workers or labours can go on a strike only if there is a specific grievance. There should be complete non-violence while carrying out strikes. The ones who are not involved in the strikes should not be suffer
Gandhian approach He believed that strike should be the last option , after the failure of all the constitutional ways of resolving conflicts and negotiating with the employer. The approach illustrated that nature had provided us with human capabilities and different kinds of property. This belongs to the whole society and cannot be considered as personal possession by anyone.
Gandhian approach The objective is to adopt non-violent ways to bring in economic parity and material enhancement in a capitalist society. Every organization is a joint venture, and the labour should be treated as associates or co-partners with the shareholders. Moreover, the workers should have proper knowledge of all the business transactions as it is their right.
Gandhian approach He focussed on increasing the production and believed that the gains should be shared with the employees because of whom it has been possible. He emphasized that the industrial disputes and conflicts between the parties should be resolved healthily through interactions, arbitration and bilateral negotiations. This theory is applied to address disputes and misunderstandings in the organizational setup even today.
Trends in Industrial Relations We often used to hear about long term strikes or lock outs in the factories. Gherao and other violent activities which were prevalent at one point of time are dormant these days. The trade Unions are found to be in cordial relations with the management unlike old times. In employment relations, f ocus has changed from just paying salary on time and painful performance appraisals to developing employees.
Trends in Industrial Relations The competition is increasing in today’s era. The workers and employees even after they leave a particular job has ‘n’ number of options to get absorbed. This is because of the influence of globalization. The foreign investors are setting up their own factories in other countries. This gives rise of the number of jobs to the inhabitants of that host country.
Trends in Industrial Relations Mergers and Acquisitions leads to transfer of ownership. This transfer brings changes in the dynamics of Trade unions. Along with this, the merger of one company into another changes the organizational culture. The compensation structure, hierarchical levels, business and technologies changes. This trend is more common these days.
Trends in Industrial Relations Due to technology advancements, the change management has become need of the day. The manual efforts are decreasing due to increasing use of technology. Hence, it is important to train the workforce to match the changes in technology and to make them apt to work effectively. This has put a lot of focus on training and development of human resources. Competency mapping for hiring has also been emerged out of these trends.
Trends in Industrial Relations The Deregulation also plays a major role as an emerging trend in IR and ER. There is reduction in the pension funds and increase/decrease in the age of retirement. The policies like voluntary employment separation and various others signifies the same.
Trends in Industrial Relations The Deregulation also plays a major role as an emerging trend in IR and ER. There is reduction in the pension funds and increase/decrease in the age of retirement. The policies like voluntary employment separation and various others signifies the same.
Trends in Industrial Relations T he trends in joining trade unions is also changing. Now the trade unions has declined density. The young generations are in a competitive job searches and they are not interested in joining unions. Hence, now there is less member strength in trade unions. The Collective bargaining levels are also changing. In fact, the levels are reducing day by day.
Trends in Industrial Relations In the present period the bargaining power of the unions is observed to be reducing due to decentralization of unions. IR issues are dealt more at the company level than industry level.
The Challenges to IR It has come under pressure to adapt to the new environment that has emerged after the introduction of structural changes envisaged under economic reforms. Under the impact of restructuring process, t he large-sized firms are downsizing their activities and shifting their production to other smaller allied units. The employment in the organized sector is shrinking and the major share of additional employment is being generated in the unorganized sector than in the organized sector.
The Challenges to IR The focus of IR has shifted from the region/ industry level to the enterprise or even plant level. In the new production context, the l arge-sized firms have declined , and small and medium-sized firms have increased. Most of these companies are not covered by labor laws, and labor unions in these small units are weak and ineffective. The rise of start-ups makes the problem even worse.
globalization : Expanding global markets create job opportunities in some areas but can lead to job losses and downward pressure on wages in others.Informal Economy : A large portion of the global workforce is employed in the informal sector, with limited rights and protections . Technological Change: Automation displaces workers, requiring continuous skills development and adaptation.Income Inequality : Unequal distribution of wealth can limit access to decent work opportunities for certain groups . Decent Work Deficits: Many countries still struggle with issues like child labor, forced labor, and unsafe working conditions.