Workers Participation In Management Definitions of Workers Participation In Management According to Keith Davis, Participation refers to the mental and emotional involvement of a person in a group situation which encourages him to contribute to group goals and share the responsibility of achievement. Participation in Management gives the worker a sense of importance, pride and accomplishment; it gives him the freedom of opportunity for self-expression; a feeling of belongingness with the place of work and a sense of workmanship and creativity.
It provides scope for employees in decision-making of the organization. The participation may be at the shop level, departmental level or at the top level. The participation includes the willingness to share the responsibility of the organization by the workers.
Features of Workers Participation In Management Participation means mental and emotional involvement rather than mere physical presence. Workers participate in management not as individuals but collectively as a group through their representatives. Workers’ participation in management may be formal or informal. In both the cases it is a system of communication and consultation whereby employees express their opinions and contribute to managerial decisions.
Levels of Workers Participation In Management There can be 5 levels of Management Participation or WPM: Information participation: It ensures that employees are able to receive information and express their views pertaining to the matter of general economic importance. Consultative importance: Here workers are consulted on the matters of employee welfare such as work, safety and health. However, final decision always rests with the top-level management, as employees’ views are only advisory in nature. Associative participation: It is an extension of consultative participation as management here is under the moral obligation to accept and implement the unanimous decisions of the employees. Under this method the managers and workers jointly take decisions.
Administrative participation: It ensures greater share of workers’ participation in discharge of managerial functions. Here, decisions already taken by the management come to employees, preferably with alternatives for administration and employees have to select the best from those for implementation. Decisive participation: Highest level of participation where decisions are jointly taken on the matters relating to production, welfare etc.
Characteristics of Workers Participation In Management Participation implies practices which increase the scope for employees’ share of influence in decision-making process with the assumption of responsibility. Participation presupposes willing acceptance of responsibility by workers. Workers participate in management not as individuals but as a group through their representatives. Worker’s participation in management differs from collective bargaining in the sense that while the former is based on mutual trust, information sharing and mutual problem solving; the latter is essentially based on power play, pressure tactics, and negotiations. The basic rationale tor worker’s participation in management is that workers invest their labour and their fates to their place of work. Thus, they contribute to the outcomes of organization. Hence, they have a legitimate right to share in decision-making activities of organisation .
Objectives of Workers Participation In Management To establish Industrial Democracy. To build the most dynamic Human Resources. To satisfy the workers’ social and esteem needs. To strengthen labor-management co-operation and thus maintain Industrial peace and harmony. To promote increased productivity for the advantage of the organization, workers and the society at large. Its psychological objective is to secure full recognition of the workers.
Importance of Workers Participation In Management Unique motivational power and a great psychological value. Peace and harmony between workers and management. Workers get to see how their actions would contribute to the overall growth of the company. They tend to view the decisions as `their own’ and are more enthusiastic in their implementation. Participation makes them more responsible. They become more willing to take initiative and come out with cost-saving suggestions and growth-oriented ideas.
Specific Purpose of Workers' Participation 1 . It helps in managing resistance to change which is inevitable . For the growth and development of industry, changes have to be welcomed, otherwise the organization will stagnate and be left behind . If the need for change is jointly felt by all partners of production its acceptance can be high. Workers' participation in change strategy can facilitate acceptable solutions with a view to secure effective and smooth implementations of decisions. 2. Workers' participation can encourage communication at all levels . Since both partners of production are involved in the decision-making there will be fewer changes of distortion and/ or failure in communicating the decision.
3. Joint decision - making ensures the there will be minimum industrial conflict an economic growth can be free form distracting strife. 4. Workers' participation at the plant level can be seen as the first step to establishing democratic values in society at large.
Forms of Participation 1.Collective Bargaining: Collective bargaining results in collective agreements which lay down certain rules and conditions of service in an establishment. Such agreements are normally binding on the parties. Theoretically, collective bargaining is based on the principle of balance of power, but, in actual practice, each party tries to outbid the other and get maximum advantage by using, if necessary, threats and counterthreats like; strikes, lockouts and other direct actions.
Joint consultation, on the other hand, is a particular technique which is intended to achieve a greater degree of harmony and cooperation by emphasizing matters of common interest. Workers prefer to use the instrument of collective bargaining rather than ask for a share in management.
2. Works Committees: Under the Industrial Disputes Act 1947, every establishment employing 100 or more workers is required to constitute a works committee. Such a committee consists of equal number of representatives of employer and workers. The main purpose of works committees is to provide measures for securing and preserving amity and good relations between the employer and employees.
3. Joint Management Councils (JMCs): These are joint bodies consisting of the representatives of management and employees. The functions of JMCs may range from decision-making on some issues to simply advising the management as consultative bodies. The decisions of these councils are advisory in nature through employers often implement the unanimous decisions of them. Working conditions, accident, prevention, indiscipline, absenteeism, training are the important matters before joint management councils.
4. Board Level : The basic function of the board is to ensure the growth of enterprise capital. His pre-occupation will be one of the negotiating workers special interest with the other members of the board. In India in Port Trust, Dock labour Boards etc, have workers representatives. The effectiveness of workers representatives at the Board depends upon his ability to participate in decision-making and his knowledge of the company affairs.
6. Suggestions Scheme : Under this method, workers’ are invited and encouraged to offer suggestions for improving the working of the enterprise . A suggestion box is installed in the organization. Workers can write their suggestions and put into the box. Periodically all the suggestions and put into the box. Periodically all the suggestions are scrutinized by the suggestion committee and good suggestions are accepted for implementation and suitable rewards are given to the concerned workers.
Reasons for Slow Progress of Workers Participation in India: The following are the important reasons for slow progress of workers’ participation in management in India . i ) Basically there are ideological differences between employees and employers towards participation. Employers want to introduce participation gradually in stages and while employees feel that the scheme should be introduced simultaneously at all levels . ii) The basic needs of the workers are not fully satisfied. So majority of the Indian workers are not motivated towards the participation either directly or through their representatives.
iii) The role of outsiders in the trade unions is one of the features of Indian trade union movement. Trade union leaders who represent workers are also active members of political parties and spoiling the atmosphere of Industrial Organization. For them their political interest is more important than employees interest
. iv) Always the industrial climate in India has not been free from labor unrest. It is pity that Government has introduced participative schemes on Industries in such a climate where for its anticipated results has been its total failure . v) The workers representatives on various participative bodies are by and large illiterate. Due to lack of adequate education they are unable to participate meaningfully in their working.
vi) Schemes of workers’ participation have been initiated and sponsored by the Government. There has been lack of initiative on the part of both employers and employees . vii) The focus has been on participation at higher levels only.
Measures for Effective Participation In India: The following measures are necessary to make the workers’ participation in management to be effective in India . i ) There must be complete agreement between management and employees on the manner in which the various participative schemes should function. ii ) There must be mutual trust and confidence from the side of both management and employees towards the schemes relating to participative management.
iii) There should be a feeling of participation at all levels. The work environment must be congenial enough to inspire the workers to give their best to the enterprise. iv ) Participation must be real and the parties to the scheme should meet frequently and the decisions should be timely implemented. v ) Through proper training programmes the workers are to be educated to know the benefits of participative management. This will develop their knowledge and skills necessary for effective participation.