industrial relations

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INDUSTRIAL RELATIONS

Multidisciplinary field

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Many also equate IR to labour relations and believe that IR

only studies unionized(forming a group) employment situations, but this

Is an oversimplification(more simpler)

Human relations refers to the whole field of relationship that exists

bcoz of the necessary collaboration of men and women in the

employment process of modern industry. It is that part of mgt which is

concerned with the management of enterprise –whether machine

operator, skilled worker or manager. It deals with either the relationship

btwn the state and employers & workers organisation or the relation

between the occupational organisation themselves.

Employment relations

Importance of non-industrial employment relationships



IR

1.part of the social sciences 1. IR seeks to design 1. IR contains strong

policies and institutions to normative principles

help the employment relationship about workers &

work better employment relationship,

2.Understand employment relationship & especially the rejection

its institutions through high-quality, rigorous of treating the labour

research as a commodity in favor

of seeing workers as

3.IR scholarship intersects with scholarship human beings in

in labor economics, industrial sociology, democratic communities

labor & social history ,HRM, political science, entitled to human rights

law, & other areas

Science building

Problem Solving

Ethical



HISTORY Roots

Industrial Revolution

created the modern employment relationship

producing free labor markets & large-scale industrial organizations with thousands of wage workers

massive economic and social changes

Labour problems

Low wages, long working hours, monotonous and dangerous work, and abusive supervisory practices

high employee turnover, violent strikes, and the threat of social instability



HISTORY – Intellectual & Institutional

• Industrial relations - end of the 19th century - as a middle ground btwn classical economics & Marxism, with Sidney Webb and Beatrice Webb’s Industrial Democracy (1897) being the key intellectual work. IR thus rejected the classical econ

John R. Commonsacademic industrial relations program

University of Wisconsin in 1920



HISTORY – Financial Support

(Financial support)John D. Rockefeller, Jr

progressive labor-management relations

aftermath of the bloody strike at a Rockefeller-owned coal mine in

Colorado



HISTORY – Chairs

Montague Burton(Britain)

another progressive industrialist

endowed chairs in industrial relations

@ Leeds, Cardiff & Cambridge in 1930

Allan Flanders & Hugh Clegg formation of the Oxford School

Formalized in 1950



HISTORY – Cont..

• Formed with a strong problem-solving orientation that rejected both the classical economists’ laissez faire(Noninterference in the affairs of others) solutions to labor problems & the Marxist solution of class revolution. It is this approach that underlies the New Deal legislation in the United States, such as the National Labor Relations Act and the Fair Labor Standards Act.



• Workplace Relations - the relationship btwn an employer & its employees that governs the employment & non-employment elements such as terms of employment, working condition, welfare, rights and obligation to each other, and so on.

• Purpose - unite the group of employees and employer as one big, happy family.

• Principle -behind the IR is the collective bargaining

between the employee’s union and the employer to

achieve a collective agreement



• IR is not the same as the Employment Act in the sense that the interaction process btwn an employer & the employees is not much bound to legal & technical aspect of an employment, but rather to achieve a compromise agreements and stands.

• IR executives & managers act as the middlemen btwn the union & the employers, and in an ideal world, they strike a balance between the two.

• Sometimes, the union fights hard and in response the employer would take a tough stance. As a result, negotiation stalls and the outcome can be potentially unhealthy. It’s true they say strong worker’s union can make the employer’s life miserable and cripple the company’s operation.



Employee Relations• Involves the body of work concerned with

maintaining employer-employee relationships that contribute to satisfactory productivity, motivation, and morale.

• Employee Relations is concerned with preventing & resolving problems involving individuals which arise out of or affect work situations.

• Relationship of employees with the organization and with each other



Advice to supervisors correct poor performance & employee misconduct

progressive discipline and regulatory requirements

disciplinary actions and in resolving employee grievances and appeals



Information to employees

promote a better understanding of management's goals & policies

to employees to assist them in correcting poor performance,

on or off duty misconduct, and/or to address personal issues that affect them in the workplace.

applicable regulations, legislation, and bargaining agreements

about their grievance and appeal rights and discrimination and whistleblower

protections

Advise to employees



• Developing,implementing,administering & analyzing

the employer-employee relationship;• performing ongoing evaluation of it; • managing employee performance; • ensuring that relations with employees comply

with applicable federal, state and local laws and regulations;

• resolving workplace disputes



• Include• HR careers,• communications, • legal and regulatory issues,• technology, metrics and • outsourcing in the employee relations field, as well

as effective employee relations practices and global employee relations issues

• Does not include matters involving • union organizing,• union elections, • collective bargaining and • ongoing union-management relations,

which are encompassed in the Labor Relations Discipline.



Theories of IR

• System Theory

• Oxford Theory

• Structural Contradiction Theory

• Gandhian Theory

• Human Relations Theory



System Theory (by John Dunlop)

Focuses on

Participants in the processEnvironmental forcesOutput

And their inter-relationship.

13/20



System Theory (contd.)

(i) Market or Budgetary Restraints

(ii)Technology

(iii)Distribution of Power in Society

Union – Management

Government

Rules of the Workplace

Environmental Forces

Participants

Outputs

15/20



System Theory : Participants

The main participants are

Workers and their organisations

Management and their representatives

Government agencies

16/20



System Theory :Environment

Three types of environments

Technological characteristics of workplace(Technological sub-system)

The market or economic constraints(Economic sub-system)

The ‘locus’ and ‘balance of power’ existing in society (Political sub-system)

17/20



System Theory : Output

Output is the result of interaction of the parties/actors of the system which is manifested in the network of rules, country’s labour policy and labour agreements etc. that facilitate a fair deal to workers.

18/20



System Theory (contd.)

(Set of Ideas and Beliefs)

14/20



The Oxford Theory• Flanders – Conflict is inherent – Collective

bargaining required – CB central to IR system – determined thro’ rule making process of CB

• r = f (b) or r = f (c)

where r – rules governing IR

b – collective bargaining

c – Conflict resolved thro’ CB• Criticism – too narrow (comprehensive for

analysing IR) – overemphasis political process of CB – insufficient wt deeper influence in determination of rules



• Emphasis rules, job regulation, institutions of job regulation as indicative of order orientation organisation• Liberal-pluralist approach



STRUCTURAL CONTRADICTION

THEORY - Hyman(1971)

• Marxian analysis of IR + Trade union = Pessimistic & Optimistic approach

• Both represent structural contradictions

• Pessimistic approach – Lenin, Michels, Trotsky – limitations of trade union consciousness – Working class + intellectuals = New social order



• Optimistic approach – Marx & Engels – role of working class not only maintenance & enhancement of wage level but also carry class struggle against capital class thrust creating classless society

• Trade unions – represent workers response to the deprivations inherent in their role as employees within a capitalist economy – opposition & conflict can’t be divorced from their existence & activity



Cont..• Inherent deprivation cause conflict of trade unions

with employers in politico-economic structure• Analysis – focus on not only structure but also

deprivations & socio-economic inequalities (inherent components of capitalist mode of production)



Gandhian Approach• Truth, Non-violence, Non-possession, Non co-

operation (Satyagarah), trusteeship...

• Workers’ right to strike.

• Concept of equality



There is no room for conflict of interests between the capitalist and the labourers.

• But what IF conflicts occur...?o Should they go for strikes/lockouts...!



Two things that Gandhiji expect from workers

i. Awakeningo Nurturing faith in their moral strengtho Awareness of its existence

ii. Unity



Gandhiji advocates

– Demands should be reasonable and through collective action.– Avoid strikes as far as possible.– Avoid formation of unions in philanthropic organisations.– Strikes should be the last resort only.– In case of organising a strike, workers should remain peaceful and non-violent.



Human Relations Theory – KEITH DEVIS• Human are not inanimate or passive.

• Human are very complex to understand i.e. to manage.

• Integration of people into work-situation that motivates them to work together productively, cooperatively, &with economic, psychological & social satisfactions



• Goals– to get people to produce– To cooperate through mutuality of interest– To gain satisfaction from their relationships

• Highlights – policies & techniques – improve employee morale, efficiency & job satisfaction• Encourages small work group to exercise considerable control over its environment & in the process helps to remove a major irritant in labour-management relation.



What Influences Human To Work

• Style of leadershipAutocratic styleDemocratic style

• Motivation (satisfy the dissatisfied needs)Physiological needs (food, water, clothing, shelter)Safety needs (physical, finance and job security)Social needs (belonging, affection)Egoistic needs (self-esteem and esteem from

others)


industrial relations

Documents

employment act

relationship of employees

terms of employment

relationship btwn

workplace relations

national labor relations

group employment situations

employees union