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INDUSTRIAL RELATIONS : INDUSTRIAL RELATIONS S.Vijay Kumar Asst.Professor HR&OB GITAM UNIVERSITY Slide 2: OBJECTIVES OF IR Understand the key strategic issues in industrial relations. Explain the unitary, pluralist and radical approaches to industrial relations. Appreciate the role of employers, trade unions and governments in industrial relations. Understand individual and collective bargaining, conciliation and arbitration. Slide 3: INTRODUCTION Continuing work environment issues are creating pressures for more industrial relations reform. Higher productivity translates into higher wages, better jobs and improved job security. While all parties agree that reform is inevitable, the problem is in obtaining consensus. Slide 4: INTRODUCTION The way people view the challenges of reform is in large part influenced by their perspective on industrial relations. Slide 5: APPROACHES TO INDUSTRIAL RELATIONS IR involves employee and their unions, employers and their associations and governments and industrial tribunals that make regulations governing the employment relationship. NATURE OF IR : NATURE OF IR Focus Strategic & integrated managerial approach to the management of people HRM support for achieving business aims and objectives Mechanisms Individualism (human relations, organisational psychology) Integrating planning, monitoring and control of human resources (not just employees) Securing employee commitment or organisations aims & objectives (performance based rewards, employee involvement) Approaches to industrial relations : Approaches to industrial relations Wider approaches to industrial relations Approaches to industrial relations Slide 8: UNITARIST APPROACH Industrial relations is grounded in mutual cooperation, individual treatment, teamwork and the sharingof common objectives. The underlying assumption is that it is to the benefit of all to focus on common interests and promote harmony. Conflict is regarded as destructive. Slide 9: PLURALIST APPROACH Regards conflict as inevitable because employers and employees have conflicting interests. Trade unions are seen as legitimate representatives of employee interests. Sees stability in industrial relations as the product of concessions and compromises between management and unions. Slide 10: ADVERSARIAL IR Slide 11: RADICAL OR MARXIST APPROACH Marxists, like the pluralists, regard conflict between management and employees as inevitable. Sees industrial conflict as an aspectof class conflict. The solution to worker alienation and exploitation is the overthrow of the capitalist system. Slide 12: HRM AND IR HRM presents a direct challenge to traditional IR centred on conflict inevitability, government intervention and employee representation. Considerable opposition to HRM.

Slide 13: THEORY, HRM AND IR HRM contributes in: theory and research on management as an initiator of change more acceptable frameworks for understanding enterprise-level relations vs centralised rewards frameworks for understanding direct and informal management vs indirect/formal ie. Employee Relations Union View of HRM : Union View of HRM Apologist for unreasonable DDs & consultant speak: Unemployment high while hrs of work up f/t workers 30% over 50hrs/wk; p/t workers want more hrs; top managers want fewer Unpredictable, irregular and insecure hrs: 25% of workers casual (more women) Intensification of work: harder/longer therefore: stress, fatigue, QoWL down Breakdown between hrs and earnings: annualization of salaries and unpaid OTime Slide 15: PARTIES IN INDUSTRIAL RELATIONS Three major parties: government, employerassociations and trade unions. Slide 16: GOVERNMENT AND INDUSTRIAL TRIBUNALS Industrial tribunal: Government tribunals charged with preventing and settling industrial disputes. The AIRC is Australias most important industrial tribunal. Slide 17: EMPLOYER ASSOCIATIONS Employer associations represent employer interests before industrial tribunals and provide a range of IR advisory services including award interpretation, dispute handling and how to counter union activity. Slide 18: TRADE UNIONS Formal organisations that represent individuals employed in an organisation, throughout an industryor occupation. Adopt an approach of strategic unionism. Unions seek to negotiate above-award concessions from employers. Some unions see enterprise bargaining as being limited to just that. The Past IR vs The Future - HRM : The Past IR vs The Future - HRM Read fig. 12.3 for more on this change in focus Slide 20: WHY EMPLOYEES JOIN UNIONS Slide 21: INDUSTRIAL RELATIONS PROCESS Collective bargaining Consent awards Arbitrated awards Slide 22: RESOLVING DISPUTES Slide 23: CHOICE OF PROCESSES Workplace-level grievances Listen carefully Have all of the relevant facts Avoid lengthy delays The union may have to argue a case it does not genuinely support Tribunal-level grievances When the issue cannot be resolved at the workplace Slide 24: ADVOCACY Employer or union representatives who argue a case before an industrial tribunal or court Courts are concerned with justice. Industrial tribunals are pragmatic institutions concerned with finding workable solutions to industrial disputes. Slide 25: CHARACTERISTICS OF SUCCESSFUL ADVOCATES Slide 26: THE WORKPLACE RELATIONS ACT Gives primary responsibility for industrial relations and agreement making to employers and employees Focus the role of the award system Ensure freedom of association

Avoid discrimination Assist employees to have work /life balance Assist in giving effect to Australias international obligations in respect of labour standards. Slide 27: ALLOWABLE MATTERS These are provisions allowed to remain in awards by the Workplace Relations Act. No other items can be covered in an award. In 1999 the Australian Government introduced the Workplace Legislation Amendment (More Jobs, Better Pay) Bill 1999 Slide 28: SUMMARY The changing nature of global markets and the need to become more customer-driven have forced a critical re-examination of the way industrial relations is handled in Australia. Radical, pluralist and unitary approaches (in one form or another) all have their supporters. Slide 29: SUMMARY The traditional roles and dominance of government, employer associations and union are being challenged their place in the industrial relations arena is no longer guaranteed. As a consequence, the IR agenda in the years ahead appears likely to be dominated by both change and controversy.

Industrial relation: concept and approaches to IR:

Industrial relations has become one of the most delicate and complex problems of modern industrial society. Industrial progress is impossible without cooperation of labors and harmonious relationships. Therefore, it is in the interest of all to create and maintain good relations between employees (labor) and employers (management). The term industrial relations explains the relationship between employees and management which stem directly or indirectly from union-employer relationship. Industrial relations are the relationships between employees and employers within the organizational settings. The field of industrial relations looks at the relationship between management and workers, particularly groups of workers represented by a union. Industrial relations are basically the interactions between employers, employees and the government, and the institutions and associations through which such interactions are mediated. The term industrial relations has a broad as well as a narrow outlook. Originally, industrial relations was broadly defined to include the relationships and interactions between employers and employees. From this perspective, industrial relations covers all aspects of the employment relationship, including human resource management, employee relations, and unionmanagement (or labor) relations. Now its meaning has become more specific and restricted. Accordingly, industrial relations pertains to the study and practice of collective bargaining, trade unionism, and labor-management relations, while human resource management is a separate, largely distinct field that deals with nonunion employment relationships and the personnel practices and policies of employers. The relationships which arise at and out of the workplace generally include the relationships between individual workers, the relationships between workers and their employer, the relationships between employers, the relationships employers and workers have with the organizations formed to promote their respective interests, and the relations between those organizations, at all levels.

Concept, Scope and Objectives of Industrial Relations

Rahul's Noteblog Industrial Relations Notes on Industrial Relations Concept, Scope and Objectives of

1.

To enhance the economic status of workers. 2. To reduce conflict of the organization. 3. To make good relation with subordinates. 4. To develop relation with other. 5. To participate in decision making. 6. To extent and maintain industrial democracy. 7.To mitigate the demands of employees' & to harmonize labour welfare. 8. To protect the interests of the employees by following the code of discipline. Read more:

Brief note on the Scope of Industrial Relations

Industrial relations have been heavily influenced by the conditions prevalent in the post industrial revolution scenario and in the capitalist system of production. Later changes were caused by developments in the wake of the IT revolution and the rapid technological progress, which is still causing discontinuous changes. Globalization is not a new phenomenon, but its effects in the past were different from those occurring now. Earlier, labour was more mobile than capital; now capital is more mobile than labour. In the past, labour moved to places where jobs were available; now, job losses are taking place everywhere. Also, employers exploitation of workers continues to persist to a great extent in the informal sector. Todays new-generation knowledge workers and professionals competing for career advancement are willing slaves, ready to work longer hours and almost seven days a week. Also, in certain cases unions are suspicious of the caring and sharing attitude of employers, seeing in the new human resource policies a ploy to make trade unions redundant. More often than not, the study of industrial relations has been preoccupied with the fundamental causes of discontent and discord at work and how to mitigate them. Hare (1965) notes that, The problem of industrial discontent is inherent in, and arises from, the structure of society; from its social organization and political forms; from its religious and ethical norms and the attitudes to property and work which these inculcate and which are given expression in its laws. In fact, it is true to say that the problem of industrial discontent is rooted in fundamentals of our way of living which are so much a part of ourselves that we seldom stop to question them. Consequently we may fail to realise that these fundamentals are neither

universal nor immutable, and that, in other times and places, in other forms of society, they may be quite different. The conditions prevailing around the time of the First World War and the Second World War brought either communist or socialist ideas and ideals to the fore (for instance, the Beveridge Plan in the UK and the Social Contract under Roosevelt in the US) which produced significant challenges to the capitalist system in many parts of the world. Also, managements then used to own a large part of the capital employed in industry. With the advent of the joint stock form of company organization, there was a divorce between capital and management. Since then, those who own productive resources are not necessarily the same as those who control and manage them. Under the communist, the socialist, and the mixed economy systems, the government not only became the only (in communist) or a major employer and owner of productive resources (in non-communist systems, including capitalist America), but also introduced heavy regulations in almost every sphere of employment and industrial relations. The International Labour Organization (ILO) has played a key role in propagating the values of freedom of association and right to collective bargaining, among others, which are now constitutional and legal obligations in many parts of the world. A landmark event in this regard is the 1998 ILO Declaration on Fundamental Principles and Rights at Work, which is one of the components of Decent Work. Problems of relations in industries existed in the past and continue to exist in every economic system (Richardson 1959). When the capitalist system was perceived to be responsible for industrial unrest it was felt that socialist policies would bring in peace. The attitudes of management and workers towards each other and towards their work affect industrial relations. Ownership of capital per sewhether private or publicdoes not make a big difference. Though communist and socialist economic systems solved some problems associated with the private capitalist system, they created others. Earlier, if economic power was concentrated in private hands, the political power to regulate remained with the government. The concentration of both powers in the same hands tended to curb rather than confront conflict. Discontent and unrest per se are not bad. In fact, discontent is a precondition for progress, while unrest needs to be tackled rather than suppressed. More than ownership, it is the behaviour, values, and underlying assumptions which make a fundamental difference to industrial relations, be it at the micro (enterprise) or macro (national) level. The purpose of industrial relations is to secure the highest possible level of mutual understanding and goodwill between the several interests which participate in production and/or associated activities.

This will depend primarily upon fair dealing and establishment of good working conditions, including the highest general standards of living and of amenities at the workplace which industry at the time can provide, but a friendly atmosphere and a spirit of working together for a common purpose must be developed. Progress towards this objective entails obligations on both employers and employed. The demand for a fair days wage implies willingness to perform a fair days work (Richardson 1959). The purpose of industrial relations is not just peace. The peace of the graveyard is different from the peace in a temple, church, or mosque. The peace at any price policy will solve one problem, and bring many others. Smooth and cordial relations in an industry should ultimately contribute to achieving the main purpose of that industrybe it production or serviceefficiently and equitably. Industrial relations is an art, the art of living together for purposes of production (and/or services) (Richardson 1959). It applies knowledge derived from the principles of many disciplines: economics, law, human/industrial psychology, anthropology, sociology, social work, etc.

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Definition and Evolution of Industrial Relations

Rahul's Noteblog Relations Notes on Industrial Relations Definition and Evolution of Industrial

What are Industrial Relations?

Industrial relations define relationships between employers and employees toward each other in terms of supervision, direction, planning and coordination of organizational activities, with minimal human effort and functions; all this done with an enthusiastic spirit taking into consideration the safety of all employees. Industrial relations may also be defined as relations between employees and management.

Evolution of Industrial Relations:

The evolution of industrial relations in India began a long time ago. The caste system greatly influenced the ancient industries and their development. Due to successive foreign invasions in India, the living conditions of slave and artesian couldn't be differentiated. Furthermore, under the autocratic regime of Muslim rulers, the conditions of employees worsened. Wages were not guaranteed, the living conditions of workers were harsh, and there was no proper management. The coming of the British didn't improve the working conditions. After some time, however, most Indian industries were modeled after the British system of business, and this led to growth in various sectors.

Industrial Relations under British Rule:

During British rule, India was expected to be a colonial market for British goods up until a cotton mill was established in Mumbai in 1853 and a jute mill was established in Kolkatta in 1955. The working conditions of workers, however, were still very harsh with low pay, and this gave rise to various disputes involving the management and employees. On the other hand, Tata Iron and Steel industry was also established in Jamshedpur in 1911. While there was great demand of iron and steel before and during the First World War, the working conditions of workers hadn't improved. Hence, the Factories Act of 1881 was established, and it granted workers certain rights.

Industrial Relations in First World War:

The First World War was an opportunity in disguise for local factories in India. Prices of virtually all products went up and profits soared, however, wages of lower employees were still the same. There were various strikes and disputes between management and employees. During this time, the Workmen's Compensation Act (1923), the Trade Union Act (1926), and the Trade Disputes Act (1917) were established. While the wages of employees remained the same, they were given a certain share of profits made by their hiring industry. Strikes, however, were sometimes prohibited under the Emergency Rules. The years following World War II involved the most workers' upheaval, and saw the establishment of Industrial Employment Act (1946) and Industrial Disputes Act (1947).

Post-Independence Industrial Relations:

The post-independence era saw a developing relation between industry and labor. A conference called the Industrial Truce Resolution took place in 1947, and foresaw the establishment of the Minimum Wages Act, Factories Act, and Employees State Insurance Act in 1948. This ensured peace between labor and industry. While industrial relations in India have evolved a long way, some features of the early system still exist today. Modern industrial relations are dynamic, and may integrate industrial policies of American and British businesses.

What are Industrial Relations?

The concept of Industrial relations has been defined using various terminologies, but in the strictest sense, it is essentially the relationship between management and labor. The full concept of industrial relations is the organization and practice of multi-pronged relationships between labor and management, unions and labor, unions and management in an industry. Dale Yoder defines it as a "whole field of relationships that exists because of the necessary collaboration of men and women in the employment process of an industry."

Role of Industrial Relations:

Industrial relations are associated with labor, management, labor unions, and the state. The scene of industrial relations has grown tremendously, and cannot be represented merely by relations between management and labor. It has become a comprehensive and total concept embracing the

sum total of relationship that exists at various levels of the organizational structure. Additionally, it connotes relationships between workers themselves within the labor class, and relations among the management within the managerial class. In an open sense, industrial relations denote all types of relations within a group and outside a group - both formal and informal relations.

Objectives of Industrial Relations:

1. Protect management and labor interests by securing mutual relations between the two groups. 2. Avoid disputes between management and labor, and create a harmonizing relationship between the groups so productivity can be increased. 3. Ensure full employment and reduce absenteeism, hence, increasing productivity and profits. 4. Emphasize labor employer partnership to establish and maintain industrial democracy. This is done to ensure the sharing of profit gains, and personal developmental of all all employees. 5. Provide better wages and living conditions to labor, so misunderstandings between management and labor are reduced to a minimum. 6. To bring about government control over plants where losses are running high, or where products are produced in the public interest. 7. To bridge a gap between various public factions and reshape the complex social relationships emerging out of technological advances by controlling and disciplining members, and adjusting their conflicts of interests.

Conceptual Model for understanding Industrial Relations

Rahul's Noteblog Industrial Relations Notes on Industrial Relations Conceptual Model for understanding

Conceptual Model of Industrial Relations

Role of State Intervention:

State intervention in business is necessary in a developing country because of the following reasons: 1. Developing countries lack powerful labor unions, enabling organizations to exploit workers and even ignore their demands. This is why governments have to step in and play a role in delineating certain parameters of industrial relations. 2. When the conditions of laborers worsen, and/or disputations arise, the government cannot be a silent bystander. It has to intervene in the situation and try to satisfy both sides by being a preceptor or an intermediary, and establish peace. 3. The federal nature of the constitution has made it imperative for the state to intervene in matters of labor to ensure a smooth and continuous operation. The state and the central governments have established certain laws that have to be followed by businesses. These are: the Plantations Act of 1952, the Minimum Wages Act of 1948, the Industrial Disputes Act, the Payment of Bonus Act of 1965, the Contract Labor Act of 1970, the Payment of Gratuity Act of 1972, the Bonded Labor System Act and the Remuneration Act of 1978. 4. The Directive Principals of the Constitution enjoin upon the state to establish a welfare state and to look after the interests of the weaker sections of the society, for example, the physically disabled.

Labor National Commission & Industrial Relations Policy of 1969

Rahul's Noteblog Notes on Industrial Relations Industrial Relations Policy - 1969 Labor National Commission &

Collective Bargaining:
Since reaching of arguments have not been successful, the NCL has recommended compulsory recognition of the union for solely representing bargaining: 1. In the absence of recognitions of unions, and provisions that require employers and their staff to bargain in "good faith," collective bargaining hasn't met much success in India. Nevertheless, it is also important to reach collective agreements. 2. Collective bargaining is greatly being emphasized and relied upon, and may be used as a procedure to resolve industrial conflicts.

Further Observations:
Unions have to be recognized for the purpose of bargaining with the management, trade unions must be well organized and stable, strikes have to be defined within the scheme of industrial relations.

Recognition of Unions:
Trade unions must have at least 30% membership from the supporting organization.

1. Recognition of unions must be required for all organizations 100 or more workers. And at least 30% of the workers within the organization should be members of the union. 2. The IRC must certify the union as a representative union by verifying its active memberships. The IRC must also deal with aspects of union recognition such as: the level of recognition to be offered, certifying the majority union, and dealing with other related matters. 3. The recognized union must be allotted certain rights such as right to sole representation, right to enter into collective agreements on terms and conditions of service, the right to collect membership subscriptions within the premise of the undertaking, the right of check-off, etc. 4. Minority unions must only be allotted the right to represent cases of dismissal and discharge of their members before the Labor Court. 5. Unions must be made strong, organizationally, and financially. Nevertheless, intra-union disputes must be discouraged.

Strikes/Lock-outs and Gheraos:

1. If cessation of work may cause social harm, strikes should be banned; instead, the case must be forwarded to an arbitration committee. 2. Every strike must be preceded by a warning. 3. A maximum of one month must be allotted for holding a legal strike in non-essential industries. 4. Gherao is not really a form of labor unrest because it involves physical compulsion instead of economic pressure. 5. Unjustified strikes hold penalties should be discharged, and the aggravated parties should settle their disputes face-to-face. 6. Compensation and wages should be distributed to prevent unnecessary strikes.

Conciliation:
1. Conciliation is most effective if it is uninfluenced by external factors, and the conciliation department is adequately staffed. 2.Personnel hired to work in the conciliation department should undergo special hiring selection.

Arbitration:
It has been observed that with the growth of collective bargaining, recognition of unions, and improved management attitudes, settlement of disputes through voluntary arbitration will be accepted.

Unfair Labor Practices:

These should be discouraged, and penalties should be levied upon those who participate in unfair labor practices.

Industrial Dispute

Rahul's Noteblog

Notes on Industrial Relations

Industrial Dispute

Causes of Industrial Dispute:

Disputes may result from various causes: psychological, potential, and economic. The most common cause of strikes has been economic reasons; other reasons have been influenced by nationalist, communist, and commercial ends. The Labor Bureau of Simla has observed causes such as: wages and allowances, bonus, personnel, vacation and work timings, violence (added in 1971), etc. An analysis has revealed the following facts:

During 1921-1931:
15.2% of demands were related to wages. 4.6% of demands were related to bonus. 4.4% of demands were related to vacation days and work-timings. 18.5% of demands were related to others.

During 1939-1947:
44.1% of demands were related to wages. 7.9% of demands were related to bonus. 15.6% of demands were related to personal matters. 5% of demands were related to vacation and work-timings.

During 1948-1957:
28.1% of demands were related to wages. 9.1% of demands were related to bonus. 30.9% of demands were related to personal matters. 7.2% of demands were related to vacation days and work-timings.

Industrial Disputes According to V.B. Singh:

Mr. V.B. Singh defines industrial disputes falling under these categories: 1. Income (wage items, price rates, allowances, bonus, minimum and basic wages, etc.) 2. Employment (holidays, leaves like sick leave, etc., work-timings, welfare activities, etc.), and 3. Technological changes (workload, standardization of raw materials, etc.).

What is Industrial Peace?

Industrial peace has, at a certain extent, worsened in the past few years. The social gap between management and labor has increased, resulting in increased disparities and frustration. Industrial peace has to be developed with mutually understanding the issues of labor, and it is imperative to have proper communication between management and labor union. Three ways to establish industrial have been suggested by the Royal Commission on Labor: 1. Appoint a labor officer who ensures labor welfare and serves as a representative to management. 2. Constitution of Works Communities for different industries, and 3. Development of stable and responsible trade unions.

Indian Industrial Dispute Act of 1947

Rahul's Noteblog

Notes on Industrial Relations

Indian Industrial Dispute Act of 1947

What is the Indian Industrial Dispute Act of 1947?

The Industrial Dispute Act of 1947 has been described as the latest milestone in the industrial development in India. The Act has seen new additions in the past few years. However, the principal objectives of the Industrial Dispute Act of 1947 are:

Objectives of Indian Industrial Dispute Act:

1. To encourage good relations between labor and industries, and provide a medium of settling disputes through adjudicator authorities. 2. To provide a committee for dispute settlement between industry and labor with the right of representation by a registered trade union or by an association of employers. 3. Prevent unauthorized strikes and lockouts. 4. Reach out to labor that has been laid-off, unrightfully dismissed, etc. 5. Provide labor the right to collective bargaining and promote conciliation.

New Indian Industrial Dispute Act Principles:

1. A permanent conciliation committee for the speedy settlement of industrial disputes. 2. Compulsory arbitration in public utility services and enforcement of arbitration awards. 3. Strikes during proceedings of conciliation and arbitration meetings are prohibited. 4. Set aside specific times for conciliation and arbitration meetings. 5. Employers have to be obliged to communicate with labor unions. 6. Mutual consultation has to be set up between industry and labor by the Works Committee. 7. Disputes between labor and industry have to be forwarded to an Industrial Tribunal. If the Industrial tribunal fails to handle the case, the case should be forwarded to the appropriate government.

Authorities under Indian Industrial Dispute Act:

1. Works committee. 2. Conciliation officer. 3. Boards of conciliation. 4. Courts of inquiry. 5. Labor courts. 6. Industrial tribunals.

7. National tribunals.

Parameters & Classification of Industrial Disputes

Rahul's Noteblog Industrial Disputes Notes on Industrial Relations Parameters & Classification of

What is an Industrial Dispute?

For a dispute to become an industrial dispute, the following parameters have to be met: 1. The dispute must be between: a. Employers and employers. b. Employers and labor. c. Labor and labor. 2. It should be in relation to employment, non-employment, terms of employment, with the conditions of labor (except managers and supervisors), or must pertain to any industrial matter. 3. The workman shouldn't have an income over Rs 1600 per month. 4. There should be a valid and contractual relation between the employer and the employee. Furthermore, the employee must be employee at the time of the dispute.

Classifications of Disputes:
1. Conflict of Interest:
These conflicts arise due to disagreements in level of income, fringe benefits, job security, and/or other terms and conditions of employment. Dispute can be resolved on conciliation by compromising.

2. Grievance or Rights Disputes:

Also known as conflict of rights disputes, they occur due to general disagreements like: discipline, dismissal, payment of wages, overtime, time off entitlements, demotion, transfer, etc. Dispute can be resolved in labor courts and tribunals.

3. Disputes involving unfair labor practices:

This type of dispute occurs when Trade union members face discrimination. Unfair labor practices include: interference, restraint or coercion of employees, refusal to collective bargaining, recruitment of workmen during legal strikes, failure to implement awards, acts of violence, etc. Resolution occurs by rules laid down by the MRTU & PULP Act in the state of Maharashtra, or following the rules of the Industrial Dispute Act.

Types of Industrial Strikes

Rahul's Noteblog Notes on Industrial Relations Types of Industrial Strikes

Types of Strikes:
Hunger strike:
Workers gather near the factory owner's residence and refuse to eat.

Pen down:
Workers come to work on regular hours but refuse to do any work.

Rule strike:
This type of strike is done by strictly abiding by company rules to the extreme, and there is no space for flexibility.

Support strike:
Supporting workers from another factory also go on strike to support their fellow workers from a related factory.

Gate strike:
Workers gather near the company gates and launch a strike.

Production strike:
Workers produce more industrial items but now in harmony.

Go-slow:
Workers work their usual hours but their productivity is greatly reduced. They deliberately work slower than usual, causing heavy losses and production delays.

Picketing and boycott:

This is the act of surrounding and picketing the owner's residence, and not allowing anyone to enter the premises. Violent picketing is illegal. Boycott is disturbing the normal functioning of the business.

Gherao:
This is the process of blocking a target by encircling it. This may prevent people from approaching the target. The target may be an office, a building entrance, factory, residence, etc. Gherao may involve assault and torture, and gheraos are illegal.

Sympathetic strike:
This is an illegal strike done by workmen, who are fully satisfied by their employment, but support the cause of their fellow unsatisfied workmen.

Lockouts:

This is the process of closing down a place of business due to refusal to work by the employees. Lockouts are different from strikes because lockouts are initiated by the management/employer. Lockouts are: 1. Closure of industrial undertaking due to violence, disputes, etc. 2. Suspension of employment relationship. 3. Lockouts are initiated by the employer, and strikes are initiated by the employees. 4. Lockouts have definite motive.

Lockouts & Economy:

Lockouts damage industry and national economy.

Tripartite & Bipartite Bodies, and Industrial Settlement

Rahul's Noteblog Industrial Settlement Notes on Industrial Relations Tripartite & Bipartite Bodies, and

Tripartite Bodies:
The principals and policies of the tripartite body have been a machinery of consultancy at the industrial and national levels. The tripartite body was established to make peace and improve relations between management and unions, and maintain smooth functioning of union management relations. It began as a statutory organization by the recommendation of the Whitey Commission to the ILO in 1931. The tripartite body had to be sufficiently large to ensure sufficient representation of the various interests involved; encourage representatives of employers, labor and government to meet regularly; and disallow individual members from making individual contributions to meetings.

Purpose of Tripartite Body:

a. Bring the aggravated parties together for mutual settlement of differences, and encourage a spirit of cooperation and goodwill. b. Promote uniformity in labor laws and legislation. c. Discuss all matters of All India importance as between employers and employees. d. Determine a plan for settlement for all disputes.

Bipartite Bodies:
With the beginning of industrialization of India, labor relations in Indian industries have also been largely influenced by Indian democracy. Groups like Works Committee and Management Council were established to democratize Indian industrial relations. The bipartite consultation machinery was established around 1920, during the time when a few joint committees were setup by the Government of India. These joint committees were also introduced in TISCO in Jamshedpur.

Fundamentals of Industrial Settlement:

1. Both parties have to realize that the country is breaking away from the past, and this is going to put continuous pressure on the quality of man-power and demands from human resources. 2. Both parties have to realize that to run a successful and profitable business, team work is extremely important. This gives rise to timely response and supply of goods to the society. 3.Both the parties accept the charters of "Human Resources Policy" summarized below: a. Individuals must make every effort to improve their job skills through training and participating in developmental activities. b. Each employee must keep his/her job skills up-to-date with changing business practices and operations. c. Machineries should be used throughout the year with trained staff readily available to operate it. d. Indirect employees may be converted to direct employees for increasing business efficiency. e. Absenteeism and unnecessary delays must be reduced through planning. f. Short-term employment must be avoided. Long-term employment should be encouraged and highly trained employees must be hired. g. The above steps must be utilized to increase company productivity; exploitation of employees must be disallowed. h. High emphasis must be placed upon the quality of work. The Zero Defect policy must be always followed. i. Employees must make a stand to follow the "Human Resources Policy" individually or collectively. j. Both the parties should closely and routinely monitor change in productivity, and take necessary steps to avoid undesirable consequences.

Definition of "Mediation" and "Conciliation"

Rahul's Noteblog "Conciliation" Notes on Industrial Relations Definition of "Mediation" and

Mediation
Mediation is the concept of making peace between aggravated parties. It is an ancient practice, and is carried out by a peace-maker. Mediation comes into play when two or more parties come together to discuss their differences and settle their differences. Mediation has been used among people, nations, litigants, labor and government, etc. A mediator, who is an outsider, may be present for settlement of disputes. The mediator's role is to assist the parties in their negotiations.

Conciliation
Conciliation is generally the process of encouraging the aggravated parties to come together for mediation. In industrial relations however, the distinctions between the terms 'mediation' and 'conciliation' are negligible, and this trend also applies to other countries. Therefore, conciliation may be defined as the services of a third party that are used in a dispute as a means of helping the disputing parties to reduce the extent of their differences and to arrive at a settlement or mutually agreed solution. Conciliation tends to bring a speedy solution to industrial disagreements, hence, avoiding unnecessary strikes and lock-outs.

Role of a conciliator:

A conciliator's function is to define a series of steps toward settlement of differences between the parties seeking reconciliation. A conciliator may open a series of options, attitudes, and offer alternative possibilities of settlement. The roles of a conciliator are summarized below:

a. Discussion Leader
A conciliator encourages a clear and friendly communication, creates a safe environment, and discourages any bias or antagonism between the parties.

b. Safety Valve
A conciliator may be placed between the aggravated parties and may take on collateral damage without damaging the atmosphere of conciliatory meetings.

c. Communication link
A conciliator may serve as an important communication link between the aggravated parties.

d. An innovator
A conciliator may offer new suggestions and priorities, and provide the parties different views to the solution.

e. A sounding board
A conciliator may step in between any heated arguments taking place during the conciliatory process.

f. Protector
A conciliator may be a protector of the parties while preparing the parties for a collective bargaining position during separate meetings.

h. A stimulator
A conciliator may motivate the parties to a peaceful solution by supporting good arguments from opposing sides.

i. An advisor
A conciliator ensures that misunderstandings don't occur between the parties, and that room is open only to responsible discussions.

j. A face saver
A conciliator may get the defeated party a form of accommodating settlement, which, in reality, holds on real value. This is done in order to mask the loss of face or prestige of the losing party.

k. Promoter of collective bargaining

A conciliator promotes collective bargaining and development of a mutual understanding between the parties.

Additional Readings:
1. Definition and Evolution of Industrial Relations 2. Concept, Scope and Objectives of Industrial Relations 3. Conceptual Model for understanding Industrial Relations 4. Labor National Commission and Industrial Relations Policy - 1969 5. Industrial Dispute 6. Indian Industrial Dispute Act of 1947 7. Parameters and Classification of Industrial Disputes 8. Types of Industrial Strikes 9. Tripartite and Bipartite Bodies, and Industrial Settlement 10. Definition of "Mediation" and "Conciliation"

there are 6 basic approaches to IR in India. 1. psychological approach 2. Sociological approach 3.Human Relations approach 4. Socio-ethical Approach 5. Gandhian Approach 6.Systems Approach Read more:http://wiki.answers.com/Q/What_are_the_main_approaches_to_industrial_relations_in_In dia#ixzz1tgZBOzd2

The Marxist Approach The class conflict analysis of industrial relations derives its impetus from Marxist social thinking and interpretation. Marxism is essentially a method of social enquiry into the power relationships of society and a way of interpreting social reality. The application of Marxian theory as it relates to industrial relations derives indirectly from later Marxist scholars rather than directly from the works of Marx himself. Industrial relations, according to Marxists, are in the first instance, market-relations. To Marxists, industrial relations are essentially politicized and part of the class struggle. For Marxists industrial and employee relations can only be understood as part of a broader analysis of capitalist society in particular the social relations of production and the dynamics of capital accumulation. As Marx himself put it, the mode of production in material life determines the general character of the social, political and spiritual process of life. The Marxist approach is primarily oriented towards the historical development of the power relationship between capital and labour. It is also characterised by the struggle of these classes to consolidate and strengthen their respective positions with a view to exerting greater influence on each other. In this approach, industrial relations is equated with a power-struggle. The price payable for labour is determined by a confrontation between conflicting interests. The capitalist ownership of the enterprise endeavours to purchase labour at the lowest possible price in order to maximise their profits. The lower the price paid by the owner of the means of production for the labour he employs, the greater is his profit. The Marxist analysis of industrial relations, however, is not a comprehensive approach as it only takes into account the relations between capital and labour. It is rather, a general theory of society and of social change, which has implications for the analysis of industrial relations within what Marxists would describe as capitalist societies. The Pluralist Approach

Pluralism is a major theory in labour-management relations, which has many powerful advocates. The focus is on the resolution of conflict rather than its generation, or, in the words of the pluralist, on the institutions of job regulation. Kerr is one of the important exponents of pluralism. According to him, the social environment is an important factor in industrial conflicts. The isolated masses of workers are more strike-prone as compared to dispersed groups. When industrial jobs become more pleasant and employees get more integrated into the wider society, strikes will become less frequent. Ross and Hartmans cross national comparison of strikes postulates the declining incidents of strikes as societies industrialise and develop appropriate institutional framework. They claim that there has been a decline in strike activity all over the world in spite of an increase in union membership. The theories on pluralism were evolved in the mid-sixties and early seventies when England witnessed a dramatic resurgence of industrial conflicts. However, the recent theories of pluralism emanate from British scholars, and in particular from Flanders and Fox. According to Flanders, conflict is inherent in the industrial system. He highlighted the need for a formal system of collective bargaining as a method of conflict resolution. Fox distinguishes between two distinct aspects of relationship between workers and management. The first is the market relationship, which concerns with the terms and conditions on which labour is hired. This relationship is essentially economic in character and based on contracts executed between the parties. The second aspect relates to the managements dealing with labour, the nature of their interaction, negotiations between the union and management, distribution of power in the organisation, and participation of the union in joint decision-making. The major critics of the pluralist approach are the Marxists according to whom exploitation and slavery will continue unabated in the institutional structure of pluralism. The only difference is that in such a social structure, the worker will be deemed to be a better-paid wage slave. Webers Social Action Approach The social action approach of Weber has laid considerable importance to the question of control in the context of increasing rationalisation and bureaucratisation. Closely related to Webers concern related to control in organisations was his concern with power of control and dispersal. Thus a trade union in the Webers scheme of things has both economic purposes as well as the goal of involvement in political and power struggles. Some of the major orientations in the Weberian approach have been to analyse the impact of techno-economic and politico-organisational changes on trade union structure and processes, to analyse the subjective interpretation of workers approaches to trade unionism and finally to analyse the power of various components of the industrial relations environment government, employers, trade unions and political parties. Thus the Weberian approach gives the theoretical and operational importance to control as well as to the power struggle to control work organisations a power struggle in which all the actors in the industrial relations drama are caught up. The Human Relations Approach In the words of Keith Davies, human relations are the integration of people into a work situation that motivates them to work together productively, cooperatively and with economic, psychological and social satisfactions. According to him, the goals of human relations are: (a) to get people to produce, (b) to cooperate through mutuality of interest, and (c) to gain satisfaction from their relationships. The human relations school founded by Elton Mayo and later propagated by Roethlisberger, Whitehead, W.F. Whyte, and Homans offers a coherent view of the nature of

industrial conflict and harmony. The human relations approach highlights certain policies and techniques to improve employee morale, efficiency and job satisfaction. It encourages the small work group to exercise considerable control over its environment and in the process helps to remove a major irritant in labour-management relations. But there was reaction against the excessive claims of this school of thought in the sixties. Some of its views were criticised by Marxists, pluralists, and others on the ground that it encouraged dependency and discouraged individual development, and ignored the importance of technology and culture in industry. Taking a balanced view, however, it must be admitted that the human relations school has thrown a lot of light on certain aspects such as communication, management development, acceptance of workplace as a social system, group dynamics, and participation in management. The Gandhian Approach Gandhiji can be called one of the greatest labour leaders of modern India. His approach to labour problems was completely new and refreshingly human. He held definite views regarding fixation and regulation of wages, organisation and functions of trade unions, necessity and desirability of collective bargaining, use and abuse of strikes, labour indiscipline, workers participation in management, conditions of work and living, and duties of workers. The Ahmedabad Textile Labour Association, a unique and successful experiment in Gandhian trade unionism, implemented many of his ideas. Gandhiji had immense faith in the goodness of man and he believed that many of the evils of the modern world have been brought about by wrong systems and not by wrong individuals. He insisted on recognising each individual worker as a human being. He believed in non-violent communism, going so far as to say that if communism comes without any violence, it would be welcome. Gandhiji laid down certain conditions for a successful strike. These are: (a) the cause of the strike must be just and there should be no strike without a grievance; (b) there should be no violence; and (c) non-strikers or blacklegs should never be molested. He was not against strikes but pleaded that they should be the last weapon in the armory of industrial workers and hence should not be resorted to unless all peaceful and constitutional methods of negotiations, conciliation and arbitration are exhausted. His concept of trusteeship is a significant contribution in the sphere of industrial relations. According to him, employers should not regard themselves as sole owners of mills and factories of which they may be the legal owners. They should regard themselves only as trustees, or co-owners. He also appealed to the workers to behave as trustees, not to regard the mill and machinery as belonging to the exploiting agents but to regard them as their own, protect them and put to the best use they can. In short, the theory of trusteeship is based on the view that all forms of property and human accomplishments are gifts of nature and as such, they belong not to any one individual but to society. Thus, the trusteeship system is totally different from other contemporary labour relations systems. It aimed at achieving economic equality and the material advancement of the have-nots in a capitalist society by non-violent means. Gandhiji realised that relations between labour and management can either be a powerful stimulus to economic and social progress or an important factor in economic and social stagnation. According to him, industrial peace was an essential condition not only for the growth and development of the industry itself, but also in a great measure, for the improvement in the conditions of work and wages. At the same time, he not only endorsed the workers right to adopt the method of collective bargaining but also actively supported it. He advocated voluntary arbitration and mutual settlement of disputes. He also pleaded for perfect understanding between capital and labour, mutual respect, recognition of

equality, and strong labour organisation as the essential factors for happy and constructive industrial relations. For him, means and ends are equally important. Human Resource Management Approach The term, human resource management (HRM) has become increasingly used in the literature of personnel/industrial relations. The term has been applied to a diverse range of management strategies and, indeed, sometimes used simply as a more modern, and therefore more acceptable, term for personnel or industrial relations management. Some of the components of HRM are: (i) human resource organisation; (ii) human resource planning; (iii) human resource systems; (iv) human resource development; (v) human resource relationships; (vi) human resource utilisation; (vii) human resource accounting; and (viii) human resource audit. This approach emphasises individualism and the direct relationship between management and its employees. Quite clearly, therefore, it questions the collective regulation basis of traditional industrial relations.