GRIEVANCE HANDLING-A Case Study

BY:BALENDU RAWAT ASTHA TAYAL

DEFINITIONS
A grievance is a formal dispute between an employee & management on the conditions of employment. A workplace violation A dispute between the union or a unit member and management

REASONS FOR GRIEVANCE

Wage fixation and revision Payment of overtime Inadequate bonus Poor working conditions Faulty machines and equipments Attitude of supervisor Behaviour of top management Favoritism Strained relations Excessive discipline Defective promotion Retrenchment Inadequate health and safety devices

EFFECT OF GRIEVANCES
1.On Production 2. On Employees 3. On Managers

Introduction
Hero Honda Motors Limited, based in Delhi, India is a joint venture between the Hero Group of India and Honda of Japan. Hero Honda Motors Limited was born in April 1984. Its worlds biggest manufacturer of 2 Wheel motorized vehicles.

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The company's most popular model is The Hero Honda Splendor, which is the world's largest-selling motorcycle, selling more than one million units per year. Over 5,000 business associates Over 23,000 employees Case Studies on Heros Management practices used at leading institutions 1. London Business School 2. Insead, France 3. World Bank Group

THE STRIKE..
The strike hit the Gurgaon plant on 10th April, 2006.
Place : Hero Honda Gurgaon Plant Strike Duration : 10 April 2006 - 14th April 2006 No. of workers involved: 4000 casual workers Financial Loss: Loss of Rs.100 crore .

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There were 4,000 contract workers

and 1,200 permanent workers at the plant.

Demands: Wage hike, job

regularization, extra casual leave and medical benefits. In addition they demanded regularisation for 1,000 workers immediately and 100 every month, unions were demanding that junior contract workers be treated as casual workers, which entitled them to some benefits.

 A contractual Hero Honda worker is paid between Rs. 40006700 per month as against Rs. 40,000, the salary of a permanent worker performing the same job. Rs 10 is deducted daily for food and tea only from the casual workers' salary. Contractual workers recruited not only get low wages but also do not receive any pay slip or cards. The casual helper at the plant gets a meager Rs. 2000-2500 at the end of the month. The management and the contractors are equally involved in the exploitation of the contract worker.

The strike took a ugly turn ,when the workers on strike had been beaten up by the police brutully. Later it resulted that some Goons have thrown stones on police which resulted in the above lathicharge.

How the strike ended?

On 14th April, a tripartite meeting was held between Haryana's additional labour commissioner, management and worker representatives and they agreed for a settlement, under which some demands were met with. The agreement included 30% hike in salary, two days of casual leave every month and medical benefits in accordance with the company rules, issuing identity cards and ATM cards and opening bank accounts for the casual workers.

EFFECT OF STRIKE
Production at the plant, which makes about 6,000 bikes a day at Gurgaon was paralyzed. It lead to the loss of Rs. 100 crore to the company. It severely impacted the industrial environment in the state and hence it was a concern for all industry.

 Issues between the management and workers

should be resolved beforehand. There should be a good communication link between the worker and the management. Management should not suppress or violate the rights of the worker