Introduction

In the middle of nineteenth century, with the advancement of

managerial technology increased complication of work methods etc the industrial relations systems started shaping up. In the late nineteenth century with the emergence of post industrial societies the role of human resources as a factor of production has been given due importance.this means that though the demand has considerably gone down with the industrialization but still demand is more in relation to highly skilled labor Thus in hi-tech era the need of hour is quality of human resources Industrial revolution led to great changes in latter half of the 18th century in Britain, around 1830 in France, Belgium and USA,1850 in Germany,1870 in Sweden,1890 in Canada &USSR, and in India by end of 18th century

Impact of Industrial Revolution

Elimination of physical labour Mass production at low cost Specialization of functions Elaborate control mechanism Reduction of work skills Increased sense of alienation among working people Hard work and higher capital formation Evolution of entrepreneurship elite Interdependence Strict discipline Unhygienic, harsh working and living conditions

Definitions
According to Dale Yoder, Industrial Relations is a

whole field of relationship that exists because of the necessary collaboration of men and women in the employment process of an industry. According to H.A Clegg, Industrial Relations is the study of workers and their trade unions, management, employer's associations & the state institutions concerned with the regulation of employment.

Objectives of Industrial Relations

Establish sound relationships between workers &

management. Avoid industrial conflicts and strikes. Provide opportunity to the workers to participate in the management. Raise productivity in the organisation. To achieve industrial democracy. To minimise labour turnover & absenteeism.

Importance of Industrial Relations

Industrial peace.
Higher productivity. Industrial democracy. Improves productivity. Benefits to workers. Benefits to management.

Parties to Industrial Relations

Employees.

Employers

Government.

Need for creating IR

IR Pattern in the organized sector spills over or

influences the unorganized sector Unions are important force in the political system Varying patterns of industrial relations Status difference in the workers of public and private sector

Causes of Poor IR
Nature of work.
Dissatisfactory compensation. Dysfunctional Trade Unions. Non-conducive organizational Climate.

Developing sound IR
Developing trust between labour & management.
Existence of sound and democratic trade unions. Maintenance of Industrial Peace. Continuous feedback & monitoring.

Factors affecting IR
Organisational Factors Political Factors Global Factors Psychological Factors Technological Factors Social Factors Economic factors

Scope and Aspects of IR

Labour relations between union and management Employer employee relations i.e relations between management and employees Group relation- relation between various group of workmen Community or public relation- relation between industry and society

Main aspects of IR
Promotion and development of healthy Labour-Management relations Maintenance of industrial peace and avoidance of industrial strike Development of industrial democracy

Approaches & Theories of IR

PSYCHOLOGICAL APPROACH
SOCIOLOGICAL APPROACH

HUMAN RELATIONS APPROACH SOCIO-ETHICAL APPROACH GANDHIAN APPROACH

APPROACHES/THEORIES OF IR
PSYCHOLOGICAL APPROACH

IR problems are due to perception & attitude of the employees and employers. SOCIOLOGICAL APPROACH Different individuals with different personalities, educational background, family breeding, emotions, likes & dislikes etc. creates problems of conflicts and competition among the members

APPROACHES/THEORIES OF IR
HUMAN RELATIONS APPROACH (HRM policies including those relating to leadership and motivation have profound influence on their work behaviour.
Physiological, Safety, Social and Egoistic needs are the four basic need that need to be taken

care of.

APPROACHES/THEORIES OF IR
SOCIO-ETHICAL APPROACH( such approach is not

widely accepted but it is actually considered very important as good relation can be only maintained when both the labour and management realize their moral responsibility in contributing to the said task through mutual cooperation and great understanding of each others problem GANDHIAN APPROACH Peaceful settlement of industrial disputes.I.e nonviolence,and non-possession of aparigraha.

System Approach to IR

Developed by John Dunlop. Industrial relations system comprises of certain actors, certain context & ideology which binds the industrial relations system together through a body of rules, created to govern the actors. Basic elements of the system approach are a) Participants in the system b) An ideological linking to a considerable extent, regulates the relations between the parties c) The context or environment is the ground in which participants interact

Actors
Government
Management Workers Trade Unions

Context
Social System

Political System

Legal System

Economic System

Ideology
It is a set of ideas and beliefs commonly held by the

actors that help to build or integrate the system together as an entity.

Rules
A body of rules are framed to govern the actors at the

workplace. These rules may take a variety of forms in different systems.

Unitarism
Industrial relations is grounded in mutual cooperation, individual treatment, teamwork and the sharing of 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.

Pluralism
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.

ADVERSARIAL IR
UNION MANAGEMENT

Strike
Bans

Lockout
Injunction

Boycott
Picket Industrial tribunal

Strike breakers
Employer associations Industrial tribunal

Marxism
Marxists, like the pluralists, regard conflict between management and employees as inevitable.
Sees industrial conflict as an aspect of class conflict. The solution to worker alienation and exploitation is the overthrow of the capitalist system.

Approaches to industrial relations

Unitary
Authoritarian Paternalism

Pluralistic
Co-operation Conflict Approaches to industrial relations

Marxist
Evolution Revolution

Input Conflict (differences)

Conversion Institutions and processes

Output Regulation (rules)

Human resource management Labour market

Systems

Social action

Wider approaches to industrial relations

Control of the labour process

Comparative

Organisation for IR
Line managers IR Responsibility

IR officers/H.R Manager Staff Responsibility

A Staff Role

Dimensions of IR work

Procurement Development Compensation Integration Maintenance Separation Management of statutory and non statutory welfare services Management of social security programmers Maintenance of employee records Undertaking studies in the field of Hrm Public relations Management of overall industrial relations systems

Pre-Requisite for successful IR Programme

Top management support Developing sound HRM and IR policies Development of effective HRM and IR Practices Provisions of adequate Supervisory Training

Follow-up of results

Evolution of IR
The problem of labour mgt did not arise when business organizations

were small but they developed only when elaborate organizational structures came into being during the late 19th century

1) AGRARIAN ECONOMY STAGE- Developed during middle ages and

brought about a change in the views on property. In tribal society property was common and collective asset of the group, but now it was identified as a personal asset of the landlord. Under this system employer-employee relationship of master-servant was that of slave type. So in this stage masters achieved dominant positions while others became subordinates.

2) HANDICRAFTS STAGE- in this stage the workers and craftsmen

owned factors of production worked with their own tools and with the help of the members of their family and often worked in their own homes and workshops and performed the hand tasks. Some type of specialization of work was found such as shoe making, black smithy, carpentry, pottery industry, cloth weaving etc

Cottage or Putting-Out Stage

Master-craftsmen or traveling traders undertook to buy raw materials and supply these as well as finances to the craftsmen or those who worked in their homes/workshops. They also hired the craftsmen to process the raw material and collected and sold the finished goods. This system is known as Cottage or Putting-out system. Thus under this system the craftsmen worked with the members of their family in their own home and were paid on a piece-work basis for their work.

Cottage or Putting-Out Stage

Factory or the Industrial Capitalism Stage

With the passage of time and gaining of experience, the trader

capitalist realised that economies in production can be achieved from newly perfected machines, so instead of farming out production to numerous small cottage workers, he himself installed machinery, provided power-tools and equipment and offered employment in newly built workshops or factories. Under this system, women and child labour were employed often for long hours because machine production simplified operations and reduced skill requirements. The living and working conditions became deplorable, and housing accommodations inadequate.

Evolution of IR
Pre Independence Period Political leadership. Gandhian Thought. Trade Union Act, 1926. Trade Dispute Act,1929. Industrial Employment( Standing Orders) Act 1946. Industrial Dispute Act,1947.
Post Independence Period State Intervention. National Commission on Labour,1966. Role of Trade Unions.

Trade Unions
According to Dale Yoder, Trade union is a continuing

long term association of employees formed and maintained for the specific purpose of advancing and protecting the interests of the members in their working relationships. According to Flippo, A trade union is an organisation of workers formed to promote , protect & improve through collective action ,the social, economic & political interest of its members.

Nature
It is a voluntary organisation of workers.
It is formed to protect the interest of the workers. It can be temporary or permanent. Worker has the option to join or not to join the union. A trade union has the choice to affiliate or not to

affiliate itself to an apex body.

Objectives
Steady Employment.
Rationalization of personnel policies. Recognition & participation. Legislative enactments. Miscellaneous services.

Social Responsibility of Trade Unions

Functions of Trade Unions

Militant Functions.

Fraternal Functions.
Political Functions.

Reasons for Joining Unions

Job security. Sense of belongingness Wages & benefits.

Employeremployee relationships.

Working conditions.

Platform for self expression.

Criticism of Trade Unions

Increased potential for strikes.
Resistance to change. Fear of increased costs. Social costs. Lack of employee commitment. Artificial scarcity of labour.

Registration of Trade Unions

MODE

Any seven or more persons who want to form trade union , can apply for its registration to the Registrar of Trade Unions under Section 4 (1) of the Trade Union Act,1926.

Applications for Registration

Name, occupation & addresses of the members

making application. Name of the trade union & address of its head office. Names, ages, addresses & occupations of the office bearers of the trade unions. If the trade union has been in existence for more than one year prior to application of its registration, a financial statement showing its assets and liabilities prepared in prescribed form has also to be submitted.

Problems of Trade Union Movement in India

Uneven growth. Low membership. Outside leadership. Multiplicity of unions. Inter-union rivalry. Absence of paid office bearers. Weak financial position. Lack of interest. Limited stress on welfare. Lack of public support.

Central Trade Unions

INTUC

Indian National Trade Union Congress. Established in 1948.

AITUC

All India Trade Union Congress. Established in 1920.

BMS

Bhartiya Mazdoor Sangh. Established in 1954.

CITU

Centre of Indian Trade Union. Formed in 1970.

Industrial Disputes
According to Industrial

dispute act, 1947,sec. 2(k), Industrial disputes mean any dispute or difference between employers and employers, or between employers and workmen or between workmen and workmen, which is connected with the employment or nonemployment or terms of employment or with the conditions of labour of any person.

Causes of Disputes

Industry related factors.

Management related factors.

Government related factors.

Strikes
Stay away strike. Sit down strike. Tools down strike. Pen down strike. Token or protest strike. Lightning or cat call strike. Go slow. Picketing Gherao. Hunger strike. Sympathetic strike

Lockouts

Effects of Industrial Disputes

Effect on workers.
Effect on employers. Effect on society.

Bipartite Bodies
Work Committees.
Joint Management Councils

Work Committees & Objectives

It can be formed by any firm employing 100 or more

workers.
OBJECTIVES To remove the causes of friction To improve relationships To help in collective bargaining Voluntary settlement of disputes

Composition
Equal representation of employers and employees. No. of members should not exceed 20. The committee shall have a Chairman, Vice chairman,

secretary and joint secretary. The Secretary and joint secretary shall be elected every year. The Chairman shall be nominated by the employer. The Vice-chairman shall be elected by the workers . The committee shall elect one secretary and one joint secretary , each one representing either the employer or the workers. The committee may meet as often as necessary but not less than once in three months.

Joint Management Councils

It is voluntary.
Equal representation of employers and employees not

exceeding 12 in all but not less than 6. Functions of the council are information sharing, consultative and administrative.

Tripartite Bodies
Consisting of employers, employees and Government.

Indian Labour Conference

To promote uniformity in labour legislation.
To lay down a procedure for the settlement of

industrial disputes.

Steering committee on wages.

Set up in 1956.

Central Implementation & Evaluation Machinery

Set up in 1957 to ensure proper implementation of

labour awards, agreements and code of discipline.

Central Board of Workers Education

Constituted to encourage the growth of strong and

well informed trade union movement.

National Productivity Councils

It consists of representatives of the Govt. employers

associations, labourers associations and certain independent experts to encourage productivity in the country.