Industrial Relations management

by

Dr. Shankar Anappindi

Once upon a time….long long ago before the times of

Google, Facebook & Twitter…..

There were Upanishads, Shastras, Kingdoms, Kings, Administration, Business,

Parishram,

People, Values, Ethics, Rules & Regulations

And there are HUMAN RELATIONS

…..So does the INDUSTRIAL RELATIONS

Its all about Attitudes, Behaviour, Understanding of rulers & the ruled, Employers & Employees, Master & Servant at home, Morale & Dignity, Sense of Devotion, Implicit faith &

Reliance on good human relations, Equity & Justice, its implications

from Kingly level to the lowest societal strata of those times.

17th & 18th Century, India

was Industrial

workshop of the world.

India supplied to world

markets – Europe, West

Africa, Middle East, Central

Asia, Japan etc.- goods

related to cottage industry

No large scale industry &

industrial activity

confined to Cottage

industry – No Employer –

Employee relationship

Industrial Policy of

British Govt. – anxious to

establish market for

their own goods in India

British Govt. keen

interest in export of raw

materials from India

Policy of Laissez Faire

discourage dev. of any

Industry in India till mid

19th century

1850’s - Industries started coming up

1853 - Cotton Mill – Mumbai - 264 mills by World War I

1853 - Jute Mill – Calcutta - 64 by 1913 - 14

1860 – 75 - Coal Mines, Rail Road

1911 – Tata Iron & Steel Industry

1912 – 869643 Registered Factories Employees

Till 1947 – Financial Capitalism

• Dominant Control over Banking System, &

• Capital Investment undertaken by Britishers

Direct private foreign investment in India in coal and

mining companies, jute mills, tea, coffee & rubber

plantations & sugar.

Loans raised by the secretary of State in England on

behalf of Indian government and by semi- public

organizations for investment in railways, ports,

irrigation, electricity and other sectors.

Condition of Indian Labour worse than in counterparts in

foreign land.

Employment & Working Conditions were far from

satisfactory.

Environment – Insanitary, Unhygienic, disease,

malnutrition, had no shelter, under clothed.

Struggled to exist against poverty.

Exploitation by the Capitalist employers was at a very y

high pitch.

Workmen’s Compensation Act, 1923 Trade Unions Act, 1926

The Payment Of wages act, 1936 Industrial Employment (Standing Orders) Act, 1946

Industrial Disputes Act, 1947

Indian Factories Act, 1948 Employee State Insurance Act, 1948

The Minimum Wages Act, 1948

Behavioral Scientists & Academic Research workers in India studies in the field of Human Relations during 1950s

5th Five Year plan Focus on workers participation, Shop Councils

communication systems, productivity linked incentive schemes

7th & 8th Five Year Plans Emphasis on fundamental issues

of Employment, Manpower Planning, Labour Policy & Human Resource Development

And then the Globalisation happened......

With globalisation, everything moves closer together, converges, shrinks.

We can still get lost even in times of Globalisation

That’s an interesting

journey…and then how

about the HR then.

Labour Officer

Establishment Officer

Welfare Officer

Industrial Relations Officer

Personnel Officer

Human Resource

Officer

Strategic Partner

The Journey of HR Professional

“Hi..

bubbly, fluttery beautiful butterfly.

Not seen for a while.

Where have you been to…

Got to know that you were on a

Learning Safari!!!

“ My History ??? I did not get

you !!! “

The Parties to Industrial Relations

We are all the party to IR &

our role is to -

a. Redress bargaining advantage on one-on-on basis b. Secure better terms & conditions for members c. Obtain improved work conditions for workers d. Increase democratic way of decision making at

various levels

a. Creating & sustaining employee motivation

b. Ensuring commitment from employees

c. Negotiating terms & conditions of employment with TU leaders

d. Sharing decision making with employees

Labour Policies

Labour lLws

Industrial Tribunals

Wage Boards

Industrial Relations

policy

Similar to those as

proposed by our

King for the Animal

Kingdom

Blind Men & The Elephant

IR is a Perspective thing

IR is a Perspective thing

Industrial Relations (IR) is the study of the laws, conventions and institutions that regulate 'the workplace'. It is a fundamentally important aspect of our way of life, our culture and our society. Industrial relations means different things to different people.

Approaches to Industrial Relations

Objectives of Industrial Relations

Safeguard the Worker &

Management Interests

Avoid Industrial Conflict & Maintain

Harmonious Relationships

Un-interrupted Production -

Reduced Absenteeism &

Wastage

Training Facilities, Efficiency

Development & Increased

Productivity

Employee Participation / Participative

Management / Partners in Progress

Economic Stability of the workers –

Better Labour Welfare Facilities

Socialization or Rationalization of

Industries – Control Exercised by the

State

Thought Maturity & Maintenance of Industrial Peace

Factors influencing IR

are…

Causes of Poor

Industrial Relations

Economic

Causes

Organizational &

Social

Causes

Psychological &

Political

Causes

Sound Personnel Policies

Participative Management

Responsible Unions

Employee Welfare Well established &

Administered Grievance Procedure

Constructive Attitude of

Management & Trade Unions

Channels of Employee

Communication

Industrial Relations can be improved

through…

Hope you understood the context & the

concept of IR…

Yes, I do….and let

me summarize the

Industrial

Relations System

An Industrial Relations System consists of 3 elements:

1. Environmental Context (Technology, Market Pressure, Legal Environment)

2. Participants (Employees, Unions, Management, Government)

3. “Web of Rules” (Process by which Labour and Management interact)

Hmmm… Very Good

An effective Industrial

Relations system does not

eliminate conflicts, rather

it provides with an

initiation that minimizes its

effect on management,

society and employees.

Good IR = Min. Cost + Higher Production = Higher Profits = Increased Efficiency of workers