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• Employee relations consist of all those areas of human resource management that involve relationships with employees-directly or through collective agreements where trade unions are recognised

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• Relationship will be concerned with the agreement of terms and conditions of employment and with issues arising from employment.

• Employee relations practices include formal processes, procedures and channels of communication

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i. Industrial Relation is that part of management which is concerned with the manpower of the enterprise – whether machine operator, skilled worker or manager. BETHEL, SMITH & GROUP

ii. Industrial Relation is a relation between employer and employees, employees and employees and employees and trade unions. - Industrial dispute Act 1947

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Employee Relation is a much broad concept. It is one of the most important function of the management that is take care by HR department. ER department takes care of employee grievances, employee recognition, and boosting the morale of employees to make the working environment more healthy, live and at the same time fulfills the management’s expectations and maintain the work culture and ethics.

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Employee &

EmployerRelationship

Employee Relations among

themselves

Employer &

EmployeeRelationship

Relations withinorganization

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• Institutional factor• Economic factors• Technological factors• Psychological factors• Political and legal factors• Global factors

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• HR policies and practices• Organizational climate and culture and value systems• Adaptability to change• Codes of conduct• Collective bargaining agreements• Labour unions• Employers’ organizations/ federations

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• Type of ownership: public or private limited, Whether domestic or MNC, Govt. or private sector• Nature and composition of the workforce• The source of labour• Labour market status• Disparity of wages between groups• Level of unemployment

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• Work methods• Type of technology• Rate of technology change• Ability of organizations and people to cope with change

•Since these factors have a direct influence on employment status, wage

level, collective bargaining process in an organisation.

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• Owners’ attitude• Perception of the workforce• Workers’ attitude towards work• Their motivation, interest, dissatisfaction and boredom leading from man-machine interface.

•These have a great impact on job and personal life factors and hence indirectly impact IR

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• Prevalent Political philosophy• Attitude of government• The ruling party/ ies ideology• Labour laws and The legal framework for IR• Changes in the above framework• Role of political factions in TUs

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• Role of ILO

• International relations

• Newer formats of business

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• History of industrial relation• Economic satisfaction of workers• Social and psychological

satisfaction• Off-the-job conditions• Enlightened trade unions• Negotiating skills and attitude of

management and workers• Public policy and legislation

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• Better education• Nature of industry• Monetary benefits• Safety & security• Grievance handling• Recognition & appreciation• Scope for advancement• Style of management• Participation in decision making

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So a well planned Employee Relations is a key to success for healthy environment, balanced relation where employer & employee both are completely satisfied and finally to avoid all the conflicts at work place to get desired results to reached the organizational goals.

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March 12, 2012