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4 Industrial Relations – Rajput Sir INDUSTRIAL RELATIONS & LABOUR LAWS OBJECTIVES # SINCE INDUSTRIAL PEACE & HARMONY DEPENDS UPON GOOD INDUSTRIAL RELATIONS, COLLECTIVE BARGAINING, PARTICIPATION OF LABOUR IN THE MANAGEMENT etc. PRELIMINARY KNOWLEDGE OF VARIOUS INDUTRIAL ACTIVITIES LEADING TO INDUSTRIAL RELATIONS & LABOUR LAWS IS VERY ESSENTIAL. # THE OBJECTIVE, THEREFORE, IS TO IMPART STUDENTS WITH LATEST & RELEVENT KNOWLEDGE OF INDUSTRIAL RELATIONS & VARIOUS LABOUR LAWS WITH A VIEW TO PROVIDE STUDENTS BASE FOR ONE OF THE HRM ACTIVITY. SYLLABUS FOR IR 1. INDUSTRIAL RELATIONS ( IR )---- ( a ) ITS MEANING & OBJECTIVES. ( b ) FACTORS FOR GOOD IR. ( c ) HISTORY OF IR IN AN ENTERPRISE. ( d ) ECONOMIC SATISFACTION OF WORKERS. 2. THEORETICAL FRAMEWORK OF IR--- ( a ) ENVIRONMENTAL OR EXTERNAL THEORIES. ( b ) INTERNALISTS OR IMPLANT. 3. THEORIES---GANDHAN APPROACH TO IR. 4. CAUSES OF INDUSTRIAL DISPUTES---INDUSTRIAL RELATIONS SCENE AT PRESENT. 5. INDUSTRIAL RELATIONS MACHINERY----- ( a ) SETTLEMENT OF DISPUTES. ( b ) NEGOTIATIONS. ( c ) CONCILIATIONS ( d ) ARBITRATION. AND ( e ) ADJUDICATION OF DISPUTES. 6. LABOUR WELFARE------ ( a ) PRINCIPLES. ( b ) CONCEPTS. ( c ) OBJECTIVES & SCOPE. AND ( d ) LABOUR WELFARE OFFICER. SANMAN KULKARNI

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Page 1: Industrial Relations

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Industrial Relations – Rajput Sir

INDUSTRIAL RELATIONS & LABOUR LAWS

OBJECTIVES

# SINCE INDUSTRIAL PEACE & HARMONY DEPENDS UPON GOOD INDUSTRIAL RELATIONS, COLLECTIVE BARGAINING, PARTICIPATION OF LABOUR IN THE MANAGEMENT etc. PRELIMINARY KNOWLEDGE OF VARIOUS INDUTRIAL ACTIVITIES LEADING TO INDUSTRIAL RELATIONS & LABOUR LAWS IS VERY ESSENTIAL.

# THE OBJECTIVE, THEREFORE, IS TO IMPART STUDENTS WITH LATEST & RELEVENT KNOWLEDGE OF INDUSTRIAL RELATIONS & VARIOUS LABOUR LAWS WITH A VIEW TO PROVIDE STUDENTS BASE FOR ONE OF THE HRM ACTIVITY.

SYLLABUS FOR IR

1. INDUSTRIAL RELATIONS ( IR )----( a ) ITS MEANING & OBJECTIVES. ( b ) FACTORS FOR GOOD IR.( c ) HISTORY OF IR IN AN ENTERPRISE.( d ) ECONOMIC SATISFACTION OF WORKERS.

2. THEORETICAL FRAMEWORK OF IR---( a ) ENVIRONMENTAL OR EXTERNAL THEORIES.( b ) INTERNALISTS OR IMPLANT.

3. THEORIES---GANDHAN APPROACH TO IR.4. CAUSES OF INDUSTRIAL DISPUTES---INDUSTRIAL RELATIONS SCENE AT PRESENT.5. INDUSTRIAL RELATIONS MACHINERY-----

( a ) SETTLEMENT OF DISPUTES.( b ) NEGOTIATIONS.( c ) CONCILIATIONS( d ) ARBITRATION. AND( e ) ADJUDICATION OF DISPUTES.

6. LABOUR WELFARE------( a ) PRINCIPLES.( b ) CONCEPTS.( c ) OBJECTIVES & SCOPE. AND( d ) LABOUR WELFARE OFFICER.

SANMAN KULKARNI

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Industrial Relations – Rajput SirWHAT IS INDUSTRIAL RELATIONS ( IR ) ?

# INDUSTRIAL RELATIONS ( IR ) REFERS TO WORKPLACE & SOCIETAL INTERACTIONS BETWEEN WORKERS & EMPLOYERS & RESULTING EMPLOYMENT-RELATED OUTCOMES.

# IN ITS BROADEST MEANING, IR IS, “ ALL ASPECTS OF PEOPLE AT WORK”---KOCHAN--1980

# THE LABOUR DICTIONARY DEFINES IR AS, “ THE RELATIONS BETWEEN EMPLOYERS & EMPLOYEES ININDUSTRY”.

# THE INTERNATIONAL LABOUR ORGANIZATION ( ILO ), GENEVA, HAS USED THE EXPRESSION TO DENOTE SUCH MATTERS AS “FREEDOM FOR ASSOCIATION & THE RIGHT TO ORGANIZE, THE APPLICATION OF THE PRINCIPLE OF THE RIGHT TO ORGANIZE & THE RIGHT TO COLLECTIVE BARGAINING OF COLLECTIVE AGREEMENTS OR CONCILIATION & ARBITRATION PROCEDDINGS & THE MACHINERY FOR COOPERATION BETWEEN THE AUTHORITIES & THE OCCUPATIONAL ORGS AT VARIOUS LEVELS OF THE ECONOMY”.

( CONCILIATE MEANS TO MEDIATE IN A DISPUTE; THAT IS TRY TO SETTLE A DISPUTE BETWEEN TWO PARTIES )

# THE FIELD OF IR RECEIVED A THEORETICAL IMPETUS BY THE WORK OF LOHN T. DUNLOP IN 1958 WHO DEFINED THE SCOPE & BOUNDRY OF IR. THE SYSTEM WAS USED TO DESCRIBE THE CHARACTERISTICS OF ONE COUNTRY AS DISTINGUISHED FROM ANOTHER. THE MODEL HIGHLIGHTS THAT THE IR SYSTEM AT ANY ONE POINT OF TIME IN ITS DEVELOPMENT CONSISTS OF CERTAIN ACTORS, CERTAIN CONTEXTS, AN IDEOLOGY WHICH BINDS THE IR SYATEM TOGETHER & A BODY OF RULES CREATED TO GOVERN THE ACTORS AT THE WORKPLACE & THE COMMUNITY.

# IN INDIA, THE EMPLOYMENT RELATIONSHIPS WERE INSTTUTIONALIZED IN 1920s WHEN TRADE UNION ACT ( 1962 ) WAS FORMULATED.

# KOCHAN ( 1980 ) HAS OBSERVED THAT LIKE ANY COMPLEX SOCIAL SYSTEM, IR SYSTEMS ARE BEST UNDERSTOOD BY IDENTIFYING & ANALYSING THEIR VARIOUS COMPONENTS & HOW THEY INTERACT WITH ONE ANOTHER TO PRODUCE CERTAIN OUTCOMES.

# THE MAJOR COMPONENTS OF THE IR SYSTEM ARE :-1. THE ACTORS---WORKERS & THEIR ORGS, MANAGEMENT, & GOVT.2. CONTEXTUAL OR ENVIRONMENTAL FACTORS---LABOUR & PRODUCT MARKETS,

TECHNOLOGY, & COMMUNITY OR THE LOCUS & DISTRIBUTION OF POWER IN THE LARGER SOCIETY.

3. PROCESS FOR DETERMINING THE TERMS & CONDITIONS OF EMPLOYMENT----COLLECTIVE BARGAINING, LEGISLATION, JUDICIAL PROCESS & UNILATERAL MANAGEMENT DECISIONS AMONG OTHERS.

4. IDEOLOGY OR MINIMUM SET OF SHARED BELIEFS, SUCH AS THE ACTORS’ MUTUAL ACCEPTANCE OF THE LEGITIMACY OF OTHER ACTORS & THEIR ROLES, WHICH ENHANCE SYSTEM STABILITY. AND

5. OUTCOMES, INCLUDING WAGES & BENEFITS, RULES ABOUT WORK RELATIONS, JOB SATISFACTION, EMPLOYMENT SECURITY, PRODUCTIVE EFFICIENCY, INDUSTRIAL PEACE & CONFLICT & INDUSTRIAL DEMOCRACY.

SANMAN KULKARNI

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Industrial Relations – Rajput Sir

# THE BASIC PURPOSE OF THE IR SYSTEMS CONCEPT ARE TO PROVIDE A CONCEPTUAL FRAMEWORK FOR ORGANISING KNOWLEDGE ABOUT IR & FOR UNDERSTANDING HOW VARIOUS COMPONENTS OF IR SYSTEMS COMBINE TO PRODUCE PARTICULAR OUT-COMES.

# IR REFERS TO A DYNAMIC & DEVELOPING CONCEPT WHICH IS NOT LIMITED TO THE COMPLEX OF RELATIONS BETWEEN TRADE UNIONS & MANAGEMENT BUT ALSO REFERS TO THE GENERAL WEB OF RELATIONSHIPS NORMALLY OBTAINING BETWEEN EMPLOYERS & EMPLOYEES—A WEB MUCH MORE COMPLEX THAN THE SIMPLE CONCEPT OF LABOUR-CAPITAL CONFLICT.

# THE FEATURES OF IR ARE :-1. IR ARE OUTCOME OF EMPLOYMENT RELATIONSHIP IN AN ORG.2. AS A REGULATED RELATIONSHIPS THE FOCUS OF IT IS ON RULE-MAKING BY

PARTICIPANTS SO THAT THERE MAY BE UN-INTERRUPTED PRODUCTION.3. THE WORK SITUATION MAY PROVIDE METHODS OF ADJUSTMENT & COOPERATION

WITH EACH OTHER.4. THE GOVT AGENCIES INVOLVE TO SHAPE THE INDUSTRIAL RELATION THROUGH LAWS,

RULES & AWARDS. AND5. THE IMPORTANT ACTORS OF IR ARE EMPLOYEES OR THEIR ORGS, EMPLOYERS & THEIR

ASSOCIATES & GOVT.

# IR IS ALSO KNOWN AS LABOUR RELATIONS.

THEORIES & ASSUMPTIONS ( FROM ENCYCLOPEDIC DICTIONARY OF HRM BY BLACKWELL )

KOCHAN ( 1980 ) HAS SUGGESTED THAT AN IMPORTANT FACTOR DISTINGUISHING IR FROM ITS CONTRIBUTING DISCIPLINES & RELATED AREAS THAT IS HRs, IS A DISTINCTIVE SET OF VALUES & ASSUMPTIONS. THESE COULD BE :-

1. LABOUR IS MORE THAN A COMMODITY. ( COMMODITY MEANS A RAW MATERIAL OR AGRICULTURAL PRODUCT THAT CAN BE BOUGHT & SOLD.)2. THERE IS AN INHERRENT CONFLICT OF INTERESTS BETWEEN EMPLOYERS & EMPLOYEES

IN TERMS OF ECONOMIC MATTERS ( e. g. WAGES VERSUS PROFIT ), BUT ALSO IN TERMS OF FRICTION IN SUPERVISOR-SUBORDINATE RELATIONS.

3. THERE ARE LARGE AREAS OF COMMON INTERESTS BETWEEN EMPLOYERS & EMPLOYEES DESPITE THEIR CONFLICTING INTERESTS & IMPORTANT INTERDEPENDENCIES.

4. THERE IS AN INHERENT INEQUALITY OF BARGAINING POWER IN MOST INDIVIDUAL E-E RELATIONSHIPS. AND

5. THERE IS PLURALISM, THE NOTION THAT THERE ARE MULTIPLE COMPETING INTERESTS GPS IN SOCIETY, EACH WITH VALID INTERESTS. ( PLURALISM MEANS DIFFERING CULTURES & VIEWS WITHIN A SOCIETY ).

OBJECTIVES OF IR

1. TO PROTECT THE INTEREST OF WORKERS & THE MANAGEMENT THROUGH MUTUAL UNDERSTANDING & RELATIONSHIPS.

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Industrial Relations – Rajput Sir2. TO AVOID INDUSTRIAL DISPUTES SO AS TO DEVELOP A HEALTHY WORK

ENVIRONMENT.3. TO IMPROVE QUALITY OF WORK LIFE OF WORKERS.4. TO INCREASE PERFORMANCE THROUGH REDUCING LABOUR TURNOVER & FREQUENT

ABSENTEEISM.5. TO PROVIDE CONSTRUCTIVE CRITISM OF THE MANAGEMENT.6. TO PROTECT THE WORKERS AGAINST HARMFUL EFFECTS ON THEIR HEALTH, SAFETY &

MORALITY THROUGH ENACTMENT OF DIFFERENT LEGISLATIONS.7. ESTABLISH INDUSTRIAL DEMOCRACY BASED ON LABOUR PARTNERSHIP.8. TO BOOST THE DISCIPLINE & MORALE OF WORKERS.9. TO ELIMINATE, AS FAR AS POSSIBLE & PRACTICABLE, STRIKES, LOCKOUTS & GHEAROS

BY PROVIDING REASONABLE WAGES, IMPROVED LIVING & WORKING CONDITIONS & FRINGE BENEFITS.

# ACCORDING TO KIRKALDY----IR IN A COUNTRY ARE INTIMATELY CONNECTED WITH THE FORM OF ITS POLITICAL GOVT & THE OBJECTIVES OF AN INDUSTRIAL ORG MAY CHANGE FROM ECONOMIC TO POLITICAL ENDS. THUS HE DIVIDES THE OBJECTIVES OF IR INTO FOUR CATEGORIES :-

1. IMPROVEMENT IN THE ECONOMIC CONDITIONS OF WORKERS IN THE EXISTING STATE OF INDUSTRIAL MANAGEMENT & POLITICAL GOVT.

2. CONTROL EXERCISED BY THE STATE OVER INDUSTRIAL UNDERTAKINGS WITH A VIEW TO REGULATING PRODUCTION & PROMOTING HARMONIOUS IRs.

3. SOCIALISATION OR RATIONALISATION OS INDUSTRIES BY MAKING THE STATE ITSELF A MAJOR EMPLOYER. AND

4. VESTING OF A PROPRIETARY INTEREST OF WORKERS IN THE INDUSTRIES IN WHICH THEY ARE EMPLOYED.

SCOPE OF IR WORK

# THE STAFF EMPLOYED IN THE IR DEPT SHOULD KNOW THE LIMITATIONS WITHIN WHICH IT HAS TO FUNCTION. THE INCHARGE OF IR GENERALLY REPORTS DIRECTLY TO THE HEAD OF AN ORG. THE FUNCTIONS, THAT IS THE SCOPE, OF IR STAFF ARE :-

1. ADMINISTRATION, INCLUDING OVERALL ORG, SUPERVISION & CO-ORDINATION OF IR POLICIES & PROGRAMMES.

2. LIAISON WITH OUTSIDE GPS & PERSONNEL DEPTS AS WELL AS WITH VARIOUS CADRES OF MANAGEMENT STAFF.

3. THE DRAFTING OF REGULATIONS, RULES, LAWS OR ORDERS & THEIR CONSTRUCTION & INTERPRETATION.

4. POSITION CLASSIFICATION, INCLUDING OVERALL DIRECTION OF JOB ANALYSIS, SALARY & WAGE ADMINISTRATION, WAGE SURVEY & PAY SCHEDULES.

5. EMPLOYEE COUNSELLING ON ALL TYPES OF PERSONAL PROBLEMS---EDUCATIONAL, VOCATIONAL, HEALTH OR BEHAVIOUR PROBLEMS.

6. MEDICAL & HEALTH SERVICES.7. SAFETY SERVICES INCLUDING FIRST AID TRG.8. GP ACTIVITIES LIKE GP HEALTH INSURANCE, HOUSING, CAFETERIAL PROGRAMMES &

SOCIAL CLUBS.9. SUGGESTION PLANS & THEIR USES IN LABOUR MANAGEMENT & PRODUCTION

COMMITTEES.

SANMAN KULKARNI

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Industrial Relations – Rajput Sir10. EMPLOYEE RELATIONS, ESPECIALLY COLLECTIVE BARGAINING WITH REPRESENTATIVES &

SETTLING GRIEVANCES.11. PUBLIC RELATIONS.12. RESEARCH IN OCCUPATIONAL TRENDS & EMPLOYEE ATTITUDES & ANALYSIS OF LABOUR

TURNOVER.

FACTORS / CONDITIONS FOR GOOD IR

# GOOD IR DEPEND ON VARIETY OF FACTORS & SOME OF THESE COULD BE :-1. HISTORY OF INDUSTRIAL RELATIONS IN AN ENTERPRISE-----A GOOD HISTORY IS

MARKED BY HARMONIOUS RELATIONSHIPS BETWEEN MANAGEMENT & WORKERS IN AN ENTERPRISE. ONCE MILITANCY IS ESTABLISHED AS A MODE OF OPERATIONS, THERE IS TENDENCY TO CONTINUE. IT TAKES TIME TO CHANGE. ( HERE MILITANCY MEANS AGGRESSIVE & COMBATIVE IN SUPPORT OF A PARTICULAR CAUSE. )

2. ECONOMIC SATISFACTION OF WORKERS------REASONABLE WAGE & BENEFITS ARE IMPORTANT FOR WORKERS WHICH SHOULD BE COMPARABLE IN OTHER SIMILAR ORGS.

3. SOCIAL & PSYCHOLOGICAL SATISFACTION------WORKER PARTICIPATION IN MANAGEMENT, MACHINERY FOR REDRESSAL OF GRIEVANCES, SUGGESTION SCHEMES, JOB ENRICHMENT, EFFECTIVE TWO-WAY COMN, REGULAR UNION-MANAGEMENT NEGOTIATIONS etc. ARE IMPORTANT ASPECTS. ( JOB ENRICHMENT MEANS REDESIGNING JOBS IN A WAY THAT INCREASES THE OPPORTUNITIES FOR THE WORKER TO EXPERIENCE FEELINGS OF RESPONSIBILITY, ACHIEVEMENT, GROWTH & RECOGNITION.)

4. OFF-THE-JOB CONDITIONS------LIVING CONDITIONS OF WORKERS ARE IMPORTANT. WE EMPLOY THE “ WHOLE PERSON”. HIS HOME LIFE IS NOT TOTALLY SEPERABLE FROM HIS WORK LIFE.

5. ENLIGHTENED & RESPONSIBLE TRADE UNIONS------WHICH MAY PROMOTE THE STATUS OF LABOUR WITHOUT JEOPARDISING THE INTERESTS OF ENTERPRISE. UNIONS TO TELL ABOUT WORKERS’ RESPONSIBILITIES TO ORG. TRADE UNIONS TO MAINTAIN GOOD RELATIONS WITH MANAGEMENT & AVOID MILITANCY & STRIKES. TRADE UNIONS TO DEVELOP & ENCOURAGE RIGHT KIND OF LEADERSHIP. INFACT POLITICALISATION & MULTIPLICITY OF UNIONS LEADS TO RIVALRY.

6. NEGOTIATING SKILLS & ATTITUDES OF MANAGEMENT & WORKERS TO BE DEVELOPED SO THAT :-( a ) BOTH PARTIES SHOULD HAVE APPROACH TO ARRIVE AT AN AGREEMENT & NOT ONLY RAISE CONFLICTS.( b ) PARTIES MUST HAVE CONFIDENCE ON EACH OTHER. EMPATHY & OPEN MIND ARE IMPORTANT RELIANCE ON COLLECTIVE BARGAINING IS VITAL. ( HERE EMPATHY MEANS ABILITY TO UNDERSTAND & SHARE THE FEELINGS OF ANOTHER ).( c ) MUTUAL TRUST & RESPECT IN ORG. AND( d ) BOTH PARTIES SHOULD DEVELOP CONSTRUCTIVE APPROACH & BELIEVE IN HONOURING AGREEMENTS.

7. PUBLIC POLICY & LEGISLATIONS-------GOVT TO INTERVENE IN ENFORCING LABOUR LAWS SO AS TO PREVENT CONFLICTS / FIRES RATHER THAN TO TRY STOPPING THEM AFTER THEY START.

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Industrial Relations – Rajput Sir8. BETTER EDN TO WORKERS TO ADOPT SENSE OF RESPONSIBILITY & PROBLEM SOLVING

APPROACH. THEY SHOULD NOT BE MISLED BY UNION LEADERS WHO HAVE THEIR OWN AXE TO GRIND THAT IS SELF INTEREST. AND

9. INDUSTRIAL EMPLOYMENT STANDING ORDERS DETERMINING TERMS & CONDITIONS OF SERVICE SHOULD BE FINALISED & EVERY EMPLOYEE SHOULD KNOW THESE.

HISTORY OF IR

# IR AS A FIELD OF STUDY & PRACTICE HAS BEEN IN EXISTENCE SINCE THE INDUSTRIAL REVOLUTION IN UK & SINCE 1920 IN THE USA. THE HISTORY OF IR COULD BE TABULATED AS FOLLOWS :-

SR PERIOD ACTIVITY1. 1920 & 1926 IN IDIA, EMPLOYMENT RELATIONSHIPS WERE INSTITUTIONALIZED &

TRADE UNION ACT WAS FORMULATED IN 1926.2. 1853 & 1855 FIRST COTTON FACTORY IN INDIA WAS SET UP AT BOMBAY IN

1853, FOLLOWED BY JUTE MILL AT CALCUTTA IN 1855.3. 1855 & 1875 FATAL ACCIDENT ACT LEGISLATION IN 1855 & WORKMEN’S BREACH

OF CONTRACT ACT IN 1875---SERVING THE INTEREST OF EMPLOYERS ONLY.

4. UNDER COLONIAL RULE

EAST INDIA COY PURSUED A POLICY OF DELIBERATE DISCOURAGEMENT OF INDUSTRIALIZATION OF INDIA. INDIA WAS PUSHED DOWN & KEPT AS A MARKET FOR RAW MATERIALS & FINISHED GOODS OF BRITISH MANUFACTURERS.---LONG HOURS OF WORK, UNHEALTHY WORKING CONDITIONS, LOW WAGE RATE, EMPLOYER MILITANCY & A POLICY OF NON-INTERFERENCE ROLE BY GOVT.

5. 1881 THE FIRST FACTORIES ACT WAS ENACTED TO REGULATE THE CONDITIONS OF LABOUR.

6. 1887 THE FIRST STRIKE IN EXPRESS MILLS AT NAGPUR.7. 1923 & 1926 WORKMEN’S COMPENSATION ACT OF 1923 AND TRADE UNION ACT

1926.8. 1929 TO 1936 THE ROYAL COMMISSION ON LABOUR REPORT 1929; FACTORIES ACT

1934 & PAYMENT OF WAGES ACT 1936.9. 1946 ONWARDS INDUSTRIAL EMPLOYMENT ( STANDING ORDERS ) ACT 1946; THE

INDUSTRIAL DISPUTES ACT 1947; THE FACTRIES ACT 1948; THE MINIMUM WAGES ACT 1948; THE EMPLOYEE STATE INSURANCE ACT 1948.

# THE PRESSURE ON THE REFORM OF LABOUR LAW, LABOUR ADMINISTRATION & LABOUR JUDICIARY MOUNTS IN THE WAKE OF THE CHALLENGES OF LPG. THERE ARE AROUND FIFTY CENTRAL LABOUR LAWS & 150 STATE LEGISLATIONS, CREATING AMBIGUITY IN IMPLEMENTATION & LABOUR ADMINISTRATION. STILL AN ORG HAS TO COMPLY WITH SEVERAL LEGISLATIONS WHILE CARRYING OUT THE HR FUNCTIONS FOR CREATING A CAPABLE & COMMITTED WORKFORCE.

LEGAL FRAMEWORK OF HRM

SANMAN KULKARNI

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Industrial Relations – Rajput Sir# HRM IS A BODY OF KNOWLEDGE & A SET OF PRACTICES THAT DEFINE THE NATURE OF WORK & REGULATE THE EMPLOYMENT RELATIONSHIPS. A SUMMARY OF LABOUR LAWS APPLICABLE TO DIFFERENT HR FUNCTIONS OF AN ORG IS GIVEN BELOW :-

# STAFFING--- 1. THE CHILD LABOUR ( PROHIBITION & REGULATION ) ACT-1986.2. THE EMPLOYMENT EXCHANGE ( COMPULSORY NOTIFICATION OF VACANCIES ) ACT-1959.3. THE APPRENTICE ACT—1961.4. THE CONTRACT LABOUR ( REGULATION & ABOLITION ) ACT-1970.5. BONDED LABOUR SYSTEM ( ABOLITION ) ACT—1976.

# COMPENSATION & REWARDS----1. THE PAYMENT WAGES ACT ---1936.2. THE MINIMUM WAGES ACT---1948.3. THE PAYMENT OF BONUS ACT---1965.4. THE EQUAL REMUNERATION ACT—1976.

# EMPLOYEE MAINTENANCE-----1. THE FACTORIES ACT---1948.2. THE MINES ACT—1952.3. THE EMPLOYEES’ PROVIDENT FUNDS & MISCELLANEOUS PROVISIONS ACT---1959.4. THE EMPLOYEES’ STATE INSURANCE ACT---1948.5. PAYMENT OF GRATUITY ACT---1972.6. THE WORKMEN’S COMPENSATION ACT---1923. AND7. THE MATERNITY BENEFITS ACT---1961.

# EMPLOYEE RELATIONS-------1. THE TRADE UNIONS ACT---1926.2. THE INDUSTRIAL DISPUTES ACT---1947.3. THE INDUSTRIAL EMPLOYMENT ( STANDING ORDERS ACT ) –1946. AND4. THE SALES PROMOTIONS EMPLOYEES ( CONDITIONS OF SERVICE ) ACT—1976.

# HAVING SEEN VARIOUS LABOUR LAWS CONNECTING HR FUNCTIONS, NOW LET US SEE PROFILE OF LABOUR LEGISLATION IN INDIA :-PROFILE OF LABOUR LEGISLATION IN INDIA :- # STANDARDS & NORMS LEGISLATIONS-----

1. FACTORIES ACT.2. SHOPS & ESTABLISHMENTS ACT.3. MINES ACT.4. PLANTATION LABOUR ACT.5. INDIAN MERCHANTS SHIPPING ACT.6. MINIMUM WAGES ACT7. PAYMENT OF WAGES ACT. AND8. INDIAN TRADE UNIONS ACT.

# WELFARE & AMENITIES LEGISLATIONS-----1. MATERNITY BENEFITS ACT.2. EMPLOYEES STATE INSURANCE ACT.3. WORKMEN’S COMPENSATION ACT.

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Industrial Relations – Rajput Sir4. EMPLOYEES PROVIDENT FUND ACT. AND5. GRATUITY ACT.

# DISPUTES PROCESSING & RIGHTS OF PARTIES LEGISLATIONS-----1. COLLECTIVE MATTERS—CENTRAL ACTS—INDUSTRIAL DISPUTE ACT; SALES PROMOTION EMPLOYEES ACT AND PAYMENT OF BONUS ACT.

2. INDIVIDUAL MATTERS---CENTRAL ACT---INDUSTRIAL EMPLOYEES STANDING ORDERS ACT & MODEL STADING ORDERS GOVERING CONTRACT OF EMPLOYMENT.

3. STATE ACTS-----BOMBAY INDUSTRIAL RELATIONS ACT; MAHARASHTRA ACT FOR PREVENTION OF UNFAIR LABOUR PRACTICES & COMPULSORY RECOGNITION OF TRADE UNIONS.

FUTURE OF IR IN INDIA

# THE FUTURE OF IR IN INDIA CAN BE REVIEWED FROM REPORTS OF THE COMMISSIONS CONSTITUTED BY THE GOVT FOR THIS PURPOSE. FROM THESE REPORTS CERTAIN ISSUES ARE EMERGING WHICH ARE POSING CHALLENGES TO THE THREE “ACTORS”----EMPLOYERS, EMPLOYEES & GOVT-----IN THE SYSTEM THESE ISSUES ARE :-

1. COLLECTIVE BARGAINING ---THIS IS AN ISSUE OF STRENGTHENING COLLECTIVE BARGAINING BY TRYING TO DETERMINE A SOLE BARGAINING AGENT FOR NEGOTIATIONS. COLLECTIVE BARGAINING IS ADVOCATED WHERE THE PARTIES HAVE A FULLER UNDERSTANDING. THIS WILL HELP TO ARRIVE AT A SPEEDIER SETTLEMENT OF DISPUTES BETWEEN THEMSELVES. THE STATE OF MAHARASHTRA HAS ALREADY PASSED A LAW FOR THE CREATION OF A SOLE BARGAINING AGENCY IN EVERY UNIT & INDUSTRY.

2. GAPS BETWEEN CENTRAL & STATE LEGISLATIONS -----THIS ISSUE RELATES TO THE GAPS THAT ARE OCCURING AS A RESULT OF THE VARIATIONS THAT OCCUR IN CENTRAL & STATE LEGISLATIONS AS FAR AS LABOUR MATTERS ARE CONCERNED. NCL ( NATIONAL COMMISSION OF LABOUR ) HAS MADE A RECOMMENDATION FOR FORMING A COMMON LABOUR CODE WHICH IS YET TO BE ADOPTED. ADOPTION OF THIS RECOMMENDATION WILL GO A LONG WAY IN SOLVING SOME OF THE PROBLEMS THAT INDIA’S LEGISLATION PROCESS IS FACING.

3. WORKERS’ PARTICIPATION IN MANAGEMENT ----INDIA HAS ALREADY EXPERIENCED THE WORKING OF MANY FORMS OF WORKER-PARTICIPATION SCHEMES BUT NONE OF THEM SEEMS TO HAVE MADE ANY HEADWAY. THE REASONS FOR THE FAILURE OF THESE SCHEMES NEED TO BE PROBED INTO.

# THE THREE ACTORS IN THE SYSTEM NEED TO TAKE INTO ACCOUNT THE EFFECT OF THEIR ACTIONS ON THE CONSUMERS & SOCIETY IN GENERAL, OWING TO THE GROWING INTER-LINKAGES BETWEEN INDUSTRY & ITS ENVIRONMENT. THEY HAVE TO EVALUATE & DECIDE ON THE APPROPRIATE ALTERNATIVES IN TERMS OF THE STRATEGY THEY ARE GOING TO ADOPT IN MANAGING THE PERSONNEL & IR FUNCTIONS.

# THE ENVIRONMENT IS FAST CHANGING & THE PRESSURES FROM VARIOUS GPS INVOLVED ARE STARTING TO GET MORE VOCAL & INTENSE. THE STRATEGY CHOSEN FOR

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Industrial Relations – Rajput SirTHE ATTAINMENT OF THE GOALS WILL HAVE TO DEPEND ON THE OBJECTIVES, VALUES, STRUCTURES AVAILABLE & THE ENVIRONMENT IN WHICH THEY HAVE TO OPERATE.

# RECOMMENDATIONS OF SECOND NATIONAL COMMISSION ON LABOUR, 2002 --- HANDOUT

PROBLEMS & CAUSES OF IR / INDUSTRIAL DISPUTES

# THE CAUSES COULD BE GROUPED IN FOUR BROAD CATEGORIES :-1. INDUSTRIAL FACTORS.2. MANAGEMENT’S ATTITUDE TOWARDS WORKERS.3. ROLE OF GOVT MACHINERY. AND4. OTHER CAUSES.

# INDUSTRIAL FACTORS—RELATING TO EMPLOYMENT, WORK, WAGES, HOURS OF WORK, PRIVILEGES, CONDITIONS OF EMPLOYMENT , OBLIGATIONS OF EMPLOYEES, ATTITUDE OF WORKERS & INCREASING PRICES & DEMAND FOR INCREASE IN DA.

# MANAGEMENT’S ATTITUDE TOWARDS WORKERS---DISINTEREST OF MANAGEMENT TO DISCUSS WITH WORKERS, MANAGEMENT’S UNWILLINGNESS TO RECOGNISE A PARTICULAR TRADE UNION, NOT INVOLVING THE WORKERS IN DECISION-MAKING, VERY LITTLE CONCERN FOR TRG, COMN GAPS, DELAYS IN DECISIONS AFFECTING WORKERS REQUIREMENTS etc.

# ROLE OF GOVT MACHINERY---- ( a )NOT SUCCESSFUL IN IMPLEMENTING LABOUR LAWS, ( b )INABILITY TO MEDIATE IN DISPUTES. ( c ) EMPLOYEES & MANAGEMENT’S LOSS OF CONFIDENCE. ( d )IRRELEVENCE OF CERTAIN PROVISIONS OF LABOUR LAWS & ROLE IN THE CONTEXT OF CHALLENGE OF PRESENT INDUSTRIAL CLIMATE & IMPERATIVE OF DEVELOPMENT DUE TO COMPETITIVE ENVIRONMENT.

# OTHER CAUSES--- ( a ) AFFILIATION OF TRADE UNIONS WITH POLITICAL PARTIES & LEADERSHIP, THEREBY BRINGING PRESSURES FOR ACCEPTING THEIR DEMANDS. ( b ) POLITICAL INSTABILITY & POOR CENTRE-STATE RELATIONS CONTRIBUTE TO INDUSTRIAL CONFLICTS. AND ( c ) CHARACTER CRISIS & VALUES OF TRADE UNION LEADERS.

# SOME ADDITIONAL IMPORTANT SOURCES OF UNION -MANAGEMENT CONFLICTS COULD BE SUMMERISED AS UNDER :-

1. PROFIT----BOTH AGREE ORGS TO MAKE PROFIT BUT UNIONS FEEL THEY ARE NOT GETTING ENOUGH PAY & BENEFITS. UNIONS CONTEST THE DISTRIBUTION OF PROFITS.

2. SECURITY OF JOBS----EARLIER ORG GOAL WAS TO PROVIDE JOBS. IT IS NOW REPLACED BY ORG TO PROVIDE SECURITY OF JOB DUE TO COMPETITIVE ENVIRONMENT.

3. RIGHT TO MANAGE----MANAGEMENT WOULD LIKE TO RETAIN DECISION-MAKING AUTHORITY & WARD-OFF ENCROACHMENT. HOWEVER, UNIONS SEEK TO INCREASE BARGAINING ISSUES.

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Industrial Relations – Rajput Sir4. SENIORITY----UNIONS PLEAD FOR SENIORITY PRINCIPLES FOR PROMOTION etc. &

DISREGARD ABILITY AS SUBJECTIVE. HOWEVER, MANAGEMENT RESIST SENIORITY SYSTEM IN FAVOUR OF PRODUCTIVITY & MERIT.

5. PRODUCTIVITY----WORKERS WANT MORE COMPENSATION FOR MORE PRODUCTIVITY. PRODUCTIVITY IS A RESULT OF LABOUR, CAPITAL, TECHNOLOGY & OTHER FACTORS. THE PROBLEM IS IN DETERMINING HOW MUCH IS DUE TO LABOUR & HOW MUCH DUE TO OTHER FACTORS.

6. INFLATION----LINKING WAGES TO COST OF LIVING INDEX.7. INDUSTRIAL RELATIONS SCENE AT PRESENT-----IR ARE COMPLICATEDBY FACTORS SUCH

AS---GROWING INDISCIPLINE, FREQUENT BREAK-DOWN OF LAW & ORDER & POLITICAL PRESSURES. Irs ARE IN IMPASSE. ORGs ARE BUSY IN FIRE-FIGHTING BASED ON STRATEGY OF CONFLICT. MOST OF THE PROBLEMS ARE CONNECTED WITH WEAKNESSES OF TRADE UNIONS.

# SO CHALLENGE LIES IN SEEKING STABLE-PROTECTIVE IR ENVIRONMENT INSTEAD OF FIRE-FIGHTING. MANAGEMENT SHOULD LEARN TO LIVE WITH THE UNION. SOME OF THE STEPS REQUIRED ARE :-

1. REFORM OF LABOUR LAWS IS OVERDUE & REQUIRES TO BE EXPEDITED.2. COLLECTIVE BARGAINING IS THE ONLY HOPE & TO PREFER INTEGRATIVE BARGAINING

RATHER THAN DISTRIBUTIVE BARGAINING.3. MANAGEMENTS HAVE TO BUILD HEALTHY IR THROUGH CONTINUING DIALOGUE &

BUILD COOPERATIVE RELATIONSHIP WITH UNIONS.4. PRODUCE MORE & DISTRIBUTE MORE COULD BE THE SLOGAN.5. INVOLVEMENT OF WORKERS IN SUITABLE MANAGEMENT FUNCTIONS.6. WORKERS SHOULD BE REPRESENTED BY ELECTED MEMBERS RATHER THAN UNIONS.

SUMMARY

1. WHAT IS IR ?2. THE MAJOR COMPONENTS OF IR SYSTEM.3. FEATURES OF IR.4. THEORIES & ASSUMPTIONS.5. OBJECTIVES OF IR.6. SCOPE OF IR WORK.7. FACTORS / CONDITIONS FOR GOOD IR.8. HISTORY OF IR.9. LEGAL FRAMEWORK OF HRM.10. PROFILE OF LABOUR LEGISLATION IN INDIA. AND11. FUTURE OF IR IN INDIA.12. PROBLEMS & CAUSES OF IR / INDUSTRIAL DISPUTES.

EMPLOYEE GRIEVANCES

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Industrial Relations – Rajput SirTOPICS TO BE COVERED

1. GRIEVANCES.2. NATURE.3. TYPES.4. CAUSES.5. MACHINERY FOR REDRESSAL OF GRIEVANCES.6. GRIEVENCES & IR.

INTRODUCTION

# THE PROCESS OF INTEGRATING INTERESTS REQUIRES BOTH PREVENTIVE & CURATIVE ACTIVITIES. DESPITE THE BEST OF MANAGEMENT PRACTICES IN ACTING & COMMUNICATING, CONFLICTS BETWEEN E-E WILL OCCUR. A TOTAL ABSENCE OF CONFLICT WOULD BE UNBELIEVABLE, BORING & A STRONG INDICATION THAT SUCH CONFLICTS ARE BEING SUPPRESSED.

# ONE OF THE CHARACTERISTICS OF A MATURE GP IS ITS WILLINGNESS & ABILITY TO BRING SUPPRESSED CONFLICTS TO THE SURFACE WHERE THEY MAY BE DISCUSSED WITH A GREATER OPPORTUNITY OF RESOLUTION. IT WOULD BE NAÏVE TO INSIST THAT ALL CONFLICTS CAN BE ELIMINATED IN SOME MANNER OR OTHER, BUT THEIR EXPOSURE & DISCUSSION WILL CONTRIBUTE GREATLY TOWARD THEIR REDUCTION.

# CONFLICT PER SE IS NEITHER BAD NOR CONTRARY TO GOOD ORG. DISAGREEMENTS & DISSATISFACTIONS CAN LEAD TO RE-EXAMINATION OF BASIC ASSUMPTIONS & PRACTICES, TO THE END THAT ADJUSTMENTS CAN BE MADE TO IMPROVE OVERALL ORG EFFECTIVENESS.

WHAT IS GRIEVANCES ?

# THERE IS HARDLY A COY OR AN INDUSTRY CONCERN WHICH FUNCTIONS ABSOLUTELY SMOOTHLY AT ALL TIMES. IN SOME, THE EMPLOYEES HAVE COMPLAINTS AGAINST THEIR EMPLOYERS, WHILE IN OTHERS IT IS EMPLOYERS WHO HAVE A GRIEVANCE AGAINST THEIR EMPLOYEES. THESE GRIEVANCES MAY BE REAL OR IMAGINARY, VALID OR INVALID, GENUINE OR FALSE. BROADLY SPEAKING, A COMPLAINT AFFECTING ONE OR MORE WORKERS CONSTITUTES A GRIEVANCE. A COMPLAINT BECOMES A GRIEVANCE WHEN THE DISSATISFACTION, WHICH IS MOSTLY RELATED TO WORK, IS BROUGHT TO THE NOTICE OF THE MANAGEMENT.

# MANY MANAGEMENTS DISTINGUISH BETWEEN A “COMPLAINT” & A GRIEVANCE. A COMPLAINT IS A DISCONTENT OR DISSATISFACTION THAT HAS NOT, AS YET, ASSUMED A GREATER MEASURE OF IMPORTANCE TO THE COMPLAINANT. COMPLAINTS ARE OFTEN SUBMITTED IN A HIGHLY INFORMAL FASHION. AN EMPLOYEE MAY COMPLAIN THAT IT IS TOO HOT IN THE SHOP, THAT ANOTHER EMPLOYEE WILL NOT COOPERATE OR THAT ONE HAS BEEN ASSIGNED A DISTASTEFUL JOB. THERE ARE MANY MORE COMPLAINTS THAN THERE ARE GRIEVANCES.

# A COMPLAINT BECOMES A GRIEVANCE WHEN THE EMPLOYEE FEELS THAT AN INJUSTICE HAS BEEN COMMITTED. IF THE SUPERVISOR IGNORES THE COMPLAINT & THE

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Industrial Relations – Rajput SirDISSATISFACTION GROWS WITHIN THE EMPLOYEE, IT USUALLY ASSUMES THE STATUS OF A GRIEVANCE.

# A GRIEVANCE, IN BUSINESS ORG, IS ALWAYS EXPRESSED, EITHER VERBALLY OR IN WRITING. IT CAN, OF COURSE, BE EITHER VALID OR RIDICULOUS & MUST GROW OUT OF SOMETHING CONNECTED WITH COY OPERATIONS POLICY. IN MANY INSTANCES IT MUST INVOLVE AN INTERPRETATION OR APPLICATION OF PROVISION OF THE LABOUR CONTRACT.

# “ A WRITTEN COMPLAINT FILED BY AN EMPLOYEE & CLAIMING UNFAIR TREATMENT”------DALE YODER

# “ ANY REAL OR IMAGINED FEELING OF PERSONAL INJUSTICE WHICH AN EMPLOYEE HAS CONCERNING HIS EMPLOYMENT RELATIONSHIP”---KEITH DAVIS

# “ A GRIEVANCE IS ANY DISCONTENT OR DISSATISFACTION, WHETHER EXPRESSED OR NOT, WHETHER VALID OR NOT, ARISING OUT OF ANYTHING CONNECTED WITH THE COY WHICH AN EMPLOYEE THINKS, BELIEVES OR EVEN FEELS TO BE UNFAIR, UNJUST OR INEQUITABLE”----JUCIUS.

# “ ANY DISSATISFACTION OR FEELING OF INJUSTICE IN CONNECTION WITH ONE’S EMPLOYMENT SITUATION THAT IS BROUGHT TO THE NOTICE OF THE MANAGEMENT”---BEACH

# “ COMPLAINTS AFFECTING ONE OR MORE INDIVIDUAL WORKERS IN RESPECT OF WAGE PAYMENTS, OVERTIME, LEAVE, TRANSFER, PROMOTION, SENIORITY, WORK ASSIGNMENT & DISCHARGES CONSTITUTE GRIEVANCES”----NATIONAL COMMISSION OF LABOUR.

# “ A COMPLAINT OF ONE OR MORE WORKERS IN RESPECT OF WAGES, ALLOWANCES, CONDITIONS OF WORK & INTERPRETATION OF SERVICE STIPULATIONS, COVERING SUCH AREAS AS OVERTIME, LEAVE, TRANSFER, PROMOTION, SENIORITY, JOB ASSIGNMENT & TERMINATION OF SERVICE”—ILO.

# ANALYSIS OF THESE VARIOUS DEFINITIONS, IT MAY BE NOTED THAT :- 1. GRIEVANCE IS A WORD WHICH COVERS DISSATISFACTION & WHICH HAS ONE OR MORE OF THE FOLLOWING CHARACTERISTICS :- ( a ) IT MAY BE UNVOICED OR EXPRESSLY STATED BY AN EMPLOYEE. ( b ) IT MAY BE WRITTEN OR VERBAL. ( c ) IT MAY BE VALID & LEGITIMATE,UNTRUE OR COMPLETELY FALSE, OR RIDICULOUS. AND ( d ) IT MAY ARISE OUT OF SOMETHING CONNECTED WITH THE ORG OR WORK.

2. AN EMPLYEE FEELS THAT AN INJUSTICE HAS BEEN DONE TO HIM.3. GRIEVANCES ARE FEELINGS, SOMETIMES REAL, SOMETIMES IMAGINED, WHICH AN

EMPLOYEE MAY HAVE IN REGARD TO HIS EMPLOYMENT SITUATION.4. THE ONLY MAJOR RESTRICTION IN THESE DEFINITIONS IS THAT THE DISCONTENT MUST

AFFECT WORKER PERFORMANCE.

# THE BROAD DEFINITION OF A GRIEVANCE HAS ITS VALUE AS FAR AS BASIC MANAGERIAL PHILOSOPHY IS CONCERNED. THE MANAGER HAS TO BE CONCERNED WITH ALL DISCONTENT

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Industrial Relations – Rajput SirREGARDLESS OF A PERSONAL OPINION OF THEIR VALIDITY. ONE HAS TO WATCH FOR UNEXPRESSED DISSATISFACTIONS. THUS IT IS THE BASIS FOR A SOUND APPROACH TO THE DEVELOPMENT OF GOOD MORALE. A MANAGER MUST KNOW THE PULSE OF THE WORKERS.

NATURE OF GRIEVANCE

# A GRIEVANCE MAY BE SUBMITTED BY A WORKER, OR SEVERAL WORKERS, IN RESPECT OF ANY MEASURE OR SITUATION WHICH DIRECTLY AFFECTS OR IS LIKELY TO AFFECT, THE CONDITIONS OF EMPLOYMENT OF ONE OR SEVERAL WORKERS IN THE ORG. WHERE A GRIEVANCE IS TRANSFORMED INTO A GENERAL CLAIM---EITHER BY THE UNION OR BY A LARGE NUMBER OF WORKERS---IT FALLS OUTSIDE THE GRIEVANCE PROCEDURE & NORMALLY COMES UNDER THE PURVIEW OF COLLECTIVE BARGAINING.

# FOLLOWING AREAS ARE CAUSES OF EMPLOYEE GRIEVANCES :-1. PROMOTION.2. AMENITIES.3. CONTINUITY OF SERVICE.4. COMPENSATION.5. DISCIPLINARY ACTION.6. FINES.7. INCREMENTS.8. LEAVE.9. MEDICAL BENEFITS.10. NATURE OF JOB.11. PAYMENT.12. ACTING PROMOTIONS.13. RECOVERY DUES.14. SAFETY APPLIANCES.15. SUPERSESSION.16. WORKING CODITIONS.17. TRANSFERS.18. VICTIMIZATION.

# A GRIEVANCE HAS A NARROWER PERSPECTIVE; IT IS CONCERNED WITH THE INTERPRETATION OF A CONTRACT OR AWARD AS APPLIED TO AN INDIVIDUAL OR A FEW EMPLOYEES.

TYPES OF GRIEVANCES

# FROM THE CAUSES OF GRIEVANCES, WE CAN DERIVE TYPES OF GRIEVANCES, WHICH COULD BE :-

1. CONCERNING WAGES.2. CONCERNING SUPERVISION.3. CONCERNING INDIVIDUAL ADVANCEMENT.4. GENERAL WORKING CONDITIONS.5. COLLECTIVE BARGAINING.

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Industrial Relations – Rajput Sir# ONE AUTHOR HAS OBSERVED, “ AN EMPLOYEE’S CONCERN FOR HIS JOB SECURITY MAY PROMPT A GRIEVANCE OVER A TRANSFER, WORK ASSIGNMENT, OR PROMOTION. SOMETIMES BAD RELATIONS BETWEEN SUPERVISORS & SUBORDINATES ARE TO BLAME—THIS IS OFTEN THE CAUSE OF GRIEVANCES OVER FAIR TREATMENT. ORG FACTORS LIKE AUTOMATED JOBS OR AMBIGUOUS JOB DESCRIPTION THAT FRUSTRATE OR AGGRAVATE EMPLOYEES ARE OTHER POTENTIAL CAUSES OF GRIEVANCES. UNION ACTIVISM IS ANOTHER CAUSE. FOR EXAMPLE, THE UNION MAY SOLICIT GRIEVANCES FROM WORKERS TO UNDERSCORE INEFFECTIVE SUPERVISION. PROBLEM EMPLOYEES ARE YET ANOTHER CAUSE OF GRIEVANCES. THESE ARE INDIVIDUALS, WHO, BY THEIR NATURE, ARE NEGATIVE, DISSATISFIED & GRIEVANCE PRONE”

MACHINERY FOR REDRESSAL OF GRIEVANCES

# REDRESSAL MEANS REMEDY OR SET RIGHT AN UNDESIRABLE OR UNFAIR SITUATION.

# ARBITRATION CAN BE BROADLY DEFINED AS A DISPUTE RESOLUTION PROCESS IN WHICH TWO PARTIES VOLUNTARILY AGREE TO ACCEPT AN IMPARTIAL ARBITRATOR’S FINAL & BINDING DECISION ON THE MERITS OF THE PARTIES’ DISPUTE. AN AEBITRATOR SITS AS A JUDGE OVER THE PARTIES DISPUTE, HIS OR HER DECISION IS LEGALLY BINDING ON THE PARTIES & AN ARBITRATION PROCEEDING IS LESS FORMAL THAN A COURT TRIAL.

# A GRIEVANCE PROCEDURE IS A FORMAL PROCESS WHICH IS PRELIMINARY TO AN ARBITRATION, WHICH ENABLES THE PARTIES INVOLVED TO ATTEMPT TO RESOLVE THEIR DIFFERENCES IN A PEACEFUL, ORDERLY & EXPEDITIOUS MANNER. IT ENABLES THE COY & THE TRADE UNION TO INVESTIGATE & DISCUSS THE PROBLEMS AT ISSUE WITHOUT IN ANY WAY INTERRUPTING THE PEACEFUL & ORDERLY CONDUCT OF BUSINESS. WHEN GRIEVANCE REDRESSAL MACHINERY WORKS EFFECTIVELY, IT SATISFACTORILY RESOLVES MOST OF THE DISPUTES BETWEEN LABOUR & MANAGEMENT.

# AN IMPORTANT ASPECT OF GRIEVANCE MACHINERY IS THE REASSURANCE GIVEN TO AN INDIVIDUAL EMPLOYEE BY THE MERE FACT THAT THERE IS A MECHANISM AVAILABLE TO HIM WHICH WILL CONSIDER HIS /HER GRIEVANCE IN A DISPASSIONATE & DETACHED MANNER & THAT HIS OPINT OF VIEW WILL BE HEARD & GIVEN DUE CONSIDERATION. BUILT INTO THIS ARE SAFEGUARDS AGAINST VICTIMIZATION IF, FOR INSTANCE, THE GRIEVANCE CONCERNS A SUPERIOR’S ACTION.

# THE PRIMARY VALUE OF A GRIEVANCE PROCEDURE IS THAT IT CAN ASSIST IN MINIMIZING DISCONTENT & DISSATISFACTION THAT MAY HAVE ADVERSE EFFECTS UPON COOPERATION & PRODUCTIVITY. THE PROCEDURE ALSO HAS VALUE IN THAT IT SERVES AS A CHECK ON ARBITRARY MANAGEMENT ACTION. BEING AWARE OF THE RIGHT OF EMPLOYEE APPEAL SHOULD HELP SUPERVISORS TO AVOID THE TENDENCY TOWARD CORRUPTION & ARBITRARINESS THAT POWER & AUTHORITY OFTEN BRING.

# THE DETAILS OF A GRIEVANCE MACHINERY VARY WITH THE ORG. IT MAY HAVE AS FEW AS TWO STEPS OR AS MANY AS TEN STEPS, DEPENDING PRIMARILY UPON THE SIZE OF THE ORG. IT MUST BE CLARIFIED HERE THAT A LABOUR UNION IS NOT ESSENTIAL TO THE ESTABLISHMENT & OPERATION OF A GRIEVANCE PROCEDURE.

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Industrial Relations – Rajput Sir# THE POLICY & GRIEVANCE PRICEDURE IS REQUIRED TO BE WRITTEN BY HR MANAGER. AN EXAMPLE OF GRIEVANCE POLICY IS GIVEN BELOW :-

POLICY : GRIEVANCES

# IT IS THE POLICY OF THE COY THAT EMPLOYEES SHOULD :-1. BE GIVEN A FAIR HEARING BY THEIR IMMEDIATE SUPERVISOR OR MANAGER

CONCERNING ANY GRIEVANCES THEY MAY WISH TO RAISE.2. HAVE THE RIGHT TO APPEAL TO A MORE Sr MANAGER AGAINST A DECISION

MADE BY THEIR IMMEDIATE SUPERVISOR OR MANAGER. AND3. HAVE THE RIGHT TO BE ACCOMPANIED BY A FELLOW EMPLOYEE OF THEIR OWN

CHOICE, WHEN RAISING A GRIEVANCE OR APPEALING AGAINST A DECISION.

PROCEDURE : GRIEVANCES

# THE AIM OF THE PROCEDURE IS TO SETTLE THE GRIEVANCE AS NEARLY AS POSSIBLE TO ITS POINT OF ORIGIN & WITHIN REASONABLE TIME.

# THE MAIN STAGES THROUGH WHICH A GRIEVANCE MAY BE RAISED ARE AS FOLLOWS :- 1. THE EMPLOYEE ( GRIEVED ) RAISES THE MATTER WITH HIS OR HER IMMEDIATE TEAM LEADER OR MANAGER & MAY BE ACCOMPANIED BY A FELLOW EMPLOYEE OF HIS OR HER OWN CHOICE. ( HENCE THE IMPORTANCE OF AN APPOINTMENT LETTER, THROUGH WHICH THE CHANNEL OF REPORTING OR SPAN OF CONTROL IS DEFINED ). THIS SHOULD BE DONE IMMEDIATELY.2. IF THE EMPLOYEE IS NOT SATISFIED WITH THE DECISION, THE EMPLOYEE REQUESTS A MEETING WITH A MEMBER OF MANAGEMENT WHO IS MORE Sr THAN THE TEAM LEADER OR MANAGER WHO INITIALLY HEARD THE GRIEVANCE. THIS MEETING TAKES PLACE WITHIN FIVE WORKING DAYS OF THE REQUEST & IS ATTENDED BY THE MANAGER, THE MANAGER RESPONSIBLE FOR PERSONNEL, THE EMPLOYEE APPEALING AGAINST THE DECISION & IF DESIRED HIS OR HER REPRESENTATIVE. THE MANAGER RESPONSIBLE FOR PERSONNEL, RECORDS THE RESULT OF THE MEETING IN WRITING & ISSUES COPIES TO ALL CONCERNED.3.IF THE EMPLOYEE IS STILL NOT SATISFIED WITH THE DECISION, HE OR SHE MAY APPEAL TO THE APPROPRIATE DIRECTOR. THE MEETING TO HEAR THIS APPEAL IS HELD WITHIN FIVE WORKING DAYS OF THE REQUEST & IS ATTENDED BY THE DIRECTOR, THE MANAGER RESPONSIBLE FOR PERSONNEL, THE EMPLOYEE MAKING THE APPEAL & IF DESIRED, HIS OR HER REPRESENTATIVE. THE MANAGER RESPONSIBLE FOR PERSONNEL, RECORDS THE RESULTS OF THIS MEETING IN WRITING & ISSUES COPIES TO ALL CONCERNED.( PLEASE NOTE HERE THAT TIME FRAME MUST BE DEFINED IN THE PROCEDURE, WHICH VARIES FROM ORG TO ORG. THE GRIEVANCES MUST BE RESOLVED IMMEDIATELY OR AT THE EARLIEST ----THIS ASPECT IS REQUIRED TO BE DEVELOPED BY HR MANAGERS )

# A GRIEVANCE PROCEDURE IS A FORMAL PROCESS WHICH IS PRELIMINARY TO AN ARBITRATION, WHICH ENABLES THE PARTIES INVOLVED TO ATTEMPT TO RESOLVE THEIR DIFFERENCES IN A PEACEFUL, ORDERLY & EXPEDITIOUS MANNER. IT ENABLES THE COY & THE TRADE UNION TO INVESTIGATE & DISCUSS THE PROBLEM AT ISSUE WITHOUT IN ANY

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Industrial Relations – Rajput SirWAY INTERRUPTING THE PEACEFUL & ORDERLY CONDUCT OF BUSINESS. WHEN THE GRIEVANCE REDRESSAL MACHINERY WORKS EFFECTIVELY, IT SATISFACTORILY RESOLVES MOST OF THE DISPUTES BETWEEN LABOUR & MANAGEMENT.

# AN OPEN-DOOR POLICY, WHEREIN A GRIEVED EMPLOYEE CAN DIRECTLY APPROACH THE HEAD OF THE FIRM & GENERALLY APPLICABLE FOR SMALL SCALE COYS. FOR BIGGER COYS A STEP-LADDER TYPE PROCEDURE IS GENERALLY FOLLOWED.

# GENERALLY THERE ARE THREE TYPES OF GRIEVANCE PROCEDURES---THREE- STEP GRIEVANCE PROCEDURE, FOUR- STEP & FIVE-STEP.

THREE-STEP GRIEVANCE PROCEDUREStep Labour Representative Management Representative 1. Shop steward & aggrieved employee. Foreman 2. Shop Committee General Manager 3. Arbitration by an impartial third party

FOUR-STEP GRIEVANCE PROCEDURE

Step Labour Representative Management Representative 1. Steward & aggrieved employee. Foreman. 2. Shop Committee Personnel Manager 3. Local union ofrs President 4. Arbitration by an impartial third party

FIVE-STEP GRIEVANCE PROCEDURE

Step Labour Representative Management Representative 1. Union steward or employee Employee’s immediate supervisor. 2. Chief steward or business agent Superintendent or IR Offr. 3. Coy grievance committee. IR Director or Plant Manager 4. Regional or District Representatives

of unionTop Corporate Management

5. Arbitration by an impartial third party

# BASIC ELEMENTS OF A GRIEVANCE PROCEDURE--- THESE COULD BE :-1. THE EXISTANCE OF A SOUND CHANNEL THROUGH WHICH A GRIEVANCE MAY PASS FOR

REDRESSAL IF THE PREVIOUS STAGE OR CHANNEL HAS BEEN FOUND TO BE INADEQUATE, UNSATISFACTORY OR UNACCEPTABLE.

2. THE PROCEDURE SHOULD BE SIMPLE, DEFINITE & PROMPT, FOR ANY COMPLEXITY OR VAGUENESS OR DELAY MAY LEAD TO AN AGGRAVATION OF THE DISSATISFACTION OF THE AGGRIEVED EMPLOYEE. AND

3. THE STEPS IN HANDLING A GRIEVANCE SHOULD BE CLEARLY DEFINED.4. THESE SHOULD COMPRISE OF :-

( a ) RECEIVING & DEFINING THE NATURE OF THE GRIEVANCE.

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Industrial Relations – Rajput Sir( b ) GETTING AT THE RELEVENT FACTS, ABOUT THE GRIEVANCE.( c ) ANALYSING THE FACTS, AFTER TAKING INTO CONSIDERATION THE ECONOMIC, SOCIAL, PSYCHOLOGICAL & LEGAL ISSUES INVOLVED IN THEM.( d ) TAKING AN APPROPRIATE DECISION AFTER A CAREFUL CONSIDERATION OF ALL THE FACTS. AND

5. WHATEVER THE DECISION, IT SHOULD BE FOLLOWED UP IN ORDER THAT THE REACTION TO THE DECISION MAY BE KNOWN & IN ORDER TO DETERMINE WHETHER THE ISSUE HAS BEEN CLOSED OR NOT.

# IT IS RELEVENT TO NOTE THAT THE MANAGEMENT IS OFTEN GUILTY OF ERRORS IN ITS HANDLING OF THE GRIEVANCE REDRESSAL PROCEDURE. THESE ERRORS COULD BE :-

1. STOPPING TOO SOON THE SEARCH FOR FACTS.2. EXPRESSING THE OPINION OF THE MANAGEMENT BEFORE ALL THE PERTINENT FACTS

HAVE BEEN UNCOVERED & EVALUATED.3. FAILING TO MAINTAIN PROPER RECORDS.4. RESORTING TO AN EXECUTIVE FIAT ( MEANS AN OFFICIAL ORDER OR AUTHORISATION )

INSTEAD OF DISPASSIONATELY DISCUSSING THE FACTS OF THE GRIEVANCE OF THE EMPLOYEE.

5. COMMUNICATING THE DECISION TO THE GRIEVANT IN AN IMPROPER WAY.6. TAKING A WRONG OR HASTY DECISION, WHICH THE FACTS OR CIRCUMSTANCES OF

THE CASE DO NOT JUSTIFY.

SUCCESSFUL GRIEVANCE HANDLING PROCEDURES

# AN ANLYSIS OF SUCCESSFUL GRIEVANCE HANDLING PROCEDURES INDICATES THAT THE FOLLOWING FACTORS ARE INVOLVED IN THEM :-

1. HELPFUL ATTITUDE & SUPPORT OF THE MANAGEMENT.2. BELIEF ON THE PART OF ALL CONCERNED IN THE UTILITY OF THE PROCEDURE.3. INTRODUCTION OF THE PROCEDURE WITH THE CONCURRENCE OF THE EMPLOYEES’

REPRESENTATIVE OR THEIR TRADE UNIONS.4. SIMPLE, FAIR, EASILY UNDERSTANDABLE & QUICK HANDLING PROCEDURE COTAINING A

TIME LIMIT FOR EACH STEP.5. DEFINING COY’S POLICIES, RULES & PRACTICES & AVAILABILITY OF COPIES AT

DIFFERENT MANAGEMENT LEVELS INVOLVED IN THE PROCEDURE.6. DELEGATION OF APPROPRIATE AUTHORITY SO THAT ACTION MAY BE TAKEN AT ALL

LEVELS OF THE MANAGEMENT.7. THE FUNCTIONING OF THE HR DEPT IN AN ADVISORY CAPACITY AT AL THE LEVELS OF

THE MANAGEMENT.8. A FACT-ORIENTED, INSTEAD OF AN EMPLOYEE-ORIENTED, DISCUSSION OF GRIEVANCES.9. RESPECT FOR THE DECISION TAKEN AT EACH LEVEL OF THE MANAGEMENT.10. ADEQUATE PUBLICITY GIVEN TO THE PROCEDURE & ITS ACHIEVEMENTS IN THE COY.

AND11. A PERIODIC REVIEW OF THE WORKING OF THE PROCEDURE.

CERTAIN PROCEDURAL MATTERS IN DEALING WITH GRIEVANCE REDRESSAL

# THESE COULD BE :-

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Industrial Relations – Rajput Sir1. WHEN A GRIEVANCE ARISES OUT OF AN ORDER ISSUED BY THE MANAGEMENT, THE

ORDER ITSELF MUST BE COMPLIED WITH BEFORE THE PROCEDURE IS ACTIVATED.2. THE RIGHT OF THE WORKERS’ REPRESENTATIVE ON THE GRIEVANCE COMMITTEE TO

SEE A DOCUMENT & THE RIGHT OF THE MANAGEMENT’S REPRESENTATIVE TO REFUSE TO SHOW A DOCUMENT OF A COFIDENTIAL NATURE. CONFIDENTIAL; DOCUMENTS SHALL NOT BE USED AGAINST HIM.

3. THERE IS A LIMIT OF 72 HOURS WITHIN WHICH AN APPEAL CAN BE TAKEN FROM ONE STEP TO ANOTHER.

4. PAYMENT FOR TIME THAT HAS BEEN SPENT ON THE REDRESSAL OF GRIEVANCE. AND5. IN THE EVENT OF A GRIEVANCE ARISING OUT OF DISCHARGE OR DISMISSAL, THE

WORKER HAS THE RIGHT TO APPEAL EITHER TO THE DISMISSING AUTHORITY OR TO A Sr BODY, SPECIFIED FOR THE PURPOSE BY THE MANAGEMANT, WITHIN A WEEK FROM THE DATE OF DISMISSAL OR DISCHARGE.

DISCIVERY OF GRIEVANCES

# KNOWLEDGE ABOUT GRIEVANCE IS IMPORTANT IN HANDLING THEM. ONE CAN COME TO KNOW ABOUT GRIEVANCES THROUGH GOSSIP & GRAPEVINE OR THROUGH UNIONS. IT IS ALWAYS PREFERABLE TO HAVE FIRST HAND KNOWLEDGE BASED ON OBSERVATION & THROUGH DIRECT COMN FROM THE EMPLOYEE CONCERNED. SOME OF THE IMPORTANT WAYS OF DISCOVERING GRIEVANCES ARE GIVEN BELOW :-

1. DIRECT OBSERVATION ---AN EFFECTIVE MANAGER MUST KNOW HOW HIS SUBORDINATES BEHAVE IN ORDINARY CIRCUMSTANCES., THAT IS KNOWING THE PULSE OF YOUR SPAN OF MANAGEMENT. WHEN SIGNIFICANT CHANGES IN THAT BEHAVIOUR OCCUR, IT IS SURE TO AFFECT PERFORMANCE.

2. GRIEVANCE PROCEDURE ----THIS PROVIDES AN OPPORTUNITY TO GIVE VENT TO ONES GRIEVANCES. THE DILEMMA MOST MANAGERS FACE IS WHETHER & HOW FAR THEY SHOULD ENCOURAGE OR DISCOURAGE GRIEVANCES. IF MANAGEMENT DOES NOT INDUCE EMPLOYEES TO EXPRESS THEIR GRIEVANCES, UNIONS WILL DO SO & THEY ARE LIKELY TO BLOW THE SITUATION. DISCOURAGING EMPLOYEES FROM EXPRESSING GRIEVANCES MEANS IGNORING GRIEVANCES. WHEN THEY SIMMER & BURST, MANAGEMENTS FIND IT BEYOND THEIR CAPACITY TO DEAL WITH THEM ADEQUATELY. THIS IS THE START OF A STRKE.

3. GRIPE BOXES -----THE GRIPE BOX IS A FACILITY TO FILE ANONYMOUS COMPLAINTS ABOUT THE VARIOUS CAUSES OF DISCONTENT & DISSATISFACTION IN THE ORG. IT IS DIFFERENT FROM SUGGESTION SCHEME. IN CASE OF GRIPE BOX ANONYMITY IS ASSURED & THERE IS NO REWARD OR PUNISHMENT. THE LIMITED PURPOSE IS TO LET THE MANAGEMENT KNOW WHAT THE EMPLOYEES FEEL WITHOUT FEAR OF VICTIMISATION.

4. OPEN-DOOR POLICY ---MOST ORGS PREACH OPEN-DOOR POLICY BUT DO NOT PRACTICE IT.

5. EXIT INTERVIEW -----IT REQUIRES CERTAIN SKILLS TO GET TO KNOW THE REAL REASONS FOR LEAVING THE JOB. EXIT INTERVIEWS, IF CONDUCTED EFFECTIVELY, CAN PROVIDE VITAL INFO TO OMPROVE PERSONNEL POLICIES & IDETIFY THE WEAKNESSES & STRENGTHS OF THE ORG. SOME ORGS MAIL AN EXIT QUESTIONNAIRE THREE MONTS AFTER AN EMPLOYEE LEAVES SO THAT HE NEED NOT FEAR ABOUT A POOR REFERENCE & GIVE THE TRUTH, WITHOUT FEAR OR FAVOUR.

6. GRAPEVINE ----IT IS THE CIRCULATION OF RUMOURS & UNOFFICIAL INFO.

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Industrial Relations – Rajput Sir

CERTAIN DO’S & DON’TS IN HANDLING GRIEVANCES

# TO BE GIVEN OUT AS HAND-OUT

SUMMARY

1. INTRODUCTION.2. WHAT IS GRIEVANCES & ANALYSIS OF DEFINITIONS.3. NATURE OF GRIEVANCES.4. TYPES OF GRIEVANCES.5. MACHINERY FOR REDRESSAL OF GRIEVANCES.6. POLICY & PROCEDURE.7. BASIC ELEMENTS OF GRIEVANCE PROCEDURE.8. ERRORS BY MANAGEMENT.9. SUCCESSFUL GRIEVANCE HANDLING PROCEDURE.10. CERTAIN PROCEDURAL MATTERS IN DEALING WITH GRIEVANCES. AND11. DISCOVERY OF GRIEVANCES.12. CERTAIN DO’S & DON’TS.

THE COLLECTIVE BARGAINING

1. THE CONCEPT.2. PROCESS.3. TYPES.4. REQUIREMENTS OF COLLECTIVE BARGAINING.5. RECENT TRENDS & ROLE.6. CASE STUDY OF BHEL, BANGLORE.

INTRODUCTION

# INITIALLY, INDIVIDUAL EMPLOYEES NEGOTIATED DIRECTLY WITH A POTENTIAL EMPLOYER ON THE WAGES THEY WOULD RECEIVE FOR THE SERVICES PROVIDED.WITH THE GROWTH OF POPULATION & THE PACE OF INDUSTRIALISATION, LARGE NUMBER OF PEOPLE ENTERED THE LABOUR MARKET. THIS BROUGHT ABOUT SEVERAL CHANGES.

# INDIVIDUAL EMPLOYERS & EMPLOYEES DID NOT FIND IT CONVENIENT ANY MORE TO NEGOTIATE INDIVIDUALLY, OWING TO THE PRESSURE OF TIME, VARIANCES IN REWARDS FOR THE SERVICES RENDERED & THE ABILITY TO PUSH FOR MORE AS A GP ON THE EMPLOYEES’ PART. EMPLOYERS ALSO FOUND IT MORE CONVIENT TO DEAL WITH A GP RATHER THAN INDIVIDUALS.

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Industrial Relations – Rajput Sir# THIS LED TO THE CONCEPT OF “COLLECTIVE BARGAINING”. THIS CONCEPT WAS FIRST IDENTIFIED BY SIDNEY & BEATRICE WEBB IN BRITAIN & ALSO BY GOMPERS IN THE USA.

WHAT IS COLLECTIVE BARGAINING ?

# IT IS A PROCESS THROUGH WHICH REPRESENTATIVES OF MANAGEMENT & THE UNION MEET TO NEGOTIATE A LABOUR AGREEMENT. ( NEGOTIATION IS A PROCESS THROUGH WHICH TWO OR MORE PARTIES MOVE FROM THEIR INITIALLY DIVERGENT POSITIONS TO A POINT WHERE AGREEMENT IS REACHED.)

# THE INDUSTRIAL RELATIONS SYSTEM IS REGULATED BY THE PROCESS OF COLLECTIVE BARGAINING WHICH IS A SOCIAL PROCESS THAT CONTINUALLY TURNS DISAGREEMENTS INTO AGREEMENTS IN AN ORDERLY FASHION.

# COLLECTIVE BARGAINING ( CB ) AIMS TO ESTABLISH BY NEGOTIATION & DISCUSSION AGREED RULES & DECISIONS ON THE MATTERS OF MUTUAL CONCERN TO EMPLOYERS & UNIONS AS WELL AS METHODS OF REGULATING THE CONDITIONS GOVERNING EMPLOYMENT.

DEFINITIONS OF COLLECTIVE BARGAINING

# ENCYCLOPAEDIA OF SOCIAL SCIENCES DEFINES AS---“ A PROCESS OF DISCUSSION & NEGOTIATION BETWEEN TWO PARTIES; ONE OR BOTH OF WHOM IS A GP OF PERSONS ACTING IN CONCERT. THE RESULTING BARGAIN IS AN UNDERSTANDING AS TO THE TERMS OR CONDITIONS UNDER WHICH A CONTINUING SERVICE IS TO BE PERFORMED”

# OXFORD DICTIONARY OF HRM DEFINES AS, “THE PROCESS THROUGH WHICH TRADE UNIONS & EMPLOYERS NEGOTIATE COLLECTIVE AGREEMENTS THAT SET THE RATES OF PAY & TERMS & CONDITIONS OF EMPLOYMENT OF WORKERS. IT IS ALSO A PROCESS OF JOINT REGULATION & CAN BE DIFFERENTIATED FROM UNILATERAL REGULATION OF EMPLOYMENT BY EMPLOYERS OR UNIONS & LEGAL REGULATION THROUGH THE STATE”

# THE INTERNATIONAL LABOUR ORGANISATION ( ILO ) DEFINE CB AS, ----- “ NEGOTIATION ABOUT WORKING CONDITIONS & TERMS OF EMPLOYMENT BETWEEN AN EMPLOYER, A GP OF EMPLOYEES OR ONE OR MORE EMPLOYERS’ ORGANIZATIONS, ON THE ONE HAND & ONE OR MORE REPRESENTATIVE WORKERS’ ORGANIZATIONS ON THE OTHER WITH A VIEW TO REACHING AGREEMENT.”

# WHAT DO WE LEARN FROM THESE DEFINITIONS ?-----THESE DEFINITIONS LEAD US TO CERTAIN CHARACTERISTICS & SALIENT FEATURES OF CB WHICH COULD BE :-

1. THE PROCESS IS “ COLLECTIVE” BECAUSE ISSUES RELATING TO TERMS & CONDITIONS OF EMPLOYMENT ARE SOLVED BY REPRESENTATIVES OF EMPLOYEES & EMPLOYERS IN GPS RATHER THAN AS INDIVIDUALS.

2. IT IS ESSENTIALLY A GP ACTIVITY RATHER THAN AN INDIVIDUAL OR UNILATERALK ACTION.

3. FLEXIBLE ATTITUDE OF BOTH THE MANAGEMENT & THE UNION IS ENCOURAGED.4. IT IS A BILATERAL ( INVOLVING TWO PARTIES ) PROCESS.5. IT IS AN ONGOING & DYNAMIC PROCESS.

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Industrial Relations – Rajput Sir6. IT IS COMPLEX IN NATURE BECAUSE OF THE PROCESS & TECHNIQUES ADAPTED IN

RESOLVING THE ISSUE.7. IT PERFORMS LEGISLATIVE, JUDICIAL & EXECUTIVE FUNCTIONS. ( LEGISLATIVE MEANS

RELATING TO LAWS).8. IT IS BOTH AN ART & SCIENCE.9. IT IS A PROCESS IN THE SENSE THAT IT CONSISTS OF A NUMBER OF STEPS. THE

STARTING POINT IS THE PRESENTATION OF THE CHARTER OF DEMANDS & THE LAST STAGE IS THE REACHING OF AN AGREEMENT, OR A CONTRACT WHICH WOULD SERVE AS THE BASIC LAW GOVERNING LABOUR-MANAGEMENT RELATIONS OVER A PERIOD OF TIME IN AN ORG.

10. IT IS DISTINCTIVE IN NATURE AS THE RULES ARE MADE BY THE UNIONS OF WORKERS, EMPLOYERS & ORGS.

11. IT IS GOVERNED BY THE CONVENTIONS & CUSTOMS THAT PREVAIL AT THE COY LEVEL.12. IT IS NOT JUST AN ECONOMIC PROCESS BUT MORE A SOCIO-ECONOMIC ONE. THE

VALUES, ASPIRATIONS & EXPECTATIONS ALSO PLAY A SIGNIFICANT ROLE.

PREREQUISITES FOR SUCCESSFUL CB

# ADAPTING A SYSTEM IN THE ORG DOES NOT GUARANTEE SUCCESS. THE IMPLEMENTATION OF THE POLICIES IN SPIRIT & ACTION DETERMINES THE SUCCESS & EFFECTIVENESS. THIS EFFECTIVENESS OF COLLECTIVE BARGAINING DEPENDS ON CERTAIN FUNDAMENTAL PREREQUISITES, WHICH COULD BE :-

1. CONGENIAL ENVIRONMENT ---A SYSTEM BECOMES EFFECTIVE ONLY WHEN IT HAS BEEN PROPERLY ACCEPTED & IMPLEMENTED. WORK ENVIRONMENT IS VERY IMPORTANT FOR THE SUCCESS OF CB. PEOPLE INVOLVED IN THIS PROCESS SHOULD HAVE A STRONG BELIEF OF DEMOCRACY & MUTUAL SOLUTION TO THE PROBLEM. MUTUAL TRUST, RESPECT & UNDERSTANDING BETWEEN THE EMPLOYER & THE EMPLOYEE DEVELOPS A CONGENIAL ENVIRONMENT TO DEBATE, NEGOTIATE & TAKE A DECISION.

2. SOCIA -POLITICAL SITUATION---IT ESSENTIAL TO UNDERSTAND THE PREVAILING SOCIO-POLITICAL SITUATION SURROUNDING THE ORG & THE STRATEGIC DYNAMICS OF THE NEGOTIATION FOR BOTH THE MANAGEMENT & THE UNION TO MAKE THE PROCESS EFFECTIVE.

3. PSYCHOLOGICAL CONSIDERATIONS -----IT IS IMPORTANT TO UNDERSTAND THE HUMAN SIDE OF THE DECISIONS RATHER THAN RULES & REGULATIONS. THIS WILL DEVELOP GOODWILL, MUTUAL COMMITMENT & COOPERATION, WHICH IS ESSENTIAL OBJECTIVE OF IR.

4. MATURITY OF THE PEOPLE -----THE KNOWLEDGE OF THE TECHNIQUES OF COLLECTIVE BARGAINING IS VERY MUCH IMPORTANT. THE EDUCATION, EXPOSURE & BELIEF IN THE SYSTEM ARE SOME OF THE FACTORS, WHICH INFLUENCE THE MATURITY OF THE PERSON.

5. NEGOTIATING TEAM ---THE TEAM SHOULD BE SO SELECTED THAT DECISIONS ARE ARRIVED AT WITH NO OR MINIMUM REFERRALS TO THE TOP MANAGEMENT. THE TEAM SHOULD HAVE A MIXED COMPOSITION.

6. RECOGNISE THE UNION -----IT IS NECESSARY FOR THE MANAGEMENT TO RECOGNISE THE UNION & TO BARGAIN IN MORE GOOD FAITH. STRONG UNIONS & PROGRESSIVE MANAGEMENTS CAN HELP CREATE AN ATMOSPHERE OF MUTUAL CONFIDENCE.

7. APPROACH ----OPEN MINDS, TO LISTEN & APPRECIATE THE OTHERS’ CONCERN & POINT OF VIEW & TO HAVE SOME FLEXIBILITY IN MAKING ADJUSTMENTS TO THE DEMANDS MADE.

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Industrial Relations – Rajput Sir8. HOMEWORK ---THE DEMANDS PRESENTED MUST BE STUDIED IN ADVANCE TO GATHER

DATA ON WAGES & WELFARE BENEFITS; THAT IS BENCH-MARKING.9. IDENTIFICATION —BOTH THE MANAGEMENT & THE UNIONS SHOULD BE ABLE TO

IDENTIFY GRIEVANCES, SAFETY & HYGIENE PROBLEMS ON ROUTINE BASIS & TAKE APPROPRIATE REMEDIAL STEPS.

10. INTERNAL UNION DEMOCRACY ----TRADE UNIONS SHOULD ENCOURAGE INTERNAL UNION DEMOCRACY & HAVE PERIODIC CONSULTATIONS WITH THE RANK & FILE MEMBERS.

11. PRODUCT / SERVICES ---TRADE UNIONS SHOULD EQUALLY BE CONCERNED WITH BOTH QUANTITY OF WORK OUTPUT AS AGREED UPON & QUALITY OF WORK, BOTH LEADING TO A CONSISTENT CONCERN FOR THE VIABILITY OF THE COY & ITS PRODUCT / SERVICES.

12. PERIODIC DISCUSSIONS ---THESE MUST BE BETWEEN MANAGEMENT & THE UNION TO INTERPRET THE PROVISIONS OF THE CONTRACT & CLARIFY DOUBTS. THIS IS LIKELY TO HELP IN AVOIDING STRIKES / LOCKOUTS.

COLLECTIVE BARGAINING PROCESS

# CB IS A PROCESS WHICH CONSISTS OF FOLLOWING STAGES :-

1. PRESENTATION OF PROPOSALS BY UNIONS TO THE MANAGEMENT.2. HOME-WORK ON THESE PROPOSALS BY BOTH PARTIES.3. NEGOTIATION OF PROPOSALS LEADING TO AGREEMENT.4. IMPLEMENTATION OF AGREEMENT. AND5. REVIEW & RENEWAL OF AGREEMENT.

# PRESENTATION OF PROPOSALS----MANY ORGS TERM IT AS DEMANDS BY UNIONS. THE CB PROCESS USUALLY STARTS WITH PROPOSAL / DEMANDS BEING PRESENTED TO THE MANAGEMENT BY UNIONS. A FRESH PROPOSAL IS SUBMITTED UPON THE EXPIRY OF THE EARLIER AGREEMENT. BUT IT WOULD BE PREFERABLE TO GET THESE FRESH PROPOSALS WELL BEFORE THE EXPIERY OF EXISTING AGREEMENT SO THAT THE NEW AGREEMENT WOULD BE ANY DELAYS. TILL THE FRESH AGREEMENT IS SIGNED, THE PROVISIONS OF THE EXISTING AGREEMENT WOULD CONTINUE.

# THESE PROPOSALS ARE RECEIVED BY IR DEPT WHERE AVAILABLE OR BY HR DEPT ( PM )

# HOME-WORK---THE PROPOSALS ARE STUDIED TO EVALUATE THE EFFECTS, BOTH FINANCIAL & NON-FINANCIAL. THIS HOME-WORK IS GENERALLY DONE BY IR DEPT / HR DEPT, FINANCE / ACCOUNT DEPT & OPERATIONS DEPT. THE OBJECTIVE OF THIS HOME-WORK IS TO PREPARE FOR NEGOTITIONS.

# NEGOTIATION OF PROPOSALS----AFTER THE HOME-WORK, BOTH PARTIES START NEGOTIATING & TRY TO ARRIVE AT AN AGREEMENT. ( NEGOTIATION IS A PROCESS THROUGH WHICH TWO OR MORE PARTIES MOVE FROM THEIR INITIALLY DIVERGENT POSITIONS TO A POINT WHERE AGREEMENT IS REACHED.) FOR THIS, BOTH PARTIES HAVE TO MAKE NECESSARY PREPARATIONS FOR JUSTIFYING RESPECTIVE STANDS. NEGOTIATIONS REFLECT A SENSE OF COMPROMISE IN A GIVE & TAKE SPIRIT & ALSO MANIPULATION POWER EQUILIBRIUM BETWEEN PARTIES. COMPLETION OF NEGOTIATIONS LEAD TO AN AGREEMENT WHICH WHEN SIGNED BY BOTH PARTIES BECOMES A CONTRACT BETWEEN THE UNION & THE MANAGEMENT FOR A DEFINED PERIOD OF TIME.

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# IMPLEMENTATION OF AGREEMENT----THE CONTENTS OF THE AGREEMENT ARE COMMUNICATED TO ALL FOR EXECUTION. THIS IS CLOSELY OBSERVED BY IR / HR DEPT TO ENSURE THAT NO DISPUTES OR PROBLEMS ARISE.

# REVIEW & RENEWAL---NORMALLY THESE AGREEMENTS ARE VALID FOR A SPECIFIED PERIOD; GENERALLY FOR THREE YEARS. DURING THIS TIME, BOTH PARTIES MUST REVIEW THE IMPLEMENTATION & SHOULD THERE BE ANY REQUIREMENT FOR REVISION / REVIEW MUST BE DONE. THUS THE CB IS A CONTINUOUS PROCESS.

# THE END OBJECTIVE OF CB SHOULD BE THAT BOTH PARTIES TRY TO ACHIEVE “I AM OK” SITUATION WITH A VIEW TO ACHIEVE MAX PRODUCTION & IMPROVE QUALITY OF LIFE.

STEPS TO IMPROVE THE PROCESS OF CB

1. BEGIN THE PROCESS OF NEGOTIATIONS WITH PROPOSALS & NOT DEMANDS.2. AVOID TAKING POSITIONS FOR OR AGAINST CERTAIN PROPOSALS IN ADVANCE OF

NEGOTIATIONS.3. AVOID TAKING STRIKE VOTES BEFORE THE PROCESS OF NEGOTIATIONS BEGIN.4. GIVE NEGOTIATORS PROPER AUTHORITY TO BARGAIN.5. AVOID UNNECESSARY DELAYS IN BEGINNING NEGOTIATIONS & CONDUCTING THEM.6. INSISTS ON OFFERING FACTS & ARGUMENTS.7. MAKE PLENTY OF PROPOSALS TO ENHANCE THE OPPORTUNITIES TO COME TO A

SOLUTION.8. BE PREPARED TO COMPROMISE.9. ACCEPT TO GET RESULTS GRADUALLY.10. PRESERVE GOOD MANNERS & KEEP DISCUSSION FOCUSED ON RELEVENT ISSUES. AND11. BE PREPARED TO STAND ALONG ANY HARD STRIKE OR LOCK-OUT---MEANS

CONTINGENCY PLANNING SHOULD BE IN THOUGHT OF.

TACTICS USED IN COLLECTIVE BARGAINING

1. ANTICIPATE --- THE PROPOSALS / DEMANDS, THE INTENTION OF THE DEMANDS, & ALSO THE DIRECTION IN WHICH THESE WILL BE PRESENTED OR PLACED.

2. TEAM SPIRIT --- SHOULD BE MAINTAINED THROUGHOUT THE NEGOTIATIONS. IT REQUIRES SYNCHRONIZATION OF THE TEAM MEMBERS’ VIEWS DURING THE DISCUSSION. A REHEARSAL BEFOREHAND MAY CLEAR THE ROLE & RESPONSIBILITY OF EACH OF THE MEMBER.

3. SEPARATE RESPONSIBILITIES FROM PROBLEMS ---THIS WILL PROVIDE A PLATFORM TO GIVE IMPORTANCE ON ISSUES & NOT THE PEOPLE BEHIND THE ISSUES.

4. COUNTER PROPOSAL--- THE MANAGEMENT SHOULD PRESENT A COUNTER PROPOSAL AGAINST THE DEMAND RAISED BY THE UNION. e. g. IF A DEMAND IS ON WAGE HIKE, THE MANAGEMENT SHOULD RAISE THE ISSUE OF PRODUCTIVITY, WORKLOAD etc.

5. EMOTIONAL MATURITY ---- MUST BE MAINTAINED BY BOTH MEMBERS OF UNION T THE REPRESENTATIVES OF MANAGEMENT. PATIENT LISTENING & MUTUAL UNDERSTANDING WILL FACILITATE THE PROCESS OF DECISION-MAKING.

6. PROPER MANAGEMENT REPRESENTATIVES -----PERSONS WITH PROPER AUTHORITY TO COMMIT & STANDBY SHOULD BE DEPUTED BY THE MANAGEMENT AT THE

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Industrial Relations – Rajput SirNEGOTIATION TABLE. PRESENCE OF A Jr RANK PERSON WILL SEND A WRONG SIGNAL TO THE UNION REGARDING THE SERIOUSNESS OF THE MANAGEMENT.

7. PHASE OUT THE ISSUES --- IT IS DESIRABLE TO TAKE UP THE ISSUES WHICH DO NOT COST OR COST LESS TO THE MANAGEMENT INITIALLY & THEN SWITCH OVER TO HIGH COST INVOLVEMENT ITEMS. THIS WILL CREATE A GOOD ENVIRONMENT FOR NEGOTIATIONS.

8. SAFETY VALVE -----EVEN IF THE NEGOTIATION IS DIFFICULT, THERE SHOULD BE SAFETY VALVE WHICH SHOULD NOT BE CROSSED BY THE NEGOTIATING TEAMS EXCEPT IN EXCEPTIONAL CIRCUMSTANCES.

9. BE GOOD LISTENER ----IT IS NOT DESIRABLE TO TALK MUCH WITHOUT ALLOWING THE OTHER PARTY TO SPEAK. IT GIVES THE OTHER PARTY YOUR POSITION BUT LEAVES YOU WITH LITTLE KNOWLEDGE OF HIS POSITION & POTENTIAL TRADE-OFF.

10. DO NOT GIVE-UP ---THE PARTIES INVOLVED IN THE NEGOTIATIONS SHOULD NOT GIVE UP TOO SOON OR BACK OFF TOO QUICKLY.

11. JUDGE THE PARTIES ---IT IS NOT DESIRABLE TO UNDERESTIMATE OR OVERESTIMATE THE OTHER PARTY.

12. GOOD END —THE RESULT OF A COLLECTIVE BARGAINING STRATEGY SHOULD END IN A GOOD AGREEMENT OR SETTLEMENT.

TYPES OR FORMS OF CB

# THERE ARE TWO BASIC FORMS OR TYPES AS IDENTIFIED BY CHAMBERLAIN & KUHN ( 1965 ) WHICH ARE :-

1. CONJUNCTIVE BARGAINING -----WHICH ARISES FROM THE ABSOLUTE REQUIREMENT THAT SOME AGREEMENT BE REACHED SO THAT THE OPERATIONS ON WHICH THESE ARE DEPENDENT, MAY CONTINUE & RESULT IN A WORKING RELATIONSHIP.

2. COOPERATIVE BARGAINING ------IN WHICH IT IS RECOGNIZED THAT EACH PARTY IS DEPENDENT ON THE OTHER & CAN ACHIEVE ITS OBJECTIVES MORE EFFECTIVELY IF IT WINS THE SUPPORT OF THE OTHER.

# A SIMILAR DISTINCTION WAS MADE BY WALTON & McKERSIE ( 1965 ) :-

1. DISTRIBUTIVE BARGAINING ------WHICH IS THE COMPLEX SYSTEM OF ACTIVITIES INSTRUMENTAL TO THE ATTAINMENT OF ONE PARTY’S GOAL WHEN THEY ARE IN BASIC CONFLICT WITH THOSE OF THE OTHER PARTY.

2. INTEGRATIVE BARGAINING -----WHICH IS THE SYSTEM OF ACTIVITIES WHICH ARE NOT IN FUNDAMENTAL CONFLICT WITH THOSE OF THE OTHER PARTY & WHICH THEREFORE CAN BE

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INTEGRATED TO SOME DEGREE. THIS IS BASICALLY AN AREA OF COMMON CONCERN.

TRENDS IN COLLECTIVE BARGAINING

# CB IS A VERY IMPORTANT & MOST EFFECTIVE INSTRUMENT IN THE HANDS OF THE WORKERS TO BETTER THEIR CONDITIONS. THIS IMPORTANCE HAS FOLLOWING FACTORS :-

1. IT IS BEST SUITED FOR THE CONCEPT OF INDUSTRIAL DEMOCRACY. THE UNIONS GET AN OPPORTUNITY TO ACQUINT THE EMPLOYER WITH THE VIEW POINT OF UNION MEMBERS & THEIR SPECIAL PROBLEMS.

2. IT ENSURES AN IMPROVED STATUS FOR WORKERS.3. ENSURES LASTING INDUSTRIAL PEACE.-----CB IS NOT A METHOD

OF SETTLING DISPUTES ONLY BUT ALSO FOR ITS PREVENTION. IT CAN DISPEL CONFLICTS. AND

4. IT FOSTERS RESPONSIBILITY ON THE PART OF BOTH WORKERS & EMPLOYERS.---PARTIES WHO HAVE REACHED AN AGREEMENT HAVE RESPONSIBLE BEHAVIOUR THAN IF IMPOSED BY THE DECISION OF THIRD PARTY.

# BECAUSE OF SUCH OUTCOMES OF CB, NEW TRENDS ARE COMING UP, WHICH COULD BE :-

1. WIDE COVERAGE IN THE ORGANISED SECTOR.2. EXTENSION IN ALL BRANCHES OF INDUSTRIES.3. LEVEL OF BARGAINING.4. COORDINATION IN BARGAINING.5. DIVERSITY IN BARGAINING PROCEDURES.6. BARGAINING WITH MULTIPLE UNIONS.7. TREND TOWARDS JOINT ACTION BY UNIONS.8. COERCIVE BARGAINING.9. NATURE OF TECHNIQUES.10.SCOPE OF COLLECTIVE BARGAINING.

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# WIDE COVERAGE IN THE ORGANISED SECTOR----THERE IS GROWTH IN CB. INITIALLY MORE AGREEMENTS WERE CONCLUDED AT THE CENTRAL LEVEL THAN AT STATE LEVELS. CB WAS MORE IN PUBLIC SECTORS & NOW IT IS WIDELY FOLLOWED IN PRIVATE SECTORS ALSO.

# EXTENSION IN ALL BRANCHES OF INDUSTRIES-----CB NOW EXTENDS TO MOST BRANCHES OF INDUSTRIES IN THE ORGANISED SECTORS. INITIALLY CB WAS FOUND IN SOME OF THE TRADITIONAL INDUSTRIES LIKE COTTON & JUTE TEXTILES. WHEREAS NOW MOST OF THE INDUSTRIES ARE FOLLOWING CB.

# LEVEL OF BARGAINING-----UNDER THIS PATTERN OF BARGAINING, THE MANAGEMENT NEGOTIATES ON A NATIONAL BASIS WITH THE REPRESENTATIVES OF THE UNIONS OF DIFFERENT UNITS UNDER THEIR CONTROL---LIKE SAIL, BHEL, COAL etc.

# COORDINATION IN BARGAINING---PARTIES IN SEVERAL INDUSTRIES HAVE TAKEN STEPS TO INCREASE THE EFFEECTIVENESS OF THE CB SYSTEM. THIS HAS INCLUDED THE ESTABLISHMENT OF COORDINATION AGENCIES FOR PROMOTING UNITY IN APPROACHES AMONG THE EMPLOYING INTEREST TOWARDS THE ISSUES AT STAKE. THIS KIND OF EFFORT HAS BEEN MADE BY THE PUBLIC ENTERPRISES IN BANGLORE WHERE SUCH ENTERPRISES ARE CONCENTRATED. IN THAT CENTRE A COORDINATION COMMITTEE OF THE CHIEF EXECUTIVES OF THE ENTERPRISES HAD BEEN FORMED TO FUNCTION AS A JOINT BODY TO DEAL WITH ISSUES OF COMMON CONCERN SUCH AS WAGES & SERVICE CONDITIONS. ON THE EMPLOYEES’ SIDE, TOO, THE UNIONS HAVE SET UP A JOINT BODY TO NEGOTIATE WITH MANAGEMENT ON THE BASIS OF UNITED STRENGTH ( ESPRIT-de-CORPS)

# DIVERSITY IN BARGAINING PROCEDURES----AT INDUSTRIAL LEVEL & PLANT-LEVEL VARIOUS BARGAINING PROCEDURES ARE BEING ADOPTED.

1. AT PLANT-LEVEL BARGAINING THE PROCEDURE CONSISTS IN MOST CASES OF SINGLE-EMPLOYER-SINGLE UNION & IN SOME

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CASES SINGLE EMPLOYER & MULTI UNION, THROUGH A NEGOTIATING COMMITTEE.

2. AT INDUSTRY BARGAINING-----VARIED PROCEDURES ARE FOLLOWED. :-( a ) IN JUTE / TEXTILE INDUSTRY, IN WEST BENGAL, THE NEGOTIATIONS ARE CONDUCTED IN A TRIPARTITE COMMITTEE WHICH CONSISTS OF REPRESENTATIVES OF MILL- OWNERS & TRADE UNION CENTRES & A NOMINEE OF THE STATE GOVT WHO CHAIRS THE MEETING.( b ) THE STEEL INDUSTRT----THE PROCESS OF BARGAINING HAS BEEN INITIATED FROM OUTSIDE BY THE GOVT OF INDIA WHO AFTER DETAILED DISCUSSIONS WITH THE REPRESENTATIVES OF EMPLOYERS & UNIONS SET UP A JOINT WAGE NEGOTIATION COMMITTEE. THE COMMITTEE IS COMPOSED OF MANAGEMENT REPRESENTATIVES OF THE ALL STEEL PLANTS IN THE PRIVATE & PUBLIC SECTORS & THE REPRESENTATIVES OF THE RECOGNISED UNIONS IN THOSE PLANTS.

# THE PROCESS OF CB AT THE INDUSTRIAL LEVEL DOES NOT REPRESENT PURELY A BIPARTITE EFFORT. THIS DIVERGENCE IN THE INDUSTRY-LEVEL BARGAINING MAY BE ATTRIBUTED TO SUCH FACTORS AS THE NEWNESS OF THE SYSTEM, THE DESIRE OF THE PARTIES TO ACHIEVE AGREEMENT EVEN WITH THE HELP OR GUIDENCE OF THE THIRD PARTY & THE SCATTERED LOCATIONS OF PLANTS, ALL OF WHICH MAKE FOR THE COMMITTEE APPROACH.

# BARGAINING WITH MULTIPLE UNIONS----THE ADVANTAGE OF THIS SYSTEM IS TO INVOLVE MAJOR UNIONS SO THAT ACCEPTABILITY OF SETTLEMENTS IS MORE AMONGST THE LARGE NUMBER OF EMPLOYEES. HERE BARGAINING INVOLVES A SINGLE EMPLOYER OR AN ASSOCIATION OF EMPLOYERS & SEVERAL UNIONS.

# TREND TOWARDS JOINT ACTION BY UNIONS-----THIS IS BARGAINING BETWEEN SINGLE EMPLOYER & MULTIPLE UNION WHEREIN TRADE UNIONS HAVE JOINED IN COMMON ACTION TO REALISE THEIR DEMANDS.

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# COERCIVE BARGAINING-----( COERCE MEANS PERSUADE, AN UNWILLING PERSON, TO DO SOMETHING BY USING FORCE OR THREATS) THE TRADE UNIONS OVER A LARGE SEGMENT OF ORGANISED INDUSTRY HAVE SHOWN A TENDENCY FOR AGGRESSIVE OR COERCIVE METHODS BY RESORTING TO VIOLENCE & OTHER PRESSURE TACTICS SUCH AS GHERAOS, GO-SLOW, OR PEN-DOWN STRIKES TO EXERT PRESSURE ON MANAGEMENT. THEIR AGGRESSIVE TENDENCIES HAVE BECOME INCREASINGLY PRONOUNCED IN RECENT YEARS. THIS ATTITUDE OF UNIONS IN CB LED TO UNTOWARD SITUATIONS. OFTEN, THE VIOLENCE & THE COERCIVE TACTIC HAS LED THE MANAGEMENT TO CLOSE DOWN UNIT OR TO DECLARE LOCK-OUT.

# NATURE OF TECHNIQUES----THE MILITANCY & INEXPERIENCE WITH BARGAINING HAS LEFT ITS IMPRINT ON THE NATURE OF TECHNIQUES USED---IN THE PROCESS OF BARGAINING OUTSIDE AGENCIES HAVE PLAYED A MORE USEFUL ROLE THAN THE DIRECT NEGOTTITIONS BETWEEN THE PARTIES. THE USE OF CONCILIATION HAS BECOME INCREASINGLY PRONOUNCED WITH GROWTH IN CB.# THIS INDICATES THE INCREASED TENDENCY AMONG PARTIES TO RESOLVE DIFFERENCES WITH THE HELP OF THE OUTSIDE PARTY RATHER THAN THROUGH DIRECT DISCUSSIONS.

# SCOPE OF COLLECTIVE BARGAINING-----EMPHASIS IN BARGAINING HAS SHOWN A SIGNIFICANT SHIFT IN RECENT YEARS FROM WAGE ISSUES TO NON-WAGE ISSUES. THE ISUUES THAT ARE NOW FREQUENTLY DEALT INCLUDE :-

1. VARIETY BENEFITS & ALLOWANCES.2. WORKING CONDITIONS3. RATIONALISATION.4. LEAVE & HOLIDAYS---LEAVE & PAID HOLIDAYS.5. EMPLOYMENT CONDITIONS---OVERTIME, SHIFT ALLOWANCE,

MEDICAL BENEFITS, ACCIDENT BENEFITS, RETIREMENT BENEFITS6. INCENTIVE SCHEMES & ATTENDENCE BONUS SCHEME.7. PRODUCTIVE BONUS

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8. TENDENCY TO DRAW AN AGREEMENT FOR A PERIOD OF TWO TO THREE YEARS.

CONCLUSION

# THERE IS INCREASING TREND TOWARDS GREATER APPRECIATION & USE OF CB PRACTICES. IT HAS MULTIPLE APPLICATIONS BESIDES SETTLING THE TERMS & CONDITIONS OF EMPLOYMENT. IT ALSO IS A MECHANISM FOR THE INSTITUTIONAL RESOLUTION OF CONFLICT & A MEANS FOR WORKER PARTICIPATION, THROUGH DISCUSSIONS & INVOLVEMENT IN THE MANAGERIAL DECISION-MAKING PROCESS. THIS IS THE GOAL TOWARDS WHICH STABILISED ORGS, WITH A HISTORY OF BIPARTITE AGREEMENTS ARE MOVING, MORE SO IN DEVELOPED COUNTRIES.

# COLLECTIVE BARGAINING REQUIRES A DEGREE OF MATURITY ON THE PART OF BOTH THE PARTIES. IT IS A PROCESS THAT TAKES BOTH TIME & SKILL, WHICH HAVE TO BE DEVELOPED. BUT ABOVE ALL, IT IS BASED ON THE ASSUMPTION THAT REASONABLE MEN WILL WANT TO REACH AN AGREEMENT, GIVEN TIME & THE SIYUATIONAL CONSTRAINTS & OPPORTUNITIES.

# IN 21st CENTURY, THE BUSINESS IS THE RESPONSIBILITY OF BOTH THE E & E. PERFORMANCE IS THE KEY DRIVER OF SUCCESS, WHICH WILL LEAD TO SURVIVAL. THE BIGGEST CHALLENGE LIES WITH THE HR PROFESSIONALS TO TAKE UP A DEVELOPMENTAL INITIATIVE IN MAKING THE WORK FORCE MORE ACCOUNTABLE, COMMITTED AS BUSINESS PARTENERS. THOUGH CB IS A POWERFUL TOOL IN MAINTAINING PEACE & HARMONIOUS RELATIONSHIPS, THE APPROACH NEEDS TO BE REINVENTED AS A COLLECTIVE DECISION MAKING RATHER THAN CB.

# THE DISTRIBUTION OF BENEFITS SHOULD NOT BE BASED ON CB, RATHER IT SHOULD BE BASED ON BUSINESS GROWTH MODEL WHICH IMPLIES MAXIMIZING THE PROFIT ETHICALLY & DISTRIBUTING THE

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SAME PROPORTIONATELY AMONG ALL THE STAKEHOLDERS. IT IS HIGH TIME THAT ORGS & UNIONS UNDERSTOOD & TOOK INITIATIVES IN BREAKING THE MANAGEMENT-WORKER BARRIERS & DEVELOPING A MUTUAL GAIN MODEL TO AVAIL COMPETITIVE ADVANTAGE.( THAT IS WHAT WE LEARNT THROUGH ONE OF THE ELEMENTS OF MANAGEMENT NAMELY ‘MENTAL REVOLUTION’ GIVEN TO US BY SCIENTIFIC MANAGEMENT OF TAYLOR )

“ YOU WILL GET ALL YOU WANT IN LIFE IF YOU HELP ENOUGH OTHER PEOPLE GET WHAT THEY WANT”------ ZIG ZIGLAR

AMEN---SO BE IT.

SUMMARY---THE COLLECTIVE BARGAINING

1. INTRODUCTION.2. WHAT IS CB ?3. DEFINITION OF CB & WHAT DO WE LEARN FROM THESE

DEFINITIONS.4. PREREQUISITES FOR SUCCESSFUL CB.5. CB PROCESS.6. STEPS TO IMPROVE THE PROCESS OF CB.7. TACTICS USED IN CB.8. TYPES OF CBS.9. TRENDS IN CB. AND10. CONCLUSION.

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TECHNOLOGY & INDUSTRIAL RELATIONS

1. INTRODUCTION.2. TECHNOLOGICAL ADVANCEMENT & ITS NEED.3. PREREQUISITES FOR TECHNOLOGICAL ADVANCEMENT.4. ADVANTAGES OF THE SAME.5. IMPACT OF IT ON THE EMPLOYEES.6. RESISTENCE,7. APPROPRIATE TECHNOLOGY. AND8. PERFECT FIT.

INTRODUCTION

# TECHNOLOGY IS THE APPLICATION OF SCIENTIFIC KNOWLEDGE FOR PRACTICAL PURPOSES; IT IS THE BRANCH OF KNOWLEDGE CONCERNED WITH APPLIED SCIENCES. TECHNOLOGICAL TRANSFER IS THE TRANSFER OF NEW TECHNOLOGY FROM THE ORIGINATOR TO A SECONDARY USER, ESPECIALLY FROM DEVELOPED TO UNDERDEVELOPED COUNTRIES.

# THE INTERRELATIONSHIP BETWEEN TECHNOLOGY, TECHNICAL CHANGES & IR HAS TIME & AGAIN BEEN THE FOCUS OF ATTENTION OF VARIOUS GPs IN SOCIETY. ANYONE WHO IS INTERESTED IN IR IS CONCERNED WITH THE EFFECTS OF TECHNOLOGY ON LABOUR MANAGEMENT ISSUES SUCH AS MANPOWER, JOB SECURITY, REDUNDANCY TRG etc. THE UNIONS & THE MANAGEMENT HAVE THEIR RESPECTIVE POINTS OF VIEW, WITH THE GOVT STEPPING IN TO RESOLVE ISSUES & GIVE DIRECTIONS FOR THE FUTURE, KEEPING IN MIND THE NATIONAL INTEREST & OBJECTIVES.

# TECHNOLOGY IS AN AID TO IMPROVE THE ECONOMIC & SOCIAL LIFE OF PEOPLE, YET AT THE SAME TIME IT CAN BE USED IN A MANNER WHICH IS SOMETIMES DETRIMENTAL TO THIS OBJECTIVE. THIS ISSUE, THAT IS WHAT WOULD BE THE EFFECT OF TECHNOLOGY ON IR, HAS BEEN A CENTRE OF DEBATE WHICH WE SHALL NOW CONSIDER.

CONCEPT OF TECHNOLOGICAL CHANGE

# TECHNOLOGY IS AN INSTRUMENT OF DEVELOPMENT. IT IS A VEHICLE OF CHANGE. TECHNOLOGICAL CHANGES AFFECT VARIOUS ASPECTS OF ECONOMIC & SOCIAL LIFE EITHER

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Industrial Relations – Rajput SirDIRECTLY OR INDIRECTLY, IMMEDIATELY OR IN THE FINAL ANALYSIS.INDIAN ECONOMY OPERATES ON VARIOUS LEVELS OF TECHNOLOGY SIMULTANEOUSLY, FROM JET PLANES TO BULLOCK CARTS.

# HABER, FERMAN, & HUDSON HAVE IDENTIFIED CERTAIN CHANGES WHICH AFFECT JOBS & INFLUENCE SKILLS WHICH CAN BE CALLED TECHNOLOGICAL CHANGES ( MAINLY APPLICABLE TO AMERICAN INDUSTRIAL SYSTEM ---WHICH WE CAN TREATE AS TECHNOLOGICAL TRANSFER ). THESE CHANGES ARE :-

1. SCIENTIFIC MANAGEMENT OR TIME & MOTION STUDY.2. CHANGES IN THE LOCATION OF PLANTS.3. SHIFTS IN PRODUCT DEMAND.4. CHANGES IN MACHINERY. AND5. AUTOMATION.

RATIONALISATION & AUTOMATION

# RATIONALISATION & AUTOMATION WHICH ARE DIFFERENT FORMS OF TECHNOLOGICAL CHANGES HAVE BEEN SYSTEMATICALLY INTRODUCED IN THE INDIAN INDUSTRIAL SYSTEM IN THE SIXTIES.

# RATIONALISM ---- IMPLIES A BASIC CHANGE IN THE STRUCTURE & CONTROL OF INDUSTRIAL ACTIVITIES. THE ADVISORY COMMITTEE ON THE MANAGEMENT OF ILO DEFINES RATIONALISM AS ANY REFORM TENDING TO REPLACE HABITUAL ANTIQUATED PRACTICES BY MEANS OF METHODS USED BY SYSTEMATIC REASONING.

# IN THE APPLICATION OF RATIONALISM IT BRINGS TOGETHER THE ADVANTAGES OF :-1. PLANNED PRODUCTION.2. POOLING OF RESEARCH.3. SCIENTIFIC & TECHNICAL KNOW-HOW4. CENTRALISED REGULATION OF FINANCES.5. MODERNISATION OF PRODUCTION PROCESS & SALES. AND6. OPTIMUM USE OF MANPOWER.

# AUTOMATION----IT IS ANOTHER FORM OF TECHNOLOGICAL CHANGE, THOUGH OFTEN, IT IS USED SYNONYMOUSLY WITH TECHNOLOGICAL CHANGE. IN AUTOMATION, TECHNOLOGY ITSELF CONTROLS THE OPERATIONS. IN OTHER WORDS THE OPERATIONS ARE SELF-REGULATING.

IMPLEMENTATION OF RATIONALISATION & AUTOMATION IN INDIA

# THE NEED FOR RATIONALISATION & AUTOMATION IN INDIA WAS FELT IN THE FIFTIES. SALIENT REASONS FOR THESE NEEDS COULD BE :-

1. TO IMPROVE THE STANDARDS OF LIVING OF WORKERS BY HIGHER PRODUCTIVITY.2. IN THE EUROPEAN & ASIAN COUNTRIES, PARTICULARLY AFTER WORLD WAR I I, WERE

USING ADVANCED TECHNOLOGY IN MILLS & FACTORIES WHICH HAD SHOWN BENEFITS WHICH PROMPTED INDIA TO MODERNISE THEIR MACHINERY.

3. TO SUSTAIN IN THE HIGHLY COMPETITIVE WORLD, THE NEED FOR RATIONALISATION WAS FELT TO INCREASE THE PRODUCTIVITY EFFEICIENCY SO THAT EXPORTS COULD BE STEPPET UP.

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Industrial Relations – Rajput Sir4. AFTER THE WAR, A VAST SURPLUS IN LABOUR IN NUMBER OF INDUSTRIES WAS THERE

WHICH COULD NOT BE RETRENCHED BY THE EMPLOYERS. THIS LED TO RATIONALISATION.

# WHEN THE RATIONALISATION PROCESS WAS INTRODUCED THERE WAS OPPOSITION ON THE PART OF THE WORKERS BECAUSE OF THE FEAR OF RETRENCHMENT. THE LABOUR MINISTRY & PLANNING COMMISSION WORKED OUT CERTAIN SAFEGUARDS FOR WORKERS IN THE FORM OF FIXING WORK LOADS, STOPPING FRESH RECRUITMENTS, SHARING OF GAINS THROUGH HIGHER WAGES etc.

# IN THE SECOND FIVE-YEAR PLAN, THE APPROACH TO RATIONALISATION WAS CLARIFIED. IS WAS TO BE ATTEMPTED ONLY WHEN IT DID NOT LEAD TO UNEMPLOYMENT. IF IT WAS INTRODUCED, IT WAS TO BE IN CONSULTATION WITH WORKERS & WAS TO BE EFFECTED ONLY AFTER IMPROVING WORKING CONDITIONS & GUARANTEERING A SHARE OF THE GAINS TO THE WORKERS.

IMPACT OF TECHNOLOGICAL CHANGE

# TECH CHANGE DOES HAVE AN IMPACT ON INDUSTRIAL ACTIVITY. IMPORTANT IMPACTS COULD BE :-

1. INSTALLATION OF LARGE NUMBER OF AUTOMATIC MACHINES AT THE SAME TIME NATURALLY CREATES SERIOUS PROBLEMS OF UNEMPLOYMENT BECAUSE BY INTRODUCING AUTOMATION THE NUMBER OF WORKERS FOR THE SAME OUTPUT IS LESS.

2. INTRODUCTION OF ADVANCED TECHNOLOGY SHOULD BE GRADUAL & DONE IN CONSULTATION WITH THE WORKERS’ REPRESENTATIVES & SHOULD SATISFY THE FOLLOWING CONDITIONS :-

( a ) IT ACCOMODATES ALL LABOUR THAT MAY BE RENDERED SURPLUS. ( b ) IT RESULTS IN HIGHER PRODUCTIVITY & EFFICIENCY. ( c ) IT IMPROVES THE LEVEL OF EARNINGS OF THE WORKERS & ENSURES EQUITABLE GAINS DUE TO TECHNOLOGICAL CHANGES. AND ( d ) IT LEADS TO REDUCTION IN COSTS & BENEFITS TO THE COMMUNITY.3. TECH CHANGE AFFECTS THE WORK ENVIRONMENT & ALTERS THE RELATIONSHIP BETWEEN THE E-E. THIS REQUIRES CHANGES & ADJUSTMENTS IN THE WORK SITUATION. INDUSTRIES BEING OPEN SYSTEMS, ARE REQUIRED TO ABSORB INTERNAL & EXTERNAL PRESSURES. THESE PRESSURES MAKE INDUSTRIES CHANGE THEIR PRODUCTION PROCESSES BY INTRODUCING MODERN TECHNOLOGICAL DEVICES. THIS IS BECAUSE INDUSTRIES WOULD BE LOOSING SKILLED LABOUR & TOUGH MARKET CONDITIONS & REQUIREMENTS OF CUSTOMERS. ONCE THE CHANGE IS INTRODUCED ITS IMPACT DEPENDS ON THREE FACTORS---THE NATURE OF THE CHANGE; THE RATE 7 SPEED AT WHICH THE INNOVATIONS ARE INTRODUCED; AND THE METHODS EMPLOYED BY THE MANAGEMENT FOR INTRODUCING THE CHANGE.

4.TECHNOLOGICAL CHANGE AFFECTS LABOUR IN TWO WAYS—ECONOMIC & SOCIAL. UNDER ECONOMIC CATEGORY COME REDUNDANCY ( NOT OR NO LONGER NEEDED OR USEFUL ), OCCUPATIONAL ADJUSTMENTS, ALLOCATION OF GAINS, TRANSFER & RETAINING PROBLEMS etc. UNDER SOCIAL CATEGORY WE HAVE PSYCHOLOGICAL FACTORS SUCH AS RESISTANCE TO CHANGE, JOB SATISFACTION, WORKER & UNION REACTIONS & ATTITUDES & PROBLEMS OF CHANGED RELATIONSHIPS. HERE WE MUST REMEMBER THAT ALL CHANGES ARE NOT

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Industrial Relations – Rajput SirRESISTED. IT IS FOUND THAT WORKERS RESIST ANY CHANGE IN THEIR WORK AS A RESULT OF AUTOMATION IF IT THREATENS THEIR BASIC SECURITY OR IF THEY DO NOT UNDERSTAND THE CHANGE & WHEN THEY ARE FORCED TO CHANGE. IT IS, THEREFORE, VERY ESSENTIAL TO INTRODUCE ANY CHANGES, PARTICULARLY TECHNOLOGICAL CHANGES, ONLY WHEN THE WORKERS HAVE BEEN TRAINED & MADE TO ACCEPT THE NEEDS FOR CHANGES. THAT IS MAKE THEM A PART OF THE CHANGES.

5. AN IMPORTANT RESULT OF TECHNOLOGICAL CHANGE TO AUTOMATION IN INDIAN INDUSTRY IS THAT THE OUTPUT PER WORKER HAS RISEN CONSIDERABLY. TRADE UNIONS QUESTION THE ASSUMPTION THAT ALL TECHNOLOGICAL ADVANCE WHICH REPLACES MAN BY MACHINES SPELLS PROGRESS OR GROWTH IN SOCIO-ECONOMIC SENSE. THEY INSIST THAT TECHNOLOGICAL CHANGES LEAD TO ECONOMIC GROWTH ONLY UNDER CERTAIN CONDITIONS. THEY ALSO FEEL WORKERS’ REPRESENTATIVES HAVE A RIGHT TO BE CONSULTED BEFORE THE INTRODUCTION OF ANY CHANGE. ON THE OTHER HAND EMPLOYERS HAVE CONSISTENTLY CLAIMED THAT THEY SHOULD DECIDE UPON SUCH CHANGES & HAVE BEEN WILLING TO DISCUSS THE PROBLEMS OF HOW EMPLOYEES CAN BE PROTECTED FROM THE ADVERSE EFFECTS OF SUCH CHANGES. THIS IS ONE OF THE MAJOR PROBLEMS THAT LEADS TO INDUSTRIAL CONFLICTS.

6. OTHER PROBLEMS WHICH RESULT FROM TECHNOLOGICAL CHANGE ARE :-( a ) CHANGES IN JOB CONTENT, THEREBY CREATING NEW JOBS TO REPLACE OLD ONES---THIS WOULD REQUIRE WAGE FIXATION FOR THE NEW JOBS.( b ) FITTING NEW JOBS INTO EXISTING INCENTIVE SCHEME OR PIECE RATE STRUCTURE WHICH CALLS FOR NEW ATTITUDE & SKILLS.

APPROPRIATE TECHNOLOGY : ITS RELEVENCE TO THE INDIAN CONTEXT

# THE TRANSFER OF LARGE-SCALE COMPLEX TECHNOLOGY FROM HIGHLY INDUSTRIALISED COUNTRIES TO DEVELOPING COUNTRIES POSES PROBLEMS WHICH COULD BE----IT IS EXPENSIVE; THE EDN & INDUSTRIAL INFRASTRUCTURE NEEDED TAKES MANY YEARS TO BUILD UP & ITS INTRODUCTION INHIBITS THE GROWTH OF THE INDEGENOUS INNOVATIVE CAPABILITIES OF THE DEVELOPING COUNTRY.

# IN THE PROCESS OF TECHNOLOGICAL DEVELOPMENTS TWO TERMINOLOGIES CAME IN----“APPROPRIATE TECHNOLOGY” & “ INTERMEDIATE TECHNOLOGY” THE COMPARISON OR CLASSIFICATION AROSE WHEN THE DEVELOPED COUNTRIES OF THE WEST WERE COMPARED WITH THE LESS DEVELOPED COUNTRIES IN TERMS OF TECHNOLOGY, SYSTEMS OF MANUFACTURE etc. WHEN THESE COMPARISONS WERE MADE THERE WAS AN IDENTIFIABLE GAP BETWEEN THE ADVANCED & THE LESS ADVANCED & THEREFORE THE TERM “ INTERMEDIATE” CAME INTO USE. THEREFORE THE CONNOTATION OF INTERMEDIATE TECHNOLOGY IS A HALF-WAY STAGE BETWEEN THE SIMPLE OR NON-EXISTENT & THE ADVANCED.

# INTERMEDIATE TECHNOLOGY DENOTES A STAGE BETWEEN THE BACKWARD & THE ADVANCED. IN INDIA THE BACKWARD IS IDENTIFIED WITH THE TECHNOLOGY OF TRADITIONAL INDIAN INDUSTRY.

# HOWEVER SINCE NEITHER “APPRORIATE TECHNOLOGY” NOR “INTERMEDIATE TECHNOLOGY” WAS AN EXACT FIT, A GREAT DEAL OF DISCUSSION ENSUED. THIS SUGGESTED THAT

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Industrial Relations – Rajput SirTECHNOLOGY SHOULD BE DEVELOPED OR ADOPTED WHICH WOULD BE APPROPRIATE TO THE CONDITIONS FOUND IN THE COUNTRIES WHERE IT WAS BEING INTRODUCED. THIS DENOTES A SOCIAL & CULTURAL MILIEU, WHERE GIVEN A PARTICULAR COMBINATION OF CONDITIONS, SOCIAL, ECONOMIC, POLITICAL & SO ON, A RELEVENT TECH IS DEVELOPED KEEPING IN VIEW ALL THE SITUATIONAL FACTORS. SO HERE THE CRITERIA IS THE CONCERN FOR THE APPROPRIATENESS OF TECHNOLOGY.

# THESE CONCERNS FOR ALTERNATE TECHNOLOGIES AROSE DUE TO A VARIETY OF FACTORS. THE DEVELOPED COUNTRIES UTILISE SYSTEMS THAT REQUIRE A SUSTANTIAL CAPITAL OUTLAY PER WORKER. ON THE OTHER HAND, THE LESS DEVELOPED COUNTRIES COULD NOT INVEST MUCH IN SOPHISTICATED SYSTEMS BUT HAD ABUNDANT MANPOWER. THEREFORE THE LESS DEVELOPED COUNTRIES HAD TO DEVELOP TECHNOLOGIES WHICH WERE BASED ON A LOWER CAPITAL REQUIREMENTS & WERE MORE LABOUR INTENSIVE FOR EACH UNIT OF OUTPUT. YET THE FACT THAT TECHNOLOGY AS A FACTOR IS IMPROVING THE STANDARD OF LIVING & PROVIDING GOODS & SERVICES AT REDUCED COSTS, CANNOT ALTOGETHER BE IGNORED. HENCE THE DILEMMA OF MATCHING THE TWO REQUIREMENTS. THERE IS NEED TO DEVELOP REQUIRED LABOUR SKILLS TO MATCH MACHINE SKILLS.

# IT WILL BE NOTICED THAT TECH IS A SYSTEM THAT ENABLES PEOPLE TO IMPROVE THEIR WORK PROCEDURES & AS A RESULT THEIR SOCIAL & ECONOMIC STATUS ALSO. TECH INPUTS CAN BE EFFECTIVELY UTILISED TO PROVIDE MORE EFFICIENT METHODS & BETTER UTILISATION OF SCARCE RESOURCES LIKE MANHOUR, MONEY etc. IT CAN MAKE MANY BACK-BREAKING JOBS LESS ARDUOUS. WITH TECH CHANGE, GIVEN THE SAME AMOUNT OF INPUT, A BETTER OUTPUT MAY BE POSSIBLE. INTRODUCTION OF NEW TECHNOLOGIES WILL HAVE REPERCUSSIONS ON INDUSTRIAL RELATIONS, LIKE LOSS OF JOB SECURITY, CHANGE IN HABITUAL WORK METHODS, NEED TO ADAPT TO NEW SKILLS etc. THEREFORE THE PERSONNEL & IR MANAGER HAVE TO CAREFULLY EVOLVE A STRATEGY WHICH WOULD BE ACCEPTABLE TO THE WORKERS & AT THE SAME TIME BE CONCERNED WITH THE VIABILITY OF THE ENTERPRISE.

COCLUSION

# THERE IS NO DOUBT THAT NEW TECHNOLOGIES MUST BE UNDERSTOOD & SUITABLE ONES SHOULD BE INTRODUCED IN THE INDUSTRY BUT WHO IS GOING TO OPERATE THESE ? SO MAAGEMENT WOULD BE DEEPLY INVOLVED IN TRG THE REQUIRED WORK-FORCE SO THAT NEW TECH COULD BE ADOPTED & AT THE SAME TIME IR ARE NOT DISTURBED. IF THE INITIAL RESISTANCE TO CHANGES IS OVERCOME BY MAKING THE WORKERS A PARTY TO THE CHANGES, LARGE NUMBER OF PROBLEMS COULD BE SOLVED.

SUMMARY----TECHNOLOGY & IR1. INTRODUCTION. 2. CONCEPT OF TECHNOLOGY. 3. RATIONALISATION & AUTOMATION.

4. IMPLICATIONS OF RATIONALISATION & AUTOMATION IN INDIA. 5. IMPACT OF TECHNOLOGICAL CHANGES. 6. APPROPRIATE TECHNOLOGIES WITH RELEVENCE TO THE INDIAN CONTEXT. 7. COCLUSION

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Industrial Relations – Rajput Sir

IMPACT OF GLOBALIZATION & LIBERALIZATION ON IR

1. WHAT IS GLOBALIZATION & LIBERALIZATION ?2. IT IMPACT ON INDUSTRIES.3. CHANGES ON IR.4. NEED FOR CHANGES.

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