The document discusses industrial relations between employers, employees, and the government in the context of Honda Motorcycles and Scooters India Ltd (HMS). It identifies issues such as pay/bonus disputes, the nature of employment contracts, and barriers erected by HMS to prevent union formation. The roles of trade unions, government policies/agencies, and HRM strategies are examined as factors that influence industrial unrest. Different models of employment practices and their implications for managing industrial relations are also evaluated.
The document discusses industrial relations between employers, employees, and the government in the context of Honda Motorcycles and Scooters India Ltd (HMS). It identifies issues such as pay/bonus disputes, the nature of employment contracts, and barriers erected by HMS to prevent union formation. The roles of trade unions, government policies/agencies, and HRM strategies are examined as factors that influence industrial unrest. Different models of employment practices and their implications for managing industrial relations are also evaluated.
The document discusses industrial relations between employers, employees, and the government in the context of Honda Motorcycles and Scooters India Ltd (HMS). It identifies issues such as pay/bonus disputes, the nature of employment contracts, and barriers erected by HMS to prevent union formation. The roles of trade unions, government policies/agencies, and HRM strategies are examined as factors that influence industrial unrest. Different models of employment practices and their implications for managing industrial relations are also evaluated.
Government HONDA MOTORCYCLES AND SCOOTERS INDIA LTD
1. What were the causes for industrial
unrest at HMS? 2. Why HMS was so reluctant to allow union formation? 3. What barriers they erected, why it backfired? 4. What role did government and political parties played? 5. What HRM strategy could be adopted to end hostility in IR? Employer Employees
• Rheoteric vs. Reality • Perceived sense of fairness Government & Political parties
• Legal framework? • Political support
Trade Unions Act – 1926 (violations)
WHY UNION FREE WORKPLACE? CAN UNIONS BE BENEFICIAL?
1. Multiplicity of unions 1. Ease of communication
2. Political affiliaiton 2. Central negotiation 3. Unfair demands/CB 3. Buffer for individual disputes Firms based on employment practices Pure HRM (ILM)
Progressive HRM long term view
Significant costs involved (cost-benefit) Profitability and competition dependent
• Bottom: low road, sweatshop, little HRM,
• Middle: bulk of firms, decent work place, professional HRM • Top: well developed ILM, HRM, Unitarist (win-win) situation keeps on shifting left and right over time (recession etc.) More HRM, More ILM Cons: worker complacent Entitlement mentality Less motivation to pursue innovation Competitive D-S Model -ELM
• Labour can be treated as a commodity in a competitive market
• Walrus (1954) observed stock market exchange in Paris, • However modelled it using more general commodity • Critical assumption: Goods and services are homogenous (e.g. stock or bushels of wheat) • BTUs from coal, tensile strength of steel are determinate (commodities) • Work effort of human is discretionary contingent on IR/HR factors
• Perfect competition: Prices and quantities are entirely market-determined
• Free interplay of D-S adjust wages up and down till labour are fully and efficiently employed • Production function Q = f(x1,x2….xn) labour treated identical to other xi factors • Human aspect can be ignored for theory building