Professional Documents
Culture Documents
INDUSTRIAL RELATIONS
Introduction Definition & Meaning Scope Approaches to Industrial Relations Models of IR IR in the Post-Globalization Phase IR-HR interface
Introduction
Contextual foundation for the study of industrial relations in India. Industrialization and labour issues have been emphasized in different Plan periods. Key concerns of the Indian economy are: job creation, skill development, labour mobility, labour commitment, work culture, productivity and competitiveness. Welfare oriented economy, protection of domestic market all have been focused for betterment of the labour. In this context, it is necessary to study the relationship inside and outside the industry.
Richard Lester has defined that -IR includes not only dealings between labour organization and industrial management but also all aspects of labour in the economy. -It includes employee security, managements employment practices, union policies and Govt. action on labour matters.
Employee Security Security
Continued..
Industrial Management
Encyclopedia of Social Sciences defines IR as the relationship between employees and management. The relationship directly stems from union-employer relationship.
Employee mgt relationship
Union
Employer
Continued..
ILO defines - IR as the relationship among the State, Labour and Management.
State
Labour
Management
Continued.
John Henry Richardson defined IR study is concerned with relations between parties in the industry. with the determination of working conditions. Emphasis is however, upon Relations which is human relations in the process of production. The process themselves, material organization of production, types of machinery & equipment, sales of the organization, banking and the transport system are all outside the subject except the improved efficiency yields more production forms the basis for better working conditions. Law of demand & supply of labour, labour market statistics, cost of labour have an important place in economics & business administration. But they are not the main concern. Centre of the stage is held by Men & Women. The Study of IR can be conveniently divided into four aspects.
INDUSTRY
Not important in IR
Important concern of IR
Allan Flander states that - IR deals with certain regulated or institutionalized relations in the industry. - He excluded personal unstructured relationships from the scope of a system of IR. - Further, views that only the employment aspect of a business enterprise is the concern of IR. - Relationships are either expressed or arise out of contracts of employment/service.
Meaning of IR
Relationship within an industry. labour- management relationship. Employer/ owner, management and workers activities are concerned with IR. Government acts as a regulating body. workers form their collective forum as Union. Industrial Relations mostly deals with collective relationship. Managers have their associations.
Scope of IR*
Co-operative Aspects Workers Participation in Mgt Trade unionism Management Association Approaches
* All the coverage in industrial relations like the actors and their activities along with the role of Govt. have to be discussed in detail so far as the scope is concerned.
DUNLOPS MODEL ON IR
John T. Dunlop has given a model on Industrial Relations. It has a tremendous impact on IR field. It is applicable to three broad areas as: - IR within an enterprise. - IR within a country. - IR in the course of economic development. Borrowed the concept of SYSTEM from Talcot Parsons. Parsons has given that every social system has four basic problems/ functions. All the four activities are also applicable to IR. These are : Adaptation, Goal Gratification, Pattern - Maintenance and Integration. (see fig.) All functions are interrelated.
Continues
ADAPTATION GOAL GRATIFICATION
PATTERN MAINTENANCE
INTEGRATION
Adaptation to the environmental challenges Goal Gratification is through the mobilization of resources Integration of effective operation, motivational effort and individual values Pattern Maintenance to keep the dignity, honour pride & privileges of the system.
A Social System is comprised of Political, Economic and Industrial Relations Subsystem. All are influenced by the exogenous forces and have interrelationship with one another.
PS IRS Inter relations ES Exogenous influence
SS
According to Dunlop An IRS, at any time in its development is regarded as comprised of certain actors, certain contexts, an ideology which binds IRS together, a body of rules created to govern the actors at the workplace and work community. The algebraic equation is r = f (a, t, e, s, i) r : rules governing IR f : functions a : actors t : technical context of workplace and the work community e : market context s : power I : ideology of the actors The actors are the Govt., Management, trade union and the workers. There exists hierarchy among workers and managers. Government administers through the Ministry of Labour, and the Judicial system like Labour Court, Tribunal . Govt. role is vital as an IR regulating body.
Context: power, technology, product market, scale & size of operations, seasonal and cyclical technologies are to be considered. Labour Market: wage, availability, cost of labour all are included in the context. The system functions through the web of rules and with different ideas. The problematic aspect also constitutes a component of IRS. The model is given in a figure as follows:
GOVERNMENT
ACTORS
M a n a g e m t.
U n i o n
Workers
WORK RULES:
Dunlops model
Accordingly, IRS involves three groups of actors as; Workers and their organizations Managers and their organizations Government agencies concerned with the workplace and the work community It creates a complex of RULES to govern the workplace. Rules take a variety of forms in different systems like Agreements, Statutes, Orders, Decrees, Regulations, Awards, Policies . John T. Dunlops Book Industrial Relations System , Henry Holt Publications, New York,1958.
Craigs Model of IR
ENVIRONMENT INDUSTRAL RELATIONS SYSTEM
Continues..
The labour market, workforce characteristics and values, product market, technology, public policies are influencing the IRS. The values, business strategies, strategic activities, collective bargaining, personnel functions, workplace activities are the firm level constituents of the system. The profit of the employer, satisfaction of the workers, labour unions and betterment of the society are the performance outcomes. The past and the current structure of the industry have impact on the IRS.
The different levels in management, union and Government determine the long term/ short term strategy. It is given as follows:
Level / Tier -long term Strategy -policy Making Employers Business strategies HR strategies Union Government
Continues
Contract W.P.M.
KKM MODEL
External environment INSTITUTIONAL STRUCTURE OF FIRM LEVEL IR Performance Outcomes
Labour market Values Work force strategies Characteristics & Values Strategic Activities Product Collective Bargaining market Personnel functions Technology Work place Activities Public policies
Thank You