Labor relations

1. • https://www.youtube.com/watch?v=b_zfqGiX
dDA

3. Labor Relations and Laws

4. Labor Relations and Laws
Why?- The need and importance
• Structure to the workplace- Define what employees
and employers are responsible for.
• Collective activities
• Integrity- Useful for developing business principles
and workplace ethics

5. • The labor movement comprises two wings:
– Trade unions- consists of the collective organization of working
people developed to represent and campaign for better working conditions
and treatment from their employers- E.g. International workingmen’s
Association, All India workers trade union
– Political labor movements- includes a political party that represents the
interests of employees, often known as a "labour party" or "workers'
party”- E.g. Bharatiya Mazdoor Sangh (RSS-BJP).
• Labor movements started during industrial revolution
History of labor movements

6. History of labor movements

7. • Various labor parties and trade unions were formed throughout
the industrialized parts of the world.
– The International workingmen’s association- founded in London 1864
• To limit the working hours up to 8hrs a day
– From the mid-nineteenth century onward the labor movement became
increasingly globalized.
– Catholic social teaching 1891- “On the Condition of the Working Classes”
• limits on the length of the work day,
• a living wage,
• the elimination of child labor,
• the rights of labor to organize, and
• the duty of the state to regulate labor conditions.
History of labor movements

8. • It was out of the strike movement of 1918 that the unions came
into existence.
• The setting up of textile and clothing mills around the port
cities of Bombay (now Mumbai), Calcutta (now Kolkata),
Madras (now Chennai) and Surat in the second half of the 19th
century led to the beginnings of the industrial workforce in
India.
• The first instance of a strike took place in Bombay, known as
the General Strike, in which 120,000 workers, mostly textile
operators, took part.
History of labor movements-India

9. • The credit for the first association of Indian workers is
generally given to the Bombay Mill-Hands
Association founded by N.M Lokhande in 1890.
• The first clearly registered trade-union is considered to be
the Madras Labour Union founded by B.P. Wadia in 1918,
while the first trade union federation to be set up was the All
India Trade Union Congress in 1920.
• In the first year of the law's operation, 28 unions registered
and submitted returns with a total membership 100,619.
History of labor movements-India

10. • The number of unions grew rapidly after that and by the time
of Independence of India in 1947, there were 2,766 unions
registered which had a combined membership of over 1.66
million.

11. • N.M. Lokhande (Mumbai Mill-hands Association) protested for the poor
conditions in the factories. About 200 workers were shot down by the soldiers.
There were no proletarian leaders at that time, and the Nationalist middle-class
politicians who took the lead utilized the strike for demonstration purposes.
• According to the report of the Government Commission in India, it was
shown that in nine months, from July- 1920, to March- 1921, in the
province of Bengal, 137 strikes took place, reacting on all branches of
industry. 244,180 workers took part in these strikes, and 2,631,488 working
days were lost.
The outcomes of labor movement-Pre Independence

12. • From April to June, 1921, 33 strikes took place in the Bombay alone,
involving 240,000 workers, with a loss of 500,000 working days.
• About the middle of the same year a strike of 20,000 workers took place in
the town of Madras. To suppress the labor movement in Madras, the
Government, with the help of the capitalists, tried by all means to subdue
the laborers.
• In the north, in 1920, a strike of over 60,000 railway workers took place;
the printers struck work to show their sympathy with their railroad
comrades. Out of this strike was organized the Punjab Labour Union.
The outcomes of labor movement-Pre Independence

13. • The strike of the Cawnpore leather and textile workers, altogether about
30,000 men, is also noteworthy, they put forward 21 demands, including
increased wages, unemployment insurance, and a share in profits.

14. • A Tripartite Conference was convened in 1947 in which
the Industrial Truce Resolution was adopted.
• It required management and labor to agree to maintain
industrial peace and prevent any work stoppages during
the next three years to promote industrial growth.
• The labor relations bill of 1950 introduced the concept of
collective bargaining.
Post-Independence phase

15. • The first five year plan (1951-1956) emphasized on achieving
maximum industrial outputs without strikes and industrial
dispute.
– The plan mentioned about methods of settling disputes between labour
and management through tripartite bodies.
• The second five year plan(1956-1961) established the code of
discipline.
– It spelled out the need for union recognition and end unresolved
disputes through voluntary arbitration.

16. शुक्र नीति
Shukraniti
वाक्पारुश्यान्नेन भृत्या स्वामी प्रबल दंडिः |
भृत्त्यम प्रतशक्ष्येंतनत्यम शत्रुत्वं त्वप्मानानिः ||
भृति दानेन संिुष्टा मानेंन परिवतधििा: |
सान्त्वत्विा मृदुवाचा येन त्यजन्त्यतधपम ही िे ||
Labour trouble springs from poor emoluments, harsh
treatment, ridiculous and infliction of excessive
punishments. Being satisfied with adequate
remuneration, honourable promotions, consoled and
cheered up by kind words, the employees would never
desert the master.
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17. Function Chart :HRM

18. What is IR?
Industrial relations encompasses a set of
phenomenon, both inside and outside the
workplace, concerned with determining and
regulating employment relationship
Relationship between management and
employees or among employees and their
organization that characterize and grow out of
employment.

19. • Characterized as collectivist and pluralist in nature
• Traditionally viewed as:
– Relationship between employers and their representatives and
workers and their representatives, emerging out of work
• Modern approach includes
 Relationships between workers
 Between workers and employers
 And between employers and employers
 Processes involved in these relationships (e.g., organizing of
workers, workers’ participation in decision making, dispute
settlement, collective bargaining, etc.)

20. https://hr.economictimes.indiatimes.com/news/workplace-4-0/talent-management/it-firms-reach-out-for-legal-help-to-address-
moonlighting-among
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09-28&dt=2022-09-28&em=cGFsbGF2aS5wYW5kZXlAa3JlYS5lZHUuaW4=

21. ENCYCLOPEDIA BRITANICA
RELATIONSHIP OF STATE
EMPLOYERS
WORKERS
ORGANISATIONS

22. INDUSTRIAL RELATION
EMPLOYERS
EMPLOYEES
GOVERNMENT
EMPLOYERS ASSOCIATIONS
TRADE UNION
COURTS AND TRIBUNALS
Industrial Relations

23. Organization of Industrial Relations in India
• Labour as a subject in the Concurrent List under the Constitution of
India
• Both Central and State Governments empowered to enact
legislations, subject to certain matters being reserved for the Centre
• IR tripartite in nature
• IR revolves around three actors
• Employers
• Workers and their trade unions
• State
– Bipartite arrangements
• For managing relations between workers and management
• Emphasis on settling disputes through mutual dialogue

24. Labour Administration Machinery
Labour related issues controlled by Ministry of Labour & Employment
 Four attached offices of the Ministry
• Office of the Directorate General of Employment and Training, New Delhi
• Office of the Chief Labour Commissioner (Central), New Delhi
• Labour Bureau, Chandigarh & Shimla
• Office of the Directorate General of Factory Advice Service and Labour
Institutes, Mumbai
 Ten subordinate offices of the Ministry
• Office of the Directorate General of Mines Safety, Dhanbad
• Offices of the Welfare Commissioners in nine cities in India
 Four autonomous organizations of the Ministry
• Employees’ State Insurance Corporation
• Employees’ Provident Fund Organization
• V. V. Giri National Labour Institute
• Central Board for Workers’ Education
– Other adjudicating and arbitration bodies

25. Industrial Relations in Modern Era
– Impact of globalization
 Expanded boundaries of doing business across nations
 Economic interdependence between countries
 Shift in traditional system of IR
 Changing dimensions of relationship between management
and workers
 Changing skill requirements
 Increased awareness of workers regarding labour laws, rights,
work conditions, etc. due to IT
 Growth of tertiary sector creating new employment
opportunities

27. –Industrial Relations and Technological change
• Technology resulting in redundancy of workforce
• Contracting and sub-contracting of labour
 Change in traditional systems of production and
 New pattern of employer-worker relationship
• Impact on labour
 Learning new skills
 Building new capabilities
 Training to operate new machines

28. Principles of Labour Legislations
Labour laws in India
– Origin and guidelines derived from the Constitution of India
– Based on the principles of
• Social equity
» Equality between different social groups such as rich and poor
• Social justice
 Fair distribution of profits between owner and workers in an
industrial enterprise
 Provision of safety and healthy work conditions for workers
Objectives of Labour laws
• Protect workers
• Maintain peace, harmony and discipline in industry

29. Five categories of labour legislations in India
• Regulatory legislations
• E.g., Trade Unions Act, 1926
• Wages related legislations
• E.g., Minimum Wages Act, 1948
• Welfare legislations
• E.g., Factories Act, 1948
• Protective legislations
• E.g., Child Labour (Prohibition & Regulation) Act, 1986
• Social security legislations
• E.g., Employee Compensation Act, 1923

30. Five categories of labour legislations in India

31. Summary
• The concept of industrial relations may be said to have come into being
with the need to manage the relations between labour and management
in industry.
• The Constitution of India provides the basic guidelines for creating
industrial relations system
• The history of industrial relations can be traced back to the time of
emergence of industries in India

32. Summary
• Dunlop views industrial relations as a system
consisting of three actors: management, workers and
government.
• Unitary theory views work enterprise is a social
system made up of management and workers, having
common objectives, with no conflict.
• Pluralist perspective views organization as made up
of groups of people with divergent objectives and
hence conflict is natural.

33. • Radical perspective considers conditions and work in
organization as exploitative to workers.
• Industrial relations system in India is tripartite in nature.
• The First National Commission on Labour was set up in 1966
and the Second National Commission on Labour was set up in
1999.
• The concepts of HRM, HRD and Industrial Relations may be
integrated to create an efficient and motivated workforce
working in a harmonious environment

34. • Globalization and liberalization have had deep
impact on labour and IR.
• Two important principles of labour legislations
in India are social equity and social justice.
• Labour legislations in India may be clubbed
under five categories.

35. OTHER APPROACHES OF INDUSTRIAL RELATIONS
( DIFFERENT SCHOOLS OF THOUGHT )
Psychological
Sociological
Human Relation
Giri Approach
Gandhian

36. OTHER APPROACHES OF INDUSTRIAL RELATIONS
( DIFFERENT SCHOOLS OF THOUGHT )
PSYCHOLOGICAL APPROACH
 Differences in the perceptions of labor and management wrt factors influencing their relations i.e.
wages. Benefits, services and working conditions etc
 Dissatisfaction compels workers to turn aggressive and resort to strike, lockouts and gherao etc.
SOCIOLOGICAL APPROACH
 Sociological factors such as value system, customs and traditions etc affect the relations between
labor and management
HUMAN RELATIONS APPROACH
 Human behavior is influenced by feelings, sentiments and attitudes. As per this approach humans
are motivated by variety of social and psychological factors like economic and non-economic
awards to be used.
GIRI APPROACH
 Collective bargaining and joint negotiations be used to settle disputes between labor and
management. Outside interference to be avoided.
GANDHIAN APPROACH
 Worker's have the right to strike but, cautioned that this right be exercised in just cause and in a
peaceful and non-violent manner for minimum wages etc like ‘satyagrah’- Non violent non-
cooperation

37. Q & A