Industrial relations comprise the relationship between employers and employees (and their unions) within a workplace or industry. It involves collective bargaining between unions and management over issues like wages, working conditions, hiring/firing practices, and dispute resolution. The goal of industrial relations is to promote harmony between employers and workers through establishing processes like works committees, collective bargaining, and grievance procedures. It aims to protect the socioeconomic interests of both parties and avoid industrial conflicts.

3.  The “Industrial Relations” comprises of two words:
› Industry & Relations
 Industry: refers to any productive activity in which any
individual (or group of individuals) is (are) engaged.
 Relations: means relationship that exist within the industry
between employer and their workmen.
 Therefore the terms Industrial Relations in organizational
setting refers to and explain the relationship between:
› Employer and Employee (also represented through their
Union)
› Employee and Employee ( Multiple Union in same
organization)
› Employer and Employer

4.  Human Resources Management: Deals with non union
employment relationship and personal practices and policies
of employers whereas:
 Industrial Relations pertains to the study and practices of
collective bargaining, trade unionism and labor management
relationship. The relationship the employers and workers
have with the organizations are formed to promote their
respective interest and relationship between those
organizations at all levels.
 Industrial Relations also includes the process through which
these relationships are expressed such as : Works
Committee, Collective Bargaining, workers participation in
decision making, and grievance and dispute settlement and
management of conflict between employers, workers and
trade unions when it arises.

5.  To protect socio economic interest of the Management
and Workers through establishing and maintaining
industrial harmony at workplace.
 To avoid industrial conflicts so as to maintain healthy
work environment
 To encourage collective bargaining in order to promote
performance, safety, mortality and other incidental
mutual benefits
 Helping government to make laws to improve the quality
of life of working class.

6.  Institutional Factors: like labour laws, state policy, collective
bargaining agreements, labour union, employer federations.
 Economic Factors: MNC, Indian Organization, Cooperative etc.
 Social Factors: Caste, Creed Social groups etc.
 Technological Factors: Technology used, machinery used etc.
 Psychological Factors: Employers attitude, workers motivation,
morale, dissatisfaction level etc.
 Political Systems: Attitude of government towards labour, political
philosophy, their intervention in trade unions etc.
 Global Factors: Economic trading policy, global conflicts,
international trade agreements, ILO guidelines etc.
 Integrity, Trust and Transparency
 Power and authority

7.  Uninterrupted Production
 Reduction in Industrial Disputes
 High Morale
 Reduced wastage
 Feeling of ownership and collective wellbeing
 Faster Decision making

8.  Sound Personnel Policies
 Participative Management
 Responsible Union
 Employee Welfare
 Proper Grievance Procedure: A well established and properly
administered system committed to timely and satisfactory
redressal of employee grievances can be very helpful in
improving Industrial Relations
 Constructive attitude
 Proper Communication Channel
 Education and Training
 Career Growth opportunity
 Family Schemes

9. Employer –
Employee
Relations
Employee
Employee
Associations
Employer
Associations
Employer
Government Courts and
Tribunals

10.  Social Security Legislations:
› Employee State Insurance Act, 1948
› Employees Provident Fund and Miscellaneous
Provisions Act, 1952
› The Employee Compensation Act
› The maternity Benefit Act, 1961
› The Gratuity Act, 1972
 The Industrial Dispute Act, 1947 (
Prevention and Settlement of Disputes)
 The Trade Union Act, 1926

11.  Collective Bargaining: It is a technique by which
disputes as to conditions of employment are resolved
amicably, by agreement rather than coercion.
 Negotiations
 Conciliations and Mediation
 Arbitration
 Adjudication

12.  Freedom of Association
 Stability of Union
 Recognition of Union by the Employer
 Good Faith
 Mutual Respect
 Supportive legal system

13.  An organization of workers or employees formed mainly
to:
› Negotiate with the employer on various employment related
Issues
› Improve the working conditions at their work place and terms of
employment
› Enhance their status in their society
 Trade Union is a continuous association of wage-
earners for the purpose of maintaining of improving the
conditions of their working lives
 In most countries there are laws governing the
formation, membership and administration of trade
unions.

14.  Industrialization brought about new economic and social
order in the societies. Trade Union emerged as a result of
Industrialization in new social order.
› First Workers Union under leadership of Mr. Lokhande developed
in 1890
› Beginning of labour movement in the modern sense started after
the outbreak of World War 1st.
› Economic, Political and Social Condition influenced the growth of
Trade Union Movement in India
› Establishment of ILO helped in the formation of the Trade Unions in
the Country
› In 1920 AITUC was formed. The first all India Trade Union
› World War 2 brought split in AITUC and then with the effort of
Indian National Congress INTUC was formed
› Socialist separated from AITUC formed HMS in 1948
› Some other union was also formed. BMS in 1955, HMP ( Hind
Majdoor Panchayat), 1965, CITU( Centre of Union Trade Union),
1970

15.  Right to form Trade Union in a fundamental right under
Article 19 (1) (c) of the Indian Constitution.
 After the First World War there was a need for the
coordination among individual unions which leads towards
the trade union movement in India.
 Gradually this movement becomes an essential part of
industrial progress in India apart from economic, social and
political dimensions of Trade Unions in India.
 Union representation and collective bargaining have been
the keys to the growth of a stable working population in
developed economies, and have made it possible for workers
to gain a more equitable share of the wealth that they create;
they are also able to improve working conditions and help
workers gain job security

16.  Wages and salaries-most important subjects of Trade Unions. In
the organized industry, wages and benefits are determined through
processes such as collective bargaining, wage boards, conciliation,
and adjudication
 Working conditions-Another major objective of the Trade Unions.
Ensuring the safety of workers. While working every worker must
be provided with basic facilities like. Drinking water, minimum
working hours, paid holidays, social security, safety equipments,
lights and others.
 Personnel policies-Any personal policy of the employer with respect
to promotion, transfer and training may be challenged by the Trade
Unions if arbitrary.
 Discipline-Trade Unions also protect the workers from arbitrary
disciplinary action taken by the Management against any worker.
No worker should be victimized by the management in the form of
arbitrary transfer or suspension

17.  Welfare-The main objective of the Trade Union is to work for the
welfare of the workers. This includes welfare of the family members
or children of the worker.
 Employee and Employer Relations-for an industrial peace there
must be harmony between employer and employee. But due to
superior power of the management sometimes conflict arises. In
this situation Trade Union represent the whole group of workers
and continue negotiations with management
 Negotiating Machinery-Trade Unions may also put proposals before
management, as this policy is based on the principle of “Give and
Take” Trade Unions protect the interest of workers through
collective bargaining
 Safeguarding Organizational Health and the Interest of the Industry.
It helps in resolving Industrial Dispute
 Alone workers feel weak. Trade Union provides them a platform to
join others to achieve their social objectives.

18.  Industrial dispute means any dispute between
employers and employers, or between employer and
workmen, between workmen and workmen, which is
connected with employment and non- employment or
terms of employment. The dispute has to be between
plurality of workmen and employer.
 Individual workman can not raise an industrial dispute.

19.  Industrial union: An Industrial union is formed by virtue
of actions of industry not because of similar crafts or
works
 Craft union: Craft's union consists and comprises of
earning of wage from the single occupation, it includes
all the workmen working for single craft even of different
industries.
 General union: General union consists the workmen of
various crafts and industries

20.  Local Level: The local trade union federation holds together the
plant level unions at the local level in a particular craft and
industry. These federations might be affiliated to some regional
level or national level federation or may be independent.
 Regional Level: It is the organization consisting of all the
constituent unions in a particular state or region. Their
importance cannot be exaggerated beyond a particular state or
region as conditions, customs, practices, style of living differ in
every state or region. These regional federations may have
members of two kinds: (1) the plant level unions affiliating
themselves to these directly, and (2) the local federations.
 National Level: These are the national level bodies to which
plant level unions, local unions or regional level unions may get
affiliated. These are the apex bodies at the top of the structure
and act as coordinating bodies.

21.  Globalization
 Equal Treatment to different Nationalities
 Multicultural Management
 Training and Development
 Performance Management
 Reward and Recognitions
 Social Media Platform
 Proactive Business Strategy
 Human Asset
 Role of Hr is transformational rather than transactional.
 Business is no longer process based it is now outcome
based