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Workers participation in management


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Workers participation in management

  2. 2. DEFINITION According to Keith Davis, Participation refers to themental and emotional involvement of a person in a groupsituation which encourages him to contribute to group goalsand share the responsibility of achievement. Workers’ participation in management means givingscope for workers to influence the managerial decision-making process at different levels by various forms in theorganization.
  3. 3. OBJECTIVES OF WORKERS’PARTICIPATION Aware of Democratic right to influence the managerial decisions Raise worker’ level of motivation and commitment (owndecisions) Cross-fertilisation and speedy communication of ideas Avoid conflict and foster better co-operation between labour andmanagement.
  4. 4. IMPORTANCE OFWORKERS’ PARTICIPATION Mutual Understanding Higher Productivity Industrial Harmony Industrial Democracy (right of self expression and opportunity tocommunicate views on policies, worker as responsible partner in decisionmaking) Less Resistance to change Creativity and Innovation
  5. 5. FORMS OF WPM Suggestion schemes: Under this method workers are invited andencouraged to offer suggestions for improving the working of theenterprise. Works committee: Under the Industrial Disputes Act, 1947, everyestablishment employing 100 or more workers is required toconstitute a works committee.
  6. 6. FORMS OF WPM Joint Management Councils: These councils were setup as early as 1958. Thesecouncils consist of equal number of representatives of the employers andemployees, not exceeding 12 at the plant level. Work directors: Under this method, one or two representatives of workers arenominated or elected to the Board of Directors. Co-partnership: Co-partnership involves employees’ participation in the sharecapital of a company in which they are employed. By virtue of their beingshareholders, they have the right to participate in the management of thecompany
  7. 7. THANK YOU