This document discusses employee discipline and collective bargaining. It begins by introducing employee discipline, including types of discipline (positive and negative), causes of discipline issues, possible punishments, and procedures for taking disciplinary action. It then discusses collective bargaining, including its introduction, history, nature, forms, types of bargaining, levels at which it is undertaken, and advantages. Key points covered include the negotiation process in collective bargaining and various tactics and strategies used.
Reference of industrial disputes for settlement - Settlement
machinery for Industrial Disputes, Conciliation Officer, Board of
Conciliation, Court of Enquiry, Labour Court, Industrial Tribunal
and National Tribunal and Arbitration, their composition, powers,
and duties,
Trade union and Collective Bargaining?
-WHAT IS COLLECTIVE BARGAINING ?
-PROCESS OF COLLECTIVE BARGAINING
-ROLE OF TRADE UNIONS
-IMPORTANCE TO EMPLOYEES
-ADVANTAGES OF COLECTIVE BARGAINING
-COLLECTIVE BARGAINING IN INDIA
Prior to 1991, the industrial relations system in India sought to control conflicts and disputes through excessive labor legislation. These labor laws were protective in nature and covered a wide range of aspects of workplace industrial relations like laws on health and safety of labors, layoffs and retrenchment policies, industrial disputes and the like.
Competitive advantage - strategic human resource managementmanumelwin
The concept of competitive advantage was formulated by Michael Porter (1985). Competitive advantage, Porter asserts, arises out of a firm creating value for its customers. To achieve it, firms select markets in which they can excel and present a moving target to their competitors by continually improving their position.
Reference of industrial disputes for settlement - Settlement
machinery for Industrial Disputes, Conciliation Officer, Board of
Conciliation, Court of Enquiry, Labour Court, Industrial Tribunal
and National Tribunal and Arbitration, their composition, powers,
and duties,
Trade union and Collective Bargaining?
-WHAT IS COLLECTIVE BARGAINING ?
-PROCESS OF COLLECTIVE BARGAINING
-ROLE OF TRADE UNIONS
-IMPORTANCE TO EMPLOYEES
-ADVANTAGES OF COLECTIVE BARGAINING
-COLLECTIVE BARGAINING IN INDIA
Prior to 1991, the industrial relations system in India sought to control conflicts and disputes through excessive labor legislation. These labor laws were protective in nature and covered a wide range of aspects of workplace industrial relations like laws on health and safety of labors, layoffs and retrenchment policies, industrial disputes and the like.
Competitive advantage - strategic human resource managementmanumelwin
The concept of competitive advantage was formulated by Michael Porter (1985). Competitive advantage, Porter asserts, arises out of a firm creating value for its customers. To achieve it, firms select markets in which they can excel and present a moving target to their competitors by continually improving their position.
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DEFINITION OF INDUSTRIAL DISPUTES BY THE ID ACT, VARIOUS FORMS OF INDUSTRIAL DISPUTES, WITH THERE EXPLANATIONS ,CAUSES OF INDUSTRIAL DISPUTES AND THERE EFFECTS ALSO(POSITIVE AND NEGATIVE), THE MOST IMPORTANT IS THE PREVENTIVE MEASURES AND THE FORMS OF SETTLEMENT OF VARIOUS DISPUTES IN AN INDUSTRY LEVEL WITH PROPER EXAMPLE AND PROCESS OF ALMOST ALL THE FORMS OF DISPUTES SETTLEMENT INCLUDING CONSULTATIVE MACHINERY.
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Discipline in the workplace is the means by which supervisory personnel correct behavioural deficiencies and ensure adherence to established company rules. The purpose of discipline is correct behaviour. It is not designed to punish or embarrass an employee.
Employee relations’ refers to the collective relationships that an employer has with its employees. These relationships may be with the entire employee group, or with smaller groups within it, but they are always with groups of employees.
Employee relations is about the relationship between employees and employer that is conducted through communication with trade unions, staff associations
or representatives of employees, or directly with groups of employees.
The relationship an individual has with the employer, for example by agreeing, as an individual, to attend work and to be bound by disciplinary rules, is not employee relations’.
Our approach
We believe in a dynamic approach. Employee relations needs managing. We are neither pro- nor anti-union. However, if a trade union is an obstacle to a client’s objectives, we reckon it is better to make plans to overcome this than to accept the status quo. So we may recommend that the company set up other channels of communication; or reduce the influence of the union; or
enhance one union at the expense of another. If no union is recognised, we also draw up plans that promote the client’s objectives. This may mean winning the support of the workforce through initiatives to promote a helpful
dialogue, for example.
There are statutory requirements for collective action, such as to consult about redundancy, or to provide information. We ‘manage’ these activities, to retain control of the agenda, information and timescales, rather than passively apply the legislation.
We reckon that efforts to talk to employees and tell them about the business are likely to help, rather than hinder, productivity.
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1. Employee Discipline &
Collective Bargaining
Prepared By: Guided By:
Zankhana Patel Rajesh Sir
Ankit Vaghani
Jay Raval
Nirali Mehta
Submitted To:
Department of Business Administration,
Faculty of Management,
Bhavnagar University,
Bhavnagar
3. Employee Discipline
Introduction of employee discipline
Types of discipline
Causes
Punishment
Procedure for taking disciplinary action
4. Introduction of employee
discipline
The behaviour of an employee is at the root of all
discipline in an organisation. Every manager
wants this behaviour to be in conformity with the
required system which he has prescribed in order
to achieve the goals.
But, occasionally the employees deviating from
this required system.
5. The reason is that they have their own unique
individual systems of behaviour which they
cannot easily give up when they enter as members
of an organisation and thus many problems of
employer-employee relation and of individual
adjustment arise.
6. Types of discipline
Discipline may be two types:
Positive and
Negative
Positive discipline:
It refers to an organisational atmosphere in
which subordinates willingly abide by rules,
which they consider fair.
7. Negative discipline:
It is one in which management has to hold
out threat by imposing penalties on wrongdoers.
When this pressure becomes increasingly
severe each time a man is disciplined, it is called
“progressive” or “corrective” discipline.
8. Causes of discipline
Ineffective leadership which cannot control,
coordinate and motivate workers.
Low wages and poor working conditions.
Lack of promotional opportunities due to which
people feel stagnated.
Absence of any code of conduct to regulate
behaviour on both sides.
Lack of timely redressal of workers grievances.
9. Unfair management practices.
Defective communication system.
Lack of workers education.
Uninteresting work.
Outside political influences.
10. Punishment
Kinds of punishment
Oral reprimand
this punishment is generally given for
some minor offences such as failure to obey
safety rules, smoking in a prohibited area,
sleeping on the job.
11. Written reprimand
In such a situation it is desirable that it is
issued in writing and brought record so that it
may support , if any necessary.
Loss of privileges
For such offences like leaving work without
permission.
12. Fines
Fines means a deduction from the
remuneration of the employee by way of
punishment.
Punitive suspension
It is different from the suspension pending
an enquiry. Under this an employee prohibited
from performing the duties assigned to him and
his wages are withheld for so long.
13. Withholding of increments
the cumulative effect of losing an
increment.
Demotion
reduction of an employee to a lower grade
from the higher position.
Discharge
use to denote removal of an employee from
service by way of punishment.
14. Dismissal
it is the ultimate penalty which is rarely
resorted . Discharge and dismissal have the
same result, termination of service of the
employee.
15. Procedure for taking
disciplinary action
Preliminary investigation:
To find out whether a prima facie case of
misconduct exists.
Issue of a charge-sheet:
It is not a punishment in it self. It is merely
notice of a charge that the worker is responsible
for some misconduct and that the management
wants to know what they say about it. It gives the
worker an opportunity to explain them conduct. It
is also called ‘show cause notice’.
16. Suspension pending enquiry, if needed :
If suspension is in the interest of discipline
and security in the establishment , the
management may suspend a worker even before
the charge sheet is issued or an order of
suspension may be given to the worker along with
the charge sheet.
Notice of enquiry
The worker may admit the charge in an
unqualified manner.
The worker may not admit the charge and charge
merits only minor penalty.
The workers may not admit the charge and the
charge merits major penalty.
17. Conduct of enquiry:
Recording of findings by the enquiry officer:
At the conclusion of the enquiry proceedings
the enquiry officer should decide as to whether
the charges made are valid or not along with the
reasons for his findings.
18. Awarding punishment:
The punishment should be awarded on the
basis of findings of the inquiry, past record of the
employee and gravity of misconduct.
Communication of punishment:
Reference to the letter of charges issued to the
employee
Reference to the enquiry
Reference to the findings of the enquiry
Decision whether to punish or not
Date from which the punishment is to be
effective.
20. Topics to be covered
Introduction of Collective Bargaining
History of collective bargaining
Nature of collective bargaining
Forms Of Collective Bargaining
Types Of Bargaining
Levels At Which Collective Bargaining Is Undertaken
Advantages Of Collective Bargaining
21. Collective Bargaining
• “Collective Bargaining is a process in which the representatives of a
labour organization & the representatives of business organization
meet and attempt to negotiate a contract or agreement, which specifies
the nature of employee-employer union relationship”.
– FLIPPO
• ‘collective’ – group
• 'bargaining' – proposals and counter proposals
• Process involve discussions and negotiations
• To reconcile their conflict interests
22. Nature of collective bargaining
• Wages fixation.
• Increments and bonus payment.
• Hours of work & overtime.
• Terms & conditions of work.
• Safety, welfare and health care.
23. History of collective bargaining
The term "collective bargaining" was first used in
1891 by economic theorist Sidney Web.
However, collective negotiations and agreements had
existed since the rise of trade unions during the
nineteenth century.
24. 24
Forms of Bargaining Structures
Between the single employer and
single union.
(single plant bargaining)
Between the worker bargaining
with the common employer
through diff. union.
(multiple plant bargaining)
Between separate union
bargaining with separate
employer.
( multiple employer bargaining)
25. Types Of Bargaining
DISTRIBUTIVE
BARGAINING
INTEGRATIVE
BARAINING
• It deals with issues in which
two or more parties have
conflicting or advisory
interests.
“WIN-LOSS”
It is a process where both the
parties can win, each
contributing something for
the benefits of other party.
“WIN-WIN”
26. Levels At Which Collective Bargaining Is
Undertaken
At
Plant
Level
At Industrial
Level
At National Level
27. Plant Level:
It involves the company or establishment.
This is generally for the certain common norms of conduct
with a view to regulating labour management relations &
misunderstanding.
This dispute had occurred for the several norms on the basis
of dearness allowance, retrenchment policy, job evaluation
28. Industrial Level Bargaining:
It aims at the standardization of the terms of employment in one
industry, includes a range of bargaining patterns.
Example of Ahmadabad textile industry
Agreement between mill owners association and the Ahmadabad
textile labour association.
29. National Level:
Bargaining is a tri-partite form of
negotiation between union
confederations, central employer
associations and government agencies.
It aims at providing a floor for lower-
level bargaining on the terms of
employment, often taking into account
macroeconomic goals.
30. Advantages of Collective Bargaining
From the management’s point of view
1. Collective bargaining helps in reducing labour problems to
the minimum and in maintaining pleasant relations
between labour and management.
2. Collective bargaining opens up the channel of
communication between the workers and management
thus increasing worker participation in decision making.
3. Collective bargaining helps to create a sense of job security
among employees.
31. From the Employee’s point of view
1. Collective Bargaining helps to develop a sense of
responsibility and accountability among the employees.
2. Collective Bargaining increases the morale and
productivity of employees.
3. It helps in securing a prompt and fair settlement of
grievances.
32. From the society’s point of view
Collective bargaining leads to industrial peace in
the country which in turn helps to increase the pace
of a nation’s efforts towards economic and social
development.
It helps in implementation of labour legislation.
33. Collective Bargaining Process
Collective bargaining generally includes negotiations
between the employee’s representatives and
employer’s representatives. Collective bargaining
consists of negotiations between an employer and a
group of employees that determine the conditions of
employment.
The result of collective bargaining procedure is called
the collective bargaining agreement.
34.
35. There are two stages
1) Negotiation
2) Contract administration
Negotiation Stage
Negotiation is concerned with resolving conflict between two or
more parties, usually by the exchange of concessions. It can be
competitive known as win-lose negotiation or can be
cooperative, known as win-win. It does not always have to imply
confrontation although it may sometimes require an element of
workmanship.
There are two primary purposes for negotiating in the industrial
relations context. First, to reconcile difference between
management and unions and second, to device ways of
36. Negotiation Steps:
1) Identification of Problem
The nature of problem influences whole process of negotiation.
Whether the problem is very important or no so important,
major or minor. It also influences selection of representatives,
their size, period of negotiation and period of agreement. As such
it is important for both parties to be clear about the problem.
2) Preparing for negotiation
When it becomes necessary to solve the problem through collective
bargaining process, both the parties prepare themselves for
negotiations. It starts with selection of representatives who can
carry-out negotiations with patience, composure and who can
present their view effectively. Other preparations include fixing
up time for negotiations, period of negotiations, etc which also
depend upon circumstances.
37. 3) Negotiation of Agreement
Usually there will be a chief negotiator who is from management
side. He directs and presides the process.
This is a major obstacle in the bargaining process. When a solution
is reached at, it is put on the paper taking concerned legislations
into consideration. Bothe the parties concerned sign the agreement
which, in turn, becomes a binding contract for both the parties.
38. Bargaining
Effective negotiations and enforcement requires a systematic
preparation of the base or ground for bargaining which involves
the following three steps:
Recognition of the Bargaining Agent.
The management should give recognition to the trade. The
bargaining agent of the workers should be properly identified
before initiating any action.
Deciding the Level of Bargaining.
Whether the dealings are confined to enterprise level, industry
level, regional or national level should be decided as the
contents, scope and enforcement agencies differ in each case.
Determining the Scope and Coverage of Bargaining.
It would be better to have a clear understanding of what are the
issues to be covered under bargaining. Many a time, bargaining
is restricted to wage and working conditions related issues but it
would be advantageous for both the management and union to
cover as many issues as possible to prevent further friction and
disputes. Therefore, all the important and interrelated issues are
to be taken for consideration.
39. (1) The parties must attain a sufficient degree of organisation.
If the workers’ organisation is weak, employers can say that
it does not represent the workers and will refuse to
negotiate with it. Unless the workers are able to form strong
and stable unions, collective bargaining will not be
successful.
(2) Freedom of association is essential for collective
bargaining. Where there is no freedom of association, there
can be no collective bargaining. Freedom of association
implies that the workers as well as the employers will have
the right to form an organisation of their own to protect
their interests.
40. (3) There should be mutual recognition between both the groups.
Collective bargaining cannot begin if the employers do not
recognise the workers’ organisation. The conflict of interests makes
the two groups hostile to each other. They must recognise each other
and realise that adjustment and understanding is essential for the
achievement of organisational goals.
(4) There must be an existence a favourable political climate,
essential for successful collective bargaining. If the government
encourages collective bargaining as the best method of regulating
conditions of employment, it will be successful. Where the
governments restrict trade union activities, there can be no
collective bargaining.
(5) Agreement must be observed by those to whom they apply. The
workers’ organisation must be strong enough to exercise its
authority over its members. If the trade union has no power over its
members, collective bargaining will not be effectively implemented.
41. (6) A give and take policy must prevail in the organisation.
The difference between two parties can be adjusted only
by compromise so that an agreement can be reached.
Neither side should be too rigid on its demand.
Their attitudes should be flexible and both sides should be
ready to give up some of its demands. Unions should not
rigidly insist upon unreasonable demands and should be
ready to reduce its demands to come to an agreement.
(7) Sometimes unfair labour practices are resorted to by
both the employers and the trade unions. These will
restrict the development of collective bargaining. Unfair
labour practices should be avoided by both the sides, as
this will create an atmosphere of goodwill.
42. Tactics or Strategies in Collective Bargaining
The tactics or strategies to be adopted in any collective
bargaining situation vary depending upon the culture of the
organization and different environmental factors, particularly
the type of union operating in an industrial establishment.
Following are some common strategies for collective bargaining:
The management has to anticipate the demands and also
understand the main directions in which the demands are
going to be placed. The negotiations are best done if both the
parties do their home work well. The representatives must
come to the bargaining table equipped with the necessary
information and supporting regarding the company’s economic
status and prospects, the prevailing rates of pay and conditions
of employment in comparable industries in the local areas.
43. It is essential that a real team spirit is maintained throughout
the negotiations. The team must have the confidence of facing
any eventuality which may come up during negotiations. The
team must have the power of taking decisions.
Any collective bargaining strategy should firstly separate the
personalities from the problems for arriving at a workable and
desirable agreement and secondly, explore the possibilities for
harmony and compatibility.
Collective bargaining is two way traffic. The management as
well as union must gain out of collective bargaining. Hence, the
management team should also present their counter- proposals.
For instance, the union pressure for a wage-hike may be matched
by a counter demand for an increase in production, reduction in
absenteeism, avoidance of wasteful/restrictive practices, industrial
peace, and so on.
44. There is a greater necessity on the part of the management
representatives to give a patient hearing to the demands of the
union and not to react even if there is a threat of strike or work
stoppage.
It is also a bad strategy to depute persons of law rank without
authority to commit the management on the negotiating table. Such
step may give an impression to the union that the management does
not take the bargaining process with all the seriousness that it
deserves.
A thorough analysis and understanding of different items in the
charter of demands will enable negotiators to arrive at a proper
judgment.
45. It is a good tactic to consider the cost of all the union proposals
and to take up the non-cost items first or items on which it is easy to
come to an agreement so that a suitable collective bargaining
atmosphere is created for negotiating on more serious items which
have financial implications.
Sometimes, the management instead of announcing its
concessions at the bargaining table announces them before the
conciliation officer as the starting point for further negotiations.
This is not bargaining in good faith.
47. Introduction
• Collective bargaining is actually a struggle for
building a democratic and civilized society
• We can not imagine a civilized society without
independent sectional organizations and political
parties representing the overall socio-economic-
political interests of the masses
48. Whenever capitalist development moved forward at
extraordinarily speedy rate, most autocratic regimes
ruled the states
Seems most of the third world countries have entered
in a similar phase.
Liberalization and Globalisation means- state acting as
corporate agent to remove all barriers for capital
accumulation and mobility of capital.
Therefore suddenly in almost all the third world
countries, an all-round attack on right to organizes and
collective bargaining
49. Structure of Work force
> 97 % enterprises in informal sector; 3% formal sector
T. Employment: 396 million in 2000 to 456 million in 2005)
Informal sector: 393.2 million (86 percent)--Agriculture: 251.7
million
self-employed (63%), regular wage workers (17%) and casual 20 %.
Formal sector employment increased from 54.9 to 62.6 million;
but formal employment increased only from 33.6 million to 35.0
million
70,000 registered unions (politically affiliated and independent)
and non-registered organizations.
Total verified membership about 2.5 crore (25.5 million) about
30% of it represented by agricultural workers.
Union density in India only 8 percent .