The document discusses various aspects of industrial relations from an HR perspective. It covers topics like recruitment and selection, training and development, compensation management, performance management, and employee engagement as key HR functions that impact industrial relations. Effective management of supervisor-subordinate relations and developing IR skills in non-IR functions are also discussed. The document emphasizes that man management skills are critical for all management roles to ensure harmonious industrial relations.

1. IR IN
NEW
AVATAR

2. LEGAL ASPECT OF
INDUSTRIAL
RELATIONS
BY: KINJAL AGRAWAL
KENY VALA

3. Evolution of IR in India
 First phase(From 1850s to end of Ist World
war)
 Import-substitution industrialization
 National Capitalism
 Formation of large employment-intensive public
enterprise
 Largely centralized bargaining with static real
wages
 Relative Industrial peace
 Growth of public sector unionism
 Government controlled & regulated IR

4.  Second Phase(The Era of IInd World war )
 Considerable slowdown in employment growth &
declining real wages.
 Crisis in IR system : massive strikes & industrial
conflicts, multiple unionism & decline in strength
 Government loosing control over the IR system.
 Third Phase(Post Independence)
 Variation in wage growth : skilled versus unskilled,
labour productivity increases, period of “jobless”
growth.
 Rise of independent enterprise unionism, several
city/regional IR systems operating
 Government slowly withdrawing from IR system.

5. Compliance of Law

6. WHY COMPLIANCE MANAGEMENT?
• It provides basic minimum wages
and benefits to the employees
• It avoids any legal implications
• It avoids any exploitation and
provides basic livelihood and social
security to the employees

8. UNDERSTANDING REGULATIONS
• Companies operate with public money
•Accountability to stakeholders
•Regulations focus on the safety, transparency and
soundness of the companies to ensure that
•Companies are not unduly exposed to concentration
risk
•Companies are viable in the long run in terms of
liquidity and profitability
•Public money is being handled appropriately
•Operations are undertaken in a prudent manner
Regulations, therefore, need to be seen as
facilitators of prudent business – rather than as
restrictions to business growth

9. RISKS OF NON-COMPLIANCE
• Regulations represent the critical norms to be
followed in day-to-day business
•Non-compliance leads to penal actions by
regulator
•In international scenario penalties are significant
•Compliance risk leads to reputation risk
•Regulatory actions are visible in public domain
•Compliance risk leads to annihilation risk Raises
the question of integrity of a company
•May lead to closure of business
•Impacts the business plan and strategy

10. COMMON COMPLIANCE RED FLAGS
• Rapid growth / new locations / mergers
Mere replication of earlier process for new
locations / business
• Employee turnover
•Frequent customer service issues
Indicator of reputation risk leading to
Compliance risk
•Regular statutory/regulatory notices
Direct indicator of Compliance risk

11. Examples of Non-Compliance which
can disturb IR scenario in an
organization
 Failure to incorporate overtime pay for overtime work
hours, or completely not paying workers who work
overtime
 Failure to conduct regular enquiry for workman’s
misconduct before dismissal
 Changing the service conditions without the
workman’s consent
 Failure in providing retrenchment compensation and
notice on termination of a workman having served
above 240 days

13. ACTS WHICH
GOVERN
LABOUR
LAWS
 Laws related to Industrial Relations:
 The Industrial employment(Standing
Orders) Act, 1946
 The Industrial Disputes Act, 1947
 The Trade Unions Act, 1926
 Laws Related to Equality and
Empowerment of Women:
 The Maternity Benefit Act, 1961
 The Equal Remuneration Act, 1976
 Laws Related to Wages
 Workmen’s Compensation Act, 1923
 The Payment of Wages Act, 1936
 The Payment of Bonus Act, 1965

14.  Laws Related to Working Conditions:
 The Factories Act, 1948
 The Contract Labour (Regulation & Abolition)
Act, 1970
 Laws Related to Social Security:
 The Employees’ State Insurance Act, 1948
 The Employees’ Provident Fund &
Miscellaneous Provisions Act, 1952
 The Payment of Gratuity Act, 1972
ACTS WHICH
GOVERN
LABOUR
LAWS

15. CAUSES OF IR ISSUES
 Two types
1. Economic causes
 Wages
 Bonus
 DA
 Conditions of work and employment
 Working Hours
 Leave and holidays with pay
 Unjust dismissals or retrenchments.

16. 2. Non-economic causes
 Recognition of trade unions
 Victimization of workers
 Ill-treatment by supervisory staff
 Sympathetic strikes
 Political causes

17. SERVICE RULES
1
The Industrial
Employment
(Standing Orders)
act, 1946 defines
commonly
acceptable behavior
and discipline
standards
2
Certified standing
orders provide
further
customization of
requirements
3
It gives fair and
firm method of
disciplinary
actions
4
It helps in
maintaining
industrial peace
and continued
productivity

18. GRIEVANCE
REDRESSAL
MECHANISM
 Demand or Dispute-It should be heard timely
and redressed or feedback should be given.
 It rationalizes the aspiration/expectation of
employees
 Formal settlement of demands/disputes lead to
industrial peace and harmony.
 It largely governs expected values, policies and
understandings.
 It smoothens another cases of business and/or
industrial operations.
 It binds an employer-employee and also reduces
possibility of disputes.
 For example, when an employee engages in
undesirable behavior, employers must act to
correct that behavior. Disciplinary action is
designed to prevent or improve poor
performance or deal with inappropriate behavior.

19. IMPACT OF LAWS ON IR
 Non-compliance under labour laws not only deprives employees from
prescribed wages and benefits but also governs relationship between
employer and employee.
 In majority of disputes “wages and benefits” are the cause of
discontent
 Any changes in employment conditions without formal communication
to employees also leads to IR situations and therefore section 9A
(Notice of Change) has significant importance in keeping harmonious
Industrial Relations.
 Improper management of disciplinary actions also leave concerned
employee aggrieved and such matters ultimately lead to either
litigation or agitation by employee(s).
 Lack of health, welfare and safety, compliance under Factories Act or
non-coverage of employees under PF and ESI also has legal
implication to employer and also many a times leads to IR situation.

20. INDUSTRIAL
RELATIONS
HUMAN
RESOURCE KE
NAZARIYEN SE
BY:
MADHURI DUHLANI
SHWETA DAVE

21. HR
ASPECT
OF IR

22. RECRUITMENT AND SELECTION
 Psychological background
 Gender diversity and social
diversity
 Demographic diversity

23. TRAINING
AND
DEVELOPMENT
 Skill development –
multi skilling
 Behavioural
coaching
 Team building
 Motivational training

24. COMPENSATION MANAGEMENT
AND BENEFITS
 Clear and simple policies
 Adequate compensation to
meet market requirements
and law
 Timely payment of wages
/ compensation and
extension of benefits

25. PERFORMANCE MANAGEMENT
 Objectivity , transparency
 Clearly defined expectations
 Reasonability in approach and
good feedback management

26. EMPLOYEE ENGAGEMENT
 Engagement to nourish
 Socio – cultural ties to align them
with the organization
 Engage them to develop and
showcase innovation as talent
 Stops wasteful efforts and makes it
more productive , enriched and
meaningful .

27. THUS….
 The basic HR functions…..from recruitment to
relieving…all stages of employee life cycle management
are very critical in terms of industrial relations
 Any wrong decision or policy at any stage may give
birth to individual or collective dispute and may result
into an IR situation
 Employee development and engagement are very
effective tools for positive industrial relation

28. BY:
DIVYA CHAUHAN
RUCHI SHARMA
DEVELOPMENTAL
ASPECT OF IR

29. PROBLEMS DUE TO
UNDERDEVELOPMENT OF
EMPLOYEES
 Joblessness;
 Making business process simpler and smoother; and
 One way mindset, that demands can be achieved only
through compensation.

30. NECESSITY TO DEVELOP EMPLOYEES
 Multi-skill;
 Technological Upgradation;
 Workers grow in terms of competency not only
compensation; and
 Less demands equals to less disputes.

31. TOOL-KIT FOR DEVELOPING

32. When There Is
Mutual
Understanding,
Support Concern
And Need Every
Thing Will Be In
Sync.

33. HUL : BRINGING IN THE BEST
 ER Motto: With the changing context of business and volatile
economy, there is a need for better-equipped blue-collar workforce
who are clearly aligned with business goals
Building Professional Skills
‘SPARKLE’ for blue-collar employees
SiO (Stepping into One)
Skill Upgradation for Non-Technical Cadre

34. BUILDING PROFESSIONAL SKILLS
 Functional Skill building with focus on Supply Chain Capability
for shop floor employees
 FMCG Industry- need for cost optimization
 Equipped blue-collar workforce aligned to business
‘SPARKLE’
 Standardized training & PMS Skill development
 Online appraisal across 30 locations ~10,000 shop floor
employees
 Intention to identify Hi-Pots
 Global IT Tool to manage: Capability, Talent & Engagement

35. STEPPING INTO ONE
 Identify, motivate & prepare Hi-Pots (shop-floor) for
next role in Officer cadre- WL 1
 Career growth, strengthening diverse talent pipeline
 Status: 76 promoted to WL 1 from a talent pool of 148
Skill Upgradation for Non-Technical Cadre
 Frontline Leadership Development Program
(a) building capability in Officers in factories
(b) Leadership essentials
(c) Effective Trainer
(d) Job Fundamentals for a front line leader

36. HINDALCO’S EASY
COMMUNICATION INITIATIVE
 ER Motto: We focus a lot on multi-skilling and skill
development of employees to ensure that workmen and
employees get regular training to perform better
Skilling
 Inflexible workforce-obsolete concept.
 Long Term Settlements with Unions are examples of multi-
skilling and flexibility in operations.
Communication
 Forum : developments of the company and respective
divisions. Overall performance of the factory and the
company is shared with the shop-floor employees

37. MANAGEMENT TRAINING AND
GRIEVANCE REDRESSAL
 Training Managers- handling grievances, dealing
with workmen & engagement activities
 Forming teams for productive discussions -hone
skills in problem solving. State level and National level
skill and quality contests
 Technical and Soft Skills training
 Conducting programs for Union leaders: employ
external training institutes and expert trainers to brief
them about labor relations

38. MAHINDRA: GROOMING ITS
EMPLOYEES
 ER Motto: To keep large companies running, with a
high number of employees, involvement of the
workmen in decision making is necessary
Rise i4 Ideation Program
 PQDSM (P-Productivity, Q-Quality, D-Delivery, S-
Safety and M-Moral). Brainstorm for better
productivity, reduce cost, increase safety and
sustainable operations.
 Visible projection of the participants serves as a great
recognition platform

39. RAYCHEM:TRAINING IN
PROCESS
 ER Motto: We do not have any union, any contract
workmen, or any employee relations problems at the
company. Our Self Managed Teams are doing well
Concept of SMTs ( Self Managed Teams)
 Rigorous recruitment process. 10+2 with Physics,
Chemistry and Mathematics
 1 year of OJT, then a diploma in Engineering with tie-
ups with local colleges. This is a 4.5 years course with
full day classes on Saturdays and Sundays.

40. SMTs (Cont’d…)
 Complete care of SMTs. Work-life balance, next
to the plant campus
 Helping the industry and the country in skill
development
 Employment and employability go hand-in-hand
 It is therefore, not a job, but a shaping of the
career.

41. THUS…
 Developmental initiatives have positive and preventive impact on
industrial relations.
 Multi-skilling and Behavioral coaching of workers give them
positive orientation and growth opportunities to assume higher
and enriched role in organization…Which to an extent fulfills their
aspirations.
 The Training on Man management skills is very critical and
important for all frontline supervisors in an industry because in
majority cases disputes are generated from shop floor issues…If
this supervisors are good man managers than such organizations
will always have cohesive relations.
 Awareness and training always yields into better acceptance and
appreciation of company’s policies and procedure by employees.
It develops rational mindset among them.

42. BY:
SOHAM PENDSE
URMIL PARMAR
ER
ASPECT
OF IR

43. SUPERVISOR-SUBORDINATE
RELATIONS
 Developing the Front line Supervisor is very critical
It is very critical to coach front line supervisors as they would represent from
both side of the company as an employee & employer side both.
 Psychological, Behavioral & Functional Coaching of supervisors is
critical.
Behavior of supervisors also plays important role in the management of the IR
issues. this would definitely affect the psychological behavior of the workers. &
which would lead to misconduct or dispute.
 Every leader at operational level must be trained for effective man
management skills.
A leader is one who gives direction to his workers. but if the direction is not
provided than his staff would get deviated from the task given. So leader
should be such who gives constant feedback to his people . So proper training for
the leader to manage his people should be counted as very important for
developing leader’s man management skills.

44. IR IS EVERYONE’S ROLE
 HR/IR is Omnipresent in each functional role.
every function consists of role of HR/IR. as it is believed that if HR
is done in its best possible way than there is no rise of IR issues.
e.g. in case that if there is proper performance management
system and proper rewards are given which is a function of HR
than there is no rise of IR issues. Similarly, at home our mothers
are said as the best managers so in that case also if the mother
has 2 sons & if she gives 100rs more to elder one and doesn’t
gives to younger one than this might create an IR issue but since
she is able to make the younger son understand the reason to give
more money to elder one there is no rise of any IR issues. So this
simple example only proves that where ever there is HR there is
the presence of IR .but since the HR preforms well than there is no
IR scenarios.

45. DEVELOPING IR SKILLS IN NON-
IR FUNCTIONS
 Employer should train his staff with behavioral training which would
teach them to treat their workers. With this they would also build up a
relationship with their working staff as a team building process and
while giving training sessions it would also make a link between the
other cross functional teams.
 For e.g. In HR Induction & Training sessions are treated as a soul for
any new joinee as in this they are taught about the work to be done by
them this also makes a good coordination between the team & also the
supervisor. Similarly the workers should also get some type of training
to get awareness about their work this would definitely improve their
working ability & also makes them feel as important as the
management.
 This would also build a good team & would also interlink the various
function of productions done in the organization. Like in an industry
they have a chain of raw material – Manufacturing – Packing – Dispatch
. So these are the different teams which are dependent on each other
which would lead to conflict but if trained properly it would make huge
profits.

46. MANAGEMENT SKILLS
 Man Management should be critical skill for all management function .
In HR it is Believed that managing the man is the most critical purpose of any
Human Resource manager. So firstly every manager should be trained / Coached
how to manage his workmen & than only he can survive in the Organization with
cordial relations with his workmen. For example, in an Industry every managers
plays the role of a director in the film
 It is given 50% weightage in promotions of some of the organizations
because they primarily believe that every leader should be first good
man manager & performance can not be achieved by abusing and
exploiting employees but sustainable growth can be achieved only
through encouragement for performance.
It is a fact that to get respect form some one we should also provide respect to
others. Similarly is the case with workers . They are also treated as slaves but in
the real scenario with out them there is no organization which can be a successful
one so to encourage them for perform their best the manager should also be make
a very peaceful relations with them so that they hear you and vis-a-versa.

47. Cont’d...
 Target achievement must have support of good man management
skills.
Every target can be achieved in many ways. Like as said by Guru Chanakya. To get the work
done by others can be done through – Saam , Daam , Dand, Bhed.But by using these tool of
Chanakya Neeti their might come the Problem of IR issues. So for an IR manager it is very
tough task to achieve target with maintaining the relations. So it is very important for an IR
manager to develop in him the man management skill to achieve his future goals.
 A good engineer also has to be a good man manager when he leads the
team.
Here, we specifically pointed to engineers as we can see most of the workmen have a
problems with their supervisors who are the engineers from various big & re-nouned
institutions in which they get lots of knowledge but their might be ego clashes with their
supervisors due to many reasons. Like for e.g.. In a plant there is Recruitment of a young
engineer form BIT’s Pilani he is very talented & has good theoretical Knowledge & he is
the supervisor of 50 Blue collar employees who are working in the plant form last 15
years and are fully aware about the machines working & its single part . So here, if any
order are given by the supervisor regarding the quality or the production the workers
would not accept the decision so in this case if engineers are with good management
skills they would easily handle such situation & their would be no question to go to IR
Manager

48. THUS…
 Employee relations predominantly decides the type of
industrial relations…whether positive or negative.
 In process driven and technology driven HR initiatives we as
HR/IR managers sometimes lose focus on employee
relations and do not nurture relationships which has got
many side effects.
 Relationship with mutual respect, recognition and with
content of care and concern has miraculous impact on
industrial relations.
 A positive employee relation prevails upon money illusion.
e.g.… PSUs have lower attrition compared to private sector
industries. As they give lots of benefits after retirement
which is not provided by the Private Organization.

49. INTERESTING RELATIONS
INTIMATE RELATIONS
GOOD INDUSTRIAL RELATIONS