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INDUSTRIAL RELATION
AND
TRADE UNION
BY
CORPORATE VETERANS
Presented by: Abhijit Nayak
Tanushree Behera
Gayatri Bhatta
Gaurav Agarwalla
Satyaprakash Upadhaya
Subham Kumar Ghosh
Submitted to: Dr. Sainik Som
CONTENT
INDUSTRIAL RELATION
• Definition
• Concept
• Characteristics
• Importance
• Key peoples
• Policies
• Objectives
• Relevance
• Function
• Approach
• Scope
INDUSTRIAL DISPUTES
• Definition
• Concepts
• Forms of disputes
• Types id ID
• Preventions
Examples:
• Facebook
• The HHI
TRADE UNION
• Definition
• Forms
• Concept
• Function
• Characteristics
• Purpose
• Why to join
• Problems in TU
• Principles
INDUSTRIAL RELATION (IR)
 Industrial relationship is about the relationship between an employee
and management.
 Industrial progress is impossible without cooperation of labours and
harmonious relationships.
 Therefore, it is in the interest of all to create and maintain good
relations between employees (labour) and employers (management).
 Industrial relation is defined as relation of Individual or group
of employee and employer for engaging themselves in a way to
maximize the productive activities.
CONCEPT
• Concerned with the systems, rules &
procedures used by employees and
employers
• To determine the reward for effort and
other conditions for employment
• To protect the interests of the employed
and their employers
• To regulate the ways employers treat their
employees
CHARACTERISTICS
• It is a continuous process
• Must be regulation-friendly
• People-centred
• Dynamic and developing concept
• Central and State Government evolve,
influence and regulate employer-employee
relations through laws, rules, agreements,
awards of courts, executive and financial
machinery
IMPORTANCE
1. An outcome of relationship in industry.
2. It creates rules and regulations to maintain
piece and harmony.
3. Important parts of IR are employees and
their organization, employer and their
association and government.
4. It has a role of management, union and
government.
MEMBERS INVOLVE IN IR
• Employer
• Employee
• Trade unions
• Government
POLICIES
• Living Wage and Job Security
• Work/Life Balance
• Industrial Democracy
• Pay and Employment Equity
• Healthy and Safe Workplaces
OBJECTIVES
1. To promote and develop labor management relation and reduce
conflicts.
2. To provide opportunity to workers to involve in decision making
process with management and improve the workers' strength.
3. Avoid unnecessary interference of government.
4. To improve workers strength through trade unions and mutual
negotiations and understanding.
5. Establish sound relationship between workers and management by
safeguarding mutual interests.
6. Improvement of economic conditions of workers.
RELEVANCE
• Uninterrupted production
• Reduction in Industrial Disputes
• Mental Revolution
• Reduced Wastage
• Focus on object
• High morale
ROLE OF EMPLOYERS
 Promote and protect the interest of
employers and employees
 Advice offering
 Bridge between Union and Government
 Train and develop staff members of
concern members of Associations
FUNCTIONS AND RESPONSIBILITY
1. To keep the smooth relations with
union
2. Take the regular meeting of the
Works committee
3. Negotiations while Agreement
4. To keep industrial disciplines
5. Issue the letters to late coming,
absenteeism, suspension etc…,
6. To handle legal issues
APPROACH
3 important approaches
1. Unitary Approach
2. Pluralistic Approach
3. Marxist Approach
DESCRIPTION
1. Unitary Approach
• IR is grounded in mutual co-
operation, individual treatment,
team work and shared goals.
• Union co-operate with the mgt.
& the mgt.’s right to manage is
accepted because there is no ‘ we
they feeling’
• It’s a reactive IR strategy.
• They seek direct negotiations
with employees
2. Pluralistic Approach
• It perceives:
• Org. as a coalitions of
competing interest.
• TU as legitimate
representatives of employee
interests.
• Stability in IR as the product
of concessions and
compromises between mgt. &
unions.
• Conflict between Mgt. and workers
is understood as inevitable.
• Conflict is viewed as conducive for
innovation and growth.
• Strong union is necessary.
3. Marxist Approach
• Marxists see conflict as a product
of the capitalist society.
• Conflict arises due to the division
in the society between those who
own resources and those who have
only labor to offer.
• For Marxist all strikes are
political.
• He regard state intervention via
legislation & the creation of
Industrial tribunals as supporting
management’s interest rather than
ensuring a balance between the
competing groups.
SCOPE
• Industrial disputes & related methods.
• Roles of key players are well defined
• Individual dissatisfaction.
• Disciplinary policy & practice
• Collective bargaining
(Process of negotiation between employers
and a group of employees aimed at reaching
agreements to regulate working conditions. The
collective agreements reached by these negotiations
usually set out wage scales, working hours, training,
health and safety, overtime, grievance mechanisms,
and rights to participate in workplace or company
affairs)
INDUSTRIAL DISPUTE (ID)
As per industrial disputes act,1947,the
term ‘industrial dispute’ means:
Any dispute or difference between:
• Employers & employers
• Employers & employees(workmen)
• Employees & employees
• Terms & conditions of industries.
CONCEPT
• The dispute must affect a large
number of workmen who have a
community of interest as a class.
• The dispute must be taken up
either by union or substantial
number of workmen.
• The grievance turns from
individual to general complaint
FORMS OF INDUSTRIAL DISPUTES
• Strikes i.e. primary and secondary
• Lockouts
• Gherao
• Lay-off
• Picketing & boycott
TYPES OF ID
• Interest disputes (also known as
‘economic disputes’)
e.g.: Terms & conditions of
employment
• Grievance or right disputes (also
known as individual disputes)
e.g.: Transfer, dismissal,
retrenchment
PREVENTIONS
• Collective bargaining
• Conciliation/mediation
• Arbitration
• Adjudication
Benefits:
• Perfect working environment
• Perfect relationship
• Allowance for all benefits
• Family members are also used to go
office along with employee
Discipline:
• Equal importance to all level of
employees
• CEO visits each individual
employees
Company benefits:
• Accommodation
• Picnic, group party
• Entertainment
• Salary increment
• Bonus on festivals
• Allowances
Discipline:
• Obey protocols
• Training and development
• Uniform
TRADE UNION
• A trade union is an organisation made
up of member (a membership-based
organisation) and its membership must be
made up mainly of workers. One of a
trade union's main aims is to protect and
advance the interests of its members in
the workplace. Most trade unions are
independent of any employer.
THREE FORMS OF TRADE UNIONS
• Classical:
A trade union’s main objective is to collectively protect the interests
of its members in given socio-economic-political system. Trade
Unions are the expressions of the needs, aspirations and wishes of
the working class.
• Neo-classical:
It goes beyond classical objectives and tries to improve up other
wider issues like tax-reliefs, raising saving rates etc.
• Revolutionary:
Change in the system. Establishing the rule of working class even
through violence and use of force etc.
CONCEPT
• Agent of workers and working class
• Protection against exploitation
• Growth of Morden industrial establishment
• Poor bargaining power at individual level
• Maintaining and improving conditions of working
• Protecting the interest of members
• Regulating the relation between employers and employees
For these reasons trade union came to action and become necessary
for all individual and groups of people.
TRADE UNION FUNCTIONS
• Provision of Labour Welfare
• Safeguarding the Interests of the Workers
• Trade Unions working for the Progress of the
Employees
• Establishing Contacts between the Workers
and the Employers
• Securing Facilities for Workers
• Increasing Co-operation and Well-being
among Workers
UNION CHARACTERISTICS
• Expression of sectional/class consciousness
“socialist” society
• Social responsibility- exercise role in non-
detrimental ways
• Business unionism- maximize benefits from
employer relationships
• Welfare unionism- wider social, econ. &
political involvement for all
• Political unionism- through political
alliances
PURPOSE OF TU
• Employment Protection and Job
Creation.
• Economic Protection.
• Social Status - Identity.
• Political Role - Democratic Institution
• Societal Obligation - Transformation.
• Competitiveness / Sustainable
Development
WHY DO PEOPLE JOIN UNION?
• Greater Bargaining Power
• Minimize Discrimination
• Sense of Security
• Sense of Participation
• Sense of Belongingness
• Platform for self expression
• Betterment of relationships
PROBLEMS FOR TRADE UNION GROWTH
• Off-Centering Labor
• Segmentation of Workforce
• Core / Periphery
• Employment Instability
• Investment Attraction
• Individualization of Labor Relations
• Labor Cost Cutting
• Failure of Institutions
REGULATING PRINCIPLES
• Vested interest
• Supply & demand
• Living wage
• Partnership
• Socialism
INDIAN TU (Major)
The Indian National Trade Union Congress (INTUC)
In May 1947 INTUC was formed by the Congress Party and the top congress
leaders like Mr. Nehru and Patel were associated with it.
The Hind Mazdoor Sangh (H.M.S.)
It was formed in December 1981 in Calcutta by the socialists who neither
approved INTUC nor A1TUC.
The United Trade Union Congress (UTUC)
It was formed on 30th April 1949 by those persons who were dissident socialists.
The Centre of Indian Trade Unions (CITU)
It was formed in 1970. It has 2,231 affiliated unions having 11,12,328 members.
“Fifth wheel employees are those who are a result of the mistake made by
the human resources wing, i.e. by recruiting wrong person to the wrong
job just to fill in the vacancy and then expect better performance. Further
such an employee is unable to put in his best and is just an additional mass
available within the organization.”
- Henrietta Newton Martin
“No king on earth is as safe in his job as a Trade Union official.
There is only one thing that can get him sacked; and that is drink.
Not even that, as long as he doesn’t actually fall down.”
- George Bernard Shaw

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Industrial relationship and trade union

  • 1. INDUSTRIAL RELATION AND TRADE UNION BY CORPORATE VETERANS Presented by: Abhijit Nayak Tanushree Behera Gayatri Bhatta Gaurav Agarwalla Satyaprakash Upadhaya Subham Kumar Ghosh Submitted to: Dr. Sainik Som
  • 2. CONTENT INDUSTRIAL RELATION • Definition • Concept • Characteristics • Importance • Key peoples • Policies • Objectives • Relevance • Function • Approach • Scope INDUSTRIAL DISPUTES • Definition • Concepts • Forms of disputes • Types id ID • Preventions Examples: • Facebook • The HHI TRADE UNION • Definition • Forms • Concept • Function • Characteristics • Purpose • Why to join • Problems in TU • Principles
  • 3. INDUSTRIAL RELATION (IR)  Industrial relationship is about the relationship between an employee and management.  Industrial progress is impossible without cooperation of labours and harmonious relationships.  Therefore, it is in the interest of all to create and maintain good relations between employees (labour) and employers (management).  Industrial relation is defined as relation of Individual or group of employee and employer for engaging themselves in a way to maximize the productive activities.
  • 4. CONCEPT • Concerned with the systems, rules & procedures used by employees and employers • To determine the reward for effort and other conditions for employment • To protect the interests of the employed and their employers • To regulate the ways employers treat their employees
  • 5. CHARACTERISTICS • It is a continuous process • Must be regulation-friendly • People-centred • Dynamic and developing concept • Central and State Government evolve, influence and regulate employer-employee relations through laws, rules, agreements, awards of courts, executive and financial machinery
  • 6. IMPORTANCE 1. An outcome of relationship in industry. 2. It creates rules and regulations to maintain piece and harmony. 3. Important parts of IR are employees and their organization, employer and their association and government. 4. It has a role of management, union and government.
  • 7. MEMBERS INVOLVE IN IR • Employer • Employee • Trade unions • Government
  • 8. POLICIES • Living Wage and Job Security • Work/Life Balance • Industrial Democracy • Pay and Employment Equity • Healthy and Safe Workplaces
  • 9. OBJECTIVES 1. To promote and develop labor management relation and reduce conflicts. 2. To provide opportunity to workers to involve in decision making process with management and improve the workers' strength. 3. Avoid unnecessary interference of government. 4. To improve workers strength through trade unions and mutual negotiations and understanding. 5. Establish sound relationship between workers and management by safeguarding mutual interests. 6. Improvement of economic conditions of workers.
  • 10. RELEVANCE • Uninterrupted production • Reduction in Industrial Disputes • Mental Revolution • Reduced Wastage • Focus on object • High morale
  • 11. ROLE OF EMPLOYERS  Promote and protect the interest of employers and employees  Advice offering  Bridge between Union and Government  Train and develop staff members of concern members of Associations
  • 12. FUNCTIONS AND RESPONSIBILITY 1. To keep the smooth relations with union 2. Take the regular meeting of the Works committee 3. Negotiations while Agreement 4. To keep industrial disciplines 5. Issue the letters to late coming, absenteeism, suspension etc…, 6. To handle legal issues
  • 13. APPROACH 3 important approaches 1. Unitary Approach 2. Pluralistic Approach 3. Marxist Approach
  • 14. DESCRIPTION 1. Unitary Approach • IR is grounded in mutual co- operation, individual treatment, team work and shared goals. • Union co-operate with the mgt. & the mgt.’s right to manage is accepted because there is no ‘ we they feeling’ • It’s a reactive IR strategy. • They seek direct negotiations with employees 2. Pluralistic Approach • It perceives: • Org. as a coalitions of competing interest. • TU as legitimate representatives of employee interests. • Stability in IR as the product of concessions and compromises between mgt. & unions. • Conflict between Mgt. and workers is understood as inevitable. • Conflict is viewed as conducive for innovation and growth. • Strong union is necessary. 3. Marxist Approach • Marxists see conflict as a product of the capitalist society. • Conflict arises due to the division in the society between those who own resources and those who have only labor to offer. • For Marxist all strikes are political. • He regard state intervention via legislation & the creation of Industrial tribunals as supporting management’s interest rather than ensuring a balance between the competing groups.
  • 15.
  • 16. SCOPE • Industrial disputes & related methods. • Roles of key players are well defined • Individual dissatisfaction. • Disciplinary policy & practice • Collective bargaining (Process of negotiation between employers and a group of employees aimed at reaching agreements to regulate working conditions. The collective agreements reached by these negotiations usually set out wage scales, working hours, training, health and safety, overtime, grievance mechanisms, and rights to participate in workplace or company affairs)
  • 17. INDUSTRIAL DISPUTE (ID) As per industrial disputes act,1947,the term ‘industrial dispute’ means: Any dispute or difference between: • Employers & employers • Employers & employees(workmen) • Employees & employees • Terms & conditions of industries.
  • 18. CONCEPT • The dispute must affect a large number of workmen who have a community of interest as a class. • The dispute must be taken up either by union or substantial number of workmen. • The grievance turns from individual to general complaint
  • 19. FORMS OF INDUSTRIAL DISPUTES • Strikes i.e. primary and secondary • Lockouts • Gherao • Lay-off • Picketing & boycott
  • 20. TYPES OF ID • Interest disputes (also known as ‘economic disputes’) e.g.: Terms & conditions of employment • Grievance or right disputes (also known as individual disputes) e.g.: Transfer, dismissal, retrenchment
  • 21. PREVENTIONS • Collective bargaining • Conciliation/mediation • Arbitration • Adjudication
  • 22. Benefits: • Perfect working environment • Perfect relationship • Allowance for all benefits • Family members are also used to go office along with employee Discipline: • Equal importance to all level of employees • CEO visits each individual employees Company benefits: • Accommodation • Picnic, group party • Entertainment • Salary increment • Bonus on festivals • Allowances Discipline: • Obey protocols • Training and development • Uniform
  • 23. TRADE UNION • A trade union is an organisation made up of member (a membership-based organisation) and its membership must be made up mainly of workers. One of a trade union's main aims is to protect and advance the interests of its members in the workplace. Most trade unions are independent of any employer.
  • 24. THREE FORMS OF TRADE UNIONS • Classical: A trade union’s main objective is to collectively protect the interests of its members in given socio-economic-political system. Trade Unions are the expressions of the needs, aspirations and wishes of the working class. • Neo-classical: It goes beyond classical objectives and tries to improve up other wider issues like tax-reliefs, raising saving rates etc. • Revolutionary: Change in the system. Establishing the rule of working class even through violence and use of force etc.
  • 25. CONCEPT • Agent of workers and working class • Protection against exploitation • Growth of Morden industrial establishment • Poor bargaining power at individual level • Maintaining and improving conditions of working • Protecting the interest of members • Regulating the relation between employers and employees For these reasons trade union came to action and become necessary for all individual and groups of people.
  • 26. TRADE UNION FUNCTIONS • Provision of Labour Welfare • Safeguarding the Interests of the Workers • Trade Unions working for the Progress of the Employees • Establishing Contacts between the Workers and the Employers • Securing Facilities for Workers • Increasing Co-operation and Well-being among Workers
  • 27. UNION CHARACTERISTICS • Expression of sectional/class consciousness “socialist” society • Social responsibility- exercise role in non- detrimental ways • Business unionism- maximize benefits from employer relationships • Welfare unionism- wider social, econ. & political involvement for all • Political unionism- through political alliances
  • 28. PURPOSE OF TU • Employment Protection and Job Creation. • Economic Protection. • Social Status - Identity. • Political Role - Democratic Institution • Societal Obligation - Transformation. • Competitiveness / Sustainable Development
  • 29. WHY DO PEOPLE JOIN UNION? • Greater Bargaining Power • Minimize Discrimination • Sense of Security • Sense of Participation • Sense of Belongingness • Platform for self expression • Betterment of relationships
  • 30. PROBLEMS FOR TRADE UNION GROWTH • Off-Centering Labor • Segmentation of Workforce • Core / Periphery • Employment Instability • Investment Attraction • Individualization of Labor Relations • Labor Cost Cutting • Failure of Institutions
  • 31. REGULATING PRINCIPLES • Vested interest • Supply & demand • Living wage • Partnership • Socialism
  • 32. INDIAN TU (Major) The Indian National Trade Union Congress (INTUC) In May 1947 INTUC was formed by the Congress Party and the top congress leaders like Mr. Nehru and Patel were associated with it. The Hind Mazdoor Sangh (H.M.S.) It was formed in December 1981 in Calcutta by the socialists who neither approved INTUC nor A1TUC. The United Trade Union Congress (UTUC) It was formed on 30th April 1949 by those persons who were dissident socialists. The Centre of Indian Trade Unions (CITU) It was formed in 1970. It has 2,231 affiliated unions having 11,12,328 members.
  • 33. “Fifth wheel employees are those who are a result of the mistake made by the human resources wing, i.e. by recruiting wrong person to the wrong job just to fill in the vacancy and then expect better performance. Further such an employee is unable to put in his best and is just an additional mass available within the organization.” - Henrietta Newton Martin “No king on earth is as safe in his job as a Trade Union official. There is only one thing that can get him sacked; and that is drink. Not even that, as long as he doesn’t actually fall down.” - George Bernard Shaw