By Asma Sultana 12MBA03

INDUSTRIAL CONFLICTS CONFLICT

Stephen Robins defines conflict as A process that begins with a party perceives that another party has negatively affected, or is about to negatively affect, something that first party cares about.

NATURE OF CONFLICT
Conflict is a process in which one party perceives that its interests are opposed or negatively affected by another party. The process word implies that sources of conflict and issues can be real or imaginary. Whether real or imaginary the result of conflict is same Conflict occurs whenever disagreements exist in social situations over issues of substance and /or emotional antagonisms. Conflict can escalate (strengthen) or de-escalate (weaken) over time The conflict process unfolds in a context- escalates or not and whenever conflict occurs the disputants or third parties attempt to manage it in some manner Consequently we need to understand the dynamics of conflict and know how to handle it effectively.

INDUSTRIAL CONFLICTS
Industrial conflict is defined as any conflict or dispute of difference between employers and employee or between employers and workmen or between workmen and workmen which is connected with employment or non-employment or with condition of labour of any person. Conflict relates to inert-organisation relations about the jobs value regulation that produces disagreement and conflict hence an organisational conflict can arise in any business trade occupation and organisation providing employment for certain persons. Industrial conflicts in organisations are inevitable. For employers to perform their crucial roles effectively and efficiently there must exist a strong cordial relationship between the employees and employers in the organisation. Employees occupy a very strategic place in an organization because of their centrality to the production process. They contribute a very indefinable role

both in the achievement of various organization goals and objectives as well as the government economic programme. Industrial Conflict has negative connotation for many-strikes, lockouts, rallies etc. Industrial Conflict is institutionalized through conciliation and arbitration It has a stabilizing effect on the industrial society and is instrument of social change. Conflict has its roots in fundamental right- the freedom of expression. Industrial Conflict also means some disorder; the parties involved in a conflict seek to maximize the disorder.

THE LIFE-CYCLE OF A CONFLICT

Conflicts are processes, a cluster of events taking time to evolve and reshape. But there are distinct stages which conflicts have in common, through which they pass, sometimes over and over again. Stage 1: Beginning A conflict begins to take shape as the differences between the conflicting parties become clearly defined and people begin to take sides openly. The language of 'us and them' starts being widely used, and the idea of a 'cause' to support emerges on both sides. There is no violence at this point. If the HR is strong and its leaders are enlightened, a conflict can be dealt with in a constructive and positive way at this stage, and violence and a worsening situation can be avoided. Stage 2: Early growth But if there are no existing ways of dealing with tensions and divisions, the conflict grows worse. The two sides express open hostility, so that 'us and them' now become 'the enemy' to each other. Each side increases its demands, and its sense of grievance swells. Each side looks for allies from outside the conflict area, for moral and physical support. Acts of violence begin. If violence is not repressed, the opposing sides hit back at one another and a destructive and deadly spiral begins. If one of the sides has greater forces (as governments backed by armies do, for example, when suppressing civilian opposition) it may at this stage suppress its opponents, but the underlying causes of conflict remain to break out another day.

Stage 3: Deadlock Now the two sides are openly at war. Each side perceives the other as the aggressor on whom blame for the conflict falls. Each side regards itself as having the just cause. The lawlessness of war takes over, as inhibitions and restraints on violence are abandoned.

Stage 4: Looking for a way out If and when the conflict reaches a stage where both sides are unhappy with the state of things - many losses, dwindling resources, no achievable 'result' - they may enter into ceasefire agreements. These provide a pause, which is often used for resting and regrouping before embarking on the earlier stages again. Sooner or later, however, both sides decide that ending the conflict is a problem they must both solve, though it has to be done without loss of face. At this point a third party can be introduced to mediate and negotiate. This can be done, at first, without the leaders of the two sides having to meet each other. Stage 5: Settling the dispute or resolving the conflict Settlements involve compromise, often with bitter arguments over what the compromises will be. They seldom lead to a solution in which the two sides can collaborate to establish a firm peace. Settlements establish ways in which either side is prepared to end conflict at least for the time being. Conflict resolution, however, looks at the underlying causes which started the conflict and deals with them, so that the risks of future conflict are removed, or initially reduced. Both sides join together to achieve this outcome. Complete resolution of a conflict is difficult after such great hostility, but may be reached after the passage of healing time if everyone has this aim.

Stage 6: Working together Now the agreement has to be put into effect. Both sides need to create a new order together, rebuilding home, restoring jobs and education, establishing enlightened

management/government, disarming fighters and allowing refugees to return home. Even more important, the two sides have to face up to the past, share their grief, and reconcile their differences. This needs sensitivity, courage, and, above all, immense patience.

DEFINITION OF DISPUTE
Any dispute or difference between employers and employers or between employers and workmen or between workmen and workmen, which is connected with the employment or non-employment or the terms of employment or with the conditions of labour of any person.

CHARACTERISTICS
(A) (B) (C) Dispute must be between employer and employer, Employer and workmen Workmen and workmen Connected with terms or conditions of employment

The term Industrial Dispute as analyzed by courts and on the basis of which the principles of Industrial Dispute are as under:1. The dispute must affect large group of workmen 2. The dispute should be taken-up by Union or others on behalf of workers. 3. Demands should be for redress and grievance 4. The parties to the union must be directly involved 5. Individual dispute referred by government for adjudication cannot be converted into industrial dispute.

TYPES OF INDUSTRIAL CONFLICTS

Industrial conflicts can be classified into four groups, viz. Interest Dispute: These are the disputes that arise out of deadlocks in negotiations. In general, they relate to the determination of new terms and conditions of employment for the general body of workers. In most cases, the disputes originate from trade union demands or proposals for improvements in wages, fringe benefits, job security, or other terms or conditions of employment. Grievance Disputes: They generally arise from day-to-day working relations in the undertaking, usually as a protest by the worker or workers concerned against an act of management that is considered to violate their rights. The grievances typically arise on such questions as discipline and dismissal, the payment of wages and other fringe benefits, working time, over-time, time-off entitlements, promotion, demotion, transfer rights of seniority, rights of supervisors and union officials, job classification problems, the relationship of work rules to the collective agreement and the fulfillment of obligations relating to safety and health laid down in the agreement. Unfair Labour Practices: These are the disputes that arise from the acts of interference with the exercise of right to organize etc. In most cases, the objects of this discriminatory treatment are union officials or representatives employed in the undertaking, and trade union members who have actively participated in strikes. Other unfair labour practices are generally concerned with interference, restraint or coercion of employees when they exercise their right to organize, join or assist a union, establishment of employer-sponsored unions, refusal to bargain collectively, in good faith, with the recognized union; recruiting new employees during a strike which is not an illegal strike; failure to implement an award, settlement or agreement; indulging in acts of force or violence, etc. Recognition Dispute: These are the disputes that arise due to the recognition of trade union as bargaining agent. Issues in recognition disputes differ according to the cause which has led the management to refuse recognition. It may be that the management dislikes trade unions and will not have anything to do with a trade union; the problem is then of attitude, as in the case of trade union victimization. However, the management's refusal may be on the ground that the union requesting recognition is

not sufficiently representative, or that there are several unions in the undertaking making conflicting claims to recognition.

INEVITABILITY OF CONFLICT
What makes conflict inevitable in organizations? Constant change- industrial societies are dynamic. Unlimited needs and desires of the parties Divergent interests. Greater employee diversity and more groups in the workforce- formal and informal groups. Identity and survival instincts of the parties- union must resist to retain its identity, management cannot go on agreeing to demands. More dynamic careers (less loyalty to organization) A global economy with increased cross-cultural dealings.

SOURCES OF CONFLICT
Conflicts arise in organizations in two ways namely, internal and external.

A. INTERNAL SOURCE
This comprise of disagreements arising within the organisation. Conflict orientations within a work setting centres basically on the opposed nature of the interest of the employers and workers. The employer is seeking the greatest possible output at the least cost. The employer is constantly seeking to lower the wage rate, to lengthen the hours of work, to speed up the workers, to layoff and to discharge workers whenever it is temporarily economical. On the other hand, the union which represents the workgroup is seeking continuous employment for its members at the highest possible conditions in respect of hours of work, security and continuity, safety, comfort, sanitation, esteem and so on.

In this relation, both the employers and the employees want the largest cut of the industrial cake that they both cannot get. Moreover, conflict arises because the needs of all three actors of industrial relations often conflict with one another.

Therefore, according to Otobo (2000), internal sources of conflict would include: Style of management Nature of physical environment of the work place Orientation or social consciousness of workers Other conditions of service Efficacy or otherwise of the promotion system and Cumbersomeness of grievance and disputes procedure.

B. EXTERNAL SOURCE
These include government industrial and economic policies, the nature of labour legislation, unpatriotic and unethical behaviour of the political and economic classes, national economic mismanagement and general distribution of wealth and power in the society. The important thing to note about these factors is that both workers and management respond to them. Some of the external causes of conflict may however not directly instigate industrial conflict, but they do influence general social expectation.

MANIFESTATIONS OF CONFLICT
Manifestations of conflict are not confined to a single outlet. The means of expressing conflict are as unlimited. The manifestations of industrial conflict can be broadly classified into:

(a) The manifestations of organized group conflict (union management) and (b) The manifestations of individual and unorganized conflict The Manifestations of Organized group conflict are: Strikes, lockouts and removal of machinery, thereby interrupting the production Organized restrictions of output in the form of work limitations, slow-downs, sabotage and unilateral changes of work standards, piece rates etc.

Conflicts in the interpretation of contract negotiations, implementation of settlement and awards, grievances etc., but without work stoppages.

The Manifestations of individual and unorganized conflict: The manifestations are further divided on the basis of the party directly responsible for the conflict, into: Industrial conflict resulting from employee behavior, and Industrial conflict arising from management behaviour.

Industrial conflict resulting from employee behavior The first of these includes unorganized withholding of effort, intentional waste and inefficiency, high labor turnover, and absenteeism, complaints and grievances, violation of rules and regulations etc. On the other hand, industrial conflict results from management behavior of the following types Autocratic supervision and over strict discipline and penalties Unnecessary discriminatory firings, demotions, discharge and dismissals and Unofficial speedups, etc.

CAUSES OF INDUSTRIAL CONFLICTS

In Indian organizations conflicts have mainly been due to: A. Industrial factors, Terms of employment and condition of employment; Dismissal or non-employment of any person Registered agreements, settlement and awards; Demarcation of the function of an employee; Demand for higher wages according to rise in prices and living standard. Due to influx of educated class of employees there is self-consciousness of ones rights The trade union often failed to safeguards the interest of the workers due to rivalry, multiplicity and non-recognition as bargaining agent.

Compulsory adjudication, working on the basis of caste or community divides the workers and industrial conflicts may sets in. Union workers are working with ulterior motives.

B. Management attitude towards labour Management refusal to talk with the union representative in case of any dispute Management unwillingness to recognize union Even after recognition of the trade union leaders, the management dont delegate authority to their representative to settle the dispute Sometimes, favor of management by the trade union leaders enraged the workers. Managements insistence that they are the only authority for recruitment promotions etc. Management negative attitude to offer right benefits to the employees

C. Government Machinery Irrelevancy to meet the requirement of present industrial climate; Inability to understand the development of industrial promotion Non-implementation of the rules and regulations by employers and no action on the part of government. Improper functioning of conciliation machinery Non-provision of the number of officials as required for early settlements of industrial disputes. D. Other causes Affiliation of trade unions with different political parties created problems in settling the disputes. Political instability Rampant corruption etc.

Conflict as a source of strength and weakness in an organisation

As source of strength Conflict often serves for bringing out the problem that has previously been ignored out into the open since recognition of such problems is an essential force. Conflict encourages the consideration of new ideas and approaches. It facilitates innovation and change. The opposing factors said about the company may carefully monitor each others performance thereby enhancing efficiency. Conflict enhances group loyalty; it can increase motivation and performance with group or units. Conflict challenges people and encourage change.

Conflict as a source of weakness It generates negative feeling among the persons concerned and it can be stressful. It frequently interferes in the communication between individual and group or unit and in the way eliminates coordination between them. It deviates legal energy and performance in the basic goal in this case it can seriously interfere with organisational effectiveness. It increases the tendency of both sides to engage in negative stress typing. It has been found that conflict between groups often encourages their leader to shift from participating to authoritarian leadership.

RESULTS OF CONFLICT
Industrial conflict occurs when employees express their dissatisfaction with management over the current state of the management-employee relationship. The causes of such dissatisfaction are typically matters related to regular wage payment, wage increase or remunerations according to terms of the employment contract. Employees can express such dissatisfaction in formal or informal ways. Formal methods are organized and are planned in advance, while informal ones are spontaneous and unorganized, usually taking management by surprise. There are different types of formal and informal industrial conflicts.

Strike: A strike is the employees' temporary withdrawal of services, contrary to an employment contract. It is a formal form of industrial conflict that is usually organized by a trade union. (Trade unions are representatives of employment that ensure that employee working conditions and earnings are managed according to rule.) During typical strikes, trade unions ensure that there are no alternative means of getting the services that employees have refused to provide. A strike usually continues until management addresses the matter of dissatisfaction that caused it.

Work-to-rule: Work-to-rule, another form of formal industrial action, occurs when workers work strictly according to the legal terms of their contract. They deliberately refuse to make use of their initiative and act rigidly, like pre-programmed machines. For instance, a nurse may deliberately refuse to answer phone calls that are meant for doctors (since her terms of contract do not include phone-answering). A stenographer may ignore glaring grammatical errors in what her boss dictates to her (since, strictly speaking, her responsibility is merely to transcribe whatever her boss dictates to her). Since work-to-rule does not go against any formal terms of contract, it rarely brings punishment. However, it naturally slows down work progress.

Absenteeism: Absenteeism, an informal form of industrial conflict, occurs when employees deliberately refuse to report to their workplace. Absenteeism is not always a sign of industrial conflict, since employees can fail to report to work due to injury or illness, for instance. Thus industrial-conflict absenteeism merely increases the loss of productivity and revenue that an organization suffers due to failure of workers to report for duty due to reasons of personal incapacity that they cannot help, such as illness.

Sabotage: Sabotage, another form of informal industrial conflict, occurs when employees deliberately damage their organization's production or reputation. This could take the form of slowing down production, temporarily disabling machinery, direct destruction of organization's property or slandering the organization. Employers who engage in sabotage (saboteurs) usually hide their individual identities, but do not shy away from identifying themselves as a pressure group.

PREVENTION AND SETTLEMENT OF INDUSTRIAL DISPUTES

The following measures can be taken to avoid disputes in industry: Model Standing Orders: The purpose of these orders is to prescribe guidelines for regulating relations between employers and employees under the Industrial Employment (Standing Orders) Act 1946. These orders must be certified and displayed properly by the employer for the information of workers. The Central and State Govt. have framed model standing orders which can be adopted by any industrial establishment. Standing orders define and regulate terms and conditions of employment and bring about uniformity in them. These also specify the duties and responsibilities of both employers and employees and regulate standards of their conduct. Therefore, standing orders can be a good basis for maintaining harmonious relations between employers and employees. Code of Industrial Discipline: The Indian Labour Conference at its 15th session in 1957 involved a code of industrial discipline. The code voluntarily binds the employers and workers to settle all grievances and disputes by mutual negotiations, conciliation and voluntary arbitration. Works Committee: Under the Industrial Disputes Act, 1947, every establishment employing 100 or more workers is required to constitute a works committee. Such a committee consists of equal number of representatives of employer and workers. The main purpose of works committees is to provide measures for securing and preserving amity and good relations between the employer and employees. Work committees deal with matters of day to day functioning at the shop floor level. Joint Management Councils: These councils were set up in 1958 consequent upon the acceptance of socialistic pattern of society. These consist of equal representatives of management and workers. The council is to be consulted by management before introducing changes in the modes of production, production schedule, general administration problems, etc. Suggestion Schemes: Under this scheme, workers are invited and encouraged to offer suggestions for improving the working of the enterprise. A suggestion box is installed. Any worker can write his suggestions and put it into the box. Periodically all the suggestions are scrutinized by the Suggestion Committee. Good suggestions are accepted for implementation and suitable rewards are given to the concerned workers.

Tripartite Bodies: Several tripartite bodies have been constituted at Central and State levels. The Indian Labour Conference, Standing Labour Committees, Wage Boards and Industrial Committees operate at the Centre. All these bodies play an important role in reaching at agreements on various labour matters. All these bodies constitute the consultative machinery for the private sector.

Collective bargaining: It is a type of negotiation used by employees to work with their employers. During a collective bargaining period, workers' representatives approach the employer and attempt to negotiate a contract which both sides can agree with. Typical issues covered in a labor contract are hours, wages, benefits, working conditions, and the rules of the workplace. Once both sides have reached a contract that they find agreeable, it is signed and kept in place for a set period of time.

Conciliation and mediation: This is where the two parties in a dispute are brought together and suggestions made, as to how the dispute can be settled. Impartial third party helps the two parties to reach a mutually acceptable settlement. Conciliator meets parties separately or together to exchange information, clarify issues and settle misunderstanding.

Voluntary arbitration: It is he process in which the disputing parties show willingness to go to an arbitrator (a third party) and submit to his decision voluntarily. Adjudication: It is the process of settling disputes compulsorily through the intervention of a third party appointed by the Government.

BIBLIOGRAPHY P. Subba Roa-Essentials of HRM and Industrial Relations http://www.hrmba.blogspot.com http://www.scribd.com