EMERGING TRENDS IN IR

Aniket Pandey BBA(LLB) Corparate laws University of Petroleum Studies Dehradun

INDUSTRIAL RELATIONS
Industrial Relation is a relation between employer and employees, employees and employees and employees and trade unions. Industrial disputes act 1947 The Industrial Relation relations also called as labor - management, employee-employers relations.

ASPECTS OF IR
LABOR RELATIONS
EMPLOYEREMPLOYEES RELATIONSHIPS PROMOTIONS AND DEVELOPMENT OF HEALTH SAFETY GROUP RELATIONS

COMMUNITY

MAINTAINENCE OF INDUSTRIAL PEACE AND INDUSTRIAL STRIFE

DEVELOPMENT OF TRUE INDUSTRIAL DEMOCRACY

OBJECTIVES OF IR
To safeguard the interest of labor and management To avoid industrial conflicts To raise productivity

Expand industrial democracy To eliminate lockouts ,strikes etc..

Government interference Improvement of economic conditions of workers Rationalizing industries Vesting of proprietary interest of the workers

Justice S.K Das, workmen of Dimakuchi tea estate v Dimakuch tea estate: promotion of measures for securing and preserving amity and good relations between employer and workmen. An investigations and settlement of industrial distputes between employers and employers,employers and workemen or workmens,with a right of representation by registered trade unionsor a federation of trade unions or an association of employers or a federation or association of employers

 preventions of illegal strikes and lock-outs

Relief to workmen in the matter of lay-off and retrenchment. Collective bargaining

 Justice krishna iyer in life insurance corporation of india v D.J Bhadur: the industrial disputes act is a benign measure which seeks to pre empt industrial tensions, provide the mechanics of dispute resolutions and set up the infrastructure so that the energies of partners in production may not be dissipated in counter-productive battles and assurance of industrial justice may create a climate of goodwill .

IMPORTANCE OF IR
UNINTTERUPTED PRODUCTION REDUCTION IN INDUSTRIAL DISPUTES

HIGH MORALE

MENTAL REVOLUTION

NEW PROGRAMMES

REDUCE WASTAGE

FACTORS OF IR
NEGOTIAT ION SKILLS HISTORY SOCIAL OFF OF AND ECONO PUBLIC NATURE AND THE ENLIGHTE OF INDUSTR MIC ATTITUDE POLICY BETTER D TRADE PSYCHOL JOB SATISFA LEGISLA EDUCATION INDUST IAL S OF OGICAL CONDIT UNIONS RY RELATIO CTION MANAGE TION FACTOTS IONS MENT NS AND WORKERS

FUNCTIONS OF IR
Administration, including overall organization,
supervision and co-ordination of industrial relations policies and programmes. Liaison with outside groups and personnel departments as well as with various cadres of the management staff.

The drafting of regulations, rules, laws or orders and their construction and interpretation.

Position classification, including overall direction of job analysis, salary and wage administration, wage survey and pay schedules. Recruitment and employment of workers and other staff. Employment testing, including intelligence tests, mechanical aptitude tests and achievement tests. Placement, including induction and assignment. Training of apprentices, production workers, foremen and executives.

 Employee counseling on all types of personnel problems-educational, vocational, health or behavior problems. Medical and health services. Safety services, including first aid training. Group activities, including group health insurance, housing, cafeterial programmes and social clubs. Suggestion plans and their uses in labor, management and production committees. Employee relations, specially collective bargaining with representatives and settling grievances.

 Public relations. Research in occupational trends and employee attitudes, and analysis of labor turnover. Employee records for all purposes. Control of operation surveys, fiscal research and analysis. Benefit, retirement and pension programmes.

FUNCTIONAL REQUIREMENTS FOR A SUCCESSFUL IR PROGRAMM

TOP LEVEL MANAGEMENT SOUND PERSONNEL POLICIES

ADEQUETE PRACTICE SHOULD BE DEVELOPED BY PROFESSIONALS DETAILED SUPERVISORY TRAINING

FOLLOW-UP RESULTS

EFFECTS OF POOR IR
Multiplier effects MULTIPLIER EFFECT Fall in normal tempo Resistance of change frustration FALL IN NORMAL TEMPO and social cost

RESITANCE OF CHANGE FRUSTRATION AND SOCIAL COST

EMERGING TRENDS IN IR
Competition on the basis of cheap leabor Disinvestment Deregulation New actors and the emerging dynamics Pro labor and pro investor policies Declining TU density Workers militancy replaced by employers militancy Industrial conflicts

Collective bargainings

COMPETITION ON THE BASIS OF CHEAP LABOUR

Globalization and increased competition has lead to less strikes, lockouts and less man days lost due to strikes. Also now in the era of knowledge industry employees are educated and thus dont believe in violent activities. They are having responsibilities in cut throat competition and also are aware of their rights well leading to decline in strikes. Employers also avoid lockouts because decline in production for even hours results in heavy losses so forget about days or weeks.

DISINVESTMENT
It changes ownership, which may bring out
changes not only in work org and employment but also in trade union (TU)dynamics. It changes the work organization by necessitating retaining and redeployment. It affects the right of workers and Trade unions, including job/union security, income security, and social security.

DEREGULATION
it is tried to ensure that pubic sector/ government employees receive similar protection as is provided in public/government employment. The worst affected are the pension provisions. this means, usually a reduction in pension benefits and an uncertainty concerning future provision of pension benefit due to: The absence of government guarantees Falling interest rates X Investment of pension funds in stock markets

Earlier IR was mainly concerned with Trade unions, mgt and government but now consumers and the community are also a part of it. When the rights of consumers and community are affected, the rights of workers and unions and managers / employers take a back seat. Hence there is ban on bandh and restrictions even on protests and dharnas. Increasingly Trade unions are getting isolated and see a future for them only by aligning themselves with the interests of the wider society.

NEW ACTORS AND EMERGING DYNAMICS

PRO-LABOUR PRO INVESTOR POLICIES

This leads to decline in strength and power of Trade unions if not in numbers. Unions have to make alliances with the society, consumers and community and various civil society institutions otherwise they will find themselves dwindling.

DECLINING TU DENSITY

In government and public sectors workforce is declining because of non-filling of vacancies and introduction of voluntary / early separation schemes. New employment opportunities are shrinking in these sectors. In the private sectors particularly in service and software sector, the new, young, and female workers are generally less eager to join unions.

Workers militancy replaced by employer militancy

DUE TO INDUSTRIAL CONFLICT

In 1980-81 man days lost = 402.1 million In 1990-91 man days lost = 210 million Not because of improved IR but because of the fear of job security, concern about the futility of strikes, and concern to survive their organization for their income survival. Trade unions have become defensive evident from the fact that there is significant shift from strikes to law suits. Instead of pressing for higher wages and improved benefits, Trade unions are pressing for maintenance of existing benefits and protection and claims over non-payment of agreed wages and benefits.

COLLECTIVE BARGAINING
Collective bargaining is a process of negotiations between employers and the representatives of a unit of employees aimed at reaching agreements which regulate working conditions. Total number of strikes and lockout have declined since 2000-04 In 2003 it was 552 and in 2004 it went down to 477. As regards women working on night shifts, The Factories (Amendment) Bill 2005, was under consideration to provide them flexibility and safety. Also, to simplify the procedure for managements to maintain registers and filing returns, an amendment of Labour Laws (Exemption from Furnishing returns and maintaining Registers by Certain Establishments) Act 1988, was under consideration.

YEARS

NUMBER STRIKES

MANDAYS LOST STRIKES IN MILLIONS 6.7

NUMBER LOCKOUTS

MANDAYS LOST LOCKOUTS IN MILLIONS 14.3

TOTAL NUMBER

TOTAL NUMBER OF MANDAYS LOST 21.0

1994

808

393

1201

1995

732

5.7

334

10.6

1066

16.3

1996

762

7.8

403

12.5

1166

20.3

1997

793

6.3

512

10.7

1305

17.0

A. Both management and unions should develop constructive attitudes towards each other B. All basic policies and procedures relating to Industrial Relation should be clear to everybody in the organization and to the union leader. The personnel manager must make certain that line people will understand and agree with these policies. C. The personnel manager should remove any distrust by convincing the union of the companys integrity and his own sincerity and honesty. Suspicious, rumors and doubts should all be put to rest.

SUGGESTIONS TO IMPROVE IR

D. The personnel manager should not vie with the union

to gain workersloyal to both the organization. Several research studies also confirm the idea of dual allegiance. There is strong evidence to discard the belief that one can owe allegiance to one group only. E. Management should encourage right kind of union leadership. While it is not for the management to interfere with union activities, or choose the union leadership, its action and attitude will go a long way towards developing the right kind of union leadership. Management gets the union it deserves is not just an empty phrase

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