Workers Participation in Management

The term Participation means Sharing the decision making power with the lower ranks of the organization in an appropriate manner. Participation has a unique motivational power and a great psychological value. It promotes harmony and peace between workers and management.

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The concept of WPM is broad and complex one. It has been define as, the participation resulting from practices which increases the scope for employees share of influence in decision- making at different tiers of organizational hierarchy with related responsibility.

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Workers participation may be viewed as: An instrument for increasing the efficiency of enterprises and establishing harmonious industrial relations. A device for promoting solidatory among workers and for tapping human talents. A means for achieving industrial peace and harmony which leads to higher productivity and increased production.

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A humanitarian act, elevating the status of a worker in the society An ideological way of developing self management promoting industrial democracy. ***********

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The term Workers participation in management is interpreted in four different ways: 1. It is a way of sharing information with workers. Management keeps the workers informed about what is going on within the organization whereas the final decisions are taken by the management. 2. It is joint consultation prior to decision making. Workers are taken into confidence ,invited to share the information, participate in discussions ,suggest alternatives etc. 3. WPM means active involvement of workers ,where they are treated as members of a decision making team with equal voting rights. 4. Workers participation may involve workers in all strategic, policy and operational issues, treating them as active members or even partners with equal voting rights

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The major objectives of the scheme of workers participation are:
a) To improve the quality of working life by allowing greater influence and involvement in work and the satisfaction obtained from work and b) To secure the mutual cooperation of employees and employers in achieving industrial peace ,greater efficiency and productivity in the interest of the enterprise, the workers, the consumers and the nation.

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Informative participation- it refers to sharing of information with workers regarding economic position of the firms, state of the market, production and sales etc. Consultative participation This involves a higher degree of sharing of views of the workers, about workplace, working conditions Associative participation- Here the management is under a moral obligation to accept and implement the unanimous decision .

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Administrative participation- Here there is a greater degree of sharing authority and responsibility of managerial work, allowing workers a little more autonomy in exercising administrative and supervisory powers in respect of welfare, safety, benefits, rewards etc. Decisive participation- This is the highest form of participation where decisions are taken jointly on matters relating to production, safety, welfare etc.

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Forms of participation: 1. Works Committees(1947) 2. Joint Management Councils(1958) 3. Workers representatives on the board of management(1970) 4. Shop and joint Councils(1975 and 1977)

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Works committees (1947)- workers committees as a scheme of workers participation in management consist of representatives of employers and employees. It includes the membership of 100 or more workmen. Function: This committees which are also known as joint committees are consultative bodies. Their function include discussion of conditions of work, promote measures for securing and maintaining healthy relation between employers and workmen, comment upon matters of their common interest and also to reconcile any material difference of opinion in respect of such matters. Structure:

Structure includes office bearer, a President, a vice President, a Secretary and a Joint Secretary. The President act as a nominee of the employer and the Vice President is the workers representatives. The tenure of these bodies is two years and the total strength of these bodies should not exceed more than 20.
The employees representatives has to be choosen by the employees only.

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Joint Management Councils
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This consists of representatives of workers and Management. The Government of India deputed a study group to study the schemes of workers participation in countries like UK, France, Belgium and Yugoslavia. The report of the study group was considered by the Indian Labour Conference (ILC) in its 15th Session in 1957 and it made certain recommendations: a. Workers Participation in Management schemes should be set up in selected undertakings on a voluntary basis. b. A sub- committee consisting of representatives of employers, workers and government should be set up for considering the details of workers participation in management schemes. This committee should select the undertakings where workers participation in management would be introduced on the experimental basis.

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Objectives: 1. To increase the association of employers and employees , thereby promoting cordial industrial relations 2. To improve the operational efficiency of the workers, 3. To provide welfare facilities to them 4. To educate workers so that they are well prepare to participate in these schemes 5. To satisfy the psychological needs of workers. A tripartite sub-committee was set up as per the recommendation of ILC which laid down certain criteria for selection of enterprises where the JMC s could be introduced. They are: 1. The unit must have 500 or more employees 2. It should have a fair record of industrial relations 3. It should have a well organized trade union

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The management and the workers should agree to establish JMCs. Trade union should be affiliated to one of the central federations. Functions: A) To be consulted on matters like standing orders, retrenchment,closure,reduction of operations etc. B) To receive information to discuss and offer suggestions C) To shoulder administrative responsibilities like maintaining welfare measures, safety measures, training schemes, working hours, payment of rewards.

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Workers Representative on the board of Management:(1970)
Following the recommendations of Administrative Reforms Commission the Government has accepted that representatives of workers be taken on the Board Of Directors of Public Sector Undertakings. The workers directors are elected by all the workers of the company through secret ballot .This scheme requires verification of trade union membership, identification of the representative union and the selection of a worker director who is chosen out of a panel of three names furnished to the government by the representative union within the prescribed period .

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Shop and joint council(1975 and 1977) The 1975 scheme has come into existence after the Emergency was declared in June 1975. ************