Grievance Handling

Learning Objective
Meaning of Grievance
Role of Grievance System in UnionManagement Relations
Importance of Grievance Redressal
System

Definition
Dissatisfaction : arises when an Definition
individual is not happy in his job & when the
organization does not recognize the individuals
goals.
Complaint : when an individual discusses his
dissatisfaction with other employees it becomes
complaint.
Grievance : is a sign of an employees discontent,
either with the job or the organization.
Conflict :Grievances lead to conflict if there is
incompatibility in the goals & expectations of the
management, those of the employee & of the union

Grievance
A sense of injustice
Alleged violation of the labour
agreement
A complaint brought to the notice of
the management

Expressed & Unexpressed

Grievances
Unexpressed
Felt

but not communicated to Management

Expressed
Felt

The

and communicated to management

unexpressed grievances are most

dangerous.
The grievance handling procedure must
ensure to minimise percentage of
unexpressed grievances.

Need For a grievance Procedure

To create a healthy working climate
To provide a vent to employee frustration
Medium for upward communication
To ensure smooth functioning of the organization
The very fact that the employees have a right to be
heard and are actually heard helps to improve
morale

Need for Grievance Redressal System

Absence of the system may lead to industrial
unrest.
If employee is not happy in the first level
settlement he can go to 2nd level.
Keeps a check on arbitrary actions & controls
biased decisions.
Helps in upward communication.
Previous knowledge & experience can help
management while formulating plans for
expression.
Helps in maintaining harmonious industrial
relations

Grievance Redressal Procedure

National Commission of Labor suggested a 6 - stage model procedure
for grievance redressal
I Stage Conveys Grievance to 1st Level of Superior Decision in
48 hrs.
II Stage 2nd Level of Superior Decision in 3 days
III Stage Grievance Committee - Decision in 7 days.
IV Stage Employee & the department representative appeal to
the management to review its decision - Decision in 7 days
V Stage Penultimate Stage Union discusses the issue & tries to
bring settlement between employee & management. Decision in 7
days
VI Stage Settlement Stage Voluntary arbitration with help of 3rd
party. Decision in 7 days.

Pre-requisites of Effective
grievance Redressal system
Prompt
Should

not just be for record sake

Grievance heard is half solved
Encourage the employees to express
Tier system for Redressal
Communication is of vital significance
Developing mutual trust and faith

Grievance settlement for

nonunion employees
Normally

limited number of workers

Open-Door

policy

Ombudsman
Labour

courts

Grievance settlement for

Unionised employees
Design

the system in consultation

with Unions
Multi tier time bound approach

Grievance Redressal system in Unionized

companies
Grievance Redressal System in Non -unionized
Companies like Wipro, Infosys, etc.
Legislative aspects of Grievance Redressal
Procedure
Industrial Employment (Standing Orders ) Act,
1946 .
- Indian Labour Conference,1957 guiding code of
discipline.
Legislative aspect of grievance handling
Industrial employment (Standing) Act,1946

Conflict
Resolution
7 different ways people respond to resolve conflict
Avoidance :Less dominant party withdraws from conflict
Accommodating : Differences are sorted out as the parties
consider the importance of organizations performance.
Win/Lose : One party takes an upper hand
Arbitration : Outside party resolves conflict & issues a final
decision on the conflict.
Mediation : Mediator helps the 2 parties reach conciliation &
reach settlement.
Compromising : Bargaining is done to arrive at an intermediate
acceptable position.
Problem Solving : An open exchange of information takes place
so that differences between both the parties can be resolved to
achieve win win situation.

Summar
y
A grievance is a sign of an employees
discontentment with job or his relationship
with others.
Effective Grievance Redressal Systems
importance.
Open door policy.
Model Grievance Procedure.
Conflict resolution by 7 different methods