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Industrial relations HRM
This document outlines the key concepts of industrial relations including definitions, parties involved, approaches, and causes of poor relations. It discusses the importance of industrial relations for uninterrupted production and high morale. The three main approaches - unitary, pluralistic, and Marxist - are described along with their underlying assumptions. A case study of labor issues and lack of union rights at Maruti Suzuki India's Manesar plant is also summarized.
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Industrial relations HRM
- 1.
- 2. PRESENTATION OUTLINE Meaningand concept Definition Parties to IR Importance Causes Approaches Suggestion Conclusion
- 3. MEANING AND CONCEPT “Industry” refers to “any productive activity in which an individual (or a group of individuals) is (are) engaged”. By “relations” we mean “the relationships that exist within the industry between the employer and his workmen.”
- 4. DEFINITION According toJ.T. Dunlop, “Industrial relations are the complex interrelations among managers, workers and agencies of the government”
- 5. Employer-Employee Relations Employee Associations Industrial Relations Employees Employers Government Courts& Tribunals Employer Associations TRADE UNION
- 6. IMPORTANCE Uninterrupted production Reduction in Industrial Disputes High morale Reduced Wastage
- 7. CAUSES OF POORINDUSTRIAL RELATIONS: Economic causes Organizational causes Social causes Psychological causes Political causes
- 8. APPROACHES OF IR There are mainly three approaches to IR 1. Unitary approach 2. Pluralistic Approach 3. Marxist Approach
- 9. UNITARY APPROACH Theunitary approach has following assumption- All the members have a common set of objectives, purposes and interests. The profitability of the firm increases if everyone in organization has the common interest n purpose. Strikes are destructive.
- 10. PLURALISTIC APPROACH Thepluralistic approach has following assumption- organization is an alliance of powerful and divergent sub-groups having different competing interests that are mediated by the management. During mediation, if the management pays less attention to the needs of the workers then they form unions in order to protect their interest and influence the management decision. it is based on the notion that the conflict between the management and the employees is inevitable and is viewed as instrumental in the innovation and growth.
- 11. MARXIST APPROACH TheMarxist approach has following assumption Conflict is regarded as the product of a capitalist society. This means that conflict arises not just because of the rift between the employee and the employer, but also because of the division in the society between Those who owns the means of production (capitalists) and the ones who have only labor to offer. The ultimate objective of the capitalists is to increase the productivity by paying possible minimum wages to the workers due to which the latter feels exploited.
- 12. SUGGESTIONS TO IMPROVE INDUSTRIALRELATIONS S o u n d personnel policies Participative management Responsible unions Employee welfare Grievance procedure Constructive attitude
- 13. CASE STUDY MARUTISUZUKI INDIA LIMITED (MSIL) In July 2012, dozens of workers of the Manesar plant of the car company Maruti Suzuki India Limited (MSIL) – located in the State of Haryana in northern India – were dismissed and detained without charge because they were exercising their right to association and affiliation to a trade union of their choice. Workers’ rights and trade union rights, including the right to freedom of association, the right to collective bargaining and the right to equal pay for equal work, are not respected by the management of MSIL
- 14. WORKERS AT MSIL-MANESARHAD CONSISTENTLY RAISED WITH MANAGEMENT ISSUES RELATED TO WORKING CONDITIONS AND RESPECT OF LABOUR LAW, INCLUDING:− The physical and psychological strain associated with having to produce one car approximately every 45 seconds. The lack of adequate rest time for meals and bathroom breaks. A wage structure where up to half of monthly pay is based on productivity and other subjective factors (for instance, taking a sick day will cost workers a quarter of this discretionary pay). An average of two hours of unpaid overtime a day.
- 15. On 18July 2012, following two months of MSIL’s refusal to bargain with the MSWU, a supervisor abused a worker in casteist terms while raising a production- related issue. The worker involved was immediately suspended. The Union protested and demanded the withdrawal of the suspension, or that both the worker and the supervisor should be suspended. While negotiations where taking place between the union and the management, suddenly violence broke out at the MSIL-Manesar facility Many managers, workers and police officers were badly hurt in the violence.
- 16. 147 MarutiSuzuki workers have been arrested in the wake of industrial violence at the Manesar facility on 18 July 2012. At present they remain in detention without charges or bail; many have been subjected to beatings and torture. The situation todayThe MSWU Provisional Committee has also described a large number of police inside the MSIL-Manesar facility. This is a concern: a highly visible and intrusive police presence creates a climate of fear that is not conducive to workers associating and assembling freely
- 17. CONCLUSION Industrial relationshas become one of the most delicate and complex problems of modern industrial society. Industrial progress is impossible without cooperation of labors and harmonious relationships. Industrial relation encompasses all such factors that influence behavior of people at work. Industrial Relations is also needed for achieving the democracy by allowing worker to take part in management, which helps to protect human rights of individual.