INDUSTRIAL RELATON
Concept of Industrial Relations (IR)
The term “Industrial Relations (IR)” is also known as “labor Management Relations” or “labor relations”. The term comprises two terms:
- Industry: It refers to “any productive activity in which an individual or a group of individuals is are engaged”.
- Relations: It means “The relationships that exist within the industry between the employer and his workmen”.
Definition of Industrial Relations
International Labour Organization (ILO) Defines__ ” Industrial Relations deal with either the relationship between the state and employers and workers organizations or the relation between the occupational organizations themselves”.
According to Dale Yoder__” Industrial Relation is a relationship between management and employees or among employees and their organization that characterize and grow out of employment”.
According to Armstrong __” IR is concerned with the systems and procedures used by unions and employers to determine the reward for effort and other conditions of employment, to protect the interests of the employed and their employers, and to regulate how employers treat their employees”
It important problem for the success of a firm. The term industrial relations refers to the whole field of relationships that exists because of the necessary collaboration of men and women in the employment process of modern industry.
Characteristics Of Industrial Relations
1. Dynamic and Developing Concept: The concept of “Industrial Relations” is dynamic and developing. It is described as a relationship between employers and management of the enterprise and the employees or among employees and their organizations or Employers, Employees, and their trade unions and the government.
2. It is a set of functional: Industrial relations do not constitute a simple relationship, but they are a set of functional, inter-dependent complexities involving various factors or various variables such as economic, political, social, psychological, legal factors, or variables.
3. Employee-employers relationship: Without the existence of the minimum two parties, the industrial relationship cannot exist such as :
- Workers and their organizations.
- Employers or management of the enterprise.
- The government is the three participants or parties in industrial relations.
4. It is a product: Industrial relations are the product of economic, social, and political systems arising out of employment in the industrial field.
5. Development of healthy labor-management: The important purpose of industrial relations is the development of healthy labor-management or employee-employer relations, maintenance of industrial peace, avoidance of industrial strife, development, and growth of industrial democracy, etc.
Participants in Industrial Relations
There are three participants in industrial relations. They are:
- Employer and their Associations: Employer plays an important role in industrial relations. He hires the employees, pays them wages, provides allowances, regulates the working relations through various rules, regulations, and laws, and at the same time expects the workers to follow them. The bargaining power of the employers is weakened in comparison to that of trade unions, though they have high bargaining power when compared to that of employees. So, they form associations to equate their bargaining power with the trade union, and these associations protect the employer by putting pressure on government and trade unions.
- Workers and their Associations: Workers plays a crucial role in industrial relation. The worker as a whole includes his working age, Educational background, Social and family background, Psychological traits, Talents, Skills, Culture, and Attitude toward others’ work. Workers form into their associations called “Trade Unions” to get their problems solved. The trade unions work for workers’ economic interests through collective bargaining by bringing pressure on the management through economic and political strategies.
- Government: Government plays a balancing role in industrial relations. The government has its influence on industrial relations through industrial relations policy, Labour policy, Labour law implementation, and Acting as a mediator in the process of conciliation and adjudication. The government regulates the behavior of both the employer association and workers’ organizations.
Objectives of Industrial Relation
- Enhance status.
- Regulate Production.
- Occupational instability.
- Poor Organizational Climate.
- Good Relations among employees.
- Increase productivity.
- Enhance Social responsibility.
- Improvement of economic conditions of workers.
- To extend and maintain industrial democracy.
- To avoid industrial conflict.
- Uninterrupted production.
Importance of Industrial Relation
- Reduction in Industrial Disputes: It reduces industrial disputes. Disputes are reflections of the failure of basic human urges or motivations to secure adequate satisfaction or expression which are fully cured by good relations. Strikes, Lockouts, Go-slow tactics, and grievances are some of the reflections of industrial unrest that do not spring up in an atmosphere of industrial peace.
- Uninterrupted production: It means, continuous employment for all from managers to workers. The resources are fully utilized, resulting in the maximum possible production. There is an uninterrupted flow of income for all. The smooth running of the industry is of vital importance for several other industries.
- Promote Industrial Democracy: Industrial democracy means the government-mandated worker participation at various levels of the organization in decisions that affect workers. It is mainly the joint consultations, That pave the way for industrial democracy and cement the relationship between workers and management.
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