IR - Contextual and Cosntitutionala Frameworks MT

7/28/2019 IR - Contextual and Cosntitutionala Frameworks MT

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Industrial Relations

Contextual and Constitutional

Frameworks


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The Contextual Framework

IR is a designation of a whole field of relationships thatexist because of the necessary collaboration of menand women in the employment process of industry.

- Dale YonderIt is not the cause but an effect of social, political and

economic forces

It has two faces, like a coin, cooperation and conflict.

Relationship between labour and management isbased on mutual adjustment on interests and goals,because labour and capital constantly strive tomaximise their preferred values by applying

resources to institutions.


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Major Issues involved in the IR Process are:

Terms of Employment : Wages, DA, Bonus,Fringe Benefits

Working Conditions : leave, working hours,health, safety and welfare

Non-employment : job security, manning andemployment impact of work changes

Personnel issues : discipline, promotionalopportunities

Others : Recognition of Trade UnionsUnorganized Labour in India has many

disadvantages in bargaining position

- States intervention and industrial peace


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B. Emergence of IR Problem: The loss ofworkers individuality and the impersonality arefactors which, among others, aggravatelabour-management relations

C. The Dimensions of the Problem

- Dominance of Agriculture in India

D. Industrial unrest and work stoppages

E. Unemployment and Under-Employment asBarriers to improving IR

F. Other Difficulties in Healthy Growth of IRthro Labour Law Policy: Low Wages,Ignorance and Illiteracy, Heterogeneity,

Absenteeism, Women Workers, Child Labour.


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Community Prescriptions

Initially began to strengthen bargainingposition of the workers TU Act, 1926

protects workmen from criminal conspiracy,

civil conspiracy and restraint of trade confers

upon them certain right ID Act, 1947 to

protect community interest by regulating IDs

IE(SO) Act, 1946 makes employers to define

with sufficient precision the conditions ofemployment and make them known to the

workers.


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Constitutional Framework and IR

A. The Policy: On 26.11.1949 it was resolved toconstitute India into a Sovereign, Socialist,

Secular Democratic Republic and to secure to

all its citizens: Justice; social, economic andpolitical Liberty of thought, expression, belief,

faith and worship Equality of status and

opportunity and to promote among them all:

fraternity assuring the dignity of the individual

and the unity and integrity of the Nation.


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The State was directed to strive to secure (a) anadequate means of livelihood; (b) the properdistribution of ownership and control of the

material resources of the community so that itmay subserve the common need; (c) theprevention of the concentration of wealth andmeans of production; (d) equal pay for equal

work for men and women; (e) the health andstrength of workers; (f) right to work, toeducation and to public assistance in cases of

undeserved want; (g) just and humaneconditions of work and for maternity relief; (h)living wage and decent std of life of labourers;(i) the participation of workers in management


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B. Constitutional Guarantee:Article 14

provides that the state shall not deny to any

person equality before the law or the equalprotection of the laws within the territory of

India Art 16 guarantees equality of

opportunity in matters of public employment

Art 19 guarantees the right to freedom of

speech and expression, to assemble

peacefully and without arms, to form

associations or unions, to acquire, hold anddispose of property and to practise any

profession, or to carry on any occupations,

trade or business.


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Under Article 32 Public Interest Litigation can

be entertained from the public who represents

the cause of others who cannot afford toapproach court

Writ is maintainable for mere violation of labour

laws where there is no breach of any

fundamental right.

Prohibition of Traffic in Human Beings and

Forced Labour

(Audi alterem partem)


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Distribution of Law Making Power:

Union List : List I

Item 13: Participation in internationalconferences, associations and other bodies &

implementation of decisions made thereat.

Item 55: Regulation of labour and safety inmines and oil fields

Item 61: Industrial disputes concerning union

employees.Item 94: Inquires, surveys and statistics for

purposes of any of the matters in the List.

C t Li t Li t III


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Concurrent List: List III:

Item 20 : Economic and Social Planning

Item 22: Trade unions; industrial and labour disputes

Item 23: Social security and social insurance;employment and unemployment

Item 24: Welfare of labour including conditions ofwork, provident fund, employers liability, workmenscompensation, invalidity and old age pension and

maternity benefitsItem 25: Vocational and technical training of labour

Item 36: Factories

Item 37: Boilers

Item 43: Inquiries and statistics for the purposes ofany of the matters specified in List II or List III

State List: List II

Item 9: Relief of the disabled and unemployable.


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National Commission on Labour & Industrial

Law

GOI set up first NCL in Dec 1966 to undertake

comprehensive review of Labour Law. In the

sphere of IR it made following

recommendations:

1. A beginning to be made in the move towards

collective bargaining by declaring that it will

acquire primacy in the procedure of settling

disputes statutory recognition ofrepresentative union as the bargaining agent

place of strike/lockout in the overall scheme

of IR to be defined


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2. With the growth of collective bargaining, the ground

will be cleared for wider acceptance of voluntary

arbitration

3. Desirable to make recognition compulsory under acentral law in all undertaking employing 100 or more

workers 30% of membership is eligible criterion for

a union to seek recognition as bargaining agent in

an establishment 25% in industry in a local areaNational/State IR Commission (IRC) will have the

power to decide the rep character of union

4. The main functions of the National/State IRCs willbe (a) adjudication in industrial disputes, (b)

conciliation and (c) certification of unions as

representative unions


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5. In essential industries/services, when

collective bargaining fails and when the

parties to the dispute do not agree to

arbitration, the IRC shall adjudicate upon thedisputes and its award shall be final and

binding.

On 11.1.99 GOI announced its decision to setup the second National Commission on labour

to make suggestions to rationalize laws for

workers in the organized sector andrecommend an umbrella law to protect

labour in Unorganized employments.


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Approaches to IR

1. Systems Approach : John Dunlopconsiders IR as a distinctive sub-system of

society casting of 3 principal actors:

managers, workers and government

agencies the interactions among the

actors are influenced by several forces in

the environment, the most important among

them being technology, marketand powerpositions.


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2. Plural ist App roach :Associated with

Flanders, Clegg and Fox the essence of this

approach is that every industrial organization

is a coalition of various conflicting interestgroups such as employees, shareholders,

consumers, the community, the government

and so on. the problem of management inthis situation is to controland balance the

activities of various groups which is not when

we regard IR as essentially stable andcohesive.


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3. Marxist App roach:Represented by Hyman

and others this holds that to define IR

exclusively in terms of rules and regulations

(as the other two approaches do) is far toorestrictive. conflict can never be held in

check unless capital accepts that labour has a

right to an equal share in power it would bemore appropriate to define IRs as the study of

processes of control over work relations. IR

is about who controls, what, how and why.


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Conditions for Good IR

History of IR in the organization Economic Satisfaction of Workers

Social and psychological satisfaction of workers

Off-the-job conditions of workers Enlightened and responsible labour unions

Negotiating skills and attitudes of managementand workers

Public Policy and legislation

Education of workers

Nature of industry and business cycles.


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Causes of Poor IR

Uninteresting Nature of work

Political nature of Unions

Poor wages

Occupational Instability

Poor Behavioural climate


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Effects of Poor IR

Multiplier Effect

Fall in Normal Tempo

Resistance to Change Frustration and Social Cost


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Suggestion to Improve IR1. Both management and union should develop

constructive attitudes towards each other

2. All basic policies and procedures relating to IRshould be clear to everybody in the organizationand to the union leaders

3. The personnel manager should remove any distrust

by convincing the union of the companys integrityand his own sincerity and honesty

4. The personnel manager should not vie with theunion to gain workers loyalty. He should not try to

wean them away from the union5. Management should encourage right kind of unionleadership

6. After the settlement is reached the agreementshould be properly administered

HRD/OD I t ti


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HRD/OD Interventions

IR Problem Intervention

Alienation of Employees -Training

-Work Redesign

-Job Enrichment

Problem of Discipline -Counseling

-Review of Disciplinary

Machinery

-TrainingLack of Knowledge about

roles, regulations

-Training

-Ensuring Effective

Communication


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Delay in personnel decision

making

-Research for identifying

the causes of delay

-Reorganization of

personnel functions

Mistrust between

management and union

-Survey research

-Information sharing

-Union-management

interface

Lack of collaboration -Collaborative projects (e.g.

employee welare/educationetc.)

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IR - Contextual and Cosntitutionala Frameworks MT

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