Documenti di Didattica
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Documenti di Cultura
OF INDUSTRIAL
RELATON SYSTEM IN
INDIA
GROUP MEMBERS
NAME ROLL NO
SAGNIK MUKHERJEE 79
PRATIK LAHIRI 63
RUPAM MAZUMDER 75
RIMJHIM BARUAH 70
Characteristics of IR in India
• Employer/Management in Retrospect and Historically used to consider Trade
Unions as a necessary evil of the Industrial System
• The trade union perceive their main task is to challenge and oppose decisios of
employer/mangement
• Trade unions are poorly organised in the country
• The parties are largely in disagreement over the cope of collective bargaining
and various issues to their negotiation process
• Bargaining between employers and unions is very much centralized
• The employers are highly organized
• The Indian Industrial Relations is changing over time
Evolution of IR in India
First Phase ( 1947-66; 1st & 2nd five-year plans):
• Import-Substitution Industrialization
• National Capitalism
• Formation of large employment-intensive public enterprises
• Largely centralized bargaining with static real wages.
• Relative industrial peace
• Growth of public sector unionism.
• Government controlled & regulated IR.
Laws related to Industrial Relations Laws related to Equality and Empowerment of Women
The Trade Unions Act, 1926 The Maternity Benefit Act, 1961
The Trade Unions (Amendments) Act, 2001 The Equal Remuneration Act, 1976
The Industrial Employment Act, 1946
The Industrial Disputes Act, 1947
• During this period many ad hoc unions disappeared and several large and medium sized unions came into
1919- existence.
• India’s first central organisation of labour, the AITUC was set up in 1920
1923
• This period saw the rise of Left-wing Trade unions as the political situation in India was favourable for the
reception of Communist ideology.
1924-
1935 • Number of Acts like Mines Act,Trade Unions Act,Workmen’s Compensation Act were passed
• There was phenomenal increase in the number of trade unions and their members due to the passing of
1936- the Government of India Act which gave increased representation of labour in the Legislative Assemblies.
1939
• Second World War started in 1939 and it led to a rift in AITUC leadership wherein many leaders in AITUC
1940- wanted to form a seperate Union thus giving rise to INTUC in May 1947
1946
• There was large-scale unionisation of white-collar workers whereby white collar workers joined the
already existing unions of blue-collar workers.
After
• National Commission on Labour was set up in 1966.
1947
Case Study : Heavy Engineering Corporation
• This case represented a typical problem on the crucial issue of recognition and the inadequacy of
legal provisions on recognition
Summary
Summary
• Initially there was a single union, BHEL Employees‟ Association affiliated to the INTUC\
• A union representative was elected and all the elected persons formed the union executive
• A split occured in the union and by 1986 six unions emerged in the plant and it was decided
that the voting became based on the maximum numer of votes for a union
• A year later INTUC split causing major problems and the recognised union was reduced to
less then the majority, but still INTUC refused to concede
• The AITUC was joined by other non-recognised unions in feelings of frustration at the
management‟s refual to listen to their grievances, who appeared to discuss issues with the
INTUC union
• The execcutive‟s association organise a meeting of all unions but the INTUC unions refused
to attend and claimed that the executives couldnot enforce discipline because of their
corruption
• Althogh the association got some recognition form the top management, the feelings of
frustration and insecurity continued to haunt the managers
Collective Bargaining
What is Collective Bargaining
• a method by which problem of wages and conditions of employment are resolved peacefully and
voluntarily between labour and management
• a process of bargaining between the employers and their workers by which they settle their disputes
among themselves relating to employment or non-employment or terms of employment or conditions
of labour of the workmen
Industrial Disputes
Primary Secondary
Economics
Employers‟s Association Lock Out Termination of Service
General
Stay-in
Slow down
Percentage Distribution of Industrial Disputes by Causes
35
30
25
20
15 1963
1973
10 1983
1991
5 1992
0
Case Study : Reliance Industries
• This case study depicts that how a single and simple decision can create an
foreseen reaction in the company
Summary
• The company‟s leading organiser was transferred from the regional office
to company‟s godown
• As a result the workers get very agitated and were pressurized to resign
• The union protested and the dispute thus raised was referred to conciliation
• After several meetings and reference to the indsutrial tribunals, the
problems was solved with the intervention of the Labour Secretary and Ministry
of State for Labour
Employee Grievances
• A grievance means any sort of discontentment
or dissatisfaction arising in an employee related
to the enterprise where he is working. It
happens when an employee feels something
that has happened or is going to happen is
unfair,unjust or inequitable.
Case Study : Indian Oil Corporation
• This case revealed that politicalisation was a result more of an abdiction of responsibility by the
management in the matter of industrial relations
Summary
• The first recognised union demanded and signed an agreement with the
management for payment of bonus based on profits and was not affiliated to
any central organisations
• The dismissed employees formed another union affiliating to CITU, demanded
reognition form the management, which was refused
• Elections were conducted, indicating the majority for the first union, but the
second union claimed that the results were manipulated
• Following this, several troubles and agitations broke out again and the first
union changes its affiliation form AITUC to INTUC
• The managemnt agreed to secret ballot elections once again but the corruption
and collusion with agencies, serious violations of the promotion policy were in the
list of grievances.
Worker’s Participation in Management
• Workers Participation in Management is a system
of communication and consultation, either formal
or informal, by which employees of an
organisation are kept informed about the affairs
of the undertaking and through which they
express their opinion and contribute to
management decisions.
• It is distribution of social power in industry so
that it tends to be shared among all who are
engaged in the work rather than concentrated in
the hands of minority.
Case Study : Fertilizers and Chemicals Travancore Ltd.
• This case reveals that how several enterprises inroduced suggestions‟ schemes or minor
consultation with the unions and held these up as examples of participative cultute
Summary
• The managers were easily accessible to employees and discussions were held
with them without any formal agreements
• The management decided to open up organisational system, conducting
sessions with senior managers, middle managers and employees – this increased
the man power
• Several joint management action groups were constituted, persisted in
bringing up new ideas related to grievances and conditions of service
• In complex issues, study teams comprising union office-bearers together with
the management were established to collect data, analyse report, before decisions
were taken
Case Study : Jaipur Metals and Electricals Ltd.
• This case depicts that how the agendas of workers and their committees and their
proceedings became beneficial for the enterprise in aparticular context
Summary
• In 1923 the company flourished in the manufacture of house service metres inspite of the
restriction on the raw materials
• In the mid 1940s the company made losses, a special scheme to rationalise employment was
adopted to make partial recovery
• The government of Rajasthan took over its management and financial institutions, which had
acquired majority share-holding in the undertaking through debt onversions and a marginal
profit was earned
• Then new chief executive began negotiations with the workers which culminated the
agreement – a majority of the equity was passed to the workers through a credit operative
• A major financial restructuring was achieved with highest-ever turnover of Rs 11 crore
• The management created several other commitees for planning, production, sales and the
suggestions were made by the committee and was approved by the managing director
Labour Welfare
What is Labour Welfare
• Labour welfare activity in India was largely influenced by humanatarian principles and legislation
• During early period of industrial development, efforts towards worker‟s welfare was made largely by
social workers, and other religious leaders, mostly on humanatarian grounds.
Before Independance
The movement to improve the working conditions of Indian Labour started with the passing of the
first Indian Factories Act in 1881
Provisions relating to the better ventilation, cleanliness and for preventing over crowding in factories
were also made
The establishment of the International Labour Organization in 1919 was another important landmark
in the history of labour welfare movement in our country
After Independance
The labour welfare movement acquired new dimensions and it was relaized that labour welfare had a
positive role to play in increasing productivity and reducing industrial tensions
Various labour welfare activities were incorporated in diferent five year plans
Case Study : Durgapur Steel Plant
• This case discusses how the representatives of the union discusses with the management the
varuous problems facing the industry
Summary
• The participation by the worker‟s representatives before the reconstitution had not been of
much significance
• The worker‟s representative from Durgapur Steel Plant has been complaining that he has not
been receiving notices and agenda of the meetings in time
• In 1972 Joint Consultative Machinery was established and it functioned for one year
satisfactorily
• The Joint Consultative Machinery suggested that in view of the difficulty of the State Level
Committee operating effectively, the Plant Level Commitee itself should be converted into
tri-partite body with the Government participating in it in addition to the management and
unions
Case Study : Tata Iron and Steel Company
• This case discusses how the committees operate within
defined areas and how they have helped in settlement of
disputes
Summary
• Keeping in mind the above issue and the three factors we have to evaluate and decide
future strategy, which is to be adopted in managing personnel and industrial relations. The
strategy will depend on the values, objectives, structures available and the environment in
which they have to work
Acknowledgements
We express our gratitude and heartful thanks to Professor (Mrs.) Tania Shaw
for her co-operation, immense support and guidance in preparing this
presentation.
We are also thankful to our Librarian for providing us valuable suggestions
about books for preparing this presentation.
We are also grateful to all our team members in the project for their
cooperation throughout the project .
And last but not the least we are very thankful to the internet.