Industrial Relations refer to the relations in all

aspects of work and employment between

and among the parties to an employment
relationship. They focus on human relations
between the employer and workers and their
unions in the production or service process.
Following are the elements of the term Industrial
Relations:

Originally it stood for employer-employee

relationship in an industry;

Later on, when the workers organized themselves

into trade unions and later started dealing with
the employers, trade union activities also came to
be included under this term;
 Still later, when the relations between employers and
employees came to be vested with public importance
and ceased to be private, the state had to be involved
in such relations. Therefore, the activities of the state
designed to modify, regulate and control relations
between employers and employees also became a part
of industrial relations.

The term industry has no longer been confined to

small segment of economic activity.

Considering all the elements mentioned above, the

term Industrial Relations can be taken to stand for
employees, unions, employers and government
relationships in the employment.
 Encyclopedia Britannica defines Industrial Relations
as all maters that arise in day-to-day association
between employers, managers and workers, and
includes
(a) Relations between managers and individual
workers,
(b) Collective relations between managers and labour
or trade unions, and
(c) Role of government in regulation of these
relationships.
According to Dale Yoder Industrial Relations
describe relationships between management and
employees or among employees and their
organizations, that characterized or grow out of
employment.

According to John T Dunlop Industrial society

necessarily creates industrial relations defined as
complex of interrelations among managers,
workers and agencies of Government
The purpose of IR is to secure highest possible level
of mutual understanding and goodwill among all
concerned parties. This will depend on fair dealing
and establishment of good working conditions,
including high levels of living standards and
amenities at the workplace. But, more important is
the creation of friendly atmosphere and a spirit of
working to gather for a common purpose.
 Employees : View IR as a mechanism for

Redressing grievances by one one or collecting

actions
Sourcing better terms and condition for
employment
Getting better status for the workers at workplace
Fostering democratic mode of decision making.
 Employers must see IR in the following
terms:
Creating and sustaining employee motivation
Ensuring commitment from employees
Achieving high level of efficiency
Negotiating terms and condition of employment
Share decision making with the employees

Governments role in IR is seen as

Interventionist
Regulator
 Economic

Sociological

Psychological

Political
 Dunlops Model of Industrial Relations System

R = F[A, E, I]
R = Rules Substantive
A = Actors
E = Environment
I = Ideology
Rules Procedural

Rules related to their

Administration and
Enforcement
 Work Place divided in 7 types
1. A fixed or Variable Work Place
2. Relation of workplace to residence

Technological 3. Stable or variable workforce or work

Characteristics of operation
Workforce and 4. Size of the work Group
Workplace
5. The Job Content
6. Locus of attention of the actors at the
workplace
Environment Market Context or
Budgetary Constraints 7. Hrs of operation at the work place

Locus and Distribution

of Power in a Large
Society
 Not given adequate attention to conflict aspect

Several instance rules are outcome of decision of one

actor

Very little applicability to small establishments

Situations created by trade union rivalries

Not much applicability in extraordinary situations

Not adequately covers process and procedures involved

 IILS Model of Industrial Relations System
Environment
Substantive
Parties
Rules
Process Rules
Rules Procedural
Monopolistic Rules

Rules making
Dualistic
authorities

Pluralistic
 Not clearly explains the impact of multi-unionism and
trade union rivalries

Not present a convincing assessment of the conditions

of small size establishment and unorganized sector of
employment

Environment factors are very broad

Not clearly explains the impact of extraordinary

situations
 Examples
Formal - Awards
- Collective agreements
- Company policy manuals
- Union rule books

Informal - Unwritten agreements between union

delegates and supervisors.
- Shared understandings between
employees and managers over appropriate
behaviours, custom and practice

Substantive - Wage rates

- Working hours
- Holiday entitlements
- Other forms of leave

Procedural - Grievance procedures

- Company practices for recruitment or dismissal of
employees
- The procedures followed by conciliation and
arbitration tribunals
 Corporations
Based on the cooperation of Labour and capital
Both should fulfill there needs and have a higher
understanding.

Conflicts
Strikes , Lock outs, Slow production etc
 The structure of the economy and labour
market.

Constitutional provisions legal frameworks,

and labour standards (national &
international; voluntary & statutory).
 The Factories Act, 1948
The Workmens Compensation Act, 1923
The Industrial Disputes Act, 1947
The Trade Unions Act, 1926
The Industrial Employment (Standing Orders) Act,
1946
The Minimum Wages Act, 1948
The Payment of Wages Act, 1936
The Payment of Bonus Act, 1965
The Employees State Insurance Act, 1948
 The Employees Provident Funds Act And
Miscellaneous Provisions Act,1952
The Payment of Gratuity Act, 1972
The Maternity Benefit Act, 1961
The Apprentices Act, 1969
The Contract Labour (Regulation And Abolition)
Act, 1970
The Child Labour (Regulation And Abolition) Act,
1970
The Sexual Harassment of Women at Workplace
(Prevention, Prohibition and Redressal) Act, 2013
 Prior to First World War
Most of the acts were there to serve the British

From First World War to Independence

Large No of trade unions on various levels
Trade Union Act, 1926, Workmens Compensation
Act, 1923 etc.

Post Independence
Many new acts were implemented
 All India Organization of Employers (AIOE)

Employers Federation of India (EFI)

Standing Conference of Public Enterprise (SCOPE)

Council of Indian Employers(CIE)

Federation of Indian Chamber of Commerce and

Industry (FICCI)

All India Manufacturers Organization (AIMO)

1. Silent Features of Role of Employers Federations
in Industrial relation

2. Silent Features Industrial relation in India