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    Unit 6

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    MD MAKSOOD KHAN
    Industrial relations involve the relationships between labor and management within an organization. The key aspects of industrial relations include developing healthy labor-management cooperation, maintaining industrial peace, and encouraging fair practices. Collective bargaining is the process by which labor unions and companies negotiate employment contracts and involves preparation, discussion, proposals, bargaining, and agreeing to a final contract. If issues arise, organizations have grievance procedures to allow employees to resolve complaints through escalating levels of management. Statutory dispute resolution mechanisms established by law include conciliation, courts of inquiry, arbitration, and adjudication by labor courts, tribunals, or commissions.

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    Unit 6

    Uploaded by

    MD MAKSOOD KHAN
    37 views22 pages
    Industrial relations involve the relationships between labor and management within an organization. The key aspects of industrial relations include developing healthy labor-management cooperation, maintaining industrial peace, and encouraging fair practices. Collective bargaining is the process by which labor unions and companies negotiate employment contracts and involves preparation, discussion, proposals, bargaining, and agreeing to a final contract. If issues arise, organizations have grievance procedures to allow employees to resolve complaints through escalating levels of management. Statutory dispute resolution mechanisms established by law include conciliation, courts of inquiry, arbitration, and adjudication by labor courts, tribunals, or commissions.

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    Industrial relations involve the relationships between labor and management within an organization. The key aspects of industrial relations include developing healthy labor-management cooperation, maintaining industrial peace, and encouraging fair practices. Collective bargaining is the process by which labor unions and companies negotiate employment contracts and involves preparation, discussion, proposals, bargaining, and agreeing to a final contract. If issues arise, organizations have grievance procedures to allow employees to resolve complaints through escalating levels of management. Statutory dispute resolution mechanisms established by law include conciliation, courts of inquiry, arbitration, and adjudication by labor courts, tribunals, or commissions.

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    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
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    37 views22 pages

    Unit 6

    Uploaded by

    MD MAKSOOD KHAN
    Industrial relations involve the relationships between labor and management within an organization. The key aspects of industrial relations include developing healthy labor-management cooperation, maintaining industrial peace, and encouraging fair practices. Collective bargaining is the process by which labor unions and companies negotiate employment contracts and involves preparation, discussion, proposals, bargaining, and agreeing to a final contract. If issues arise, organizations have grievance procedures to allow employees to resolve complaints through escalating levels of management. Statutory dispute resolution mechanisms established by law include conciliation, courts of inquiry, arbitration, and adjudication by labor courts, tribunals, or commissions.

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    of 22

    Industrial relations

    • Industrial relations mean • Scope/Importance of


    relationships that emerge Industrial Relations
    out of day-to-day working • Development of healthy
    and association of labor labor management
    and management. relations.
    Industrial relations are • Maintenance of
    characterized of both Industrial peace.
    conflict and cooperation.
    • Development of
    • Three members of Industrial democracy.
    Industrial relations
    • Discouraging the unfair
    • Management practices of management
    +Labor/employee+
    Government
    Collective Bargaining
    • The term collective bargaining was first used in
    1891by Beatrice webb. founder of industrial
    relations in Britain
    • It is basically a method of negotiating the
    employment conditions between the employer
    and employees.
    • (According to Flippo) Collective bargaining is a
    process in which the representatives of a labor
    organization and the representatives of business
    organization meet and attempt to negotiate a
    contract or agreement which specifies the nature
    of employee-employer union relationship.
    Collective Bargaining
    Collective Bargaining process/steps
    • 1.Preparation:
    • 2.Discussion
    • 3.Proposal
    • 4. Bargaining
    • 5. Final Agreement
    Collective Bargaining process/steps
    • The collective bargaining process involves five core steps:
    • Preparation – Choosing a negotiation team and representatives of
    both the union and employer. Both parties should be skilled in
    negotiation and labor laws, and both examine available
    information to determine whether they have a strong standing for
    negotiation.
    • Discussion – Both parties meet to set ground rules for the
    collective bargaining negotiation process.
    • Proposal – Both representatives make opening statements,
    outlining options and possible solutions to the issue at hand.
    • Bargaining – Following proposals, the parties discuss potential
    compromises, bargaining to create an agreement that is
    acceptable to both parties. This becomes a “draft” agreement,
    which is not legally binding, but a stepping stone to coming to a
    final collective bargaining agreement.
    • Final Agreement – Once an agreement is made between the
    parties, it must be put in writing, signed by the parties, and put
    into effect.
    GRIEVANCE PROCEDURE IN INDIAN
    INDUSTRY
    • Grievance is a complaint by an employee against the
    employer. The draft Model Grievance handling procedure
    was accepted by the labour conference in 1958

    • Grievance handling process is a grievance redressal


    procedure is the formal system for dealing with employee
    grievances.

    • It involves several steps through which an affected


    employee can take his grievance to successively higher
    levels of management for redressal.
    • its controlling tools for large organisation to keep check the
    health of the organisation
    Model GRIEVANCE PROCEDURE IN INDIAN
    INDUSTRY(suggested by National commission on labor
    Model GRIEVANCE PROCEDURE IN INDIAN INDUSTRY(suggested
    by National commission on labour

    • 1:Distressed labour will verbally communicate to foreman.

    • 2. Workman will approach to supervisor if he is not satisfied


    by redressal of foreman.

    • 3.Within 48 hr supervisor must provide reply. If supervisor


    is unable to redress worker will go follow next step.

    • 4.worker will contact to HOD(Head of the department


    either alone or representative of his department. He has to
    respond within 3 days. If worker doesn’t get the response
    or not satisfied about redressal worker will approach to
    next step.
    Model GRIEVANCE PROCEDURE IN INDIAN INDUSTRY(suggested
    by National commission on labour

    • 5.Worker will approach to Grievance committee


    (composed of members of employee and
    employer).Committee has to make
    recommendation and forward it to the manager
    within seven days .

    • 6. management shall implement the agreed


    decisions if any decided by committee.

    • 7. the worker is informed about the decision


    within three days by the manager
    Model GRIEVANCE PROCEDURE IN INDIAN INDUSTRY(suggested
    by National commission on labour

    • 8. When worker is not satisfied he can make an


    appeal against the manager’s decision he can
    make appeal against the managers decision which
    has to be again decided within a week.

    • 9. If worker is not satisfied with the decision both


    the management and union can take grievance to
    voluntary arbitration/Labour court.
    Settlement Machinery of Industrial Conflicts.

    • According to the Industrial Disputes Act, 1947,


    “Industrial dispute means any dispute or
    difference between employers and employees or
    between employers and workmen or between
    workmen and workmen, which is connected with
    the employment or non-employment of the terms
    of employment or with the conditions of work of
    any person”.
    Settlement Machinery of Industrial Conflicts.(Non-statutory)

    • Works committee: According to industrial


    dispute act,1947, where there are 100 or
    more(during previous year) than employee in the
    company ,it is compulsory to have works
    committee. It has members from both the sides
    management and employee.. These aim at
    maintaining harmonious relations at workplace
    and sort out the differences existing between
    both the parties.
    Settlement Machinery of Industrial Conflicts. (Non-statutory)

    • Workers participation in Management:


    -Focuses on involvement of workers by the
    management in the decision-making process. It helps
    in promoting industrial democracy and is based on
    human relations approach to management.
    • Collective Bargaining:ILO(international labor
    organization) convention No.154 defines collective
    bargaining as all negotiations which take place
    between an employer ,a group of employers or one
    or more employers organisations on the one hand
    and one or more workers organisations, on the
    other. In this workers and management collectively
    bargain for their interest and benefits.
    Settlement Machinery of Industrial Conflicts. (statutory )

    • When a dispute has arisen i.e., it could not be


    prevented on voluntary basis, the Industrial
    Disputes Act 1947 provides several provisions for
    settling the disputes.
    Settlement Machinery of Industrial Conflicts. (statutory )

    Code of Discipline:
    It was introduced in the year 1958 and is applicable
    to both public and private sector enterprises. This
    lays down the guidelines for
    workers/employees/workmen, unions and
    employers. It aims to prevent dispute though
    negotiations without the interference of an outside
    agency. There is no legal liability or punishment and
    it involves only moral sanctions. There is no legal
    liabilities or punishment and it involves only moral
    sanctions.
    Settlement Machinery of Industrial Conflicts. (statutory )

    • Conciliation:
    • It is a process in which a third party is roped in to solve the
    dispute between the employer and employees. The third
    party helps in reconciling the differences and arriving at a
    mutual agreement for an amicable settlement of agreed
    solution. The central and state governments have the power
    to appoint conciliation officer or a board of conciliation
    under industrial disputes act,1947.
    • The board of conciliation consists of equal representatives
    from the employers and employees end.
    • The third party is a facilitator and cannot force the involved
    parties to accept the decision in order to arrive at a
    settlement. During the process of conciliation ,the involved
    parties cannot indulge in strikes and lockouts.
    Settlement Machinery of Industrial Conflicts. (statutory )

    • Court of Inquiry:
    The government has a power to set up a court of
    inquiry in case the matter is not resolved under the
    conciliation method. The body is a fact finding body
    that has to submit its report to the government
    within six months. The aim of setting up a court of
    inquiry is to promote the settlement of an industrial
    dispute.
    Settlement Machinery of Industrial Conflicts. (statutory )

    • Arbitration:
    • Under the process, a third party is involved to
    settle down the disputes between the aggrieved
    parties. In this case ,the involved parties represent
    their respective situations before the arbitrator or
    group of arbitrators. Based on the information
    provided to the arbitrator(S), and his/their
    investigation, he/they give(S) a judgement, which
    is binding on the both the parties.
    • Voluntary arbitration: both the parties appoint a
    neutral arbitrator, who provides verdict on the
    same. Verdict is not a legal binding.
    Settlement Machinery of Industrial Conflicts. (statutory )

    • Adjudication:
    • This is the ultimate or last step resort for the
    dispute resolution. In case, the conciliation
    process fails, the government appoints a third
    party to resolve the matter. Under this, the matter
    may be referred to the labour courts, Industrial
    tribunal and national tribunal. It is a three-tier
    system for the resolution of Industrial disputes.
    Settlement Machinery of Industrial Conflicts. (statutory )

    • Labour Court
    • For the adjudication of industrial disputes relating to the
    specified matters in the second schedule of the act, the
    appropriate government may by notification constitute one
    or more labour court. Powers of labour courts are:
    • Discharge or grant of relief to workmen who are wrongfully
    employed or dismissed.
    • To determine the illegality of a strike or deadlocks.
    • Customary concession or privileges are withdrawn by this
    court.
    • Within the specified period the order referring to the
    dispute, its report is to be submitted to the appropriate
    government, whenever an industrial dispute adjudicating by
    the labour court.
    • .
    Settlement Machinery of Industrial Conflicts. (statutory )

    • National Tribunal
    • The central government may, by notification in the
    official Gazette, constitute one or more National
    Tribunals for the adjudication of Industrial Disputes in:
    • National matters.
    • Matters in which industries are more than one state, or
    are affected by the outcome of the dispute.
    • The duty of the National Tribunal to hold its
    proceedings fast and submit its report to the central
    government within the specified time given.
    • There are 14 tribunals in India
    Settlement Machinery of Industrial Conflicts. (statutory )
    • Industrial tribunal
    • For the adjudication of the industrial disputes, the appropriate
    government may, by notification constitute one or more industrial
    tribunals. Matters relating to the following are:
    • Retrenchment of labor.
    • Compensatory and other allowances and rules of the disciple in
    the workplace.
    • If the company is in profit, then matter related to bonus and profit
    sharing.
    • Work manual such as hours of working and interval for rest.
    • Wages and provident fund of workmen.
    • The duty of the Industrial Tribunal to hold its proceedings fast and
    submit its report to the state government within the specified
    time given(2mths or may be fixed by respective government).
    • https://cgit.labour.gov.in/

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