The Effect of Industrial Relations Management Practice On Employees' Perfomance
The Effect of Industrial Relations Management Practice On Employees' Perfomance
The Effect of Industrial Relations Management Practice On Employees' Perfomance
ON EMPLOYEES’ PERFOMANCE:
By
LEAH SAMWEL
2020
CERTIFICATION
We, the undersigned, certify that we have read and hereby recommend for
acceptance by Mzumbe University, a research report entitled,” Effect of Industrial
Relations Management Practices on Employees’ Performance: The Case of
National Social Security Fund in partial/fulfilment of the requirements for award of
the degree of Bachelor of Human Resource Management of Mzumbe University.
Signature
Major Supervisor
Signature
______________________
Internal Examiner
i
DECLARATION AND COPYRIGHT
I, Leah Samwel, declare that this research report is my own original work and that
has not been presented and will not be presented or repeated to any other university
for a similar courser and will not be presented to any other degree of award.
Signature ____________________
Date __________________
This Research Report is a copyright material protected under the Berne Convention,
the Copyright Act 1999 and other international and national enactments, in that
behalf, on intellectual property. It may not be reproduced by any means in full or in
part, except for short extracts in fair dealings, for research or private study, critical
scholarly review or discourse with an acknowledgement, without the written
permission of Mzumbe University, on behalf of the author.
ii
ACKNOWLEDGEMENT
I would like to thankful to my Almighty God who gave me the ability and streghth to
accomplish this report. I would also like to thanks for my lovely family of Mr
Samwel Kulwa and Secilia Mkila without forgetting my brother Mackdonad and my
sister catherine for their prayers, financial support and encouragement from the first
day of the study and the final day of this research report, otherwise I could not
accomplish this work, may God bless all for helping me.
Also I would like to thankful Mr. Steven Manongi my practical field supervisor for
all support I received from him to accomplish this task. Also I would like to thanks
the management of NSSF for supporting me throughout my field practice and more
important of giving me access to various sources of information for gathering data
for my research
Lastly, I would like to take this chance to thanks my all friends who we were
conducting the study at NSSF for their support during the research study for
gathering information my thanks go directly to Consolatha Baltazary, Mwananda
Lacksoni, Safari Juma, Kassian John,Wansagula Kiula and for all who their
namewill not appear hire.
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DEDICATION
This work is dedicated to my lovely parents Mr.and Mrs. Samwel and to my brothers
Mackdonad, Dickso, Lenad, and sisters Catherine, and Anna without forgetting my
lovely fiancé Michael for their moral support in my studies. Thank you very much.
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ABBREVIATIONS AND ACRONYMS
IR Industrial Relations
v
ABSTRACT
This study examined the Effect of Industrial Relations Management Practice (IRMP)
on employees’ performance at National Social Security Fund. The objectives of the
study were to recognize how collective bargaining is practice in IRM, to determine
the importance of trade union in managing industrial relation at NSSF,to examine the
contribution of dispute resolution in managing IRM at NSSF.The study adopted a
case study design which employed both qualitative where narrations was employed
and quantitative methods where excel was employed. The population of the study
was 30 people where the sample size was 23 as well, respondents responded from
sample size were 23. The sample size was obtained through purposive sampling.
Primary data collection used in the collection of data where questionnaire and
interview, also the results of the report was presented. The study found that the
institution has averagely engage in IRM practice with notable performance in some
elements; the study found that NSSF was doing well in recognizing the role of top
management, employees support and the involvement of employees in decision
making. The study concluded that the issue of IRM practice in organization is very
important when it comes to the effect of employees’ performance, especially in
higher learning institutions as well as organizational development. Also the study
suggested that NSSF needs to improve on the following areas rewarding employees,
staff matters handling and establishment of workers union.
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TABLE OF CONTENTS
CERTIFICATION.........................................................................................................i
DECLARATION..........................................................................................................ii
COPYRIGHT..............................................................................................................iii
ACKNOWLEDGEMENT...........................................................................................iv
DEDICATION..............................................................................................................v
ABBREVIATIONS AND ACRONYMS....................................................................vi
ABSTRACT...............................................................................................................vii
TABLE OF CONTENTS..........................................................................................viii
LIST OF TABLES.......................................................................................................ix
LIST OF FIGURES......................................................................................................x
CHAPTER ONE...........................................................................................................1
1.0 Introduction.........................................................................................................1
1.1 Background of the problem.................................................................................1
1.2 Statement of the problem....................................................................................2
1.3. Objectives...........................................................................................................3
1.4 Research questions..............................................................................................3
1.5 Scope of the Study............................................................................................4
1.6 Significance of the study.....................................................................................4
CHAPTER TWO..........................................................................................................5
2.0 LITERATURE REVIEW.......................................................................................5
2.1. Introduction........................................................................................................5
2.2 Theoretical Literature Review........................................................................5
2.2.1 Definition of Terms....................................................................................5
2.2.2 The Concept of Industrial Relations.............................................................5
2.2.3 Industrial Relations Management.................................................................6
2.2.4 Dimensions of industrial relations................................................................8
2.2.5 Theories of industrial relations.....................................................................8
2.3 Conceptual Framework.....................................................................................9
Figure 2.1. Conceptual Framework.........................................................................10
2.4 Empirical Literature Review...........................................................................10
2.5. Synthesis..........................................................................................................13
CHAPTER THREE....................................................................................................14
3.0 RESEARCH METHODOLOGY......................................................................14
3.1 Introduction.....................................................................................................14
3.2 Research Design................................................................................................14
3.3 Research Problem.............................................................................................14
vii
3.4 Area of the Study..............................................................................................14
3.5 Population of the Study.....................................................................................14
3.6 Sampling Frame and Procedure........................................................................15
3.7. Sampling techniques........................................................................................15
3.7.1. Sample.......................................................................................................15
3.7.2. Sample size................................................................................................15
3.8 Data collection methods....................................................................................16
3.8.1 Primary Data...............................................................................................16
3.8.2 Secondary Data...........................................................................................16
3.9 Variables and Measurement Procedure.............................................................17
3.9.1 Independent variables.................................................................................17
3.9.2. Dependent variables..................................................................................17
3.10 Data Processing and analysis..........................................................................17
CHAPTER FOUR......................................................................................................18
4.1. Introduction....................................................................................................18
CHAPTER FIVE........................................................................................................36
viii
5.0 SUMMARY AND CONCLUSSION.................................................................36
5.2. Conclusion.......................................................................................................37
REFERENCES...........................................................................................................38
Appendix 1..............................................................................................................41
APPENDICES............................................................................................................41
INTERVIEW GUIDE.............................................................................................45
ix
LIST OF TABLES
x
LIST OF FIGURES
xi
CHAPTER ONE
INTRODUCTION
1.1 Introduction
This section discussed the following; background of the problem, statement of the
problem, objectives, and research questions; scope of the research and the
significance of the study the research.
Africa was not left behind in industrial relations. Most of English-speaking countries,
have witnessed a greater degree of innovation and experimentation in the industrial
relations field than any of the other developing areas (Adesola, 2013).
In East Africa Industrial Relation was introduced in Kenya during settler economy
before independence when workers fought against labour policies which humiliated
them. Similar to other African countries, Tanzania colonised by Germany since about
1890, and governed by Britain after 1919 under mandate from league of Nations,
Tanzania (then Tanganyika and Zanzibar) had a mainly peasant economy, but
through contract with industrial economies elsewhere and acquired some aspect of
capitalism. Thus between 1920 and 1930 the economy witnessed a shift from
predominantly peasant [production to a plantation economy with the introduction of
cash crops. Thus emerged people who was employed on plantation mainly sisal,
coffee, rubber and groundnuts forming a pioneer labour force which increased as the
plantation economy expanded. The development of cash economy initiated the
agriculture growth of export sector, and this in turn led to the expansion of
1
communications and the emergence of other activities which all required labour.
Between 1924 and 1935 plantation agriculture increasingly and it was during that
time the construction of railways and roads started. By 1929 the railway line from
Dar es salaam to Tanga built by the Gerrman in 1919, was extended to moshi, and by
1934 the Tabora Kigoma linehad extended to manyoni,where coal deposits had been
discovered. It was from this improvement, workers started to fight for their rights,
to form their labour unions and agreements of their work (Mhiyo, 2018).
After independence, Tanzania adopted new social policies that aimed at building new
socialism. During Structural Adjustment Programme (SAP), the government changed
the economic structure to cope with the regional integration and economic trends as
well as laws on employment were reformed (Kamala, 2006).
Given the need for continuity in production, the need to minimize industrial disputes
and to minimize wastage of material and labour resources, industrial relations has
become an important practice in managing people in both private and public
companies. But the instruments of development policies and programmes are
primarily workers and to perform their work with proper incentive and motivation
they must operate in a well defined framework which serves the interest of the
workers themselves as well as the employers and government (Mhiyo, 2018).
2
employments and consequently increase production and quality of service. From this
fact, it is obvious that any organization that values its human resources in order to get
the best from the employees it has to practice an effective system of Industrial
Relation Management.
Many Studies have been conducted in other sectors of businesses like (Marden,
1995) elaborated IRM practice based on the services to the organisations, (Clegg,
1970) conducted research on IR disputes on trading companies and industries, (Mills,
1992) explained the various methods of IR in public and private sectors
organisations, however less have been said to implicate education sectors with
industrial relations management. Therefore, Higher learning Institutions being
organizations which not only produce the workforce but also rely on human
resources to continue functioning and growing as organizations, suffice to say that
they need to practice Industrial Relation Management. National Social Security being
one of the Higher Learning Institutions in Tanzania to be studied to understand how
Academic Institutions practice Industrial Relations Management to effect employees’
performance.
1.4. Objectives
The main objective of this field study is to assess the effect of industrial relations
management practice on employees’ performance at National Social security Fund.
However, the study will get the following specific objectives;
3
1.5 Research questions
The study seeks to provide the following answer to the following questions below;
ii. Are there any challenges facing employees in forming trade union for
practice industrial relations Management at National Social Security Fund?
This field study is undertaken primarily for the researcher to significantly understand
the value and effect of IRM practice in an organization to the employee’s
performance, however it also likely to have the following significance:
The study accepted to provide knowledge to the current and future researcher on how
industrial relations management affects employees’ performance to the higher
learning institutions.
The study expected to help human resource managers to evaluate on how effective
management of industrial relations affects the employee’s performance especially in
higher learning institutions as well as organization
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CHAPTER TWO
LITERATURE REVIEW
2.1. Introduction
This chapter presented theoretical literature review, empirical literature review based
on the problem area including findings by others and conceptual framework, also the
study topic of effect of industrial relations management practice on employees
performance.
In this part the beneficiary discussed the definitions of key vocabulary, meaning of
industry, industrial relation, industrial relation management, industrial relation
management practice, employees, performance effect dimensions of industrial
relations and supportive theories.
Performance is the product that resulted from the use of energy, skills and knowledge
by accomplishment of given task and measured by a standard of accuracy, in the
organization it mostly applied to measure the ability of employees and employers in
his or her duties (Armstrong, 2012).
The term Industrial Relations is explained as positive willing and acceptance that
employer and employee agree each other in order to maintain their relations at work
5
the work place. It is the interconnection that exists between employers and
employees in the work place (Armstrong, 2009).
Bratton and Jeffrey (1999) argued that industrial relations are the process of control
over the employment relationship, the organization of work, and the relations
between employers and their employees.
According to (Wikipedia, 2018) industrial relations in this text it deal with employee
attitudes and behaviour and the relationship between an organization and its
employees.
According to ILO Industrial Relations deal with either the relationship between the
state and employers and workers organization relations between the job-related
organizations themselves.
Armstrong (2012) explained that Industrial relations describe how employers and
employees work together. He further explained that a positive industrial relation
occur when management and employees are interdependency, and both benefit from
this interdependence and where there is mutual trust, such relationship provides
foundation for employment and employee relation policies.
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2.2.4 Industrial relations management practice
7
Parties which includes Managers, Employers and Employees representatives
Operations, includes Level, Process, and Style Substance, includes Individual Job,
Reward, Career, Communications, and culture, Collective agreements and Joint
machinery Assumptions.
This part involved the discussion on various approaches that support the presence of
industrial relations management on organization towards employees’ performance as
well as organization performance.
8
compensation would be standardized to promote a co-operative, non-competitive
work environment.
Itika (2011), explained about the importance of the industrial relations management
practice toward the employees performance on the industry and how it can maintain
the relationships among workers and the management in an organizations as follows,
Industrial relations management practice can help to avoid the conflicts and
misunderstanding among the workers in the work place, therefore the managers can
use the means of discipline and grievances both in shaping the relationship among
workers and management in the organization, so that employees will notify that there
is good environment of working in term of their relationship with the management
and therefore it can help o the organizations to meets its objectives.
Also Itika (2011) concluded that the industrial relations management practice in
organization it increase the commitment of both employers and employees in the
industrial development, so that the management should ensure the employees
involvement is well managed in order to increase the performance of workers.
9
Armstrong (2009) Suggested the ways which can be used by the managers in
managing the industrial relations in organizations and also explain that the effective
industrial relations management practice in organization can be well performed by
the human resource specialist, such ways are as follows;- Through ensuring effective
job orientation to the new hired employees by clear explaining the rules and
regulations of the organization which will help to avoid unnecessary
misunderstanding within the work place.
Human resource specialist should ensure that all managers and team leader they
understand their duties in managing the industrial relations in the work place so that
can led to the avoidance of disputes among workers in organization.
Industrial relations managing through ensuring recognitions for both workers who
are well performer and those who are not well controlled and encouraged by the
manager, it will help to employees to increase the work force and understand what is
going on the organization.
Human Resource manager has the function to create the Mutuality among the
workers in order both to having the same objectives between employers and
employees so that to reach the organization goal.
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Human Resource managers has the role to ensure the workers both the managers and
employees have to commit with the organization objectives by ensuring employees
participations and development of exchanging of ideas among them.
Human Resource managers have to create a clear relationship with the workers and
with the recognition of the manager on the industry and reducing some
misunderstanding in the industry and manage the relation.
Also the Human Resource manager has to win the industrial relations satisfactory in
the organization, by ensuring conflicts are not extremely occurring in the work place
so that peace and harmony should take place in the organization and industrial
relations will be maintained.
In this section the researcher wanted to see the gap existed on the previously authors
about IRM practice such as Armstrong, Itika, Chand, Chaundry, Joackim and Obrien
they elaborated about IR and IRM based on area of context of IR , Parties of IR,
ways of IR in an organizations, role of Human resource managers in IR and its
components. But little or nothing has been said on the effect of IRM practice of
employees’ performance on organisation as the key area that needs more
concentration where the researcher focused on it, the explanations of the authors
about IR is explained as follows:
11
Itika (2012), explained on the standards behaviour to be conducted throughout all
parties of IR as a rational of IRM practice to the employees performance, however
there is grievance and poor discipline which results to the employees fail to meet
their objectives, therefore the regulations used to maintain behaviours to all parties
are as follows: Employer regulations it involves the codes and the rules to be
practised at the workplace and those rules are available in the standing orders of the
organisation which are private business and regulations and civil service regulation,
Employee employer regulation those are created through collective bargaining, this
involves trade unions due to the nature of the difference of interest between the
employer and the employees so that can help them to work and to be responsible
according to the agreement agreed and help to avoid the possibility of occurrence of
strikes and the termination of contract of service also there is statutory regulations
this includes the laws and principles made by the government to regulate the matters
about employment in Tanzania the regulations are made through three areas which
are Industrial Court of Tanzania, Public Service Act and Labour Law Act.
Armstrong (2010), explained the ways which can be used by the HRO in order to
maintain IRM and make it to be strong, ways are by ensuring the employees are well
treated by the management, encouraging career development, promotion to the
employees, employees participation in decision making, effective recruitment and
selection and effective performance management system which will help the
organisation to cover IRM.
12
According to Chaundry (2013) explained about IRM by insisting to the main task of
the management in an organisation that has to ensures the employees are well
satisfied with their work so that some mistakes and misunderstanding can be difficult
to occur, the management has to ensures that run its daily activities together with
their employees on organisation so that employees will fill that they are part and
parcel of the organisation and they can be motivated, retain to the organisation and
improvement of workforce in the organisation.
Joackim (2010) elaborated the IRM in organisation focused more on the role of
effective IRM in the organisation and its purpose on the organisation that the main
task of IRM is to ensures that the employees and the employers both they meet their
needs as well as the achievement of the organisational objectives while (O Brien,
2014) while explained more on IRM in the organisation to the successful of the
organisation that the better and strong effective of IRM in the organisation is the key
of the organisational successful due to the reasons that the employees will be more
loyal and efficient to their work due to the pleasant working environment and
increases of employees motivation that lead to increase organisational profit.
So that the researcher comes up with the view on the IRM to the organisation and its
impact on employee’s performance on their duties as the key area of the organisation
performance, IRM also has the impact on the development and production of the
organisation therefore, IR play big role on the organisation and the employees to
reach objectives that why the researcher discussed on the IRM with its impact on
employees performance at work place and the development of the organisational as a
whole.
This shows the relation or ratio between the employee’s performance and the
industrial relation management practices, where by the management of industrial
relations represents independent variables while the employees’ performance
represents dependent variables.
The conceptual framework entails that there are some factors which will improve the
employees’ performance in work place depending on the industrial relation system of
the organization. Some of these industrial relations practices are Collective
13
bargaining, Trade unions, Dispute Resolutions, Employees involvement in decision
making, Employees recognition and good organization policies.
Trade unions, the HROs of the organisation has to ensures that both employers and
employees have their representatives at the work place which could help in solving
their needs and solving various disputes in case happen in order to ensure effective
IRM on the organisation that result in to the improvement of employees performance
hence increase of organisation production.
Employees involvement on decision making, this practise may make the employees
feel that they are part and parcel of the organisation through allowing them engaging
in decision making and provides their views and ideas in some matters, so that this
help in effective IRM on the organisations which directly improves the employees
performance as well as increase the organisation production.
Good organisation policies, when the organisation practice well its policies that
guide the employees and employer at the work place which provides the direction of
14
ethics and values as well as policies which favour both employer and employees at
the organisation therefore the IRM on the organisational will be effective that
positively affect the employees performance.
Industrial Relations
Practices
-Collective bargaining
-Trade unions
-Dispute resolution
-collective agreement
-Decision making
Employees’
Performance
Dependent
Variable
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CHAPTER THREE
RESEARCH METHODOLOGY
3.1 Introduction
This chapter included various ways and methods that can be used in the research
project and were involves Research design, Sampling Frame and procedure, Data
collection methods and Data analysis methods.
The study was conducted at National Social Security Fund at Mbeya Municipal
council.
Singh (2018) elaborated that, population of the study is the set of the basics that have
some or other characteristic used in the study to conduct the information. The
targeted population studied in this study was the general staff, manager and Heads of
departments of NSSF whereby the total number were 30.
Sampling techniques is divided in to two (2) categories such as Probability and Non-
probability sampling. In the study Probability Sampling used Stratified sampling that
every member has equal chance to participate in the study, and Non-probability used
16
Purposive sampling where researcher used to a specific sample in gathering the
information from the respondents. In the study the researcher used stratified to the
questionnaire of all staff members as well as purposively sampling in the interview
questions which based on the knowledgeable purposively to the Head of departments
and managers.
3.4.1. Sample
In research refers to a group of people or things that are taken from a larger whole or
group and studied, tested, or questioned to get information to be studied by the
researcher (Singh 2018), in this study the sample was provided from the total
population of employees and the management of NSSF.
Sample size is the total number of elements of sample from the whole population
which has to be studied to gain the information (Singh, 2018).
The sample size of the study was 23 respondents that made up by Managers, Top
management and employees of NSSF , whereby was selected from the total number
of 30, the sample size selected from the total number of population in the study in
order to get more information in data collection process.
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3.5 Data collection methods
From the report the researcher uses both Primary data and secondary data in
gathering of information’s from respondent where Interview and questionnaire
methods were used.
In the study secondary data are used through viewing various documents about the
Industrial relations management.
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CHAPTER FOUR
4.0. Introduction
In this chapter the researcher consisted of two parties where the data presented as
answered from the results from the respondents also the researcher discussed on the
report answers from the respondents, in presentation section includes two categories
which are the characteristics of the sample population and the findings from the field
in relation to the research questions. In the findings section the study discussed due
to the research questions as presented in chapter one.
In this category the researcher wanted to understand the Age, Gender, and Level of
education and job title of the Respondents. Therefore from the total sample of 23,
both respondents responded to the Research questionnaires. Therefore the total
number of the respondent responded the questionnaires was23.
25 30 4 17.4
31 36 3 13.0
37 42 6 26.1
43 49 8 34.8
TOTAL 23 100
19
Source: Researcher own constructs (2020)
Males 17 73.9%
Females 6 26.1%
20
diploma 5 21.7
Masters 2 8.7
Total 23 100
The responding on the statement, Employer(s), Employees and Government are the
key part in involving in collective bargaining of Industrial Relations Management
practice at NSSF; the results were different where the Majority (39.1%) indicated
that Employer(s), Employees and Government are the key part of involving in
Industrial Relations Management at NSSF.
21
Strongly Agree 9 39 1%
Agree 7 30.4%
Neutral 4 17.4%
Disagree 3 13.1%
Strongly Disagree 0 0%
Total 23 100%
Agree 6 26.1%
Neutral 8 34.8%
Disagree 3 13.4%
Strongly 1 4.3%
Disagree
Total 23 100%
In the statement, whether the management of NSSF recognize the role of trade union
for effective Industrial Relations Management, the results were differs from each
other where the majority of the Respondent (34.4%) agreed on the statement,
22
(26.1%) strongly agree, (21.7%) neutral and (17.4%) disagreed on the statement,
results are presented in Table 4.7.
Agree 8 34.8%
Neutral 5 21.7%
Disagree 4 17.4%
Strongly Disagree 0 0%
Total 23 100%
In the statement on presence of dispute resolution at NSSF, the results were differing
from each other where (39.1%) of employees strongly agree, (26.1%) agree, (17.4%)
neutral (13.1%) disagree and (4.3%) strongly disagree, results are presented in Table
4.8.
Agree 6 26.1%
Neutral 4 17.4%
Disagree 3 13.1%
Agree 8 34.8%
Neutral 3 13%
Disagree 2 8.7%
Strongly Disagree 0 0%
Total 23 100%
The researcher wanted to know on the effect of motivation of the employees at NSSF
with the way staff matters are handled at work place ,the results were variable
whereby (21.7%) were strongly agree, (13%) were agreed, (34.8%) were neutral
(21.7%) also were disagreed and (8.7%) strongly disagree. As presented in Table
4.11
24
Table 4.10 Responses on whether handling of staff matters at NSSF motivates
employees
Agree 3 13.0%
Neutral 8 34.8%
Disagree 5 21.7%
Total 23 100%
The results on if the employees’ are committed to the job due to the supportive
working environment at the organization, the results were varies each other where
the majority of respondent (34.7%) were strongly agreed the statement, (26.1%) were
agreed, and the minority of them (21.7%) were neutral, (17.3%) were disagreed. as
exposed and shown on Table 4.12
Agree 8 34.7%
Neutral 5 21.7%
Disagree 3 17.3%
Total 23 100%
25
Source: Researcher own construct (2020)
The researcher wanted to know on whether the matters which are related with the top
management,manager,and fellow staff other that can led to employees’ achieve the
maximum performance at NSSF the results were varies according to the respondents
where most of the respondents (34.8%) were strongly agree, (26.1%) were agreed on
the statement, while the others (17.4%) were neutral and (13%) were disagreed on
Agree 6 26.1%
Neutral 4 17.4%
Disagree 3 13%
Total 23 100%
The researcher wanted to find out on whether there are challenges facing NSSF in
managing the Industrial Relations. The results are presented in the Table 4.4.
26
The results were varies from each other whereby the most of respondents (78.3%)
indicated ‘yes’ that were agreed that there is challenges facing NSSF in managing the
Industrial Relations while the others (21.7%) indicated ‘no’ that there is no
challenges in the management of Industrial Relations at NSSF.
The results of the challenges facing in managing the Industrial Relations the results
varied from each respondent as follows:-
Yes 18 78.3%
No 5 21.7%
Total 23 100%
From the study researcher discovered that on the roles of employees at the
organisation of NSSF on IRM practice, therefore results were varies each other
whereby most of the respondent responded that employees has role in managing
Industrial Relations practice by performing his or her duties efficiently and
27
effectively according to responsibility given to each departments in relation to
Human Resource Office at NSSF and other respondents responded that employees
has the role in managing Industrial Relations as follows; Ensuring cooperation with
other staffs by improving communications among the workers, To propose matters to
the management that improve performance of the organizations and employees
themselves, To follow rules and regulations of the organization, To be active in
participating in trade union ,To improve team work to implement the strategies made
by the Human resource depending on increasing productivity that will reduce
conflict among workers and to ensure good and supportive environment for work .
The researcher conducted the Interview from (4) respondents who were the HoDS
and Managers of NSSF, The researcher wanted to know the Effect of Industrial
Relations Management practice on the employees’ performance, Results were
variable from each Respondents, whereby from the Question
Researcher wanted to know from which extent the employees understand about
Industrial relation, the results was almost the same that Industrial Relations
Management practice is the relationship among employees and employers which
maintained in the organization by following the rules and regulations that guide
them.
The researcher wanted to know the HoDs’ and Managers of NSSF on how they
manage the Industrial Relation, The results were differ from each respondent where
by most of the respondent responded that management of NSSF in Industrial
Relations is done by ensuring that workers follow the rules and principles that guide
them, while other respondent responded that the management of Industrial Relations
practice is done through Job description, Formal and Informal guidelines composed
28
by the organization, following the Organization Chart and Effective communication
and freedom of workers when performing their duties.
The researcher wanted to find out the challenges facing HoDs, and Managers in the
management of Industrial Relations at the Organization, the results were variable
where by most of the respondent responded that communication system is poor also
there is no provision of the communication allowances to the employees which led to
the occurrence of misunderstanding among workers , while other respondent the
challenges was as follows there is no frequently institute meeting on IRM practice,
Poor workers participation in decision making ,different in perceptions among
employees.
The researcher wanted to know on how the management, and HoDS , overcomes the
challenges facing in managing IRM ptactice, the results were varies from each other
whereby they overcoming the challenges through formal communication to reach the
conclusion, Seeking the HoDs support and discussing the claims of the employees
and solve it if possible, by changing employees attitudes through providing them
education on IRM practice and by ensuring that employees worker hard to reach the
objective of the organization.
The researcher wanted to know that to what extent IRM practice of NSSF influences
on the employees performance, the findings were variable each other whereby the
large number of the respondent explained that employees performance is high , while
others explained that the employees performance is standard.
29
the presence of the effective Industrial relations management practice on the
organization that it reduce the occurrence of industrial disputes, increase the morale
of the employees and the work force of the employees increases and insisted that the
effective Industrial Relations Management practice involve with the high level of
employees engagement in the decision making.
From the findings, the institution (NSSF) in the side of managing Industrial Relations
seems to be standard. The result from the respondents shows that the Industrial
Relations Management practice at the organization is effectively as shown from the
question 4(4) The management recognize the role of top management for effective
Industrial Relations Management at NSSF the results were varies where by the
majority 30.4% were agreed on the statement, 39.1% were strongly agreed on the
statement at the same time as 13.1% of the respondents disagreed on the statement
and 17.4% were neutral. But in the statement on whether the employees understand
their role in Industrial Relations Management at NSSF, the results shows that the
institution does not concentrate on the employees to understand their role in
managing Industrial Relations as only 43% of the respondent were strongly agreed
on the statement. The role of effective Industrial Relations Management at the
organization its purpose is achieving the goals of both Employer and Employee
(Joackim, 2010).
30
4.8.2. Key parties to Industrial Relations Management practice at NSSF
The researcher wanted know on whether the institution recognizes the presence of
the key parties of IRM practice. According to (Chand, 2014) the major component of
Industrial Relations are Employee, Employer and Government where by the
Employee are affected by the system of Industrial Relations at the organization in the
area of commitment of the job, Employer is represented by the management the
main task is to ensure wins the employees heart to their job by creating good working
environment and Government where its function is to solve and balance the
conditions between Employer and Employee by using different tools such as Labour
courts.
Basing on the findings the institution seems to be not based on the recognition on the
Key parties of IRM practice , for instance from the findings on the statement “The
extent to which you agree with the involvement of top management in Industrial
Relations Management practice at NSSF” on the statement Employer(s), Employees
and Government are the key top management of IRM practice only 39% of the
respondent agreed on the statement, on the statement on whether Employer,
Employees and Government participate in day to day IRM, the results rated 29% of
the agreed respondents, the statement on whether there is policies and guidelines
overseeing the involvement of top management in IRM 40% were agreed on the
statement.
From the result the IRM practice of the organization contributed on the Standard
performance of the employees where by the researcher provided the statements to
the respondents and the findings were not too bad, the statement on whether the
31
performance of the employees improves whenever engaged in decision making 42%
strongly agreed while only 1% strongly disagreed on the statement, On the statement
extent to which employees are motivated with the way matters are handled at the
organization 38% respondents agreed while only 4% of the respondents disagreed on
the statement, On whether the employees are committed to their job due to the
supportive working environment 40% of the respondent agreed on the statement
while only 8.7% disagreed, on whether the employees achieve the maximum
performance as they are well related with managers, fellow staff and other
stakeholders 34.7% agreed on the statement while only 13% disagreed on the
statement, On whether the employees meets their objectives to the organization
whenever they are rewarded for their performance 21.7% strongly agreed while only
21.7% disagreed on the statement, on whether the employees are performing the best
when are supported 53% strongly agreed on the statement while only 13% were
neutral.
From the study NSSF seems to have problem of having challenges facing in IRM
practice where by the researcher provided the question on whether NSSF is facing
challenges in managing IR, majority 78.3% agreed on the question, the challenges
that facing are poor communication between normal employees with their heads of
departments and employees with the top management, lack of awareness among
employees also there is no strong engagement in Industrial Relations while other
21.7% disagreed with the question.
32
33
CHAPTER FIVE
5.0 Introduction
In this section the researcher discussed on the short summary of the study,
conclusion and provided the recommendations of the study.
Generally the critical focused of the study was the assessment on the effect on
Industrial Relations Management practice on Employees performance at National
Social Security Fund . In now days for the organization to perform well must have
invest in maintaining the Industrial Relations Management practice which may lead
to good relationship between the employer and employees leads to employees
satisfaction on his or her job that will directly affect positively the employees
performance on his or job hence the increase of the organization profit. The study
showed the importance of Industrial Relations Management practice at the
organization on the employees’ performance.
Results from the study shows that NSSF putted more efforts in some areas in
managing IR while in other areas did not focused on it, the areas where NSSF
focuses in the management of IR from the findings is shown as The presence of top
management 42%, Participation of Key stakeholders 47%, Presence of policies and
guidelines overseeing Involvement of stakeholders in IRM 40%, Management
recognize role of stakeholders for effective IRM 58%, Improvement of employees
performance 42%, Commitment of employees on job 40% and the Management
support 53% this shows that the IRM at NSSF is standard. But according to the
results there are some areas where NSSF did not put much emphasis on IRM such as
Rewarding employees according to performance 35%, Employees understanding
their role in IRM 24%, Staff handling matters 18%, presence of workers union 16%.
34
5.2. Conclusion
This study from the findings finalize that Industrial Relations Management practice
in an organization is very important on employees and organization performance at
large extent especially in now days where the competition is high, organizations has
to invest much on the issue of Industrial Relation management practice to encourage
the employees performance hence organization performance by employees
motivation, workers union, favourable policies, encouragement on employees
development, strong engagement on Industrial relations and good system of flow of
communication, from this study most of the employees were not satisfied with
Industrial Relation Management practice of the organization.
Organisation should focus much on the availability and useful of trade unions as the
basic right of the employer and employees at the organisation, whereby both
employer employees having their representatives on trade unions which solve
various issues among them so that help the organisation in solving disputes and
misunderstandings and disputes to workers and management which may result to
peaceful working environment that lead to improvement of employees performance.
From the study showed that the organisation practiced low in trade unions , this
showed on Table 4.8.
Dispute resolution, for any organisation in order to ensure effective IRM practice
must have the mechanisms which will be used to solve disputes occurred among
workers themselves or workers and management, as the aim is to create supportive
environment which may lead to employees work comfortable within the organisation
which may result to increase of employees’ performance, from the study the result
35
showed that the organisation was not well concentrated on the disputes resolution as
well as staff matters, this was seen from the statement on whether the employees are
motivated on the way staff matters are handled are shown on Table 4.11.
Therefore the organisation should have to put more intention on the areas which may
lead to improve IRM practice for the benefit of all workers and the organisation to
reach their objectives, areas to put more intentions are as follows workers union,
strong engagement on IR, good system of flow of communication, engagement of
employees on decision making and solving various challenges facing both
management and the employees especially in IRM practice in order to increase and
36
to improve performance of both employees as well as organisation, from the study
most of the employees were not more satisfied with the system of IRM practice of
the organisation so the organisation should focus much on the areas which encourage
IR.
5.3 Recommendation
In this section the researcher provided recommendations on the IRM practice to the
organisations as the key area where results to the organisation success or fail
according to the system of the IRM practice which guide the organisation. The
following are the recommendations.
The government should ensures that the rules and regulations which enacted to
provides the guidelines to the public and private institutions to be implemented are
well implemented and enact the other strict principles to be followed by the all
organisations and if the organisation will practice against the penalties must be
involved because industrial relations management in any organisation is important
and is the place where provides rights of both employers and employees and the
right of workers must be followed to ensures that employees and employers work
comfortable and peacefully so that the employees performance can be improved.
Organisation should ensures that they improves the available principles of the
organisation which guide both employer employees of the organisation and makes
sure that all principles are well known to all members of the organisation, this will
help to avoid misunderstandings among workers and focus on their duties and
responsibilities also it can be easy to the managers to manage the IR on the
organisations and led to effective IRM practice to the organisation which may result
to the increase of the improvement of the employees performance hence
organisational performance.
The organisations have to ensures the provisions of the education about the IR and its
impact to the employees employer and organisational in general and its importance
to the development of the organisation so that may lead to simplify the IRM practice
system to the manager on the organisation because some errors and
37
misunderstandings can be difficult to occur therefore employees may motivated by
the organisation hence increase of the employees performance.
Managers and the HRO’s on the organisation should have managerial skills on how
to resolve disputes at workplace. The skills will enable them to know the sources and
have in mind the procedure on how to end those disputes. Thus, these will help
employees to be comfortable with the working environment.
38
REFERENCES
39
Kamala, P. (2006). Industrial Relations Law in Tanzania. University of Cap town
[UCT]. Retrieved from https;//open.uct.ac.za.
Kumar A. (2013). Data Collection Methods: Primary data, India Retrieved from
www. Slideshare.net.com
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41
APPENDICES
Appendix 1
INTRODUCTION
Dear respondent
I am a student from Mzumbe University Mbeya Campus, pursuing bachelor degree
of human resource management. These are the research questionnaires for my study,
research study topic entitled ‘‘Assessment on the effect of industrial relation
management practice on the employees performance; A Case study of NSSF at
Mbeya municipal council, Please take a few minutes over the question carefully and
then answer them in good conscience. After filling this questionnaire please return
them to the prevention local officer or person for my easy assemblage. Your
responses and identity shall remain confidential and shall be used only for academic
purpose of assisting me to fulfil the requirement for the award of Bachelor of Human
Resource Management of Mzumbe University.
Thank you.
Respondent’s demographic information.
1. Your age (Tick where appropriate)
A) 2530 ( )
b) 31-36 ( )
c) 37-42 ( )
d) 43-49 ( )
e) 50+ ( )
2. Gender: F/M
3. Level of education (Tick where appropriate).
a) Masters
b) Bachelor degree
c) Diploma
42
jo
b title
a) Top level
b) Middle level
c) Low level ( )
43
APENDEX 2
(a)Yes b) No
.........................................................................................................................................
.........................................................................................................................................
.........................................................................................................................................
........................................................................................................................................
ii) If no for question B(ii) what are the positive and negative effect of it mention
them and explain it on how affect the employees as well as the organization?
…………………………………………………………………………………………
…………………………………………………………………………………………
………………………………………………………………….....................................
........................................................................................................................................
I) if yes for question C (1), what is the benefit of solving conflict by using dispute
resolution as the element of industrial relation management practice to the
employees?
.........................................................................................................................................
.........................................................................................................................................
.........................................................................................................................................
......................................................................................................................................
ii ) If not for question C (2) what are the circumstance that hinder employees to
practice dispute resolution at NSSF?
…………………………………………………………………………………………
…………………………………………………………………………………………
…………………………………………………………….............................................
.......................................................................................................................................
a)As an employee what do you understand about trade union in your organization for
managing industrial relations practice at NSSF?
.........................................................................................................................................
.........................................................................................................................................
........................................................................................................................................
.........................................................................................................................................
.........................................................................................................................................
.......................................................................................................................................
45
c) How trade unions facilitate performance of employees in industrial relation
management practice?
.........................................................................................................................................
.........................................................................................................................................
.......................................................................................................................................
Do you think there are some challenges facing employees for practice industrial
relation management at your organization especially at NSSF?
Yes b) No
i) If the answer is yes to question E(1) what are those challenges, mention and
explain them
…………………………………………………………………………………………
…………………………………………………………………………………………
………………………………………………………………….....................................
.......................................................................................................................................
ii) If the answer is not to questioning E (2) what are strategies made by the top
management to ensure that industrial relation management is well practice in the
organization?
....................................................................................................................................................
....................................................................................................................................................
....................................................................................................................................................
....................................................................................................................................................
46
Appendix 4
INTERVIEW GUIDE
(To DEO, and Manager)
5. What are the challenges facing employees in conducting trade union in Industrial
Relations Management practice at NSSF?
47
48