DPA 04: ELEMENTS OF INDUSTRIAL RELATIONS (Core)

Purpose of the course

This course will provide the learner with knowledge and skills of the current concepts in
industrial relations. This is multidisciplinary academic field that studies the employment
relationship that is : the complex interrelationships between the employer and the employee,
trade unions , employer organizations and the state.

Course content

Legal foundations of industrial relations in Kenya; theories of social and economic development
and emergence of classes; industrial relations and trade unionism in colonial and post-colonial
Kenya; the politics of collective bargaining; collective bargaining in a transitional society with
special reference to Kenya;

emerging gender issues in developing on industrial labour force in Kenya. The effects of
globalization in

industrial relations. Industrial relations in the human resources development matrix.

Learning Outcomes

At the completion of this course students will be able to:

1. Explain the purpose of Industrial Relations

2. Describe the process of collective bargaining

3. Explain gender issues in relations to labour industry

4. Identify the effects of globalization in industrial relations

Teaching/Instructional Strategies

The course will be conducted in various ways to provide the students with skills and knowledge
of the avarious themes;

• Lectures
• Class presentations and discussions of topical issues

• Through use of core reference books and materials

The Concepts Behind Industrial Relations

The term industrial relations comprises two words, i.e. ‘industry’ and ‘relations’. The term
‘industry’ refers to any productive activity in the organisation in which the employees are
engaged. On the other hand, the term ‘relations’ refers to the relationship, which exists within
the industry between the management and the employees. The relationship between
management and employees within the organisational settings is defined by industrial relations.
Industrial relations emerge directly or indirectly from management-trade union relationships.

Industrial relations imply the relation between both employer and employees during the period
of employment in an industrial organisation. However, the concept of industrial relations has a
broader meaning.

Industrial relation refers to a relationship between the employers and employees. It also
refers to a field of study that examines these types of relationships, especially groups of
workers in unions.

The employers are represented by management and employees are represented by unions.
There's also a third party involved, the government which acts in the interests of the
employees by enacting various legislation.

In a broader sense, the term industrial relations refer to the relation between various unions,
state and union, and between employers and government. Relations of all those associated
with the industry may be known as industrial relations.
According to the International Labour Organisation (ILO), industrial relations deals with
relationships between either state and employers and workers organisations or the relationship
between the occupation organisation themselves.

Characteristics of Industrial Relation

Following are the significant features of industrial relations:

 Industrial relations are the result of employment relationships in industrial enterprises.

 Industrial relations introduced the concept and method of balancing and cooperating

 Industrial relations formulate rules and regulations to maintain harmonious relations

 The intervention of the Government to shape the industrial relation is made through laws,
agreements, rules, charters, etc.

 iIndustrial relations incorporate both individual relations and collective relations.Several

parties play a role in industrial relations.

 The main parties are employees and their organisation, employers and their association,
and government.

Objectives of Industrial Relation

Following are the different objectives of industrial relation.”

 To establish industrial peace.

 To safeguard the interests of both workers and management.

 To avoid industrial disputes.

 To raise the production capacity.

 To establish industrial democracy.

 To minimise the labour turnover rate and absenteeism.

  To safeguard the workers economic and social interests.

 To contribute to the economic development of the country through productivity.

 To establish a full employment situation.

 To minimise strikes, lockout, Heroes, etc., by providing good working conditions and fair
wages to the workers.

Nature of Industrial Relation

 Industrial relations are concerned with the relationship between management and
workers.

 Industrial relations safeguards the interest of employees

 Industrial relations are concerned with the system, rules, and procedures used by unions
and employees to determine the reward for effort and other conditions of employment,
safeguard the interests of the employees and their employer and regulate how employers
treat their employees

 Industrial relations maintain a balance with employee expectations, employer

associations, trade unions, and other social and economic institutions of
societies.Industrial relations help in resolving disputes, conflicts, and controversies
between labour and management.

Scope of Industrial Relation

Industrial Relations is a wide-reaching term. Different scholars have expressed their different
views on the scope of industrial relations.

According to Dale Yoder, “Industrial relations incorporate policies related to recruitment,

selection, training of workers, personnel management, and collective bargaining.”
According to the International Labour Organisation (ILO), industrial relations incorporate the
relations between state and employers and relations between trade unions and employers
associations.

According to Richard A Lester, the scope of industrial relations is no longer limited only to trade
unions and industrial management, rather it includes all aspects of labour such as wages,
productivity, social security, management, and employee policies. Trade Union policies also
form part of it.In a modern organisation, the industrial relations functions are performed by the
Industrial Relations Department.

This function is performed under the supervision of the Director of the Industrial Relations
department. In the performance of this function, support is rendered by different managers
and subordinates.

Different important functions performed by workers of the industrial relation department

includes:

 Management of policies and programs of industrial relations

 Public RelationLabour RelationRecruitment, Selection, and Placement of labourers

 To provide medical and health-related services.

 To maintain employment records of the employees.Provision of recruitment test, ability

test, skill test, and intelligence test.Provision of training and education program

Importance of Industrial Relations

Promotes Democracy: Industrial relations means employing collective bargaining to resolve

issues faced by workers. This collective bargaining is generally employed through cooperation
and mutual agreement amongst all the affected parties, i.e., democracy, management, and
employees unions. This enables an organisation to establish industrial democracy, which
eventually motivates the workers to perform their best to the growth and prosperity of the
organisation

High Morale: Good industrial relations enhance the morale of the employees and motivate the
workers to work more efficiently

Avoid Conflicts Between Management And Union: Industrial relations minimise issues
between unions and management. This is because industrial relations incorporate setting up
machinery to resolve issues faced by management and employees through mutual agreement
to which both these parties are bound. This results in ignoring any unfair practices that could
lead to major conflicts between employers and trade unions.

Minimises Wastage: Satisfactory Industrial relations are maintained on the basis of co-
operation and recognition of each other in the department. It helps to minimise wastage of
material, manpower, and costs

Economic Growth And Development: Good and harmonious industrial relations result in
increased efficiency and hence prosperity, which in turn minimise turnover and other tangible
benefits to the organisation. This promotes economic growth and development

Functions of Industrial Relations

 The important functions of industrial relations are:

 To establish communication between workers and management to maintain the sound

relationship between the two.

 To establish support between managers and employees.

 To ensure the creative contribution of trade unions to avoid industrial conflicts.

 To safeguard the interests of workers and the management,To avoid an unhealthy and
unethical atmosphere in an industry.
  To formulate such considerations that may promote understanding, creativity, and
cooperativeness to enhance industrial productivity.

 To ensure better workers’ participation.

Conclusion To conclude, industrial relation, also known as an employment relationship, is the

versatile academic field that studies the employment relation, i.e. the complex interaction
between employer and employees, labour/trade union, and employer organisation and state.
Also, it is observed that a good industrial relation increases the efficiency of workers and
eventually increases the productivity of an organisation. Transpare

The structure of industrial relations

Samuel Gompers, an American and key labour union member in the late 1880s, suggested that
three parties – employers, unions and government – are essential players in the modern
industrial relations structures. With employees playing a vital role as well.

1) Employers

Employment relations broadly refers to the relationship between employer and employees
and, as such, encompasses functions such as human resource management and union
management. Adhering to best labour practices helps create a framework to manage
employees better.

Many businesses invest more resources in building relationships with employees and keeping
their workplaces healthy. Several studies have linked a company’s performance to the internal
environments created in an organisation. The net result is improved revenues, higher efficiency,
and greater productivity.
Employers must be willing to improve how they communicate with employees to provide a
good employee experience. They can achieve this by maintaining strong relationships. An
employer should treat employees fairly and value their efforts by creating a healthy work
experience where employees feel empowered.

Employers must create a work environment that is free from jokes, comments, innuendo, and
sexual conduct that may embarrass or offend employees. The objective is to bring
comfortability and good relations into the workplace, allowing everyone to thrive.

2) Employees

Industrial Relations emphasises building employee confidence and boosting their morale to
perform better than before. An employee’s perception may differ from how the employer sees
them, so employee relationship management can help balance any views towards a more
positive relationship between the two parties.

Employees must maintain a courteous relationship with their employer for these reasons. This
positive relationship leads to an improved understanding of each other’s needs and
expectations and creates harmony in the workplace.

Many employees struggle with social isolation, communication, and a sense of belonging.
Internal communications can help bridge the transparency gap and empower employees to
trust and work towards our shared corporate values and mission. Respecting company policies
should be at the forefront of every employee as these guide how to conduct oneself in a
business setting.
3) Government

The government assumes the role of guarantor of employment and economic planning. One
can view the Basic Conditions of Employment Act (BCEA) as the government’s contribution to
managing employer-employee relationships. It is one of several policies and acts drafted as part
of their contribution to maximise and provide the fair management of industrial relations.

Essentially, government benefits from industrial relations as a safe working environment helps
to increase employee and employer satisfaction.

4) Trade Unions

Trade unions oppose the exploitation of workers and represent the interests of workers in
labour relations by creating fair and equal bargaining powers between all parties concerned.

The various organised trade union movements in Kenya have engaged in a series of campaigns
challenging the government on economic inequality, inadequate social security, and food and
energy prices.

Unions can also help with other aspects of work-life, such as accompanying employees to
disciplinary hearings and representing individuals and those part of bargaining councils in
disputes with one’s employer. Some unions organise training, career development and social
events. A necessary condition for unions to assume partnership responsibilities is that
governments and employers recognise the right of workers to be represented by unions of their
free choice.