Industrial /labor relationship

Unit: 8 Change, before change changes you !!Rich Human Resource Turns the Poor Country into Rich Country, but not vice-versa.HR creates a distinctive competency to an Organization Be part of It.Competition! Competition!! Meet it Through Enriching Your HR !! , Not by any other Means!!!

1Industrial /labor relationshipDale Yoder: Whole field of relationship that exists because of the necessary collaboration of men and women in the employment process of an industry.

ILO: Relationship between the state and the employers and workers organizations or the relations between the occupational organizations themselves.2Objectives of IRCongenial Labour-Management RelationsEnhance Economic Status of EmployeesReduce Industrial ConflictsSocialize IndustriesParticipative Decision-Making Solve Problems through NegotiationsIndustrial Democracy

3Objectives of IRTo promote and develop congenial labour management relationsTo enhance the economic status of the worker by improving wages, benefits and by helping in evolving sound budgetTo regulate the production by minimizing industrial conflicts through state control

4Approaches to IRPsychological ApproachSociological ApproachHuman Relations ApproachNon-Violence , Truth and Trusteeship

5Three Actors of HREmployees and their Organizations

Employers and their Organizations

Government6Actors of HR

7Courts and TribunalsThese help in resolving industrial disputes. Labor courts examine the legality of orders passed by the employers, the discharge of employees, withdrawal of concessions or privileges, matters relating to lock-outs and strikes. Industrial tribunals deal with matters related to wages, compensations and other allowances, bonuses, rules of discipline, retrenchment, and closure of organizations. For example, the Australian Industrial Relations give great importance to courts. The courts give quick binding decisions thus, minimizes economic losses.

8Why Trade Unions?To Provide Economic SecurityTo Improve Bargaining PowerTo Ventilate workers GrievancesTo Satisfy Workers Social needsTo Secure Power to Employees

9Trade Union : FunctionsProtecting Workers Interest-Wage, Benefits, Job Financial and non-financial assistance during strikes, medical, sickness, educational, housing.Affiliation to a Political Party, helping Political Party , Collecting donationsEducation, journal, Research..

10Employee AssociationEmployers join what are called employer associations/employer federations/trade associations.Like trade unions, employer associations are made up of businesses and employers and who all pay annual fees for their benefits.

11Employer associationEmployer association function as a counterbalance to labor unions, helping businesses organizes their resources and promotes their interests. Many employer associations, including the nation's largest, the U.S. Chamber of Commerce, engage in political lobbying designed to promote the passage of legislation favorable to employers.12Employer associations and the GovernmentThey want the government to control things such as inflation, law and order, health and safety, and education for the workforce.Lower taxes.More freedom for businesses.Fair competition.Good transport infrastructure.Access to overseas markets.Reliable source of power.

1313Causes of industrial disputeAn industrial dispute is basically a difference betweenemployer and employees. The causes of industrial disputecan be broadly classified into two categories: economic andnon-economic causes.The economic causes will include issues relating to compensation like wages, bonus, allowances, and conditions for work, working hours, leave and holidays without pay, unjust layoffs and retrenchments.

The non-economic factors will include victimization of workers, sympathetic strikes, political factors, indiscipline etc.14Ways to avoid labor disputesHigher wagesBetter benefitsBetter working conditionIncreased job securityMeet regularly with union representativesBe fair , but dont away the farm.15

Disciplinary action

Sometimes, an employer might need to raise more serious concerns with an employee. In these cases, the employer may wish to commence disciplinary action. Disciplinary action can take many forms. It should be seen primarily as a corrective measure, aimed at preventing further misconduct or poor performance. The most common types of disciplinary action are warnings and, in serious cases, dismissal. However, disciplinary action can sometimes mean suspension from work, or the removal of certain privileges, or, in rare instances, demotion.

16Disciplinary actionTo be lawful, disciplinary action or dismissal must be fair and reasonable in all the circumstances (with some limited exceptions). There are two aspects to this:The employer must have good reason for the dismissal or disciplinary action, andThe employer must follow a fair process in reaching and implementing its decision.

17Types of disciplinary problemsAttendance relatedOn-the job behaviorDishonestyOutside activities18

Disciplinary steps

Disciplinary procedure should include the following steps:A letter setting out the issue.A meeting to discuss the issue.A disciplinary decision.A chance to appeal this decision.

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Other sanctions

Where the misconduct is serious but falls short of gross misconduct, other options - provided the worker's contract allows - include:transferring the worker to another jobdemotionnon-payment of bonuses

20OUTPLACEMENTProfessional coaching, practical guidance and essential facilities to help people move to the next stage in their careers, either within their current organizations or elsewhere.21Outplacement assistance

Efforts made by the employer to help a recently separated worker to find a job. Assistance- -paid leave, -travel charges, -search firm charges to the retrenched employees

22Services & Training Provided in OutplacementWriting better resumes

Preparing for the interviews

Mock interviews

Telling about networks & networking

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Grievance Handling

Grievance may be defined as a complaint or resentment against any unjust or unfair act. Grievance is any issue associated with an organisation or its management like employee discrimination or harassment by managers. Grievance may also be any alleged violation of employee contracts or settlements or violation of any laws, or on race, age or sex discrimination.

24Grievance handling procedure

25Importance/benefits of grievance procedureGrievance Procedures is a must for any organizations because it gives employees an opportunity to voice out there problems whether it concerns occupational health & safety or complaints concerning harassment ,discrimination ,....any problems within the work area.

Furthermore by having a uniform grievance procedures it ensures that problems are dealt with in the same manner for everybody. Unbiased managementTimelinessDefined procedure26Importance/benefits of grievance procedureWithout proper grievance procedures a number of potential problems may arise, these include: increase absenteeism, increased leave due to stress and low morale within the work force. Therefore, organizations need to have a good working relationships aimed at preventing disputes from arising or if disputes do occur, to have procedures for effectively handling and resolving them.

27Conflict managementConflict management is the process of limiting the negative aspects of conflict while increasing the positive aspects of conflict.The aim of conflict management is to enhance learning and group outcomes, including effectiveness or performance in organizational setting (Ra him, 2002, p.208).Properly managed conflict can improve group outcomes (Alpert, Osvaldo, & Law, 2000; Booker & Jame son, 2001; Ra-him & Bono ma, 1979; Kuhn & Poole, 2000; Church & Marks, 200128Causes of conflicts at work

29Resolving conflicts

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Dismissal Redundancy

Redundancy happens when a person is told to leave the job because his skills are of no more use to the organisation. This may happen due to many reason, for example,A merger between two firms results in surplus job.A business is losing sales and wants to cut the production level or cost and may lay off employeesThe product is taken out of production altogetherMaybe new machinery is introduced and it requires different skills and qualifications to operate it.It is also known as retrenchment.

31Collective bargainingCollective bargaining is a tool people use to end conflict and get things going again in business. Occurring in either continuous or periodic forms, its aim is to make things better for both the employer and employee overall, or to initiate social changes. The disadvantages such as expense and creating divisions in companies are significant, but this technique also provides some big advantages such as giving workers a safe way to voice their concerns and opinions.32Collective bargainingThe term collective bargaining refers to a good-faith business mechanism people use to reach an agreement. Through basic negotiation and other techniques, the people involved find solutions to work-related issues such as vacation time, pay, work hazards, training and work hours that ultimately benefit everyone. People call these processes collective because the opinion and well-being of the whole group, or collective, is involved. The Universal Declaration of Human Rights formally recognizes the ability of people to use this strategy.33Collective bargaining

34collective bargaining process/stepsPrepareDiscussProposeBargainsettlement35Current issues/situation of labor relations in NepalIssues related to the IR strategy and policy makingIssues related to collective bargaining and personnel policiesIssues related to IRs at the work place (QWL)

36Labor Legislation in NepalIt guides the IR and influence the HR activities of the organization.Legislation is guided by the national culture and value systems which vary from country to country and this is reflected in the law of different countries.37Labor Legislation in NepalThe labor act 1992Child labor act 2000Trade Union act199238dictionaryCongenial : suitable to your needs or similar to your nature.Tribunals: an assemblySympathetic: friendly fellow feelings;Mock: treat with contemptBullying: the act of intimidating a weaker person to make them do somethingRedundancy: the attribute of being superfluous and unneeded

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