Tag: University of Mumbai BMS Notes

During the early period of industrial development, efforts towards workers’ welfare was made largely by social workers, philanthropists and other religious leaders, mostly on humanitarian grounds. Before the introduction of welfare and other legislation in India, the conditions of labour were miserable. Exploitation of child labour, long hours of work, bad sanitation, absence of safety measures etc., were the regular features of the factory life. The earliest legislative approach could be tracked back to the passing of the Apprentices Act of 1850. This act was enacted with the objective of helping poor and orphaned children to learn various trades and crafts. The next act was the Fatal Accidents Act of 1853 which aimed at providing compensation to the families of workmen who lost their life as a result of “actionable wrong”. Earlier attempts at legislation in this country were mainly aimed at regulation of employment.

Pre- Independence Era

The movement to improve the working conditions of Indian labour started with the passing of the first Indian Factories Act in 1881. The deplorable conditions in which labour worked in the textile mills in Bombay during those days, as testified by the factory commission of 1875 was the immediate cause for the passing of the Act. Adult labour, however, was not protected in any manner. It was found inadequate in many respects. Any how, it recognized the right of the government to safeguard the interests of the workers by means of a suitable legislation. Therefore, the Mulock Commission was appointed by the Government of Bombay in 1884 to review the working of the Factories Act of 1881.

The Factories (Amendment) Act 1891 applied to all factories employing 50 persons or more. Provisions relating to better ventilation, cleanliness and for preventing over crowding in factories were also made. The hours of work for children were reduced to six per day. Employment of women between 7.00 pm and 5.00 am was prohibited. Women were allowed to work for eleven hours in a day with one and a half hours rest. Certain provisions were also made for the health and safety of the Industrial workers.

The outbreak of First World War in 1914 let to a number of new developments. During the war years (1914 to 1918) the number of factories and the number of persons employed wherein increased. Wages did not keep pace with the rising prices and profits. The establishment of the International Labour Organization (ILO) in 1919 was another important land mark in the history of Labour Welfare Movement in our Country. The formation of AITUC (1920), the first central trade union organization in our country, also helped in furthering the cause of welfare movement.

Another milestone in the field of labour welfare was reached with the appointment of Labour Investigation Committee (Rege Committee) in 1944. The committee was asked to investigate problems relating to wages and earnings, employment, housing and social conditions of workers. It covered different areas in labour welfare such as housing policy, rest and recreation, occupational diseases, relief in the case of old age and death, crushes, canteens, medical aid, washing and bathing facilities , educational facilities etc. For the first time in India, this committee highlighted the importance of welfare measures for workers in improving their social and economic life.

Post Independence Period

After independence, the labour welfare movement acquired new dimensions. It was realized that labour welfare had a positive role to play in the increasing productivity and reducing industrial tensions. The emergence of different central trade union organizations – INTUC (1947), HMS (1943), BMS (1955), CITU (1970), NLO etc. gave a further fillip to the growth of labour welfare movement. Mainly on the basis of the recommendations of the Rege Committee, the Government of India enacted the Factories Act 1948. To draft this important piece of legislation the services of Sir Wilfred Garrett were utilized. Thus, the Factories Act of 1948 came into effect from 1^st April 1949.

Various Labour Welfare Activities were incorporated in different five year plans. The First Five Year plan (1951 to 1956) paid considerable attention to the welfare of working classes. It laid emphasis on the development of welfare facilities, for avoidance of Industrial Disputes and for creating mutual goodwill and understanding. During this period, the Plantations Labour Act, 1951, the Mines Act, 1951, and the Employees’ Provident Fund Act, 1952 were enacted.

The Second Five Year plan (1956 to 1961) saw further developments in the field of labour welfare. New enactments were made to cover seamen and motor transport workers. A comprehensive scheme known as Dock Workers (safety health and welfare) scheme was drawn up in 1951. In 1959, the Government of Assam passed an Act called The Assam Tea Plantations Employees’ Welfare Fund Act. This period also saw number of enactments in the field of industrial housing by various state governments.

The Third Five Year plan (1961 to 1966) stressed the need for effective implementation of various statutory welfare provisions. It recommended improvement in working conditions and emphasized greater productivity on the part of workers. Some of the legislative measures during this period include the Maternity Benefit Act 1961, Apprentices Act 1961, and Payment of Bonus Act 1965.

The Fifth five year plan (1974 to 1979) also laid down programmes for labour welfare. For promoting industrial safety in increasing measure, the plan provided for setting up of safety cells in various states. An amount of Rs.57 crores was provided for labour welfare including craftsmen training and employment service.

The Sixth Five Year plan (1980 to 1985) decided to promote special programmes which would also need to be undertaken by the state governments for the benefit of Agricultural Labour, Artisans, Handloom Weavers, Fishermen, Leather workers and other unorganized workers in the rural and urban areas. An outlay of Rs.161.7 crores was proposed for the labour welfare programmes during this year.

In spite of all these efforts, the welfare work in India is still considerably below the standard setup in other countries. However, it has come to stay as an accepted feature of employment conditions and is bound to make rapid progress in the years to come, especially when the Indian Republic is wedded to the ideal of a welfare state with socialistic objectives.

Paternalism is action that limits a person’s or group’s liberty or autonomy and is intended to promote their own good. Paternalism can also imply that the behavior is against or regardless of the will of a person, or also that the behavior expresses an attitude of superiority. Paternalism, paternalistic and paternalist have all been used as a pejorative.

The word paternalism is from the Latin pater “father” via the adjective paternus “fatherly”, which in Medieval Latin became paternalis. Some such as John Stuart Mill think paternalism to be appropriate towards children, saying: “It is, perhaps, hardly necessary to say that this doctrine is meant to apply only to human beings in the maturity of their faculties. We are not speaking of children, or of young persons below the age which the law may fix as that of manhood or womanhood. “Paternalism towards adults is sometimes thought of as treating them as if they were children.

Criteria for effective paternalism

Thomas Pogge argues that there are a number of criteria for paternalism.

• The concept should work within human flourishing. Generally accepted items such as nutrition, clothing, shelter, certain basic freedoms may be acceptable by a range of religious and social backgrounds.
• The criteria should be minimally intrusive.
• The requirements of the criteria should not be understood as exhaustive; leaving societies the ability to modify the criteria based on their own needs.
• The supplementary considerations introduced by such more ambitious criteria of justice must not be allowed to outweigh the modest considerations.

Types

Soft and hard

Soft paternalism is the view that paternalism is justified only if an action to be committed is involuntary. John Stuart Mill gives the example of a person about to walk across a damaged bridge. We can’t tell the person the bridge is damaged as he doesn’t speak our language. According to soft paternalism, we would be justified in forcing him to not cross the bridge so we could find out whether he knows about the damage. If he knows and wants to jump off the bridge and commit suicide then we should allow him to. Hard paternalists say that at least sometimes we are entitled to prevent him from crossing the bridge and committing suicide.

Pure and impure

Pure paternalism is paternalism where the persons having their liberty or autonomy taken away are those being protected. Impure paternalism occurs when the class of people whose liberty or autonomy is violated by some measure is wider than the group of persons thereby protected.

Moral and welfare

Moral paternalism is where paternalism is justified to promote the moral wellbeing of a person(s) even if their welfare wouldn’t improve. For example, it could be argued that someone should be prevented from prostitution even if they make a decent living off it and their health is protected. A moral paternalist would argue that it is ethical considering they believe prostitution to be morally corrupting.

Employee welfare means anything done for the comfort and (intellectual or social) improvement of the employees, over and above the wages paid.

In simple words, it means “the efforts to make life worth living for workmen.” It includes various services, facilities and amenities provided to employees for their betterment. These facilities may be provided voluntarily by progressive entrepreneurs, or statutory provisions may compel them to provide these amenities; or these may be undertaken by the government or trade unions, if they have the required funds.

According to ILO, “Employee welfare should be understood as such service, facilities and amenities which may be established in or in the vicinity of undertakings to enable the persons employed in them to perform their work in healthy and peaceful surroundings and to avail of facilities which improve their health and bring high morale”.

The objectives of employee welfare are to improve the life of the working class, to bring about holistic development of the worker’s personality and so on. Employee welfare is in the interest of employee, employer and the society as a whole. It enables workers to perform their work in healthy and favorable environment.

Hence, it improves efficiency of workers and keeps them content, thereby contributing to high employee morale. It also develops a sense of responsibility and dignity amongst the workers and thus makes them good citizens of the nation.

Apart from the wages and salary, anything done by the organization to improve the living standard of employees and keep them contented comes under the realm of employee welfare. All those services, benefits and facilities offered to employees by the employer to make his life worth living, are included in employee welfare.

According to ILO, “Employee welfare should be understood as such service, facilities and amenities which may be established in or in the vicinity of undertakings to enable the persons employed in them to perform their work in healthy and peaceful surroundings and to avail of facilities which improve their health and bring high morale”.

Employee welfare is for the betterment of the workers. It involves adjustment of an employee’s work life and family life to the community and social life. Welfare measures may be both voluntary and statutory (prescribed under labour laws).

The need and importance of employee welfare is being increasingly appreciated throughout the civi­lized world. The concept of welfare is a dynamic one and has different connotations in different countries and at different times in the same country, according to the prevailing value system, social institution, degree of industrialization, and the general level of social and economic development.

Some describe employee welfare or labour welfare as ‘an attitude of mind’ while others merely catalogue the schemes and measures which should be included in labour welfare. There are some who emphasize the voluntary nature of measures and include the measures that are undertaken by the employers beyond what is required by law. Some interpret labour/employee welfare measures to mean only measures which are legally obligatory.

International Labour Organization (ILO) defines welfare as:

According to the ILO, ’employees’ welfare should be understood to mean such services, facilities, and amenities which may be estab­lished in or in the vicinity of undertakings to enable the persons employed in them to perform their work in healthy and congenial surroundings, and provided with amenities conducive to the good health and morale.’

Welfare work is the task to be done by the employer voluntarily for the intellectual, physical, moral, and economic betterment of employees, over and above which is laid down by law, or what is expected as a part of contractual benefits for which the employee may have bargained.

Thus, under this definition we may include housing, medical and educational facilities, nutrition, facilities for rest and recreation, cooperative societies, day nurseries and creches, provision for sanitary, accommodation, holidays with pay, social insurance measures undertaken voluntarily by the employers, and would also include schemes like provident fund, gratuity, and pension etc. The term welfare is thus very flexible.

In India, which has embarked upon a vast programme of industrialization, the need for labour welfare is all the more important because it creates a healthy atmosphere in the work place, keeps the labour force stable and contended, and helps in maintaining industrial peace, thereby improving productive efficiency of the workers.

It is in recognition of this need that under successive five year plans, and also in the industrial policy statements, welfare measures had been accorded a due place. The agencies responsible for administering welfare measures are the Central Government, State Government, employers and their organizations, work­ers’ organizations, and Statutory Welfare Funds.

To supplement the efforts of the employees and the State Governments in providing welfare amenities to the workers, welfare funds have been set up in coal, mica, iron ore, manganese ore, limestone and dolomite mines, and in the beedi industry.

The principal activities financed out of the fund include general welfare such as medical facilities, water supply, education and recreation, and housing. The funds have been created by the levy of the cess on production or consumption or export of the minerals and, in the case of beedi, on the manufactured beedis.

Employee welfare concept

The terms ’employees’ welfare’ and ‘workers’ welfare’ are used interchangeably to denote various services provided by the employers to the employees in addition to wages. According to Arthur James Todd, “Employee welfare means anything done for the comfort and improvement, intellectual or social of the employees over and above the wages paid which is not a necessity of the industry”.

According to a publication of ILO, Employee welfare should be understood as meaning with services, facilities and amenities which may be established in or in the vicinity of undertakings to enable the persons employed in them to perform their work in healthy and peaceful surroundings and to avail of facilities which improve their health and bring high morale”.

Employee welfare is a dynamic concept as new welfare measures are added to the existing ones along with social changes. It is also a comprehensive concept. The modern concept of employee welfare entails all those activities of the employers which are directed towards providing the employees with certain facilities and services in addition to wages or salaries.

These are not a form of employers’ goodwill or charity to the workers, but are facilitative services to build and maintain the morale of the workers to achieve the objectives of the organisation. It is not only in the interest of the employees to provide them with necessary medical benefits, recreation facilities, retirement benefits, etc., but also in the interest of the organisation itself.

The employees feel satisfied if they are provided with such services and they also feel committed to the organisation. Though welfare services are merely maintenance factors and not motivators, yet they are necessary for the health of the organisation since they bear close connection with the productivity of the employees.

The basic features of employees’ or labour welfare are as follows:

(i) Labour welfare includes various facilities, services and amenities provided to workers for improving their health, efficiency, economic betterment and social status.

(ii) Welfare measures are in addition to regular wages and other economic benefits available to workers due to legal provisions and collective bargaining.

(iii) Labour welfare measures are flexible and ever-changing. New welfare measures are added to the existing ones from time to time.

(iv) Welfare measures may be introduced by the employers, government, employees or by any social or charitable agency.

(v) The purpose of labour welfare is to bring about the development of the whole personality of the worker to make him a good worker and a good citizen.

Employee Welfare Objectives

The objectives of employee welfare are discussed below:

(i) To enhance the level of morale of employees.

(ii) To create a loyal, contented workforce in organization.

(iii) To develop a better image of the company in the minds of the employees.

(iv) To enable the workers to live comfortably and happily.

(v) To develop efficiency of the workers.

(vi) To reduce influence of trade unions over the workers.

(vii) To expose philanthropic and benevolent activities of the company.

(viii) To make the workers know that the company takes care of them.

(ix) To develop positive attitude towards job, company and management.

(x) To reduce tax burden.

(xi) To develop a feeling of satisfaction of employees with the company.

(xii) To develop a sense of belonging to the company.

(xiii) To retain skilled and talented workers.

(xiv) To develop better human relation.

(xv) To prevent social evils like drinking, gambling through improvement of working conditions, cultural activities and social conditions.

Employee welfare work assumes great importance because of the following reasons:

1. Lack of strong trade union movement: In the absence of strong trade unions and effective leaders, welfare work helps the workers in the industry to stand on their own feet, think properly and systematically of their interests, progress hand in hand and participate in the nation’s development.
2. Poverty: Poverty is one of the main reasons behind the provisions of labour welfare activities. Indian workers in majority are poor, and are, therefore, unable to provide a healthy living for their families and good education for their children.
3. Illiteracy: In India, the number of educated workers is low. Being illiterate, they are unable to receive advanced industrial training, understand the problems in industries, and understand their own interests and those of nations.
4. Low level of health and nutrition: Due to poverty and illiteracy, the Indian workers remain unhealthy and ill fed. This reduces their productivity and efficiency.
5. Lack of healthy recreation: Due to lack of healthy recreation, the workers indulge in crime and other wrong activities. The employer should provide means of healthy recreation in order to maintain their efficiency.
6. Lack of training: The number of trained workers in India is very low. Thus, it is necessary to have training facilities for such a vast workforce.

The Humanistic approach was advocated by Australian sociologist Elton Mayo. He finds that most important thing is to treat labour as a human element of production. Therefore, it became necessary to take a new, modern and sympathetic view of labour welfare measures. Humanistic approach comprises of human values and relationships, which was missing in the other approaches of labour welfare. The human factor was absent in management of the industrial units and Mayo found the significance of informal relations among groups of workers and stressed relief for man. This approach considers attitudes, human personality and feelings of workers, while introducing labour welfare. Therefore it is evident that the humanistic approach to labour, welfare takes a progressive view about labour welfare.

This approach says that every individual should be left as free as he can attain his own best interest if they are left free. Therefore, it was opposed by the state as welfare promoting activities undertaken by the government or any social or public agency contradict with this approach. This approach emphasis that scope of labour welfare activities should be as small as possible. This hypothesis is based on following important principles:

• Society in its natural environment form is comprised of individuals. They are highly unorganized and uncoordinated group. Under such an environment every individual is self-cantered and motivated by self- interest.
• That kind of person will always act in a calculated manner. An individual person always looking for a secure life. This kind of individual person mostly engaged and motivated by activities of self- interest. Therefore, he will act in a manner that leads to maximisation of his self-interest.
• Each and every individual person supposed to act throughout the life which will promote his self-interest. He is always trying to achieve the goal with best of his ability.

The Atomistic approach was established on the independence, individualistic and rationality concept of the early 19th century. This approach did draw strong criticism in the 19^th century mainly due to extreme atomistic views has almost disappeared now. This approach led to perception that there is need of increasingly more liberal and progressive view of welfare activities for labour.

According to an ILO Manual in 1960, the Collective Bargaining is defined as:

“Negotiations about working conditions and terms of employment between an employer, a group of employees or one or more employers organization on the other, with a view to reaching an agreement.”

It is also asserted that “the terms of agreement serve as a code defining the rights and obligations of each party in their employment relations with one another, if fixes large number of detailed conditions of employees and during its validity none of the matters it deals with, internal circumstances give grounds for a dispute counselling and individual workers”.

The collective bargaining reached has been of three types:

(1) Agreement arrived at after voluntary direct negotiations between the parties concerned. Its implementation is purely voluntary;

(2) Agreements between the two parties, though voluntary in nature, are compulsory when registered as settlement before a conciliator; and

(3) Agreement which have legal status negotiated after successful discussion between the parties when the matter of dispute is under reference to industrial tribunal/courts.

The Collective Bargaining is the process wherein the unions (representatives of employees or workers), and the employer (or their representative) meet to discuss the issues related to wage, the number of working hours, work environment and the other terms of the employment.

• Conjunctive or Distributive Bargaining: In this form of collective bargaining, both the parties viz. The employee and the employer try to maximize their respective gains. It is based on the principle, “my gain is your loss, and your gain is my loss” i.e. one party wins over the other.

The economic issues such as wages, bonus, other benefits are discussed, where the employee wishes to have an increased wage or bonus for his work done, whereas the employer wishes to increase the workload and reduce the wages.

• Co-operative or Integrative Bargaining: Both the employee and the employer sit together and try to resolve the problems of their common interest and reach to an amicable solution. In the case of economic crisis, such as recession, which is beyond the control of either party, may enter into a mutual agreement with respect to the working terms.

    For example, the workers may agree for the low wages or the management may agree to adopt the modernized methods, so as to have an increased production.

• Productivity Bargaining: This type of bargaining is done by the management, where the workers are given the incentives or the bonus for the increased productivity. The workers get encouraged and work very hard to reach beyond the standard level of productivity to gain the additional benefits.

    Through this form of collective bargaining, both the employer and the employee enjoy the benefits in the form of increased production and the increased pay respectively.

• Composite Bargaining: In this type of collective bargaining, along with the demand for increased wages the workers also express their concern over the working conditions, recruitment and training policies, environmental issues, mergers and amalgamations with other firms, pricing policies, etc. with the intention to safeguard their interest and protect the dilution of their powers.

Thus, the purpose of the Collective Bargaining is to reach a mutual agreement between the employee and the employer with respect to the employment terms and enjoy a long term relationship with each other.

Need:

The basic need of collective bargaining is to arrive at an agreement between the management and the employees determining mutually beneficial terms and conditions of employment.

1. To foster and maintain cordial and harmonious relations between the employer/management and the employees.
2. To protect the interests of both the employer and the employees.
3. To keep the outside, i.e., the government interventions at bay.
4. To promote industrial democracy.

Importance:

The need for and importance of collective bargaining is felt due to the advantages it offers to an organisation.

The chief ones are as follows:

1. Collective bargaining develops better understanding between the employer and the employ­ees:

It provides a platform to the management and the employees to be at par on negotiation table. As such, while the management gains a better and deep insight into the problems and the aspirations of die employees, on the one hand, die employees do also become better informed about the organisational problems and limitations, on the other. This, in turn, develops better understanding between the two parties.

2. It promotes industrial democracy:

Both the employer and the employees who best know their problems, participate in the negotiation process. Such participation breeds the democratic process in the organisation.

3. It benefits the both-employer and employees:

The negotiation arrived at is acceptable to both parties the employer and the employees.

4. It is adjustable to the changing conditions:

A dynamic environment leads to changes in employment conditions. This requires changes in organisational processes to match with the changed conditions. Among other alternatives available, collective bargaining is found as a better approach to bring changes more amicably.

5. It facilitates the speedy implementation of decisions arrived at collective negotiation:

The direct participation of both parties the employer and the employees in collective decision making process provides an in-built mechanism for speedy implementation of decisions arrived at collective bargaining.

1. Favourable Political and Social Climate:

That existence of a favourable political and social climate is a necessary condition for effective collective bargaining, is well confirmed by the his­tory of collective bargaining worldwide. Collective bargaining has made headways in settling industrial disputes in the countries where it has been duly supported by the government and favoured by the public. From this point of view, the political climate has not been much favourable for collective bargaining in India.

The reason is not far to seek. There has been a multiplicity of trade unions in the country sponsored by different political parties. These trade unions favour employees not based on the merit of issues involved in disputes but based on their differing political considerations. Added to these is a plethora of legal laws also creating unfavourable climate for collective bargaining in the country.

2. Trade Unions:

Like in a democratic country like ours, employees should have fundamental rights to form trade unions for protecting their interests. More the stronger the trade union f lie effective collective bargaining and vice versa. The employer should also recognize a trade union and its representatives.

3. Problem Solving Attitude:

Both the parties while negotiating should adopt a problem solving, or say compromising attitude to reach an agreement. Neither party should adopt an adamant or fighting aide. The negotiating teams should follow give and take approach. It means that one party may win concessions over the other depending upon their relative strengths.

4. Availability of Data:

Data and information serve as inputs for decision-making. Hence, the availability of required data serves as a pre-requisite tor successful collective bargaining. While the employer Ike available data required for collective discussion, their union representatives also must accept and trust on data supplied by the employer.

5. Continuous Dialogue:

Collective bargaining sometimes may not reach to an agreement. In- stead, there may be deadlock, or say bargaining impasse. In such case, dialogue must not end but continue with problem solving approach. Keeping the controversial issues aside for the time being may help narrow down disagreement and continue the dialogue. Possibility for agreement may increase with continuation of dialogue.

The definition of employee relations refers to an organization’s efforts to create and maintain a positive relationship with its employees. By maintaining positive, constructive employee relations, organizations hope to keep employees loyal and more engaged in their work. Typically, an organization’s human resources department manages employee relations efforts; however, some organizations may have a dedicated employee relations manager role. Typical responsibilities of an employee relations manager include acting as a liaison or intermediary between employees and managers, and either creating or advising on the creation of policies around employee issues like fair compensation, useful benefits, proper work-life balance, reasonable working hours, and others. When it comes to employee relations, an HR department has two primary functions. First, HR helps prevent and resolve problems or disputes between employees and management. Second, they assist in creating and enforcing policies that are fair and consistent for everyone in the workplace.

To maintain positive employee relations, an organization must first view employees as stakeholders and contributors in the company rather than simply as paid laborers. This perspective encourages those in management and executive roles to seek employee feedback, to value their input more highly, and to consider the employee experience when making decisions that affect the entire company.

The term ’employee relations’ refers to a company’s efforts to manage relationships between employers and employees. An organization with a good employee relations program provides fair and consistent treatment to all employees so they will be committed to their jobs and loyal to the company. Such programs also aim to prevent and resolve problems arising from situations at work

Employee relations has become one of the most delicate and complex problems of modern industrial society. Industrial progress is impossible without labour management cooperation and industrial harmony. Therefore, it is in the interest of all to create and maintain good relations between employers and employees.

Employer-employee relations mean the relationships between employers and employees in industrial organizations. According to Dale Yoder, the term employer-employee relations refers to the whole field of relationship among people, human relationship that exist because of the necessary collaboration of men and women in the employment process of modern industry.

Nature of Employee Relation

1. Employer-employee relations are the outcome of the employment relationship in industry. These relations cannot exist without the two parties employer and employees.” It is the industry which provides the setting for employer-employee relations.
2. Employer-employee relations include both individual relations as well as collective relations. Individual relations imply relations between employer and employees. Collective relations mean, relations between employers’ associations and trade unions as well as the role of the State in regulating these relations.
3. The concept of employer-employee relations is complex and multi-dimensional. The concept is not limited to relations between trade unions and employer but also extends to the general web of relationships between employers, employees and the Government. It covers regulated as well as unregulated, institutionalized as well as individual relations. These multi-pronged relationships may be in organized or unorganized sector.
4. Employer-employee relations is a dynamic and developing concept. It undergoes change with changing structure and environment of industry. It is not a static concept. It flourishes or stagnates or decays along with the economic and social institutions that exist in a society. The institutional forces give content and shape to employer-employee relations in a country.
5. Strictly speaking a distinction can be made between human resource management and employer-employee relations. Human resource management deals mainly with executive policies and activities regarding the human resource aspects to the enterprise while employer-employee relations are mainly concerned with employer-employee relationship. Human resource management refers to that part of employment relations which is concerned with employees as individuals, collective or group relationship of employees and employers constitute the subject matter of employer-employee relations.
6. Employer-employee relations do not function in a vacuum. These are rather the composite result of the attitudes and approaches of employers and employees towards each other. Employer-employee relations are an integral part of social relations. According to Dr. Singh (Climate for Industrial Relations, 1968) the employer-employee relations system in a country is conditioned by economic and institutional factors. Economic factors include economic organizations (capitalist, socialist, individual ownership, company ownership, and Government ownership), capital structure and technology, nature and composition of labour force, demand and supply of labour. Institutional factors refer to state policy, labour legislation, employers’ organizations, trade unions, social institutions (community, caste, joint family, and religions), attitudes to work, power and status systems, motivation and influence, etc.
7. Several parties are involved in the employer-employee relations system. The main parties are employers and their associations, employees and their unions, and the Government. These three groups interact within the economic and social environment to shape the employer-employee relations system.
8. The main purpose of employer-employee relations is to maintain harmonious relationships between management and labour. The focus in these relationships is on accommodation. The parties involved develop skills and methods of adjusting to or cooperating with each other. They also attempt to solve their problems through collective bargaining. Every employer-employee relations system creates a complex set of rules, regulations and procedures to govern the workplace.

Scope

(a) Relationship among employees, between employees and their superiors or managers.

(b) Collective relations between trade unions and management. It is called union-management relations.

(c) Collective relations among trade unions, employers’ associations and government.

Scott, Clothier and Spiegel remarked that industrial relations has to attain the maximum individual development, desirable working relationships between management and employees and effective moulding of human resources. They have also asserted that either industrial relations or personnel administration is primarily concerned with all functions relating man effectively to his environment.

Some of them are as under:

(i) Administration of policies and programmes of industrial relations

(ii) Public Relations

(iii) Labour Relations

(iv) Recruitment, selection and placement of labourers

(v) Formulation of rules relating to law and order situation within the organisation and their explanation

(vi) Provision of recruitment test, intelligence test, ability test, skill test, etc.

(vii) Provision of training and education programme

(viii) Preparing report on performance evaluation and ability evaluation,

(ix) To provide medical and health services

(x) To advise in the solution of problems relating to education, trade, health and conduct of the employees

(xi) To conduct survey on the attitude of the employees

(xii) To complete record of employment of the employees

(xiii) To conduct research on employees

(xiv) To enforce labour legislations

(xv) To provide for redressal of employee’s grievances

(xvi) To provide for collective bargaining and dialogue to minimize labour disputes

(xvii) To provide for retirement and pension programme

(xviii) To prepare and enforce plan regarding compensation and evaluation of individual work performance, etc.

But under industrial relations following aspects can be included:

(a) Promotion of development of healthy industrial relations at plant and industry level.

(b) Maintenance of industrial peace and avoidance of disputes.

(c) Promotion of industrial democracy through participation schemes.

(d) Group relations, i.e., relations between various groups of workmen.

(e) Community relations, i.e., relations between industry and society.

(f) Promotions and development of healthy labour-managements relations.

(g) Prevention of industrial disputes and maintenance of industrial peace and harmony.

There is no clear-cut boundary of each aspect; the areas of these are overlapping to a good extent.

Industrial Relations Nature

Industrial relations are always a mixture of cooperation and conflict. However, much cooperation may be sought as an organizational objective, some conflict will always remain.

There are, at least, three reasons for this:

1. Both the groups (labour and management) develop different orientations and perceptions of their interests. They also develop generally negative images about each other.
2. There are no mutually accepted yardsticks or norms to tell to the two groups how far they should go in the pursuit of their objectives. In the absence of norms, both groups claim complete rationality for their demands.
3. There is no neutral field for the groups to meet on. This means that whenever the two groups meet each other for negotiations, they bring with them, some carryover from the post, besides their inherent distrust and suspicion for each other.

Employee relations may be defined as those policies and practices which are concerned with the management and regulation of relationships between the organisation, the individual staff member, and groups of staff within the working environment.

An organization can’t perform only with the help of chairs, tables, fans or other non-living entities. It needs human beings who work together and perform to achieve the goals and objectives of the organization.

The human beings working together towards a common goal at a common place (organization) are called employees. Infact the employees are the major assets of an organization.

The success and failure of any organization is directly proportional to the labour put by each and every employee.

The employees must share a good rapport with each other and strive hard to realize the goal of the organization. They should complement each other and work together as a single unit. For the employees, the organization must come first and all their personal interests should take a back seat.

Employee Relations

Every individual shares a certain relationship with his colleagues at the workplace. The relationship is either warm, so-so or bad. The relationship can be between any one in the organization – between co workers, between an employee and his superior, between two members in the management and so on. It is important that the employees share a healthy relationship with each other to deliver their best performances.

An individual spends his maximum time at the workplace and his fellow workers are the ones with whom he spends the maximum hours in a day. No way can he afford to fight with his colleagues. Conflicts and misunderstandings only add to tensions and in turn decrease the productivity of the individual. One needs to discuss so many things at work and needs the advice and suggestions of all to reach to a solution which would benefit the individual as well as the organization.

No individual can work alone. He needs the support and guidance of his fellow workers to come out with a brilliant idea and deliver his level best.

Employee relations refer to the relationship shared among the employees in an organization. The employees must be comfortable with each other for a healthy environment at work. It is the prime duty of the superiors and team leaders to discourage conflicts in the team and encourage a healthy relationship among employees.

Life is really short and it is important that one enjoys each and every moment of it.Remember in an organization you are paid for your hard work and not for cribbing or fighting with each other. Don’t assume that the person sitting next to you is your enemy or will do any harm to you. Who says you can’t make friends at work, infact one can make the best of friends in the office. There is so much more to life than fighting with each other.

Observation says that a healthy relation among the employees goes a long way in motivating the employees and increasing their confidence and morale. One starts enjoying his office and does not take his work as a burden. He feels charged and fresh the whole day and takes each day at work as a new challenge. If you have a good relation with your team members you feel going to office daily. Go out with your team members for a get together once in a while or have your lunch together. These activities help in strengthening the bond among the employees and improve the relations among them.

An employee must try his level best to adjust with each other and compromise to his best extent possible. If you do not agree to any of your fellow worker’s ideas, there are several other ways to convince him. Sit with him and probably discuss with him where he is going wrong and needs a correction. This way he would definitely look up to you for your advice and guidance in future. He would trust you and would definitely come to your help whenever you need him. One should never spoil his relations with his colleagues because you never know when you need the other person.

Avoid using foul words or derogatory sentences against anyone. Don’t depend on lose talk in office as it spoils the ambience of the place and also the relation among the employees. Blame games are a strict no no in office.

One needs to enter his office with a positive frame of mind and should not unnecessarily make issues out of small things. It is natural that every human being can not think the way you think, or behave the way you behave. If you also behave in the similar way the other person is behaving, there is hardly any difference between you and him. Counsel the other person and correct him wherever he is wrong.

It is of utmost importance that employees behave with each other in a cultured way, respect each other and learn to trust each other. An individual however hardworking he is, cannot do wonders alone. It is essential that all the employees share a cordial relation with each other, understand each other’s needs and expectations and work together to accomplish the goals and targets of the organization.

Every individual at the workplace shares a certain relationship with his fellow workers. Human beings are not machines who can start working just at the push of a mere button. They need people to talk to, discuss ideas with each other and share their happiness and sorrows. An individual cannot work on his own, he needs people around. If the organization is all empty, you will not feel like sitting there and working. An isolated environment demotivates an individual and spreads negativity around. It is essential that people are comfortable with each other and work together as a single unit towards a common goal.

It is important that employees share a healthy relation with each other at the work place.

• There are several issues on which an individual cannot take decisions alone. He needs the guidance and advice of others as well. Sometimes we might miss out on important points, but our fellow workers may come out with a brilliant idea which would help us to achieve our targets at a much faster rate. Before implementing any plan, the pros and cons must be evaluated on an open forum where every employee has the right to express his opinions freely. On your own, you will never come to know where you are going wrong, you need people who can act as critic and correct you wherever you are wrong. If you do not enjoy a good relation with others no one will ever come to help you.
• Work becomes easy if it is shared among all. A healthy relation with your fellow workers would ease the work load on you and in turn increases your productivity. One cannot do everything on his own. Responsibilities must be divided among team members to accomplish the assigned tasks within the stipulated time frame. If you have a good rapport with your colleagues, he will always be eager to assist you in your assignments making your work easier.
• The organization becomes a happy place to work if the employees work together as a family. An individual tends to lose focus and concentration if his mind is always clouded with unnecessary tensions and stress. It has been observed that if people talk and discuss things with each other, tensions automatically evaporate and one feels better. Learn to trust others, you will feel relaxed. One doesn’t feel like going to office if he is not in talking terms with the person sitting next to him. An individual spends around 8-9 hours in a day at his workplace and practically it is not possible that one works non stop without a break. You should have people with whom you can share your lunch, discuss movies or go out for a stroll once in a while. If you fight with everyone, no one will speak to you and you will be left all alone. It is important to respect others to expect the same from them.
• An individual feels motivated in the company of others whom he can trust and fall back on whenever needed. One feels secure and confident and thus delivers his best. It is okay if you share your secrets with your colleagues but you should know where to draw the line. A sense of trust is important.
• Healthy employee relations also discourage conflicts and fights among individuals. People tend to adjust more and stop finding faults in each other. Individuals don’t waste their time in meaningless conflicts and disputes, rather concentrate on their work and strive hard to perform better. They start treating each other as friends and try their level best to compromise and make everyone happy.
• A healthy employee relation reduces the problem of absenteeism at the work place. Individuals are more serious towards their work and feel like coming to office daily. They do not take frequent leaves and start enjoying their work. Employees stop complaining against each other and give their best
• It is wise to share a warm relation with your fellow workers, because you never know when you need them. You may need them any time. They would come to your help only when you are nice to them. You might need leaves for some personal reasons; you must have a trusted colleague who can handle the work on your behalf. Moreover healthy employee relations also spread positivity around.

Objectives

1. Sound employee relations are based on
   • effective mechanisms for communication and participation.
   • a safe and effective work environment.
   • commitment and motivation of all staff.
2. Accordingly, the University’s policies and practice are aimed at
   • promoting channels of communication at all levels.
   • identifying and expanding common areas of interest between all staff.
   • anticipating and defusing conflict wherever possible.
   • encouraging staff to articulate concerns and conflict and seek resolution of underlying issues.
   • providing channels for conflict resolution and developing mutual trust in their reliability.

Employee representation

1. The University Council recognises the principle of freedom of association.
2. Where staff members choose to have a trade union represent them, the University will make arrangements for recognition, collective bargaining and dispute resolution.
3. All staff members have the right to join the representative body of their choice, but this does not mean that the University will recognise all such bodies for collective bargaining or other purposes. Moreover, while acknowledging that the membership policy of the representative body is the prerogative of its members, the University is committed to maintaining non-racial conditions of employment.
4. Staff members have the right not to belong to a representative body. The University Council will not therefore agree to membership of a representative body becoming a condition of service or appointment.

Victimisation / coercion

1. No staff member shall be victimised by University management as a result of his/her membership of a representative body.
2. University management will seek to protect staff members from being coerced into membership of any association against their wishes, or from being coerced in any way as a result of their non-membership of any association.

Collective bargaining

1. The University Council will recognise a representative body for the purposes of collective bargaining on behalf of staff members in a defined common interest group (the bargaining unit) where the majority of staff members in the bargaining unit demonstrate their wish to have that body represent them.
2. Such recognition shall be formalised in a recognition (or procedural) agreement with the representative body. This agreement shall include details of the following:
   1. The bargaining unit – definition of the common interest group.
   2. Procedures – how negotiations, disputes, grievances, disciplinary matters etc. will be handled. Recognition and procedural agreements between the University and the NEHAWU, the recognition agreement was revoked in 1999 and a new recognition agreement concluded in 2000. Recognition and procedural agreements between the University and the UCT Employees’ Union were signed in 1986 and 1991 respectively. Recognition and procedural agreements between the University and the Academics’ Union were signed in 2010.

Communication and consultation

The University Council recognises the importance of open communication and joint consultation between management and staff. It therefore encourages the exchange of information, ideas and views about matters of mutual interest and concern through both formal and informal channels.

1. Informal systems

The University Council encourages informal communication and consultation at all levels. Department and section heads are encouraged to develop appropriate arrangements to promote discussion of any matters of interest and concern at the workplace.

2. Consultative committees

Where a recognition agreement has been entered into, the administration will arrange regular consultative committee meetings between Human Resources Department staff and other key members of management and the union. The role of the consultative committees is to provide a formal channel of communication between management and employee representative bodies. In particular, management will seek staff members’ views prior to taking decisions affecting their interests. In the same way, staff members bring their issues of concern to the attention of management.

The University administration and employee representative bodies are free to initiate agenda items.

Grievance resolution

The University Council considers it essential that, where a staff member (or a group of staff members) is dissatisfied for any reason arising from the work situation or employment relationship, this should be articulated and resolved as quickly as possible, at the lowest possible level.

A procedure for addressing grievances has been agreed with the NEHAWU, the UCT Employees’ Union and the Academics’ Union.

Discipline

A staff member is required to maintain certain standards of conduct. Any staff member who fails to maintain acceptable standards of conduct in accordance with his/her employment contract, specific position requirements and/or the University’s rules, renders himself/herself liable to disciplinary action. Such disciplinary action is designed to be corrective and to improve conduct (other than where dismissal is warranted) and should be taken as soon as possible after the event.

Poor performance

A staff member is required to maintain certain standards of performance. A staff member who fails to maintain laid-down standards of performance in accordance with his/her employment contract, specific position requirements and/or the University’s rules, renders himself/herself liable to corrective action.

Employee relations training

The University provides staff training to promote informed and sound employee relations practices.

1. Staff induction course

Induction courses and refresher training sessions are provided to ensure that staff are familiar with the University’s policies and procedures.

2. Management/supervisory training

Staff who manage others are provided with training in the skills necessary to give effect to the University’s policies (eg. communicating and consulting).