Introduction to Human Resource Management

Chapter 17 : Industrial Relations Collective Bargaining and Workers'Participation in Management

Definition and Concept of Industrial Relations, Approaches to Industrial Relations, The Different Roles in Industrial Relations, Employees, Trade Unions, The Management, The Government, Objectives of Industrial Relations, Industrial Disputes Prevention Machinery, Concept of Collective Bargaining, Features of Collective Bargaining, Groups, Levels, Flexibility, Win-win Situation, An Art and a Science, Objectives of Collective Bargaining, The Collective Bargaining Process, Preparation for Negotiation, Negotiation, Contract Administration, Concept of Workers'Participation in Management, Purpose of Workers'Participation, Workers'Participation in India, Forms of Worker Participation in India, Factors Contributing to the Limited Success of the Workers Participation Schemes in Management in India, Conditions Necessary for Effective Working of the Scheme

Chapter Summary

Industrial relations concerns the relationship between the management and the employees of an industry. With the liberalization of the economy industrial relations in India have changed over the last 10-15 years. There are different approaches to industrial relations, psychological, sociological, human relations, socio-ethical, Gandhian and systems approach.

The employees, trade unions and management are the three major players in industrial relations. The government also has a key role to play, but steps in only when the major players fail to maintain harmonious industrial relations. The government also provides the basic framework for industrial relations through its legislation.

The industrial disputes prevention machinery helps in averting situations of conflict between the management and the workers that might lead to a strike or a lock-out. Some of the basic requirements for prevention of industrial disputes are an effective grievance redressal system, worker participation in management and collective bargaining.

Collective bargaining is the process of negotiation between the management and the worker representatives for resolving differences related to wages, bonus and other benefits, employee working conditions, grievance redressal procedure, collective bargaining procedure etc. The process of collective bargaining has three steps - preparation for negotiation, negotiation and contract administration.

If collective bargaining fails, the other stages in conflict settlement are conciliation, arbitration and adjudication, in that order. Worker participation in management is an effective tool for prevention of industrial disputes. The level of workers'participation can vary from organization to organization. The basic objective of worker participation is to provide an opportunity to the workers to participate in the organizational decision-making.

By virtue of their participation, employees are bound to abide by all the decisions taken. This also helps in boosting the employee morale and enhancing their commitment to the organization. Some of the common forms of worker participation in management in India are works committees, joint management councils, joint councils, plant councils, shop councils etc.

Worker participation in India has achieved only partial success due to factors like lack of proper education among workers, lack of understanding between the management and the workers and multi-unionism. A good organizational environment built on mutual trust and confidence between the management and the workers would help in effective and successful worker participation in management.

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