Environment Industrial Relations Pdf


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𝗣𝗗𝗙 | A diversity of opinion exists about the definition, intellectual The term '' industrial relations'' was thus broadly construed and was. BUS INDUSTRIAL RELATIONS Muhammad Faisol Chowdhury Assistant Professor of HRM School of Business University of Liberal Arts Bangladesh. MBA INDUSTRIAL - Ebook download as PDF File .pdf), Text File .txt) or read book online.

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Unit - I. Introduction of Industrial Relation Management. Introduction. Objectives. Object of this lesson is to initiate in to industrial Relations Management. Sound industrial relations and effective social dialogue are a means to promote better Indicators on industrial relations are an important element in measuring . PDF | the second edition of this book titles Industrial Relations provides a comprehensive coverage of the various aspects of industrial relations.

Abdullahi S. Introduction……………………………………………… What you will Learn in this Course…………………….. Course Aims ……………………………………………. Course Objectives ………………………………………. Working through this Course …………………………… Course Materials ………………………………………… Study Units………………………………………………. This Course Guide is meant to provide you with the necessary information about the course. Related areas such as strikes and industrial disputes.

In the case of constitutional bargaining strategies. Where the structure of an organisation is more complex. In extreme cases of standardisation. These reasons include: The head office of an organisation can. For some obvious reasons. In the context of external environmental demands such as legislation. Bendix The decision on the appropriate structure for collective bargaining is imperative particularly in countries where trade unionism and negotiation are so entrenched.

Grand strategies such as constitutional. As it were. Several factors have to be taken into consideration when such decision is being made. This is because it is unlikely that strong unions would allow management to amend collective bargaining procedure without resistance.

This is in view of the fact that it will basically facilitate either avoidance of or cooperation with trade unions. As you have observed. The decision as to whether or not a trade union should be formally recognised is also a fundamental one. In the past. The power of trade unions is probably one of the most crucial variables in deciding at what level negotiation will take place. Economic factors. The decision will also be influenced by the perceptions of strategic decision makers as to the level at which management has the best chance of shaping collective bargaining outcomes and processes to the best possible advantage of the organisation.

These factors include the state of the national economy. It is instructive to note that because trade unions argue that bargaining should be to their advantage. And by extension. An obvious implication arising from the above approach is this. In such cases.

The management may decide on an approach to react. Management may use this approach called institutional separation to limit trade union influence over organisational matters if the organisation policy requires it. In this vein. Marchington and Parker observe that collective bargaining is dealt with by specialist in industrial relations and personnel managers.

In the case of management-trade union cooperation strategies. The issue of central control may also be more strongly maintained over certain items about which collective bargaining takes place at a lower level. Since circumstances are constantly changing. It can be a complex matter and should not be dealt with haphazardly. Other aspects to be decided on in bargaining structure are whether management should: If matters such as fringe benefits.

The previous section deals specifically with the devolution and specialisation decision and its implication for decisions about the size and organisational structures of the personnel and industrial relations department.

Apart from these appropriate organisational structures.

(PDF) Industrial Relations | Muhammad Faisol Chowdhury -

Every organisation has to decide on these matters and also on precisely how the function is to be organised. There are diverse views on human resource management materials on where such department fits in organisationally and how it can be structured in the organisation. The other aspects of the framework to be considered are communication systems.

You The formulation of such procedures is a highly detailed task which usually does not fall within the ambit of the top management. You are aware from above that decisions concerning procedures are closely associated with formalisation and standardisation. The specialist function may. The implementation of industrial relations strategies is concerned with.

Too many rules. Procedures are meant to specify a precise. A structure of committees can be established at various levels in the organisation. The decision may be. It is also necessary for the top management to decide. Long-term decisions about the necessary mechanisms and procedures must therefore be derived from.

There are also other mechanisms which the management of an organisation may decide to use in order to implement its chosen strategy or policy on industrial relations management. These may include ad hoc management-worker task teams and management-union task teams. The purpose of such committees is to establish links at organisation level. Details of these procedures can be worked out at lower levels of the hierarchy.

Consultative committees and safety committees can play a valuable role. In the case of the strategy for trade union-management cooperation.

If top management intends.


Smith also suggests other committees which can be formed to function at lower levels. Such committee comprises management and trade union representatives jointly taking care of managing the employment relations. Issues such as training.

There can be a committee that deals with corporate strategy in relation to the management of industrial-related matters. Smith suggests in this regard. Reese proposes organisational structures ranging from the workshop floor to plant management and even management board level. The above analysis also portrays that such decisions have strategic implications for the resources of the organisation.

Harvester Wheatsheaf. The unit discussed decisions on the use of standardisation and formalisation in the management of industrial matters. Mention and explain the reasons for the use of specialists in industrial relations management. The Basics of Industrial Relations. Evidence from Ten Countries.

Changing Patterns of Employee Relations. Developments in the Management of Human Resources. Give reasons for the use of decentralisation approach in industrial relations management in some organisations. Inleiding tot die bestuurswese. In some organisations. This sub-section also deals with decisions on the ideal framework within which they can be organised by the top management to manage the employment relationship in the organisation.

In this unit you will be exposed to the strategic roles to be played by the line managers or organisational officials at different levels of the organisation in industrial-related matters. Such a decision will obviously be closely linked with the specialisation or devolution decision.

It will also have a direct effect on related decisions. The top management is to determine the general. In the case of the later. In respect of the former. Figure 1 portrays a classical representation of the matrix which these two continuums can form.

Storey based on empirical evidence. The role of these specialists may even focus on business-related aspects. There is devolution: Storey posits that personnel specialists operating within this setup are found to be engaged in servicing the routine requirements of line management.

Specialists may. The employees of such department are available to assist in these areas when requested to do so by line managers. Storey 1. The regulator Regulators are the typical. There can be two variations within this type of role model.

Storey contends that the regulators formulate. The change agent The change agents have higher ambitions of initiating new forms of people management that are in line with the business needs of the organisation.

Important decisions on. In the former case. Thus interventions remain reactive. Interventions are introduced in a practical manner so as to make a strategic impact and to add value to the business by going the extra mile to achieve worker dedication. It is indeed an overriding profit-maximising role in which quantification and the bottom line are the predominant factors.

Storey contends that the orientation is away from bargaining. These rules range from personnel procedure manuals to joint agreements with trade unions.

Storey observes that personnel specialists of this type are decidedly interventional in the conduct of people management but their interventions rarely involve engagement with wider business strategy. In plotting these two dimensions on intersecting vertical and horizontal continuum. Their approach focuses more specifically on the role of line management in relation to that of the specialist department.

They stress the importance of tapping the creativity and commitment of the resourceful specialists. The focus of the personnel and industrial relations department is also on proactive interventions directed at business strategy per se. The softer role comprises a specific focus on the distinctive nature of their input to the team.

In such a set-up. They are not set apart as a group that provides a special. In this context. It is closely related to aspects of industrial relations management which we have already discussed.

They have small powerful departments monitoring and advising. Furthermore in this type of model. Empirical evidence provides that this type of role allocation is Brewster and Holt-Larsen describe pivotal role succinctly that pivotal on the grounds that small.

The concentration on the development and monitoring of policy is correlated with the devolution of responsibility and authority to carry out the policy to line management. The guarded strategist On the other hand. Brewster and Holt-Larsen observe that this role model is typical of Sweden and Switzerland. This specialist believes that there are many areas of specialty in which only the specialists can handle. On the basis of empirical evidence.

The line managers find that many aspects of relationships with subordinates are in practice abrogated by the personnel department. Brewster and Holt-Larsen observe that this represents the most classical model. The result therefore. Brewster and Holt-Larsen observe that the specialists are usually powerful figures within the organisation. The professional mechanic In the case of the professional mechanic role model. For the other managers. The integration of business strategy and the strategy for the management of the employment relationship is also well advanced.

In Germany. France and Norway. Brewster does mention that Germany is a special case. The choice may also fall on little devolution plus little integration of industrial relations management strategy with business strategy. While the employment relationship is largely managed by line management itself.

It can cover a wider field. These role players may even participate in shaping the nature and content of strategy and policy. The preceding discussion emphasises the importance and complexity of the top management decision on role allocation. Top management can use these typologies to guide it in this long-term decision.

Where this has not happened.

Both line management higher level and the personnel and industrial relations department have a part to play at various levels of the organisation and in respect of various aspects of industrial relations. The various typologies show many areas of overlapping and similarity.

Although the management of people employed by organisation is the responsibility of the line management. Brewster and Holt-Larsen observe that under this role model. The role. This is not necessarily a problem. You can also appreciate from the foregoing analysis that various categories of the line managers in the organisation have defined roles to play in the management of industrial-related issues. This is an important decision. It follows that the top management decision will have an important influence on decisions as to who must receive what types of training in the management of industrial relations.

Lower management levels. Top management decides which groups at which levels must engage in the formulation and implement of strategy. It is here that the shop steward also has an important role to play. MBA 5. The discussion will focus on the appropriate procedure for the management of disciplinary cases and the options available for disengaging erring employees from the organisation.

Sout Cranfield School of Management. Mention and explain the various role models which can be adopted in the management of industrial relations. The unit discussed decisions on the use of standardisation and formalisation as well the decisions regarding the appropriate framework for the management of collective bargaining issue in an organisation. Personal Interview with Researcher. Let Line Managers Manage. Industrial Relations Strategies: An International Approach.

Harvester Wheat Sheaf. Cape Town: Discipline and dismissal are Such employees believe in performing their work properly. Organisational discipline can be enforced with the use of appropriate measures such as sanctions. A disciplined workforce is a perquisite for the successful operation of any organisation. Many employees can therefore. In organisations. In another perspective. Once the employees are aware. In any organisation. In these circumstances. Such disciplinary problems may be excessive drinking.

There are many types of disciplinary problems in job situations which may confront the managers or superior officers but there are some other ones which stem from employee behaviour off the job. Another instance is that a system may be designed to include check and controls at each stage so that no task can be forgotten. An instance is a situation whereby a machine may be designed as to shut off automatically if its safety guard is not put in place by the worker. This is ensured by the organisation through creating conducive atmosphere for the employees to exhibit appropriate behaviour and attitudes towards discharging their responsibilities to the organisation.

In essence it involves the use of threat of punishment on disciplinary problems or misdemeanours as may be committed by the employees. Disciplinary action. Negative discipline. An informal. The negative discipline is predicative on the use of articulated and punitive measures which could be meted out to likely offenders among the workers.

It is just a warning of punishment on disciplinary problems and not essentially meant to harm the offenders. The following is a list of suggested steps of progressive disciplinary action. This is essential because the employees should be aware of what is required of them in terms of behaviour and attitudes appropriate to the organisational setting. Suspension Disciplinary layoff as it is also known. Basically some employee may not be impressed with oral or written warnings.

Oral warning This is a reprimand. Written warnings are particularly important and necessary in non-unionised situations. Suspension or the disciplinary layoffs usually extends over several days or weeks. It means that this is used in the instance of a repeated offence by the employee.

Demotion Demotion involves the loss of both pay and status as a result of grave infraction or repeated misdemeanour. In a situation where such sanctions are not provided for in the contract of employment. Immediacy Immediacy rule implies that after noticing the offence. This is necessary in order to maintain proper disciplinary and to have employees accept disciplinary action as fair.

Such steps are as follows: Advance warning It is essential that all employees are made aware in advance what is expected of them and what the organisational rules and regulations are. The action may also affect the morale of the work group of the affected employee. There are some basic rules. MBA 6. For the organisation. This makes many organisations to have a The required action is investigation where possible.

It means that the employee must be informed clearly that certain acts will lead to disciplinary action. Inconsistency in the application of disciplinary action can also breed contempt for the organisational rules and regulations by the employees. Some policy provisions can also be included in the recruitment literature and employment contracts.

It behoves on the organisation to make sure that each employee is also informed orally of what is expected of them in term of discipline. Inconsistency in the application of discipline tends to lower the morale of employees and diminishes their respect for the authority. Privacy It is a general rule that disciplinary action should be taken in the private.

Consistency This rule implies that each time an infraction occurs appropriate disciplinary action is taken. It can also lead to feeling of insecurity and anxiety by the employees. Impersonality Basically. This is done by ensuring that penalties are directly related to the act of misdemeanour and based on the personality involved. The preparation for the disciplinary interview involves: What are the specific standards of future behaviour or performance required?

The basic procedure in terms of the content of the interview is as follows: Basic issues to be taken into consideration for the interview are: The superior officer explains the purpose of the interview. The employee be given an ample opportunity to comment. Is the aim of the interview punishment or deterrent? How valuable is the employee to the organisation potentially? How far is the organisation prepared to go to help the employee improve or discipline him or her further?

The charges against the erring employee are delivered. It is always necessary to embark on adequate preparation for the interview session. Substantive fairness This relates to the reason for the dismissal. Considerations which indicate substantive fairness include the following: The only obligation in terms of common law is to give the employee the required notice agreed on in the contract of employment and the employer must provide the employee with a fair reason for dismissal.

Summary of the proceedings by the superior officer. In most cases. In terms of common law. Reasons behind any penalty to be imposed on the employee explained.

Procedural fairness This relates to the way in which an employee is dismissed. Investigate the matter. The employee must be given the opportunity to appeal against the decision of the management or the employer. The employer can also ignore procedural guidelines where the employee waives his or her right to a hearing. All such steps are related to procedural fairness. An employee is entitled to be assisted or represented by a trade union official or fellow employee but not normally by a legal representative.

Give the employee a reasonable period of time to prepare a response to the complaint. An employee is entitled to state his or her case in reply to a charge. Disciplinary hearing may not be necessary in some cases. If the employee is to be dismissed. A dismissal has to be both substantively and procedurally fair to qualify as a fair dismissal.

The employer has to take a number of procedural steps before dismissing an employee for misconduct. In other cases.

The steps involved are as highlighted below: Notify the employee in advance of the complaint or charge against him or her. Informal advice and correction is the best and most effective way for an employer to deal with minor violations of work discipline. The principle of progressive discipline means that the punishment becomes proportionately more severe as the seriousness or frequency of the misconduct increases. Instances are insubordination.

Formal procedures do not have to be involved every time a rule is violated or a standard is not met. Such offences may include the following: Dismissal should be reserved for cases of serious misconduct or repeated offences. When the employee arrives late the fourth time. In such a case. Probation should not be used to deprive employees of the status of permanent employment. The employer must prove that there is a reason for the dismissal.

If the employee is likely to be absent for an unreasonable long period. Dismissal for incapacity must be both substantively and procedurally fair just like the case of dismissal on the ground of misconduct.

Incapacity usually falls into one of two categories such as poor work performance or medical unfitness due to ill-health or injury. For the employer to dismiss an employee on ground of incapacity. The period of probation should be determined in advance and be of reasonable duration.

In case of permanent incapacity the employer must investigate the possibility of alternative work for the employee. Other examples include: Other topics discussed include basic principles of fair dismissal. The reasons for termination can be purely economic such as economic downturn resulting in low revenue.

You can also appreciation the fact that dismissal as an extreme disciplinary action which can be meted out to an employee is normally used as the last resort and in extreme cases. Identify the steps to be taken in disciplinary action towards ensuring procedural fairness. Enumerate and discuss the stages involved in progressive disciplinary procedure. The impact of the economic downturn as a result of the cyclical nature of the business cycle may compel a business entity to divest its interest from some operations.

The implication. This leads to excess personnel. The impact of industrial competition may spell misfortune for the business enterprise to the extent that it may find it very difficult to generate enough revenue to cover cost of operation. This leads to structural changes in the operational modality of the organisation.

The government as a social contract is not insulated from the inevitability of retrenchment of workers as we have witnessed over the years in Nigeria. The reason for that type of treatment by the private sector employers is largely because the relationship between such employees and their employers is described as that of master-servant relationship. The implication of the above is that the common law workers who are employed in the private sector or even in government establishment but whose terms of employment are governed or regulated by contract alone and not by statute can be declared redundant by their employers.

A distinction must be drawn between retrenchment and redundancy. It arises out of changes which management introduces in the economic work environment. In the public service it is normally attributed to the reform agenda or policy of the government. Redundancy is not the result of poor economic conditions. Acceding to requests by older worker to take early retirement. Organisations or industries change their activities. The following are some of the circumstances that can give rise to retrenchment: Such other methods include the following: The employer decides to rationalise or relocate the enterprise.

The business is taken over and certain work is no longer required. Procedural Fairness Since the retrenchment of workers is a drastic step. The employer must have a valid economic reason for terminating the services of employee. Retrenchment is essentially a result of employees having become redundant. Not appointing new employees to do the same work in the section where the employer intends reducing the number of employees.

It is unfair to retrench employees in order to avoid a disciplinary hearing. Such valid reason can be the introduction of new technology. Consideration must be given to possible alternatives to retrenchment. Where employees are represented at plant level. Retraining employees so that they can do work which has become available as a result of vacancies.

Consultation in the retrenchment procedure Basically consultation is a process that takes place at various stages of the retrenchment programme.

Temporarily closing a plant or a part of an enterprise. This type of consultation will most likely culminate in a general agreement pertaining to retrenchment.

MBA iii. Employees representatives will want to know in what circumstances the employer will regard retrenchment as essential. But the most important issues during this phase are the negotiation of mutually acceptable criteria for selecting employees for retrenchment.

It is also advisable to agree on mutually acceptable standards or methods for verifying such circumstances. Introducing a shorter working week. Compelling employees to take all their accumulated leave. Criteria for selection on retrenchment The question as to what criteria should be accepted for selecting employees for retrenchment is often one of the most controversial ones in the debate about retrenchment.

Criteria that must be objectively considered in making the selection include: To avoid a decline in morale and productivity. After-care for retrenched employees Once dismissals resulting from retrenchment or redundancy have been finalised.

Notice to employees on retrenchment The issue of the period of notice which must be given to employees remains one of the most controversial aspects of the retrenchment procedure. To know that one will be without work in a few days has a considerable blow to most employees. It also prevents any favouritism or discrimination against trade union members. Severance pay for retrenchment The amount of the severance pay in the case of retrenchment is normally negotiated by the employer.

Although their reasons for doing so are sound. One of the reasons why trade unions do this is the severe psychological effect which sudden notice has on employees. The appropriate procedure would be to inform the trade unions concerned of the vacant posts and to give them an adequate opportunity to contact retrenched employees who could possible fill such posts.

For these reasons. The undertaking to re-employ employees Many trade unions demand that preference be given to retrenched employees where vacant posts arise in the organisation in future. Even where the paper work has been done before the actual retrenchment takes place. The demand that reappointment be offered is a reasonable one. These could take the form of guidelines. A clear and fair retrenchment procedure is a prerequisite for ensuring consistency in the retrenchment of employee.

Employers should also keep on assisting those concerned to find other meaningful employment if possible. Such a procedure lays down principle and practices which will ensure that. It is a formal procedure which foresees the possibility of a reduction in the workforce which will regulate it.

Many companies that have agreements with trade unions have agreed on retrenchment policies and procedures. Retrenchment policy and procedure It is advantageous for an organisation to have a retrenchment policy irrespective of whether or not there is a trade union. In some other instance. A situation of excess manpower in an organisation can be caused by a variety of factors such as technological advancement or reduction in production as a result of downturn in the economy.

Thus an employee has no right not to be declared redundant outside his term of employment or collective agreement that is applicable to him or her. In the eye of the Industrial Act. It is not a voluntary or forced resignation.

Nevertheless the procedure stipulated in the Industrial Act must be complied with before the organisation reaches its decision to declare a particular worker redundant. Benefits payable in a redundancy situation are governed by the employment contract. It is rather a form unique only to its procedure whereby an employee is quietly and lawfully relieved of his post.

The general opinion is that it may be relatively easy to determine the relative skills and abilities of workers compared to the determination of the reliability of a worker. It is argued that there is no basis for the use of a subjective criterion like reliability in a consideration which is supposed to be an objective principle. This is a condition which is regarded as being precedent.

In the absence of such regulation on payment of redundancy benefits. The implication is that the condition ought to take place at the earliest opportunity if it is too meaningful at all. Negotiation of redundancy benefits The Minister of Labour is empowered by the Industrial Act to make regulations providing generally or in particular cases for the compulsory payment of redundancy allowances to workers affected by a declaration of redundancy.

The principle seems to support the view that redundancy does not apply to cessation of business as there would be no need to retain any worker in such a case. Differentiate between retrenchment and redundancy. Aturu holds the view that the provision of the Act seems to make the worker to be at the mercy of the employer in industries where there is collective bargaining process.

The unit has portrayed that retrenchment and redundancy are inevitable in the life of an organisation as a result of mainly exogenous dictates of the operating environment.

The unit also explained the issues relating to the regulation of redundancy by the Labour Minister in terms of benefits which may accrue to the employees in the redundancy. This is because what an employer may consider to be fair payments for redundancy may fall short of reasonable efforts to negotiate adequate redundancy benefits. Outline and discuss the factors to be considered when an organisation is embarking on retrenchment exercise.

When such situation arises. State what the procedures for pursuing a grievance should be. For the purpose of harmonious interrelationship in the organisational setting. State the rights of the employee for each type of grievance. Alternatively he can be allowed to attend a special appeals promotion board if he has been in his current grade for at least a certain number of years.

Distinguish between individual grievances and collective grievances. State what grades of employees are entitled to pursue a particular type of grievance. This can arise out of the feeling of being picked on. Collective grievances might occur when a group of workers or work group considers that it is being unfairly treated.

The entrenched grievance procedures should incorporate the following things: The first interview will be between the immediate boss unless he is the subject of the complaint. State time limits for initiating certain grievance procedures and subsequent stages of them. Cases referred to a higher authority should also be reported to the personnel department. Line management might decide to ask for the assistance or advice of a personnel manager in resolving the problem.

The involvement of the representative implies that there will be a common view on the appropriate procedures to take in the resolution of the matter. There should also be time scales for the management to determine and communicate the outcome of the complaint to the employee.

A Typical Grievance Procedure A typical grievance procedure goes though the following stages: The aggrieved individual discusses the problem with a staff. If the immediate boss cannot resolve the matter. A grievance procedure may even be initiated through the union or association rather than through official grievance procedures. If his case seems a good one. At this stage. Normally the grievance interview itself goes through three stages as enumerated and discussed below.

Reply The manager. The outcome. Exploration The problem of the aggrieved employee has to be explored: Consideration Under this stage. In this wise. It may be that the information obtained can be used to clear up the misunderstanding. The employees are bound to encounter some problems which may bother on denial of rights.

Provision for the right of appeal to the higher authority. Allow the aggrieved employee to be accompanied by a fellow employee or union representative.

Specify to whom they apply. Allow the employees to state their case exhaustively. You can also appreciation the fact that appropriate handling of employee grievances is an important requirement in ensuring organisational harmony and cordial personal interrelationship among the employee subsystem in the organisation. Ensure that every grievance is properly investigated before any action is taken.

Be in writing. All proceedings must be recorded and the final outcome distributed to the relevant persons such as the personnel manager. Be capable of dealing speedily with grievance matters. Indicate the remedy to which the aggrieved employee is entitled. Ensure that the employee is informed of the reasons for any decision taken on his case. Other topics discussed in this unit include inherent issues in grievance procedure. What are the inherent features of an appropriate grievance procedure?

Enumerate and discuss the stages involved in grievance interview. You have been exposed to the various strategies for encouraging the employees to follow laid down grievance procedure in order to avoid petition writing in the organisation.

You will understand that industrial harmony can only be achieved in an atmosphere of mutual trust and understanding between the management and the workers occasioned by constant interaction of their representatives. The appropriate forum for such mutual interaction is the subject matter of this study unit. Such basic methods of mutual interaction between the management and the unions are in the areas of deputation.

The three aspects of such basic methods are discussed herein. All these three issues are discussed in this unit but an elaborate analysis is devoted to the subject of collective bargaining since it constitutes the main preoccupation of the unit.

The ultimate decisions are still the prerogative of the employer or management. Under this scenario. For the purpose of joint consultation. Under this forum. The purpose for the existence of a joint consultation body is to provide a forum for regular contact between management and workers as a means of improving conditions of work and by extension the level of productivity.

Collective bargaining. The essence of the forum therefore. The nature. It involves the formulation of industrial agreements contracts. Akubuiro espouses that collective bargaining includes all methods by which groups of workers and relevant employers come together to attempt to reach agreement in matters by a process of negotiation.

It means that under the collective bargaining issues of divergent or congruent interest can be discussed. According to Akubuiro An important example is the issue of wage regulation. In an all-inclusive definition of collective bargaining. Another example of mandatory issues is the condition of service. The process of collective bargaining involves negotiations about working conditions and terms of employment between an employer and union for the purpose of reaching mutual agreement.

Davey as quoted by Egbo views it as those formal and informal processes of accommodation through which an employer. These are the items that both management and unions have accepted to constitute the issues of negotiation. Exclusive items: These are issues which are exclusive prerogative of the management of the organisation which fall under the procedural agreements. Examples of exclusive issues are employment.

Voluntary items: These are the items which neither party in the dispute can be compelled against its wish to accept for negotiation. In another view. Examples of such issues are fringe benefits like car loan. In another perspective this is the proprietary ability to withhold production or products pending the negotiations for transfer of ownership of wealth. In some cases. This is the ability of union to convince management to accept on one hand and management resistance against unions desires on the other.

The unions normally use tactics such as timing of strike. Management tactics and cost of disagreement Management has the capacity to increase cost of disagreement to unions through lockout by withholding employment except on terms agreeable to management necessarily with due cognisance to the prevailing market conditions. The parties involved in collective bargaining can change this power through the use of tactics with which to influence each other.

Since it is the power to exploit. According to Slitcher. Union tactics and cost of disagreeing The Trade unions normally use strike to withhold their industrial until their terms are met.

By and large. In a situation where the cost of disagreeing is less in relation to that of agreeing. For all intents and purposes. The implication is that while union seeks to strengthen strike. Favourable political climate This is the prevailing political climate.

Faith in Collective Bargaining Both parties in dispute must be convinced and ready to accept that collective bargaining offers a good means of regulating employment conditions in addition to the use of deputation and joint consultation.

In a particular situation where the government does not encourage the institution of collective bargaining such as the use of restrictions on trade unionism. Strength of the union The strength of the union in negotiation depends on some factors. Management can also weep up or resort to public opinion.

Management is also at liberty to sack the employees and replace them with others or machines. Naturally one party will win more concessions than the other. Such strength will make the employers to accord them recognition and hence. Freedom of association for the workers The institution of collective bargaining can only thrive if the workers are free to promote trade unionism among themselves and also at liberty to join trade unions of their choice.

Recognition of trade union A trade union that is recognised by the management can muster the necessary authority and power to negotiate on behalf of the workers in the process of collective bargaining. It means both parties will only present core demands as basis for negotiation and in the process of bargaining one party will agree to reduce its demand in return for some concession from the other party.

Joint authorship of agreement It is usually desirable and ideal for both parties to jointly sign agreement arrived at during the negotiation to indicate the willingness of both parties to honour the terms contained therein.

Willingness to give and take For a collective bargaining to be meaningful and achieve the desired result. The refusal of any party to sign the agreement can lead to creation of loophole for the subversion of the agreement.

The government can encourage freedom of association for the workers at the instance of an enabling legislation for the formation of associations. They bargain and if they succeed.

MBA 8. Therefore this agreement cannot be enforceable under the law of contract. The body known as a consultative committee consists of an equal number of representatives while passing a resolution. Contractual method Under this method the employer and the representatives of the workers meet for negotiation for the purpose of settling trade disputes.

Also a time limit is usually not fixed for its operation. Institutional method Under this method industrial and management come together to set up an institution and a constitution. The agreement remains static even when situation.

Such unfair trade practices include breaching of anti-union contracts by the unions. This style is normally used when the issues at stake are in areas of monetary benefits. This method is normally adopted to ensure that the objectives of both parties are satisfied. Distributive bargaining style This method of bargaining is somehow similar to the conjunctive bargaining since each party is only interested in what it can achieve even at the expense of the other party.

This method is weak in terms of complete incapacity to satisfy the objectives of both parties. This method of collective bargaining is widely practiced in US. The method is employed to ensure maximum cooperation by both parties. The method is capable of being used to establish a system of industrial jurisprudence whereby employer and employee resolve their dispute rationally and peacefully.

The method ensures that each party is depending on the other. In terms of bargaining relationship between both parties in dealing with matters of divergent interest. Examples of such groups of workers in the public sector in Nigeria are the lecturers and medical doctors. More so it is not unusual.

Fractional bargaining style Fractional method of bargaining involves the sectional activities of some work groups who. Some unions have conducted themselves in this manner for the purpose of joint protection of the industry from competitors or joint demand for special concessions from the government. Such groups of workers are usually cohesive with their informal authority structure. Under this bargaining method. Given that a work force is made up of a collective of different work groups.

In the event of the representatives particularly the executives trying to follow a policy of a particular local trade union which runs counter to the group interest. In this style.


This method of bargaining becomes useful in period of economic recession resulting in shifting grounds on several issues under dispute. The method is particularly useful when the issues at stake are of common interest to both parties. Integrative bargaining style This method of bargaining is like the cooperative bargaining.

Individual bargaining style The method involves an individual employee seeking an improvement on the prevailing conditions of his employment. As you can observe. The style becomes useful in a situation where one party will be interested in seeing that organisational operations are on course but will not like to lose out either.

The civil service rules as obtained in the present day public sector regulate most of the conditions of employment which suffice for the collective bargaining process in the public sector. This is done mainly by the white collar job holders particularly in the middle and top management hierarchy in organisations. Since the creation of the public sector. National disputes: These are the political issues affecting the whole nation normally handled by the umbrella union such as the Nigeria Labour Congress.

According to The government also uses another approach in place of collective bargaining in form of the wages commission. Economic disputes: These are the issues that affect employee compensation in form of salaries. Gorsuch MBA MODULE 4 The crucial fact that must be pointed out is the absence of any machinery for government employees to participate in the determination of these conditions of service as contained in the civil service regulation.

Various forms of industrial disputes are as highlighted below: Examples of such issues are deregulation of the petroleum products pricing or the downstream sector of the industry.

Adebo The most recent one is the Shonekan Commission which has resulted into consolidated salaries for the public workers in January Miller The laid down procedures are not the same for all industries and such procedures for collective bargaining are the ones being used to settle the major types of disputes. The use of the wages commission to regulate salaries and allowances has been rationalised that the government has the right to set wage rate in any establishment where either the wages are unreasonably low or where no adequate machinery is available for adjusting wages and conditions of service.

It is vertical form of union organisation. This is irrespective of the occupation of the employees. Australian Workers Union. They are unpaid employees of unions, c the states, then to, they are employees of different firms.

Find out the apex body and briefly describe about it. Employer Associations seek to coordinate the behaviour of their member companies during negotiations with trade unions or government bodies, share information and advice among members, and approach other companies when support is needed. What are the implications of it? Choose an Employer Association active in Bangladesh and describe details about it. State institutions can establish substantive rules that affect the nature and quality of employment conditions, as well as procedural rules that shape the manner in which rules are made and disputes between employers and employees are conducted and resolved.

Conciliator, Arbitrator, Mediator - the state frequently provides services that are intended to facilitate the resolution of industrial disputes between employer and employees. Service Provider - the state is a provider of public goods like health care, vocational training, etc. Corporatist arrangements are more likely to emerge when governments are led by Labour or Social Democratic parties because of their close political affiliations and institutional links with trade unions.

Liberalism - a process where privatisation, liberalisation of trade and deregulation of financial markets occur. Integration of trade unions into the policy-making process is ceased and trade unions lose political leverage and influence as a consequence. Employers are empowered. What is the role of political government of Bangladesh in managing employer associations of the country? The Boilers Act, 2.

The Mines Act, 3. The Cotton Industry Statistics Act, 4. The Industrial Statistics Act, 6. The Trade Organisations Ordinance, 8.

The Tea Plantation Labour Ordinance, 9. The Control of Employment Ordinance, The Bangladesh Handloom Board Ordinance, Laws inconsistent with fundamental rights to be void Article - 26 2. Equality before law Article - 27 3. Discrimination on ground of religion, etc. Article - 28 4. Equality of opportunity in public employment Article - 29 5. Prohibition of foreign titles, etc.

Article - 30 6. Right to protection of law Article - 31 7. Prohibition of forced labour Article - 34 Freedom of assembly Article - 37 Freedom of association article - 38 Freedom of profession or occupation Article - 40 Freedom of religion Article - 41 Rights of property Article - 42 Enforcement of fundamental rights Article - 44 Modification of rights in respect of disciplinary law Article - 45 Power to provide indemnity Article - 46 Saving for certain laws Article - 47 Unions negotiate for the standard wage and employment benefits.

They create a surplus of manpower but not productivity. They tend to think that they have equal power and authority like management. They misinform the workers and blame is given on the management of their wrongdoing. Without registration a union cannot function legally. Situation of trade union right in Bangladesh.

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