Industrial Relations: Meaning, Role and Approaches Management YouTube Lecture Handouts

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Industrial Relations: Meaning, Role and Approaches Management

Concept

  • The other name of Industrial Relations is Labour relations.
  • In an industry where any manufacturing activity is taking place and workmen are involved, it becomes very important that there exists good relation between the employer and workmen.
  • It refers to the system in which employers, workers and their representatives such as trade unions, directly or indirectly, the state interact to set the ground rules for the governance of work relationships. It also describes a field of study dedicated to examining such relationships.

Importance

  • Labour being the most crucial resource of the company, a company must effectively manage them because if the worker is happy, the company will be growing and making more revenues f
  • The whole production function is dependent on the workers, and if they aren՚t confident with the company, the production will suffer
  • The satisfaction of the employees and labourers are a matter of great concern as the turnover of labourers and employers are directly dependent on satisfaction.

Role

Labour Union Management

  • With the mutual understanding, they form a body of unions. It is known as the Labourers Union, and it has a leader just like any governing body in our political system.
  • The leader should stand for the rights of the laborers in a company if they feel that anyone is hampering the rights of the workers in the company.
  • The labour Union leaders are allowed to speak directly to the managers and convey the messages of the labour on their behalf.

Labor Relationship

  • Every company has a unique group of labourers/employees. Therefore, it should be managed while keeping in mind their requirements, benefits, needs, etc.
  • These are a few everyday needs of the labourer and the various ways in which a company can strengthen its relationship with the Labors:
  • The biggest priority in everyone՚s life is security. Labourers working in the organization are highly concerned about their security of a job, life, and health. The families are highly dependent on their livelihood. Therefore, the company must provide higher job security, proper wage on time, various health insurance facilities to create satisfaction among the workers.
  • High productivity: When the relations are sorted then the workmen work with full zeal and enthusiasm and thereby productivity augments.
  • Mental Revolution: The sigh of good labour relations is that both the parts see each other as pillars of a same building

Approaches to Industrial Relations

  • Unitary Approach: This approach says that both employer and workmen know the importance of each other and therefore there is no possibility of conflict.
  • Pluralistic Approach: It was given by John R Common. He believed that since there are many vested interests, conflict is inevitable
  • Giri Approach: Given by V. V Giri, he believed that there should be a bipartite machinery to solve the issues between both the parties.
  • Marxist Approach: Also known as Radical Approach, focuses on the conflict being a result of divisions in a society.
  • Gandhian Approach: Gandhiji believed that every organization is a joint venture and therefore both the parties should work as copartners.
  • Systems Approach: It was suggested by John Dunlop. He focused on three factors for the relationship. The process, environmental forces and output. These factors bind the employer an
  • Human Relations or Neo-Classical Approach: Given by Keith Davis. It says that human is different from the other resources. They should be treated fairly so that they remain loyal to the organization.

MCQs

Under which approach of IR, the focus is on bipartite machinery?

1. Gandhian Approach

2. Systems approach

3. Unitary Approach

4. Giri Approach

Which approach says there is no possibility of conflict among the employer and employee?

1. Pluralistic Approach

2. Systems Approach

3. Unitary Approach

4. Human Relations Approach

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