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Unit4 HRM

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46 views

Unit4 HRM

Uploaded by

dpssmrutipravadash
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© © All Rights Reserved
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UNIT-4

HRM
Trade Union
According to Section 2(b) of the Trade Unions Act of
1926, “a trade union is any combination of persons,
whether temporary or permanent, primarily for the
purpose of regulating the relations between workers
and employers, or between workers and workers and
for imposing restrictive conditions on the conduct on
the conduct of any trade or business, and includes the
federation of two or more trade unions.”
Characteristics of Trade Unions

Association of employees
Voluntary Association
Permanent Body
Common Interest
Collective Action
Rapport with the Management
Why do employees join unions?

1. Greater Bargaining Power


2. Minimize Discrimination
3. Sense of Security
4. Sense of Participation
5. Sense of Belongingness
6. Platform for self-expression
7. Betterment of relationships
Collective Bargaining
 Why is it called collective bargaining? It is called “collective”
because both the employer and the employee act collectively
and not individually in arriving at an agreement. It is known as
‘bargaining’ because the process of reaching an agreement
involves proposals and counter proposals, offers and counter
offers.
 Collective Bargaining refers to the discussion and negotiation
between the employer and the employees on the terms of
employment, including the working environment, conditions
of employment, shift length, work holidays, vacation time,
sick leave, and health care benefits, as well as compensation
based items like basic pay, overtime pay and retirement
benefits.
Objectives of Collective Bargaining

Promote industrial democracy


Improve employer-employee relationship
Settle disputes
Avoid Third Party Intervention
Features of Collective Bargaining

Group Action
Representation by Union Leaders
Continuous Process
Bipartite Process
Dynamic Process
Flexible
Bargaining Issues

Wages and incentives


Working conditions
Health and Security
Impact of technology and procedural changes on
employees
Regulations and practices pertaining to employees
Employee benefits
Grievance handling
Importance of Collective Bargaining

Importance to Employees
Importance to Employers
Importance to society
Importance to Employees

To develop a sense of self-respect and responsibility


among the employees.
To increase the strength of the workers. Their
bargaining capacity as a group increases.
To increase the morale and productivity of employees.
To restrict management‘s freedom for arbitrary action
against the employees. Unilateral actions by the
management are discouraged.
To strengthen the trade union movement.
Importance to Employers

 The workers feel motivated as they can talk to the employers on


various matters and bargain for higher benefits. As a result, their
productivity increases.
 It is easier for the management to resolve issues at the
bargaining table rather than taking up complaints of employees
individually.
 Collective bargaining promotes a sense of job security among
the employees and thereby tends to reduce cost of labour
turnover to management, employees as well as the society at
large.
 Collective bargaining opens up the channels of communications
between the top and bottom levels of organization which may be
difficult otherwise.
Importance to society

 To attain industrial peace in the country.


 To establish a harmonious industrial climate which supports the pace
of a nation‘s efforts towards economic and social development since
the obstacles to such development can be largely eliminated or
reduced. As a vehicle of industrial peace or harmony, collective
bargaining has no equal.
 To extend the democratic principle from the political to the industrial
field. It builds up a system of industrial jurisprudence by introducing
civil rights in industry and ensures that management is conducted by
rules rather than by arbitrary decisions.
 To check the exploitation of workers by the management.
 To distribute equitably the benefits derived from industry among all
the participants including the employees, the unions, the management,
the customers, the suppliers and the public.
Types of Bargaining

Conjunctive bargaining
Cooperative bargaining
Productivity bargaining
Composite bargaining
Process of Collective Bargaining
1. Preparation
2. Discuss
3. Propose
4. Bargain
5. Settlement
Models of Collecting Bargaining
Levels of Collective Bargaining
Negotiation

Negotiation is a bargaining process between two or


more parties (each with its own aims, needs, and
viewpoints) seeking to discover a common ground and
reach an agreement to settle a matter of mutual
concern or resolve a conflict.
Negotiation skills

Negotiation skills are inherent qualities that help two


or more parties agree to a common logical solution. In
the workplace, you may have to display your
negotiating skills in various situations such as:
 Negotiating a salary hike with the HR manager after
promotion
 Negotiating a project deadline with your team lead or
manager
 Negotiating few days off for a family holiday with
your manager
 Negotiating contract terms with a potential customer.
Examples of Negotiation Skills

Communication
Strategising
Planning
Listening
Problem-solving
Emotional intelligence
Strike
It is a withdrawal of labor. Picketing or having employees
carry signs announcing their concerns near the employer’s
place of business is one of the first activities to appear
during a strike.
A strike is any of the following actions taken by
employees:
 the stoppage of work or a refusal to work or to continue to
work by employees acting together with a common
understanding; or
 any other concerted activity on the part of employees in
relation to their work that is designed to restrict or limit
output or the effective delivery of services.
Industrial Dispute
The definition of Industrial disputes is as follows –
According to Section 2(k) of the Industrial Disputes
Act, 1947 “industrial dispute” is defined as, “Any
disputes or differences between employers and
employers, or between employers and workmen, or
between workmen and workmen, which is connected
with the employment or non-employment or the terms
of employment or with the conditions of labour, of any
person”.
Characteristics of Industrial Disputes
(1) Parties
(2) Relation
(3) Forms
(4) Oral or Written
(5) Real
(6) Substantial Interest
(7) Related to Industry
(8) Clarification
(9) Origin
Types of Disputes
Causes of Industrial Disputes
1. Economic Causes
(1) Low Wages
(2) Dearness Allowance
(3) Industrial Profits
(4) Bonus
(5) Working Conditions
(6) Working Hours
Cont..
2. Managerial Causes
(1) Non Recognition of Unions
(2) Violation of Agreements
(3) Ill-Treatment by Managers and Supervisors
(4) Defective Recruitment Procedure and Employees
Development Policies
(5) Wrongful Retrenchment, Demotion and
Termination
(6) Selfish Leadership
Cont..
3. Political Causes
(1) Influence of Politics
(2) Trade Union Movement
(3) Strikes against the Government
Machinery for Settlement of Industrial
Disputes
1. Works Committees (Sec 3)
2. Conciliation Officers (Sec 4)
3. Board of Conciliation (Sec5)
4. Courts of Enquiry (Sec6)
5. Labour Courts (Sec 7)
6. Tribunals (Sec 7A)
7. National Tribunals (Sec 7B)

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