HRM-IR

• Industrial relations


  The whole range of relations between workers, managers and government which determine the conditions under which work is done in all types of enterprise
• Managers


  Those who have the responsibility for the work of others in the organization
• Workers


  Those for whose work managers are responsible
• Government


  Directly legislate certain terms of employment and regulate the interaction of managers and workers in varying degrees
• Industrial relations


  Commonly denotes "employee-employer relations"
• Industrial relations


  Born out of employment relationship in an industrial setting
• Industrial relations


  With people who are the base of the industry
• Industrial relations (also called labour relations)


  Looks at the relationship between management and workers, particularly groups of workers represented by a union
• Objectives of industrial relations


  • Congenial labor management relations
  • Regulate the production by minimizing industrial conflict thereby contributing to economic progress
  • Workers to have a say in decision making
  • Encourage and develop trade union
  • Avoiding industrial conflicts
  • To boost the discipline and morale of workers
• Major players in industrial relations


  • Management/employers
  • Labour/workers/employees
  • Government/regulator
• Aim of industrial relations

  To maintain harmonious relations between all three major players and contribute to economic prosperity of the country
• Areas covered by industrial relations

  • Collective Bargaining
  • Role of management, unions and government
  • Machinery for resolution of industrial disputes
  • Grievances, labor welfare and security
  • Trade unions, workers participation
  • Labour legislation
• Three actors in industrial relations

  • Employee
  • Employer
  • Government
• Employee in industrial relations

  Improve their condition of employment, views in any grievances, exchange view and ideas with management, share in decision making
• Trade unions


  To redress the bargaining power of individual worker, to secure improved terms and conditions of employment, to secure improved status for the worker in his or her work
• Employer in industrial relations

  Creating and maintaining employee motivation, obtaining commitment from workforce, achieving high levels of efficiency, negotiating terms and conditions of employment
• Government in industrial relations


  Regulates the relationship between the management and the labour and seeks to protect the interest of both the groups, the authority of the courts to settle legal disputes
• Conditions for good industrial relations


  • History of industrial relations (harmonious or rivalry)
  • Economic satisfaction of workers (basic survival need)
  • Enlightened and responsible labor unions
  • Negotiation skills and attitude of management and workers (varying backgrounds, must possess empathy)
  • Legislation: Govt intervention
  • Social and psychological satisfaction: supportive climate along with economic rewards
• Causes of poor industrial relations

  • Uninteresting nature of work: due to automation –role of worker reduced
  • Political nature of unions: inter union rivalry, multiple unions, political parties involvement
  • Poor wages: Inequity in wages, complicated wage system
  • Occupational instability: do not want changes in the job-fear or insecurity
• Effects of poor industrial relations

  Resistance to change, frustration and social cost, multiplier effect (total loss)
• Suggestions to improve industrial relations


  • Both management and union should develop constructive attitude towards each other
  • All basic policies and procedures relating to IR should be clearly communicated to all
  • Right kind of union leadership
• Systems approach to industrial relations

  Actors (managers, workers and government agencies) influenced by several forces in environment – technology, markets and power relation in society, ideology (though there is conflict among the actors but there is also a shared ideology and compatibility of ideas which help to resolve conflict by framing rules), the network or web of rules
• Unitary approach to industrial relations

  The organisation is, or should be, an integrated group of people with a single authority/loyalty structure and a set of common values, interests and objectives shared by all members of the organisation, management's prerogative (i.e. its right to manage and make decisions) is regarded as legitimate, rational and accepted, opposition to it (whether formal or informal, internal or external) is seen as irrational
• Pluralist approach to industrial relations


  Based on assumption that organization is composed of individuals who make up distinct sectional groups, each with its own interests, objectives and leadership, recognition of diverging interests between workers, employers and government, conflict is the total range of behaviour and attitudes that express opposition and divergent orientation and it is perceived as both rational and inevitable, but focus is on framework of regulating work relationships-balance of power between management and trade unions
• Marxist approach to industrial relations

  If shared ideology than why is that conflict never ceases, conflicts can never cease until capital accepts that labor has right to an equal share in power, production system is privately owned and is motivated by profit, IR is the study of 'processes' of control over work relations, its about who controls, how, what and why
• Trusteeship approach to industrial relations

  Company accepts its total responsibility and management role becomes that of balancing all the claims upon the company, inherent responsibility to its consumers, workers, shareholders, and the community, greater good
• So long as 60% of the workforce is in agriculture and contributes to 25% of the GDP, the lot of the workforce in agriculture cannot and will not improve
• HR Audit


  A process of examining policies, procedures, documentation, systems, and practices with respect to an organization's HR functions
• The audit works best when the focus is on analyzing and improving the HR function in the organization

  
• Objectives of HR Audit

  • Effectiveness of performance of HR Department
  • Implementation of HR policies, procedures
  • To find out the reasons for low productivity and improve HRD Strategies
  • Evaluation of the HR staffs & employee
  • Modify and Review HR system & challenges
  • Questioning: To seek answers to : What happened ? Why did it happen? Why did it not happen?

  
• Benefits of HR Audit

  • Identification of contributions of HR department
  • Helps identify the gaps between the current state and the standard, thereby streamlining HR work processes
  • Encouragement of greater responsibility and professionalism among HR members
  • Clarification of HR duties and responsibilities
  • Stimulation of uniformity of HR policies and practices
  • Ensuring timely compliance with legal requirements
  • Reduction of HR costs through more effective personnel procedures
  • A thorough review of HR information systems

  
• Scope of Human Resource Audits

  • Audit of Corporate Strategy
  • Audit of the Human Resource Function
  • Audit of Managerial Compliance
  • Audit of Employee Satisfaction
• Areas covered in HR Audits

  • Recruitment
  • Compensation and Benefits
  • Training and Development
  • Legal
  • Workforce Review