Definitions of Industrial Relations
The term ‘Industrial Relations’ comprises ‘Industry’ and ‘relations’. Industry
means any productive activity in which an individual is engaged. It includes-
(a) primary activities like agriculture, fisheries, plantation, forestry, horticulture,
mining etc.
and
(b) Secondary activities like manufacturing, construction,
trade, transport, commerce, banking, communication etc.
Economically speaking, industry means the secondary sector where factors of
production (land, labour, capital and enterprise or four M’s – men, materials,
money and machines) are gainfully employed for the purpose of production, and
where a business organisation exists.
‘Relations’ means ‘the relations that exist in the industry between the employer
and his work-force. Different authors have defined the term industrial relations
in some what different way.
According to Bethel and Others, “Industrial relation is that part of management which is concerned with the manpower of the enterprise whether machine operator, skilled worker or manager.”
According to V. Agnihotri, “The term industrial relations explains the relationship between employees and management which stem directly or indirectly from union-employer relationship.”
Objectives of Industrial Relations
Two-fold objectives of good industrial relations are
to preserve industrial peace
and to secure industrial co-operation.
If we have to establish industrial peace, the workers must be assured of fair
wages, good conditions of work, reasonable working hours, holidays and
minimum amenities of life.
Types of Industrial Relations
Industrial Relations is chiefly concerned with the management and the worker’s
relations or employer-employee relations. But its scope is not limited only to this
aspect. It also includes labour relations and public or community relations.
The industrial relations includes four types of relations:
(i) Labour relations i.e., relations between union- management (also known as
labour management relations);
(ii) Group relations i.e., relations between various groups of workmen i.e.,
workmen, supervisors, technical persons, etc.
(iii) Employer-employee relations i.e., relations between the management and
employees. It denotes all management employer relations except the union-
management relations;
(iv) Community or Public relations i.e., relations between the industry and the society .
Five Year Plan and Industrial Relations
A country like India which is in the progress of transforming its economy from a
backward agricultural economy to a developed industrial one, peaceful relations
between management and labour is the need of the hour. Emphasis on increased
production for the smooth and steady 19 economy growth, India cannot afford
work stoppages due to protracted friction between employers and employees
which will jeopardise the main objectives of our five-year plan.
For economic progress, India in her First Five Year Plan (1951-56) concentrated
on five aspects of labour policy:
(i) industrial relations
(ii) wages
(iii) working conditions
(iv) productivity
Labour Welfare –
Labour welfare relates to taking care of the well-being of workers by employers, trade unions,
governmental and non-governmental institutions and agencies. Welfare includes anything that is done for
the comfort and improvement of employees and is provided over and above the wages.
Labour Welfare – Position in India
The miserable conditions of labour are responsible for their low efficiency. The
Indian workers are proverbially inefficient compared to their counterparts in the
industrially developed countries. The lack of proper efficiency of labour in India
is mainly due to the absence of welfare measures as are obtainable in the
advanced countries.
The conditions of Indian workers were utterly deplorable. Since independence,
an awakening about the welfare of workers is being noticed. The reasons are not
far to seek. Ours is a developing country; rapid industrialisation of the country is
of paramount importance.
It has been recognised on all fronts to give due consideration to labour as a
factor of production to increase industrial productivity. Workers themselves are
now more united. So, an atmosphere and environment is now prevalent in India
which is conducive to providing various facilities to workers.
It is now an admitted fact that unless workers are given due attention and
provided with all amenities, the country is sure to pay a high price for it – the
pace of industrialisation has to suffer a set-back. So, the need for labour welfare
is now accepted and measures are adopted by different agencies such as Govern-
ments, employers, trade unions to better off the lot of the workers through
various physical amenities and legislative measures.
Employee Welfare Funds
Labour welfare refers to all the facilities provided to labour in order to improve
their working conditions, provide social security and raise their standard of
living. Majority of labour force in India is working in unorganized sector.
In order to provide social security to such workers, Government has introduced
Labour Welfare Fund to ensure assistance to unorganized labours.