Industrial Relations - Online Article

Industrial Relations may be described as the relation between the management, the workers and their unions. It is more popularly known as labour relation.According to Prof. Dunlop,

“Industrial relations may be defined as the complex of inter-relations among workers, managers and government.”

Need: IR is needed to ensure overall industrial development and social justice.

  • The process of enhancing industrial development depends upon the maintenance of a healthy industrial relations.
  • A healthy industrial relation indicates absence of disputes, mistrust and misunderstanding between employers and employees, Industrial Relation is said to be perfect when it leads to maximizing of productivity, maximizing of compensation to workers, maximizing of returns to the entrepreneurs and better product and services, at better prices to the customers.
  • Healthy industrial relation is needed to provide maximum work satisfaction to the workers which will enhance their abilities, efficiency and earnings. For a small organization, the need for maintaining healthy industrial relations is very high because all the workers, managers, executives to the entrepreneur work together just like a big family.

Industrial relation is needed to create an atmosphere

  • For mutual faith, trust and understanding between employer & employees.
  • For creation of full employment
  • For development of industrial democracy
  • For solution of labour problems, and
  • For providing social justice to all the parties concerned.

Welfare Measures To Be Provided For A Good Working Environment

It is the duty of the management to create and maintain a sound-working environment for all the workers inside the organization. Apart from providing all the physical facilities for better performance, the management should take care of the psychological factors of the employees into consideration.It will reduce idle time, accidents, injury, mishandling, defective work, damages, wastes etc.Better remuneration, bonus, allowances, higher promotion prospects, better housing, better medical facilities, better conveyance, better education facilities for children, better canteen facilities provisions for entertainment, refreshments like tea, prizes, honour, club membership, better uniforms etc. Change the attitude of the workers for a better performance apart from above, providing better physical facilities like better machinery, tools, equipments, lighting, ventilation, drinking water, cleanliness, fresh air conditions, air coolers, bath room, urinals, rest room, open space, dust fines & sound management.

Industrial Disputes

  • The different or conflicts between employers and employees.
  • Govt. passed an act in parliament called “The Industrial Disputes Act 1947”.

According to Sec-2 “ Industrial dispute means dispute or difference between employers and employers, between employers and workman or workmen and workman which is connected with the employment or non employment or non-employment or the terms of employment or with the condition of labour of any other person.


Economic social, political or psychological, political link of trade unions, job instability, improper attitude of management & employers.Economic Causes: More wages, higher dearness allowance, bonus, better, service conditions, opposition to modernization and automation, demand for other facilities/amenities.Non-economic causes: physical/psychological/organizationalA- Physical Causes: (i) Better working conditions(ii) Supply of essential materials – shoe, goggles, helmets, dresses, gloves, apronsB- Psychological:(i) Unlawful day off & retrenchment(ii) Disobedience of discipline(iii) Change in service conditions(iv) Defective transfer & promotion policies(v) Misbehavior of managers to workers.(vi) Non recognition of security and merit

C- Organizational Causes:(i) Non recognition of unions(ii) Defective leadership of union, where the workers may agitate to derive out lazy union leaders.(iii) Political reasons – workers/unions affiliated to a polite culpably.D- Other Causes:(i) To extend support to other unions for strikes etc.(ii) Change in the rules & regulations(iii) Lack of communication.

Machinery for settlement of disputes

Whenever there is a dispute between the management and the workers, steps should be taken to settle the disputes as early as possible. Any delay in settlement causes harm to the organization.These are several voluntary efforts to settle industrial disputes, which include collective bargaining code of discipline, voluntary arbitration, permanent negotiating machinery or joint consultative machinery and tripartite bodies.Apart from these voluntary methods. There are also some legal machinery for settlement of industrial disputes such as, works committee, conciliation officer, conciliation boards, court of enquiry, Labour Court, Industrial Tribunals appointed by State Government and National Tribunals.

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