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Industrial relations –An overview

Industrial relations –An overview. B.Com. Worker’s taking to streets…….????. ACTION TAKEN BY WORKERS. On 19 October workers from Rico Auto embarked on a strike and were later joined by workers from other companies like Hero Honda, Honda, Suzuki etc. Police beating HONDA workers.

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Industrial relations –An overview

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  1. santhi naryanan Industrial relations –An overview B.Com

  2. Worker’s taking to streets…….???? santhi naryanan

  3. ACTION TAKEN BY WORKERS • On 19 October workers from Rico Auto embarked on a strike and were later joined by workers from other companies like Hero Honda, Honda, Suzuki etc. santhi naryanan

  4. santhi naryanan

  5. Police beating HONDA workers santhi naryanan

  6. Clash between Police and workers santhi naryanan

  7. Introduction • An industry is a social world in miniature. Associations of various persons, workmen, supervisory staff, management and employer in industry create industrial relationships. • This affects the economic, social and political life of the whole community. santhi naryanan

  8. Introduction • Thus, industrial life creates a series of social relationship which regulate the relations and working of not only workmen and management but also of community and industry.Industrial relations are inherent in an industrial life santhi naryanan

  9. Industrial relations • It refers to the complex human relationships which emerge in work situations • Industrial Relations are a bonding between the employee and employer. • It also adds many other relations which are chain of previous relations. • So the motto of any industry should be sustaining good relationships between the employer and employee. santhi naryanan

  10. Introduction • Delicate and complex problems of modern industrial society • Managers spend sleepless night in facing the competitions in the industry. • New strategies are continuously devised to face the same. • One of it is to increase productivity • Productivity can be improved by good industrial relations santhi naryanan

  11. Meaning • It is concerned with the relationship between the management and workers and the role of regulatory mechanism in resolving any disputes santhi naryanan

  12. Views on Industrial relations santhi naryanan

  13. Definitions • “The field of industrial relations include the study of workers and their trade unions, management, employers’ association and state institutions concerned with the regulation of employment” – H.A Clegg santhi naryanan

  14. Definitions santhi naryanan

  15. Evolution of IR santhi naryanan

  16. Parties to IR santhi naryanan

  17. Major issues involved in the IR process. santhi naryanan

  18. Features of Industrial relations • IR do not emerge in vaccum • It has two faces – Co-operation and conflict • Industrial relations is a dynamic socio-economic process. Part of a larger system • Involves study of conducive environments • IR examines the impact of law on the co operation between the labour and management santhi naryanan

  19. Importance of IR • Promotion and development of healthy labour-management relationships • Maintanence of Industrial Peace and avoidance of Industrial strife • Development of industrial democracy • Sound IR gets unreserved employee co operation • It prevents industrial disputes santhi naryanan

  20. santhi naryanan Introduction to Labour Legislations

  21. Introduction • Labor law arose due to the demands of workers for better conditions, the right to organize, and the simultaneous demands of employers to restrict the powers of workers' many organizations and to keep labor costs low. santhi naryanan

  22. Factors that influenced the labour legislations • Early exploitative Industrial society • Impact of revolution • Growth of trade unionism • End of colonial rule • Extension of adult franchise • Rise of socialist and revolutionary ideas • Growth of humanitarian ideas • Concept of social welfare and social justice • Establishment of ILO • Revolution in science and technology santhi naryanan

  23. Labour Legislation in India • The history of labour legislation in India is naturally interwoven with the history of British colonialism. The industrial/labour legislations enacted by the British were primarily intended to protect the interests of the British employers. Considerations of British political economy were naturally paramount in shaping some of these early laws. santhi naryanan

  24. Contd - • Some of the earliest Acts were: • Tea District Emigrant Labour Act 1832 • Workmen’s Breach of Contract Act 1859 santhi naryanan

  25. Major principles of labour legislations • Protection • Social justice • Regulation • Welfare • Social security • Economic development • International obligation santhi naryanan

  26. Protective Legislations • Primary purpose - protect Labour standards and to improve working conditions • Factories Act 1948 santhi naryanan

  27. Social Security • Primary purpose – To provide workmen social security benefits under certain contingencies of life and work • The Workmen’s Compensation Act, 1923 • The Employee State Insurance Act, 1948 santhi naryanan

  28. Wage related labour legislations • Legislations laying down the methods and manner of wage payment as well as the minimum wages come under this category. • Payment of wages Act, 1936 santhi naryanan

  29. Regulative legislations • Legislations to regulate the relations between employees and employers and to provide for methods and manners of settling industrial dispute. Such laws also regulate the relationship between the workers and their trade unions • Trade Unions Act 1926 • Industrial Disputes Act 1947 santhi naryanan

  30. santhi naryanan Payment of Wages Act 1936

  31. Purpose • Ensure regularity of payment • To avoid withholding wages , delays in wages • Preventing unreasonable deductions out of wages • Provide remedy to workers against violation of rights santhi naryanan

  32. Applicability • It applies in the first instance to the persons employed in any factory. • to persons employed upon by any railway administration • to persons employed in motor transport service, Air transport service • Any other establishment which the central government or state government need to protect the interest of employed. • Persons getting basic wage up to Rs 6500/- santhi naryanan

  33. Wages All remuneration due to any worker or employees if the terms of contract of employment are fulfilled. No wage period shall exceed one month. • The wages of every person employed upon or in- (a) any railway, factory or industrial or other establishment- >1000- before the expiry of 7th day of wage period <1000- before the expiry of 10th day of wage period All payments of wages shall be made on a working day. santhi naryanan

  34. PERMISSIBLE OR AUTHORIZED DEDUCTIONS • Deduction for Fines • Deduction for absence from duty • Deduction for recovery of advances • Deduction to be made in case of any amt given to the employee as an advance. • Deduction for recovery of loans • Deductions for income tax • Deduction for provident fund • Deduction for payment of insurance premium. santhi naryanan

  35. Maintenance of registers and records • Every employer shall maintain such registers and records giving such particulars of persons employed. by him, the work performed by them, the wages paid to them, the deductions made from their wages, the receipts given by them and such other particulars and in such form as may be prescribed. santhi naryanan

  36. Inspectors. • An Inspector of Factories appointed under Factories Act, 1948 shall be an Inspector for the purposes of this Act in respect of all factories within the local limits assigned to him. • The [State Government] may appoint Inspectors for the purposes of this Act. santhi naryanan

  37. Penalty for offences under the Act.  Non- payment of wages in time or making unauthorized deduction or imposing un reasonable fines is punishable with fine not less than Rs 200 and not more than 1000 santhi naryanan

  38. Contd- • If any person who has been convicted of any offence punishable under this Act is again guilty of an offence involving contravention of the same provision, he shall be punishable on a subsequent conviction with • Imprisonment – 1 months- 6 month • Fine 500-3000 santhi naryanan

  39. santhi naryanan Minimum Wages Act

  40. santhi naryanan

  41. Introduction • The Minimum Wages Act, 1948 was enacted to safeguard the interests of workers, mostly in the unorganized sector by providing for the fixation of minimum wages in certain specified employments. • Under the Act, both the Central Government and the State Governments are the appropriate Governments to fix, revise, review and enforce the payment of minimum wages to workers in respect of 'scheduled employments' under their respective jurisdictions. There are 45 scheduled employments in the Central sphere and as many as 1530 in State sphere. santhi naryanan

  42. Contd. The Act defines the rate of minimum wages consisting of: • Basic rate of wage • Basic rate with or without cost of living allowances • All inclusive rates santhi naryanan

  43. Objective of the Act The main objective of the Act is to prevent exploitation of the employees & fix the minimum wages. santhi naryanan

  44. Scope of the Act The Act empowers the state and the central govt. As the case may be to fix minimum wage in respect of worker in following industries: • Agriculture • Construction of building and roads • Manufacturing • 0ther factories santhi naryanan

  45. Contd. • Different categories: The act permits fixation of different minimum rates of wages for different class of work in the same scheduled employment. • Contents of minimum wages: (1) living wages (2)fair wages (3)minimum wages santhi naryanan

  46. Contd. 1. Living wages: produce enough in quantity without sacrifcing quality. Components: • Basic necessaries • Reasonable expenditure on children education • Insurance cover againest ill health disability oldage • Saving for the rainy day • Some margin for self development 2.Fair wage :Equal pay for equal work 3.Minimum wage: for food, shelter and cloths santhi naryanan

  47. Minimum Wages in Uttar Pradesh santhi naryanan

  48. Fixing & revising the minimum rates of wages • Appropriate govt. Shall fix the minimum rates of wages for person employed. • Govt. Shall review at internal not exceeding five years. • Minimum rate of wages may be fixed either by hour, by day, by month. santhi naryanan

  49. santhi naryanan Employee Provident Fund Act

  50. santhi naryanan EMPLOYEES’ PROVIDENT FUNDS & MISC. PROVISIONS ACT. 1952 & THE SCHEME ELIGIBILITY ANY PERSON WHO IS EMPLOYED FOR WORK OF AN ESTABLISHMENT OR EMPLOYED THROUGH CONTRACTOR IN OR IN CONNECTION WITH THE WORK OF AN ESTABLISHMENT. • APPLICABILITY • EVERY ESTABLISHMENT WHICH IS A FACTORY ENGAGED IN ANY INDUSTRY • SPECIFIED IN SCHEDULE 1 AND IN WHICH 20 OR MORE PERSON ARE • EMPLOYED. • ANY OTHER ESTABLISHMENT EMPLOYING 20 OR MORE PERSONS WHICH • CENTRAL GOVERNMENT MAY BY NOTIFICATION, SPECIFY IN THIS BEHALF. • ANY ESTABLISHMENT EMPLOYING EVEN LESS THAN 20 PERSONS CAN BE • COVERED VOLUNATARILY UNDER SECTION 1 (4) OF THE ACT.

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