An ASSIGNMENT ON “GRIVENCE AND COLLECTIVE BARGAINING” INDUKAKA IPCOWALA INSTITUTE OF MANAGEMENT (I2IM) CONSITUENT OF CHAROTAR UNIVSRSITY OF SCINCE AND TECHNOLOGY (CHARUSAT) SUBMITTED BY VARUN B. AMIN TO Mrs. SUJATHA KRISHNAMURTHY Identifying Grievances 1)Employees usually quit organizations due to dissatisfaction or better prospects elsewhere. Exit interviews, if conducted carefully, can provide important information about employees’ grievances. This can help the management to gather feedback and to genuinely incorporate feedback. The management should carefully act upon the information drawn from such employees .It should be careful that the discontentment is reduced so that no more employees quit the organization because of similar reasons. 2)These are boxes in which the employees can drop their anonymous complaints. They are different from the suggestion boxes in which employees drop their named suggestion with an intention to receive rewards It is normally said that if you want to progress in life, you should be close to critics. These gripe boxes can perform the role of critics for the organisation. The management should carefully act upon the information thus gathered. Now I don’t want to sound repetitive by saying that the internal customers of an organisation should be satisfied if the external customers are to be kept happy. Opinion Survey: The management can be proactive by conducting group meetings, periodical interviews with employees, collective bargaining sessions etc. through which one can get information about employees’ dissatisfaction before it turns into a grievance. Open-door Policy. Some organisation extend a general invitation to their employees to informally drop in the manager’s room any time and talk over their grievances. This can be very effective because it ca n nip the evil in the bud. That is it can take care of the problem before it gets out of hand. In fact the management should hold formal and informal get together with the employees. The management should also remember that the employees might just need a patient hearing at times. They need blow off the steam as we hear it more commonly. Grievances Classification (1) Grievances resulting from working conditions Improper matching of the worker with the job. Changes in schedules or procedures. Non-availability of proper tools, machines and equipment for doing the job. Unreasonably high production standards. Poor working conditions. Bad employer – employee relationship, etc. (2) Grievances resulting from management policy Wage payment and job rates. Leave. Overtime. Seniority and Promotional. Transfer. Disciplinary action. Lack of employee development plan. Lack of role clarity. Grievances Classification (3) Grievances resulting from personal maladjustment (i) Over – ambition. (ii) Excessive self-esteem or what we better know as ego. (iii) Impractical attitude to life etc. Effects of Grievances: Frustration Alienation De-motivation Slackness Low Productivity Increase in Wastage & Costs Absenteeism In discipline Labour unrest Establishing a Grievance Procedure A grievance should be dealt with in the first instance at the lowest level: that is, an employee should raise his grievance with his immediate superior. It may be simple to settle it on the spot and that will be the end of it. Even if it cannot be settled at that level, the man’s superior will know what is happening. This is necessary not only to maintain his authority, but also to prevent him from being aggrieved, as he will certainly be, if he is by-passed and hears of the complaint from his own superior It must be made clear to the employee what line of appeal is available. If he cannot get satisfaction from his immediate superior, he should know the next higher authority to which he can go. Since delay causes frustration and tempers may rise and rumors spread around the work, it is essential that grievances should be dealt with speedily. As it is said that a stitch in time saves nine, similarly the problems of the employees should be taken care of by the management least it should become a major for the management. The grievance procedure should be set up with the participation of the employees and it should be applicable to all in the organisation. The policies and rules regarding grievances should be laid down after taking inputs from the employees and it should be uniformly applicable to all in the organisation. It should be agreed that there would be no recourse to the official machinery of conciliation unless the procedure has been carried out and there is still dissatisfaction, and moreover, there must be no direct action on either side, which might prejudice the case or raise tempers while the grievance is being investigated. Guidelines for Effective Grievance Handling The complaint should be given a patient hearing by his superior. He should be allowed to express himself completely. The management should be empathetic. The superior should try to get at the root of the problem. It should be remembered that symptoms are not the problems. It should also be noted that if there are symptoms, there would be a problem as well. The management must show it anxiety to remove the grievances of the workers. The workers should feel that the management is genuinely interested in solving its problems. If the grievances are real and their causes located, attempts should be made to remove the causes. If the grievances are imaginary or unfounded, attempts should be made to convince the workers. Every grievance must be handled within the reasonable time limit. I am sure you will agree with this. Imagine you have a genuine problem and you share it with the authorities. You will also expect immediate action taken to take care of your problem. Guidelines for Effective Grievance Handling All grievances should be put into writing. Some proofs required as well…. Relevant facts about the grievance must be gathered. The management should not haste! Decision taken to redress the grievance of the worker must be communicated to him. Follow up action should be taken to know the response of the forced employee. This is to make sure that he is happy or not! At the end of the day the satisfaction of the aggrieved party is necessary. ESSENTIALS OF A GRIEVANCE PROCEDURE A grievance procedure should incorporate the following features: 1. Conformity with existing legislation: The procedure should be designed in conformity with the existing statutory provisions. Where practicable, the procedure can make use of such machinery as the law might have already provided for. 2. Acceptability: Everybody must accept the grievance procedure. In order to be generally acceptable, it must ensure the following: A sense of fair-play and justice to the worker, Reasonable exercise of authority to the manager, and Adequate participation of the union. 3. Simplicity: The following points should be noted in this regard: The procedure should be simple enough to be understood. The steps should be as few as possible. Channels for handling grievances should be carefully developed. Employees must know the authorities to be contacted at various levels. Information about the procedure should be thoroughly disseminated among all employees through pictures, charts, diagrams, etc. ESSENTIALS OF A GRIEVANCE PROCEDURE 4. Promptness: Speedy settlement of a grievance is the cornerstone of a sound personnel policy. It should be remembered that justice delayed is justice denied. The procedure should aim at a rapid disposal of the grievance. This can be achieved by incorporating the following feature in the procedure: As far as possible, grievances should be settled at the lowest level No matter should ordinarily be taken up at more than two levels, i.e. normally there should be only one appeal. Different types of grievances may be referred to appropriate authorities. Time limit should be placed at each step and it should be rigidly followed at each level. 5. Training: In order to ensure effective working of the grievance procedure, it is necessary that supervisors and the union representatives should be given training in working of the grievance procedure. All the policies should be conveyed to the concerned parties. 6. Follow-up: The personnel department should review the working of the grievance procedure periodically and necessary changes should be introduced to make it more effective. This is generally ignored by the organizations. A regular follow up of the system increase the faith of the people in the system. Therefore it is necessary that the grievance procedure should be reviewed whenever it is so required. COLLECTIVE BARGAINING Collective bargaining is one of the methods wherein the employer and the employees can settle their disputes. This method of settling disputes was adopted with the emergence and stabilization of the trade union Government. Before the adoption of the collective bargaining the labour was at a great disadvantage in obtaining reasonable terms for contract of service from its employer. With the development of the trade unions in the country and the collective bargaining becoming the rule it was equally found by the employers that instead of dealing with individual workmen it is convenient and necessary to deal with the representatives of the workmen not only for the making or modification contracts but also in the matter of taking disciplinary action against the workmen and regarding other disputes. So, collective bargaining has come to stay having regard to modern conditions of the society where capital and labour have organized themselves into groups for the purpose of fighting and settling their disputes. The I.L.O. defines collective bargaining: "As negotiations about working conditions and terms of employment between an employer, or a group of employers, or one or more employers' organisations, on the one hand, and one or more representative workers' organisation on the other with a view to reaching agreement." Collective bargaining is not just a means of raising wages and improving conditions of employment. Nor is it merely democratic government in industry. It is above all technique, collective bargaining as a technique of the rise of a new class is quite different from the desire to displace or abolish" the "old ruling class" To gain equal rights as a class to acquire an excessive jurisdiction in that sphere where the most immediate interests, both material and spiritual, are determined, and a shared jurisdiction with the older class or classes in all other spheres. POSITION OF COLLECTIVE BARGAINING IN INDIA Collective Bargaining machinery essentially is a reflection of a particular social and political climate. The history of the trade union movement shows that union is affiliated to one or the other political parties. As a result most of the trade unions are controlled by outsiders. Critic says that the presence of outsiders, is one of the important reasons for the failure of collective bargaining in India FEATURES OF CB Collective o Workers collectively bargains for their common interests and benefits. o Workers and management jointly arrive at an amicable solution through negotiations. Strength o With industrial democracy at work, both the parties bargain from the position of equal strength. Flexible o CB cannot be rigid or inflexible as its’ aim is to arrive at a consensus. Voluntary o Both the parties negotiate voluntarily in order to have a meaningful dialogue. o Through negotiations, they try to probe each other’s views thoroughly before arriving at an acceptable solution. o The implementation of the agreement resulting from such a bargaining process is also voluntary. Continuous o This process begins with negotiations but does not end with an agreement. o Implementation of such an agreement, which is an on-going process, is also a part of CB. Dynamic o The whole process of CB is influenced by the mental make-up of the parties involved. o As a result, the concept of CB changes, grows, and expands over time. Power relationship O Each party wants to extract the maximum from the other. o To reach a consensus, both have to retreat from their original positions and accept less than what is asked for and give more than what is on offer. o While doing so, the management tries to retain its control on workplace matters and unions attempt to strengthen their hold over workers without any serious dilution of their powers. Representation o They represent the claims of labour and management while trying to reach an agreement. o Each participant is an authorized representative of workers and employers. Importance to employees It helps in securing a prompt and fair settlement of grievances. It provides a flexible means for the adjustment of wages and employment conditions to economic and technological changes in the industry, as a result of which the chances for conflicts are reduced. It helps in securing a prompt and fair settlement of grievances. It provides a flexible means for the adjustment of wages and employment conditions to economic and technological changes in the industry, as a result of which the chances for conflicts are reduced. Importance to employers It becomes easier for the management to resolve issues at the bargaining level rather than taking up complaints of individual workers. Collective bargaining tends to promote a sense of job security among employees and thereby tends to reduce the cost of labor turnover to management. Collective bargaining opens up the channel of communication between the workers and the management and increases worker participation in decision making. Collective bargaining plays a vital role in settling and preventing industrial dispute Importance to society Collective bargaining leads to industrial peace in the country; It results in establishment of a harmonious industrial climate which helps the pace of a nation’s efforts towards economic and social development since the obstacles to such a development can be reduced considerably; The discrimination and exploitation of workers is constantly being checked; It provides a method or the regulation of the conditions of employment of those who are directly concerned about them. SUGGESTIONS For an effective Collective Bargaining in India the following suggestions are made: Recognition of trade union has to be determined through verification of fee membership method. The union having more membership should be recognised as the effective bargaining agent. The State should enact suitable legislation providing for compulsory recognition of trade union by employers. Section 22 of the Trade Unions Act, 1926 should be amended. The provision for political fund by trade unions has to be done away with-since it invariably encourages the politicians to prey upon the union. State has to play a progressive role in removing the pitfalls which stand in the way of mutual, amicable and voluntary settlement of labour disputes.
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