8/6/2019 Group9 EREC Final
1/24
MDI, Gurgaon
ROLE OF TRADEUNION IN NATIONAL
AND GLOBALENVIRONMENT
EMPLOYEE RELATIONS AND EMERGING CONTOURS
FACULTY IN CHARGE : Mr. J.K. Jain
SUBMITTED BY GROUP 9:
Jigyasu Shukla 10PGHR17
Navneet Gupta 10PGHR27
Nishith Nishesh 10PGHR28
Priyanka Pardasani
10PGHR38
Shikha Goyal 10PGHR45
Yashraj Mahansaria
10PGHR60
http://images.google.co.in/imgres?imgurl=http://www.drumindia.org/images/mba-logo.jpg&imgrefurl=http://www.drumindia.org/drum_team.asp&h=77&w=56&sz=3&hl=en&start=7&tbnid=uNMM5E9X7JcU9M:&tbnh=72&tbnw=52&prev=/images%3Fq%3Dmdi%2Bgurgaon%26gbv%3D2%26ndsp%3D18%26svnum%3D10%26hl%3Den%26sa%3DN8/6/2019 Group9 EREC Final
2/24
ACKNOWLEDGEMENT
We would first like to extend our gratitude to our Professor, Prof. J. K. Jain
whose knowledge and experience has served as a continuous source of
encouragement and motivation. Without his invaluable support and
guidance, this project would not have been possible.
We would also like to thank all those people who helped us understand
the role of trade unions by giving their valuable inputs. We would like to
extend a special vote of thanks to Mr. Varun Shrivastav, Operations
Manager, Tata Steel, who shared his valuable inputs regarding the real life
challenges and the role the trade union plays in the working of an
organization and helped us understand better.
Last but not the least, we would like to thank our esteemed institute,
Management Development Institute, Gurgaon, for providing the entire
infrastructure, without which this project would have remained an
unfulfilled dream. We would also like to thank the Institute for helping us
learn and appreciate what working in groups is all about.
2
8/6/2019 Group9 EREC Final
3/24
EXECUTIVE SUMMARY
Trade Unionism is over a century old in India. The history and theoretical
foundations of trade union movement vary across different parts of the
world. In Europe, it was based on the Marxist theory of class conflict and
the Communist Manifesto. In U.S., unionism is based on class
collaboration under the capitalist system. Trade unions in India, as in
many parts of the world are closely connected with political parties. We
have briefly traced the origin of trade union movement in India and its
changing relationship with politics and its role in economic development.
The establishment of the ILO is an important milestone for the trade union
movement.
We have then studied the role of trade union in both national and global
environment. We have also discussed the recent happenings in various
industries and the role played by trade unions. We have also taken an
interview from an industry expert who handles this domain to get a better
picture of the live issues and challenges and the significant role played by
trade unions.
Lastly, we have come upon the conclusion that the goal of unions may be
eternal, but the means of action should be adapted to changing times. In
this era of intense competition, unions should consider cooperating with
management in baking the cake and compete with the management in
sharing it.
3
8/6/2019 Group9 EREC Final
4/24
TABLE OF CONTENTSINTRODUCTION ...................................................................................................... 5
ROLE OF TRADE UNIONS ........................................................................................ 5
............................................................................................................................. 7
OBJECTIVES OF TRADE UNIONS ............................................................................. 7
ROLE OF TRADE UNIONS IN INTERNATIONAL ENVIRONMENT ...............................12
UNITED STATES OF AMERICA............................................................................12
FAMOUS STRIKES: THE MOST FAMOUS LABOR STRIKES IN USA ...........................14
INDUSTRY INTERVIEW .......................................................................................... 17
Part 2: Employee Perspective (Non-executive level) ........................................... 18
Analysis: .............................................................................................................. 21
CONCLUSION ....................................................................................................... 22
4
8/6/2019 Group9 EREC Final
5/24
INTRODUCTION
Industrial relations deal with either the relationship between the state and
employers and workers and organizations or the relation between theoccupational organizations themselves. Trade unions mean any
combination whether temporary or permanent, formed primarily for the
purpose of regulating the relations between workmen and employers for
imposing restrictive conditions on the conduct of any trade or business.
Trade Unions are basically organizations of workers and union leaders
wherein they define promote and fight for the collective interests and
rights of the workers. The trade union, through its leadership, bargains
with the employer on behalf of union members and negotiates labour
contracts (collective bargaining) with employers. Often Trade Unions
affiliate to one or more national centres but they may also represent
particular occupations, industries or general sectors of the economy.
Tradeunions are generally classified as follows:
General union- These represent workers from several firms from the
same industry. They are also called industrial union.
Craft union- These represent skilled workers in a particular field such as
carpentry or welding.
Industrial union- They represent workers in one industry or sector, for
example steel or car workers.
White-collar unions They represent workers in clerical and
administrative jobs.
ROLE OF TRADE UNIONS
The core objective of the free trade union movement is the definition,
promotion and implementation of the collective interests and rights of the
workers, particularly in relation to employers, but also in relation to the
state and as part of the broader civil society. Trade unions also provide
their members with many social and welfare services.
Trade unions have also frequently been in the forefront of wider strugglesfor political change, democracy and social justice. This has led to their
5
http://en.wikipedia.org/wiki/Labour_and_employment_lawhttp://en.wikipedia.org/wiki/Labour_and_employment_lawhttp://en.wikipedia.org/wiki/Collective_bargaininghttp://www.investorwords.com/5014/trade.htmlhttp://www.investorwords.com/5156/union.htmlhttp://www.businessdictionary.com/definition/classified.htmlhttp://www.investorwords.com/1967/firm.htmlhttp://www.businessdictionary.com/definition/industry.htmlhttp://www.businessdictionary.com/definition/industrial-union.htmlhttp://www.businessdictionary.com/definition/field.htmlhttp://en.wikipedia.org/wiki/Labour_and_employment_lawhttp://en.wikipedia.org/wiki/Labour_and_employment_lawhttp://en.wikipedia.org/wiki/Collective_bargaininghttp://www.investorwords.com/5014/trade.htmlhttp://www.investorwords.com/5156/union.htmlhttp://www.businessdictionary.com/definition/classified.htmlhttp://www.investorwords.com/1967/firm.htmlhttp://www.businessdictionary.com/definition/industry.htmlhttp://www.businessdictionary.com/definition/industrial-union.htmlhttp://www.businessdictionary.com/definition/field.html8/6/2019 Group9 EREC Final
6/24
engagement in a range of activities such as campaigning and advocacy,
education and awareness raising, policy development and the
development of mutual financial institutions.
Trade Unions play various important roles to safeguard the interests ofthe workers. Some of these roles are as follows:
Negotiate-They negotiate the wages paid as well as the working
condition terms.
Regulating Relations- They also play a key role in regulating the
relations between the workers and the employers.
Collective Bargaining-With the help of Collective Bargaining, Trade
Unions take collective action in ensuring that their terms are enforced.
Raise new demands-They raise new demands on the behalf of the
workers.
Grievance- It helps in settling the various grievances of the employees.
HISTORY OF TRADE UNIONS IN INDIA
Trade union is a result of Industrialization. It is a recent development. The
foundation of modern industry in India was laid in the period of 1850
1870. Prior to that trade was confined to individuals and families.
Specialized skills were passed from one generation to another. After
Industrial revolution, these people started losing their individual identities
and had to join factories to earn their livelihood and compete with massproduction. It was then that trade unions came into being.
.
The first phase 1850 - 1900
poor in industries. The Indian Factories Act was enacted in 1881 to
regulate the working The inception of trade took place during this phase.
The working hours of labour were long and working and living conditionswere poor. Capitalists were only interested in their productivity and
6
8/6/2019 Group9 EREC Final
7/24
profitability. Wages were low and general economic conditions were hours
and other service conditions of the Indian textile labourers. Employment
of child labour was prohibited. Many strikes took place in the two decades
following 1880 in all industrial cities. These strikes taught workers tounderstand the power of united action even though there was no union in
real terms. Small associations like Bombay Mill-Hands Association came
up.
The second phase 1900 1947
This phase saw the development of organized trade unions and political
movements of the working class. It also witnessed the emergence of
militant trade unionism. The Russian revolution of 1917 and The First
World War (1914-1918) gave a new turn to the Indian trade union
movement. Organized efforts were made by workers to form trade unions.
The AllIndia Trade Union Congress (AITUC) was established in 1920. Many
of the leaders of this organization were leaders of the national Movement.
In 1926, trade union law came up. Mr. N N Joshi was the leader of the
movement.
The third phase 1947
It began with the emergence of independent India. The Government
sought the cooperation of the unions for planned economic development.
The movement of the working class was politicized along the lines of
political parties. Indian national trade Union Congress (INTUC) is the trade
union arm of the Congress Party, The AITUC is the trade union arm of the
Communist Party of India. White-collar employees, supervisors and
managers are also organized by the trade unions, as for example in the
Banking, Insurance and Petroleum industries.
OBJECTIVES OF TRADE UNIONS
7
8/6/2019 Group9 EREC Final
8/24
Steady employment:- One of the major objectives of trade unions is to
provide steady employment to workers. Trade unions ensure that it is
not easy for the management to lay off workers.
Rationalisation of personnel policies:- The financial security of an
employee is determined not only by level of wages and duration of his
employment but also by managements personnel policies - in its
selection of employees for lay off, transfer and promotion etc. If these
decisions are based on subjective evaluation, there is no security for
workers. If such decisions are governed by rules and rational policies,
there is greater assurance for workers.
Voice in decisions affecting workers:- Workers have a greater voice
in decisions affecting them. Trade unions can negotiate with the
management for decisions related to wages, transfers etc.
Gaining legislative enactments:- To Provide legal sanctions to its
demands, the unions attempt to get these framed in form of Acts so
that they become permanent features of the contract between
employers and workers.
Miscellaneous Services:- Modern trade union also engage in providing
educational, medical, recreational and other facilities for development
and welfare of their members. Trade unions express the needs, wishes,
aspirations and attitudes of the working class. A union functions
collectively to protect and promote the interests of its members within a
given socio-economic system.
RECENT HAPPENINGS IN INDIA:
Several disputes have arisen in domestic and multinational companies inIndia since 2008. We can not surely say if these disputes are just a
8
8/6/2019 Group9 EREC Final
9/24
manifestation on the toppling of the global economic body or a permanent
change in the relations between management and trade unions. Various
organisations that represent the labor community ranging from local trade
unions to officers associations were continuously engaging themselves instrikes and protests citing a plethora of faults with their employers. 70 %
of the Indian economy which is dependent on the service sector will surely
be affected by this. While Indias age old labor laws stand safeguarding
the interests of the supposedly less powerful employee community with
a few amendments over years, the labor unrest is growing in the country.
Over the past few years, a series of agitations by trade unions indicate
that the ride could get bumpy for the industry in the days ahead. Alarm
bells went off once again last month after thousands of workers sat in
protest to condole the death of an employee with RICO, an auto parts
maker. Ajit Kumar Yadav was killed, in a skirmish allegedly with the
security guards of the company.
The conflict is said to have been caused after workers here sought to
register a trade union, a move that was opposed by the management. At
the core of many conflicts in this industrial hub is said to be the workers
basic right to form unions and a wary industry determined to not allow it.
Most companies, particularly multinationals, are now increasingly
employing casual workers, says a labour expert. Casual workers are not
entitled to employee benefits such as provident fund and cannot
unionise.
Honda Motors and Scooters India (HMSI)
In October 2009 after the violent strike in 2005, the workers at HMSI went
on a three month Go Slow Strike which reduced production by 50
percent. Honda Motorcycle and Scooter India Vice-President General
Affairs Mohan Depak threatened to shut down the Manesar plant. We
interviewed Mr. Harbhajan Singh, IR Chief from HMSI (Refer to Interview
#1 ) who said that he supported the existence of Trade Unions however
the trade unions should understand that companies can recognize only
one Trade Union.
9
8/6/2019 Group9 EREC Final
10/24
Auto belt in Gurgaon - About 80,000 workers from 60 odd companies in
this industrial hub stayed away from work Tuesday to protest the death of
the worker in an automobile firm in Gurgaon. Work was affected in many
companies in the GurgaonManesar industrial belt as workers did not turnup Tuesday morning. They supported the strike called by All India Trade
Union Congress (AITUC). RICO, an auto parts manufacturing unit, has
been seeing labour unrest for the past one month. Late Sunday, a clash
broke out in the factory between workers who were on strike and those
who wanted to get back to work. The situation spun out of control and left
one worker dead and several others injured.
Rico Auto
In Nov, 2006 the 40-day old strike at component maker Rico Auto came to
an end with the workers and the management agreeing to resolve
differences at the earliest. Representatives of workers and the
management met and had one-on-one discussions to resolve their issues
and broadly agreed on four points to take forward their talks. "The
management reassured that they were never opposed to the registration
of the workers' union, which the management recognises as the right of
the workers," Rico Auto said in a statement.
Bosch Ltd.
Bosch Ltd., a unit of German engineering giant Robert Bosch GmbH,
declared a lockout of its plant at Naganathapura, near the southern Indian
city of Bangalore, where workers have been on strike since March 9th,
2010
However, the management has decided to lift the lockout, adding that it
was taken at a conciliatory meeting chaired by a state labor official, who
advised the management to consider lifting the lockout and also asked
the recognized union in the plant to restore normalcy in production.
Considering the assurances given by the union, Bosch decided to lift the
lockout at its plant, "pending discussions on all issues of Charter of
Demands, submitted by the union, for an amicable settlement," it said.
Bosch said workers at its factories at Bangalore and Naganathapura, both
10
8/6/2019 Group9 EREC Final
11/24
in the southern Karnataka state, are demanding a hike of around 45% in
their current average monthly total salary of INR36,000.
JET AIRWAYS:
Eight major trade unions have asked the airline management to take backthe two pilots it had sacked and recognise the national aviators guild,
which is spearheading the stir. The trade unions said that it was not an
industrial dispute over pay or conditions of work but a matter of removal
of employees from service for forming a Trade Union. The eight trade
unions are All India Trade Union congress, Bhartiya Mazoor Sangh , Hind
Mazoor Sabha, Indian National Trade Union congress, Centre of Indian
Trade Unions, United trade Union Congress, Union trade union centre, All
India Central Council of Trade Unions. The Jet pilots have been reporting
sick en-masse protesting the sacking of two of their colleagues for forming
the National Aviators' Guild, their union body. The trade unions said that it
was not an industrial dispute over pay or conditions of work but a matter
of removal of employees from service for forming a trade union. While Jet
Airways pilots went on a strike for five days, there were millions of
passengers who landed up in trouble. This resulted in the bad reputation
for the company and employees plus great monetary loss.
AIR INDIA:
The union successfully negotiated with the management on the decision
by the latter to cut wages and performance linked incentives (PLI) of the
pilots. The civil aviation ministry had called the union for negotiation.
Trade union activity in the airline industry has seen rapid progress with
talks of a 50,000 member strong trade union being planned with members
being from the different aviation companies operating in India. According
to the Union, the demands include wage revision that has been pending
since January 1997, parity between career progression and wages of the
two airlines, pension scheme pending since 1994, parity in placement and
redeployment of staff, equal opportunity to the workforce, formulation of
future policies and rules for wages, incentives, promotions and other
matters. The demands also include consultations with ACEU during the
11
8/6/2019 Group9 EREC Final
12/24
merger process between Air India and Indian Airlines and making it part of
the decision-making process.
ROLE OF TRADE UNIONS IN INTERNATIONAL ENVIRONMENT
Over the last three hundred years, many trade unions have developed
into a number of forms, influenced by differing political and economic
regimes. In order to understand the role of trade unions in the
international environment, we focus our attention on Europe and USA,
where the evolution of labour unions took place.
UNITED STATES OF AMERICA
In USA, the trade union movement started only after the formation of
republic. The trade union movement can be broadly divided into two eras
demarcated by the American Civil War.
The Pre-Civil War Era:
During this period, the scarcity of large-scale industry was mainly
responsible for limiting the growth of labour unions. During 1790s, unions
were formed by the carpenters and shoemakers of Philadelphia, the tailors
of Baltimore, Md., the printers of New York City, and groups of crafts
workers in other large cities.
In 1827, several trade unions in Philadelphia banded together to form the
Mechanics' Union of Trade Associations, the first U.S. labour
organization to unite workers in different crafts. The National Trade Union
was founded in 1834 which was again short-lived. The economic crisis of
1857 resulted in drastic declines in trade union membership and in the
dissolution of several national unions.
The Post-Civil War Era:
In this period, the industrialisation took place. The National Labor Union
(NLU), a federation of national and local unions, was founded in 1866.
Following the decline of the NLU, the Knights of Labor became the
leading countrywide union in the 1860s. The knights believed in the
12
http://en.wikipedia.org/wiki/Knights_of_Laborhttp://en.wikipedia.org/wiki/Knights_of_Labor8/6/2019 Group9 EREC Final
13/24
greatest good to the greatest amount of people. Many knights left KOL
and joined American Federation of Labor (AFL), formed in 1881. Later
a Congress of Industrial Organisations (CIO) was formed by Lewis.
And after some more evolution, The AFL-CIO came into existence.
THE MAJOR TRADE UNIONS IN US:
The National Labor Union (NLU) - It was the first national labor
federation in USA.
Knights of Labor It was founded by nine tailors from Philadelphia
in 1869. It was led by Uriah Stephens.
American Federation of Labor (AFL) It was one of the first
federations oflabor unions in the United States.
Congress of Industrial Organisations (CIO) It was a federation
ofunions that organized workers in industrial unions in the United
States and Canada from 1935 to 1955.
The American Federation of Labor and Congress of Industrial
Organizations (AFL-CIO) It is the largest federation ofunions in
the USA and Canada. It is made up of 56 national and international
unions. It is especially concerned with global and trade unions.
LAWS MONITORING THE POWER OF TRADE UNIONS:
Fair Employment Act (1942):
On June 25, 1941, President Roosevelt signed an Act to
prohibit racial discrimination in the national defence
industry. It was the first federal law to promote equal
opportunity and prohibit employment discrimination in
the United States.
Taft-Hartley Act (1947):
It outlawed the concept of closed shops. It permitted
union shops unless the state govt. chose to prohibit it. It
overrided the slave-labor bill. The amendments
13
http://en.wikipedia.org/wiki/National_trade_union_centerhttp://en.wikipedia.org/wiki/National_trade_union_centerhttp://en.wikipedia.org/wiki/Knights_of_Laborhttp://en.wikipedia.org/wiki/Philadelphiahttp://en.wikipedia.org/wiki/Uriah_Stephenshttp://en.wikipedia.org/wiki/Labor_unions_in_the_United_Stateshttp://en.wikipedia.org/wiki/Labor_unions_in_the_United_Stateshttp://en.wikipedia.org/wiki/Industrial_unionismhttp://en.wikipedia.org/wiki/United_Stateshttp://en.wikipedia.org/wiki/United_Stateshttp://en.wikipedia.org/wiki/Canadahttp://en.wikipedia.org/wiki/Labor_unions_in_the_United_Stateshttp://en.wikipedia.org/wiki/National_trade_union_centerhttp://en.wikipedia.org/wiki/National_trade_union_centerhttp://en.wikipedia.org/wiki/Knights_of_Laborhttp://en.wikipedia.org/wiki/Philadelphiahttp://en.wikipedia.org/wiki/Uriah_Stephenshttp://en.wikipedia.org/wiki/Labor_unions_in_the_United_Stateshttp://en.wikipedia.org/wiki/Labor_unions_in_the_United_Stateshttp://en.wikipedia.org/wiki/Industrial_unionismhttp://en.wikipedia.org/wiki/United_Stateshttp://en.wikipedia.org/wiki/United_Stateshttp://en.wikipedia.org/wiki/Canadahttp://en.wikipedia.org/wiki/Labor_unions_in_the_United_States8/6/2019 Group9 EREC Final
14/24
enacted in Taft-Hartley added a list of prohibited
actions, or "unfair labor practices". The act required
unions and employers to give 60 days notice prior to
any strike.
FAMOUS STRIKES: THE MOST FAMOUS LABOR STRIKES IN USA
Throughout the history of organised labour, the price for higher wages and
better working conditions has been chronicled by power struggles of epic
proportions. Some of the notable strikes in the history of organised labour
are as follows:
Pullman Strike (1893 - 1894):
During this period, the demand for Pullman luxury cars
decreased due to recession. This led to lowered wages. As a
result, a strike erupted among Pullman workers and quickly
spread to other railroad workers.
The Homestead Strike (1892):
This strike between the Amalgamated Association of Iron and
Steel Workers and the Carnegie Steel Company erupted over
proactive attempts to break the union. When asked for a wage
increase, the management decreased the wages. This led to
the employees going on a strike. The strike ended in defeat
for the union members.
Lawrence textile strike (1912):
It was a strike of immigrant workers
in Lawrence, Massachusetts. It was led by the Industrial
Workers of the World (IWW). This strike defied the
assumptions of conservative unions in the AFL. It lasted for
two months.
Paterson silk strike (1913):
14
http://en.wikipedia.org/wiki/Unfair_labor_practicehttp://en.wikipedia.org/wiki/Lawrence,_Massachusettshttp://en.wikipedia.org/wiki/Massachusettshttp://en.wikipedia.org/wiki/Unfair_labor_practicehttp://en.wikipedia.org/wiki/Lawrence,_Massachusettshttp://en.wikipedia.org/wiki/Massachusetts8/6/2019 Group9 EREC Final
15/24
It was a strike of the silk mill workers in Paterson, New Jersey.
It was led by the Industrial Workers of the World (IWW). The
labour union demanded an eight-hour working day and better
working conditions.
THE MAJOR TRADE UNIONS IN EUROPE:
The European Trade Union Confederation was set up in 1973 to promote
the interests of working people at the European level and to represent
them in the European Union institutions. It is recognized by the European
Union, the Council of Europe, and the European Free Trade Association as
the only representative cross-sectoral trade union organization at the
European level.
Some countries, such as Germany, Belgium, Sweden, Finland, and the
other Nordic countries, have strong, centralized unions, where every type
of industry has a specific union, which are then gathered in large national
union confederations. The largest union confederation in Europe is the
German Confederation of Trade Unions. Usually there are at least two
national union confederations, one for academically educated and one for
branches with lower education level. The largest Swedish union
confederation is Swedish Trade Union Confederation
(Landsorganisationen, or LO). The LO has almost two million members,
which is more than a fifth of Sweden's population. Finland's equivalent is
the Central Organisation of Finnish Trade Unions, with about one
million members out of the country's 5.2 million inhabitants. In addition,
there are two other Finnish union confederations for more educated
workers, with combined membership of approximately one million.
In comparison, France has one of the lowest union densities in Europe,
with only about 10% of the workers belonging to unions. Generally,
several unions are represented inside large companies or administrations,
normally with one from each of the main national confederation of unions
and possibly independent unions. Union membership, however, tends to
be concentrated in some specific areas, especially the public sector.
15
http://en.wikipedia.org/wiki/Paterson,_New_Jerseyhttp://en.wikipedia.org/wiki/New_Jerseyhttp://en.wikipedia.org/wiki/European_Trade_Union_Confederationhttp://en.wikipedia.org/wiki/European_Unionhttp://en.wikipedia.org/wiki/Council_of_Europehttp://en.wikipedia.org/wiki/European_Free_Trade_Associationhttp://en.wikipedia.org/wiki/Germanyhttp://en.wikipedia.org/wiki/Belgiumhttp://en.wikipedia.org/wiki/Swedenhttp://en.wikipedia.org/wiki/Finlandhttp://en.wikipedia.org/wiki/Nordic_countrieshttp://en.wikipedia.org/wiki/German_Confederation_of_Trade_Unionshttp://en.wikipedia.org/wiki/Confederationhttp://en.wikipedia.org/wiki/Swedish_Trade_Union_Confederationhttp://en.wikipedia.org/wiki/Central_Organisation_of_Finnish_Trade_Unionshttp://en.wikipedia.org/wiki/Francehttp://en.wikipedia.org/wiki/Paterson,_New_Jerseyhttp://en.wikipedia.org/wiki/New_Jerseyhttp://en.wikipedia.org/wiki/European_Trade_Union_Confederationhttp://en.wikipedia.org/wiki/European_Unionhttp://en.wikipedia.org/wiki/Council_of_Europehttp://en.wikipedia.org/wiki/European_Free_Trade_Associationhttp://en.wikipedia.org/wiki/Germanyhttp://en.wikipedia.org/wiki/Belgiumhttp://en.wikipedia.org/wiki/Swedenhttp://en.wikipedia.org/wiki/Finlandhttp://en.wikipedia.org/wiki/Nordic_countrieshttp://en.wikipedia.org/wiki/German_Confederation_of_Trade_Unionshttp://en.wikipedia.org/wiki/Confederationhttp://en.wikipedia.org/wiki/Swedish_Trade_Union_Confederationhttp://en.wikipedia.org/wiki/Central_Organisation_of_Finnish_Trade_Unionshttp://en.wikipedia.org/wiki/France8/6/2019 Group9 EREC Final
16/24
Unions in some sectors, such as public transportation(e.g. SNCF and
RATP), are likely to enter well-publicized strikes.
European Trade Union Confederation (ETUC) It was
established in 1973 to promote the interests of people at European
level. It is a 74 member organisations from 34 countries and 11
industry federations, making a total of 60 million members. The
umbrella organisation for national trade union confederations in
Europe.
Union Network International (UNI) - A grouping of 900 trade
unions representing a total of 15 million individual union members
around the world. Its regional section in Brussels is UNI-Europa.
International Confederation of Free Trade Unions (ICTFU) It
came into being in 1949. It has 234 organisations in 152 countries
which represent a total of 148 million individual union members. A
campaigning body concerned about 'globalisation' and involved in
monitoring the activities of multinational enterprises.
16
http://en.wikipedia.org/wiki/SNCFhttp://en.wikipedia.org/wiki/RATPhttp://en.wikipedia.org/wiki/SNCFhttp://en.wikipedia.org/wiki/RATP8/6/2019 Group9 EREC Final
17/24
INDUSTRY INTERVIEWPart 1. Management Perspective
Name of Interviewee: Sh. Varun ShrivastavOrganization: Tata Steel
Designation: Operations Manager
1. What is the relationship between union and management inyour organization?The relationship between Union & the Management is very healthyand amiable.
2. Would management approach union as a partner in businessgrowth?
Management has always taken Union as a partner in the businessgrowth. Of all the decisions taken, union was taken into confidence. Tata Steel was able to face the tough time of slow economybetween 1990-2003 because of union support. We had to cut wagesand union was involved in the decision. We are proud to have such asupportive union.
3. How is the environment within the trade union ?The environment within the Trade Union is political from outside &
family type inside the company. Intra union meetings are veryfriendly and even management has good relationship with theunion. However, the union has political impact on the national level.The Union is affiliated to Confederation of Union which is directlycontrolled by political party.
4. What is the amount of trust level in your company ofworkers in union leaders?Management has been able to build a trust in the union. Union has afeeling that the management will never take a decision neglectingthe employees of the company. In fact, in every house ofJamshedpur, you can get positive feedback about the company andmanagement.
17
8/6/2019 Group9 EREC Final
18/24
8/6/2019 Group9 EREC Final
19/24
Please tick your level of satisfaction for each
Working Conditions
1.
How do you rate your place ofwork?
High Moderate
poor
2.How do you rate the Cleanlinessat your working place?
High Moderate
Poor
3.How do you rate the Lightingconditions at your work place?
High Moderate
Poor
4.How much is the level of freedomin decision making in relevantarea?
High Moderate
Poor
5.What is the level of interactionwith your colleagues?
High Moderate
Poor
6.
What is the level of security atthe building entrances?
High Moderate
Poor
7.What is the level of availability ofFirst aid treatment to treat anyinjury at work?
High Moderate
Poor
8.How do you rate the quality offood provided in the workinghours?
High Moderate
Poor
Compensation9.
I feel, I am paid fairly consideringmy qualification, experience, andresponsibilities
Yes No Cannotsay
10.
I feel, the amount of pay I receivefor my job is at par with othersdoing similar work in our
industry.
Yes No Cannotsay
19
8/6/2019 Group9 EREC Final
20/24
11.Besides salary, are the additionalbenefits provided by thecompany are upto your
expectations
Yes No Cannoysay
12.I feel, the salary and benefits areadequate to meet my needs andthose of my family
Yes No Cannotsay
13.My salary is appropriate as permy experience & skills
Yes No Cannotsay
14. The recreation facilities providedby the company are up to themark
Yes No Cannotsay
15.
The transport facility is readilyavailable
Yes No Cannotsay
Policies and Systems
16.What is the amount of time inhours you work in the company?
5-7hours
7-9hours
9-11hours
17.Is cab facility made available bythe company? If not, should it beprovided?
Already have
Yes No
18.Are you made to work overtime
in the company?
Yes No Cannot
say19.
Are you being paid for theovertime?
Noovertime
Yes No
20.Are you aware of the Indian LaborLaws?
Yes No
21.How often you go on vacations ina year?
Never Rarely Often
22.
20
8/6/2019 Group9 EREC Final
21/24
In case of accidents, are theworkers compensated properly?
Yes No Cannotsay
23.Are you provided with paid sick
leaves by the company? If yes,are they enough?
No sick
leaves
Yes No
24.Is the performance appraisalsystem transparent?
Yes No Cannotsay
25.Are you aware of the completeHR policy of your company?
Yes No Cannotsay
26.Would you like to work for a long
period with TATA STEEL?
Yes No Cannot
say
Further suggestions:
Management has always taken care of our livelihood. Our only hope is
that the same trust should be maintained in the coming years. The
production capacity is going to expand and there is a lot of spending on
technology. We expect management to continue its employee friendly
policies and dont succumb to the financial pressure.
Analysis: Tata Steel can be termed as an ideal organisation if the relationship
between union and management is considered. Management is conscious
about the brand TATA which ensures ethical behaviour, Corporate SocialResponsibility and welfare of people. Tata Steel management believes
that considering the demands of the union will help in making the better
work environment and hence better quality. Production will depend on the
level of engagement of the workers and hence management is committed
to ensure good livelihood of the workers.
The interview of the junior level employee suggests that workers are
really satisfied with the working conditions, company policy and the
attitude of management. They have a trust on the company. They are
21
8/6/2019 Group9 EREC Final
22/24
moderately satisfied with the compensation and hope for more profit of
the company and hence better salary. In this hope, they are ready to work
more sincerely for the company. The awareness level of the employees is
quite high. They know their rights and duties and the labour laws. In all,there is positive feeling from the side of the workers for the management.
CONCLUSION
Trade union movement is an offshoot of industrialisation. The growth of
modern industrial organisations involving use of modern technology and
employment of workers has been followed by growth of trade unions
throughout the world.
The workers feel threatened whenever there is some fear or threat, one
comes closer. That applies to the Unions as well. The workers have the
fear of being obsolete because of the increased use of technology. They
form themselves into groups and feel that they can then not only
overcome that fear but also fight better for their welfare.
This phenomenon has not only been observed in advanced countries of
the world, but also in the developing economies like India. The emergence
of trade unionism is spontaneous and inherent in the growth of capitalism.
The origin of trade unionism lies in the industrial revolution, which
disrupted the older way of life and created a new society forged by the
shop, the factory, the mine and the industry.
Management has to consult the union representatives while taking various
decisions effecting labour such as wages, lay-off, transfer, discharge, etc.
A trade union puts restriction on the discretion of employers for taking
decisions involving welfare of employees. In certain organisations, unions
have become so strong that they affect every aspect of management.
Modern trade unions also take up political activities to achieve their
objectives. Such activities may be related to the formation of a political
party or those reflecting an attempt to seek influence on public policy
relating to matters connected with the interests of working class.
Future of Trade Unions: The mix of traditional roles will continue but
certain new roles are going to assume significance. The most significant
22
8/6/2019 Group9 EREC Final
23/24
change in the IR scene over the years is the slow decline in unionisation
and this trend will continue. The fertile soil for growth of trade unions is
the extent of unskilled/semiskilled workforce in the organised sector and
with more and more automation and privatisation this component is likelyto go down. Another serious dimension is the erosion of leadership in the
trade union ranks and hence the average worker has lesser confidence on
the unions of their capability for resolving the issues to their satisfaction.
The personal image of many leaders has taken a beating and as such in
many areas there are no role models. Though the fragmentation of unions
continues and would continue further in future but there would be joint
movement of two or more unions.
Judiciary which had earlier lend a sympathetic ear to the union causes
have turned the corner and now a more balanced perspective, keeping
the interests of the industry as prime issue.
The one cause for worry is the politicisation of unions and the political
manipulations indulged by the union leadership. Managements have to be
be-ware of the politician-bureaucrat nexus and their attempts to
manipulate the situations.
As more and more competition grows up most managements are likely to
realise the futility of a confrontationist approach instead would opt for
mutual compromises. Developing a 'win-win' formula would be the
challenge for HR professionals.
23
8/6/2019 Group9 EREC Final
24/24
REFERENCES
http://www.iisg.nl http://www.ris.org.in
http://unuwider.com http://indialabourarchives.org/home.htm http://www.ilo.org/global/lang--en/index.htm www.wikipedia.org www.history.com www.fedee.com www.economictimes.indiatimes.com/ www.oxfordscholarship.com www.andrewbibby.com www.kluwerlaw.com
Industrial Relations Venkata Ratnam http://www.citehr.com/6480-future-role-trade-
unions.html#ixzz15f4x83Je
http://www.iisg.nl/http://www.iisg.nl/http://www.ris.org.in/http://unuwider.com/http://indialabourarchives.org/home.htmhttp://www.ilo.org/global/lang--en/index.htmhttp://www.wikipedia.org/http://www.history.com/http://www.fedee.com/http://economictimes.indiatimes.com/http://www.oxfordscholarship.com/http://www.andrewbibby.com/http://www.kluwerlaw.com/http://www.citehr.com/6480-future-role-trade-unions.html#ixzz15f4x83Jehttp://www.citehr.com/6480-future-role-trade-unions.html#ixzz15f4x83Jehttp://www.iisg.nl/http://www.ris.org.in/http://unuwider.com/http://indialabourarchives.org/home.htmhttp://www.ilo.org/global/lang--en/index.htmhttp://www.wikipedia.org/http://www.history.com/http://www.fedee.com/http://economictimes.indiatimes.com/http://www.oxfordscholarship.com/http://www.andrewbibby.com/http://www.kluwerlaw.com/http://www.citehr.com/6480-future-role-trade-unions.html#ixzz15f4x83Jehttp://www.citehr.com/6480-future-role-trade-unions.html#ixzz15f4x83Je