Role of State in Industrial Relations

Role of State in Industrial Relations

Role of State in Industrial Relations

The state in industrial relations, which has been highly neglected in the literature. It examines the nature of the state and proposes a typology of four distinct roles of the state that affect industrial relations:

  • A third party regulator of labor relations;
  • A regulator of markets;
  • An establisher of the welfare system; and
  • Its own employer and policy maker.

Factors Influencing Industrial Relations

Following are the Factors Influencing Industrial Relations:-

  • Individual Behaviour
  • Organizational Structure
  • Psychological Factors
  • Leadership Styles
  • Economic & Technical Environment
  • Legal & Political Environment

Components of Industrial Relations

The components of the industrial relations include

  • Labour relations
  • Relations between the employees and the executives,
  • Human Resource Management Practices,
  • Trade Union activities
  • Collective Bargaining, and
  • Compliance with Regulatory and Statutory Requirements

Legal Framework of Industrial Relations

The institutional framework of the industrial relations system (IRS) in independent India drawing from the colonial model of industrial relations (Venkata Ratnam, 1996) has been defined largely by four major labor laws, viz. the Trade Unions Act (1926) (TU Act), Industrial Employment (Standing Orders) Act (1946) and
the Industrial Disputes Act (1947) (ID Act).

The policy-makers, toying between the two models of governance of the IRS viz. the “state regulation model” and the “voluntarism model”, preferred the former to the latter (Ramaswamy, 1984). The failures of the IR bills in 1947 and 1950 and the resignation of V.V. Giri over the retention of compulsory adjudication model reflected the policy moods of the regime then.

Unitary Approach of Industrial Relations, Under Unitary Approach Industrial Relation is Grounded in

The Unitary approach to IR is based on the assumption that every one-be it employee, employer or government-benefits when emphasis is on common interest. Alternatively speaking, under unitary approach, IR is founded on mutual co-operation, team work, shared goal, and so.

Conflict at work place, if any, is seen as a temporary aberration resulting from poor management or mismanagement of employees. Otherwise, employees usually accept and cooperate with management. Conflict in the form of strikes is disregarded as destructive.

Evolution of Industrial Relations in India

  • After independence, an Industrial Truce Resolution was adopted in 1947 at a tripartite conference. The conference emphasised the need for respecting the mutuality of interests between labour and capital. It recommended to the parties the method of mutual discussion of all problems common to both, and settle all disputes without recourse to interruption in or slowing down of production.
  • The post-independence period of industrial relations policy aimed at the establishment of peace in industry, and grant of a fair deal to workers. The government sought to achieve these aims through appropriate labour legislation, labour administration, and industrial adjudication.
  • State intervention in industrial relations was justified on the ground that it helped to check the growth of industrial unrest

Evolution of Industrial Relations pdf

Case Study on Industrial Relations with Solution

Table of Contents


Mr. Rajesh Kumar, code No. 647 is working in the cross-winding section of unit-III of MSML on 05.06.2002. he reported for duty in the evening shift timing being from 3pm to 11pm. On the said date at about 3pm, Sh. Arvind Kumar, shift officer who is superior instructed him to work on machine no.15 instead of machine no. 4on which he has also worked previously. But he willfully disobeyed his order and was found loitering in the department upto 4pm. Mr. Arvind Kumar at about 4pm again instructed him to work on machine no. 15 but Mr. Rajesh Kumar without any provocation lost his temper and said to him “Main Kisi sale ki parwah nahi karta. Tumhe main bahar dekh loonga.” After that he left the department without any permission.

The above conducts on the part of Mr. Rajesh Kumar are major misconducts under certifies Standing Order No. 22(1), 22(8), 22(9), 222(24) & 22(31).

  • Please draft a charge sheet to be issued to Mr. Rajesh Kumar


Ramesh was just promoted as a shift officer. The promotion became effective when his immediate superior Mr. Sharma was out of town for a few days. Due to illness of Ramesh’s subordinate the work schedule was not being met. He decided to pitch in and help spending bout four hours daily in production. When Mr. Sharma returned to his work, Ramesh is not available, as he is not working on the shop floor. He is upset and tells him that it is the function of the supervisor to accomplish work with and through other people and not do it himself.

  • What was the initial problem in this case?
  • Tick the alternative you would select to solve future problems when workers are not available
  • Let the scheduled work be late and catch up when the worker returns
  • Lend a hand as Ramesh did in this case.
  • Prepare back up for emergency

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Need and Importance of Industrial Relations

  • Promotes Democracy: Industrial relations means employing collective bargaining to resolve issues faced by workers. This collective bargaining is generally employed through cooperation and mutual agreement amongst all the affected parties, i.e., democracy, management, and employees unions. This enables an organisation to establish industrial democracy, which eventually motivates the workers to perform their best to the growth and prosperity of the organisation.
  • High Morale: Good industrial relations enhance the morale of the employees and motivate the workers to work more efficiently.
  • Avoid Conflicts Between Management And Union: Industrial relations minimise issues between unions and management. This is because industrial relations incorporate setting up machinery to resolve issues faced by management and employees through mutual agreement to which both these parties are bound. This results in ignoring any unfair practices that could lead to major conflicts between employers and trade unions.
  • Minimises Wastage: Satisfactory Industrial relations are maintained on the basis of co-operation and recognition of each other in the department. It helps to minimise wastage of material, manpower, and costs.
  • Economic Growth And Development: Good and harmonious industrial relations result in increased efficiency and hence prosperity, which in turn minimise turnover and other tangible benefits to the organisation. This promotes economic growth and development.

Industrial Relations and Labour Laws ebook Free Download

Industrial Relations, Trade Unions and Labour Legislation

Features:- 1. Following the revised pattern of Question Pattern of University of Mumbai. 2. Multiple choice questions after each chapter to assist students in appearing for examinations 3. Solved and un-solved case studies supporting concepts in every chapter 4. Chapter-end review questions to help students test their knowledge of concepts Table of Contents 1. Trade Unionism 2. Structure And Government Of Trade Unions 3. The Trade Union Movement In Great Britain 4. Trade Union Movement In India Upto 1949 5. Trade Union Movement In India: 1950 Onwards.

Industrial Relations Code 2020 UPSC

What is System Approach in Industrial Relations

Systems thinking is a way of approaching problems that asks how various elements within a system influence one another. Patterns are often hidden and hard to identify, with solutions to problems not possible to predict in advance.

In a systems approach to decent work, this means that sectors must be analysed holistically, and interventions not based on pre-planned blueprints of ‘what works’ based simply on global policy recommendations – but designed, delivered and adapted according to how they can solve problems in a way that is relevant to the local context.

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