Industrial And Human Relation


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Introduction To Employee Relation

In today's modern world, management of employee and industrial relation plays crucial role for the achievement of organization objectives. Employee relations are maintained by designing effective policies and practices which build strong relationship between management and workers (Collins, 2010). The policies should be made in such a way that it is concerned with all the parties (Management and workers). In the view to get more understanding of human and industrial this report is undertake. For this purpose, the report will uncover the broad overview of management of employee relation (Loosemore, Dainty, and Lingard, 2003).


Unitary and pluralistic perspectives of employee relations-

This report brings in light views of relationship between management and trade unions of an organization. Usually there are two basic views in this regard i.e. Unitary Perspective and Pluralistic Perspective.
Unitary perspective is related to the stringent rules and regulation related to the workplace (Leat, 2012). Here, management is mainly concerned with the growth and achievement of organizational objectives. They just follow authoritarian approach to get maximum work from workers. In this perspective, Management sees the organization as a single entity which is governed and controlled by the top most person of the company. Administration thinks that workers are made to get orders and carry out orders. In this approach, managers adopt stick approach for controlling organizations functions (Dzimbiri, 2008). He gives hard punishment if the work is not completed on time. Unitary perspective sees management as the authoritarian right to manage. So individual or organization who follows unitary perspective considers trade unions have no place in the flexible labour market of the 21st Century'.

Key elements of effective collective bargaining arrangement

The concept of collective bargaining is emerged to protect the rights and interest of workers. The industrial relations are governed and regulated by the process of collective bargaining. It is basically a process of converting disagreement between the concerned parties into a common consensus (Spineux, 2002). Collective bargaining in industries is done by negotiation and discussion of rules and regulation which will be applied to all the parties concerned i.e. trade unions and employer. It is generally carried out to draw decision related to the effective governance of employment rules and regulations. So it makes a framework within which all parties have to carry out their activities. When any dispute arises between trade unions and employer then they are resolved with the help of collective bargaining. Thence, it can be said that collective bargaining helps to sort out industrial disorder (Wilkinson and et. al., 2009).

Trade unions and employer goes for collective bargaining to solve the following main issues-

  • Political aspect- In this both parties makes collective bargaining for the issues related to power, authority, freedom and etc (Hebdon, 2005).
  • Economical Aspect- It includes disagreement in wage rate, hour rate and bonus related issues. For example, management is not intended to increase the wage rate but trade unions are opposing with this decision of management.
  • Social Aspect- This aspect is arise when the trade unions demands compensation for the loss of life or physical damage to worker (Vartiainen, 2011).
  • Environmental aspect- This arises when the trade union demands more efficient workplace in terms of safety and security.

TASK - 2

Understanding of dispute resolution processes research an organization

A business house is surrounded by numerous people who work in the organization to fulfill their personal objective by accomplishing organization objectives. It is not necessary that all individual has same interest (George and Pylee, 2009). People mostly work in the company to get higher monetary benefit so that they can satisfy their livelihood whereas some other people work for status, power and recognitions. So it is very complex for the management to deal with different people and their different needs and requirements. Generally, management tries to fulfill the basic needs of all employees but many of times it happens that the interest of management and workers doesn't matches. This unparalleled aspect brings out conflict of interest between them which ultimately takes the shape of outsized dispute between the workers and management (Dicker, 2003).

In United Kingdom, the process which usually used for the settlement of industrial disputes is explained in below heads-Small conflicts can take the shape of big disputes, if the there is absence of proper communication channel in the firm. So before going ahead, it is very necessary for the workers and management to first communicates one-to-one with each other. Because this helps in eliminating misunderstanding and quarrel at the first stage only. When the talks go worthless then both parties should seek legal advice and performs their action accordingly (Khan and Khan, 2012). It is peculiar for both the parties to keep safe all relevant documents information for which the dispute is created because this information and data will help to build a clear understanding of the reason for which the dispute is created.

Litigation- Litigation is the oldest form of resolving disputes. In this, correspondence parties opt for resolving disputes through legal prospect. In England and Wales, there is provision to sort-out the disputes before the case reaches court. This provision is also known by the name Pre-action Protocol (Solve a workplace dispute, 2014). It is encouraged to resolve conflict firmly without incurring legal and other cost. Further, proceeding of court takes longer time to draw the decision. So mostly businesses prefer to draw solution of the problems at outside the court's gate. The case of TESCO is resolved through this medium.

Arbitration- Arbitration is also similar to litigation but here the process for settlement of dispute is slightly different. This process is mostly used by the multinational corporations (Butcher and Clarke, 2003). The parties who are in disputes agree to refer the disagreement to arbitration for a binding arbitration. An arbitrator is usually a third party or an individual who makes decision by understanding the whole scenario in 360 degree view. Generally the arbitration takes place either by following the procedures of arbitrator which he decided or by following the rules and regulation of International chamber of Commerce (Hebdon, 2005).

Alternative Dispute Resolution- It includes many methods of dispute settlement. The most commonly method which followed is “Assissted” negotiations to achieve the settlement. It is also know by the name Mediation. Here, a neutral mediator is appointed by the correspondences to achieve the settlement of dispute sooner as compared to litigation. It removes many barriers which are associated with litigation. In this, settlement is done with the willingness of both the parties (Spineux, 2002).


The whole reports have been discussed with the context of importance of human relation in today's contemporary world. After the complete study it was found that human relations plays very crucial role in the organization in modern world. The good human relation with the workers can be developed by adopting pluralistic perspective which helps to build strong bonding between management and workers (Williams and Smith, 2009). This can be achieved when the workers and trade unions would have been given required amount of freedom of choice, good workplace, and wages according to the industry norms. In the study, it was also found that how collective bargaining is done between the management and trade unions for the benefits of their members. Lastly, the process of effective dispute settlement system is discussed and in that it was found that the disputes are settled through various medium. But the most of the MNC firms prefers to settle disputes through Arbitration (Máté, 2011).


  • Collins, H., 2010. Employment Law. Oxford University.
  • Blyton, P. and Jenkins, J., 2007. Key Concepts in Work. SAGE.
  • Butcher, D., and Clarke, M., 2003. Redefining managerial work: smart politics. Management Decision. 41(5). pp.477 - 487.
  • CDR Associates, 2007. Conflict Resolution for Managers and Leaders, Participants Workbook: The CDR Associates Training Package. John Wiley & Sons.
  • Courpasson, D. and Clegg, S., 2012. The Polyarchic Bureaucracy: Cooperative Resistance in the Workplace and the Construction of a New Political Structure of Organizations. Emerald Group Publishing Limited. 34. pp.55-79.
  • Dicker, L., 2003. Employee Relations: How to Build Strong Relationships with Your Employees. Allen & Unwin.
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