Worker Participation
Content
WORKERS PARTICIPATION
By Lecturer Charles Mwaihojo [LLB, LLM, MBA]
The idea of workers participation in the management of enterprises can be traced back to the industrial revolution in Britain during the 19th century. It was advocated principally by the utopian socialists of the time under the term “workers control”. This notion of the active workers involvement in the decision-making process of enterprises sought to elate the property, rights of the capitalist in order to minimize the social disorder and economic exploitation that was inherent under capitalism1
The concept of worker participation represents a popular theme in the analysis of the world of work among scholars in the fields of Industrial Sociology, Industrial Relations as well as management. It refers to any arrangement which is designed to involve low cadre employees (workers) in the important decision making within the workplace. This implies that rather than saddling only a group within the enterprise (for instance, management) with the responsibility of making decisions, all those who are to be affected
1
Mapolu. H, “Workers’ and Management ,‘’ pg. 23-33
by these decisions (including the workers) would be involved in its formulation and implementation.
Worker participation implies arrangements designed to involve workers in the enterprises decision making process. This allows for workers’ involvement in the initiation, formulation and implementation of decisions within the enterprise. The concept can also be understood in terms of a new approach to industry and society in which people want to be interested with the taking of decisions which have direct bearing on them.
MacGregor2 contend that worker participation consists basically in creating opportunity under suitable conditions for people to influence decisions which affect them. It is a special case of delegation in which the subordinate gain greater control, greater freedom of choice with respect to bridging the communication gap between the management and the workers. This serves to create a sense of belonging among the workers as well as a conducive environment in which both the workers would voluntarily contribute to healthy industrial relations. .
2
MacGregor, D. 1960. The Human side of Enterprises. New York; Mcgraw Hill
Participation is a system of communication and consultation either form or inform by which employees of an organisation are kept informed about the affairs of the undertaking and through which they express their opinion and contribute to management decision. It is a distribution of social power in industry so that it tends to be shared out among all who are engaged in the work rather than concentrated in the hands of a minority.
The essence of labour participation in management lies in the firm belief and confident in the individual, in his capacity for growth and learning, in his ability to contribute significantly with his hands, head as well as his heart, and this implies discarding the narrow conventional out of purpose and
interests and substituting in its place a community of purpose and extending cooperation in promoting the well-being of labour, management and industry.
The ideas, demands and movements of workers’ participation, workers’ control, self-management, direct workers’ rule, workers’ democracy, etc., have a long-standing tradition and are deeply rooted. These ideas imbue and permeate, in one way or another, the entire historical era marking the rise of world socialism. Their ideological roots and origins lie in the interaction of
two powerful and increasingly-determination tendencies in human society’s latter-day history – socialism and democracy.
The evolution of these ideas, demands and movements did not follow a regular and straight course, but rather was always of an explicitly cyclical nature. It was marked by frequent ups and downs – penetrating breakthroughs and progress were followed by stagnation and relapse. Of course, there were always other concepts of a new society or of how to resolve the “social questions,” especially the social status of the working class. From practically the outset, the most important “other” concept, and political and ideological orientation, was represented by those forces which saw the state and representative democracy as the most important instrument for effecting a radical transformation of society, but no less as its optimum institutional framework. At the end of the last century, this second tendency, we shall call it statist or state-socialist, became dominant in international socialism.
The conflict between the self-management and the statist orientation lay at the Toot of many divisions within the workers’ and socialist movements. At times, the confrontation between these two orientations was direct and
central, while at others it assumed considerably less importance. Yet, one cannot reduce the diversity of options in world socialism to a choice between these two orientations. During certain phases in the history of socialism, conflicts within one of these two fundamental choices (for instance, within the global statist concept) were greater in intensity than the confrontation with proponents of the other, alternative concept.
Workers participation in Tanzania. In 1961 Tanganyika achieved its independence. But the capitalists system did not change. Tanzania by the time being adopted the whole British system up to 1962 when it was beginning of changes after having our own Policies which needed to implement by Tanzanian themselves though instead the relation of reduction was fundamentally Neo colonial, undeveloped, and sub-imperialist. That being the situation, in 1967 there was what was called Arusha Declaration. This was a political Manifesto oriented at the establishment of the policy of socialism and self-reliance
and indeed to change the relations of Production. Therefore it provided for the theories for Transformation of capitalist relations of production to socialist relations of production. In 1969 the Parliament created Public Enterprises under the Public Corporation Act of 1969. The emphasis, which
was as regards workers discipline and not workers control.
Workers committees, one created by the Act called the Security of Employment3. Vide section s. 5. This is intended to promote workers' discipline hence efficiency. S.6 of SEA reflects the indirect rule. It leaves employees themselves to enforce disciplinary code through workers committees. It gives the committee responsibility without power, to control the management. The effect of this is that, people who are not in the management could not at all feel that the Public corporations were under management develop z. conviction that public corporation were theirs.
In addition to the workers committee which was concerned with the maintenance of discipline of workers. The workers councils were
established under the Presidential Circular4 in order to consolidate democracy. The presidential circular provided for the concept of workers participation in the following arguments:(a) With proper environment and support from their leaders Tanzania workers are capable of accepting more responsibilities and they can
3 4
Act No. 62 of 1964 No. 1 of 1970
be more creative. (b) Workers are not factors of production but are the major part of the enterprise. (c) True discipline in work place should be easier when workers understand % what they are doing, ' their objectives and when they know what they have contributed to the final result as fully respected partners Many corporations did not implement the presidential circular.
Workers’ Participation vs. Collective Bargaining Both Workers’ participation and collective bargaining seek to get to the bottom of conflict situations or to avoid them in the first place. In the majority of European countries they exist side by side, however, we also come across situations where one country resorts to collective bargaining mechanisms, whilst other countries resolve conflicts by means of participative institutions. As a rule collective bargaining results in nationwide or local agreements between employers and employees or employee organizations, whilst Workers’ participation occurs in the factory or in the company and deals with local management.
In Tanzania, the participation of workers in decision making mostly depends on Trade Union through collective bargaining. Collective Bargaining previously practice under the repealed labour laws that collective agreement had to be routed through the labour department before being submitted to the Industrial Court for registration. Before registration, the industrial Court was empowered to examine the agreement and satisfy itself that it is in line with the micro-economic policy of the country as set out in section 22 (2) of the Industrial Court Act, 1967. This procedure is not in conformity with Convention 98. Fundamental to free collective bargaining is the right to conclude binding collective agreement without interference the state. Under the Employment and Labour Relation Act, 2004 registration of Collective agreements no longer a condition for their validity. However parties to collective agreement shall be required to lodge a copy of the agreement with the Labour Commissioner for storing inspection and statistical purposes as per section 71(7) of the Employment and Labour Relation Act, 2004. CONCLUSION To say short in Tanzania, workers participation in the management of enterprise opened a door through a Presidential Directive N0. 1 of 1970 that fostered the case for the necessity of providing room for workers to
participate in the management of enterprises and set down institutional forms and procedures to be adopted by parastatal undertakings. The directive declared creation of workers councils, remodelling of management executive committee and of the boards of directors so as to ensure workers representation5
The Presidential Directive No. 1 of 1970 declared that a system of workers participation in industrial management is an important follow up to the nation that occurred since adoption of Arusha Declaration in 1967. The Declaration directly or indirectly attempted to ensure prevalence of basic socialist values of democracy, human dignity and human equality and control of the major means of production by the peasants and workers including those of the enterprises concerned6
Despite the fact that the government of Tanzania endeavoured much on the deliverance of industrial democracy by enactment of principal laws such as the Employment and Labour Relations Act 2004 and Labour Institution Act,7 there may be changes that are experienced, but to what extent are these changes effective under the privatize economy? The effects of workers not
5 6
The Presidential Directive No. 1 of 1970 Ibid 7 No. 7 of 2004,
participate fully in decision making cause demonstration and even strike and lock-out in working place as result cause damage such as destruction of property and even injury to people on incidence. As noted above the New Labour tries to address the issue. Under the Employment and Labour Relation Act, 2004 worker participation has been liberalized of which a recognised trade union and an employer or employees’ association may conclude a collective agreement establishing a forum for workers participation in a workplace.8 Subsection 2 of section 73 of the same Act provides that; “if a registered trade union, employers association wishes to establish a forum for workers’ participation in any workplace, the union, employer or association may request the assistance of the Commission to facilitate discussion between the union, employer or association’’. The commission shall facilitate any discussion concerning the establishment a forum for workers participation in any workplace taking into account any code of good practice published by the Council on workers participation. Though the government enacted the law which provides for workers participation in workplace, but does not significantly cater the problems of
8
as per section 73(1).
non participation of workers in decision making in private organisation. It is from that background this study intended to examine the practice and recognition of workers’ participation in the private sector. The workers’ participation is very important element of industrial democracy; it may facilitate workers to contribute in the planning and forecasting in order to reach the goal of the company. ………………………….ZZ…………………………ZZ……………………
Charles Mwaihojo
By Lecturer Charles Mwaihojo [LLB, LLM, MBA]
The idea of workers participation in the management of enterprises can be traced back to the industrial revolution in Britain during the 19th century. It was advocated principally by the utopian socialists of the time under the term “workers control”. This notion of the active workers involvement in the decision-making process of enterprises sought to elate the property, rights of the capitalist in order to minimize the social disorder and economic exploitation that was inherent under capitalism1
The concept of worker participation represents a popular theme in the analysis of the world of work among scholars in the fields of Industrial Sociology, Industrial Relations as well as management. It refers to any arrangement which is designed to involve low cadre employees (workers) in the important decision making within the workplace. This implies that rather than saddling only a group within the enterprise (for instance, management) with the responsibility of making decisions, all those who are to be affected
1
Mapolu. H, “Workers’ and Management ,‘’ pg. 23-33
by these decisions (including the workers) would be involved in its formulation and implementation.
Worker participation implies arrangements designed to involve workers in the enterprises decision making process. This allows for workers’ involvement in the initiation, formulation and implementation of decisions within the enterprise. The concept can also be understood in terms of a new approach to industry and society in which people want to be interested with the taking of decisions which have direct bearing on them.
MacGregor2 contend that worker participation consists basically in creating opportunity under suitable conditions for people to influence decisions which affect them. It is a special case of delegation in which the subordinate gain greater control, greater freedom of choice with respect to bridging the communication gap between the management and the workers. This serves to create a sense of belonging among the workers as well as a conducive environment in which both the workers would voluntarily contribute to healthy industrial relations. .
2
MacGregor, D. 1960. The Human side of Enterprises. New York; Mcgraw Hill
Participation is a system of communication and consultation either form or inform by which employees of an organisation are kept informed about the affairs of the undertaking and through which they express their opinion and contribute to management decision. It is a distribution of social power in industry so that it tends to be shared out among all who are engaged in the work rather than concentrated in the hands of a minority.
The essence of labour participation in management lies in the firm belief and confident in the individual, in his capacity for growth and learning, in his ability to contribute significantly with his hands, head as well as his heart, and this implies discarding the narrow conventional out of purpose and
interests and substituting in its place a community of purpose and extending cooperation in promoting the well-being of labour, management and industry.
The ideas, demands and movements of workers’ participation, workers’ control, self-management, direct workers’ rule, workers’ democracy, etc., have a long-standing tradition and are deeply rooted. These ideas imbue and permeate, in one way or another, the entire historical era marking the rise of world socialism. Their ideological roots and origins lie in the interaction of
two powerful and increasingly-determination tendencies in human society’s latter-day history – socialism and democracy.
The evolution of these ideas, demands and movements did not follow a regular and straight course, but rather was always of an explicitly cyclical nature. It was marked by frequent ups and downs – penetrating breakthroughs and progress were followed by stagnation and relapse. Of course, there were always other concepts of a new society or of how to resolve the “social questions,” especially the social status of the working class. From practically the outset, the most important “other” concept, and political and ideological orientation, was represented by those forces which saw the state and representative democracy as the most important instrument for effecting a radical transformation of society, but no less as its optimum institutional framework. At the end of the last century, this second tendency, we shall call it statist or state-socialist, became dominant in international socialism.
The conflict between the self-management and the statist orientation lay at the Toot of many divisions within the workers’ and socialist movements. At times, the confrontation between these two orientations was direct and
central, while at others it assumed considerably less importance. Yet, one cannot reduce the diversity of options in world socialism to a choice between these two orientations. During certain phases in the history of socialism, conflicts within one of these two fundamental choices (for instance, within the global statist concept) were greater in intensity than the confrontation with proponents of the other, alternative concept.
Workers participation in Tanzania. In 1961 Tanganyika achieved its independence. But the capitalists system did not change. Tanzania by the time being adopted the whole British system up to 1962 when it was beginning of changes after having our own Policies which needed to implement by Tanzanian themselves though instead the relation of reduction was fundamentally Neo colonial, undeveloped, and sub-imperialist. That being the situation, in 1967 there was what was called Arusha Declaration. This was a political Manifesto oriented at the establishment of the policy of socialism and self-reliance
and indeed to change the relations of Production. Therefore it provided for the theories for Transformation of capitalist relations of production to socialist relations of production. In 1969 the Parliament created Public Enterprises under the Public Corporation Act of 1969. The emphasis, which
was as regards workers discipline and not workers control.
Workers committees, one created by the Act called the Security of Employment3. Vide section s. 5. This is intended to promote workers' discipline hence efficiency. S.6 of SEA reflects the indirect rule. It leaves employees themselves to enforce disciplinary code through workers committees. It gives the committee responsibility without power, to control the management. The effect of this is that, people who are not in the management could not at all feel that the Public corporations were under management develop z. conviction that public corporation were theirs.
In addition to the workers committee which was concerned with the maintenance of discipline of workers. The workers councils were
established under the Presidential Circular4 in order to consolidate democracy. The presidential circular provided for the concept of workers participation in the following arguments:(a) With proper environment and support from their leaders Tanzania workers are capable of accepting more responsibilities and they can
3 4
Act No. 62 of 1964 No. 1 of 1970
be more creative. (b) Workers are not factors of production but are the major part of the enterprise. (c) True discipline in work place should be easier when workers understand % what they are doing, ' their objectives and when they know what they have contributed to the final result as fully respected partners Many corporations did not implement the presidential circular.
Workers’ Participation vs. Collective Bargaining Both Workers’ participation and collective bargaining seek to get to the bottom of conflict situations or to avoid them in the first place. In the majority of European countries they exist side by side, however, we also come across situations where one country resorts to collective bargaining mechanisms, whilst other countries resolve conflicts by means of participative institutions. As a rule collective bargaining results in nationwide or local agreements between employers and employees or employee organizations, whilst Workers’ participation occurs in the factory or in the company and deals with local management.
In Tanzania, the participation of workers in decision making mostly depends on Trade Union through collective bargaining. Collective Bargaining previously practice under the repealed labour laws that collective agreement had to be routed through the labour department before being submitted to the Industrial Court for registration. Before registration, the industrial Court was empowered to examine the agreement and satisfy itself that it is in line with the micro-economic policy of the country as set out in section 22 (2) of the Industrial Court Act, 1967. This procedure is not in conformity with Convention 98. Fundamental to free collective bargaining is the right to conclude binding collective agreement without interference the state. Under the Employment and Labour Relation Act, 2004 registration of Collective agreements no longer a condition for their validity. However parties to collective agreement shall be required to lodge a copy of the agreement with the Labour Commissioner for storing inspection and statistical purposes as per section 71(7) of the Employment and Labour Relation Act, 2004. CONCLUSION To say short in Tanzania, workers participation in the management of enterprise opened a door through a Presidential Directive N0. 1 of 1970 that fostered the case for the necessity of providing room for workers to
participate in the management of enterprises and set down institutional forms and procedures to be adopted by parastatal undertakings. The directive declared creation of workers councils, remodelling of management executive committee and of the boards of directors so as to ensure workers representation5
The Presidential Directive No. 1 of 1970 declared that a system of workers participation in industrial management is an important follow up to the nation that occurred since adoption of Arusha Declaration in 1967. The Declaration directly or indirectly attempted to ensure prevalence of basic socialist values of democracy, human dignity and human equality and control of the major means of production by the peasants and workers including those of the enterprises concerned6
Despite the fact that the government of Tanzania endeavoured much on the deliverance of industrial democracy by enactment of principal laws such as the Employment and Labour Relations Act 2004 and Labour Institution Act,7 there may be changes that are experienced, but to what extent are these changes effective under the privatize economy? The effects of workers not
5 6
The Presidential Directive No. 1 of 1970 Ibid 7 No. 7 of 2004,
participate fully in decision making cause demonstration and even strike and lock-out in working place as result cause damage such as destruction of property and even injury to people on incidence. As noted above the New Labour tries to address the issue. Under the Employment and Labour Relation Act, 2004 worker participation has been liberalized of which a recognised trade union and an employer or employees’ association may conclude a collective agreement establishing a forum for workers participation in a workplace.8 Subsection 2 of section 73 of the same Act provides that; “if a registered trade union, employers association wishes to establish a forum for workers’ participation in any workplace, the union, employer or association may request the assistance of the Commission to facilitate discussion between the union, employer or association’’. The commission shall facilitate any discussion concerning the establishment a forum for workers participation in any workplace taking into account any code of good practice published by the Council on workers participation. Though the government enacted the law which provides for workers participation in workplace, but does not significantly cater the problems of
8
as per section 73(1).
non participation of workers in decision making in private organisation. It is from that background this study intended to examine the practice and recognition of workers’ participation in the private sector. The workers’ participation is very important element of industrial democracy; it may facilitate workers to contribute in the planning and forecasting in order to reach the goal of the company. ………………………….ZZ…………………………ZZ……………………
Charles Mwaihojo
