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Project report on Industrial relation
Submitted toSubmitted byBhavneet sidhu Sartaj sra Hitesh

First and foremost, we would like to thank to our supervisor of this project, Mr.Parminder pal singh for the valuable guidance and advice he inspired us greatly to word in this project. His willingness to motivate us contributed tremendously to our project. We also would like to thank him for showing us some example that related to the topic of out project. Besides, we would like to thanks the authority of Baba farid group of Institution for providing us with a good environment and facilities to complete this project.Also,we would like to take this opportunity to thanks the Baba farid college of management & Technology of Punjabi university, Patiala for offering this subject, marketing management .It gave us an opportunity to participate and learn about the “Industrial Relation” Finally an honorable mention goes to our families and friends for their understanding and supports on us in completing this project. Without helps of the particular that mentioned above, we would face many difficulties while doing this.


INTRODUCTION ABOUT INDUSTRIAL RELATIONS Industrial Relations is a dynamic socio-economic process. It a “designation of a whole field of relationship that exists because of the necessary collaboration of men and women in the employment process of industry”. It is not the cause but an effect of social, political and economic forces. Economists have traditionally identified four factors of production, labour, capital and organization. The role of labour as a factor of production is becoming increasingly important in the modern society. Capital and natural resource endowments, no doubt, are vital elements in the production process but it is labour which contributes most to the wealth of a company. “Human beings are the active agents who accumulate capital, exploit natural resources, build social, economic and political organizations and carry forward national development”. Growing industrialization and the rapid expansion of the services sector resulted in the galloping demand for skilled labour after 50s. The emergence of the concept of human relations, human resource management (HRM) and human resource development (HRD) contributed to the growing importance of labour. The issue of INDUSTRIAL RELATIONS arose from the issue of divorce of the workers from the ownership and management of the production process. This has brought about a sense of deprivation and loss of independence on the part of workers and is probably the primary cause of industrial disputes. Industrial work has drastically reduced the independence of workers and made them mere cogs in the machine – a kind of ‘second class citizens’. The disciplinary rules for work have become quite harsh and arbitrary. The heterogeneous nature of workers, illiteracy and politicization of trade unions made it impossible for the workers to bargain for their rights unitedly. All these factors have led to growing unrest among the rank of workers.

Examination of INDUSTRIAL RELATIONS The term ‘INDUSTRIAL RELATIONS’ refers to relationship between Management and Labour or among Employees and their Organizations that characterize or grow out of employment. Theoretically speaking, there are two parties in the ‘employment’ relationship – labour and management. Both parties need to work in a spirit of cooperation, adjustment and accommodation. In their own mutual interest certain rules for co-existence are formed and adhered to. Over the years, the State has also come to play a major role in INDUSTRIAL RELATIONS – one, as an initiator of policies and the other, as an employer by setting up an extremely large public sector. There are points to examination of the Industrial Relations: Employer-Employee interactions: Industrial Relations arise out of employeremployee interactions. These relations cannot exist without the basic building blocks, i.e., the employer and on one side and the employees on the other side. Web of rules: Industrial Relations are a ‘web of rules’ formed by the interaction of the government, the industry and the labour. They include the relations between employer and employees and between employers` associations, trade union as well as the State. Multidimensional: Industrial Relations are fairly multi-dimensional in nature as they are influenced, by a complex set of institutional, economic and technological factors. Dynamic and changing: Industrial Relations change with the times, generally keeping pace with the expectations of employees, trade union, employers` associations, and other economic and social institution in a society. Spirit of compromise and accommodation: The Industrial Relations system is characterized by forces of conflict and compromise on either side. In the large interests of society, both the employer and the employees must put out fires amicably and get along with each other in a spirits of compromise and accommodation. The individual differences and disagreements must be dissolved through persuasion and even pressure. The factors responsible for conflictful situations need to be resolved through constructive means.

Government’s role: The government influences and shapes Industrial Relations with the help of laws, rules, agreements, awards of courts and emphasis on usages, customs, traditions, as well as the implementation of its policies and interference through executive and judicial machinery. Wide coverage: The scope of Industrial Relations is wide enough to cover a vast territory comprising of grievances, disciplinary measures, ethics, standing orders, collective bargaining, participatory schemes, dispute settlement mechanisms etc. Interactive and consultative in nature: Industrial Relations include relations and joint consultation between labour, management. individual

Factories Acts and Industrial Relations Factories Act of 1946 is a culmination of a series of earlier acts for Industrial Relations. The act makes extensive provisions for healthy relations in various areas in the workplace. S.NO. Year EHS (Environment, Health, & Safety) REGULATION, Acts S.NO. Year EHS (Environment, Health, & Safety) REGULATION, Acts 01. 1974/1998 The Water (prevention & control of pollution) Act, including amendments. The Water (prevention & control of pollution) Act, including amendments. The Air (prevention & control of pollution) Act, including amendments. The Air (prevention & control of pollution) Rules Environment including (protection) Act 1986

02. 03. 04. 05.

1977/1992/2003 1981/1987 1982 1986

amendments of 1991, Environment (protection) Act 1986 including amendments of Rules 06. 07. 1989/2000/2003 1989/2000 The Hazardous wastes (mgt. and handling) rules, including amendments 2000/2003 Manufacture, storage and import of Hazardous chemical rules, including amendments rules


1989 The Central Motor Vehicle rules (under motor vehicle Act, 1988)

09. 10. 11. 12. 13. 14. 15. 16.

1963/1995/2000 2004 2000 1948/1987 1952 1956/2003 1934/1997 1984/1993/2004

Noise pollution control)rules,2000 Ozone depleting (regulation)rules,2004




The battery (Mgt. and handling) rules, 2004 The factories Act (As amended fill 1987) Punjab state factory rules Indian Electricity rules The petroleum Act (as amendment till 1997) Gas cylinder rules, including amendment rules, 1993/2004

17. 18. 19. 20. 21.

2000/2002 1984 2001 1983/1989 1970

The DG rules, 2000 with amendment 2002 The Explosive Act Energy conservation Act, 2001 The Explosive rules, including amendment rules, 1989 The contract labour regulation & control Act, 1970 and rules 1971 The Punjab welfare officer recruitment & condition of services rules The Bio medical waste (Mgt. and handling) rules The Child regulation) Act labour (prohibition and



23. 24.

1998/2003 1986

This cover section 11-20 and 42-49 & the items covered are related to: Sec 11:- General cleanliness Sec 12:- Disposal of wastes and affluent Sec 13:- Ventilation and temperature Sec 14:- Free from dust and fumes Sec 15:- Artificial humidification Sec 16:- Overcrowding and congestion Sec 17:- Lighting Sec 18:- Drinking water Sec 19:- Kamotes and urinal Sec 20:- Provision for spittoons Sec 42:- Washing facility Sec 43:- Keeping clothing not worn during working hours and for drying of wet clothes Sec 44:- Sitting for workers who are obliged to work standing Sec 45:- Maintenance of first aid box with prescribed contents for every employees Sec 46:- Canteen facility for more than 250 workers Sec 47:- Suitable rest rooms or lunch room with provision for drinking water and should be provided in factory employing more than 150 workers and for more than 500 workers ambulance room of prescribed size, prescribed equipments and in charge of qualified medical and nursing staff Sec 48:- Crèches for women, workers more than 30 Sec 49:- Appointments of welfare office for more than 500 employees

Some Social Security Provision for workers. (Statutory) a) Medical treatment and compensation for industrial injury, accident, ailments etc. b) Financial assistance during absence due to ill health or accidents. c) Old age pension d) Gratuity e) Provident Fund f) Financial assistance g) Maternity benefit to women worker

FINDINGS 1) 37.5% Employees are satisfied, and 62.5% dissatisfied with the working condition provided by the ABC Ltd. 2) Majority of Employees are aware about the welfare schemes provided by the ABC Ltd. 3) Majority of Employees are satisfied with the salary and incentives provided by the ABC Ltd. 4) 62.5% Employees are satisfied, with the rest room facility provided by the ABC Ltd. 5) Majority of Employees are satisfied with the drinking water facility provided by the ABC Ltd. 6) Majority of Employees are satisfied with their job profile. 7) 42.5% of Employees are satisfied, 57.5% are dissatisfied with the compensation provided by the ABC Ltd. 8) Majority of Employees are dissatisfied with the medical benefits provided by the ABC Ltd. 9) Majority of employees are dissatisfied with the retirement benefits provided by the ABC Ltd. 10) Majority of employees are dissatisfied with the recreation facilities provided by the ABC Ltd. 11) 60% satisfied and remaining employees are dissatisfied with the transport facilities provided by the ABC Ltd. 12) 40% are dissatisfied with the grievance handling procedure of the company.

LIMITATIONS 1) The sample collected is very small compared to the population of the company. Thus it may not bring out the exact analysis. 2) Some of the respondents do not react favorably to the questionnaires. 3) It is possible that respondents might have tried to maintain consistency in terms of their responses. 4)time of 4-6 weeks are also very less for the study.

CONCLUSION ABC is growing at a very good place .As from graphs it is clear that the industrial relation operation in ABC Ltd. is effective one.There are different kind of welfare schemes like weekly rest ,medical allowance, death relief fund are provided by the company to the employees to maintain the industrial relation better one . Instead of all that there is also a effective grievance handling machinery for maintaning it.

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