Meaning: Industrial relations means the relationship between employees and the management in the day-today working of the industry. ILO defines “ Industrial relations deal with either the relationship between the state and employers’ and workers’ organizations or the relation between the occupational organizations themselves ”. International industrial relations deals with the complex relationships among employers employing foreign national, employees of different nationalities, home and host country governments and trade unions of the organizations operating in various countries and their national & international federations.
1) Institutional factors :Home and host country government policy, labour legislation, voluntary courts, collective agreement, employee courts, employers’ federations, social institutions like community, caste, creed, system of power status in various countries form Institutional factors. 2) Economic factors :Include economic organization, like capitalist, communist, mixed etc., the structure of labour force, demand for and supply of labour force. 3) Technological factors :Include mechanization, automation, rationalization, computerization, information technology. 4) Social and Cultural factors :Include population, religion, customs and traditions of people, ethnic groups, cultures of various groups of culture. 5) Political factors :Include political system in the country, political parties and their ideologies, their growth, mode of achievement pf their policies, involvement in trade unions.
A trade union is a continuing long term association of employees, formed and maintained for the specific purpose of advancing and protecting the interests of the members in their working relationship. Some argue that it also covers employers’ organizations and friendly societies. Characteristics of trade unions Trade union might be an association of employees, employers or of independent workers. Trade unions are relatively permanent combination of workers and not temporary or casual. The character of trade unions has been consistently changing.
To protect and promote the interest of the workers and conditions of their employment. achieving higher wages and better working & living conditions for the members. minimizing the helplessness of the individual workers by making them stand collectively and increasing their resistance power through collective bargaining; protecting members against victimization and injustice of the employees. raising the status of the workers as partners of the industry and citizens of the society by demanding increasing share for the workers’ in management. Responsibilities of the trade unions-Promotion of international priorities, generally influencing the socio-economic policies of the community through active participation in their formulation at various levels and instilling in their members a sense of responsibility towards industry and the international community.
Three major participants or factors of industrial relations are workers and their organizations, management and the government. 1] Workers and their organizations :The total worker plays an important role in industrial relations. The total worker includes working age, educational & family background, psychological factors, social background, culture, skills, attitude towards others’ work etc. 2] Employers and their organizations :Employers employ expatriates, pay salaries and various allowances, provide a variety of benefits, regulate the working relations through various policies, rules and regulations & by enforcing labour laws of the country. 3] Government :Government plays a balancing role as a custodian of the nation. Government exerts its influence on industrial relations through its labour policy, industrial relations policy, implementing labour laws, the process of conciliation adjudication by playing the role of a mediator etc. It tries to regulate the activities and behaviour of both employees’ and employers’ organizations, individual and group organizations.
The International Labour Organization (ILO) is a United Nations agency dealing with labour issues, particularly international labour standards and decent work for all. 185 of the 193 UN member states are members of the ILO. In 1969, the organization received the Nobel Peace Prize for improving peace among classes, pursuing justice for workers, and providing technical assistance to other developing nations. The ILO registers complaints against entities that are violating international rules; however, it does not impose sanctions on governments. Governance, organization, and membership Unlike other United Nations specialized agencies, the International Labour Organization has a tripartite governing structure – representing governments, employers, and workers (usually with a ratio of 2:1:1). The rationale behind the tripartite structure is the creation of free and open debate among governments and social partners. The ILO secretariat (staff) is referred to as the International Labour Office.
Relative regulations and rigidity in labor laws Practice required by law India China United States Minimum wageMinimum wage (US$/month) 6000 (US$94) /month [ Standard work day8 hours Minimum rest while at work30 minutes per 6-hourNone Maximum overtime limitovertime200 hours per year432 hours per year [ None Premium pay for overtime100%50% Dismissal due to redundancyredundancy Yes, if approved by government Yes, without approval of government Government approval required for 1 person dismissaldismissal YesNo Government approval required for 9 person dismissaldismissal YesNo Government approval for redundancy dismissal grantedredundancy Rarely [ Not applicable Dismissal priority rules regulated Yes No Severance paySeverance pay for redundancy dismissal of employee with 1 year tenure 2.1 week salary4.3-week salaryNone Severance pay for redundancy dismissal of employee with 5-year tenure 10.7-week salary21.7-week salaryNone