Understanding Industrial Relations in the Automobile Industry Presented by Siddhartha Goutam(B10030) Siddhartha Roy(B10031) Souryojit Ghosh(B10032) Subhodeep Kumar Dey(B10033)

AgendaAgenda What are industrial relations? What are industrial relations? Evolution of industrial relations in India Evolution of industrial relations in India Industrial relations in Hindustan motors Industrial relations in Hindustan motors Industrial relations in Tata motors Industrial relations in Tata motors

What are industrial relations? Denotes the collective relationships between the management and workers Encompasses: Trade unionism, collective bargaining, worker’s participation in management, discipline and grievance handling, industrial disputes and code of conduct of the workers Objectives:  Maintain peace and harmony in the organization  Improve quality of work life  Increase productivity  Industrial democracy

Evolution of industrial relations in India 1 st Phase Industrial relations prior to British Raj 2 nd Phase Industrial relations during colonial period 3 rd Phase Industrial relations in the post independence era 4 th Phase Industrial relations in the post globalization period

Evolution of industrial relations in India 1 st Phase Industrial relations prior to British Raj 2 nd Phase Industrial relations during colonial period 3 rd Phase Industrial relations in the post independence era 4 th Phase Industrial relations in the post globalization period

Evolution of industrial relations in India Employee Employer relation was that of master and slave Trade and businesses were few and far Conditions of the workers was such that there was no difference between an artisan and a slave Situation improved under the Mughal rule

Evolution of industrial relations in India 1 st Phase Industrial relations prior to British Raj 2 nd Phase Industrial relations during colonial period 3 rd Phase Industrial relations in the post independence era 4 th Phase Industrial relations in the post globalization period

Evolution of industrial relations in India WW-I the first milestone en-route to IR Success of the Russian revolution 1917 Establishment of ILO in 1919 Establishment of AITUC in 1920 Indian trade union act of 1926 The trade dispute act 1929 Indian Labour Conference in 1942

Evolution of industrial relations in India 1 st Phase Industrial relations prior to British Raj 2 nd Phase Industrial relations during colonial period 3 rd Phase Industrial relations in the post independence era 4 th Phase Industrial relations in the post globalization period

Evolution of industrial relations in India Industrial dispute act of 1947 Many labour laws were introduced between Recognition of unions, grievance procedure for workers, worker’s participation schemes. First national commission on labour-1969 Voluntary schemes for workers’ participation in management-1975 Stagnant, protected, regulated and controlled industrial relations scenario in the late 80’s

Evolution of industrial relations in India 1 st Phase Industrial relations prior to British Raj 2 nd Phase Industrial relations during colonial period 3 rd Phase Industrial relations in the post independence era 4 th Phase Industrial relations in the post globalization period

Evolution of industrial relations in India Traditional industrial relations was reactive and passive With globalization industrial relations has become more proactive and aggressive Influence of the core conventions of ILO Consumer forums, NGOs, environmental campaigners are replacing trade unions in many grey areas Disinvestment and VRS are accepted facts of IR Pro labour stance of the government is being reduced

Industrial relations in Hindustan motors Industrial relations in Hindustan motors CITU is the trade union present in HM Political affiliation to CPM Problems in implementing workers participation management:  Management’s inability  Political environment  Higher authority of trade unions Introduction of the VRS scheme in late 90s

Industrial relations in Hindustan motors Industrial relations in Hindustan motors Impact of the VRS scheme  Protest from CITU and INTUC  Employees went on strike  HM approached the WB govt. to run the plant  Payment of full weeks wage for 3 days of work  HM filed for writ petition in Calcutta court  Productivity suffered and expenditure increased Protest by the unions for late payment of wages in 2003 Shut down of work at the Uttapara plant in 2007

Industrial relations in Tata motors Industrial relations in Tata motors Tata motors respects the right for association of its employees and has constructive relationship with trade unions at all locations With its collaborative approach Tata motors has not faced any legal actions regarding anti union practices of the permanent employees are unionized Collective bargaining agreements include  Health and safety  Compensation structures

Industrial relations in Tata motors Industrial relations in Tata motors Collective bargaining agreements are in the form of MOU Renewed every 3 years All eligible employees enjoy the benefits of the MOU Grievance issues of temporary employees is also taken up by the unions

Industrial relations in Tata motors Industrial relations in Tata motors Procedures involving information, consultation and negotiation with employees BU Level ED, GM(HR) Annual or Bi annualED-Union Committee GM(HR)-Union off. bearers Local Level Senior VP/Direct Reports Monthly/PeriodicallySenior VP-Union off. bearers/members Divisional Level GM/Direct Reports MonthlyGM-Union off. bearers Faculty/Departmental Level Div. Head/Factory Head/HR Monthly/WeeklyIRC/Communication/Safety meeting CX Owners/HROOne to One interactions

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