This article is written by ADV. Kunal Yogesh Nadkarni, where he discusses about the “CONCEPT AND SCOPE OF SOCIAL RELATIONS WITH REFERENCE TO LABOUR PROBLEMS AND SOCIAL WELFARE”
Industrial
Relations is a “Description of a wide area of relationships that develop as a
result of the essential collaboration of men and women in the industrial
employment process.” So, in order to grasp the challenges and problems
associated with it, one must first understand the history of industrial
relations. The challenges and issues that India is dealing with are the same
problems that the rest of the world is dealing with. Industrial relations have
advanced from a basic level to an industrial capitalist stage.
Work is a prominent source of self-definition. Herein, the existing legislations have failed to provide any kind of social recognition to the unorganised sector. The creation of a tripartite consultation structure, as well as a voluntary and statutory approach to industrial relations, greatly contributed to the development of a specific industrial relations system in our nation. The government/state also governs the nation’s labour relations. It advances, affects, and shapes industrial relations by way of laws, regulations, agreements, and court awards, and places emphasis on usages, practises, heritage, execution of policies and interference by way of executive and judicial machinery.
Key Words: Industrial employment process, State, Tripartite Consultation, Social recognition, Industrial relations.
CHAPTER
II: INTRODUCTION
“Unlimited
exploitation of cheap labour-power is the sole foundation of their power to
compete” – Karl Marx
In the modern contemporary era, it is true to hold that
work is potentially losing its meaning as a symbol of profession or determining
an individual’s social status. However, it is still a critical aspect of
subsistence and protection of social recognition and self-esteem, wherein fresh
methods of oppression and subjugation give rise to prominent labor problems.[1]
Industrial harmony and tranquility are considered a
fundamental pre-requisite for development, progress and productive functioning
of an undertaking in the modern economy. Reasonable governing of terms by the
employer are essential to maintain cordial employment relationships. Herein,
the “International Labor Organization” has played a prominent
role in establishing minimum standards governing member states through legal
precedents and legislations in view of the social welfare of laborers.
The
term “Industrial Relations” is derived from of the spoken
language “industry” and “relations”. Herein, amentaceous activity
wherein an individual is concerned is widely known as industry.[2]
In terms of an economic perspective , industry can be enumerated as the
auxiliary facet wherein aspects of presentation (real estate, working class,
undertaking and capital , or the four M's – men, materials, money, and
machines) are profitably employed for the fundamental goal of production.[3]
On the other hand, the term relations enumerates the relationships that exist
in the industry between the management and his labor force.
Industrial Relations as enumerated by V.
Agnihotri
defines the interaction between the management and the labour force that
arises prominently from the union-employer relationship, Herein, the
said relationship arises prominently due to the industrial enterprises
employment connection.[4] The said can be enumerated as more than a two-party
interaction; wherein the said are a set of practical interdependence involving
diverse factors namely historical,
economic, social, psychological, demographic, technical, occupational, legal,
and so on..
The
research paper will fundamentally focus on a comprehensive analysis of the
topic “Concept
and Scope of Social Relations with Reference to Labour problems and social
welfare”. The concept
of Industrial Relations, along with its scope, objectives as well as the
diverse rights of the labourers guaranteed by covenants and statues will be
fundamentally examined. Furthermore, the recent developments and trends in the
labour industry which includes employee-employer relations, dispute resolution
as well as prominent precedents will be ascertained. Also, the diverse problems
faced by the labour industry as well as the potential prospective
recommendations and solutions for the resolution of same, in view of the social
welfare of the labourers will be mentioned.
CHAPTER III: SCOPE OF SOCIAL RELATIONS WITH REFERENCE TO LABOUR ISSUES
3.1 Introduction
In
the case of “Bengaluru Water Supply and Sewerage Board v. A Rajappa”[5], the
Hon’ble SC laid down the Triple Test Method for determination of the
issue of declaration of the identify of industry pursuant to “Sec. 2(j)
of the Industrial Dispute Act, 1947”. Herein., if an organization
fulfils the below-mentioned aspects and is not established for a business or
trade purpose, will be determined as an industry.
·
Firstly, where there is a systematic activity which is being operated on the
basis of a consensus between the employees and the employer for the goal of
production of goods and services.
·
Secondly, the substantial focus is on the employee-employer relationship.
·
Thirdly, in case an organization is established for a business or trade
purpose, it would not cease to be an industry on the basis of its charitable
basis.
·
Lastly, it is imperative to ascertain whether there is a profit gainful
goal in relation to the said undertaking or not.
3.2 Rights of Labourers
Prominently, the fundamental right of an individual to
the enjoyment of unprejudiced and conducive conditions of working has been
emphasized and prescribed under “Art. 7 of the International Covenant on
Economic, Social and Cultural Rights” as well as diverse other global
as well as local human right treaties labor instruments, conventions as well as
recommended by the “International Labor Organization”. Critical
Labor Rights such as right to social security, standard for mental and physical
health, basic standard of living and remuneration as well as protection from
work related accidents and illness have been recognized as pre-requisites under
the above-mentioned Covenant.
3.3 Scope of Industrial Relations
Industrial
relations are the interactions that occur between employees and employers on a
daily basis. As a result, it is a continual relationship. The scope of industrial
relations covers the following:
·
Interactions
between workers, as well as between employees and their superiors or
supervisors.
·
Agglomerative
negotiation between labour and social control. It's referred to as
union-management relations.
· Collective bargaining between trade unions, employers' groups, and the government.
3.4 Objectives of Industrial Relations
·
Industry is
delineated as a cooperative undertaking directed by governing body to ensure
the proper skilfulness of workers, materials, machines, and money.
·
To facilitate industrial peace, employees must be guaranteed of fair
salaries, excellent working conditions, appropriate working hours, holidays and
the bare necessities of existence.[6]
·
The goals of
healthy industrial relations should be industrial development and advancement,
steadiness, entire well-being and felicity of employees, and highly-developed
peace. Good industrial relations provide industrial peace. It is a peaceful
environment with no "inquilabs," strikes, or industrial problems.[7]
·
Regional biases,
provincialism, and clannishness have no place in an environment with healthy
labour relations.[8] The basic purpose of
industrial relations is to administer and build excellent and healthy
relationships between the management and labour force.[9]
3.5
Importance of Industrial
Relations
·
In the
contemporary scenario, labourers are better educated and aware of their
obligations and rights. The Management should serve them as individuals with
human dignity and self-respect, not just as aspects of production. The purpose
is to amend management and labor's traditional and conventional attitudes
toward one another, to build mutual consensus and collaboration with a view to
achieve an individual purpose. Amicable industrial relations result in
industrial harmony and increased output.[10]
·
Employee-management
collaboration opens the pathway for industrial democracy and contributes to the
undertaking’s development and growth.
·
Favourable labour
relations encourage workers to enhance their production. Mutual conversations,
worker engagement, recommendation systems, joint meetings, and other mechanisms
must be employed for resolution of issues. Good labour relations boost labour
efficiency and production.
·
With greater
production, management is able to provide financial and non-monetary incentives
to employees.[11]
3.6 Employment as a Social relation
In contemporary culture, work is a significant source
of self-definition. Many low-status jobs, on the other hand, do not provide an
agreeable concept of self to the worker. Workers in these situations may
attempt to regulate the link between job and identity in a way that
strengthens, rather than undermines, their self-concepts. In-depth interviews
with twenty-seven custodians were undertaken to investigate this process of
identity management. The social relationships between caretakers and building
inhabitants were discovered to be critical to this process in two ways.[12]
First, customers' relationships, as well as other selected aspects of work,
were accepted as a rewarding and humanising component of their employment, on
which definitions of labour were built. Second, these selected meanings of work
were stated, negotiated, and maintained in the framework of social connections.[13]
While people of all jobs may emphasise the bright side of their work, for those
in non-professional positions, this is a continual effort because there is no
publicly acknowledged philosophy that enhances the image of the occupation.
CHAPTER
IV: PROMINENT LABOUR ISSUES AND PROBLEMS
4.1
Introduction
The
existing Indian economy is defined by the presence of a substantial number of
informal or unorganised labour. Herein, informal labour is prominently
enumerated by the NCEUS as laborers who are engaged in small scale
undertakings, self-employed engaged in traditional activities which are
basically on unskilled labour and are not governed by any rules, standards or
regulations. The Ministry of Labour has classified the same under 4
prominent categories: (i) Nature of employment, (ii) occupation, (iii)
specially distressed and (iv) service.[14]
The
following are the diverse problems faced by the labour industry:
4.2
Migrant Labourers
4.2.1 Introduction
In accordance with the Census 2011
data released on Migration, on an average, 45 crore people do not live in the
state of birth. Herein, individuals move to prominent states such as Mumbai and
Delhi with a view of seeking productive job and education opportunities. In
terms of labourers, India has over 5.6 crore inter-state migrant labourers. The
prominent factors for rural labour migration can be enumerated as, Firstly,
the diverse economic and social aspects which make migration imperative for
survival and secondly, to fill the gasps which have been
enumerated due to certain occupations such as agriculture which are seasonal in
nature.
4.2.2. Analysis
Until recently, most Indians were unaware
about the “Inter-State
Migrant Workmen (Regulation of Employment and Conditions of Service) Act, 1979”. The
said act was implemented due to the inadequacy of the existing framework and
with the fundamental purpose of empowering the both the States, where the
labour belongs and where they labour works, to undertake legislative and
administrative measures to ensure productive protection from any kind of
employment. In consonance with the act, the contractors are necessitated to
obtain a license and certificate of registration from the concerned authorities
of both states as prescribed above.[15] Furthermore, the above-mentioned act
prescribes, reasonable accommodation, medical facilities, suitable clothing,
fixation of wages, fixation of working hours, periodic inspection of the
establishments where the labourers work and reside as well as other basic
amenities. Also, the Government of India had introduced the “Occupational
Safety, Health and Working Conditions Code, 2019”, as an addition to
the existing labour framework with the fundamental goal of strengthening labour
rights.[16] However, despite the
enactment of the above-mentioned legislations, the enforcement and
implementation of the same has been widely unproductive, which was blatantly
visible in the current global pandemic, wherein substantial hardships were
witnessed by migrant labourers, which clearly enumerate the need for
reconfiguration of the existing labour framework in India.
4.2.3
Prominent issues faced by migrant labourers
·
Health
and Living Conditions
Taking into consideration the mere fact that
migrant labourers widely work in construction sites, construction of roads,
etc, the polluted and unhygienic conditions make them vulnerable to water and
air pollution which can prospectively have an impact on their well-being.
Despite, the “Contract Labour Act, 1970”, prescribes reasonable
accommodation, the labourers often live in make shift shelters.
·
Child
Labour
Prominently, children of migrant labourers
are deprived of free and subsidised education facilities which have been
provided by the government and therefore are forced to engage in unskilled
labour. Due to the vulnerability to hazardous conditions, it not only affects
their health but affects the overall development of the child.
·
Exploitation
by Middle men and Contractors
Migration is largely based on the recruitment
by middle men and contactors. Herein, although, the said network achieves the
purpose of providing migrants with pertinent information and job opportunities.
However, it can potentially lead to exploitation of the workers. Taking into
consideration the mere fact that migrant workers belong to the backward section
of the society and are largely uneducated, they are not aware of the diverse
rights which have been guaranteed by the legislations. Herein, there is an
absence of written and enforceable contracts which affect regular provisions
for work and wages. [17]
CHAPTER V: THE RECENT DEVELOPMENTS IN THE INDUSTRIAL RELATIONS SYSTEM
5.1 Labour-Management Relations in Transition:
Industrial relations have alternated suddenly as a result of the shifting corporate environment. Creating and sustaining positive labour relations has become an important aspect of organisational strategy.[18] Before industrialization, it was impossible to imagine pleasant labor-management relations. Organizations, on the other hand, realised that employee engagement was critical to their existence. Instead of exploiting employees, organisations sought worker engagement in all activities.[19]
5.2 The Transition from Exploitation to Participation:
During the early years of industrialisation, most organisations embraced an authoritarian management style. There were no established avenues of contact between management and labour. Labour was regarded as a commodity. Workers were given inadequate, hazardous working conditions and little pay. Workers were unaware of their rights, and their movements were closely tracked.[20]
5.3 Economic Environment Changes
Economic liberalisation and globalisation have had a significant influence on labour-management relations.[21]
Liberalisation of the Economy
Following the liberalisation of the Indian economy in
1991, the emphasis changed from import substitution to export promotion and
local competitiveness. Prior to liberalisation, trade unions in India played a
significant role in preserving workers' rights using political methods like as
strikes and gheraos. Some labour unions even threatened management with
catastrophic repercussions if their demands were not granted.
·
Globalization
Globalisation is described as the increasing deregulation of international commerce and investment as a result of national economies’ interdependence. The majority of employees connect globalisation with job loss. They are convinced that globalisation has always had a detrimental influence on labour relations.[22]
5.4 Labour Restructuring
The government's state intervention strategy has primarily benefited labour by providing them with protection and collective bargaining. Industrial policies were created to govern the conduct of labour and capital, as well as to provide legal resolutions to industrial. conflicts.[23] The Indian government has resorted to 'soft' labour reforms in the form of the following: (i) Disinvestment rather than privatisation, (ii) unfolding labour inspection systems, (iii) Amending labour legislation, (iv) Lowering the interest rate on the provident fund, (v) Special concessions for Special Economic Zone units (SEZs), (vi) Simplify processes for yearly returns, register maintenance and (vii) Designating units in SEZs as "public utility services" in order to make strikes more difficult.
5.5 Collective Bargaining
Collective Bargaining can be enumerated as a dispute resolution method wherein employment governed disputes are amicably, orderly and harmoniously resolved by a way of settlement between the management of the said undertaking and labour unions. In the modern contemporary scenario, the said fundamental principle and right is one of the most essential and widely employed method of amicable dispute resolution. [24]
5.6 Judicial Developments:
The following are a series of landmark judgements on prominent labour issues:
·
“M.C Mehta v.
State of Tamil Nadu”[25]: The Hon’ble SC rendered a series of directions for
pertinent elimination of child labour, which included, identification of survey
for working children, ensuring appropriate education facilities, payment of Rs,
20,000 by the violating employers to the welfare fund, regulation of working
hours for children in non-hazardous industries and withdrawal of children from
hazardous industries. The implementation of the said directions shall be done
by the Ministry of Labour.
·
“Workmen of M/S
Firestone Tyre and Rubber Co of India v, Management”[26]: The SC stated that the “Industrial Dispute Act,
1947” was an instrumental piece of legislation which is enacted
for the fundamental purpose of ensuring betterment of the employees.
·
“Kesoram Rayon
Workmen’s Union v. Registrar of Trade Unions”[27]: Imposition of fines on trade union leaders for arson,
loss of corporate property, and so forth.
·
“Hussainbhai
Calicut v. Altah Factory Thozhilali Union”[28]: The Hon’ble Court while determining the apt definition
of an employer, held that essential aspects such as prolonged employment as
well as economic control over workers, which includes livelihood of the
employees being dependent on him, must be considered.
·
“M/S Engineers
India Ltd v. Presiding Officer Labour Court”[29]:
Removing the contents of service conditions and standing instructions, such as
considering unlawful absences of more than a week as abandonment of work.
·
“M/S Kec
International Ltd v. Kamani Employees Union”[30]:
The requirement for a change notice when the Voluntary Retirement Scheme is
implemented, because work formerly done by more individuals will now be
required to be done by fewer persons.
·
“Ficus Pax
Private Ltd v. Union of India”[31]:
The Hon’ble SC rendered that workers service in an organisation cannot be
terminated arbitrarily and suddenly by giving one- or three-months’ notice or
compensation in lieu of notice.
·
“Syndicate Bank v.
Umesh Nayak”[32]:
The court rendered that a
strike is considered as an ultimate resort for a workman to fulfil its demand
and nor does the act deny the workman’s right to protest using amicable and
harmonious machinery. Also, the court directed the employer to
pay the employees their salaries during the period of strike.
CHAPTER VI: RECOMMENDATIONS
The issues, economic, non-economic controlled by
service contracts / terms and conditions of employment have a significant
impact on the industrial relations environment / situation. Furthermore, issues
not governed by service regulations, such as behavioural and attitudinal
difficulties, which have an impact on the IRs pattern.[33]
·
Promotion and
Development or Healthy Labour-Management Relations: One facet of industrial relations is to foster and
create good relationships between employers and employees.
Ø Collective bargaining spirit and willingness to use
voluntary arbitration. They assume equal position in the sector due to the
feeling of collective bargaining. This sentiment may contribute to industrial
peace.[34]
Ø The presence of powerful, well-organized, democratic,
and accountable trade unions, as well as associations or employers in the
industry, which can provide employees' job security and involvement in
decision-making, as well as offer labour a dignified place in society.
·
Maintenance of
Industrial Peace: The absence of
industrial dispute is required for industrial peace to be maintained. Such
peace may be achieved only if the State has the following rights and
privileges, as well as opportunities for bipartite or tripartite consultative
mechanism for resolving problems, if any exist.[35]
Ø Legislative and administrative mechanisms for the
prevention and resolution of workplace conflicts should be implemented.[36]
Ø The establishment of bipartite and tripartite dispute
resolution forums is required. Various codes, model standing orders, and
conflict resolution processes are required.[37]
Ø Appropriate government must have adequate authority to
refer disputes to adjudication or arbitration where it believes it is in the
best interests of the business or the nation.[38]
Ø Application Cells and evaluation committees must be
formed, with the authority to investigate the execution of different
agreements, settlements, and awards, as well as violations of legislative
requirements under various labour laws.
· Growth of
Industrial Democracy: The
concept of “industrial democracy” holds that labour must have the accurate to
collaborate with administration in the operation of the enterprise.[39]
Ø Establishment of floor and plant-level Shop Councils
and Joint Management Councils to enhance working and living circumstances via
mutual dialogue and understanding.
Ø Increasing labour productivity through various
means:
i.
Recognizing labour
not as a commodity but as a human being in the industry, allowing them a sense
of self-respect and a better understanding of their role in the organisation
ii.
Making available
the material and social environment to which the worker adjusts and adapts
himself while at work.[40]
·
In terms of the Migrant
Labour crisis, the existing legislations have failed to provide any
form of legal or social protection, with most of them denied basic amenities.
Migrant labourers are not governed by any form of civil society initiatives as
the current existing legislations are focused towards formal and organised
labour. It is imperative that the
central and the state government ensure adequate safeguards to protect the
interest of migrant labourers as they contribute substantially to the economy
of India. The following are the recommendations:
Ø Since, in most of the cases unskilled labours are not
aware of their rights, it’s imperative that an independent body such as a Migrant
Facilitation Centre is constituted both at the central and state level
which will ensure enforcement and implementation of the “Inter-State Migrant Workmen (Regulation of Employment and
Conditions of Service) Act, 1979”.
Ø Furthermore, diverse Awareness Campaigns must
be conducted at the rural levels by the state government to enlighten the
labourers about the diverse rights which are guaranteed by the statues.
Ø A comprehensive state-level mechanism must be
implemented for redressal of the grievances of the informal labourers. The
State level bodies must be answerable the Central Authority which must be
constituted under the Ministry of Labour. For the purpose of the same, Legal
Clinics must be implemented to ensure adequate counselling, literary as
well as case registration services.[41]
Ø Social Security Schemes must be implemented for migrant labours in pursuance
of the “Social Security Act, 2008”.
Ø Access to essential services, such as basic health and banking services, free or subsidised educational facilitates for children of labourers must be ensured.
CHAPTER VII: CONCLUSION
The concept of industrial relations necessitates an
interdisciplinary approach which is prominently referred to the interactions
and relationships that exist between management and employees as a result of
their collective attitudes and methods. Herein, the concept of social relations
plays a prominent role as industrial harmony and consensus between the
management and the labourers is supremely important for the productive and efficient
functioning of an undertaking in the modern economy. Hence, as stated in the
recommendations, promotion of healthy labour-management relations by the way of
involving labourers in the decision making, effective and suitable mechanism
for amicable resolution of disputes as well as periodic improvement of the
working conditions, are a series of social factors which will play a prominent
role in increasing the productivity of functioning.
The International Labour Organisation, ICESCR (Art.7)
as well as the Constitution of India (Art. 39A), have played a prominent role
in recognition and enforcement of standards, diverse rights and basic amenities
of labourers in view of reasonable and conducive conditions of working.
However, despite the national and universal recognition of labour rights, the
enforcement and implementation of the same has been unproductive, prominently
due to the lack of awareness among the labourers. Herein, as stated in the
recommendations, implementation of amenities such as Migrant Facilitation
Centre, State level awareness campaigns, Legal clinics as well as Social
Security Schemes for migrant workers will play a critical role in providing
them the much - deserved social recognition in the civil society, taking into
consideration the fact that they contribute substantially to the economic
development of the nation at large.
Author- Adv. Kunal Yogesh Nadkarni,
High Court of Bombay.
END NOTES
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