Thursday, 2 April 2015

INDUSTRIAL RELATION IN NIGERIA



UNDER CHAPTER ONE
INTRODUCTION
          Man in search of livelihood and means of survival, seek to be employed or gain employment into an organization where he can earn income to better his living conditions.
          Hence, employment then, become a contractual relationship in which employers want to optimize their profits. While the employees want higher pay packages as well as good and fair conditions of service. The relationship is called labour management relationship.
Note: The relationship between labour and management is a give and take issue.
          According to Ali (2002) labour-management relationship is always played by conflict and punctuated by strikes and threat of strikes.
          Usually, the antagonistic relationship between labour and management, result to burning down of factories, destruction of costly equipment and machines, mass retrenchment, imprisonment of workers.
          The fact is that there is no balance of interest in the relationship that exist between labour and management. However, their interests can be harmonized to reduce conflict and unnecessary waste of resources in the workplace which is the major trust of our subject matter “Industrial Relation”.
MEANING AND DEFINITION OF INDUSTRIAL RELATIONS
          According to Armstrong (1977), industrial relations are concerned with formal and informal relationship existing between employers and trade unions and their members.
Definition: Industrial Relations is the entire processes involved in formulating, interpreting and administering of rules, and regulations guiding workplace, with the purpose of achieving control over the concerned parties in the community.
(THE SCOPE OF INDUSTRIAL RELATIONS)
          As stated by Yeasty (1982) scope of Industrial Relations includes: Employment, security, condition of work, remuneration – levels of the wages and the manners of determination and payment level of production, labour efficiency as productivity, safety health and welfare at work, social security including old age and specialists and practitioners as to which areas of social relations.
          In other words, the scope of industrial relations is all embracing talking about power relationship, power sharing and other issues which erupt from employment conditions. Ugwu, (2002)
(THE CONTENT OF INDUSTRIAL RELATIONS)
          According to Armstrong (1977), the content of Industrial Relations comprises: the Philosophies and pouches of the major player in the Industrial Relations scene, the government of the day, the trade union and management.
v A number of parties, each with different roles. These consist of the state, management, the trade union industrial managers and supervisors, personnel managers, shop steward and employees
v The bargaining structure, recognition and procedural agreements and practices which have evolved to enable the formal system to operate.
v Policies and practices for employee involvement and communications.
THE ELEMENT SUBSTANCE OF INDUSTRIAL RELATIONS
          The Oxford Advanced Learner’s Dictionary the 7th Edition, defined Element as the necessary or typical part of something. While substance is the most important or main part of something.
          Therefore, the element/substance of industrial relation is being refer to the most and typical parts or areas of industrial relations.
Note: The basis of industrial relations is the contract of employment.
(According to ugwu, J.N. 2006)
          The substance/elements includes:
(a)           Water/employer industrial demand and objective
(b)           The operative functions of the personnel department.
(c)           Industrial Democracy.
(d)           Industrial disputes and settlement
(e)           Collective bargaining and joint consultation.
A.          Worker – Employee Industrial Demand and Objectives: In the contract of employment, the demands and objectives of employee varies with that of employer. While the employee expects better and favourable working conditions of services. The employer on the other hand expects improved and increased return in form of higher profit. These objectives is the major reason for contracting the employment.
B.          The Operative Function of the Personnel Department: According to Obikoy (1996), human resources are vital to the generation of all goods and services. Personnel management is concerned with the recruitment, selection utilization and development of human resources by and within the organization.
C.          Industrial Democracy: Is a sino quo non for improved production and mutual relationship and understanding of the job and workplace environment. A good system of industrial relations must promote industrial democracy and encourage employee participation. It would create opportunity for joint planning rather than bargaining and joint effort towards common goal rather than defensive efforts for competitive group advantage.
v The underlining four propositions for joint or worker participation in decision making at the enterprise level, as stated by Chiplin (1977) are:
(1)     It is a matter of social justice that those who invest their labour and their fate to a place of work must have share in enforcing the various aspects of its economic policy.
(2)     Joint or participative decision promotes good industrial relations.
(3)     Involvement of the worker in decision making will improve his commitment and so raise his productivity.
(4)     That the extension of industrial democracy is expedient in a democratic state.
D.          Industrial Disputes and Settlement: The subject of trade dispute is concerned with the terms of employment, the condition of work and the employment and non-employment of any person. The subject of trade dispute is concerned with the terms of employment, the conditions of work and the employment and non-employment of any person.
Note: Trade dispute is inevitable in the employment relationship.
E.          Collective Bargaining: International Labour Organization (IOL 1960), defines collective bargaining as a negotiation of working conditions and terms by the management on one hand and workers representatives on the other hand with a view of reaching agreement.
Note:         A good system of industrial relations should promote industrial democracy and give the employee fair stand in negotiation. The terms of employment and conditions of service with management.
(ACTORS IN INDUSTRIAL RELATIONS)
          There are three major actors or participants in industrial relations. These are:
1.   The employers and their associations.
2.   The employees and their union.
3.   The government and its agents.

1.           The Employers and their Associations: This relation concerns the central issue of the survival of the organization in order to achieve the purpose for which it was established. Management official are committed to industrial peace.
2.           The Employees and their Unions: They demand from the employers and their association, protection of the interest of their members in the form of securing equitable wages/salaries, job security, safety and health measures etc.
3.           Government and its Agencies: They make laws and regulations and putting in place the appropriate regulatory mechanism for their interaction and maintenance of industrial peace. They are also seen as middle man, standing in gap, and striking a balance between two parties by making law and regulation to guide actions and activities in order to achieve industrial peace and harmony.
(objectives of Industrial Relation)
          Is to ensure industrial peace and harmony, via a mutual and peaceful resolution of the inevitable conflict arising in the workplace between employee-labour and employer – management through the instrument of collective bargaining process such as:-
(1)         To ensure that industrial peace reigns in order to assist both parties to achieve their objectives.
(2)         To promote the practice of democratic principles which make workers to participate in the formulation of rules which govern the relationship between the two parties.
(3)         To prevent and settle trade dispute between employers and trade unions
(4)         To advise the firm or the government on industrial relations problems
(5)         To make work enjoyable and also produce gains for the entire economy.
THE PRINCIPLES OF INDUSTRIAL RELATIONS
(i)           Mutual trust and respect for one another
(ii)          Honesty in dealings with each other
(iii)        Effective communication
(iv)        Consistency in contract interpretation
(v)         Time resolution of grievance
(vi)        Both parties must co-operate.

(i)           Mutual Trust and Respect for one Another: For relationship to exist between labour and management, there must be confidence and treat each other with dignity.
(ii)          Honesty in Dealings with each Other: A party must not take advantage of the other’s ignorance to exploit, to its own advantage
(iii)        Effective Communication: Labour and management must communicate with an open mind and without fear of reprisal.
(iv)        Consistency in Contract Interpretation: The terms and condition of employment must be applied uniformly in every section of the organization without fear or favour.
(v)         Time Resolution of Grievances: Disputes should be settled and deposed off as soon as it comes. It shall not be allowed for long period of time as it can degenerate.
(vi)        Both Parties Must Co-operate: For them to achieve their objective both must co-operate and live according to the spirit of the contract in their day to day dealings.
MODELS OF LABOUR – MANAGEMENT RELATIONS
          This relations varies from country to country.
Note: Three model of labour relations are:
1.   British Model
2.   Japanese Model
3.   Nigerian Experience
1.           The British Model: The British labour management relations model epitomizes what is generally refers to as the Anglogaxon model. It revolved during the period when the philosophy of laissez-Faire was the basis of all economic affairs in Britain.
2.           Japanese Model: Japan has enjoyed a remarkable economic growth in the last decade. The fact has led to an increasing attention and interest being given to the nature of Japanese society. However not to suggest that the system is devoid of conflict between labour and management.
Difference Between Industrial Relations Labour, Management Relations and Personnel Management.
          Labour management relations according to Akpolu (1984) is an aspect of industrial Relations where the interactions of labour and management for employment regulations of making job rules, setting job values and for determining condition of employment generally.
ü While industrial relations are the inter woven activities of trade unions, employers and state. The actors in industrial relations are the trade unions, employers and state.
ü Personnel Management on the other hand is the organizations most vital function, which is concerned with the development of people within an organization and adopted with the changing circumstances or condition.


CHAPTER TWO
HISTORICAL DEVELOPMENT OF INDUSTRIAL RELATIONS IN NIGERIA
          Akpala (1982) defined industrial relations as any employment situations by the employer management or other organizations the working organization and a third party, private and government acting as an umpire or a controller, the purpose of which is just decision making for establishing job rules and job values for co-operation of man power resources for the trade union and of course the state. Industrial relations is the regulation of employment relations by workers or labour union, the employers or management or their representatives against and the government or its agencies upon the purpose of which is the establishment of job rules which specifies the rights, duties and responsibility of each other, mechanism for resolving conflicting interest and rules to govern the work place (trade union).
          Industrial relations, trade union involvement and development before the 1800s in Nigeria. Then system of production was purely traditional and payment for labour service were in kind as the issue of monetary payment was not popular because there was no employment of labour to fight for the interest of workers except for that food and shelter were provided for the dependents by the head of the family unit for satisfaction of the basic needs of the family units for satisfaction of the basic needs of his nuclear and extended family units, so, labour management to talk of industrial relation system.
THE GROWTH OF TRADE UNION
          In 1938, the trade union ordinary was passed but become effective in 1939. The ordinance gave the trade union ordinance resulted in increase in trade union organization and activities. This trade union ordinance of 1938 gave working definition of trade union which was any combination whether temporary and permanent, the principal purpose of the relations between workers and master. The ordinance further defined workman as all persons employed in a trade or industry whether or not in employment of the employer with whom a trade dispute arises.
          As at 1940, there were about 19 registered union with a total membership of 1944 all union with a total of 152,230 members 1959 numbers rose to 280 union and membership of 250,000. This increase continued between 1975 and 1995 it increased to 920 union with just below a million members.
The Trade Union Congress (TUC)
          Trade union leaders saw the need for a control trade union movement with the area of welding together all the trade union in the country and to speak on labour.
          Matters with one voice. This led to the formation of trade union congress. The main aims and objective of these are.
1.   To unite all trade unions into one organized body
2.   To deal with the general labour problems affecting workers in the whole country
3.   To protect the legal status rights of trade unions

CHAPTER THREE
         

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