Advantages and Disadvantages Industrial Relations

3205 Words Aug 4th, 2013 13 Pages
INTRODUCTION Relations mean the relations between people that can be taken at any level such as individual, international and national level. In work place, the relations have known as industrial relations. Industrial relation means the relationship between employers and employees in course of employment in industrial organizations. In a broad sense, the term Industrial Relations includes the relationship between the various unions, between the state and the unions as well as those between the various employers and the government. Relations of all those associated in an industry may be called Industrial Relations. Industrial Relations also comprise the relation between the state, employer’s and employee’s and the relationship among the …show more content…
This shows that understanding between employers and employees is the important thing in order to reduce the industrial disputes.

2.1.2 Contributes To Economic Growth And Development. The second advantages of harmonious relationship is contributes to economic growth and development. Good industrial relations lead to increased efficiency and hence higher productivity and income. The most important by having harmonious relationship in the organization is that ensures continuity of production. This means, continuous employment for all from managers to workers. The resources are fully utilized, resulting in the maximum possible production. (Michael, 1997) This means, when there is harmonious relations in the organization, all the employees will work hard and there is no strike will be launch because all of the employees have good relations with the employers. This is because when the employees show their dissatisfaction by doing strikes it will disturb the whole activities of the organization and at the same time it will also affect the economy of the country. By having harmonious relationship in the organization also, will increase the investment from foreign investor. The harmonious relation will attract the investors to invest in the country and this will increase the economy of the country.

2.1.3 Discouraging Unfair Practices On The Part Of Managements and Union.

The third advantages of harmonious relationship is…