Hi Everybody,
As promised, I am back to discuss the above subject. I am very glad to have so many of you participate in the discussion of this topic. Whether you like it or not, if the Union is formed in an organization, everybody will be on tenterhooks! I would first like to refresh what our friends have told during this discussion.
Mr. Samvedan said, "Right to associate is a right granted by the constitution of the country. Not all unions are negative or perpetually adversary to industry. As managements, we have to master the skills of transactional relationship exercises that are based more on rationality, fact, competence, and institutional approaches. The greater the transparency in managements, the better will be the results. Workers do not join unions merely for money and benefits, not for just rights without responsibilities (though you do find these in deceptive forms in places). The union people have realized that no one can sleepwalk through life and achieve whatever he wants to achieve out of life. If we are not found wanting in requisite skills, professionally I do not see problems. The parties can form harmony by resorting to objectivity, humane approaches, and following the age-old wisdom, 'fair and firm.' All issues are classified as 'Issues of rights' and 'Issues of interests.' Questions concerning 'rights' are a matter of verification and appropriate action. They can only be negotiated through negotiations on a principle of 'give and take.'"
What a wonderful analysis of the subject. Whatever Mr. Samvedan has said is 100% right. The complete gist of the Union and how to face it is very well dealt with by him. Thanks, Mr. Samvedan.
Mr. Rajat says, "Identify the key decision-makers/influencers among the workers...manage them well... If there is a hint of a union being formed...involve the key people...tell them the management would withdraw all the existing benefits...and renegotiate the revised and lower terms with the union if they are compelled... What the company ought to do to compel them to form a union...this would give some ideas."
Well, Mr. Rajat, I will not agree with you as far as your statement...If there is a hint of a union being formed...involve the key people...tell them the Management would withdraw all the existing benefits...and renegotiate the revised and lower terms with the union if they are compelled. As Sc has said, it is not advisable to take the above approach because if any conflict or negative results take place out of this, the Company will be stripped and lashed in court.
As Rajat puts it, "Let's face it...today's IR scenario is a much watered-down version of yesterday's IR of the 1980-90s...therefore they have also realized that their bargaining power is on the wane and are more interested in politics rather than the welfare of the workers."
Mr. Rajat, I totally agree with your above point. Also, what you have said..."My point is that we as IR professionals are in a better position to handle the situations, and our test of professionalism comes to the fore when we are effective and able to manage the dynamics." I fully endorse your viewpoint!
As Shyamali puts it, "You may not be able to stop the formation of a union because any 10 workers can form a union. You will have to approach each of them on a personal level, understand their problems. Don't make false promises but try to resolve their problem. Don't leave any problem unresolved. Make each one of them feel important and valued by the Organization. (Deal with it one person at a time) Be honest in your dealings. You might have to be coercive too. Also provide them with useful information about the failures of the union to provide what is necessarily theirs. An argument that would go in your favor is the compulsory deduction and how it would affect the money spent. No one would want to go through the extra pain if the root of their grievance (if any) is resolved. Lastly, having a union is not such a bad thing as negotiating becomes easier."
Yes, Shyamali, What all you have said is right. Did the management leave you as the HR/IR head to be honest in your dealings? I doubt!
As Mr. Sc puts it, "Non-Unionism openly can be practiced in countries with a capitalistic economy but not in a socialistic country like ours and as rightly said by Samvedan. Comment: You should not air your views openly but carry it out diplomatically, as an oppressor or enemy of the working class. Never ever show or view your political leanings. This will result in groups painting you as partisan or prejudiced against a certain section...affiliation or leaning. Never try to solve problems when a worker comes in a group; always tell them to come individually and be quick to sort out their problems. Try to keep problems as individual problems and not group problems. Last but not least, you as HR, should make an image of yourself as a transparent, fair, just person who genuinely has concern for employees, and their welfare and benefits are close to your heart."
You are right, Mr. Sc, but when the union is formed, and if you want to keep problems as individual problems and not group problems, I feel it is difficult, though not impossible because in the group they feel stronger and "Ghar ka Kutta"!
As per Mr. Anand's experience, "Fairness and firmness on the part of the employer is the key to have harmonious relations with the employees. When the employer fails to provide a platform or being in HR, we fail to respond properly, an association gets formed. Nowadays, some of the employers encourage employees to have a union by forming internal associations also. You cannot deny the right as laid out in the constitution and as provided by the law, but good practices, teamwork, and fairness in the approach solve the problem."
Thanks, Mr. Anand, for your outspoken words.
As per Mr. hrg-rajaram, "There is no definite formula on the subject. Yes! every employer wants his establishments 'Union-free.' That's the lingo! ...a. awareness for employee-employer, b. communication-a major relationship tool mostly left out, c. training-a very important tool, d. external channels, e. counseling all...special focus on the leaders. These are not very new methods, but how one delivers them is important and the skills of approach. A trust in relationship-building was the focus, with the employees coming with the letter of withdrawal on their own."
Mr. Anand, you are very practical! Thanks, these things are practiced by me also on a previous occasion.
Before proceeding, I would like to thank all of you above friends for your wonderful ideas, views, solutions. I am happy that this subject, very relevant in these days, has evoked so much of worthwhile responses from my professional friends.
Now, I would like to put across to you all about the scenario in the Readymade garment industry, which is the second-highest foreign exchange earner after IT.
Now, it is the time for the readymade garments factories boom! Indians, NRIs, Foreign investors, everybody is coming to India to set up factories. They are coming to India because the labor is cheap, very adorning and talented people, encouragement from the Government, etc. At this juncture, i.e., after the quota is abolished in January 2005, the number of big organizations are coming up with huge capacities. Though the Garment industry has undergone a very high technology change in terms of automats, workstations, etc., still it is labor-oriented. Except in Northern India, the workforce is mainly female. These workers come from very poor families, trying to meet the two ends. You will find the whole family working in garment factories. That means, of late, there is a big gap in the demand and supply of workers.
Suppose I am working in a garment factory and in the neighborhood, another factory is opened, and they are offering 100-300 rupees more per month, I don't mind changing my job, least bothering about the benefits of PF, etc. I need the money for the day...that's all. Or in another case, if I am not happy working in a particular organization, I don't want to fight for it, I will just leave that organization and join another company.
This being the case, after the quota is abolished, the foreign buyers to have a hold on the manufacturers, have strictly enforced Social Compliance of the code of conduct in garment factories. They strictly instruct the managements that they will do business with organizations that honor the rules and factories act of the Land, pay minimum wages, non-employment of child labor, non-compulsory Overtimes, compulsory holiday every six days of working, hygienic work area with potable water, comfortable seating arrangements, etc. All statutory things like PF, health insurance, gratuity, etc., have to be given. The buyers during their audits can select anybody they wish and confidentially interview the worker on anything they like. Any misquote by the worker results in disqualifying the organization for the manufacture and supply of their goods. Because of all these, the Managements have appointed professionals in labor welfare, doctors, nurses, provide minimum wages, hygienic working conditions, leave benefits, health insurance, etc. That means, there is no way a worker is dissatisfied as all legally to be given things are given.
Apart from this, the buyers want to give the workers the freedom of association, form workers committees like Grievance committee, Canteen committee, Sexual harassment committee, etc., and they will go through the recordings of the meetings in detail and the visual recordings like photos, etc.
Such being the scenario, no management dares to go against the rules and provides all the facilities which legally have to be