UNIT – I Lesson 1 HRM – AN OVERVIEW Lesson Outline Nature of ...

(iii) Grievance procedure
COLLECTIVE BARGAINING
Collective bargaining constitutes the negotiations between the management and the union
with the ultimate objective of agreeing on a written contract covering the terms and
conditions of settlement of the disputed issues. Both the parties sign the agreement and the
length of time the treaty will operate may be specified.
VOLUNTARY ARBITRATION
• In this method of settling disputes, a third neutral party7 as a judge (to decide the
disputed issue) hears and collects the facts from the two primary parties ad proceed
to make a decision which is usually binding upon the union i.e., one primary party
and the management (i.e. the second primary party)
• Many industrial disputes have been and are being settled today through voluntary
arbitration.
• The industrial Disputes Act 1947 recognizes voluntary arbitration as a method for
settling industrial Disputes.
CODE OF DISCIPLINE
The code of discipline defines duties and responsibilities of employers and workers. The
code lays down specific obligations for the management and the worker with objective of
promoting constructive co-operation between their representatives at all levels, avoiding
stoppages as well as litigation, securing settlement of grievances by mutual negotiation,
conciliation and voluntary arbitration.
The objectives of the code are:
• To ensure that employers and employees recognize each other’s rights and
obligations
• To promote constructive co-operation between the parties concerned at all
levels.
• To secure settlement of disputes and grievances by negotiation, conciliation,
and voluntary arbitration
• To eliminate all forms of coercion, intimidation, and violence in IR
• To avoid work stoppages
• To facilitate the free growth of trade unions and
• To maintain discipline in industry