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Industrial Relations
In
Public sector
Private sector
Private sector enterprise is defined as a profit
making unit invested in and established by natural
persons or controlled by natural persons using
employed labour.
Private enterprise are firms whose assets belongs to
individuals and that employ more than 8 workers.
Features
• Contributes towards reduction of unemployment.
• Professional approach of management and
employees contribute to high productivity.
• Selection and promotion of employees are purely
on the basis of merit.
Characteristics….
1. Sovereignty of the Employer
Even though employers enjoy right to hire and fire
the employees whom they have employed , also
have the power to allocate and fix the job
according to the wish and the interest of the
organisation.
The employer possess the right to attend all dispute
resolution proceedings related to an employee’s
claim.
He also has the right to present relevant evidences
about disputed issues at dispute resolution
proceedings.
2. Decision making
In private sector managers has the power to take
decisions. Constructive discussions, cooperation,
partnership and willingness to make concessions
characterize decision making process.
3. Employee rights
Employees have a right to ask for better working
environment and other facilities with regard to
employment. Employees have freedom to unite and
form unions against the management so as to earn
greater bargaining power.
4. Unionisation
Even though trade union presence is significant in
private sector, it is comparatively less as compared
to public sector.
Trade unions have the right to receive information
regarding decision concerning employees.

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Industrial relations (2)

  • 2. Private sector Private sector enterprise is defined as a profit making unit invested in and established by natural persons or controlled by natural persons using employed labour. Private enterprise are firms whose assets belongs to individuals and that employ more than 8 workers.
  • 3. Features • Contributes towards reduction of unemployment. • Professional approach of management and employees contribute to high productivity. • Selection and promotion of employees are purely on the basis of merit.
  • 4. Characteristics…. 1. Sovereignty of the Employer Even though employers enjoy right to hire and fire the employees whom they have employed , also have the power to allocate and fix the job according to the wish and the interest of the organisation.
  • 5. The employer possess the right to attend all dispute resolution proceedings related to an employee’s claim. He also has the right to present relevant evidences about disputed issues at dispute resolution proceedings.
  • 6. 2. Decision making In private sector managers has the power to take decisions. Constructive discussions, cooperation, partnership and willingness to make concessions characterize decision making process.
  • 7. 3. Employee rights Employees have a right to ask for better working environment and other facilities with regard to employment. Employees have freedom to unite and form unions against the management so as to earn greater bargaining power.
  • 8. 4. Unionisation Even though trade union presence is significant in private sector, it is comparatively less as compared to public sector. Trade unions have the right to receive information regarding decision concerning employees.