industrial democracy

2. The concept of industrial democracy is a complete departure
from the traditional concept of autocratic management or
one-man governance.
“ It means the application of democratic principal in managing
industrial units.”
 In industrial democracy, worker are treated as responsible
partners of the enterprise and are allowed to participate in the
decision -making process through different methods.
 Workers are given the right of self-expression and an
opportunity to communicate their views on framing the
polices of the company.

3. H.A. Clegg, “Just as political democracy is based on
the existence of an opposition , industrial
democracy is contingent upon the existence of an
opposition within the industry to prevailing power
of management ownership”

4. First – Trade unions must be independent both of the
State and the management
Second – Only the unions can represent the industrial
interest of the workers
Third – Ownership of industry is irrelevant to good
industrial relations

5. (i) The workers are treated as partners in the
productive process and are given an opportunity
to participate in the management
( ii ) Workers committees, joint management
councils, and suggestion schemes are some methods
through which industrial democracy can be
introduced at the unit level.

6. ( iii) Workers’ participation is generally indirect,
i.e., through representatives and also restricted
to certain aspects of management particularly
those which are related to workers.
( iv ) The workers enjoy higher status as
they have an effective say in the working
of the enterprise where they are working.

7.  Existence of trade union strong enough to
oppose management.
 A management which accepts trade unionism
as a “loyal opposition” and is willing to comprise
and to some agreement which may be in interests
of industrial harmony and unity.

8. 1. Industrial democracy brings effective communication
between workers and management, and thereby joint
decisions acceptable to both parties are possible
2. Industrial democracy leads to cordial labour –
management relations industrial peace.

9. 3. Industrial democracy gives higher
status to worker and makes them more
responsible in their outlook and
behaviour.
4. Workers feel committed to the
decision taken by them jointly with the
management.

10. 5. Industrial democracy gives training in
democratic norms and traditions to workers
through participation in the affairs of their
company. This develops the sprit of tolerance
and co-operation which is useful in a democratic
society. This crates true democratic spirit in the
minds of workers and make political strong and
stable.

11. To improve a sense of commitment to the organizational
objectives, plans and activities among employees.
To satisfy psychological needs of the employees.
To respect the human dignity of employees

12. 1. There should be strong trade union with
constructive leadership in every enterprise.
2. The employers should have the willingness to
treat workers as equal partners in industry.

13. 3. All the parties to industrial relations, namely,
employers, employees and government should have
full faith in industrial democracy.
4. The workers and management should have the
genuine desire to del with the industrial problems
peacefully and through democratic means.

14. Industry refers to economic activities, which are connected
with conversion of resources into useful goods. The term
industry is used for activities in which mechanical
appliances and technical skills are involved. These include
activities relating to producing or processing of goods as
well as breeding and raising of animals. The term industry
is also used to mean groups of firms producing similar or
related goods. For example, cotton textile industry refers to
all manufacturing units producing textile goods from
cotton .

15. Government by the people; a form of government
in which the supreme power is vested in the
people and exercised directly by them or by their
elected agents under a free electoral system.
Control of an organization or group by the majority of
its members.
“People shouldn't be afraid of their government.
Governments should be afraid of their people.” --
Alan Moore

17. DEMOCRACY

18. Industrial Democracy is an economic arrangement which involves
workers making decisions, sharing responsibility and authority in the
workplace.Although industrial democracy generally refers to the
organization model in which workplaces are run directly by the people
who work in them in place of private or state ownership of the means of
production, there are also representative forms of industrial democracy.
Representative industrial democracy includes decision making
structures such as the formation of committees and consultative bodies
to facilitate communication between management, unions, and staff.

19.  Less industrial disputes resulting from
better communication between management
and staff.
Improved decision making processes
resulting in higher quality decisions.
 Increased creativity, enthusiasm and
commitment to Corporate objectives.
 Lowered stress and increased wellbeing.

20. Better use of time and resources.
Improved productivity including
service delivery.
Increased job satisfaction resulting in
reduced absenteeism.
 Improved personal fulfillment and self-
esteem.