This document discusses worker participation in management (WPM) and its benefits over traditional collective bargaining. WPM involves keeping employees informed and including their opinions in managerial decisions regarding the economy, personnel issues, and social welfare of the company. It is based on cooperation rather than conflict. WPM can lead to increased productivity, efficiency, and social justice through democratic decision-making, collaboration between employers and employees, and minimal government intervention.

2. A system of communication and consultation, either
formal or informal, by which employees of an
organisation are kept informed about the affairs of
the undertaking and through which they express
their opinion and contribute to the management
decisions
WPM implies mental and emotional involvement of
workers in the management of enterprise.

3.  Three managerial decisions affect the workers
of any industrial groups of establishment.
• Economic decisions: methods of manufacturing,
automation, shutdown, lay-offs, mergers.
• Personnel decisions: recruitment and selection,
promotions, demotions, transfers, grievance
settlement, work distribution.
• Social decisions: hours of work, welfare
measures, questions affecting work rules and
conduct of individual worker’s safety, health,
sanitation and noise control.


4.  Derived from a Latin word participare
participation means sharing/taking part
 Sharing is a bilateral process and it has
 A functional aspect(role in deciding)
 A motivational aspect(natural involvement after
deciding)

5.  CB vs. WPM : Heart vs. Soul
 Collective Bargaining is based on Conflict or at
least the perception of Conflict
 Highlights need for synergy
 A step in the Working Class Movement
 WPM is based on Cooperation
 Highlights SYNERGY itself
 A step in Management Effectiveness

6.  Pie enlarging NOT Pie splitting
 Gain sharing – improving profitability
 Future sharing – improving competitiveness
 Power sharing – Placing Stockholders and
Stakeholders on a even keel
 Self actualisation – availing opportunity to
contribute meaningfully
 Motivation
 Opportunity of expression
 Sense of importance
 Better effort and harmony

7.  Democratic participation in decision making
 Maximum employer –employee collaboration
 Minimum state intervention.
 Realisation of a greater measure of social justice
 Greater industrial efficiency
 Higher level of organisational health &
effectiveness

8. KF Walker Model
Planning
Organizing
Motivating
Controlling
Managerial
Hierarchy
Union
H
I
E
R
A
R
C
H
Y
Area
of
Colle-
ctive
Barga-
ining
Employee
Directors
Works
Council
Suggestion
Schemes
Doing Workers
Participative Supervision
and Job enlargement

9.  Informative
 Information Sharing
 Involving
 Consultative
 Idea generating
 Democratic functioning
 Co deterministic
 Joint decision making
 Partnering

10.  Collective bargaining: based on principle of
balance of power
 Work Councils:
 Joint mgt council and committees
 Board representation

11. Dimension Industrial Relation HRM/HRD
Psychological
contract
Behaviour
referent
Relations
Organisation
and design
Compliance
Norms, customs and
practices
Low trust, pluralist,
Collective
Formal roles, hierarchy,
Division of labour,
Managerial controls
Commitment
Values / Mission
High trust, unitarist,
Individual
Flexible roles,
Flat structure/teamwork
Autonomy, self-control

12.  Organisational Commitment has 3 aspects:
1. Identification with goals & values
2. A desire to belong to the Organisation
3. A willingness to display effort on behalf of
Organisation
 Union Commitment has the same 3 aspects
 The key issue is Compatibility of Goals and
Values of the Company and the Union in the
eyes of the Employee/worker
 WPM bridges the Gap, while CB shows it

13. High / Low
Habitual Resistance
High / High
• Common / integrated
• Goals & Values
• Business Partnership
Low /Low
Indifference
Low / High
Co-operation
Union
Organisation

14.  Information Participation: receiving
information
 Consultative Participation: consulting matters
of employees welfare.
 Associative Participation: Mgt’s moral
obligation to accept & implement unanimous
decision of employees.
 Administrative Participation: Out of alternative
decisions best decision to be chosen by
employees.
 Decisive Participation: decisions are jointly
taken

15.  Organisations view HRM and IRM as
Either – Or options
 HRM focused on Individual
 Industrial Relations focused on Collective
 High emphasis on both HR & IR management

16. The Mutual Gains Enterprise