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Factors and ways that shaped industrial relations

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Introduction To date, Industrial relations has become one of the most complicated issues in this rapid development society. It 'encompasses a set of phenomena, both inside and outside the workplace, concerned with determining and regulating the employment relationship'. (Michael Salamon, 2001) 'Industrial progress is impossible without cooperation of labours and harmonious relationships'. (Naukrihub.com, 2007) Hence, there is a need to create and maintain good relations between employers and employees. The existence of industrial relations is to maintain the industrial peace, and find out the ways to solve the conflicts and disagreements in order to preserve the company's reputation. It could strongly influence the performance of a company in term of the productivity and the fulfillment to the company's goals. It could even influence an economic growth of a country as according to Rozzaly (2009), a conducive industrial relations will engage unceasing investment from both local and foreign investors. It will create greater employment opportunities to the citizens and at the same time, help the country with its economic growth. Furthermore, industrial relations also encourage employees and employers to come closer to each other to removing misunderstanding and redressing grievances by going through the negotiation process. The objective is to create a peaceful atmosphere with open mind to achieve equilibrium in the benefit of both parties. ...read more.


The management would like its employees to work overtime in order to keep the business survive. This is the point where the conflict occurs. 'Money has the power to motivate people as well as generate anxiety and unhappiness in those who do not have it'. (Furnham, 1996; cited by Lee and Lim, 2001) Once the employees' pays have been reduced, they will definitely refuse the management's requirement to work overtime as they are lack of motivation. The management will need to look for the best alternatives to solve this issue in order to keep the business survive. However, the management in public sector and private sector solve this issue with different styles and strategies. In public sector, management will most commonly seek for the help of government. These corporate are normally schools, airports and hospitals. Due to its important functions and contributions to the citizens, the government would have to keep these corporate survive in order to protect the benefits of its citizens. In this case, the government will subsidize these corporate by paying a part of the employee's salary. This is the way for management in public sector resolves the economic issue concerning pay. Conversely, in private sector, the management could only seek for the bank loans and pay the salary to its employees in order to recover their motivation and run its day-to-day operations fluently. ...read more.


To sum up, it benefits a company in many ways. An excellent company should not only focus on its customers but also focus on the benefits of its employees as good industrial relations is a key factor that will lead to long term success. Reference 1. Naukrihub.com (2007) 'Introduction to industrial relations' (online) (cited 20th May 2009) Available from URL: http://industrialrelations.naukrihub.com/introduction.html 2. Michael Salamon (2001) Industrial Relations (4th edn) Prentice Hall 3. Razzaly (2009) Department of industrial relations Malaysia (online) (cited 20th May 2009) Available from URL: http://jpp.mohr.gov.my/ 4. Nijhof, De Jong, Beukhof (1998) 'Employees commitment in changing organizations: an exploration' Journal of European Industrial Training 22:6 (online) (cited 23rd May 2009) Available from http://www.emeraldinsight.com/Insight/viewPDF.jsp?contentType=Article&Filename=html/Output/Published/EmeraldFullTextArticle/Pdf/0030220603.pdf 5. Zammit and Rizzo (2001) 'The perceptions of trade union by their members' Employee Relations 24:1 (online) (cited 23rd May 2009) Available from http://www.emeraldinsight.com/Insight/viewPDF.jsp?contentType=Article&Filename=html/Output/Published/EmeraldFullTextArticle/Pdf/0190240103.pdf 6. Gennard (1997) 'Labour Government: change in employment law' Employee Relations 20:1 pp. 12-25 7. Jiman Lee and Deog-Ro Lee (2008) 'Labor-management partnership at Korean firms' Personnel Review 38:4 (online) (cited 24th May 2009) Available from http://www.emeraldinsight.com/Insight/viewPDF.jsp?contentType=Article&Filename=html/Output/Published/EmeraldFullTextArticle/Pdf/0140380406.pdf 8. Lee Soo Hoon and Vivien K.G Lim (2001) ' Attitude towards money and work' Journal of Managerial Psychology 16:2 (online) (cited 25th May 2009) Available from http://www.emeraldinsight.com/Insight/viewPDF.jsp?contentType=Article&Filename=html/Output/Published/EmeraldFullTextArticle/Pdf/0500160205.pdf 9. Tito Conti (2002) 'human and social implications of excellence models: are they really accepted by the business community?' Managing Service Quality 12:3 (online) (cited 26th May 2009) Available from http://www.emeraldinsight.com/Insight/viewPDF.jsp?contentType=Article&Filename=html/Output/Published/EmeraldFullTextArticle/Pdf/1080120304.pdf ?? ?? ?? ?? 1 ...read more.

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