Vol 1 | Issue 3 | April 2021 NIPM ISSN(PRINT) : 0970-8405 SPECIAL ISSUE ON INDUSTRIAL RELATIONS BACKBONE OF BUSINESS SUSTAINABILITY Editor Dr. Santosh Vishnu Bhave (Fellow Member - NIPM) Director - HR & IR, Bharat Forge Limited, Pune (India), Pincode - 411036 Editorial Board Members Mr. Vishwesh Kulkarni National President-NIPM Dr. Santosh Vishnu Bhave (Fellow Member-NIPM), Director-HR & IR, Bhar at Forge Limited, Pune (India), Dr. Shivaji D.Mundhe Director, IIMS Chinchwad, Pune Dr. Vandana Mohanty Assistant Professor, IIMS Chinchwad, Pune Dr. Sachin Misal Assistant Professor, IIMS Chinchwad, Pune Mr. Pavan Sharma Chief Librarian, IIMS Chinchwad, Pune Mr. Sushilkumar Warkar Asst. Manager HR, Bharat Forge Ltd, Pune Mr. Parth Jadhav HR Partner, Bharat Forge Ltd, Pune Board of Reviewers Name Profession Dr. Santosh V. Bhave Director- HR & IR, Bharat Forge Ltd. (Fellow Member NIPM) Dr. Smita Singh (Dabholkar) Associate Professor HR & OB, IMT Nagpur (Life Member NIPM - Nagpur Chapter) Dr.S.R.Chandak Management Consultant (Life Member NIPM - Pune Chapter) Dr.Rajesh Jawlekar General Manager, ER, Endurance Ltd., Aurangabad (Life Member - NIPM Aurangabad Chapter) Dr. Abhijeet Shah V.P.- IR & Admin, Bharat Forge Ltd. (Life Member - NIPM - Pune Chapter) Dr. Subir Bikas Mitra Executive Director (Law & HR), GAIL (India) Limited (Life Member - NIPM - Delhi Chapter) Dr. P.R.K. Raju Director, GIET (Autonomous), Rajahmundry, AP & NC MEMBER, NIPM Dr.Shivaji Mundhe Professor and Director , International Institute of Management Science, Pune Dr. Leena Guruprasad Asst. Professor Dept. of Management Studies and Research Center, B.M.S. College of Engineering, Bengaluru & Life Member NIPM, Karnataka Chapter. President, HR & Administration - Garware Polyester Ltd (Life Member - NIPM Dr. Vihar Rakhunde - Aurangabad Chapter) Chair Professor, Kirloskar Chair SPPU and Director Skill Development (SPPU) Dr. C.M. Chitale (Life Member - NIPM - Pune Chapter) Dr. Mrunal Bhardwaj Professor & Head, P.G., Dept. of Psychology and Research Center, L.V.H. College, Nashik Dr. Milind Kulkarni Director, Executive Coach, Nasik (Life Member - NIPM - Nasik Chapter) Mr. Sharad Gangal Ex. Executive, Vice President - Thermax Ltd. (Life Member - NIPM - Mumbai Chapter) Hon.Gen. Secretary, NIPM - General Manager (Personnel), SAIL, Rourkela Steels, Dr. Pradeep Sahu Rourkela, Orissa, (Life Member - NIPM - Orissa Chapter) Dr. Sushil Kandalgaonkar Former Director, IMDR, Pune Dr.Nitin Joshi Associate Professor , Indira Institute of Management, Pune. Dr.Bhabhatosh Sahu CEO, Inovasinth Technologies Ltd., Hiranandani Group, Mulgaon, Khopoli, Dist- Raigad Coach / Mentor-HR area. Life Member NIPM, Smruti 2 Vaividhya Nagar, Karvenagar, Dr. Girish Bakshi Opp AJ Classic , Pune Dr. Vishwanath Lele C6 , Dhavalgiri Park, Near Natraj Hall, Karvenagar, Pune -52. INDUSTRIAL RELATIONS - BACKBONE OF BUSINESS SUSTAINABILITY Editor Dr. Santosh Vishnu Bhave (Fellow Member- NIPM) Director – HR & IR, Bharat Forge Limited, Pune (India),Pincode - 411036 National Institute of Personnel Management Southend Conclave, Tower Block (3rd Floor) 1582, Rajdanga Main Road, Kolkata – 700 107 Ph : 033-2441 7255 Web : www.nipm.in Copyright Industrial Relations - Backbone Of Business Sustainability All rights are reserved by : National Institute of Personnel Management Southend Conclave, Tower Block (3rd Floor) 1582, Rajdanga Main Road, Kolkata – 700 107 Ph : 033-2441 7255 | Web : www.nipm.in Editor Dr. Santosh Vishnu Bhave (Fellow Member- NIPM) Director –HR & IR, Bharat Forge Limited, Pune (India), Pincode -411036 No part of this publication may be reproduced, transmitted, or stored in a retrieval system, in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior permission of the publisher ISSN(Print) : 0970 - 8405 The moral right of the author has been asserted. Published by: National Institute of Personnel Management Southend Conclave, Tower Block (3rd Floor) 1582, Rajdanga Main Road, Kolkata – 700 107 Ph : 033-2441 7255 | Web : www.nipm.in Disclaimer: The opinions expressed in this research compendium are those of the authors of respective research article. They do not purport to reflect the opinions or views of National Institute of Personnel Management ( NIPM) its members/committees / editor(s) of this compendium and hence NIPM disclaims any or all related liabilities. If you have any comments/views, please communicate directly with the author(s) at mail addresses provided with respective research article. ISSN(PRINT) : 0970-8405 Personnel Today Harmonious Relations Between The Industry And The Workforce Helpful To Both Forward by Justice H. L. Gokhale Former Judge Supreme Court of India Agriculture, Industry and Services are main components of any economy. With the increase in population, there is a need of greater agricultural production, and with new technological inventions the same is possible and happening, but with less number of labour engaged therein. A larger section of the population is therefore required to be absorbed in Industry and Services. That apart, a higher industrial production is also necessary to meet the requirements of this large population. The relationship between the management and the employees in industries and service sector therefore becomes very crucial. It has got to be harmonious, and it is so necessary in the interest of both the management as well as the employees. This is because, whereas the management is interested in getting better return for its investment, the employees are interested in proper compensation in the form of adequate wages. This is however, possible only if there is a better understanding of each other’s problems and requirements. In that, the Human Resource personnel and Trade Unionists have a vital role to play. Great Indian Leaders like Mahatma Gandhi, Dr. B.R. Ambedkar and Netaji Subash Chandra Bose were also labour leader at one time. Mahatmaji led the Majoor Mahajan of Ahmedabad, and advised the textile owners to consider themselves as the trustees of the workforce. In the absence of such an approach and understanding, the relations between the two gets spoilt for both of them to suffer. The examples of unnecessary stretching of textile strike in the year 1982 in Mumbai, and the violence and loss of life in the Maruti Factory in Haryana are very well known. Prior to my becoming a High Court Judge I had the experience of handling the matters arising out of Industrial Disputes in the Labour and Industrial Courts, as well as the Bombay High Court. This experience helped me to note that in the absence of a conciliatory attitude, both parties in the litigation in this field, suffer. I will site two examples of cases which came up before me in the Bombay High Court. In one matter, an employee from a good industrial house from Nasik was dismissed for theft of some small instruments. The inquiry was defective, and although on my suggestion the management gave a good monetary offer for settlement, the workman insisted on reinstatement, to which the Management was not agreeable. Consequently, as the enquiry was defective it was redirected. The Management cured the defect, and once again passed the order of dismissal. The workman challenged that order. Vol 1 | Issue 3 | April 2021 ISSN(PRINT) : 0970-8405 Personnel Today A couple of years had gone in the meanwhile, and the workman was also not keeping well. On my suggestion Management gave a better offer, yet the workman declined the same. The matter proceeded. We had to hold that the charge was established. Having lost the case, the workman carried the matter to the Supreme Court. The Supreme Court dismissed the appeal. The workman came back to the High Court, and now asked for monetary compensation. However, this time the Management declined the same, and since the Supreme Court had confirmed our earlier order, we could not do anything more. I will site a converse example also. A Union in a factory near Pune had sought some change in the shift working. The demand was not wrong, but the Management was adamant. The Union gave a strike notice. The matter came to High Court at an interim stage. We tried for a settlement, but it was not possible and that Petition was disposed of. The same matter came up after two months. In the meanwhile, the Industrial Court had held the strike to be a legal one, and directed payment of full wages. We could not find any fault in the award, and the Management’s Petition was dismissed. Subsequently, the factory started, but with loss of face for the Management, and after paying wages of two months without getting any production. Thus, it can be seen that it is desirable to have a congenial approach in Industrial relations which is helpful to management as well as the workforce, and which also becomes a backbone for business sustainability. Good relations between a management and the workforce alone lead to proper production and adequate wages, and consequently to the prosperity of the economy. The National Institute of Personnel Management (NIPM) is bringing out a compendium on this very issue, in which many Human Relation professionals, Advocates and Academicians are going to contribute. I am sure it will enhance the knowledge of all concerned in this field. Hemant Laxman Gokhale Former Judge Supreme Court of India 24.03.2021 Vol 1 | Issue 3 | April 2021 ISSN(PRINT) : 0970-8405 Personnel Today FOREWORD Mr. Vishwesh Kulkarni National President, NIPM Chairman, Yashaswi group Dear Member, The Research Activity initiated by NIPM and publications of 2 Research Compendiums were highly appreciated by not only NIPM members but even non- members. It will not only beneficial to the practicing HR professionals but also to the young HR Professionals who have recently joined or in a process to join HR fraternity. This appreciation has really motivated all of us to have 3rd Research Compendium on “Industrial Relation, Backbone of Business Sustainability”. As we all are aware that Industrial Relation is truly backbone of any industry though the young generation is more focused on HR, Talent Acquisition, PMS and OD but IR is truly the pillar of any HR function whether it is in manufacturing, service or any other industry.