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Industrial Relations & Labor Laws
1.
Analyze
the case and answer the questions given below. (10 Marks)
Mumbai
Textiles was founded by Naroji Baba during the 1850s. He was patriotic and wanted
to stop the export of raw cotton to England and develop the textile manufacturing
capability of India. He also actively supported the Indian freedom struggle.
After his death in the 1940s, the responsibility was passed on to his son
Karoji Baba. Unlike his father, Karoji was aligned to the capitalist
views of US / UK and dissociated from freedom fighting. The unions, who
until then had peaceful relations with the management, comprehended the
changed approach of the management and become more aggressive to realize
their rights. In 1945 one of the shop floor workers was slapped by the
production in-charge for negligence in the job. The employee suffered
serious injuries and was hospitalized. The labour welfare officer
refused to get involved in the incident and aggravated the situation by
commenting that the erring employee was solely responsible for the situation.
He even informed the union members that the company would not bear any cost
beyond the primary medical treatment expenses. The incident led to serious
friction between the union and the management, and the union members called for
a strike in the factory. Karoji responded that as daily wage earners, the
employees would not survive if they did not get their salaries, and it was to
their own peril, if they wanted to go ahead with the strike. The strike went on
for more than two months and the company suffered severe losses. The company
declared lock-out, and filed an application for the closure of the unit.
Questions:
a.
Analyze the industrial relations scenario in the above mentioned company. Where
do you think things went wrong?
b. What
could have been a better way to handle the situation?
2. Read
the following case and answer the questions given below. (10 Marks)
Harish, a workman in the fire and safety
department at a manufacturing unit of a factory was addicted to alcohol. He had
been warned many times for coming to work in an inebriated state. He had been
served charge sheet and awarded punishment. Still there was no improvement in
his chronic absenteeism. He was also deep in debt and hardly took more than few
hundred rupees as his take home salary. Instead of resorting to progressive
punishment, the management with the help of a social worker, counseled him and
also made house visits and contacted his family members. Finally he was sent to
a hospital which specialized in alcohol de-addiction. His three months of
hospitalization was considered as special leave with wages. The company bore
the entire hospital expenses. After discharge from hospital, Harish resumed
work. There were no more complaints about him. His performance was
satisfactory. During the regular visits, the social worker received satisfactory
reports about Harish from his family members. In fact they were grateful to the
company for saving their family from certain destitution.
Questions:
1. In these fast paced times, is it
possible for any management to stretch that far to reform a person?
2. Relate this case with an industrial
relations approach theory.
1.
Lucas
Spinning Mills Limited was established in Pondicherry in 1918 for manufacturing
yarn and supplying it to mills in & around the city. The company was
initially founded with limited capacity and in a period of one decade it became
one of the largest yarn mills in Coimbatore. The founder of the company Murali
Iyengar, was a follower of the Gandhian philosophy and believed in a paternalistic
approach towards the employees, because of which there was little scope for
grievance. However, after some time, owing to the influence of politicians and
freedom fighters, the trade union movement picked up in Coimbatore. Due to
pressure from other units, two trade unions were formed in Super Spinning
Mills, one with the support of the communists and the other with the help of
Indian National Congress. The leaders of these unions were interested to
increase the membership towards their unions. To do so, they began to rouse the
anger of the employees against the “injustice” being done to them. Iyengar, in
spite of his best efforts, could not convince the unions to maintain harmonious
industrial relations. The union leaders to maintain their own selfish ends,
started to create industrial unrest even on minor issues, leading to the loss
of production. There were strikes lasting from five days to one month over a
span of two years. On each of these occasions, the management took the help of
leading freedom fighters for conciliation and arbitration, and was able to
reduce unrest.
a) Critically
analyze the case and identify the problems faced by the management
b) Would you suggest any other
approaches for resolving the problem?
Assignment Solutions, Case study Answer sheets
Project Report and Thesis - Contact
www.mbacasestudyanswers.com
ARAVIND – 09901366442 – 09902787224
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