Workers Participation In Management Management Essay

Workers Participation In Management Management EssayWorkers club is a system where workers and focus sh ar important in skeletal systemation with each other and participate in decision taking. Workers confederation in circumspection is an essential ingredient of industrial democracy. The concept of workers involution in instruction is based on Human Relations approach to Management which brought close a immature set of values to labor and management.Workers participation in management implies mental and emotional involvement of workers in the management of Enterprise. It is considered as a mechanism where workers bewilder a say in the decision-making. It is a operation by which authority and responsibility of managing constancy argon shargond with workers.Objectives of Workers Participation in Management frugal ObjectiveWorkers participation in management aims at increasing productivity of labor by improve cooperation between employer and employees. Productivity is sough t to be increased by improving job satisfaction and industrial relations.Social Objective low participation, industry is considered as a social institution in which each and every worker has a vested interest. The usance of participation is to ensure human dignity and to get the workers a esteemcapable status in the society.Psychological ObjectiveWorkers participation in management seeks to bring about a change in the attitude of the workers. Through participation, they will consider themselves an integral part of the industry rather than mere running(a) hands. Participation provides the employees an opportunity to express themselves thereby satisfying their non-economic needs. It provides them a hotshot of belonging, pride and accomplishment.Importance of Workers Participation in ManagementWorkers Participation in Management provides the following benefits reciprocal UnderstandingParticipation brings the two parties closer and makes them awargon of each others problems. As a re sult, a erupt understanding and mutual trust send word be created between employer and workers.Higher ProductivityCooperation between management and labor helps to increase production and profits of the industry. Participation improves employee motivation and job satisfaction which in ecstasy help to increase their efficiency. Higher productivity leads to lower costs per unit and greater profits which are beneficial to all.Industrial HarmonyWorkers participation in management helps to reduce industrial disputes and to improve workers loyalty. unbroken dialogue between management and workers improves peace in industry.Industrial DemocracyWorkers participation in management ushers in industrial democracy which is necessary for governmental democracy. Need for outside intervention between employer and employees is eliminated and workers are freed from exploitation.Less Resistance to ChangeWorkers often resist change due to fear and ignorance. When workers participate in the decisi on making, they come to understand that change is ultimately in their own interest. They become more able and ready to comply themselves to technological and other changes made to improve the competitive position of the company.Creativity and noveltyParticipation encourages workers to think and move back initiative. Their talent and ability rotter be capitalized highly competent employees can be spotted and given pr level offtion.Forms / Methods of Workers Participation in ManagementSuggestion intentionsParticipation of workers can take place through suggestion scheme. Under this method workers are invited and encouraged to offer suggestions for improving the working of the enterprise. A suggestion box is installed and any worker can write his suggestions and drop them in the box. periodically all the suggestions are scrutinized by the suggestion committee or suggestion screening committee. The committee is constituted by equal representation from the management and the worke rs. The committee screens various suggestions received from the workers. Good suggestions are accredited for implementation and suitable awards are given to the concerned workers. Suggestion schemes encourage workers interest in the mental process of an enterprise.Works committeeUnder the Industrial Disputes Act, 1947, every establishment employing 100 or more workers is ask to constitute a Works Committee. Such a committee consists of equal number of representatives from the employer and the employees. The main purpose of this committee is to provide measures for securing and preserving amity and good relations between the employer and the employees.Joint Management CouncilsJoint reference work is the process whereby employer consults the workers either directly or through their representatives and seeks their opinion on various issues while retaining to him the in effect(p) of taking final decisions. Joint consultation is a popular form of popular participation in management. These councils consist of equal number of representatives of the employers and employees, not exceeding 12 at the plant level. The council discusses various matters relating to the working of the industry. This council is entrusted with the responsibility of administering welfare measures, supervision of safety and health schemes, scheduling of working hours, rewards for suggestions etc.Work directorsUnder this method, one or two representatives ofworkers are nominated or elected to theBoard of Directors. This is the full-fledged and highest form ofworkers participation in management.The staple fibre idea behind this method is thatthe representation of workers at the top-level wouldusher Industrial Democracy, congenial employee-employer relations and safeguard the workers interests. TheGovernment of India introduced thisscheme in several public sectorenterprises such(prenominal) as Hindustan Antibiotics, Hindustan Organic Chemicals Ltd etc. However the scheme of appointment of suc h adirector from among the employees failed miserably and thescheme was subsequently dropped.Co-partnershipCo-partnership involvesemployees participation in the share capital of a company inwhich they are employed. By virtue oftheir being shareholders, they put upthe right to participate in themanagement of the company. Shares of thecompany can be acquired by workers making cash payment or by wayof stock options scheme. The basic objective of stock options is not topass on control in the hands ofemployees but providing discontinue financial incentives forindustrial productivity.Shop councilsGovernment of India, on the 30th of October 1975 announced a new scheme in WPM. In every Industrial establishment employing 500 or more workmen, the employer shall constitute a shop council. Shop council represents each department or a shop in a unit. apiece shop council consists of an equal number of representatives fromboth employer and employees. The employers representatives will be nomina ted by the management and essential consist of persons within the establishment. The workers representatives will be from among the workers of the department or shop concerned. The total number of employees whitethorn not exceed 12.Workers Participation in Management in IndiaWorkers participation in Management in India was given importance only after Independence. The workers participation in management is not new even though it got encouragement only after independence. In 1920, Mahatma Gandhi observed Employees should not regard themselves as repair owners of mills and factories of which they may be legal owners. They should regard themselves trustees.Industrial Disputes Act, 1947 was the first step in this direction, which recommended for the consideration up of works committees. The joint management councils were established in 1950 which increased the labor participation in management. Since July 1975 the two-tier participation called shop councils at shop level and Joint co uncils were introduced. Workers participation in Management Bill, 1990 was introduced in Parliament which provided scope for upliftment of workers. But still in India, workers participation is not given so a good deal importance because of some of the reasons. These reasons could be discussed below.Reasons for Failure of Workers Participation in IndiaSome of the reasons for the failure of Workers Participation in India can be are as followsEmployers have by and large resisted workers participation in decision-making. They scent that workers are not competent enough to take decisions. There is no clear evidence to impel managers that participative management will really lead to higher productivity and profitability.Lower level needs of workers are not fully satisfied. Therefore majority of Indian workers are not motivated enough to repeat decision making responsibility either directly or through their representatives.Workers representatives who participate in management have to p erform the dual role of workers spokesmen and co-managers. Very few representatives are competent enough to strike the two incompatible roles.Generally foxiness union leaders, who represent workers, are also active members of political parties. While participating in management they give priority to political interest rather than the interests of the workers.Schemes of workers participation have been initiated and sponsored by the government. There has been a lack of initiative on the part of both the employers and the trade unions.The focus has been on participation at higher levels. As a result rank and level of workers are not involved in decision making on matters directly affecting them.In India, labor laws regulate virtually all terms and conditions of employment at the work place. Workers do not feel the urge to participate.The unwillingness of the employer to share powers with the workers representatives, the disinterest of the workers and the perfunctory attitude of the government towards participation in management act as stumbling blocks in the way of promotion of participative management.Measures for making Participation effectiveEmployershouldadopt aprogressiveoutlook. They shouldconsiderthe industry as a joint endeavor in whichworkers have an equal say. Workers should be provided and enlightened about the benefits of their participation in themanagement.Employersand workers should agreeon theobjectivesof theindustry.They should recognize and respect the rights of each other.Workers and theirrepresentatives should be provided education and trainingin thephilosophy and process of participative management. Workers shouldbe made aware ofthe benefits of participative managementThere shouldbe effective communicationbetweenworkersand management and effective consultation of workers by the management in decisions that have an impact on them.Participationshouldbe a continuousprocess.To beginwith, participation should start at the operating level ofmana gement.A mutual co-operation andcommitment to participationmust be developed by both management andlabor.Modern scholars are of the mind that the old adage a worker is a worker, a manager is a manager never thetwain shall meet should be replaced by managers and workers are partners in the progress of business. Thus the above given are some of the measures to improve upon the failure of workers participation in India.