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INDUSTRIAL RELATION

Presented by:Maryam NasrullahAniqa Kiran

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Over view

History System Structure Collective bargaining Challenges Changing trends Political affiliation

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IR

Industrial relations are the

efforts made for the resolution of the

differences between employer and employees, on objectives and values , profitability sharing and social justice. Discipline and authority, freedom and industrial democracy, collective bargaining and co-operations. (Lester R. A,1951)

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History of IR and TU Of IR and Trade Unions

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Pre- independence era

At that time there were only two major important laws by British rulers

I. Employers and Workmen Dispute Act, 1860

II. Indian Factories Act, 1881

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After the first world war

After the First World War strikes by the labors were reached at the highest rate

of the era so , That resulted in the creation of two important.

I. The Indian Trade Union Act, 1926. II. Trade Disputes Act, 1929 The Industrial Disputes Act 1947

was made (Amjad, A & Mahmood, K. 1982).

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After Partition

After partition Pakistan implemented many industrial legislation development rules by the British Rulers i.e. Factories Act 1934, Trade Union Act 1926, Industrial Disputes Act 1947, Industrial Employment Act 1946.

Till 1952 in Pakistan Industrial Relations were not very strong and there were no proper rules and laws in the country ( Candland , 2007)

Then On 15th August 1955 first Government policy was made after the independence .

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policy was abolished by the General

Ayub Khan in 1958. Next year on 4th February 1959,

second labor policy in the country was made named as Burki Labour Policy , this policy allowed the government to directly involve in the negotiation and conflict resolution between employers and employees.

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Later in Later Bhutto saw this as an opportunity

He made a people labor Federation .( shah, 2010) .

General Zia in 1977 again imposed the martial law on the country..

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During Junego’s Government they Got some right and ban was partially lifted still most of their activities and powers were banned.

In 1989 in the first Tenure of Benazir Bhutoo’s ban on the trade unions was completely lifted

After that in Nawaz Sharif and Benazir Bhutto’s Government.

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In 2002 General Mushrraf from the start of his Government made some very strict laws to limit the activities of the trade unions i.e. Industrial Relations Ordinance 2002

Besides this other anti labor laws and policies were made.

Then later on in the Gilani's regime, some reliefs was given to employees and Zulfiqar Ali Bhutto policies were followed.

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Government also announced the Welfare Fund Ordinance, Employees Old-Age Benefit Act, amended Industrial Relations Ordinance with enhanced protection of worker, all these policies and ordinance are followed till now

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System Of industrial relation in Pakistan

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In Pakistan IR are more common in public sector as compared to the private sector.

During the past 15 years its been noticed that average number of members in any trade union are 135 per union.

In September 2005 three affiliated unions by the International Confederation of Trade Union (ICFTU) merged into the Pakistan Workers Federation (PWF) and become a big unit.

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Unions use Collective Bargaining Approach to resolve their conflicts with the employers.

influence Government legislation through strikes and other activities. ( Donas , 2005)

The law of the Pakistan allows the employees and employers to form their unions according to the Industrial Relation ordinance Act of 2008.

Law also allows to join any Umbrella Organization to the trade unions to raise their funds and influence to government and Employers..

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The formation Process of unions The formation procedure structure is

published by The Pakistan Labour Gazette. Provides all the data related to the industrial Analysis, no of strikes, number of trade unions and Employer union number of CBAs in Pakistan.

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System Of Conflict resolution PIRO 2010 provided a detailed system of Collective

Bargaining to resolve conflict. In case of any conflict the party who is having

trouble has to communicate to the other through worker Council established which was established under the 12 section of PIRO 2010.

At the first stage a bilateral negotiation takes place to resolve conflict within ten days.

Then in stage two if the negotiations failed on first stage the party who is having problems has to send a notice for the strike or lock out within fourteen days and the party also has to send a notice to for the appointment of the conciliator by the provisional

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Now at this stage the conciliator appointed by the government try to resolve the problem through collective bargaining.

At this stage then conciliator prepares a document which is called a Memorandum of settlement, an it is send to the both parties and conflict is resolved.

Arbitration stage. At this stage conciliator tries to convince both the parties to agree upon the Arbitration. If both the parties in conflict are agreed for the arbitration then within the 30 days conflict has to be resolved

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Award of arbitration will be finalized at this stage and this is availed for 2-years period of time.

But if the parties are not agreed upon the Arbitration the aggrieved party can go for the strike or lock out.

At the 4th stage of the Collective Bargaining The party who is arising dispute has to submit an application to the labour court for the final judgment in the legal proceeding.

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If the lock out or strike is longer then the period of 30 days and its causing serious harm and its not healthful for the peace of the society the federal Government interferes

It can refer to the NIRC or labour court for the early resolution of dispute. Now the labour courts are directed to resolve the conflict within the 30- days.( Asif . c, 2014)

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Challenges to industrial relations in Pakistan Trade union’s income is very low which

restricts there activities. Then the feudal system of the country. labour court bribes. Military Rule. Many major groups of the employees are

not allowed to became member of the any trade union.

Privatization. CBA Status policy

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Upcoming trends and changing characteristics of workforce in Pakistan Globalization Awareness of rights ILO introduce the program Decent

Employment Objectives in UN. Population of Pakistan is increasing

faster as compare to the job opportunities

Now the trend is changing and Govt. of Pakistan is more concerned to create decent job for labor force.

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Contd.

The unemployment rate of the youth is increasing day by day.

The unemployment rate of the female had decreased over last 20 years and unemployment is increased for male.

The increase in the labor supply is directly effecting the wage rate.

The government is making policies for the labor as it increase the wage rate by 16% and make this price a minimum wage.

In 2006 the labor market information and analysis unit was established which has accepted the international rules for labor and providing them current information.

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Contd. The policies are made to fill the

gap between the supply and demand of labor.For the procedure there is a proper cycle having four steps :- Formulation- Implementation- Monitoring - Evaluation

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Contd. The work on gender equality is in highlights now

days especially for the rights of women. The special facilities must be given to the women

so they can work even after the marriage. In 2010 the government introduces a new labor

policy for the raise employment generation and to shield the rights of the employees.

The Technical Education and Vocational Training Authority in Punjab is managing 49 technical education institutions and 318 vocational training centers and develop the internationally accepted program of study, system of examination and the documentation system.

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Contd. The work is also being done on the

rights of labor child; ILO defined the minimum age for labor child is 15 years.

For proper evaluation of employment patterns and their evolution over time, it is recommended that a GDP series be established, so that the contribution of each sector to the provincial economy can be estimated.

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Structure; Political affiliation and problems of trade unions in Pakistan

The nationalization of industries and other economic activities in early 70’s helped the growth of trade unions.

The registered unions increased from 708 in the 60’s to 2,552 in the 70’s and 6551 in the 80’s, respectively.

Today about 8,000 trade unions are listed in the public and private sectors.

Decline in union membership is massive privatization and downsizing (in the cruel process of privatization, downsizing and detachment that has taken place over the last10 years more than 500,000 workers lost their jobs and are living below the poverty line

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Contd.Authoritarianism in Military Regulation Pakistan has been controlled by the military

for most of its history. The control of the military has spread in

various sectors (the current political impasse in Pakistan is largely the manifestation of the deep penetration of the army in civilian affairs.

In the past years, registration of quite a number of trade unions has been cancelled, such as Pakistan International Airlines (PIA), Karachi Electric Supply Corporation (KESC) etc.

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Contd. There has been a popular increase in the

province of Baluchistan where more than one hundred trade union activists and members of the Civil Secretariat Employees Association (CSEA) have been arrested.

Political parties often fail to represent the interests of the common people, and more often than not, either bend to pressures from local business interests or to the agenda of foreign powers than local and national concerns.

Child labor is common and results from a combination of severe poverty, employer greed, and inadequate enforcement of laws intended to control it.

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Contd. Child labor is working in the traditional

framework of family farming or small business, the employment of children in larger industries is also widespread. Child labor is widely employed in the carpet industry, much of which is family-run.

ILO on a range of programs with the goal of eliminating child labor & encouraged the establishment of an independent Child Welfare Foundation designed to rehabilitate child laborers and to oversee child labor-free certification programs.

The Constitution of Pakistan guarantees women fundamental safeguard.

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Contd. One survey of women in Lahore

showed they were engaged in sewing, embroidery, food preparation (for the market), stringing flowers, assembling plastic toys or other assembly work.

Only a tiny fraction of these women are in the trade union movement.

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