Hi Everybody,

I am working as HR Manager in a Garment Export Company. In this industry, the labour turnover is very high. The reasons being a big gap in the demand and supply of operators. After the quota abolishment from Jan. '05, lot of NRI's , multinationals are coming into India to set up big manufacturing facilities with state of the art machineries and facilities. This being the scenario, there were no unions in this industry. Though there was one or two unions here and there, it was not successful. Today, Garments is the second biggest foreign exchange earner. The local laws are very stringent and more over the foreign buyers are more stricter in social aspects, benefits, minimum wages etc., and 99% one cannot go against these requirements. Infact, big organisations will almost adhere to the legal requirements.

Because the population in this industry is increasing everyday, now a National Level Union is trying to woo the workers to join the union. Being export oriented, no garment industry can afford any labour unrest, work stoppages etc.,

Being in HR, I would like that there should not be any union in my organisation, since all the legal requirements are being taken care of! Under these circumstances, may I request you how can I avoid the formation of union in the organisation, how do I sense any trouble in the organisation, how do I make the workers understand the ploy of these unions?

Can anybody of you, throw light on these things? Can you suggest the modalities I should adopt so that there will be no trouble!

-Srinaren

From India, Bangalore
Hi,

The industry problems are genuine and need a satisfactory answer.

But right to associate is a right granted by the constitution of the country.

The various laws since independence are made to regulate the terms and conditions of the working class and it is too late in the day to think of a day when one will have support from law or the governments to extinguish trede unions and this is also not required.

Trade Unions are a reality that cannot be wished away. Also not all unions are negative or perpetually adversary to industry. Those days are gone. The profiles of workers and their leaders have changed. A lot more education has come into the field. The globalization and comcommittant competition have taken toll of the adventureism in most unions. The confilcts are now perceived these days not between employers and employees essentially, but the two together on one side and the competition on the other!

This has posed new challenges to industrial managements. Feudalism and arbitrariness will no longer work. Blind obedience is not any longer available. We as managements have to master the skills of transactional relationship exercises that are based more on rationality, fact, competence, and institutional approaches. The greater the transparency in managements the better will be results.

Workers do not join unions merely for money and benefits, not for just rights without responsibilities (though you do find these in deceptive forms in places). They join unions to get what most employers fail to give them (as they can't). That fact is "Self-conceptt". To day the workers, unlike in the past, are in a defensive stance not because they are scared, but because they have realized that no one can sleep walk through life and achieve whatever he wants to achieve out of life! They are learning newer ways of relationships, and if we are not found wanting in requisite skills, professionally I do NOT see problems.

Dealing with human beings, especially at collective levels, there won't be permanent peace, but the parties can work for harmony by resorting to objectivity, humane approaches and following the age old wisdom, "fair and firm".

Lastly one small observation. All issues between the parties (two interest groups) are classified in two groups. "Issues of rights" and "Issues of interests". Rights are enshrined in applicable laws, terms and conditions of employment, case laws, wage settlements and court awards etc. Ant question concerning "rights" is a matter of varification and appropriate action. However issues of interests are tricky to handle. They can only be negotiated through negotiations on a principle of "give and take".

It is far better to learn appropriate skills and deal with problems than to try and aviod problems.

Kindly do not get offended. I am trying to advise and not criticize.

Regards

samvedan

August 5, 2006

From India, Pune
Hi Srinaren,

Well...i may not be the right person to advise as we already have the union in our factory which was formed just prior to my joining the organization..however had discussed this issue with key people of the plant & consultants as an afterthought..here would like to share some points..

First of all please understand as Samvedan had pointed that it is primarily lack of interest or don't care a damn attitude on the part of the organizations have led to the formation of unions by workers to assure themselves the collective bargaining & benefits..and also inefficiency or poor skills displayed by the Managers esp IR ones who in some cases have secretly abetted the same..

Review the benefits compared to the Union led associations;

Make sure you have a Plant Manager who has prior exp in handling the workers n believes in the holistic n collaborative approach towards them;

Review the trends & history of the companies in your areas which had union n now defunct..or on the verge of becoming a sick company..

Review n profile the existing workers

Identify the key decision makers/influencers among the workers..manage them well..

Make sure these workers have a say on their issues on workplace, productivity etc..

Form a committee members - who would represent the workers to highlight the issues/problems..

Implement good HR initiatives like regular training programs, timely address their grievances,regular updates on the company's ops, treat them as you would with the employees!..

If there is a hint of union of being formed..involve the key people..tell them the Management would withdraw all the existing benefits..and re-negotiate the revised & lower terms with the union if they are compelled..

In such cases make sure you have the ability to divide them on certain issues and have sources to keep you update on their thought process & proposed plan of action..

Well to understand this situation in your existing organization...use the reversal method of lateral thinking..

"What the company ought to do to compel them to form a union"..this would give some ideas..

Should you require clarifications..please feel free to connect..

Have a great day..

Cheers,

Rajat

From India, Pune
Dear Srinaren,

The comments by samvedan were nice and proper but being an IR person I would like to put across some points:

1) Non Unionism openly can be practised in Countries with Capitalistic Economy but not in a socialistic country like ours and as rightly said by samvedan.

Comment: You should not air your views openly but carry it out diplomatically. If you carry out openly the whole concept of " They and us" will arise which the Unions will garner to get support and paint you as an opressor or enemy of the working class.

2) The next major problem is Political influence. With Left parties influencing and holding power at the Centre the Unions have become active and powerful. Just look at Reservation issues, Petrol Price Control among others to see how politics scores over economics. As long as Political Influence is present, their is practically little you can do about these Unions. Union per se is not wrong but what creates problem is the political influence and the politicians use it as a power centre to increase their clouts and goals.

Comment: Never ever show or view your political leanings. This will result in groups painting you as partisan or prejudiced against a certain section and they will always try to show others that the action taken by you is because of your political affiliation or leaning.

3) Attend to everybody impartially on a personal level. Never ever give importance to one or two employees, otherwise the division in the workforce will take place. This practice give rise to the Union Leaders.

4) Never try to solve problems when worker comes in group always tell them to come individually and be quick to sort out their problems. Dont keep a problem pending thereby giving a chance to workers to form a group to come to you to solve their problems.

Try keeping problems as individual problems and not group problems.

5) Last but not the least you as HR, should make an imgae of yourself as a Transparent, Fair, Just person who genuinely have concern for employees and their welfare and benefits are close to your heart.

In the end, just remember, if there is a genuine movement to form a union by any major political party or a group of political parties the process of Union formation can be delayed but not stopped in almost all cases barring a very few instances. So, dont take it failure should a union formation takes place.

Best of Luck.

Kind Regards,

SC

3

From India, Thane
Hi Srinaren,

Kindly excuse me for the misunderstanding.

You may not be able to stop the formation of a union because any 10 workers can form a union.

However it would be in you in your favourif you could make the workers do away with union.

For this pupose, like all winning negotiations, you will have to identify the factors which are forcing them to join the union (What are those aspects that the BMS is posing to the workers as benfits to entice the laobour to join the union.)

You will have to approach each of them on a personal level. Understand their problems. Dont make false promises but try to resolve their problem.

Dont leave any problem unresolved. Make each one of them feel important and valued by the organisation.(Deal with it one person at a time)

Be honest in your dealings.

However if you or any other competent person like a IR Executive can dissuade them from doing so by giving them the benifits even though they are not a part of the union.

Another thing to do would be to list the liabilities of the union. You might have to be coercive too.

Also provide them with useful information about the failures of the union to provide what is necessarily theirs. An argument that would go in your favour is the compulsory deduction that and how it would affect the money spent.

No one would want to go through the extra pain if the root of their grevance(If any) is resolved.

Lastly having a union is not such a bad thing as negotiating becomes easier.

The Tata Sons have different factories. However they have one union which looks after the workers. Labour Welfare is and should be a joint responsibility to be shared by both workers as well as the management.

Regards,

Shyamali

From India, Nasik
Hi Srinaren,

Kindly excuse me for the misunderstanding.

You may not be able to stop the formation of a union because any 10 workers can form a union.

However it would be in you in your favour if you could make the workers do away with union.

For this purpose, like all winning negotiations, you will have to identify the factors which are forcing them to join the union (What are those aspects that the BMS is posing to the workers as benefits to entice the labour to join the union.)

You will have to approach each of them on a personal level. Understand their problems. Don't make false promises but try to resolve their problem.

Don't leave any problem unresolved. Make each one of them feel important and valued by the organization.(Deal with it one person at a time)

Be honest in your dealings.

However if you or any other competent person like a IR Executive can dissuade them from doing so by giving them the benefits even though they are not a part of the union.

Another thing to do would be to list the liabilities of the union. You might have to be coercive too.

Also provide them with useful information about the failures of the union to provide what is necessarily theirs. An argument that would go in your favour is the compulsory deduction that and how it would affect the money spent.

No one would want to go through the extra pain if the root of their grievance(If any) is resolved.

Lastly having a union is not such a bad thing as negotiating becomes easier.

The Tata Sons have different factories. However they have one union which looks after the workers. Labour Welfare is and should be a joint responsibility to be shared by both workers as well as the management.

Regards,

Shyamali

From India, Nasik
abg
2

Hi all,

Interesting discussion.

Would like to share my experience. I worked in a factory where multiple union existed. My experience tells me that fairness and firmness on the part of the employer is the key to have harmonious relations with the employees.

Union or no union it is just that problems need to be presented. When the employer fails to provide platform or being in HR we fail to respond properly an associations gets formed. The region also plays an important role as rightly said that today union are becoming strong just because of left parties being in the centre.

However my experience while dealing with militant union taught me that politeness, proactiveness, a bit of diplomacy, fairness and firmness solves all the problem.

Now a days some of the employer encourage employees to have a union by forming internal associations also.

It would be good having a few representatives coming to you and sharing their problems and demands rather than individual coming every now and than.

You cannot deny the right as laid out in the constitution and as provided by the law but good practices, team work and fairness in the approach solves the problem.

Any comments from seniors!!!!!!

Regards,

Anand

From United States
hrg
5

Hi
I read the postings here.I have been into IR for the last 3 decades having faced all the wings of unions.There is no definite formulae on the subject.Yes! every employer wants his establishments 'union free'.Thats the lingo!
There are many sucess stories on this topic i have handled where in the union was 'kept out' .
a recent case took over six months to bring about the.'re formation',
but was achieved through some of the following methods.
a.awareness for employee-employer
b.communication- a major relationship tool mostly left out
c.training---- a very important tool
d.external channels
e.counselling all --spl focus on the leaders
These are not very new methods but how one delivers them is important
and the skills of approach.
A trust in relationship building was the focus,with the employees coming with the letter of withdrawl on their own.
The views stated on this thread are very relevant and forms the BASE.
hrg-rajaram

From United States
Dear Rajat,
I beg to differ on the following point:
It is not advisable to take the above approach, because if any conflict or negative results take place out of this, the Company will be stripped and lashed in the Court.
Kind regards,
SC

From India, Thane
Hi Friends,
I am thrilled to get so many replies for my posting. I should really thank you for the interest you have taken, application of mind along with your vast experience in handling this type of situation....really great! I will be replying to your responses shortly. Till such time, please read once again the responses given by the members once again and I am sure you may have to say something more. I am really very glad that in case of emergency situation, there is the whole fraternity of HR Professionals to help their friends who are in need!
-Srinaren

From India, Bangalore
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