Definition of Industrial
Relations: The term of industrial relation is used
for the purpose to elaborate relationships of employment for instance the
connection among the employers and the employees. The basis of this
relationship involves aspects such as collective attributes which includes
unions, association of employers and lobby groups and have an equal importance
regarding the individual relationship with the employer. A task of industrial
relationship is to analyze the process of rewarding the employees, trained and
motivated. The relationship is under the wrapper of constraints of legal,
political and economic aspects of a given society. The term Industrial
relations has a good space of connection to the terms like ‘Employment
Relations’ or ‘Human Resource Management’.
The basis of this relationship involves aspects such as collective
attributes which includes unions, association of employers and lobby groups and
have a equal importance regarding the individual relationship with the
employer. The definition of ‘Human Resource Management’ can be elaborated as
the process of the code of conduct and procedures that impacts the individuals
working in a project team and working group directly. These policies involve
retention, reward, personal development, recruitment, career development and
training.
Theory of Industrial
Relations: The described account some of the most
important schools of idea or frame of referential theory for the purpose of
understanding the employment relationships. There are multiple theories which
based on employment relations which are manifested in management styles, a
callback to unions of trade and organizational behavior
Unitary Theory: The
singleton conceptual methodology of industrial relation is relied on the
self-assessment that there exists a workplace of harmony. This idea refers to
the plan that employers and employees are together in regard to achieve goal of
common interest. According to the analysis of this theory the management takes
decision in the area of work in which what is there to be acted upon and what
will be the set of procedures to make it done and the job of employees is to
flow the work as it is directed. The theory of unitary has transformed from
relationship of history where we can find the “right of the master to demand
unquestioning obedience from his servants.” This idea refers to the plan that
employers and employees are together in regard to achieve goal of common
interest
This methodology analyses
the difference of opinion among employers and employees as an aberration and
due to the reason of outside factors. It is pointed to management being the
source of central command. According to this theory the authority (individual
or collective) cannot be challenged. The factors of external affairs which
involves union of trade are taken as competitors for the loyalty of employees
of even as an influence which brings damage.
The main area of focus
for the Work Choices Package came under implementation in Australia in 2006 is
on the basis of a unitary system which overrides the laws of state, further
which enables easier process of agreement resulting into making and stripping
behind awards and protection
Pluralist: The
theory of pluralist on the topic of industrial relation is relied on the
self-assessment that a workplace consists of stakeholders having multiple
interest and views. The idea of this theory accepts the fact that the
agreements can have a space to be negotiated or in a position where a agreement
cannot be accepted by both parties then the matter may need to be forwarded to
a third party for the process of final assessment and determination. There is a
deep understood assessment that in most of the approaches of this theory we may
find equal balance of power among the employers and employees. The factors
coming from outside with competing interest which includes unions of trade are
considered as inevitable. The pluralist methodology is a reflection from the
arbitral system which was developed in Australia, the government of
commonwealth was handed the powers to conciliate or arbitrate to make sure the
parties are in a position to achieve binding outcomes and agreements. The
approach of pluralist methodology can also be seen in the latest industrial
relation implemented in Australia for legislation which is known as Fair Work
Act 2009 (FW Act) introduced in January 2010. The part of the Act is to ensure
a uniform framework for productive and cooperative workplace relation that put
lights in the prosperity of national economic and social involvements for the
people of Australia. There is a deep understood assessment that in most of the
approaches of this theory we may find equal balance of power among the
employers and employees. The factors coming from outside with competing
interest which includes unions of trade are considered as inevitable. The
reason of conflict among the parties is said to the differences in the topic of
economic interests for an instance the goal of management is to accumulate as
much effort possible from its employees.
Marxist: The
concept of Marxist theory of industrial relation is on the basis of the
self-assessment that there is a presence of power imbalance among capital stake
holders (management) and the entities of labors (which are represented by trade
unions). The reason of conflict among the parties is said to the differences in
the topic of economic interests for an instance the goal of management is to
accumulate as much effort possible from its employees. This idea encourages
that employment relationship is in a position of exploitation where the
dominance of interest in capital is present.
Human Resource Management:
The
area of Human Resource Management (HRM) emerged in Australia in the mid to late
1980s in a response to pressures to develop skills and knowledge of employees
to meet the demands of an increasingly competitive marketplace. The HRM frame
of reference asserts that employees and employers share similar goals and
interests. It has been described as “an approach to employment management which
seeks to achieve competitive advantage through the strategic deployment of
a highly committed and
capable workforce” (Deer, Plowman, Walsh and Brown, 2005). This frame of
reference has strong association with the unitarist perspective. The objectives
of HRM are (Mehan, 2000):
The conceptual space of
Human Resource Management initiated in Australia in the mid late years of 1980
which was in a callback to the pressure which was present to structure
knowledge and skill of employees in order to coup up with the demands of an everyday
increasing competitiveness of market. The frame of reference of HRM shows that
employees and employer both pursue the same goals and interest. This concept
has been elaborated as “an methodology to employment management which find it
way to achieve competitive advantage with the help of strategic deployment of
a highly committed and
capable workforce”. This context of reference has a strong connection with the last-mentioned
theory on unitarist perspective.
The establishment and
development of the Australian:
Industrial relations
system: Given here is the elaborated history of the Australian
industries relation from the year 1788 to the year 1985. We know that political, social, legal and
economic context is directly related to the industrial relation. Following
context have been written keeping in mind these all elements.
When the first fleet is
arrived in 28 January of the year 1788, there was the settlement of the white
man in Australia. 11 ships along with 1500 people almost on board was arrived
and almost half of them were convicts. This was the time when most of the
population of Australia was basically aborigines, early settlers and even
authorities. These people get the employment of English government or maybe
they are self-sufficient on their own. Then years passed and white man become more
established and developed. Immigrants were arriving in maximum numbers for the
start of 1790s and general population were compressing the convicts that result
into a new form of population. People who were eager to work for other people
like clearing the land, cooking, shearing, farming and also mining. These kinds
of people always depend on the sale of their labor work and this is what
differentiate them from other classes. So, there was development of the society
with employment relationship and thus Australian industry was flourished and
this came all from sale of the labor. The development of the new form of labor
force gave a start in developing Australian unionism. Many of the key events regarding
industries were created in this era which include following;
1791 convicts strike:
raising daily issues on board of rations, not only weekly issue.
1804 castle hill
rebellion: protest for different rations and situations
1822 James Straighter,
sentence of shepherd to 500 lashes, solitary confinement on bread and water for
almost a month.
1828 NSW master servants
act which says that “servants can get imprisoned and can have the pay forfeited
if they will refuse to work and for the master, they will be found guilty
should be there to pay disruption up to 6 months of wages”
1829 typographers,
carpenters support, implementation for the protest for the payment in sterling,
against reform of currency in state, which indirectly threatened the value of wages.
1830 to 1883 shipwrights,
a union on boat builders and cabinet makers was created.
1838 strike on society on
compositors
1843-year lead to the
economic depression which eventually lead to the development of mutual
protection society to give protection for the interests of middle-class working
group of NSWs.
1844 the working hour
reduction is sought through The Early Closing Movement, 14 to 12 hours per day.
1848 Ant transportation
league form through the political actions of the working class.
1850 is the year when the
wool industry developed and flourished and then rush of gold started. This give
the chance for free settlers to come and settle in Australia. Scarcity of labor
was found then. Everything was depending on farming including vastness of the
land, mining and trade. Australia suddenly become the land of opportunities.
No doubt that this was
the time of more and massive strikes in Australia and there was much of the
struggle between the community of capital and the labors. The unrest in the
industries in that time was the reason for the establishment of the industrial
relations and regulation in Australia.
The fights and struggles
that happen during this time result in to the belief f the growing community
that if labors and their unions can not help to resolve their fights then they
should probably refer that dispute to some third party. For the purpose of the
abolishment of the colonies, there was also a movement regarding this and then
happened the establishment of Australian as a federation for the state. There
was the development in common wealth of the Australian people and their
constitution.
Community and industrial
relations: The described account some of the most
important schools of idea or frame of referential theory for the purpose of
understanding the employment relationships. There are multiple theories which
based on employment relations which are manifested in management styles, a
callback to unions of trade and organizational behavior.
The principles that could
govern the country was happened to be fundamental principles of the
constitutional encompassed. The decision for influencing the constitutional
power was due to the strike of 1890s in order to make laws with relations of
the working class. Laws were developed with respect to “conciliation and
arbitration for the settlement and preventing industries from fights that can
extend the limits”
There was a requirement
for the establishment of some institute that can regulate the disputes which is
summarized by one of the founders of the federation Higgins (Harley, 2004):
There is always a war
between profit makers and the labors who earn through struggle and this war
will always remain with us: although this war is not as catastrophic and
disastrous as in Europe. But if talking in a long run, this war lead to greater
loss and suffering not only for those who are involved but also for the general
public. Common wealth government will regulate the industrial relations, it was
established by the constitution. The strikes that was happening in 1890s was
extended beyond the limits of any state boundaries. Therefore, they allow the
federal parliament for resolving the dispute which were interstate in nature.
It was allowed by constitution.
We can say shortly that
the matters of industries in Australia was established and it was allowed that
the common wealth government will have the restricted power as allowed by the
constitution. They had developed a framework in the constitution for the
regulation f the maters of the industrial relations with the federation. The
strikes that was happening in 1890s was extended beyond the limits of any state
boundaries. Therefore, they allow the federal parliament for resolving the
dispute which were interstate in nature. It was allowed by constitution. Then
in 2010, the residue of the powers lay with the state, many of them have the
system f state industrial relations. Then a Fair work Act 20019 was introduced
in January. Almost all of the state excluding the western Australia, hand over
their power to common wealth. They had developed a framework in the
constitution for the regulation f the maters of the industrial relations with
the federation.
Court of conciliation and
arbitration was established as the first tribune for the industrial relations
regulations under the conciliation of commonwealth the act of 1904. This is known
as the Fair Work Australia. The court decided to award the specifying wages and
conditions of employment in order to resolve the disputes of the industries.
The court was also able to impose the penalties on parties on to enforce the
award on hem to the award that actually do not comply. The court decided to
award the specifying wages and conditions of employment in order to resolve the
disputes of the industries
This tribunal was having
the power to register or deregister employers’ organizations and unions of the
employees. This was the initiation factor for the development of the unions as
the tribune allow them as the legal status and gave them a proper right to
present the members. But on the other hand, deregistration also gave them a
threat to their power and influence as the union.
During the first five
years of the court of conciliation and arbitration, they only made six awards.
Harvest judgment in 1908 was one of the most important of all the awards, this
established a basic concept of the wages in the state. For almost 60 years,
this was the basis of the federal award wages.
The minimum wage was
settled by the Harvest Judgement for the unskilled labors by developing and
evaluating their cost of living. The cost that an average worker pays for their
home, cloth and food. This wage criterion was set according to this that could
be able to cover the cost of the labor to keep his wife and children. But this
judgement did not focus and covered the women. The wage level is established
for the very first time through this industrial tribune for the labor rather
then letting employees to negotiate with them directly. “wage fixing” is the
name for this approach. Harvest judgment in 1908 was one of the most important
of all the awards, this established a basic concept of the wages in the state.
For almost 60 years, this was the basis of the federal award wages.
Key events regarding the
industries that happen between 1850 to 1910 include following;
Eureka Stockade in 1854 that cause the death
of 10 people of Irish, 2 Scots and 2 Canadians along with 2 English, 2 Germans
and also one Australian.
Stonemasons form an 8-hour
day Movement in 1856
The people who was
working in Coranderrk Aboriginal Station was demanding the payment for their
wages for which they worked in 1869.
1870, formation of the
Sydney Trades and council for the labors
1873, creation of The Amalgamated
Miners Association
1878, strike organized by
the union od Seamans union against the utilization of Chinese labor that was
less expensive for them by the Australian united steam navigation company.
1880, formation of first laborer’s
organization in Victoria.
1881, union got their
rights and registrations by NSWs trade union Act that passed in this year.
1884, women delegates
attend the intercolonial trade union congress.
1885 The first Board of
Arbitration worked on the dispute in favor of the labors
1891 The Shearers Union
strike over freedom of contract.
1892 Miners strike in
Broken Hill over wage cuts and employment of scabs.
1894 The Shearers Union
strikes again on same issues
1901 Union membership
97200 (population 3,774,000). NSW Industrial Arbitration
Act passed.
1902, establishment of
the Australian Conciliation and Arbitration Commission Act and Court of
Conciliation and Arbitration
1907, establishment of
the minimum wage by Mr. justice Higgin in the judgement of Harvest,
1910 to 1960, during this
time, first world war and second world war was occurred. This gave a disastrous
effect to Australia along with other states. In 1914 war, almost hundred
thousand of the people of Australia out of million volunteered themselves for
the fight in war. Many of them died in the war and a lot of them was injured.
There was a lot of instability during this time between two wars, there was great
social and economical division and these years was regarded as the depression
years of the ages. The reshaping of Australian market of labor was greatly due
to the second world war. Men were at war and women took their jobs and they
were dominating the work life of the Australia. Men were at war and women took
their jobs and they were dominating the work life of the Australia. This was
the very first time that women were earning wages that was very close to the
wages of their men. Then there was a boom period at the end of the war.
Millions off refugees and thousand of migrants were arrived in Australia after
the end of second world war. Then this helped in reshaping the labor market of
Australia and industrial revolution happened. And there was great broadness and
richness in Australian culture after that. Women was working instead of the men
who were at war. Women were the contributing in peaceful working environment to
eb maintained. This was the very first time that women were earning wages that
was very close to the wages of their men. For the next 30 years, liberal
country part governed after winning the elections of 1940’s.
Then in 1950, there was a
major change in industries of the Australia. There was the development in
projects for building the national buildings in state, snowy mountain scheme
was most prominent and important to elaborate, a hydroelectric power scheme
that was situated in the Alps. This scheme was having following points;
·
One of the most important reservoirs for
the water and electricity around the world
·
One of the seven great civil engineering
wonders of the time in the modern world of that time.
·
The dam was having the storage capacity as
compared to 13 times of the total volume of the Sydney Harbor.
·
25 years was required to build this
·
Over 100,000 people from 30 countries
worked on the project with the workforce peaking at 7,300
Builders’
laborers federation (BLF) was becoming dominant at that period of the time. In
the start of 1950 BFL was just a minor union in the industry of the
construction and the industrial environment of the Australia. Many of the
projects started becoming dominant during this time when union was not much
recognized by the skills of the labors. Like bricklayer, plumber etc. then
after many year evolution, construction and technology techniques was changing
too. Many of the jobs that were skilled was completing off site prefabricated
parts were being bought to site and concrete was being used more. Many of the
projects started becoming dominant during this time when union was not much
recognized by the skills of the labors. Like bricklayer, plumber etc. it was the year of changing in techniques for
the builders. Then after many year evolution, construction and technology
techniques was changing too. Many of the jobs that were skilled was completing
off site.
Some of the major events
that occurred during the time of 1910 to 1960 include following;
1911 Union membership
364,700
1911 union registered
Australian Builders Laboure’s
1918 The Australian
Workers Union created by rural worker organizations.
1920 44-hour week awarded
to timber-workers and engineers. Others follow suit.
1921 Union membership
703,000.
1930, women are now
getting 54% of the rate of male wages
Introduction of the 10%
wage cut, during the era of great depression, the need for the concept of wage
fixing is now changed.
Community and Industrial
Relations © Holmes glen Institute
1956 the High Court gave
orders that it was against the constitution of the Arbitration Court to carry
both type powers names and arbitral and judicial. The Act of Conciliation and
Arbitration 1904 was modified to develop two alternate structures.
·
The name of Australian Conciliation and
Arbitration Commission in 1973 was changed by the powers of Commonwealth Conciliation
and Arbitration Commission in order to use the power of conciliation and
arbitration power; and
·
The Commonwealth Industrial Court in the
year 1977 transformed into the industrial Division of the federal court to
undergo and practice judicial power.
1960 to 1980
The year 1960 was
considered as a time frame which brough critical and significant social, economic
and political change in Australian region. This was the outcome of the surge in
ethnic diversity due to the cause of post war immigration, also because of the
halt of the war between United Kingdom and Vietnam. During this tenure the year
with the most significance in this regard was the referendum of 1967 which
facilitated federal government with the authority to process legislation on
behalf of Australians who are indigenous and to include indigenous Australians
in upcoming census. It was visualized as
an effective affirmation of the people in Australia who were ailing to see its
government to take action directly in order to evolve the conditions of living
of aboriginal and people of Torres Strait islander. The year 1960 was
considered as a time frame which brough critical and significant social,
economic and political change in Australian region. During this tenure the year
with the most significance in this regard was the referendum of 1967 which
facilitated federal government
In the year 1972 the
Australian labor party came out as a winning side which ended the 30-year
domination of federal politics which was practiced by the Liberal Country
party. The people saw a huge scale of
changes in the policies of Australia regarding social and economic matters
which was controlled by central on reforms in the area of education, health,
foreign affairs, industrial relations and social security. The changes brought by the government lived
very shortly in the years between 1972 to 1975 with a crisis in the
constitutional matters which resulted in to withdrawing of Gough Whitlam and a
very huge defeat to the Labor Party in the next time of election. Until the
year 1983 the party names as The Liberal-National Coalition had the power again,
the short term of Whitlam governments brought short term changes and reforms
which involves equal pay.
The Major events in
industrial sector they came into act during the period of 1960 to 1980.
The Annual leave of 3
weeks becomes standard for all in 1963
The files of ACTU claims
to eradicate the clauses of discrimination in the awards of federal and state
which were related to the matter of employment of Aborigines in 1965
·
Award of Pastoral Industry
·
Award of Station Hands
·
Award of Cattle Station Industry
In year 1966 the
Commonwealth Conciliation and Arbitration Commissions develops and signs a
decision which provides grant to Aborigines settled on the northern territory
cattle stations to be payed equally with the Europeans starting from 1st
of December 1968