The following are the causes of poor industrial relations:
1. Uninteresting Nature of Work : The problem of poor industrial relations is Essentially a product of large-scale production which has made man subordinate to the machine. Owing to extensive specialization,a work in a factory performance only a minor operation in the whole process of production.
2. Political Nature of Unions : Political nature of trade unions, multiple unions and inter-union rivalry weaken trade union movement. In the absence of strong and responsible trade unions, collective bargaining becomes ineffective. The union’s status is reduced to a mere strike committee.
3. Poor Wages : Too much tight or complicated wage and incentive payment systems are also a cause of poor industrial relations. Wage and salary differentials between occupations also create a feeling of inequity and mar good industrial relations.
4. Occupational Instability : Occupational stability makes workers feel secure on their jobs. It produces an enervating effect on them. Workers who have held a job for several years generally win confidence on that job and do not like any change.
5. Poor Organizational Climate : Organisational climate essentially emphasises work environment. It consists of a set of characteristics that describe an organisation, distinguish it from other organisations, are relatively enduring over time, and influence the behaviour of people in it. Organisational climate affects organisational processes and behaviour in more than one ways.
6. Psychological Causes:
Lack of job security, poor organisational culture, non- recognition of merit and performance, authoritative administration and poor interpersonal relations are the psychological reasons for unsatisfactory employer- employee relations.
Evaluation/Advantages of Industrial Relation
1. Safeguard the Interest : It assist to safeguard the interest of labour as well as management by securing the highest level of mutual understanding and goodwill between all sections in the industry.
2. Avoid Conflicts : It helps to avoid industrial conflicts and development harmonious relation.
3. Raise Productivity : It helps to raise productivity to a higher level by lessening the tendency of high labour turnover/absenteeism.
4. Maintain Industrial Democracy : It enhance to,establish and maintain industrial democracy based on labour partnership.
5. Providing Better and Improved Conditions : It helps to bring down strikes,lockouts by providing better and reasonable wages and improve living conditions.
6. Government Control : It assist to bring out government control over loss making units.