ACHIEVING ORGANISATIONAL EFFECTIVENESS THROUGH EFFECTIVE INDUSTRIAL RELATIONS
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FIRST PART
INTRODUCTION
1.1 CONTEXT OF THE STUDY
Industrial relations is a multidisciplinary study of employment relationships. Due to the significance of non-industrial employment relationships, industrial relations are increasingly referred to as employment relations. This is an oversimplification (Ackers, Peter, 2002). The industrial revolution established the contemporary employment relationship by producing free labor markets and large-scale industrial enterprises employing thousands of wage workers. As a result of these massive economic and social shifts, labor issues emerged. Low wages, long hours, boring and risky labor, and abusive managerial tactics resulted in high employee turnover, violent strikes, and the prospect of social instability. Intellectually, industrial relations emerged as a compromise between classical economics and Marxism at the close of the 19th century, with Sidney Webb and Beatrice Webb’s Industrial Democracy (1897) serving as the foundational text. Therefore, industrial relations rejected classical economics (www.wikipedia.org). According to Englama (2001), industrial relations are the interactions that occur between employees and employers inside an organization. He believed that the essential issue in all organizations, whether business, educational, local, or national, was the development and maintenance of dynamic and healthy working relationships. To accomplish this, group dynamics, consultation-based policymaking, diffusion of authority, delegation, and vertical and horizontal communication must be implemented. Recently, other social sciences, such as organizational psychology and behavior, have had an impact on industrial relations. Historically, economics and law were two of the most significant influences on industrial relations, leading to a focus on macro level industrial relations and, by extension, unions, government, and collective bargaining. Despite its focus on “relation,” industrial relations has, until recently, mainly overlooked the social sciences pertinent to behavior and human connections. While labor xii problems are the result of flaws in the employment relationship, industrial relations are the theories and methods developed over time to confront and repair these issues in both the public and private sectors of the economy. The essence of good industrial relations rests in the cultivation of healthy labor relations, which provides a platform for each party (employer, employee) to understand the other properly.
The decentralization of collective bargaining and pay in Nigeria’s public sector is necessitated by economic reforms and the pursuit of efficiency in public administration. However, the move to decentralize has resulted in a lengthy labor relations problem and intergovernmental conflict. The failure to institutionalize collective bargaining and the development of the unified wage structure in the public sector through the use of ad hoc wage commissions led to this predicament. The military’s distortion of fiscal federalism and intergovernmental relations in Nigeria has compounded the issue to the point that reestablishing stability in Nigeria’s industrial relations system depends on addressing the federal question (Aiyede, 2002). Over the determination of public sector pay, there has been a recurring conflict between the various levels of Nigerian government on the one hand, and these governments and organized labor on the other. Although this conflict escalated after the acceptance and decentralization of collective bargaining by the national government in 1991, it illustrates a significant industrial relations issue: the failure to institutionalize collective bargaining in the public sector. Moreover, it illustrates the contradictions of federalism within the military. The drive to decentralize collective bargaining revealed these inconsistencies in federal norms under military control and brought their implications for public administration into sharp focus. Collective bargaining mechanisms in the public sector, such as the National Civil Services Negotiating Councils and the State Civil Services Negotiating Councils, were never permitted to function. Government decrees or quasi-political commissions or tribunals mostly established by the government have determined the remuneration in the public sector.
Consequently, industrial relations encompass both “industrial relations” and “collective relations,” as well as the function of the state in regulating these ties. Therefore, such a relationship is complicated and multidimensional, encompassing economic, social psychological, racial, vocational, political, and legal levels. There are two primary sets of criteria that impact the quality of industrial relations in any country. The first group of factors, referred to as “institutional factors,” consists of the type of labor legislation, the state’s labor and industrial policy, the extent and level of growth of trade unions and employers’ organizations, and the type of social institutions. The third group of factors, referred to as “economic factors,” consists of the capitalist organization of the economy, socialist technology, sources of demand and supply on the labor market, the nature and composition of the work force, etc. Develops cooperative thinking and collaboration to meet the organization’s objectives. A positive industrial relationship boosts employee morale and encourages them to exert their best effort. Each considers the other’s interests, which provides the way for the introduction of new methods, advancements, and the use of current technology, so enhancing the industry’s long-term organizational effectiveness. Good industrial relations raise production, enhance the quality of work, and boost the productivity of workers. Organizational effectiveness refers to the degree to which successful companies accomplish their missions through their primary strategies. Organizational effectiveness research focuses on the distinctive skills organizations acquire to ensure success (McCann, 2004). The fact that industrial relations and organizational success are both internalized within the organization is a characteristic they share. A good industrial relations system will invariably nurture and improve organizational effectiveness, making organizational effectiveness dependent on excellent industrial relations. Consequently, the focus of the study is on establishing organizational success via healthy industrial relations.
1.2 DESCRIPTION OF THE PROBLEM
Lack of a good salary review strategy that would be in accordance with changes in various macroeconomic parameters, such as pricing of goods and services and inflation, is a major cause in Nigeria’s ongoing industrial unrest. The prices of goods and services continue to rise daily, yet the pay of public sector employees are only reviewed years after discussions and strikes. An implementation of efficient industrial relations methods would develop a method for evaluating worker wages in light of economic changes. The non-implementation of agreed-upon policies has resulted in demonstrations and industrial actions by public employees through their various labor organizations in Nigeria over the years. Such occurrences may be averted if the government implemented efficient labor relations policies. Economic reforms and the pursuit of organizational success in the public administration necessitate collective bargaining in the public sector of Nigeria for a good compensation plan/policy that incorporates improved working conditions and motivating incentives. Efforts to achieve this resulted in prolonged industrial actions and low morale among public sector personnel today. Governments’ ongoing insensitivity and insincerity toward policies that directly or indirectly harm public employees, as well as their lackadaisical approach to addressing these problems, are a further factor affecting the organizational efficiency of the public sector. Consequently, the focus of the study is on achieving organizational success via effective industrial relations.
1.3 OBJECTIVE OF THE RESEARCH
This study’s primary objective is to determine the impact of industrial relations on organizational success. Specifically, the study aims to:
To identify the public sector industrial relations process in Nigeria.
To determine how the public sector’s industrial relations process can be improved.
3. Determine the impact of industrial relations on the accomplishment of organization goals
Identify potential techniques for managing industrial relations conflicts.
1.4 RESEARCH QUESTIONS
This project will investigate the following questions:
What are the public sector’s industrial relations procedures in Nigeria?
How may the process of industrial relations in the Nigerian public sector be improved?
How do industrial relations affect the accomplishment of an organization’s objectives?
ACHIEVING ORGANISATIONAL EFFECTIVENESS THROUGH EFFECTIVE INDUSTRIAL RELATIONS
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