Define Industrial Relations

Industrial relations describes the complex relationship between employers and their employees. This is a general concept, much like public relations, and refers to the interactions between high-level management and employee unions (or similar organizations).

Context of Industrial Relations

Industrial relations defines the relationship between employers and employees specifically within an industry setting. An industry describes a large-scale business operation or conglomeration in which the employees are organized and/or unionized.

Examples of an industry are: steel production, oil refinement and construction.

Large-Scale Industrial Relations

Large-scale industrial relations refers to the interactions between organizations, one representing top-level industry management, the other representing employees (unions).

Small-Scale Industrial Relations

Small-scale industrial relations narrows the description, describing employee relations on an individual (or micro) level. This term encompasses human resources departments and other forms of direct employee relations.

Importance of Industrial Relations

Employee organizations, such as unions, are powerful entities and are capable of crippling even the largest industries with strikes, protests and walk-outs. For an industry to prosper, it must maintain positive, healthy relations with its employees.

Conflicts in Industrial Relations

Conflicts develop when an employer and related employee organization cannot reach a compromise on a critical issue (like compensation or benefits). These disagreements can escalate, garnering negative media attention or employee protest.

References

• Introduction to industrial relations
• European Commission: Industrial relations as a key to strengthening innovation in Europe