Examination Of The Effect Of Industrial Relation Practice On Organizational Productivity In The Public Sector

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Examination Of The Effect Of Industrial Relation Practice On Organizational Productivity In The Public Sector


Abstract


The objective of this research work is to examine the effect of industrial relations practice on organizational productivity in the Nigerian public sector, specifically, Federal Ministry of Finance, Abuja. The study intended to work with 125 staff of Federal ministry of finance in Abuja as respondent or population of this study. Data for this study came from two sources via primary source and secondary source. The researcher gave out and collected data through oral interviews and questionnaire. The research work was conducted with the help of the researcher. The sample size of this work is the one hundred that correctly completed and returned their sets of questionnaire. It was discovered that industrial relation practice has a significance effect in the improvement of organization productivity, if it is well implemented, executed and adopted. It is difficult to measure the organizational productivity through industrial elation practice in Nigeria because of certain situation encountered such as economic climate that affects productivity in every organization, poor education of the staff that leads to unskilled labour and also lack of finance and misappropriation of funds.


Chapter One


Introduction

1.1 Background of the Study

Industrial relation has become formalized in the form of employment contract between the workers and the employers. The parties are seen as equal, who have invested their capital and aim at maximizing profit. The workers on the other hand contribute his services, which if not remunerated falls into abject poverty and dies.

An industrial or labour management relation is a strategic aspect of human resources management and can be defined in several ways.

Anugwom (20020 defines industrial relation:

As the network of social relationship between the employees and their union, employers and the association, and the government and the numerous agencies in their attempts to regulate terms and conditions of employment and person other function that directly concern the initiation and substance of peaceful and purposeful labour management relation which involve applying machinery dealing with complaint, grievance and disputes in an organization.

Yesufu (1984) defined “Industrial Relations as a whole web of human interactions at work which is predicated upon the matters that arise out of the employment contract”.

Armstrong (1980) sees Industrial Relation as the intertwining activities of the worker, managing and government for better working conditions.

Hence, the scope of industrial relations embraces relations and interaction between one trade union management and the state (i.e. government) are all important issues which fall with in the purview of industrial relations.

In the federal ministry of finance, Abuja, industrial relation deals with everything that affects the relationship between workers and employers, perhaps from the time the employee joins the work in federal ministry of financial until the time he or she leaves his or her job.

However, industrial relation is also fundamentally concerned with a complexity of power relationship and power sharing between management, the employee or trade union and the state (i.e. government) furthermore, with the realization of the vital importance of work to the entire life of a worker, industrial relations is becoming increasingly concerned with how the employee can be fully identified with the purpose of the organization and how he, by effective participation both in the work effort and decision making, can find greater self fulfillment in the work situation (Yesufu 1984).


1.2 Statement of the Problem

The attention have been devoted to examine the cause or factors which have been largely responsible for unproductively in the industrial relation practice.

One of the problems of industrial relation practice is employment of unsuitable candidates in preference to candidates of high merit. The reason can be trace directly to nepotism. Another problem encountered is the area of employment security whereby there is unusual termination of employment. This implies hours of work, shifts, holidays or leave.

Remuneration; level, frequency, method of wage which is the most sensitive area because the aim of every worker is to ensure that the method of wage in the organization is favoured and beneficial to him, payment and wage fixing. No worker will want his payment to be withheld, but this has become the custom of organization in Nigeria.

There are always regular labour and employee grievances and disputes in industrial relations, practice which leads to industrial strike actions and it reduces productivity.

The constant conflict and industrial disputes leads to low level of production and efficiency in an organization. It includes sickness and old age benefit, maternity leave, employment injury compensation. Safely, healthy and welfare at work upgrading and promotions.

The attainment of the various factors which have been largely responsible for organizational unproductivity and effective industrial relation practice in the public service like ministry of finance, Abuja,

is usually a difficult task because of reasons such as lack of management support, poorly policy process, funds etc.

Therefore, the problem in this research is to really asses organizational productivity and effective industrial practice in the public service like ministry of finance, Abuja and to find out whether this can be use to solve problem in the ministry.


1.3 Objectives of the Study

The objectives of the study are as follows:

  1. To prevent and settle trade dispute between employers and trade union in order to achieve greater productivity in the organization.
  2. To help and maintain the machinery of joint consultation between management and union.
  3. To keep in close touch with state, employer and employee relations.
  4. To advise the organization (i.e. ministry of finance, Abuja) or the government on industrial relation problem.

1.4 Research Questions

  1. What impact do you think that industrial relations policies have brought in the organization like ministry of finance, Abuja?
  2. Are those who make these policies for ministry of finance, Abuja qualified for such tasks?
  3. Do negotiation and collective bargaining have a significant effect in solving industrial relations problems?
  4. What do you think that should be used to achieve organizational productivity and effective industrial relation in the federal ministry of finance, Abuja?

1.5 Statement of Hypothesis

  1. Ho: Industrial relation practices do not have any significance effect in the improvement of organizational productivity.
    H1: Industrial relation practices have significance effect in the improvement of organizational productivity.
  2. Ho: Negotiation and collective bargaining do not have any effect in solving industrial relation disputes.
    H1: Negotiation and collective bargaining have significance effect in solving industrial relation disputes.

1.6 Significance of Study

The study will help both workers and management of federal ministry of finance, Abuja to know the problem of industrial relations. It will also bring the spirit of collective bargaining and joint consultation in the organization and help in settlement of industrial dispute in the organization. Also to keep in close touch with state, employer and employee relations.


1.7 Scope of the Study

The scope of the study is limited to federal ministry of finance, Abuja. This thesis is expected to focus mainly on examination of the effect of industrial relation practice on organizational productivity in the Nigerian public sector.


1.8 Limitation of the Study

In carrying out this study, some difficulties were encountered.

  1. Financial constraints which hampered the researcher from visiting other federal and state ministries.
  2. Time constraints are also other major difficulties which the researcher encountered during this research because the researcher had equally other demanding official obligations to meet with.
  3. Another constraint was the uncooperative attitude of some of the respondents during the time the questionnaires were distributed to them.

1.9 Definition of Terms

Industrial Relation:

This can be defined as the interviewing activities of workers, management and government for the working conditions. According to Yesuf (1962), industrial relations is a field of study which concerns itself with everything that has to do with the atmosphere and climate of work environment.

Collective Bargaining:

This is seen as the process through which management and union representatives participate in the negotiation, administration, interpretation and enforcement of written agreements covering joint understanding with respect to wages and salaries, races of pay, hours of work and other conditions of employment.

Industry Democracy:

This is the various ways by which workers influence the decisions of the organization for which they work.

Negotiation:

This means the process in which union and employee discuss in order to come to an agreement.

Joint Consultation:

This is a process whereby the employer and employee come together to discussion issues of mutual interest.

Trade Union:

Is any combination of workers or employers whether temporary or permanent. The purpose of which is to regulate the term and conditions of employment of worker, whether the combination in question would or would not, apart from this decree be an unlawful combination by reason of any of whether being in restraint of trade and whether its purpose do or do not include the provision of benefits for its workers.

Productivity:

The rate at which a worker, a company or a country produces goods, and the amount produced, compared with how much time, work and money is needed to produce them.


Chapter Five


Summary, Conclusion and Recommendation

5.1 Summary of the Study

This Study is divided into (5) main areas. In the first and second chapters, attempt were made to establish the theoretical basis of the study. i.e. the reason why the researcher is carrying out this study was stated in chapter one.

Several literatures were reviewed in chapter two and this helped the researcher to discover that industrial relation practice is a vital tool used in improving organizational productivity in the organization because workers in the organization rely heavily on how industrial relations practice work in the organization with employers of labour and government and agencies. Consequently, industrial relation is said to be effective when the employer of labour and the workers and their union and government and the numerous agencies see the need of settling organizational dispute through collective bargaining and negotiation.

Secondly, it helps to settle and solve conflict and disputes in the organization also enhance productivity. Hence, industrial relation could be said to be the life wire of an organization. It was discovered that industrial relation practices have a significance effect in the improvement of organization productivity in the organization, if it is well implemented, executed and adopted.


5.2 Conclusion

In this research work, industrial relation practice aimed at solving problems between the employer of labour, (government) workers and the union and it numerous agencies. Therefore, federal ministry of finance Abuja needs effective industrial relation practice in order to attain to the organizational performance, the relationship between labour and management should be guided by the democratic principle or theory.


5.3 Recommendation

Industrial elation is the inter-twining activities of the workers management and government for better working conditions. To improve organizational relation practice, government should in cooperate organization productivity. organization productivity here point out clearly the extent at which every organization carry out its function and responsibilities as regard to improving its responsibilities using the available resources.

Obviously, it is difficult to measure the organizational productivity through industrial relation practice in Nigeria because of certain situation encountered such as economic climate that affects productivity in every organization, poor education of the staff that leads to unskilled labour and also lack of finance and misappropriation of funds. These are generally encountered in many organizations which poorly affect the level of their productivity and their set out goals. For instance, if the unions in federal Polytechnic Nekede do not know the essence of industrial relation, they stand the chance of losing and also not meeting their target.

Therefore, effective industrial relation practice should be strictly looked at and practiced because it stands as the life wire of every organization that recognizes it and it helps to boost and enhance the productivity of such organization. Also any organization that is neglected, the institution is causing great harm to the growth of such organization.


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