• How Good Industrial Relations Benefit Your Company

    How Good Industrial Relations Benefit Your Company

    How Good Industrial Relations Benefit Your Company

    How Good Industrial Relations Benefit Your Company



    Human Resources - Industrial relations-transwish indonesia

    TransWISH Indonesia successfully conducts Human Resources – Basic Industrial Relations earlier this month of May. Just Like our Legal Writing and Contract writing Training earlier, this training also lead by Our trainer Mr. Tatang S. Training conducted from May 14-15th 2018 at TransWISH Learning Center, South Jakarta. As always, Mr. Tatang’s class is a serious and fun class.

    You can check some of the training documentations here

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    How Good Industrial Relations will benefit your company

    There are many ways Industrial relations can benefit the company/organizations. According to this article from Smriti Chand,a Country HR Leader at YourArticleLibrary.

    Industrial relations usually imply good and positive relations between the employees and employers. The good Industrial Relations help run an industry effectively and successfully, i.e., the desideratum of the day. The importance of Industrial Relations can be imbued with multiplicity of justifications.

    There are 5 benefits you can get almost instantly

    To mention, good Industrial Relations help:


    1. Good Industrial Relations will: Foster Industrial Peace

    Under the mechanism of Industrial Relations, both employees and managers discuss the matter and consult each other before initiating any actions. Doubts, if any, in the minds of either party are removed. Thus, unilateral actions that prop confusion and misunderstanding disappear from the scene. In this way, Industrial Relations helps create a peaceful environment in the organization. Peace, in turn, breeds prosperity.


    1. Good Industrial relations will Promote Industrial Democracy

    Industrial democracy means the government mandated worker participation at various levels of the organization with regard to decisions that affect workers. It is mainly the joint consultations, that pave the way for industrial democracy and cement relationship between workers and management. This benefits the both. The motivated workers give their best and maximum to the organization, on the one hand, and share their share of the fruits of organizational progress jointly with management, on the other.


    1. Good Industrial Relations will: Benefit to Workers

    Industrial Relations benefits workers in several ways. For example, it protects workers against unethical practices on the part of management to exploit workers by putting them under inhuman working conditions and niggardly wages. It also provides a procedure to resolve workers’ grievances relating to work.


    1. Good Industrial Relations will: Benefit to Management

    Industrial Relations protects the rights of managers too. As and when workers create the problem of indiscipline, IR provides mangers with a system to handle with employee indiscipline in the organization.


    1. Good Industrial Relations will: Improve Productivity

    Experiences indicate that good industrial relations serve as the key for increased productivity in industrial organizations. Eicher Tractors, Alwar represents one such case. In his plant, productivity went up from 32 per cent to 38 per cent between 1994 and 1997. This increase is attributed to the peaceful IR in the plant.


    While Chron, focusing more to the relation to Union added:

    Industrial relations generally refer to the area of human resources management that handles employment matters in a union work environment. This involves issues between labor union leaders and the company’s management, such as collective bargaining agreements, grievance handling, and day-to-day employment decisions. Labor unions and management don’t need to be adversaries, and this relationship can remain on good terms provided certain workplace conditions exist.



    The National Labor Relations Act of 1935, also referred to as the Wagner Act, protects the rights of both union and nonunion employees. The act also sets forth the obligations and responsibilities of unions and employers. Good industrial relations depend on the employer and the union having a complete understanding of the law and its provisions.



    Management and unions have a shared goal — to create an employer-employee relationship in which employees receive fair treatment and recognition for their skills and contributions. The difference is that unions rely on collective activity to achieve this goal and management doesn’t. Collegial and respectful relationships between labor union officials and the employer’s management are necessary for positive industrial relations.


    Good Faith Bargaining

    The federal labor act requires that both the employer and the union bargain in good faith concerning collective bargaining agreements, or labor union contracts. Good faith bargaining is an important aspect of reaching an agreement that serves the employer’s needs as well as the needs of its workers.


    Grievance Handling

    Employee grievances must be addressed in a timely manner, because doing so promotes positive relationships between employees and their supervisors, which underlies good industrial relations. Importantly, grievances should be resolved before they escalate and require resolution through arbitration.


    Check our Other Article


    How TransWISH Indonesia can aid your Human Resources – Basic Industrial Relations Program

    As said above, companies may benefit from Human Resources – Basic Industrial Relations training. It is not only mentioned about Union at UU No 13 tahun 2013 Tentang Ketenagakerjaan jo Pasal 5 ayat (1) UU No. 21 Tahun 2000 tentang Serikat Pekerja/Serikat Buruh (“UU Serikat Pekerja”), setiap pekerja/buruh berhak membentuk dan menjadi anggota serikat pekerja/serikat buruh. Serikat pekerja/serikat buruh ini dibentuk oleh sekurang-kurangnya 10 (sepuluh) orang pekerja/buruh (Pasal 5 ayat [2] UU Serikat Pekerja/Serikat Buruh).

    Great Industrial relations will build a better relationship, employee satisfaction and increase morale and productivity. Practice it carefully in the company and it will grow the company even further.

    TransWISH Indonesia can help your Human Resources – Basic Industrial Relations program by consulting Sessions. This program will make companies assisted by our experienced consultants. Or, to gain insights and awareness to more people, we can do in house training at your premises.

    Call your favorite TransWISH Indonesia Training Advisor Now.


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