Industrial Relations vs. Employee Relations
Employee Relations
Essentially, employee relations concerns "the emotional, physical, and practical relationship between employer and employee. It refers to the relationship between management and employee. Relations with employees can further be like the efforts of an organization to create and maintain a positive relationship with its employee. Therefore, in order to foster and maintain this positive relationship, it is imperative and essential that management sees them as stakeholders in the business rather than as economic beings or paid work.
- Industrial Relations
- The term industrial relations came into common use in the 20th century for two main reasons. Industry grew dramatically across North America to fuel the World War I effort as union membership correspondingly brought industry increasingly involved in collective bargaining with unions. For us in Trinidad and Tobago we can relate to the same period with the growth of the oilseed sugar industry and the names of Arthur Andrew Cipriani, Adrian Rienzi and Tubal Uriah Butler. Therefore, industrial relations are the relationship between an employer and the workers collectively through that of their union. Industrial relations has become a social science in which industrial relations have been analyzed using academic disciplines such as physiology, sociology, human resource management and economics.
It is the employees that form the backbone of all operations in an organization. And the study of relations between employees and employers are more important than the laws and institutions that govern relations at the workplace. In line with the growing focus on individual relationships at work, there’s an increasing emphasis on helping managers to establish trust-based relationships with employees.
The Difference
Industrial relations focuses on employees regarded as a
collective body while employment relations put a strong emphasis on employees
regarded as individual; Employment relations are based on greater cooperation
between management and employee, being motivated to add value to the
organization. Such employment relationships are considered as being based on
management practices based on trust, fairness, knowledge and understanding of
employee aspirations and attention to “employee voice” obtained through a
variety of channels (e.g. employee and union representatives involvement and
participation).
We can compare differences between traditional industrial relations and emerging employee relations depending on different dimensions. Below graph elaborate the differences specifically.
|
Dimension |
Traditional
Industrial Relations |
Emerging
Employee Relations |
|
Nature
of relations |
Pluralist
|
Unitarist |
|
Contract
|
Emphasis on terms of contract define rules
|
Beyond contract, innovative ways
|
|
Managerial task in relation to labour
|
Monitoring
|
Nurturing
|
|
Key
relation |
Labour
management
|
Customer |
|
Pay
|
Standarrized based on job evaluation
|
Performance related
|
|
basis of labour management relations
|
collective bargaining contract
|
Individual contract
|
|
Job design
|
Division of labor
|
Teamwork
|
|
Focus of attention
|
Personal procedures
|
Various culture and structure related personal strategies |
Anderson, C. (2014). Makers: The new industrial
revolution, Crown Business, New York. [
Dunlop, J T (1958) Industrial Relations Systems,
Holt, New York [
Farnham, D (2000) Employee Relations in Context,
2nd edn, CIPD, London [
Gennard, J. & Graham. J., (2010). Managing
employment relations. London [
https://hrexpert.com.au/topics/employee-relations-an-introduction/ [ Accessed on 29th March 2023 ]
https://nscpolteksby.ac.id [ Accessed on 29th March 2023 ]
Sisson, K. (2003) Putting the record straight:
Industrial relations and the employment relationship, Warwick papers in
industrial relations, University of Warwick, 2008, pp. 4. [

A good article Lahiru. Industrial relations and employee relations are two terms that are often used interchangeably, but they have distinct meanings in the context of human resource management. Industrial relations refer to the formal relationship between employers and employees, as well as the legal framework that governs that relationship. It typically involves the negotiation and administration of collective bargaining agreements, labor laws, and regulations. On the other hand, employee relations refer to the informal and everyday interactions between employers and employees that affect their attitudes, behaviors, and productivity. It involves creating a positive work environment, addressing employee grievances and concerns, and promoting communication and collaboration. (Dundon et al., 2017) Both industrial and employee relations are essential for building positive and productive workplace relationships and promoting organisational success.
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