TITLE:
The Factors Impacting the Long Term Settlements and Its Counter Impact on the Industries
AUTHORS:
D. P. Sahoo
KEYWORDS:
Long Term Settlements, Negotiation, Collective Bargaining, Social Dialogue
JOURNAL NAME:
Theoretical Economics Letters,
Vol.9 No.4,
April
12,
2019
ABSTRACT: Purpose of the Study: This paper aims to study the impact of Long Term Settlements, (LTS)
which are considered to be instrumental in maintaining long term harmonious industrial relations in the organizations, by the
Actors of Industrial Relations. The critical role played by such an instrument
had been accepted in the available literature on the subject. But on its
control mechanisms of maintaining long term harmonious industrial relations, the existing literature provides a limited insight. Data/Methodology: This study utilized a qualitative methodology and makes use of the inputs
received from the respondents interviewed on the impacts of LTS in the emerging
industrial context and industrial relations dynamics. The data collected from
the interview were outcome of the experience in dealing in the organizational
contexts where an LTS is in execution between the Management and the Trade union. Findings: In LTS, the parties get involve in “social dialogue” (both the trade union
and the management) while having their respective interest in the LTS which
helps in generating alternatives consistent with their interests. The LTS are social process of emerging to mutually acceptable norms on
the payment of wages to the workers by the management for specific return on business,
which is regulated under a dynamic context. The social dialogue and collective
bargaining are the instruments to LTS both for the Management and the trade
union. This study is very practical in
nature, and it provides important insight on the dynamics of LTS as an outcome
of “collective bargaining” and “social dialogue” in a specific industrial context. Originality: The study is based on the primary data
source collected from the industrial context through the contribution of
the respondents. It uses the existing conceptual literature for arriving at
specific conclusions. So the question emerges “what are the tools that
structures the LTSs in an industrial context, and how it impacts the industry?”. The paper attempts to answer the same.