chp-5 industrial democracy

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Sociology - industrial d


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Chapter 5 INDUSTRIAL DEMOCRACY Prachi Pathak

What is Industrial Democracy?:

What is Industrial Democracy? Abrahm Lincoln : “ Democracy is rule of the people , by the people , & For the people .” People here means: Management and Workers in the Industrial unit.

Growth of Industrial Democracy:

Growth of Industrial Democracy Parallel with the growth of political democracy . It is a popular form of government . Growth of democracy has taken place in 19 th and 20 th century. Industries came due to Industrial Revolution, in England at beginning of 19 th century. Workers were treated badly and lived in miserable conditions.

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Slowly they became united and form trade unions. After 1 st world war - workers became aggressive – demanded democratic industrial setup. Simultaneously, politically – people fought for voting rights and demanded equality. Growth of Industrial Democracy

Reasons for the growth of Industrial Democracy :

Reasons for the growth of Industrial Democracy Popularity of democracy all over the world, after 1 st world war workers started demanding democratic rights. After 2 nd world war , countries started taking help of workers to increase production – they formed committees like productivity councils, works council, workers council etc – which lead to management-worker co-operation & increased profit.

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Today’s workers are knowledgable , literate and skilled. They r aware of rights & get organized to demand those rights. Due to rapid technology, business environment is becoming more and more complex & fast changing – to meet these changes management has to take workers into confidence. Reasons for the growth of Industrial Democracy

Benefits of Industrial Democracy:

Benefits of Industrial Democracy Workers develop sense of belonging to organization Worker is allowed to take part in decisions he starts feeling as part of a gp They are more inclined to work in interest of organization. Workers develop sense of commitment to organization They become more responsible There is mutual trust between workers and maangement .

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Hurdles in the way of Industrial Democracy:

Hurdles in the way of Industrial Democracy

Workers participation in management:

Workers participation in management Industrial Democracy is a goal – above is a way to achieve it. “A system of communication and consultation , either formal or informal , by which the employees of an organization are kept informed about the affairs of the undertaking and through which they express their opinion and contribute to management decisions”

Characteristics of workers participation:

Characteristics of workers participation


Characteristics Workers in decision making : It can be in form of labor management cooperation, co-determination & automanagement , joint concentration, joint decision making, workers control, shop councils, unit councils etc.


Characteristics Levels of participation : At Bottom level participation is more and at top level participation is negligible. At Bottom level : Joint decision making or matters of safety, welfare etc. At higher level : Role of workers id more of consultation. Eg : opinions related to preparation of schedules etc. At top level : Participation is restricted – mere sharing of information is done.


Characteristics Willing acceptance of responsibility by workers : If workers do not behave in responsible way, there is no meaning of involving workers.


Characteristics Various forums for workers participation :

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