Management of Industrial conflict; a case for matching strategy with objectives

Abstract

This paper is based on a case study of managerial problems arising from unionization among employees and subsequent events in union-management relations in one of the major commercial banks. The study shows that an initial attitude of indifference and hostility towards unionism resulted in a series of events involving a win-lose struggle between management and the union. Eventually when the union began to indulge in anti-social and destructive activities, the management took a decision to fight it out with the union regardless of the cause involved. In doing so, the management planned a strategy to deal with the various aspects of the conflict in relation to managerial objectives. Finally, when it scored a decisive victory over the union, the management in collaboration with the union successfully built a new relationship based on mutual trust and cooperation. In conclusion the authors stress the need for a clear and rational managerial approach to problems of industrial relations, rather than handling such problems on the basis of prejudices and short-term objectives.