The Impact of Trade Union in Disputes Settlement in the Banking Institution

The Impact of Trade Union in Disputes Settlement in the Banking Institution

Abstract of The Impact of Trade Union in Disputes Settlement in the Banking Institution

This study dealt with the Impact of Trade Union on Disputes Settlement in Banking Institution and Its Effect on Employees with references to United Bank of Africa (UBA).

The significance of disputes settlement machinery should be efficient and effective, so as to settle dispute or conflict or conflict in the banking institution on time resolve dispute adequately.

This study used questionnaire method in carrying out the study. Questionnaires were distributed to the workers in various departments.

The findings of the study was that if the employees are unhappy and aggrieved towards the organisation then there will be low productivity i=under utilisation of resources and even less profit which will be very unhealthy for the organisation.

Chapter One of The Impact of Trade Union in Disputes Settlement in the Banking Institution

INTRODUCTION

BRIEF OVERVIEW OF THE SUBJECT OF STUDY

Section 2(h) of the Trade Unions Act, 1926 has defined a trade union as “Any combination, whether temporary or permanent, formed primarily for the purpose of regulating the relations between workmen and employers, or between workmen and workmen, or between employers and employers, or for imposing restrictive conditions on the conduct of any trade or business, and includes any federation of two or more trade unions (Carroll, 1969).” This definition is very exhaustive as it includes associations of both the workers and employers and the federations of their associations.

Only trade unions can represent employees and bargain collectively. Individuals, clubs or corporations cannot bargain collectively. This often makes it important to determine if an organization has trade union status (Akpala, 1991).

Alberta (2002) defines trade union as themeans an organization of employees that has a written constitution, rules or bylaws and has as one of its objects the regulation of relations between employers and employees.

According to him (2002), this definition contains three requirements:

1. A trade union must be an organization of employees. The definition calls for employees formally joining together. It contemplates a democratic organization run by employees for their benefit.

2. A union’s governing documents must be in writing. This enables employees to understand the rules by which the union operates.

3. One of the organization’s objects must be “the regulation of relations between employers and employees.” The exact words are less important than having an objects clause that fits this general requirement. It distinguishes trade unions from social or benevolent organizations unsuited to carrying out trade union duties.

According to Addison and Hirsch (1989) they stressed that dispute is defined as a collective difference (or “failure to agree”) on a matter concerning a number of employees, which is pursued on their behalf by one or more recognized Trade Unions and the University of Surrey. Banjoko (1996) added that such matters would be connected with the employees’ work or working environment and would include all matters that might be covered under a legally declared trade dispute.

It would exclude:

• Matters covered by national level negotiations.

• Changes required by legislation.

• Matters which have previously been dealt with under this procedure itself.

• National or regional disputes declared by one or more of the recognized trade unions with a group of employers.

Allen (1984) opined that dispute is not an individual complaint by an employee – this is dealt with through the Grievance procedure and is not appropriate for discussion within the Dispute Resolution Procedure.

He (1984) further stressed that the purpose of the Disputes Resolution Procedure is to provide a fair, structured and consistent approach for the consideration of disputes and should be instigated when all reasonable attempts have been made to resolve the difference, but such attempts have been unsuccessful.

The disputes between workers and managements are considered as labour disputes (Bean and Turnbull, 1988). However, the disputes among workers, investors – managers- employers are also taken as labour disputes in some circumstance. According to Ubeku (1980) some countries have broadened the circumference of labour disputes whereas some have narrowed it. Labour dispute isn’t defined in labour laws of our country, but clear indication is towards the dispute between employers and employees (Umesh and Ramesh, 1997).

According to Bellman (1992) labour disputes emerge because of disharmony in interest between two sides of labour relations. Sometimes labour legislation and rules and regulations of government under the legislation create confusion and hence disputes come on the surface. Disputes are also caused by third party intervention (Akpala, 1991). If the government cannot not balance itself in terms of equidistance and fail to distance from vested interests, labour disputes might arise. Inter-enterprise understanding and good bipartite relation is the key point to the settlement of labour disputes.

A dispute settlement procedure can be defined as any procedure designed to resolve disagreement between workers and their employers or between trade unions and employers.  It is any set of procedural rules incorporating all or any of the following.

–        a grievance procedure

–        a negotiating procedure and

–        a redundancy procedure.

Given the inevitability of conflict in the workplace and the varying dimensions with which they come, the actors in the work environment have to evolve ways and means at which resulting grievances and disputes are resolved.  The dispute settlement machinery provides a meaningful approach to the employees and employers.  This goes a long way in ensuring the survival of the organization in order to achieve the purpose for which it was set up.

STATEMENT OF PROBLEM                                                

Why are we interested in trade union in dispute settlement?

If a trade union is “a continuous association of wage earners for the purpose of maintaining or improving the conditions of their working lives, the effective achievement of this task depends on an effective and efficient disputes settlement procedure.

The enactment of special legislation to forester and promote proper organization of Nigeria trade unions has become an important part of labour policy and administration.  The first comprehensive labour – regulating legislation to be enacted in Nigeria was the 1938. Trade union ordinance which permitted as few as 5 persons to organize a Trade union.  This was followed by the 1973.  trade union Decree which increased the number of workers that constitute a union to 50.  Again in 1978, the government intervened to bring out the Trade union (Amendment) decree which radically changed the structure of Nigeria trade unions from craft and general unions to industrial unions.  With this restructuring there emerged better functional industrial unions and evolution of a new industrial relation system in Nigeria. There emerged as a result.

1.           41 industrial unions of Junior workers

2.           24 Senior staff Associations

3.           23 Employers’ Associations

4.           1 central labour organization (NLC).

In 1996 the Federal government enacted another Decree, Trade Unions amendment decree No 4, further restructuring the trade unions from 41 industrial union to 29.  Part B of the third schedule containing the list of senior staff association and employer’s associations were completely omitted in the new decree. This has led to controversies between the government and labour movement.

PURPOSE OF THE STUDY

The purpose of this exercise is to determine to what extent and how effectively the dispute settlement machinery have been able to check this incidence of trade disputes in recent times via trade unions involvement.  And also to find-out basically the role that trade unions play in dispute settlement between employees and management.

This will be done in the following area:-

–                      Determine what kind of problems that might arise between management and employees.

–                      Determine to what extent the management tries to solve the problem with the employees and the stage at which the union comes in.

–                      Also to examine the prospects and opportunities of the union in its bid to achieve this arduous task enhancing working welfare.

–                      Evaluate the strength and contributions of trade unions as a tool to settling disputes between the employees and management.

–                      Analyze the pros and cons associated with that use of trade unions in dispute settlement.

Finally, the study would endeavour to find feasible and realistic answer to the questions posed by the finding and investigations carried out in the course of the study.  Furthermore, appropriate recommendations would be made on the modalities for achieving a more and better organized union.