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r;The new law

8th November 1974, Page 132
8th November 1974
Page 132
Page 133
Page 132, 8th November 1974 — r;The new law
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Which of the following most accurately describes the problem?

";'""' on labour relations 11 Figure 1. The background to the changes.

GOOD labour relations are crucial to successful management and this means that everyone with responsibility for the work of others -even a quite small group of employees — must have a "feel" for personnel management.

If firms of any size could If firms of any size could 11111 In 11111 ensure satisfactory labour rela

1J111 11111

tions by the employment of a personnel officer, and by nothing more, we may be certain that strikes and unrest on the factory floor and in transport depots would not occur. In fact, as all should know, the personnel function, bringing together sensible administration and consideration for employees as people, is a key management responsibility. Its substantial neglect over many generations has weakened this coun try's economic potential and seriously eroded the profitability of business.

Industrial Parliament

Politicians are not always fully alive to the needs of industry. Perhaps Britain would have been wise to take up a suggestion of Mr Winston Churchill, and others, and set up an Industrial Parliament in the Thirties. When Government, in recent years became seriously alarmed at the consequences of industrial anarchy the reforms which were introduced were belated and the sanctions proposed to enforce a modicum of industrial discipline were unacceptable. Recall the intense trade union hostility to Mrs Castle's "In Place of Strife" White Paper, and the even greater opposition to the Tory Government's Industrial Relations Bill introduced by Mr Robert Carr.

As a result of the minority Labour Government's election in February this year the Industrial Relations Act of 1971, which had become so unpopular among trade unions and industrialists as to be unworkable in many respects, was repealed. It was replaced by a new measure, the Trade Union and Labour Relations Act, 1974.

To understand the changes in the law it is helpful to say a word about union attitudes to the Con servative legislation. Despite an enormous barrage of hostile publicity directed against the Act, there was a substantial residue of content that no sensible trade unionist was opposed to. Although the National Industrial Relations Court was anathematized by the engineering union many of its rulings, particularly in appeals from Industrial Tribunals, were beneficial to employees. The Commission on Industrial Relations, presided over by Sir Leonard Neal, issued a considerable number of highly pertinent reports of lasting value.

As anyone attending its sessions would agree, the NIRC was conducted in the most informal sympathetic and understanding way. Had the trade unions been represented on it — no practising trade union officer of any note would agree to serve on it — NIRC could have carved out for itself a most significant role in labour relations. Other courts will no doubt be involved in future in deciding the inevitable ambiguities in the Labour Government's Act. Bewigged judges may confer greater dignity in their courts than the civilian dress of Sir John Donaldson and his NIRC colleagues: it is difficult to be confident that traditional law courts with their archaic dress and ceremonial will manifest greater common sense.

As for the Commission on Industrial Relations, this body was set up by a previous Labour government. Sir Leonard Neal, its chief, was a former TGWU officer who subsequently achieved distinction as industrial relations director of British Railways, after winning his spurs introducing a famous productivity deal at Esso's Fawley refinery.

Compromised

CIR, in the view of the trade unions, became hopelessly compromised by its identification with the Industrial Relations Act. Not only was it unable to recruit any recognized trade union officers for its committees; it organized the 'poll of British Rail employees when the Heath Government put to the test its feeling that the employees were not solidly behind their union's claim for higher pay and better conditions.

Hence, the dissolution of two of the major instruments of the Tory's Industrial Relations Act. As we shall see, the Code of Industrial Practice devised by the Department of Employment under Mr Robert Carr has survived in the new Act introduced by Labour.

In summary form the new Act, and here I quote from the Department of Employment's Guide: Repeals the whole of the Industrial Relations Act 1971.

Re-enacts the unfair dismissals provisions of that Act with some changes.

Lays down provisions concerning the status and regulations of trade unions and employers' including the content of their rules.

Gives protection to workers against arbitrary exclusion from trade union membership and declares that every trade union member has the right to terminate his membership on reasonable conditions, Provides legal immunities for those carrying out certain acts in contemplation or furtherance of a trade dispute.

Contains transitional arrangements to follow repeal of the Industrial Relations Act and the abolition of NIRC.

Lays down new definitions of "trade , union", "independent trade union" and "employers' association".

Sets out a new definition of a trade dispute, which may now relate to matters occurring outside Great Britain provided the persons taking industrial action in this country are affected by the matters occurring overseas.

Main effects

What are the main effects of the repeal of the 1971 Act?

The NIRC, the CIR and the Registry of Trade Unions and Employers' Associations are abolished.

The concept of the "unfair industrial practice" is abolished and the legal immunities concerning trade disputes are restored broadly to what they were before 1971.

The right to belong to a registered union is repealed but employees will continue to be protected from dismissal for belonging to a union or taking part in its activities, and this protection will now extend to members of any independent union.

The right not to belong to a union is repealed.

The provisions dealing with procedure agreements, agency the guiding principles for the conduct of unions and employers' associations.

The registrations provisions are repealed but all unions and employers' associations will have to conform with certain administrative and accounting requirements as well as requirements concerning their rules.

The emergency procedures are abolished.


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