EFFECT OF LABOUR RELATIONS ON WORKER PRODUCTIVITY (A CASE STUDY OF SEVEN UP BOTTLING COMPANY PLC)

                                                ABSTRACT

This study examines the effect of labour relations on workers productivity in an organization using 7 up Bottling Company Nigeria Plc. as a case study. Labour relations is a group of workers organize in the work place to mediate the interest of members in an organization. Highly motivated union increase productivity in organization. The objective is to investigate if there is a significant relationship between labour relation and workers productivity. In order to achieve the objective of the study, the researcher employed tables, simple percentage and chi-square statistical techniques to effectively determine the relationship between the variables.  We therefore recommended that workers representative (labour unions) should be treated as important personnel because they encourage the workers to give their maximum cooperation.  Management should keep or maintain a good communication flow to avoid crises in the organization.  

TABLE OF CONTENTS

Title Page

Approval Page     --       --       --       --       --       --       --       --       i        

Certification  --     --       --       --       --       --       --       --       --       ii

Dedication  --       --       --       --       --       --       --       --       --       iii

Acknowledgments --      --       --       --       --       --       --       --       iv

Table of Contents --       --       --       --       --       --       --       --       v

List of Tables --    --       --       --       --       --       --       --       --       vii

Abstract --  --       --       --       --       --       --       --       --       --       ix

CHAPTER ONE: INTRODUCTION

1.1     Background to the Study --     --       --       --       --       --       1

1.2     Statement of the Problem --     --       --       --       --       --       3

1.3     Research Questions --    --       --       --       --       --       --       4

1.4     Objective of the Study --         --       --       --       --       --       --       4

1.5     Statement of Hypotheses --     --       --       --       --       --       5

1.6     Scope of the Study        --      --       --       --       --       --       --       5

1.7     Significance of the Study         --      --       --       --       --       --       5

1.8     Limitations of the Study --      --       --       --       --       --       6

1.9     Operational Definition of Terms --   --       --       --       --       7

CHAPTER TWO: LITERATURE REVIEW

2.1     Labour Management Relations         --       --       --       --       --       8

2.2     Concept of Productivity --       --       --       --       --       --       9

2.3     Labour –Management Relations and Workers Productivity -- 11

2.4     Problems in Labour Management, Relations and Workers

Productivity --      --       --       --       --       --       --       --       12

2.5     Labour Relations, Motivation and Productivity --         --       --       16

2.6     Labour Relations: Communication and Productivity -- --       18

2.7     Labour Relations and Decision Making --  --       --       --       19     

2.8     Perspectives of Industrial Relations --                  --       --       --       21

CHAPTER THREE: RESEARCH METHOD

3.1     Research Design  --        --       --       --       --       --       --       23

3.2     Population of the Study --       --       --       --       --       --       23

3.3     Sample and sampling Techniques  -- --       --       --       --       23

3.4     Instrumentation  --         --       --       --       --       --       --       --       24

3.5     Method of Data Collection --   --       --       --       --       --       24

3.6     Method of Data Analysis  --    --       --       --       --       --       25

CHAPTER FOUR: DATA PRESENTATION ANALYSIS AND  INTERPRETATION

4.1     Data Presentation  --      --       --       --       --       --       --       26

4.2     Data Analysis  --  --       --       --       --       --       --       --       28

4.3     Test of Hypotheses  --   --       --       --       --       --       --       36

4.4     Discussion of Findings  --        --       --       --       --       --       42

CHAPTER FIVE: SUMMARY CONCLUSION AND

RECOMMENDATIONS

5.1     Summary  --         --       --       --       --       --       --       --       --       43

5.2     Conclusion  --       --       --       --       --       --       --       --       45

5.3     Recommendations  --     --       --       --       --       --       --       46

5.4     Suggested Areas for Further Studies --                --       --       --       47

          References

          Appendices

LIST OF TABLES

Table 4.1:   Nationality of Respondents

Table 4.2:   Marital Status of respondents

Table 4.3:   Sex of respondents

Table 4.4:   Work Status of respondents

Table 4.5:   Qualification of Respondents

Table 4.6:   Age of Respondents

Table 4.7:   Do you agree that Better Labour Relation in your

                    Company Increases Workers Productivity?

Table 4.8:   Does the Labour Relation Department in your

                    Organization Create a Favourable Working Environment? 

Table 4.9:   What exists Management Industry Style in your Organization that Increases Workers Productivity?

Table 4.10: Is there any Labour Relation Factor that Increases the performance of Workers in your organization?

Table 4.11: Management Super the Formulation of Labour Union as these has a Way of Improving Productivity in the organization.

Table 4.12: Constant Communication between Labour and management Increases productivity in your Company 7up.

Table 4.13: Do you agree that Labour Relations Leaders Decision making Increases Workers Productivity in your Company?

Table 4.14: Decision Making by Labour Relations do not have any Effect on Workers Productivity in your Company?

Table 4.15: The Motivating Factor of Workers in your Organization is Labour and Management Relations.

Table 4.16: What Motivates Labour in the Organization?

Table 4.17: How do Management Labour –Tension Arise?

Table 4.18: How active is Labour in Decision Making in your Organization?

Table 4.19: Labour Union Represent Workers well when taking Decision.

Table 4.20: Question Number 11 will be used to Test the Hypothesis, Management Support the Formulation of Labour Union as these has a way of Improving Productivity in the Organization. 

Table 4.21: Question Number 10 will be used to Test the Analysis. Is there any Labour Resources Factors that Increases the Performance of Workers in your Organization?

Table 4.22: Questions Number 14 will be used to Test the Analysis. Decision Making by Labour Relation do not have any Effect on Workers Productivity in your Company. 

CHAPTER ONE

INTRODUCTION

1.1     Background to the Study

In the various economics of the world today, there exist different types of organizations. Some of these organization are either profit oriented or non-profit oriented, but which  ever one it is, we can easily identify labour as a key group and how it relates with management in the  organization (Stone & Gillbeth, 2011). Management and labour are the  two parties on which productivities  in organization can be improve and the foundation of every organization is built on it and it continued existence guaranteed.

Labour is a group of workers organized in the work place (Hornsby, 2001). They came together and form unions in order to protect the interest of all workers irrespective of whether they are union member or not. Management on the other hand is a group of employees concerned with the day to day administration of organization through directing and controlling the activities of labour (Hornsby, 2006). Management is mainly concerned with the protection of the shareholders or investors by ensuring the survival of the organization. The objectives of labour are to achieve the highest wage for members,  favourable working conditions and general worker welfare, while that of the management include controlling of  cost which will result in fair returns to  shareholders and  maximization to profit for the organization.

Hackett (2011) argued that labour seeks to achieve the highest wage by effectively and efficiently utilizing adequate raw materials to provide for the production of goods and services that management can control the cost by employing well skilled personnel, good workers controlling system and the ability to motivate them to work that could increase productivity in organization.

In most cases, some organization controls its cost by acquiring a high quality labour at the lowest price, obtaining high quality raw maters of the cheapest price and also controlling over head cost with collective bargaining but do not consider that the labour who keeps them in existence needs to be well motivated, this often cause a lots of problems. 7up Bottling Company valued their employees. This can be seen as all employees in the organization are given their entitlement that is due for them. According to Hackett (2011) problems in organizations such as poor production, nonchalant attitude towards work and waste of raw materials often arise when laboour is neglected. The management should give room for workers motivation and consequently, the workers should be allowed to participate in the decision making process which affect them and their jobs or work. This will bring industrial peace and maintain a well and effective relations as well as improved productivity.

Hence, the measure of increased workers productivity can only be achieved under a peaceful industrial environment. In a nutshell labour is the greatest assert of any organization and management should regard and motivate them properly. For any organization to achieve its objectives there must be mutual cooperation and cordial relationship between labour and management.

1.2     Statement of the Problem

It is generally accepted that management and labour are two indispensable groups in every organization an that their positively or negatively. Some organization labour relations is very poor. They don’t even bother about their workers welfare and incentitives that is supposed to be given to them. These has a way of discouraging workers there by leading to low productivity output in that organization. Secondly, management of organization hardly yields to the interest of workers during negotiation. This often deepened the crisis between labour union and management. This problem identify, creal a knowledge gap for this study. 

1.3     Research Questions

Some of the research questions that the researcher will provide answer to are:

1.     Is there any significant relationship between labour relation and workers productivity?

2.     What are the human relation factors that affect performance of workers in organization?

3.     Does the decision making by labour relation affect the workers productivity?        

1.4     Objectives of the Study

          The following are the various objectives to be achieved by the researcher:

1.     To investigate if there is any significant relationship between labour relations and workers productivity.

2.     To determine the human relation factor that affect performance of workers in organizations.

3.     To examine if the decision making by labour relation affect the workers productivity.    

1.5     Statement of the Hypotheses

          The following hypothesis shall be tested:

1.     There is no significant relationship between labour relation and workers productivity.

2.     There are no human relation factors that affect performance of workers in organization.

3.     Decision making by labour relation does not affect workers productivity.

1.6     Scope of the Study

The research work will cover a period of three years and would be restricted to 7up Bottling Company, Benin City Branch. The areas which will be investigated on are:

Issues relating to labour, management and workers productivity in 7up Bottling Company. 

1.7     Significance of the Study

For every research work, the researcher must have reason for embarking on the study. This study will be relevant to all the stakeholders particularly the following:

1.     Managers: The study will enable the managers to understand the effect of labour relation as an instrument to boost organizational performance. It will also assist the managers an appropriate decision making and effective communication of strategy needed to increase productivity in organization.

2.     Investors: It will enable the investors to understand the secrete of making higher returns through good labour relations that increase productivity. It will assist them to know the various strategies required to monitor profit and stabilized returns through human resources management.

3.     Employees: It will enable them to understand the welfare packages that is due for them in organization and the high rate productivity that is required from them.

4.     Student and Researcher: It will provide an avenue for them to understand the impact of labour relation and workers productivities in organization so as to conduct more research on the area for knowledge expansion.

1.8     Limitations of the Study

One of the major problems encountered in the course of this research is heavy reliance on primary data. There are no secondary data to capture the research topic. Most of the staff are just school leaving certificate, not knowing the relevance importance of research work and there by giving poor responses. Secondly, finance was also a major problem as this kind of research requires large examination of respondent so as to extract useful information. So therefore, the researcher was limited by lack of fund. Thirdly, time factor problem. There was absolutely no time as the research was still combining vigorous academic work with the project.

1.9     Operational Definition of Terms

       Labour Relation: Is an industrial act of mediating between employees and employers to achieve optimal product.

       Management: Is a process of planning, ordering, motivating, coordinating and controlling the activities of organization.

      Organization: is the process of organizing a set of workers that can work together to achieve the organizational purpose or objective.

     Decision Making: Is the process of resolving on how work in organization is going to be done.

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