Everything you need to know about the steps and procedure for employee grievances handling.

The grievances are very harmful and these need proper and timely redressal. If not then there can be many fold problems in the industry. For proper handling of grievances there is need for an adequate procedure that can assign the responsibility step-by-step for effective management of grievances.

Grievance handling procedure is a systematic way of handling the grievances in which step-wise the responsibility for handling is assigned.

The steps involved in employee grievances handling procedure are:-

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1. Acknowledge Dissatisfaction 2. Define the Problem 3. Identify and Collect the Facts 4. Carry out Analyse and Decide 5. Timely Action 6. Taking Decision 7. Implementing the Decision 8. Follow up Action 9. Review and Modification, if Need be 10. Arbitration.

The procedure to deal with the grievances in various organisations can be studied under the following heads:- 1. Open Door Policy 2. Step-Ladder Policy 3. Grievance Handling Committee.

Additionally, learn about:-

1. Legal Provision for Grievance Management in Indian Industry 2. Pre-Requisites of a Sound Grievance Handling Procedure 3. Advantages of Grievances Handling Procedure 4. Disadvantages of Grievances Handling Procedure 5. Need for Grievances Handling Procedure.

Employee Grievances Handling Procedure: How to Handle Your Employee’s Grievances?

Employee Grievances Handling Procedure – With Legal Provision for Grievance Management in Indian Industry 

In this process a set of activities are to be carried in sequence for effective handling or managing grievances. Grievances are the dissatisfaction feeling of the individual. The dissatisfaction of employees gives strong impacts on individual, job, performance and future. In the beginning it is very small but later on the adverse impacts are not bearable.

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It is in the similar way that a person with disease cannot continue for a long time, employees with grievances cannot continue with the employment for long. It is to be taken care of at the earliest so that damages can be removed or minimized. The sincere efforts should be put to check the grievances in the beginning itself. Prevention is always better than cure.

Responsible manager should immediately find out all grievances, their causes and must take appropriate steps to avoid the causes. The bad effects should be avoided. It should not hurt the feelings of employees. They should remain satisfied, loyal and committed to their work. It is very important for betterment of everyone concerned. Effective grievance management is an important function of HRM in an organisation.

The managers should take the following steps for prevention/solution of grievances effectively:

Step # 1. Prompt Action:

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As soon as the feelings of dissatisfaction felt the cause of it should be identified and resolved. The manager expert in grievance handling must be trained for effectively and timely managing grievances. This would avoid the adverse impacts on employees, their performance and organisation as well. So the prompt actions are very essential.

Step # 2. Acceptance of Grievances:

The manager must accept the grievances forwarded by the employees and must respect the true and real feelings of the employees. Acceptance of grievances would bring confidence in employees implies that the manager is interested for solution of the grievance without any bias. To some extent the feelings of dissatisfaction would be reduced and avoid frustration. In turn the working environment would be conducive.

Step # 3. Collection of Information:

Whether the grievances reported or not the management should take the preventive steps. The approach should be proactive. Before grievances, the management must develop the practice to interact, discuss, and share, and collect information regarding different issues of differences. If reported, in this case the information should be collected timely regarding nature and causes of grievances. This would help in prevention and redressal of grievances of employees.

Step # 4. Cross Examining the Causes of Grievance:

Once the grievances are reported and information regarding nature and causes of grievances collected. This information are to be cross-examined. The management should have the clear understanding regarding causes. Accordingly remedial actions should be taken immediately to prevent repetition of the grievance and damages further.

Step # 5. Logical Decision Making:

On being identified the causes of grievances, the manager must generate a number of options for course of action. According to the policies and practices of the industry the best option is to be identified. The person liking of the managers or individuals should be avoided in making rational and more effective decision.

Step # 6. Implementation and Review of Decision:

The rational decision the management should not wait for a long time. The concerned parties should be taken into confidence and implement as early as possible. If not done so in right time, there is no use of putting the efforts for grievance prevention. Right and timely decision would be more effective. The decisions should be reviewed time-to-time to keep in line with the working of the company. Further, grievances can be avoided also.

An effective grievance handling/management process involved these steps would give the right approach to the grievances. First of the grievance would be checked in the beginning itself. Secondly, if at all the grievances have taken place despite of sincere efforts; the grievances would be redressed and would prevent these in future also. These steps are very essential for effective management of grievances. Under this situation the employees would ventilate their grievances freely and redressal would become very easy if at all grievances are reported.

Legal Provision for Grievance Management in Indian Industry:

Government of India has made legal provisions under different labour laws for Indian industries. The main Acts ate Industrial Employment (Standing Orders) Act, 1946, Industrial Disputes Act, 1947, amended in 1965, and Factories Act, 1948. At present, these three labour laws are dealing with grievances of employees working in industries. Under Factories Act, 1948 there is provision for the appointment of a welfare officer in every factory where 500 or more workers are employed.

Welfare officers lode after complaints and grievances of workers relating to their workplace. He looks into the requirements of workers and ensures that there is proper implementation of the existing Factories Act, 1948. There are provisions regarding grievances or disputes relating to discharge, dismissal, lay off and retrenchment for relief under Industrial Disputes Act, 1947 which was amended later on in 1965. On these issues many times the cases have been decided by Supreme Court of India and High Courts also.

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Further, under The Industrial Employment (Standing Orders) Act, 1946, there is provision that requires that standing orders are to be framed by every establishment employing 100 or more workers. Relating to this the provision is for redressal of grievances of workers against employers or their agents for unfair treatment and wrongful actions taken in the establishment.

However, the legal provisions regarding grievances have not been implemented properly by the employers. They are not fair in their approach. In organised sectors also the welfare officers are not much interested to implement the provisions. They are not well committed to their jobs and sometime they play dual roles in the establishment.

Some of the establishments in public sector are doing well in this regard. Other side the larger establishments in private sectors are doing well in redressal of grievances of employees. It is unfortunate on the part of public sector establishments for unsatisfactory progress in case of grievance handling.

Employee Grievances Handling Procedure – Procedures of Grievance Handling Suggested by Experts: Open Door Policy, Step-Ladder Policy and Grievances Handling Committee

The grievances are very harmful and these need proper and timely redressal. If not then there can be many fold problems in the industry. For proper handling of grievances there is need for an adequate procedure that can assign the responsibility step-by-step for effective management of grievances. Grievance handling procedure is a systematic way of handling the grievances in which step-wise the responsibility for handling is assigned.

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It is a formal process of presentation of grievances and handling the grievances for redressal. It can be said that it a formal communication process between the frustrated employees and management for settlement of their grievances. The main topic is there that what should be procedure for different types of organisations.

There are small, medium, and large sizes of organisations. The concern is that one procedure may not be suitable for all organisations. To deal with this situation the academicians and industrialists thought for different procedures for different sizes of organisations.

The main features of grievance and grievance handling are the following:

(a) Differences, conflicts and grievances are essential aspect of industrial life everywhere.

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(b) It is essential to bring the grievance to the notice of management for settlement

(c) All these cannot be eliminated through grievance handling but can be controlled to a good extent

(d) Redressing of grievances relieves employees from frustration and helps in improving relationship, commitment level, performance and working environment.

(e) It leads to enhance overall effectiveness in business, profitability, leader position and image.

The differences/conflicts or grievances can be brought to the knowledge of authority for settlement and can be done through direct observation, suggestion boxes, exit interview, employees counselling, grievance handling procedure, frequent interaction with employees and other methods.

Further, the experts suggested the different procedures to deal with the grievances in various organisations and these are the following:

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1. Open door policy.

2. Step-ladder policy.

3. Grievance handling committee.

Procedure # 1. Open Door Policy:

According to the name of the policy, it is clear that there is restriction on employees to present their grievances and get solution to their grievances. The doors of the top management of the company are kept opened. The aggrieved employee is free to meet and express their grievances to the top executives of the organisation and get his grievances redressed.

This open door policy for settlement of grievances is suitable for small organisations. The top executives are directly in touch with the employees and know them personally. According to the small size of the organisation this is useful and accepted by such organisation. It takes very less time and gives timely and proper settlement of grievances. This policy is not suitable for large organisation.

Procedure # 2. Step-Ladder Policy: 

This policy is used by the medium and large size of organisations. The employees are more in numbers and the executives are also busy with their tasks. They cannot spare time for everyone frequently for grievances redressing. A policy is suggested and that includes steps. It is called step ladder policy.

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The aggrieved employee has to follow a step-by-step procedure for presenting and getting his grievance redressed. In this policy, whenever an employee is dissatisfied he can present his problem to his immediate supervisor. The immediate supervisor would look into the grievances and would give the solution within shortest period.

If not satisfied with superior’s action then the supervisor or he can present the grievance to his department head. The departmental head and would lode into the grievances and give the decision as early as possible. If he feels he can discuss with the grievance committee formed for this purpose. The grievance committee has the representatives of management and employees as well.

If this step has not given the solution then it may be referred to the top or chief executive of the organisation. If he also fails in his attempt for redressing the grievances then it is referred to the voluntary arbitration where the decisions of the arbitrator would be a binding on both the parties. In this the time limit for different authorities for redressing is not specified. It may vary from organisation-to-organisation with die interest to redress as early as possible.

Procedure # 3. Grievance Handling Committee:

The concept of grievance handling committee was suggested by the experts for handling of grievances of employees in an organisation. In this concept, the management has to appoint a grievance committee for redressing of grievances. In this committee the representatives of management and employees are appointed in equal number.

The cases of grievances can be referred for this committee for settlement. Under model grievance handling procedure there is provision for grievance committee under step 3. The managers refer the cases for recommendations to the committee. This can give suggestions to the management in redressing the grievances.

After independence the efforts were put sincerely for fixing the procedure for redressing the grievances in Indian industry. Indian Labour Conferences were conducted and in its 16th conference a model procedure for redressing of grievances was recommended for industries in India.

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Under it the provisions were made for appointment of workers’ representatives in each department and they would deal the grievances in the first step. The Model Grievance Procedure discussed in detail all the steps to be followed for redressing grievances.

These steps are explained in detail below:

Step 1:

In the first step when an employee feels aggrieved then he presents his grievance to departmental representative, who is appointed as a representative of management. He has to give his answer within 48 hours/two days. He would give his decision to the aggrieved party.

Step 2:

In this step when the departmental representative failed to give the solution or has not taken any decision, the aggrieved employee can present his grievance to head of the department where he is working. The head of department looks into the grievances when submitted to him and give his decision within 3 days from the date of submission of grievance.

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Step 3:

When under step two the head of the department gives the decision and aggrieved employee is not satisfied he can take the grievance to Grievance Committee. Within 7 days from the date of submission of grievance, the Grievance Committee makes its recommendations to the manager who submitted grievance to the committee.

The decision of top management on the basis of report of Grievance Committee would be communicated to the aggrieved employee within 3 days from the date of receipt of report. Further, if the aggrieved employees not satisfied then again appeal can be made to the management for revision. On appeal for revision of decision, the management must give the decision to the aggrieved employee within seven days from the date of appeal.

Step 4:

In this step when aggrieved employee is not satisfied from the decision of top management on grievance redressing, the remains unsolved and he can refer this case for redressing to voluntary arbitration. The decisions of the arbitrator would be a binding on both the parties under law.

The model grievance handling procedure provides guidelines to the company for redressing of the employees grievances. The necessary changes if needed the organisation can make and suit to their requirements. This contributes in maintaining a formal communication pattern between employees and management for redressing of grievances.

Employee Grievances Handling Procedure – Steps Involved in Grievance Handling as Suggested by Michael J. Jucius

Any discontent or dissatisfaction with any aspect of the organisation is called as grievance. In case, when a complaint remains unattended and the employee concerned feels a lack of justice and fair play, then the dissatisfaction grows and assumes a status of grievance.

Beach defines grievance as, “Grievance is any dissatisfaction or feeling of injustice in connection with one’s employment situation that is brought to the notice of the management.”

Prof. Jucius opines “Grievance is any discontent or dissatisfaction, whether expressed or not, whether valid or not, arising out of anything connected with the company that an employee thinks, believes or even feels is unfair, unjust or inequitable.” Dale Yoder states that “Grievance is a written complaint filed by an employee and claiming unfair treatment.”

Keith Davis opines “Grievance is any real or imagined feeling of personal injustice which an employee has, concerning his employment relationship.”

International Labour Organisation defines grievance as, “Grievance is a complaint of one or more workers in respect of wages, allowances, conditions of work and interpretation of service stipulations, covering such areas as overtime, leave, transfer promotion, seniority, job assignment and termination of service.”

Grievance handling essentially requires a very systematic approach. Obviously, irrespective of the type of grievance redressal machinery or procedure, certain basic steps must be taken.

Michael J. Jucius suggests the following steps:

(i) Defining, describing or expressing the nature of the grievances as clearly and fully as possible;

(ii) Gathering all facts that serve to explain when, how, where, to whom, and why the grievance occurred;

(iii) Establishing tentative solutions or answers to the grievance;

(iv) Gathering additional information to check the validity of the solutions and thus ascertain the best possible solution;

(v) Applying the solution; and

(vi) Following up the case to see that it has been handled satisfactorily and the trouble has been eliminated,

It is very important to settle grievances (i) promptly, (ii) as near as possible to the point of origin, (iii) on merit only, (iv) with as many facts as possible, and (v) with an attitude of mutual confidence and respect- Hence it is useful to adopt a systematic methodical procedure for grievance redressal.

Employee Grievances Handling Procedure – With Pre-Requisites of a Sound Grievance Handling Procedure

The formal mechanism adopted for dealing with dissatisfaction among the workers is called the grievances handling procedure. In simple words, it is as a formal system of several steps through which affected employee can take his grievance to successively higher levels of management for redressal. It is also a means available to management to keep a check or relevant diagnostic data on the state of the organisation’s health.

In a large organisation a grievance handling procedure plays crucial role because a large organisation has numerous personnel and many different levels due to which the manager is not in a position to keep a personal check on each individual or be engaged in every aspect of the working of the organisation.

On the other hand, a small organisation, communication, knowledge and contact is possible to a much greater extent, thus reducing the need for a formal grievance procedure.

Grievance Handling Procedure :

Grievance handling procedure is necessary for any organisation for many reasons.

Some of which are as under:

1. Check on the Arbitrary Actions:

It serves as a check on the arbitrary actions of the management the reason is supervisors know that employees are likely to see through it that their protest does reach the higher management.

2. An Outlet:

It serves as an outlet for employee gripes, discontent and frustrations.

3. Submission of Grievances:

The management has complete authority to operate the business as it sees fit subject, of course, to its legal and moral obligations and the contracts it has entered into with its workers or their representative trade uncoil. But if the trade union or the employees do not like the way the management functions, they can submit their grievance in accordance with the procedure laid down for that purpose.

4. To Check the Grievances Assuming Explosive Position:

Most grievances seriously disturb the employees. This may affect their morale, productivity and their willingness to cooperate with the organisation. If an explosive situation develops, this can be promptly attended to if a grievance handling procedure is already in existence.

5. To Settle the Unsettled Complaint:

It is not possible that all the complaints of the employees would be settled by first-time supervisors, for these supervisors may be having had a proper training for the purpose and they may lack authority. Moreover, there may be personality conflicts and other causes as well.

Pre-Requisites of a Sound Grievance Handling Procedure:

1. Acceptability:

The grievance procedure should be developed with mutual consultation among all the parties viz. management, workers and the union so that all the parties accept it without any confusion.

In order to be generally acceptable, the procedure must ensure the following:

(i) A cause of fair play and justice to workers.

(ii) Reasonable exercise of authority to managers.

(iii) Reasonable participation to the union.

2. Legal Sanctity:

It is necessary that the procedure should be in conformity with the existing law. It should be designed to supplement the statutory provisions. Wherever possible, the procedure should make use of the machinery provided under legislation. The procedure may be incorporated in the standing orders or collective bargaining agreement of the organisation.

3. Follow-Up:

A periodical review of working of the grievance procedure is required Necessary improvements should be made to make the procedure more effective.

4. Simplicity:

The procedure should be simple not complex. It is simple only when it consist of as few steps as possible. Channels for handling grievances should be carefully developed. Employees must know the officers to be contacted at each level. Information about the procedure should be communicated to the employees.

5. Training:

Supervisors and union representatives require a specific training in grievance handling. This will help to ensure effective working of the grievance procedure.

6. Promptness:

The grievance procedure must contain quick response of redressal the grievances.

The promptness can be ensured in the following ways:

(i) The grievance should be settled at the lowest level as possible.

(ii) There should be a single appeal.

(iii) Time limits should be prescribed and rigidly enforced at each level.

(iv) Different types of grievances may be referred to appropriate authorities.

Steps Involved in Grievance Handling Procedure:

Steps involved in grievance handling procedure are:

1. Step I to identify grievances – The grievances should be identified by the management if they are not manifested or expressed. In case they are ventilated, the management must promptly acknowledge them.

2. Step II to mention correctly – The management after identifying or has to mention it as the problem properly and accurately.

3. Step II collecting data – Complete information should be collected from all the parties relating to the grievance. Information should be classified into various categories like facts data, opinions, etc.

4. Step IV to analyses and solve the issue – The information should be analysed, alternative solutions to the problem should be developed and out of the various solutions the best one should be selected.

5. Step V prompt redressal – The grievance should be redressed by implementation the solution.

6. Step VI implementation and to follow-up – Implementation of the solution must be followed up at every stage in order to ensure effective and speedy implementation.

Employee Grievances Handling Procedure – 10 Model Grievance Handling Procedure Suggested by the National Commission on Labour (With Advantages and Disadvantages)

The model grievance handling procedure suggested by the National Commission on Labour involves the following successive time-bound steps each leading to the next, in case of dissatisfaction:

1. Conveyance grievance to the foreman – The aggrieved worker in the first instance will approach the foreman and tells him of his grievance orally.

2. Approaching the supervisor – The foreman has to redress his grievance and if the worker is dissatisfied with this redressal, he can approach the supervisor.

3. Going to the step higher to supervisor – The supervisor has to reply within 48 hours. In the event of the supervisor not answer or the answering not being acceptable to the worker, the worker goes to the next step.

4. Approaching the H.O.D. – At this stage, the worker (either alone or accompanied by his departmental representative) approaches the Head of the Department who has to give an answer within three days.

5. Appeal to the grievance committee – If the Departmental Head fails to answer or if the worker is dissatisfied with his answer, the worker may appeal to the Grievance Committee, consisting of the representatives of the employer and the employees.

6. Communication with the mangers – The recommendations of this committee should be communicated with the manager within seven days from the date of the grievance approached.

7. Unanimous decision – Unanimous decisions, if any, of the committee shall be implemented by the management.

8. Decision to be taken by the manager – If there is no unanimity, the views of the members of the committee shall be placed before the manager for his decision. The manager has to take a decision and inform the worker within three days.

9. Appeal against managers decision – The worker can make an appeal against the manager’s decision and such an appeal has to be decided within a week.

10. Voluntary arbitration – A union official may accompany the worker to the manager for discussion and if no decision is arrived at this stage, both the union and management may refer the grievance to voluntary arbitration within a week of the receipt of the final decision of management.

Advantages:

Grievance handling procedure contains the following advantages:

1. Bringing to light – It brings grievances into the open so that management can learn about them and try corrective action.

2. Preventing the grievance from growing to dispute – It helps in preventing grievances from assuming big proportions. The management catches and solves a grievance before it becomes a massive dispute.

3. The way to improvement – It enables the management to know the attitudes and feelings of employee concerning the policies, rules and practices of the organisation. With such knowledge necessary improvements in policies and rules can be made.

4. Check on management – It acts as a check upon arbitrary and capricious management action. When a manager knows that his actions are subject to challenge and review in a grievance system he becomes more careful in taking his decisions.

5. Emotional release – It provides employees a formalised means of emotional release for their dissatisfactions. Even if a worker does not use the grievance system for his own emotional release in a particular situation, he feels better because he knows the system is there to use if he wants to do so. It creates a sense of emotional security for them.

6. Maintenance of work culture – It helps in establishing and maintaining a work culture or way of life. As problems are interpreted in the grievance procedure, the group learns how it is expected to respond to the policies that have been set up.

Disadvantages:

The main disadvantage of grievance handling procedure are as under:

1. Dependence on unions – Instead of being involved in actions to solve problems, members learn to sit back and expect “the union” to take care of everything.

2. Variation in procedure – Procedures may vary from organisation to organisation. Reprisals by management against grievant employees can happen.

3. Undue delay – Management can delay a final decision, frustrating members and putting economic pressure on those affected, particularly in discharge cases.

4. Lack of human skills – Human relations skills may be lacking to deal with the grievances at successive steps.

5. Time consuming – It can be time consuming and costly.

Employee Grievances Handling Procedure – Acknowledge Dissatisfaction, Define the Problem, Identify and Collect the Facts, Timely Action and a Few Others

At any stage of the grievance machinery, the dispute must be handled by some members of the management. In grievance redressed, responsibility lies largely with the management. And, grievances should be settled promptly at the first stage itself.

The following steps will provide a measure of guidance to the manager dealing with grievances:

1. Acknowledge Dissatisfaction:

Managerial/supervisory attitude to grievances is important. They should focus attention on grievances, not turn away from them. Condescending attitude on the part of supervisors and managers would aggravate the problem.

2. Define the Problem:

Instead of trying to deal with a vague feeling of discontent, the problem should be defined properly. Sometime the wrong complaint is given. By effective listening, one can make sure that a true complaint is voiced.

3. Identify and Collect the Facts:

Facts should be separated from fiction. Though grievances result in hurt feelings, the effort should be to get the facts behind the feelings. There is need for a proper record of each grievance.

4. Carry out Analyse and Decide:

Decisions on each of the grievances will have a precedent effect. Grievance settlements provide opportunities for managements to correct them, and thereby come closer to the employees.

5. Timely Action:

The first and foremost requisite in grievance handling is to settle them immediately as and when they arise. This requires the first line supervisors be trained in recognizing and handling a grievance properly and promptly.

6. Taking Decision:

In order to take the best decision to handle the grievance, alternative courses of actions are worked out. These are, then, evaluated in view of their consequences on the aggrieved employee, the union and the management. Finally, a decision is taken which is best suited to the given situation in the organisation. Such decision should serve as a precedent both within the department and the organisation.

7. Implementing the Decision:

The decision, whatsoever taken, must be immediately communicated to the employee and also implemented by the competent authority. McGregor’s “Hot- stove Rule” should be strictly followed while implementing the decision.

8. Follow up Action:

Decisions taken must be followed up earnestly. They should be promptly communicated to the employee concerned. If a decision is favourable to the employee, his immediate boss should have the privilege of communicating the same.

9. Review and Modification, if Need be:

The decision, thus, implemented should also be reviewed to know whether the grievance has been satisfactorily resolved or not. In case, it is not resolved, the supervisor once again needs to go back to the whole procedure step by step to find out an appropriate decision or solution to resolve the grievance.

10. Arbitration:

If the grievance is not resolved at the internal level, the grievance is, then, referred to an arbitrator who is acceptable to the employee as well as the management. The arbitrator follows a quasi-judicial process where both the parties present evidence. Based on the evidences so produced, the matter is cross-examined in thread-bare. The arbitrator then thinks, applies his mind and arrives at a decision. The decision taken by arbitrator is final and binding on both the parties.

An effective grievance procedure ensures an amiable work environment because it redresses the grievance to mutual satisfaction of both the employees and the managers. It also helps the management to frame policies and procedures acceptable to the employees. It becomes an effective medium for the employees to express t feelings, discontent and dissatisfaction openly and formally.

Need for a Grievance Handling Procedure:

Grievance procedure is necessary for any organisation due to the following reasons:

1. Most grievances seriously disturb the employees – This may affect their morale, productivity and their willingness to cooperate with the organisation. If an explosive situation develops, this can be promptly attended to if a grievance handling procedure is already in existence.

2. It is not possible that all the complaints of the employees would be settled by first – Time supervisors, for these supervisors may not have had a proper training for the purpose, and they may lack authority. Moreover, there may be personality conflicts and other causes as well.

3. It serves as a check on the arbitrary actions of the management because supervisors know that employees are likely to see to it that their protest does reach the higher management.

4. It serves as an outlet for employee gripes, discontent and frustrations. It acts like a pressure valve on a steam boiler. The employees are entitled to legislative, executive and judicial protection and they get this protection from the grievance redressal procedure, which also acts as a means of upward communication.

5. The top management becomes aware of employee problems, expectations and frustrations. It becomes sensitive to their needs, and cares for then well-being.

Employee Grievances Handling Procedure – 5 Stages in the Grievance Handling Procedure (With Model Grievance Mechanism Suggested by the National Commission)

The National Commission on Labour suggested a model grievance procedure. The model grievance procedure has successive time-bound steps, with access to the next stage, if the satisfaction was not obtained. The stage or the level at which settlement takes place is an index of the climate or the spirit that prevails in the firm.

The lower the level of settlement, the quicker the redressal of a grievance. At the first stage, the supervisor is in a position of give and take but at the subsequent stages he comes under the glare of publicity and thus his position is likely to harden. From the aggrieved employee’s point of view, the delay would only increase his anxiety and frustration.

In turn, this affects his morale and productivity. If an employee prefers this procedure for the redressal of his grievance then the formal conciliation machinery shall not intervene till all the stages outlined in this procedure have been exhausted. A grievance shall be presumed to take the form of a dispute only when the final decision given by the top management in respect of the grievance is not acceptable to the worker.

Stages in the grievance procedure is as follows:

Stage I:

Firstly, the aggrieved employee shall convey his grievance verbally in person to the officer designated by the management for this purpose. The officer has to answer within 48 hours of the presentation of the complaint.

Stage II:

If the worker is not satisfied with the decision of this officer or he fails to receive the answer within the stipulated time, then, he shall along with his departmental representative, present his grievance to the head of the department. Usually, a fixed time is specified during which an aggrieved employee could meet the departmental head. The head of the department shall give his answer within three days of the presentation of the grievance.

Stage III:

If the decision of the head of department is unsatisfactory, then the aggrieved employee along with the departmental representative may forward his grievance to the grievance committee. The grievance committee shall make its recommendations to the manager within 7 days of the employee’s request. If the recommendations of the committee are unanimous then the management shall implement it.

If there are differences of opinion among the members of the committee then the views of all the members shall be placed before the manager for the final decision. In either case, the final decision of the management shall be communicated to the employee within three days from the receipt of the recommendations of the grievance committee.

Stage IV:

If the decision of the management is not in time or unsatisfactory then the worker may appeal to the management for revision. The management shall communicate its decision on appeal within a week.

Stage V:

If still no agreement is reached, then the union and the management may refer the grievance to voluntary arbitration within a week after the decision of the management. In the model grievance procedure there is a time limit within which an appeal shall be taken from one stage to the other.

The aggrieved worker shall, within 72 hours of the receipt of the decision at one stage (in case no decision is received then on the expiry of the stipulated period), file his appeal with the authority at the next higher stage.

Model Grievance Mechanism:

The model grievance mechanism suggested by the National Commission on Labour, involves two successive time bound steps, each leading to the next, in case of dissatisfaction.

First the aggrieved worker will approach the foreman (or in change officer in bank) and tell him / her of the grievance orally. The foreman has to redress, women’s grievance and if the worker is not satisfied with the redressal, he / she can approach the superior (in bank manager) has to provide an answer within 48 hours. In the event of the supervisor not giving an answer or the answers not being acceptable to the worker, the worker goes to the next step.

Second step the worker approaches the Head of Dept. who has to give an answer within 3 days. If the department head fails, to give an answer or if the worker is not satisfied with the Departmental Head answer, the worker may appeal to the grievance committee, as the step consisting of representatives of employer and employees.

The recommendation of this committee should be communicated to the Manager within 7 days from the data of the grievance reaching it Unanimous decision, if any of the committees shall be implemented by the management. If there is no unanimity, the views of the committee members shall be placed before the managers for his / her decision. The manager has to take decision and inform the worker within 3 days. This being fourth step.

Fifth step, is that the worker can appeal against the manager’s decision and such an appeal has to be decided within a week’s time.

Sixth step being then to trade union’s representative may accompany the worker to the manager for discussion and if no decision is arrived at this stage, both the union representative and management may refer the grievances to voluntary arbitration within a week of the receipt of the management decision.

Employee Grievances Handling Procedure – Steps for the Operation of the Grievance Procedure in an Unionised Organisation

In an unionised organisation, the operation of the grievance procedure may contain the following steps:

Step 1:

The aggrieved employee verbally explains his grievance to his immediate supervisor or in a conference or a discussion specifically arranged for the purpose. The employee seeks satisfaction from his supervisor. He may or may not be accompanied by his shop steward. The grievance can be settled if the supervisor has been properly trained for the purpose, and if he adheres strictly to a basic problem-solving method.

Step 2:

The second step begins when the grievance is not settled by the supervisor. In this case, it is sent to a higher level manager with a note in which are mentioned the time, place and nature of the action to which the employee objects. The higher level manager is generally the chief business manager, a superintendent or an. Industrial Relations Officer who goes into the grievance and gives his decision on the matter.

Step 3:

This means that the grievance is to be submitted to the Grievance Committee since the decisions of the supervisor and of the higher level manager have not solved the problem. This committee, which is composed of some fellow-employees, the shop steward or a combination of union and management representatives, considers the record and may suggest a possible solution.

It may call upon the grievant to accept the employer’s proposed settlement. It may advise him that the trade union will not press for anything more than has already been suggested. In some cases, it may recommend that the issue be submitted for arbitration.

Step 4:

If the decision or suggestion of the Grievance Committee is not accepted by the grievant, he may approach the management or the corporate executive. This is the fourth step in the grievance handling procedure.

Step 5:

The final step is taken when the grievance is referred to an arbitrator who is acceptable to the employee as well as the management. They may agree beforehand that the arbitrator’s award will be final and binding on both the parties.

The Indian Institute of Personnel Management, Kolkata, has briefly summarised the grievance procedure in the following five steps:

(i) In the first instance, the grievance should be settled at the lowest level; that is, the employee should raise his grievance with his immediate superior.

(ii) It should be made clear to the employee that he may appeal if he does not get satisfaction from his immediate superior. He should know who the next person in the echelon of management is to whom he should refer his grievance.

(iii) The grievance should be speedily dealt with.

(iv) If the grievance is against any instructions issued by the superior, the employee should clearly understand that, in the interest of discipline, the instructions must first be carried out before the grievance can be considered and decided upon. It is only when this has been done that the employer will register his protest and set the grievance handling procedure in motion.

(v) It should be clearly understood by the employee that there will be no recourse to any official machinery till the grievance redressal procedure has been set in motion and that, in the event the employee is still dissatisfied, there will be no direct action by either party which might prejudice the case or raise doubts while the grievance is being investigated.

In practice, grievance procedure differs from company to company. Some contain simply two- step procedures; others may have as many as six or more steps.

Employee Grievances Handling Procedure

While the grievance procedure evolved needs to be adapted to meet special circumstances prevailing in various undertakings, the proce­dure generally followed in handling the grievances should be as fol­lows:

1. The aggrieved employee shall first present his/her grievance ver­bally in person to the person designated by the management for the purpose. An answer shall be given within 48 hours of present­ing the complaint.

2. If the employee is not satisfied with the decision of the officer or fails to receive an answer within the stipulated time period, the employee can present his/her grievance to the head of the de­partment designated by the management for the purpose of han­dling grievances. The departmental head shall give his/her answer within three days of the representation of grievance.

3. If the employee is not even satisfied with the decision of the de­partmental head, the aggrieved may request to the grievance com­mittee which shall make its recommendations to the manager within seven days of the employee’s request. The employee would be communicated the recommendation within three days.

4. If the committee fails to take decisions within the stipulated time period or the employee is not satisfied with the decision he/she can make an appeal for revision to management. Management is supposed to communicate its decision within seven days of the employee’s revised petition.

5. If no agreement is still possible, the union and the management may refer the grievance to voluntary arbitration within a week of the receipt of the management’s decision by the aggrieved em­ployee.

6. Where a worker has taken up a grievance for redressal under this procedure, the formal conciliation machinery shall not inter­vene till all steps in the procedure are exhausted. A grievance shall be presumed to take the form of a dispute only when the final decision of the top management in respect of the grievance is not acceptable to the worker.

7. The management should try their level best to ensure that no grievance should finally get converted into a dispute and cooper­ate with all the grievance handling machinery.

8. The management shall provide necessary clerical and other as­sistance for the smooth functioning of the grievance machinery.

9. In the case of any grievance arising out of discharge or dismissal of a worker, the above-mentioned procedure shall not apply. In­stead a discharge or dismissed worker shall have the right to ap­peal either to the dismissing authority or to a senior authority who shall be specified by the management within a week from the date of dismissal or discharge.

Employee Grievances Handling Procedure – Open Door and Step-Ladder Procedures (With Essentials of an Effective Grievance Handling Procedure)

A grievance is the embryo of more serious trouble to come because accumulation of minor grievances may lead to major explosions. Therefore, prompt and effective handling of grievances is the key to industrial peace. This calls for a systematic procedure of handling grievances for the just and speedy disposal of grievances. There are two types of grievance procedures for redressing the grievances of the employees.

These include:

(i) Open door procedure,

(ii) Step- ladder procedure.

(i) Open Door Procedure:

Under this procedure, the employees are free to meet the chief executive of the organisation and get their grievances redressed. It is said that this policy can remove the causes of grievance quickly.

Though this policy appears to be attractive, it has the following implications:

a. The open door policy is workable only in small organisations. In big organisations, the top management does not have the time to attend to innumerable routine grievances daily which is the work of lower- level managers.

b. The lower level executives feel bypassed. This may complicate the human relations problems. Moreover, top management is not too familiar with the working conditions of the operative employees. It may be difficult for it to attend to employee grievances because of lack of sufficient information.

c. The open door policy is suitable for executives to walk through and not the operative employees. The operative employees may even hesitate to go to higher level executives with their grievances.

Because of the above difficulties, step ladder procedure may be adopted.

(ii) Step-Ladder Procedure:

Under this procedure, the aggrieved employee has to proceed step by step in getting his grievance heard and redressed. Firstly, he has to present his grievance in writing to his supervisor or foreman. If he is not satisfied with his decision, he may go to the head of the department.

There may be a joint grievance committee after the decision of the head of the department is not acceptable to the employee. If the committee also fails to redress his grievance, the matter may be referred to the chief executive.

The grievance procedure will be said to be exhausted if the top management is also not able to redress the grievance. The worker should not take any action against the management (such as going to the labour union or labour court) until the whole grievance procedure has been exhausted. The worker should ask for voluntary arbitration for the redressal of his grievance.

The grievance may assume the form of a conflict after the worker is not satisfied with the decision of the chief executive. For maintaining industrial peace in the plant, it is advisable to refer such grievance to the voluntary arbitration. The award of the arbitrator should be binding on both the parties.

A good grievance procedure should be simple so that an average employee is able to understand it. It should be developed with the participation of the leaders of the employees and must be applicable to all.

Further the grievance procedure should ensure the speedy redressal of the grievances and must be capable of ensuring a sense of satisfaction to the individuals concerned. As far as possible, the procedure should have a limited number of steps with the provision for at least one appeal.

Essentials of an Effective Grievance Handling Procedure:

A grievance procedure should incorporate the following features:

(1) Conformity with the Existing Legislation:

The grievance handling procedure should be designed in conformity with the existing statutory provisions. Where practicable, the procedure can make use of such machinery as the law might have already provided for.

(2) Acceptability:

The grievance procedure must be acceptable to the employees. In order to be generally acceptable, it must ensure – (a) a sense of fair- play and justice to the worker, (b) reasonable exercise of authority to the, manager, and (c) adequate participation of the union.

(3) Simplicity:

The grievance procedure should be simple enough to be understood by every employee. The steps should be as few as possible. Channels for handling grievances should be carefully developed. Employees must know the authorities to be contacted at various levels. Information about the procedure can be thoroughly disseminated among all employees through pictures, charts, diagrams, etc.

(4) Promptness:

Speedy settlement of a grievance is the cornerstone of a sound personnel policy. Justice delayed is justice denied. The procedure should aim at a rapid disposal of the grievance.

This can be achieved by incorporating the following features in the procedure:

(a) As far as possible, grievances should be settled at the lowest level.

(b) No matter should ordinarily be taken up at more than two levels, i.e., normally there should be only one appeal.

(c) Different types of grievances may be referred to appropriate authorities.

(d) Time limit should be placed at each step and it should be rigidly followed by the concerned executives.

(5) Training:

In order to ensure effective working of the grievance procedure, it is necessary that supervisors, managers and the union representatives are given proper training to handle employees’ grievances.

(6) Follow-Up:

The working of the grievance procedure should be reviewed periodically by the human resource department and necessary changes should be introduced to make it more effective.

Employee Grievances Handling Procedure – 5 Step Process

Steps involved in a grievance procedure depend on the size of the organization. Generally, in a smaller organization, fewer number of steps is required as compared to a large organization where number of steps may be more.

The five-step grievance procedure is described below. At each step, a time limit is prescribed within which the decision on a grievance must be taken. It is not necessary that the redressal of grievances must proceed to all five steps. In fact, many grievances may be settled at the first level itself. Let us see how various steps are followed in redressing grievances.

Step 1:

At the initial step, the aggrieved employee explains his grievance to his immediate supervisor. The employee may or may not be accompanied by union representative. After explanation from the employee, the superior takes suitable action to overcome the grievance and communicates his action to the employee. If the employee feels satisfied, the matter is over. If he is not satisfied, he may go to the next step.

Step 2:

A grievance not handled at step 1 is referred to step 2 which is usually handled by the sectional/departmental head or representative from industrial relations/HR department. At this stage, if union representative is to be associated, he must be of higher level than the one represented at step 1. The officer concerned gives his decision considering all relevant facts within the specified time.

Step 3:

If the grievance is not redressed to the satisfaction of the aggrieved employee, the matter is referred to the grievance committee having members from both management and union. The committee members deliberate on the issue involved in the grievance and also examine the decisions arrived at the previous steps to arrive at the decision.

The decision suggests the ways in which the grievance can be overcome, or what relief the aggrieved employee should be given. In some cases, the committee may recommend the matter to a higher level for arbitration.

Step 4:

If the grievance is not redressed at the committee level, or the committee recommends for arbitration, the senior manager or HR manager along with senior union representative arrives at the decision to refer the matter for arbitration.

Step 5:

This is the final step in a grievance procedure in which the grievance is referred to an arbitrator for final decision. An arbitrator is appointed with the mutual consultation between management and union or the employee. Both the parties agree that the decision of the arbitrator will be final and binding.

Employee Grievances Handling Procedure – Steps to Handle Employee Grievances

Government of India has formulated a grievance handling procedure, known as Model Grievance Procedure in 1958. It is voluntary and the individual organizations can adopt this as it is or with some suitable changes according to their needs. The basic objective of this model is to provide speedy redressal of grievances and to have uniform practices in the industry.

Grievance redressal procedure is a systematic method to deal with and resolve grievances of employees. Every industrial establishment with 20 or more workers must set up grievance redressal machinery.

Following are the steps to handle employee grievances:

1. First Step (Immediate Supervisor):

Initially, the employee has to present his complaint to the immediate superior in written form. The superior has to respond to such complaint within 48 hours (2 days) from the date of complaint. If the aggrieved employee is not satisfied with the action taken by the superior, he can further take the complaint to the higher authority.

2. Second Step (HOD / Senior Manager):

Employee can file the same complaint with the Head of the Department (HOD), if he is not satisfied with the response of the immediate manager. The HOD or senior manager must respond to the employee within three days of receiving the complaint.

3. Third Step (Grievance Committee):

Employee can file the same complaint with the grievance committee, if he does not receive satisfactory response from both, the immediate manager and HOD. Grievance committee consists of representative members from trade union as well as the management. The committee must give its recommendations to the management within 7 days of receiving the complaint. Later, the management must convey its final decision to the aggrieved employee within 3 days of receiving recommendations from the committee.

4. Fourth Step (Appeal for Revision):

The employee can again request the management to revise its decision, if he is not satisfied with its decision. The management must give its revised decision to the employee within 7 days of receiving the request.

5. Fifth Step (Voluntary Arbitration & Final Decision):

Employee can further complaint to arbitrator, if he is not satisfied with the revised decision of the management. Arbitrator is appointed with the mutual consultation between the management & the workers’ union. The arbitrator listens to both the parties and gives final decision. Such decision must be compulsorily accepted by management as well as the employee.