Job Regulation

Posted in Human Resource Terms, Total Reads: 610
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Definition: Job Regulation

Job Regulation means creation and implementation of some rules which directly or indirectly affect the employment relations, employees, employers and trade unions. One of the way of creation of these rules is by joint mechanism or collective bargaining by both employees and employer. Sometimes the job regulation mechanism is already in place or the rules are already implemented and constant since years in the companies.


Another way of creation of rules is unilaterally either by employer or employees or trade union and imposed on the other party. This generally happens if the both the parties, i.e. employer and employee, do not agree for collective bargaining or joint mechanism. The rules are explicit as well as implicit. Explicit rules are mentioned in the employment handbook, joining letter or some other regulatory documents. Implicit rules are not written anywhere as they are assumed to be self-understanding, for example, behavior of employer and employees at the work place, coming to work every day and on time, completion of work on time etc.


The rules for job regulation are sometimes implemented by government also. For example, rules about minimum wages, maternity policies, retirement age in various sectors etc. Sometimes the rules imposed by government are not directly effecting employees. Say for example, rules for pollution check for manufacturing industry per se plastic industry or the ‘Clean Air Act’ passed by the US government. These kind of regulations are directly dealing with the company owners but it deals with the reduction or increase in the number of jobs of the employees working in those industries. Let’s say an act passed by government for the environment protection which regulates the cutting of trees and so the production. If the production decreases, it increases price. If the price is increased, it reduces demand. The reduction in demand leads to the loss of jobs of the workers. However, it the regulation is for the use of some new parameters or technology or something new has to be added to the work, it may leads to the increase of the jobs.

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