Individual Conciliation - Definition, Importance & Example
What is Individual Conciliation?
Individual conciliation is a way to find an alternate way to resolve a dispute which may occur in an organization. Individual conciliation is done between an employer and employee, an employer and employer or an employee and employee. In individual conciliation, he aggrieved parties use a conciliator for the process, the conciliator meets both the parties separately as well as together. The role of a conciliator is to bring down the tensions and establish communications between the aggrieved parties and interpreting the issues so that the aggrieved parties have all the facts.
It is important to note that conciliation is different from mediation and arbitration. Conciliation is very important in industrial relations and is often a technique used by the management and trade unions. Another form apart from individual conciliation which is between two groups is collective conciliation. If a Dispute is resolved through a conciliation process then it is applicable to all the workers under section 18(3) of the Trade Union Act, which means its applicable to all the workers of the factory. If the dispute is resolved under section 18(1) through collective bargaining then it is binding only on parties involved in the agreement. And under section 18(2) it is binding on those who referred the dispute to arbitration.
Importance of Individual Conciliation
Individual Conciliation is very important in industrial relations for the reason that it helps in negotiations between the management and the trade union. The process followed in individual conciliation is that the parties are asked to list down their objectives and desires from the conciliation. The conciliator then asks both the parties to prioritize the objectives in descending order and then both parties go back and forth trying to negotiate on their objectives starting from the least important to the most important. The conciliator has a very important role in trying to establish trust between the parties and should be a highly skilled negotiator.
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Advantages of Individual Conciliation
Some benefits of individual conciliation are:
1. Voluntary agreement & settlement
2. Less hearings
3. Lower stress
4. Cost is lesser for both parties
5. Happens privately
Example of the Individual Conciliation
Individual conciliation is a very important part of industrial relations and without individual conciliation there would be a lot of chaos in the industries. Suppose in a factory there is a conciliation process between the trade union and the management then both the parties list out their charter of demands and negotiate on each point starting from the demands with least priority, they then agree on the demands of each other and in this way a conciliation process takes place.
Hence, this concludes the definition of Individual Conciliation along with its overview.
This article has been researched & authored by the Business Concepts Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
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