Importance of Grievance Handling

Industrial peace is a state in industrial  relations in which both the employee and employer abstrain from industrial actions such as strikes and lockouts. So to achieve industrial peace grievance handling processes are carried out within  organizations. The grievance handling procedure of the organization can affect the harmonious environment of the organization in a positive manner. Many grievances of employees are related to work rules and regulations, policies and procedures, health and safety regulations, wages, individual victimization etc. Resolving these issues have a better probability to maintain high performance working culture and it should be an integral part in the management effort to understand the grievances of employees.

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Effective grievance handling is an essential part of cultivating good employee relations and running a fair, successful and productive workplace. Relationship building is the key to successful labor relations. At first good interpersonal relationships among individuals should be built in order to make a safe and corperative working environment for employees where frustration and dissatisfication would not arise. Dissatisfication of one worker would may create dissatisfication of several workers which will lead to building an anti attitude towards management. This will lead to crisis situation where various conflicts may arise and which will interfere the smooth functioning of the organization. If frustration and perception of unfair treatment would carried on it would it will immediately lead to strikes and slowdowns and affect the activities and the productivity of the organization. Hence to maintain a good productivity level and to maintain a good labor management relationship, grievance handling mechanism should be a advanced mechanism.

If there is no effective grievance mechanism it will lead to increasing of employee unrest which will give rise to employee frustration and dissatisfication, employee turnover and finally affects the productivity of the organization. It is also important to mention that in-effective grievance handling mechanism will affect the employee moral, productivity and willingness to work.