Entrepreneurial Ethics and Trust by Yakubu Zakaria
Author:Yakubu Zakaria [Zakaria, Yakubu]
Language: eng
Format: epub
Tags: Business & Economics, Entrepreneurship, Economics, Microeconomics, Organizational Behavior, Social Science, General, Sociology
ISBN: 9780429864230
Google: PS1zDwAAQBAJ
Publisher: Routledge
Published: 2018-10-26T03:43:24+00:00
Conflict Resolution Procedures
The peaceful coexistence between entrepreneurs and those they employ depends upon a variety of factors. These include the level of wages paid to workers in relation to those paid in comparable firms, working conditions, and entrepreneurial attitudes regarding freedom of movement and expression. Apart from the low salaries and poor working conditions, cross-cultural misunderstandings are often the source of tensions and discontent among factory workers. The prevalence of peace in any factory is a major factor for high productivity. Employee grievances in factories represent their dissatisfaction with the conditions of employment.
Several grievances were recorded among employees in the three plastic factories. However, grievances regarding conditions of work were most severe in the Chinese factory. Before this study took place, the Chinese plastic firm had experienced several violent industrial strikes in 1989, 1991, and 1993 often resulting in the use of police and industrial courts to settle disputes. In all three instances, poor wages and cross-cultural misunderstandings were the responsible factors. When confronted with the question on conflict resolution, the members of the Chinese management showed a unanimous predilection for police force in resolving industrial disputes. Despite their experience of two violent strikes in 1987 and in 1994, the Lebanese management was equally divided on the issue of use of coercion to resolve industrial conflicts. Most Hausa entrepreneurs and managers, representing 61 percent, were against the use of police and showed a preference for informal conflict resolution methods.
In Nigeria, the resolution of industrial disputes is governed by Trade Disputes Amendments Decrees of 1988, numbers two and thirty-nine.182 The decrees set out stages through which disputes can be resolved. In the industrial sector, the stages include the plant, company, and industrial levels. Disputes or grievances at the industrial level are resolved through Industrial Arbitration Panels (IAP) and National Industrial Courts (NIC). Under the new amendments, which came into effect on 27 October, 1988, the two industrial courts have the power to enforce industrial awards. However, the evidence in Nigeria has shown that the functions of legal institutions are more theoretical than practical. Because of the cumbersome nature of the legal system, many Nigerian and Levantine industrialists often prefer informal dispute settling procedures over litigation.
The clientelistic recruitment patterns imply that conflict resolution procedures in the three plastic firms were largely informal. The basic advantage of the informal approach in conflict resolution is flexibility. It allows disputants to resolve their differences amicably without engaging the services of a third party. Moreover, the informal, and verbal conflict resolution procedures are very useful where most workers do not have formal education. Consequently, the methods applied in resolving conflict in many Nigerian firms depend on the extent of network relations, nature of the grievance and the parties involved. In spite of this, most of the informal procedures for resolving conflicts are flawed because of their pro-management attitudes. Much of the evidence in the three plastic firms suggests that any enduring peace in the factory must recognise workers as partners in progress rather than saboteurs.
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