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THEORIES OF LABOUR WELFARE

The form of labor welfare activities is flexible, elastic and differs from time to time, region to region, industry to industry and country to country depending upon the value system, level of education, social customs, degree of industrialization and general standard of the socio-economic development of the nation. Seven theories constituting the conceptual frame work of labour welfare activities are the following:-

  1. The Police Theory: This is based on the contention that a minimum standard of welfare is necessary for labourers. Here the assumption is that without policing, that is, without compulsion, employers do not provide even the minimum facilities for workers. Apparently, this theory assumes that man is selfish and self centered and always tries to achieve his own ends, even at the cost of the welfare of others.

    According to this theory, owners and managers of industrial undertakings get many opportunities for exploitation of labour. Hence, the state has to intervene to provide minimum standard of welfare to the working class.

  1. The Religious Theory: This is based on the concept that man is essentially "a religious animal." Even today, many acts of man are related to religious sentiments and beliefs. These religious feelings sometimes prompt an employer to take up welfare activities in the expectation of future emancipation either in this life or after it.
  1. The Philanthropic Theory: This theory is based on man's love for mankind. Philanthropy means "Loving mankind." Man is believed to have an instinctive urge by which he strives to remove the suffering of others and promote their well-being. In fact, the labour welfare movement began in the early years of the industrial revolution with the support of philanthropists.
  1. The Trusteeship Theory: This is also called the Paternalistic Theory of Labour Welfare. According to this the industrialist or employer holds the total industrial estate, properties, and profits accruing from them in a trust. In other words, the employer should hold the industrial assets for himself, for the benefit of his workers, and also for society. The main emphasis of this theory is that employers should provide funds on an ongoing basis for the well-being of their employees.
  1. The Placating Theory: This theory is based on the fact that the labour groups are becoming demanding and militant and are more conscious of their rights and privileges than ever before. Their demand for higher wages and better standards of living cannot be ignored. According to this theory, timely and periodical acts of labour welfare can appease the workers. They are some kind of pacifiers which come with a friendly gesture.
  1. The Public Relation Theory: This theory provides the basis for an atmosphere of goodwill between labour and management, and also between management and the public, labour welfare programmes under this theory, work as a sort of an advertisement and help an organization to project its good image and build up and promote good and healthy public relations.
  2. The Functional Theory: This is also called the Efficiency Theory. Here, welfare work is used as a means to secure, preserve and develop the efficiency and productivity of labour, It is obvious that if an employer takes good care of his workers, they will tend to become more efficient and will thereby step up production. This theory is a reflection of contemporary support for labour welfare. It can work well if both the parties have an identical aim in view; that is, higher production through better welfare. And this will encourage labour's partcipation in welfare programmes.
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