Economy

What is labor relations? »Its definition and meaning

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When it comes to labor relations, it refers to those relations that are established between labor and capital during the production process. In it, the people who contribute the work are called contracts, while those who contribute the capital are known under the name of employer or employer. While the worker will be a natural person, while the employer can be both a physical and a legal figure. At present, this type of relationship is regulated by an employment contract in which the two parties involved are formally free. Another use of the term today is to refer to the bond that can be formed between two or more people within the workplace.

Currently in society, labor relations are regulated through the use of employment contracts, which is responsible for stipulating both the rights and obligations of both parties. An example of this is that within the employment contract it is indicated that a worker will have access to compensation if he is dismissed without any cause that warrants it.

On the other hand, it should be taken into account that labor relations can be of two types; individual or collective. For their part, individual labor relations are those in which an isolated employee establishes directly with his employer or direct boss. Whereas, in collective labor relations, a union is established which is in charge of representing workers with the company or organization that hires them.

In the case of collective relations, these are presented with the objective of reducing the situation of dependency and subordination that exists between the worker and the employer. Since it is considered that the union has more weight to be able to impose its conditions and thus achieve a fair and balanced employment relationship for both parties.

One of the distinctive elements within labor relations is that they are usually unbalanced, that is to say that there will always be some element in them that has the power to initiate or end them as it deems appropriate and that person will be the one who hires the employee or the one that provides the means of production so that it can work. Many times, labor relations become problematic, usually when the employer uses this power to his advantage in an excessive way to carry out abusive labor practices.