MG204: Management of

Industrial Relations

radical/conflict/marx theory

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 Learning Objectives

• Main features of Radical (or Conflict or

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 Conflict Theory
• Derived from ideas, observations & writing of Karl
Marx (Marxism)
– 19th century (industrial revolution)
• Based on wider societal context
– Political, economic, & social configuration
– Basis of capitalist society
• Derived from the socialist based beliefs
– Continuous struggle of two classes in societies
• Haves & have not

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27/02/2014 By Jone Lako 4
 Conflict Theory
• Karl Marx
– 1818 - 1878
– Studied @ Germany (Uni)
• Studied & analyzed ‘Capitalist Economic
System (free market society)
– UK 1840 saw workers exploitation
– Two classes: Bourgeoisie & Proletariat

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 Conflict Theory
• Marxism - arguments
– Degradation of industrial labor
– Absence of democracy in workplaces
– Need for more fulfilling work & fairer
rewards
– Distrustful of employers & state
– Total incompatibility of Bourgeoisie &
Proletariat interest
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 Conflict Theory
• General Philosophy
– Fundamental & inherent conflict of
interest in capitalist society
– Conflict between working class &
capitalist class
– Conflict that derives from unequal
distribution of income & wealth
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 Conflict Theory
• General Philosophy
–Capitalists have power superiority over means of
production
• Than labors
– State plays fundamental role in protecting
capitalist’s interests
– vulnerability of individual workers make them
form TU
• Challenge control of capitalist’s & distribution of
product
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 Conflict Theory
• Worker–management relations as only
one aspect of class conflict
–Workplace conflict is a reflection of class
conflict that permeates the whole of
society.
• Antagonism of interests
–capitalist and labor cannot be resolved
without changing the capitalist economic
system (social structures)
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 Conflict Theory
• Central feature of Marxism is the
class struggle:
–bourgeoisie vs. proletariat
• Capitalists (members of the
bourgeoisie) control the means of
production (e.g. factory, machines etc)
• Proletariat does not own capital;
controls only its own labor
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 Conflict Theory
• Large scale of production – commodities
– Sold in markets to make profit (surplus value)
– Profit is used to make more profit
– Allows an opportunity at all levels of society to produce
or provide services

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 Comparative approach
Unitary Pluralist Marxist
• Capitalist society • Post-capitalist society • Capitalist society
• Integrated group of • Coalescence of sectional • Division between capital
Assumptions people groups & labor
• Common values, • Differing values, • Imbalance & inequalities
interests & objectives interests & objectives in society (power, EC &
wealth)
• Single authority & • comprehensive • Inherent in EC & social
Nature of loyalty authority & loyalty system
conflict • Irrational & frictional • Inevitable, rational & • Disorder precursor to
structural change
Resolution of • Coercion • Compromise and • Change the society
conflict agreement
• Intrusion • Legitimate • Employee response to
capitalism
• Historical anachronism • Internal & integral to • Expression &
Roles of TU work organization mobilization of class
• Only accepted in • Accepted role in both EC consciousness
economic relations & management relations • Develop political
awareness & activity

(Source: Salamon, 2000: 6) 12