Automation costs jobs, workforce has to be multi-skilled, says Srinivasan

This was being done in view of increasing competition and cost pressure. “There has already been a decrease in the number of permanent workers, although the figure of contract workers has increased,” Srinivasan said, adding if the situations arise when employers have to let go of some of their workforce, then compensation is the only way out.

Encapsulating his message for Industrial Relations (IR) professionals by stressing on the need to be fair, impartial and transparent in their dealings with trade unions and workforce, he also underlined the need to focus more on multi-skilling and training as part of developingthe workforce.

Srinivasan was addressing a conference on ‘Industry 4.0 and design thinking on IR’ organised by Madras Chamber of Commerce and Industry in the city on Thursday. “Even when I was heading the BCCI, no one couldsay that I was partial. Firm, yes,but never partial,” the former BCCI President said.

“IR professionals should strive to be efficient, not popular,” said Srinivasan, adding they need to involve themselves with trade unions for smooth functioning of the manufacturing sector. “You cannot avoid trade unions. They will always want more wages, better compensation. Meeting them and dealing with them will make your life simple. You have to create a situation where employees believe in you. And you have to transfer confidence to the workforce,” he said.

Speaking about the most difficult challenges that IRs may face, India Cements MD said, “The most difficult task is to convey the wants of the management to the employees and keep them motivated.” ‘Need to focus more on research and development’

Elaborating on the current needs of the manufacturing sector, Srinivasan said the country needs to pay attention to innovation.

“Research and development does not get the same amount of importance in India as in other countries. Our manufacturing industries need to focus more on innovation because we do not know which new product or technology will replace us,” he said. Srinivasan also highlighted the case of Kodak — the American technology company which produces camera-related products and faced bankruptcy after the advent of mobile phone cameras.