Question

The state (Government) are meant to be neutral in industrial relations. Would you consider them as neutral or do they have bias towards a specific group?

Answer 1

In the process of industrial relationships, both parties continually strive to maximize their individual income and develop their power position. Since the resource is limited, the interest of one party contrasts with the other. To avoid certain recurring conflict of interests and in to sustain real industrial peace, the state started interfering to settle the disputes and benefit the society. The concern of the government is to sustain law and order, accomplish constitutional intentions of justice to all the maximization of production for individual supply to its people and for business with outside world.

But it has been that theoretically, a neutral stance has deviated towards some specific groups favoring the government treasury across all major developed and developing economies. There have been numerous cases of lobbying, manipulating regulatory agencies, campaign funding, etc. that make some groups vulnerable to the state. Some business that forms more than 80% of the business capital influence government more than with lesser capital.