The Effects of Industrial Relation on the Development of Small and Medium Enterprises in Ghana

Not many developing countries in Africa have facilities for training in labour law and industrial relations - negotiation, wage determination, dispute prevention and settlement, the several aspects of the contract of employment, and other related subjects such as safety and health. More facilities are probably available in human resource management (the distinction is becoming increasingly thin). Since industrial relations have assumed a particular important role in the context of globalization, structural adjustment and in the transition to a market economy, employers in every country would need to identify what aspects of industrial relations and human resource management should be accorded priority, how training in them could be delivered, and what concrete role is expected from the employers' organization (Silva, 1995). There is no organization that prospers without a sound industrial relation. A sound industrial relation always boosts work performance. Most SMEs in Ghana do not recognize industrial relations. The problem is; is the staff of SMEs being allowed to join or form workers unions? What are the effects of industrial relation on SMEs development? This research work therefore looked at the effects of industrial relation on the development of SMEs.

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