Identifying Convergence & Divergences in Employment Relations Practices in the Indian SME Sector: in Search of An Integrated Model of Employment Relations

Abstract

Small and Medium Enterprises (SMEs) are rightly regarded as the backbone of the Indian economy. Acclimatised as the nurseries for entrepreneurship and innovations, these SMEs are characterised by the absence of traditional Human Resource Management or Employment Relations mechanism which makes the sector being recognised as complex, intricate and autocratic (Ram, 1991). The sector is governed by employment relations practices which are highly fragmented and informal in nature and varies from sector to sector. The present paper aims to highlight the commonalities and divergences in the context of employment relations in the identified sectors under study. Mixed research methodology using questionnaire survey, focus group and non-parametric tests has been ascertained to achieve the research objectives. Finally, an integrated model of employment relations relevant to cross-sectoral SME sector has been developed.