THE EFFECT OF INDUSTRIAL RELATIONS ON EMPLOYEE PRODUCTIVITY IN KENYA. A CASE STUDY IN BIDCO AFRICA.

Abstract

This study investigates the effects of industrial relations on employee productivity in Kenya, using Bidco Africa as a case study. The problem is that, despite the existence of industrial relations systems such as collective bargaining, grievance handling, and management-employee communication, workplace conflicts, communication gaps, and ineffective dispute resolution mechanisms continue to have an impact on employee productivity in manufacturing companies. The main objective of the study is to establish the impact of industrial relations methods on employee productivity at Bidco Africa, with specific objectives focusing on collective bargaining practices, management-employee communication, and grievance handling systems. The study addressed 105 Bidco Africa employees, including managers, human resource officials, supervisors, operational staff, and those who are directly involved in industrial relations. A sample size of 80 respondents was chosen by stratified random sampling to assure proportional representation of all groups, followed by simple random selection within each stratum. Data was gathered using standardized questionnaires that included closed-ended and Likert-scale items. After receiving the relevant approvals and assuring ethical issues such as informed consent, confidentiality, anonymity, and voluntary involvement, data collection was carried out utilizing a drop-and-pick procedure. The data was edited, coded, and cleaned before being analyzed with SPSS software. To investigate the correlations between industrial relations practices and employee productivity, data was analyzed using descriptive statistics such as frequencies, means, and standard deviations, as well as inferential statistics such as correlation and regression. The findings were presented as tables, charts, and graphs for analysis and debate. The study presented the findings' analysis, interpretation, and discussion, revealing that collective bargaining, employee communication, employee participation, and grievance handling systems all have a significant positive effect on employee productivity at Bidco Africa, with communication and collective bargaining emerging as the most influential. The study also summarized the findings, conclusions, and recommendations, concluding that effective industrial relations practices significantly increase employee productivity and recommending strengthened communication systems, improved grievance handling mechanisms, increased employee participation, and ongoing policy reviews to maintain productivity gains.