ABSTRACT

The study examined the effect of labour-management relations on organizational performance in Federal Medical Centre Umuahia and Owerri. Specifically, the study examined the effect of grievance procedure on the functionality of FMCs Umuahia and Owerri. ascertained the effect of employees participation in decision making on organizational productivity, examined the effect of managerial communication on organizational effectiveness and ascertain the effect of contract administration on labour tumover in Federal Medical Centre Umuahia and Owerri. The total population ofthe study was 3235 comprising the employee of both FMCs. Taro Yamane’s formula was employed to select sample size of 356. However, from the 356 copies of questionnaire administered, 345 were completed and returned. Hence 345 becomes the valid sample size. The data were analyzed with descriptive statistics such as frequency and percentage distribution. The hypotheses were tested with a simple regression model. The descriptive results revealed that grievance procedure has positive and significant effect on organizational functionality; union participation in decision making has significant effect on productivity (service delivery) of FMCs; managerial communication has positive and significant effect on effectiveness of the organization and effective contract administration has significant and negative effect on labour turnover in the organization. The study therefore concludes that Organization requires effective labour relations that ensure adequate flow of information to all workers either individually or collectively through their union or representatives. Above all. the study believes that synergy and collaboration among staff and management is highly required for optimum performance.