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Part 5

Part 5. Employee relations. Slide 20.1. Historic Perspectives to Employee Relations. 1980s – Employee relations an activity central to the HR function (Mackay & Torrington, 1986) 2000s – Employee relation issues now placed well down the HR agenda (IRS, 2003). Slide 20.2.

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Part 5

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  1. Part 5 Employee relations

  2. Slide 20.1 Historic Perspectives to Employee Relations 1980s – Employee relations an activity central to the HR function (Mackay & Torrington, 1986) 2000s – Employee relation issues now placed well down the HR agenda (IRS, 2003)

  3. Slide 20.2 Employee Relations Climate WER 1998 – 80% of HR Managers surveyed believed climate to be either good or very good 2% of HR Managers believed the climate was poor

  4. Slide 20.3 Key Trends in Employee Relations • Trade union decline • Decline in collective bargaining and industrial action • Increase in employment law

  5. Slide 20.4 Trade Union Decline • Decline in numbers joining unions • Decline in numbers taking part in trade union activity • Actions of Thatcher’s Government • Passing of hostile employment legislation • Industrial restructuring • Inevitability

  6. Slide 20.5 Collective Bargaining & Industrial Action • Reduction in workforce covered by collective agreements • Breaking down of national collective bargaining • UK strike rate below average for EU and OECD countries

  7. Slide 20.6 Average Number of Days Lost Due to Strikes Table 20.1  Average number of working days lost due to strikes Source: Adapted from R. Taylor (1993) The Trade Union Question in British Politics. Oxford: Blackwell; and Labour Market Trends (2003c) ‘Labour disputes in 2002’, Labour Market Trends, June. London: HMSO.

  8. Slide 20.7 Employment Law Until 1960s – little employment law 1965 – first major employment legislation was introduced 1970s host of employment law - unfair dismissal law - health and safety - sex discrimination law - race relations law

  9. Slide 20.8 Employment Law Over the Last Decade • Disability Discrimination Laws • National minimum wage • Restrictions on working time • Compulsory union recognition • Host of family friendly measures • Data protection • Workplace dispute resolution

  10. Slide 20.9 Study of Employee Relations Research questions focused on: • Trade union organisation • Forms of bargaining • Industrial conflict and resolution • ‘Assaults’ on established UK employment practices

  11. Slide 20.10 Possible Focus For Study In The Future State of psychological contract between organisations and employees (Guest, 2001) Wider range of employment areas - regulatory practices in areas of training, pay, determination, etc. (Rubery & Grimshaw, 2003)

  12. Slide 20.11 Strategic Questions (1 of 2) • How far should employees be involved in decision making? • Should employee involvement be direct or through representation? • What form should the involvement take?

  13. Slide 20.12 Strategic Questions (2 of 2) • At what organisational level should involvement take place? • What issues should be subject of involvement?

  14. Slide 20.13 Categories of Management Styles in Employee Relations • Traditional • Paternalistic • Consultative • Constitutional • Opportunistic

  15. Slide 20.14 Categories of Consent • Normative • Disorganised • Organised • Consultative • Negotiated • Participative • Controlling

  16. Slide 20.15 Individual Employee Involvement • Increased interest in this area • Useful in environment where unions are absent or marginal • Direct forms of employee involvement are incompatible with collective forms • Generally initiated by employers

  17. Slide 20.16 Benefits of Individual Employee Involvement (1 of 2) • Employees like to be involved and appreciate involvement initiatives • Employee involvement initiatives improve organisational commitment • Involvement makes change easier for employees to accept

  18. Slide 20.17 Benefits of Individual Employee Involvement (2 of 2) • Involvement increases levels of job satisfaction • Involvement is associated with lower levels of staff turnover • Makes a significant contribution to improving organisational performance

  19. Slide 20.18 Major Forms of Direct Involvement • Team briefing • Publication of company news sheets • Quality circles • Suggestion schemes and surveys

  20. Slide 20.19 Dimensions in Variances in National Systems (1 of 2) • High union membership v low union membership • Single employer v multi employer bargaining • Interventionist government role v non-interventionist role

  21. Slide 20.20 Dimensions in Variances in National Systems (2 of 2) • Adversarial v consensual • Autocratic management v involving management style

  22. Slide 20.21 Summary (1 of 2) • Trade unions and collective bargaining dominated for most of 20th century • Since 1979 union membership has declined as has collective bargaining • Managers have sought other forms of employee involvement

  23. Slide 20.22 Summary (2 of 2) • Employment legislation shapes the rules that govern employee relationships • There are seven categories of consent that illustrate variations in the level and type of collective employee involvement • Individual employee involvement initiatives are direct

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