3.6.5 Making human resource decisions: improving employer-employee relations

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    3.6.5 Making human resource decisions: improving employer-employee relations

    Influences on the extent and methods of employee involvement in decision making

    Trade Unions = these are organisations of workers that seek through collective bargaining with employers

     

    Why employees join trade unions:

    • Protect and improve the real incomes of their members
    • Provide or improve job security
    • Protect workers against unfair dismissal and other issues relating to employment legislation
    • Lobby for better working conditions
    • Offer a range of other work-related services including support for people claiming compensation for injuries sustained in a job

     

    How to manage and improve employer-employee communications and relations

    Methods to resolve industrial disputes:

    • Arbitration – a third party comes in to help settle a dispute
      • Non binding: the outcome can either be accepted if rejected by the parties involved
      • Binding: the decision made is legally binding
      • Pendulum: awards in favour of one party over another
    • Conciliation – where a third person come in to help the parties involved reach an amicable solution amongst themselves (advisory)
    • Employment tribunal – informal courts where disputes are legally settled between the employee and the employer (trade unions help with this)

    Value of good employer-employee relations

    Advantages of a good employee-employer relationship to the employee:

    • Communication is better and clearer
    • Change is easier to adapt to as the employees understand the need for it
    • More motivated workforce – happier place to work
    • Employees feel more comfortable and relaxed
    • Innovative and more effective problem solving
    • Employees feel more involved and part of the team

     

    Advantages of a good employee-employer relationship to the employer:

    • More motivated employees so they’ll work harder and produce more
    • Organisations grow quicker as employees are happy and more motivated – they will have an increased labour productivity
    • Change is easier to implement as employees understand the need
    • Happier employees means lower labour turnover
    • Decision making is more efficient
    • Organisations become more competitive
    • Objectives will be easier to meet as the workforce is more coordinated

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