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MGT 674 Employee Relations Management


MGT 674 Employee Relations Management Ajaya Mishra Third Parties' perspective Creating and maintaining harmony at work Creating a framework of rules for fair ... – PowerPoint PPT presentation

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Title: MGT 674 Employee Relations Management

MGT 674 Employee Relations Management
Ajaya Mishra
About Faculty
  • Professional Experiences
  • 5 years in banking (MBL and Prudential)
  • 6 years in media (NTV and ATV)
  • 5 years in INGOs (UNDP/PLAN International)
  • 5 Years in Government (MOE / CTEVT)
  • Academics
  • M. Phil. in Management (Leadership)
  • MBA (E) in Human Resource Management
  • Leadership Program (ISB, Hyderabad)
  • International Board and Management Program

  • Research and Publications
  • M. Phil. Thesis on Understanding of Leadership
    and Factors Associate with Leadership Success,
    Nepalese Perspective.
  • Research paper presented in South Asian
    Management Forum on Leadership Styles and
    Employees Commitment to Organizational Change on
    Organizational Performance A Study in a Nepali
    Technology Based Organization.
  • Training Manual for Institutionalisation of
    Project Activities, Cooperative Management, Micro
    Credit and Enterprise Development.
  • Research Papers on Media industry, human resource
    development practices in public service
    organizations, etc.

Employee Relations
What is Employee Relations?
  • Employee relations refers to the
    interrelationships, both formal and informal
    between managers and those whom they manage.
  • How are we managed? how we would like to be
    managed? how and why conflicts arise? and how
    these can be resolved at work? These are the
    basic concern of employee relations.

Traditional and newer concerns
  • Traditional focus on actors like managers,
    employees, government, unions.
  • Until recently looked at person, unions,
    manufacturing, manual work.
  • Today, increasing interest in new actors
    customers, families, other interest groups - and
    in service sector, women and complexity of
    employment arrangements.
  • Widening focus has broadened scope of employee
    relations concerns

Why are Employee Relations worth studying?
  • For many people work is central in terms of time,
    money, identity, status, social relations
  • Most of us experience work as employees we have
    an employment relationship between ourselves
    and those who employ us, and an employment status
  • However many different interests at work
    (stakeholders) owners, shareholders,
    managers, employees, customers all exert
    pressure on employment relationship

  • For employers the labour question a central
  • Need labour to produce output
  • Need to ensure labour does what employers want
  • Need for control of labour costs and activities
    - and need for welfare
  • Tension control v commitment

The Employment Relationship
  • It follows that the employment relationship is
    a central feature of work but it is dynamic.
  • It is also complex has many dimensions and
    levels economic, legal, social, psychological
    and political
  • Shaped by historical experiences
  • Employment relationship now seen as core to the
    study of employee relations
  • Many employment relationships, many employee

The Employment Relationship
Parties to Relationship
  • Substance
  • Individual reward, job, career
  • Collective joint agreements
  • Operation
  • Level
  • Process
  • Style

Employment Relationship
  • Structure
  • Formal rules
  • Informal understandings

Source Kessler and Undy 1997
The Course and Evaluation
  • 12 Sessions direct contact on Tuesday.
  • Focus on case study analysis and presentation,
    Group discussion and Group work.
  • Evaluation Criteria
  • Class Participation and Attendance 10
  • Case Analysis and Presentation 15
  • Group Work (Brief Research work) 20
  • Mid Term Exam 15
  • Final Exam 40
  • Case analysis, group work and assignments should
    be submitted on time.
  • Absent during case presentation will be graded
    F in internal evaluation.

Article Critiquing Framework
  • Issues the author is trying to address
  • The Significance of the study or issue
  • Basic Assumptions
  • Theoretical Framework / Concepts
  • Methodology used
  • Contribution of the study
  • Practical and managerial implication of study
  • Conclusion of the study

Group Work
  • Method Qualitative
  • Framework
  • Understanding of Employee relations practices
  • Importance given to employee relations
  • Strategies adopted
  • Existence of union and their role
  • Collecting bargaining and grievances handling
  • Employees perspective Vs Organizational
  • Impact on Organizational performance and employee
  • Others specific, if any.

Employee Relations
Employee Relations Content, History, Analysis
  • Industrial Relations, Employee Relations and
    Employment Relations
  • IR traditionally concerned with the institutions
    of job regulation (Flanders and Clegg 1954) and
    the generation of employment rules
  • Led to a focus on trade unions and collective
    bargaining CB pivot of industrial relations
  • High point of traditional IR in Britain 1970s
    collectivist, concern with reform of collective
    bargaining 55 of the workforce were trade
    union members, 75 covered by collective

Historical Perspectives
  • Event-driven
  • Government change
  • Technological change
  • Demographic change
  • Management change
  • Changes in ownership and organisation
  • Unique events and conditions - linear
  • Structure-driven
  • Economic trends
  • Political trends
  • Changes to social institutions
  • Regular, patterned, repetitive - circular

Historical Perspectives
  • In practice history reveals patterns of both
    change and continuity
  • Change may be abrupt but may still be affected by
  • Short-term and long-term change
  • Significance in employee relations for how
    history is experienced, how it shapes the present
    often casts a long shadow
  • History in culture stories, rituals, rules
  • Employee relations today the outcome of past
    struggles defeats, victories
  • Importance of history in custom practice

Traditional Concerns of IR
  • Theoretical origins of industrial
    relations/employee relations focused on order and
    stability within a developed system
  • Influence of US writers, particularly Dunlop
  • Such a system in Britain and other western
    economies based on collective bargaining seen
    as democratic and most effective form of
  • Copied by many other countries
  • Outputs of the system earnings, productivity
    and minimising of conflict

Industrial Relations
  • IR is concerned with the systems, rules and
    procedures used by unions and employers to
    determine the reward for effort and other
    conditions of employment, to protect the
    interests of the employed and their employers and
    to regulate the way in which employers treat
    their employees.
  • K. Aswathappa

Coverage of IR
  • Collective bargaining
  • Role of management, unions, government
  • Machinery for resolution of industrial disputes
  • Individual grievances and disciplinary policies
  • practices.
  • Labor legislation
  • Industrial relations training.

John Dunlop and an Industrial Relations System
yers Managerial Reg Pay and Social Managers Coll
ective Conditions Legal Trade Unions Bargaining I
nc Productivity Political Employees Legal
Reg. Conflict Techno Customers CP Less
Conflict Logical Shareholders Feedback
Shared Ideology
IR to ER
  • Employee relations is more comprehensive and
    includes all aspects of HRM where employees are
    dealt with collectively.
  • It covers
  • Participative management
  • Employee welfare
  • Employee development
  • Employee remuneration, safety, welfare, etc.

Challenges to the system - crisis and
  • Post 1979 Thatcherism
  • Public policy lack of support for old
    adversarial IR system, trade unions, failure of
    collective bargaining
  • Moves to regulate IR through legal means
    restrictive labour law to curb the power of
    trade unions
  • Re-establishment of managerial prerogative
  • Re-regulation of industrial relations against a
    backdrop of high unemployment and weakened TU
    bargaining power

Is talk of a system still useful?
  • Can we still talk about national systems?
  • Often more diversity within as between countries
    (Marchington 1995)
  • Argued that if we can still talk about a system
    it is now organisation-based Purcell (1989)
  • Greater diversity in employee relations as
    managers have sought to re-regulate employment
    and employment relationships

Changing Focus Managerial agenda
  • Today management-employee relations in Britain
    more about involvement, engagement, participation
    and partnership rather than collective bargaining
    and conflict resolution
  • Employee involvement and high performance work
    systems, employee engagement.
  • The role of management choice in shaping employee
    relations and employee relations strategy

Employment Relations and HRM
  • HRM and the individualisation of employment
  • Focus on the individual worker and relationship
    with management
  • Mainstream HRM concern with involvement and
    commitment and relationship to business
    performance (Guest et al. 2000)
  • Business-model of HR dominant

And Now.
  • Increased concern with both individual and
    collective aspects of employment
  • Re-focusing on how the employment relationship is
  • Theoretically, this marks a return to a focus on
    power and authority relations in employment

Main Parties Engaged in ER
Individual Employees
Employer Employee Relations
Employers Association Representative
Trade Union Representative
Courts and tribunes
Different Perspectives of Employee Relations
Managers perspective
  • Creating and maintaining employee motivation
  • Obtaining commitment from the workforce
  • Establishing mutually beneficial channels of
  • Achieving high level of efficiency

  • Negotiating terms and conditions of employment
  • Sharing decision making with employees
  • Engaging in power struggle with trade unions

Trade unions perspective
  • Collective bargaining about terms and conditions
    of employment
  • Representing individuals in conflict with
  • Improving abilities of employees to influence
    events in the workplace
  • Regulating relations with trade unions.

Individual employees perspective
  • Improve their conditions of employment
  • Voice and grievances
  • Exchange views and ideas of management
  • Share in decision making

Third Parties' perspective
  • Creating and maintaining harmony at work
  • Creating a framework of rules for fair conduct in
  • Establishing a peace making arrangements
  • Achieving a prosperous society with justice

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