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University of Wales

Employee Relation

Loetta Corette Paul

Student ID# 20582

Date due: 21st January, 2013

Word Count:

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It is very important that every company or organization before they implements its employee relation strategy that they must first inform or communicate with its employees. The organization must ensure according to Fitzwater (1999) that they follow four p’s which are: prepare, provide, are participate and practice. In addition, employers need to address employee’s voice, performance, and motivation in determining what strategies to employ. These are very important tools that would discuss throughout this assignment. The companies have adopted the unitary philosophy of employee relations which is the view held by management that they are the one who should direct and control the workforce to achieve economic and growth objectives Armstrong (2010). As seen with the restructuring that occurred in both companies where there was a decline in the industry and management sought ways of ensuring that their objectives which was to maintain profitability and remain competitive without thought to employees which as a result workers suffered . One of the first strategies that both Airframe and Jetco used was that of partnership with union representation. Partnership according to Armstrong (2008) is where the organization involves employees in drawing up and implementing of organizational goals. One of the aims of partnership strategy is to cultivate and sustain an optimistic, dynamic, supportive and trusting climate of employee relations. These are some characteristics which the senior managers at Airframes and Jetco found to be important in developing in the employment relationship. However, based on what Armstrong concluded, the organization ignored the key facets of the partnership and only focuses on their goals and objectives. Fitzwater (1999) suggested that before a company or organization implements its employee relation strategy, it must first set an expectancy of change. Therefore, the organization should first incorporating the four P’s which are prepare their employees for the change that will be happening by actively get feedback from employees, provide employees with support for the introduction of the strategies/objectives, participate employers need to be actively engaged with employees so that employees can see or be aware that their interest is being taken into consideration and practice the art of communication. Fitzwater (1999) went further by saying that effective management starts with communication. When employees are informed they are more likely to make informed decision. As the companies began restructuring in the mid-1990s and 2001-2 there was attempt by management to develop partnership which was an attempt to construct new cooperative social relations in order to secure union and employee acceptance of the processes of the change. The key values of partnership as put forward by Roscow and Casnerlotto (1998) cited in Armstrong (2008) includes mutual trust and respect, join vision for the future and the means of achieving it, continuous exchange of information, recognition of control –role of collective bargaining and involved decision making. These key values were not being met by the employees and employers. Hence the need to have collective bargaining sessions with the introduction of single-site council (joint consultation) which was made of up 2

senior management and union representatives. These joint consultation should enable managers and employee representatives to meet on a regular basis in order to exchange views, to make good use of members knowledge and expertise and to deal with matters of common interest that are not the subject of collective bargaining. In order for joint consultation to work employee and management representatives should be properly briefed and trained. Armstrong (2008) defines collective bargaining as “an exchange relationship in which wage-work bargains take place between employers and employees through the agency of trade unions. The union who should have had a vested interest of employees concerns seemly had a challenge as the managers of the companies were seeking union and member approval to the new workplace agendas of rapid organizational change. Regardless, the employee’s voice that is employee involvement and participation is vital to the success and survival of any company or business. Armstrong (2006) states that involvement means that management allows employees to discuss with it issues that affect them but that management retains the right to manage. Marchington et.al (1992) cited in Leat (2001 pg 319) identify that employee involvement indicates the range of managerially inspired, designed and initiated processes at the level the firm which are intended to improve communications with employees, to generate greater commitment and enhance employee contribution to the organization. According to Armstrong the purpose of employee voice are to voice their individual discontent with management, expression of collective organization, contribute to management decision making and demonstration of mutuality and cooperative relations. He further stated that employee voice can be demonstrated through the following means: joint consultation, partnership schemes, European work councils and collective representation. Majority of the employees are not aware of the different strategies used by both companies and some are not even aware that there is joint consultation happening. Other employees do not trust the management nor the unions to work on their behalf and they have a noncommittal attitude. The companies need to reevaluate their strategies used so that employees will be familiar with the goals and objectives of the company and have a voice in what changes are made as they are the ones responsible for keeping the company productive and profitable.

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References Armstrong, M. (2009) Armstrong’s Handbook of Human Management Practice. EBSCO publishing: eBook Collection (EBSCOhost) Armstrong, M. (2008) Strategic Management. EBSCO publishing: eBook Collection (EBSCOhost) Campbell, D. J and Tom, C. (2005) Organizations and Business Environment EBSCO publishing: eBook Collection (EBSCOhost) Fitzwater, T. (1999) Employee Relations: The Manager’s Pocket Guide. HRD Press

Noe, R.A. et.al (2006) Human Resource Management: Gaining a Competitive Advantage 5th Ed New York: McGraw-Hill Irwin 4

Training and Development – its role in Achieving Organizational Success. www.centreofexcellence.ie/..../Training%20and%20developmentpdf. Training and Development: training and development.naukrihub.com Rees, G. and French, R. (2010) Leading, Managing and Developing People 3rd Ed. Published by the CIPD Maslow, A.H. Motivation and Personality. New York: Harper and Row Publishers, 1954

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