7HR01: Strategic Employment Relations - Assesment Answer

Introduction

According to CIPD (2023a), The creation and maintenance of a positive working relationship between its people and the organisation are termed employee relations. The relationship which is created is due to the presence of the organisation’s culture. Another reason for such a relationship is how much the organisation is focused on solving the problems. The culture is formed by the professionals who are working in the organisation and is responsible for formulating the processes and policies of that organisation. The policies are applied in a practical and transparent way. The professionals are expected to have basic knowledge and understanding of labour law and legislative law so that the best outcome can be achieved for the organisation as well as for the individual. At the time of any conflict, it is important to resolve the issue in different ways. The issues can be resolved through negotiation and consultation. The dealing of such issues should be done internally involving the legal system needed. According to CIPD (2022a), Research was conducted in describing the relationship between managers and employees. It was stated that 87% of managers and employees had a very good or good relationship with each other and only 3% was a part of poor very relation. Employment relationships create obligations as well as rights between employees and managers. This report aims at analysing the practices of employee relations in the organisation and understanding how the short-term competitive pressures affect the working of the organisation. The study also includes analysing the effect on different parts of the economy, when the work nature is changed. This paper has provided different forms of voice and their applicability to different types of organisations. A critical analysis of how collective bargaining plays an important role is further described in this report. The impact of negotiation on the employee relation is also discussed in this report.

SECTION 1

The Practice of Employment Relations at the Organisation Level

The practices which are important to execute for establishing good employee relations are highlighted by CIPD, 2022b article, these practices consist of culture, people policies, employment law, legal system, dispute resolution, collective employment law, consultation and negotiation, voice and engagement and employee and worker relationships. The culture of an organisation defines the way how the employees will work. To implement this practice it was important to plan a culture which might suit the employees. The planning of such a culture should be aimed at attaining the organisation's goals and enhancing the reputation of the organisation. The purpose of people policies is to provide support to employee relations. The planning of such policies should be focusing on reducing the risk and the experiences of employees. There should be a positive effect on the working of the employees, the employees should feel safeguarded from the policies provided by the organisation. The application of employment law plays a crucial role in the working of the employees as the day-to-day tasks which are accomplished in an organisation, encounter a wide range of work situations and the handling of such situations should be done with due care. The employment law consists of various well-defined statements which can be applied to handle the problems in an organisation.

The aim of such practices is to establish both collective and individual relationships at the workplace. To create a positive environment in the organisation, it is important to maintain a high level of employee commitment, involvement and engagement. This will ensure improvement in the business as well as the well-being of the employees. It serves as a vehicle which provides benefits to employees in the areas of social security and labour law. The application of the rights and obligations is attained due to the presence of the practices which are exercised to maintain the employee's relationship.

Practices to Overcome Short-term Competitive Pressures on Employment

Sometimes employee relationships get affected by difficult situations, managing conflicts, changes and most importantly by the competitiveness in the industry. Major competitors in the industries create short-term pressure. To handle this pressure, the organisation must be aware of internal and external factors which might influence the working of an organisation. The planning of such actions is done by focusing on the strengths, weaknesses, opportunities and threats of the organisation. The organisation has to attract the best talent and retain them in the organisation. The human capacity of a business should be according to the requirement of the business. The capacity of the hired should match the position acquired. The practices which are to be executed for overcoming the short-term competitive pressure are as follows:

• Develop positive relationships between employers and employees.
• Onboarding should be considered a priority.
• Creation of such a communication line which is clear and open.
• Employers and employees should respect each other's work-life balance.
• Regular training and development opportunities should be provided to employees.
• Promote equality in the workplace.
• The workplace environment should be positive.
• Ensure the mental and emotional stability of the staff.
• At the time of conflict, the involvement of third-party to resolve the issue can be considered.
• Proper consideration of the employee's voices and their performance should be given. (CIPD, 2022a).

These are the practices which the professional should execute to ensure a positive relationship in an organization. The employee should be encouraged to be in the organisation by providing proper implementation of the policies and procedures which are discussed in this report.

The Changing Nature of Work in Different Parts of the Economy

The emergence of globalisation and the rise in the use of digital technologies have provided a major change in the practices of various sectors and industries. The changing nature of work in different parts of the economy has created many challenges and also opportunities for employment relations. New technologies will be able to provide millions of jobs to the people. The labour market will be impacted a lot because of these changes. Automation is the reason for various transformations. This transformation can have negative impacts as well as positive ones.Research stated that many jobs will be transformed because of the new technologies. It is predicted that the machines might replace the human but it is not possible. The machine will be dependent on the command of the human. The human will decide how everything needs to be organised. Meanwhile, the introduction of new technologies will enormously create opportunities for new jobs in the market. The success of automation depends on the three things about the task which are it should be predictive, should have a repetitive nature and should be discrete. Human labour describes as the attributes such as creativity, autonomy and sociability (Gonzalez Vazquez et al., 2019). The changes encourage the involvement of new technologies whereas the traditional way encourages the involvement of improving employment relations. In the traditional approach, the focus was on the relationship between the employees and the employers. This is how the whole change takes place.

SECTION 2

Review Evidence of External Sources of Advice That Contribute to People's Management Decisions

CIPD (2022d) described evidence-based practices involving making informed decisions that are based on the desired impact of the action. A decision-making approach that is based on evidence provides a method of thinking critically and combining it with the best available evidence. It enables decision-makers to make decisions based on critical thinking rather than personal experiences, anecdotes and wisdom, as these sources are not considered to be reliable on their own. It becomes crucial for professionals to adopt this approach as it creates a significant impact on the work life and well-being decisions of people in all kinds of organisations. CIPD (2022d) defines four sources that should be considered to create effective practices backed by evidence. A decision maker should identify the data based on these four sources, which are as followed:

1. In recent years, there is much scientific literature readily available on management. There are also many other topics in psychology and sociology that are applicable to the problems faced by the manager. A manager prior to taking a decision must look for the relevant trustworthiness literature in the context of their issues.
2. There is also a need to examine the organisational data as it tends to draw managers' attention towards the issues that require attention. This data can also be derived from the external customer or client or from the employees that are internal to the organisation. There is no comparison between the quantitative evidence such as turnover and level of productivity and qualitative evidence such as cultural perception and attitude.
3. To make an effective decision it is important to consider the expertise and judgement of practitioners, managers, consultants and business leaders. As the professional knowledge of professionals differs from the opinions of reflective outcomes.
4. The knowledge and information and values obtained from the stakeholders internal and external to the organisation should also be considered for analysing the evidence as it has a major consequence due to organisational decision.

Forms of Voice and Their Applicability to Different Organisations

CIPD (2023c)  describes employees' voices as a way through which people communicate their views and create influence over matters that affect their workings. It also contributes to developing and enhancing productivity, improvement of organisation and trust among the employees. The use of self-expression in the voice increases the satisfaction derived from the job, as it tends to develop the sense of being valued and create an inclusive working environment.

The various forms of voice are as followed

1. Self-expression: It tends to define how openly an employee can express their connectivity with the work. It describes the channel of autonomy and a method to establish a free identity. It is applicable in the organisation that focuses on creating an environment for employees that allow them to express their true self
2.  Building relationships: It is considered a building block of social bonds, as it contributes to establishing communication of concerns between the employees and management. It allows employees of the organisation to share their honest expressions.
3. The Well-being of employees: It involves describing emotions as a method of reducing stress among employees. It tends to develop understanding among employees that balances the decisions taken.  
4. Morality: Morality is described as a sense of right and wrong. It develops ethical values across the organisation and provides behavioural clarity that is aligned with the values of the organisation. It tends to avoid conflict of ideology.
5.  Power: It involves maintaining democracy and allowing participation in the decision-making process. It develops a sense of equal opportunity among workers in the organisation and encourages them to participate in organisational decisions.
6.  Services:  It involves management developing a channel in the organisation to involve all the workforce to provide service through representation.
7. Commodity: It includes something which can be traded in exchange for something. Technology creates an opportunity for people that provide them flexibility while remote working.

Informal Voice Contribution

Mowbray et al., (2014)  described the unofficial voice of an employee as a way to express ideas related to the workplace, through unofficial ways of communication. It enables organisations in building rapport which develops a comfortable environment for the employees. An informal voice also helps in overcoming barriers and building strong relationships that encourage collaboration. The improvement in collaboration of members of an organisation facilitates actions towards the achievement of organisational goals. It also helps in accelerating the confidence of staff and encourages them to voluntarily participate in the decision-making process and provide extra services. The informal voice doesn't signify the lack of professionalism, rather it creates an environment that avoids the usage of inappropriate tone and language. It tends to develop adaptability and reduces the tendency for miscommunication.

Direct Voice Contribution

CIPD (2022) describes Direct voice as it enables direct and active participation by employees in the discussion. It allows us to pre-plan the thoughts, ideas and thoughts before discussing them in meetings. This makes an employee feel more confident and articulated while interacting with members. It also allows the speaker to avoid mistakes and make a concise contribution. The direct voice also facilitates active contribution and ensures coordination among the staff members and the organisation's management. Direct voice provides a framework that facilitates systematic communication in the organisation. It also develops an authority and responsibility relationship and unity of command within the organisation, this facilitates cooperation among employees and enables coordinated work in the same direction that leads to achievement of goals. It tends to prevent misunderstandings and conflicts caused due to lack of awareness and preparedness of thoughts, ideas and plans.

SECTION 3

The Role of Collective Bargaining in Determining Pay and Other Contractual Issues in Organisations

Collective bargaining is an agreement between the employer and a union of employees. This agreement is formulated after an extensive negotiation process between the stated parties. The agreement is concerned with wages, terms and conditions of employment and working hours (SHRM, 2023). The union are formed to address the requirement of the employees in general. The use of collective bargaining gives a right of negotiation in the matter of payment of wages as well as other important issues. The union discuss the issues on behalf of its members. The agreement which is formed at the end, will be applicable to all the staff members. So in case, the union ‘have decided that there should be a rise of 5% in wages, the agreement would be formed after the discussion and negation which may contain the increased terms of wages. This altered agreement will be applicable to all. The changes will only be reflected on the agreement which both parties are in favour of changing it. The collective agreement is the base of every change. Another issue which is usually considered through this collective bargaining is the pay deduction. The union can perform strikes to claim an unlawful deduction of the pay.  The decision of exercising a strike should be taken after considering several impacts which might be caused to the employees as well as the organisation. It should be considered as a last resort and an attempt to resolve any problem should be through negotiation (CIPD, 2023b)

The Impact of Negotiations Between Employers and Employee Associations/trade Unions Aimed at Problem Resolution

Negotiation provides an agreed solution to any problem. It enables effective working relationships between employers and employees. The negotiation defines clearly the goals

which the trade union feel is beneficial for the staff. It is formulated to achieve mutual gains. At the time of any conflict, the solution is planned in such a which is effective for both parties. The approach which it follows is the win-win approach where the benefits are of both and none suffers. It is a platform where communication is established and the different points of view are shared with each other in the meeting.  At the time of conflict, it opens the scope of compromise between the two parties. The negotiation establishes a long-term relationship between the parties (CIPD, 2023b). Negotiations are more like giving a voice to the employees to stand for their statutory rights. A common channel is commenced due to negotiation. Negotiation ensures that the organisation is informing and consulting the employees at every step. It encourages collaboration, participation and involvement of the whole organisation in every matter which is important. It boosts the morale, motivation and commitment of the employees as the employees can communicate their problems to the organisation.

Conclusion

The report is dedicated to analysing the various aspects which shape the employment relations between employers and employees at the organisational level. The practices which are important to overcome short-term competitive pressure are also clearly mentioned in this report. It attempts to convey how professionals work with employees and trade unions to better the understanding and toward mutual stability between the two parties. The various types of voices and their role in different types of organisation is also classified in this report. The importance is given to the critical thinking and one should make decisions accordingly. An understanding is tried to create by explaining the meaning of collective bargaining and it is applied in an organisation for the betterment of both the parties. It defines various benefits which collective bargaining offers to the employees. By defining it, the improvement of working conditions, matters related to the termination of employment and redundancy terms are discussed in negotiation. The advantage of collective bargaining is that it includes all the staff members of the organisation and a collective decision can be made. The result of this negation is reflected in all the staff members. The report shows the impact of negotiation on the ability to solve the problem. It provides a platform where proper communication can be established between employees and employers. If any issue arises, the negotiation will be conducted and the win-win approach will be followed. This is on understanding how the different people of an organisation maintain their employment relationship to handle the various business situations. It depicts the role of a trade union in managing the entire work of an organisation. It stated how the organisation handles the conflicts of the employees. The report has made an attempt to depict the various factors which are involved in the creation of an organisation’s environment. The importance and impact of the different terms have been covered in this report. The analysis of various terms has been shown in the report.

Reference

CIPD, (2022a).7HRO1 assignment example. Retrieved from: https://cipdassignmenthelp.co.uk/7hr01-assignment-example/

CIPD,  (2022b). Employee relations: an introduction. Retrieved from https://www.cipd.org/uk/knowledge/factsheets/relations-employees-factsheet/    

CIPD, (2022c). Collective employee voice. Retrieved from https://www.cipd.org/globalassets/media/knowledge/knowledge-hub/reports/collective-employee-voice-report-july-2022_tcm18-110238.pdf

CIPD, (2022d). What is employee voice? Retrieved from: https://www.cipd.org/uk/knowledge/factsheets/voice-factsheet/#Whatis

CIPD, (2023a). Employees relations. Retrieved from https://www.cipd.org/uk/the-people-profession/the-profession-map/explore-the-profession-map/specialist-knowledge/employee-relations/

CIPD, (2023b). Working with trade unions. Retrieved from https://www.cipd.org/uk/knowledge/guides/working-trade-unions/#top-tips

CIPD, (2023c). Alternative forms of workplace voice. Retrieved from:  https://www.cipd.org/uk/knowledge/reports/alternative-forms-of-workplace-voice/

Gonzalez Vazquez, I., Milasi, S., Carretero Gomez, S., Napierala, J., Robledo Bottcher, N., Jonkers, K., ... & Vuorikari, R. (2019). The changing nature of work and skills in the digital age. https://dx.doi.org/10.2760/679150

Mowbray, P. K., Wilkinson, A. & Tse, H. H. M. (2014). An integrative review of employee voice: Identifying a common conceptualization and research agenda. 17(3). http://dx.doi.org/10.1111/ijmr.12045

SHRM, (2023). What is a collective bargaining agreement? Retrieved from https://www.shrm.org/resourcesandtools/tools-and-samples/hr-qa/pages/collectivebargainingagreement.aspx#:~:text=A%20collective%20bargaining%20agreement%20

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