1. Introduction to Employment Relations Flashcards
Explain the general characteristics of the employment relationship?
It involves 4 key elements - 1. a legal contract 2. and economic exchange 3. a power relationship 4. external actors influencing the relationship.
The legal contract - This contract is an offer of work by the employer, and an acceptance to work by the employee. It includes legal details such as wages and a genuine consent to the contract must be true with both parties.
The economic exchange - This can be defined as a ‘market exchange’ where the employee sells their labour capability to the employer in return for a salary.
A power relationship - When an employee enters the work organisation the day to day tasks are affected by who is in power, who makes the important decision and who is in control in the workplace.
External factors - Trade unions are an external factor who can work on the employees behalf in the employment relationship, while negotiating rates of pay and collective agreements. The government is an external factor as it sets minimum rates of pay and minimum leave entitlements such as maternity leave. Employer associations are an external actor who act on behalf of the organisations interests.
What are the key concepts such as managerial prerogative and the responsibilities of workers?
Managerial prerogative is the issue of power and control in the workplace. The manager has rights to decide things as they see fit such as hiring and firing, promotions, discipline and staffing the organisation.
Responsibilities of workers involves obeying reasonable instructions, working at a competent level, taking care and not harming the employers business interests.
Key actors in the employment relationship?
Key actors include the employer and the employee. External actors include trade unions who can negotiate on employees behalf, employee associations who look after the organisations interests. Law firms can be used to represent the parties in the negotiation process. The state is the various functions of the government that impact the employment relationship. It includes the legislature who is the making arm, the executive who is the ruling arm and the judiciary which settles disputes.
Distinguish the difference of perspectives on work of, industrial relations, employee relations and human resource management (HRM).
Industrial relations is usually involved with medium to large organisations. Usually employed by private companies, employer associations, unions and government agencies. It involves the negotiating of new agreements, negotiating to resolve industrial disputes and training people in the appropriate industrial relations skills.
Employee relations involves the relationship between employees and employers and primarily involves pay, working conditions and the work set out by managers.
Human resource management covers staffing, compensation and training performance management, these functions are designed to support the organisations objectives.
Define the three principal frames of reference on the employment relationship?
The unitarist approach involves the one source of authority and that the organisation is the focus. There is no need for unions as the organisation has a common interest. Problems including conflict are dealt with internally and with no need for external intervention.
The pluralist approach involves having different views and sources of authority such as unions. There is difference in interest and some people will gain while others lose out. If conflict occurs external actors will intervene such as unions or government organisations. The analogy that the unitarist approach is like a football team, in contrast the pluralist approach is the football game, with two opposing teams, playing with a set of rules and refereed by a third party.
Radicalism approach believes that conflict is inevitable until the causes are rectified. The rules are biased in favour of capital, as opposed to labor.
Discuss whether industrial relations and HRM can be integrated in an employment relations approach to the workplace?
The integration of IR and HRM in an Employment Relations approach to the workplace is a feasible option in the case of large business. They both have different ideologies associated with each other. The two ideologies can coexist and can be quite complimentary if they lead to a well-managed company. There usually isnt a need for these to coexist in a small business where IR issues rarely exist.
