Topic 4.4 Key Influences on HR Management

Question 1

14.1 stakeholders in hr process

Answer 1

Stakeholders: individual/group w common interest in/affected by business
—> increasingly operating at a variety of scales, developing global networks (response to globalization)

1. Governments:
Objectives: 
- workplace reform, higher productivity 
- international competitiveness 
- legislation compliance 
- higher living standards, employment 
—> 1. Parliament passes legislation 
—> 2. gov departments/agencies implement 
—> 3. Fair work commission helps make agreements, resolve disputes (determines annual safety net increases)

2. Employers:
Objectives: 
- increased profit 
- increased flexibility 
- minimize costs 
- expand 
- r & d 
- maximize customer service 

3. Employees:
Objectives: 
- better wages 
- working conditions 
- meaningful jobs 
- job security 
- participation in decisions

Question 2

14.1 employers, employees, employer associations (stakeholders)

Answer 2

Employers:
excercise control over employees, responsible for payment of wages, power to dismiss
—> responsibilities increasing: legislation encourages them to negotiate agreements, resolve disputes

Employees:
Workers under control of employer, (location, the way work is performed, extent to which supervision is excercised)
—> churning (moving between organizations) increasing after downsizing periods recently
—> work structure has changed (older workers, women , younger ppl struggle to obtain full time)

Employer associations:
- organizations that represent/assist employer groups. Respondents to awards covering employers
—> main role- acting on behalf of employers in collective bargaining
—> before industrial tribunals, courts, they:
- provide advice on awards, unfair dismissal, discrimination
- make submissions for safety net wage cases
- negotiate agreements
- lobby gov/ other org w employers,trade views
Eg. Acci (au chamber of commerce industry)

Question 3

14.1 trade unions

Answer 3

Organizations formed by employees in industry, trade, occupation to represent them (in efforts to improve wages, working conditions)

—> membership of trade unions has declined over last decade at a global level in response to many factors:

• collapse of centralized wage fixing system
• decline in manufacturing employment (traditionally heavily unionized) due to structural, technological change
• growth of service industries (poorly unionized)
• legislative chances reducing power, role of unions
• shift to less hazardous work in service sector
• globalization

Facts:

• highest level of membership in education & training (37%)
• 38% gov workers vs 9% private industry workers are members

Question 4

14.1 governments & gov organizations

Answer 4

Key roles: (in affecting industrial relations system)
▪️legislator
(pass laws in parliament, provide legal framework)
▪️employer
(fed, state government employ 1/3 of workers- pacesetters for responsible practices eg. Maternity leave)
▪️responsible economic manager
▪️administrator of gov policies on industrial relations
▪️representative of au in int area, foreign affairs, trade, international labor matters
—> foundation member of ilo
—> implements legislation based on treaties signed

Question 5

14.1 government & gov organizations (act, aim)

Answer 5

Fair work act 2009: all states except wa refer industrial relations powers to cth

• Aim of federal gov:
  —> create a national system to simplify industrial relations (reduce business costs- greater certainty, efficiency)

Legislative:
Industrial relations act (parliament passed legislation)

Executive:
Industrial relations regulations (made by governor general on advice of departments)

Judicial:
Case for breach of award conditions brought against employees (brought in tribunal/court)

• gov have attempted to increase power to regulate irs
• recent gov policy: focused on reducing power of industrial tribunals, encouraging decentralized workplace bargaining

Question 6

14.1 statutes

Answer 6

Laws made by federal & state parliaments
—>Provide framework for employment conditions (awards & agreements, dispute resolution)

Require employees to:

• maintain workers compensation insurance
• provide employees w superannuation, annual leave, long service leave
• ensure employment practices are non discriminatory
• give each new employee (covered by national industrial relations system) fair work info statement (info about employee rights)

Question 7

14.1 what is the dual industrial relations framework

Answer 7

Since Jan 2010, au shifted to dual industrial relations framework (most workers covered by fed award)
—> all private sector employees covered by federal industrial relations systems
—> public sector workers remain in state based system

• implemented under fair work act 2009, administered by fed gov

Safety net: (for employees covered by national workplace relations system)
- 122 modern awards
- nes
- national min wage order
—> (don’t replace enterprise award- made w specific enterprise)

Question 8

14.1 key elements of the framework

Answer 8

Framework elements:
▪️national framework for industrial relations (covering most private employees except wa)
▪️10 national employment standards (nes) developed to provide basic employee protection
▪️collective bargaining required by all parties
▪️modern awards for specific industries, occupations
▪️annual national wage case sets min wage
▪️unfair dismissal protection
▪️fair work commission administers fair work act 2009 (fair work ombudsman responsible for promoting supportive, productive workplace relations complying w laws)

Question 9

14.1 industrial tribunals & courts

Answer 9

Exist at fed & state levels to enforce laws established by gov
- fair work commission: ensures that bargaining process, action follows law

Primary functions of fair work commission:

• settling disputes (conciliation) (of employees covered by national workplace relations system)
• supervising making of agreements, awards, award simplification (reducing no of matters in award, inefficient work practices)
• heading appeals
• handling unfair dismissal cases

*panel of 7 senior members (expert panel) responsible for heading annual wage cases, setting minimum wages (for employee in system)

*breaches of fair work commission orders- fines up to $12 600 (individual workers)
$63 000 corporate entity

Question 10

14.1 federal court

Answer 10

Judicial court, judicial power (court power to interpret, apply laws) to determine disputes about existing rights, make decisions

• has a division that enforces industrial relations legislation by:
  ▪️administering court actions arising under au laws
  ▪️handles cases relating to industrial law
  ▪️interprets legislation
  ▪️can impose penalties for breach of award/order, discrimination, victimization
  ▪️approve unions separating

Other government agencies;
Workplace gender equality agency
Australian human rights commission