Tuesday, October 8, 2019

Introduction to employee relations

Employee relations has given a new meaning for industrial relations to describe the relationship between employers and employees (CIPD, 2019). Industrial relations are covering only a small portion of the employment relationship spectrum when comparing to employee relations. Employee relations will mainly cover what’s happening between management, trade unions, and officials while enabling collective agreements. It will also address collective bargaining and conflict resolution between the parties. This wider definition of employee engagement also identifies the move away from collectivism to individualism, in the ways how the employees relate to their employers (Armstrong, 2014).

There are debates and differences of view as to the meaning of both terms, employee relations, and industrial relations. Some people argue that there are recognizable differences among them, that there are substantive differences that rationalize the use and maintenance of each term, that there are substantive differences that justify the use and maintenance of each term. Whereas others argue that the concepts and phenomena outlined are interchangeable in all intents and purposes (Leat, 2007). However, Blyton and Turnbull, (2004) explain a different argument on employee relations and industrial relations to say that there is no hard and fast distinction between the two and the only difference is that tendency for each to use based on subjects that focus on different boundaries. The context of employee relations changes over time giving different outcomes and behaviors but the purpose of employee relations is to set some rules, regulations, and agreements which will regulate (Gennard and Judge, 2005).

Armstrong (2014) further explains that employee relations are strongly connected with the employment relationship and the psychological contract. This may include various methods implemented by the employers to deal with their employees either in collective mode through trade unions or separate employees individually. Due to growing demands on helping line managers to create trust-based relationships with employees, employee relations had been identified to be focusing on both individual and collective relationships in an organization (CIPD, 2019). According to Gennard and Judge (2005), priority over individual or collective relationship is decided based on management’s view of what is best for the organization or its employee relations.  Good employee relationship on both individual and collective level is important for better business results, better health, and well-being of the employees (CIPD, 2019).

Farnham (1997) describes that employee relations will come into action anywhere when work is exchanged for some sort of payment between an employer and an employee in marketplaces. Hence the core of employee relations is either paid employment or the pay-work bargain between the two parties. It is mainly concerned with the interaction between the parties who are involved with the employment relationship. Mainly three parties are involved as primary, secondary and territory. The primary parties are the once who would pay for the work and offer work in the labor market recognized as employers and employees. Further, can identify the parties who act on behalf of the primary parties such as management or trade unions, and who are also doing the negotiation and regulation of employment contracts to be the secondary party.  The third-party will be the state agencies or institutions like the European Union (EU) who will be trying to facilitate the connection between employers and employees, and employers and unions. Their main role would be to ensure stable employee relations or to facilitate a “floor” of standards that everyone will need to follow in order to make sure no one should fall below. However, it is mainly the primary and secondary parties’ interaction that will result in good employee relations practices (Farnham, 1997).

Modern classification about the employee relations talk about both individual and collective workplace relationships but it always shows the increasing individualization of the employment relationship due to the increase of individual rights and decay of trade union and its effect on employees (CIPD, 2019). According to Blyton and Turnbull, (2004), around seven-out-of-ten of the UK employees were not attached to a trade union at the time. Organizations are currently more reliant on individual employees to achieve their targets, so employers have given more attention from collective to individual relationships (CIPD, 2019).

In the 1990s-2000s, human resource management (HRM) dominated the management of employment relations. For some people, this was part of a new, all-embracing approach to employment relations. For others, HRM drove a wedge through the subject matter of employment relations that required rebuttal, as HRM was viewed to undermine the value of the core unit of past employment relations, the trade unions (Frege and Kelly, 2013). Employment relations is the study of regulating the employment relationship between employer and employee, both collectively and individually, and deciding substantive and procedural problems at the industrial, organizational and workplace levels (Rose, 2004).

References

Armstrong, M. (2014). Armstrong's handbook of human resource management practice. 13th ed. London: Kogan Page, p.403.

Blyton, P. and Turnbull, P. (2004). The dynamics of employee relations. 3rd ed. Hampshire: Palgrave Macmillan, pp.8-9.

Chartered Institute of Personnel and Development 2019, 16 May 2019, London: Employee relations: an introduction [Online], Available at:https://www.cipd.co.uk/knowledge/fundamentals/relations/employees/factsheet#6053 [Accessed on 04 October 2019].

Farnham, D. (1997). Employee relations in context. 2nd ed. London: Institute of Personnel Management, pp.3-4.

Frege, C. and Kelly, J. (2013). Comparative Employment Relations in the Global Economy. 1st ed. London: Routledge, p. 1 of chapter 6.

Gennard, J. and Judge, G. (2005). Employee relations. 4th ed. London: Chartered Institute of Personnel and Development, p.11

Leat, M. (2007). Exploring employee relations. 2nd ed. London: Routledge, p.4.

Rose, E. (2004). Employment relations. 2nd ed. London: Pearson Education, p.8.