Importance Of Employee Relations And Development Of Policies And Procedures
Role of Industrial Relations Policy in Achieving Organization’s Strategy
Part A
- What is your understanding of employee relations?
Employee relation can be defined as the effort of an organization to manage relationships between the employers and the employees.
- Which area of the business is responsible for managing employee relations?
The Human resource department is responsible for managing employee relations
- Name two key reasons why an organisation should develop good working relationships with all its employees?
- To ensure effective relationship between the managers and the employees so that conflict can be avoided.
- To avoid excessive employee attrition
- What are the benefits to a business of having good employee relations?
- Increased productivity
- Higher employee retention rates
- Enhanced motivation and loyalty of the employees towards the organization
- Less absenteeism
- Increased revenue of the company
- Who are the internal and external stakeholders that are interested or involved in employee relations issues?
Internal stakeholders: employees, managers, investors, boards of directors
External stakeholders: Government, consumers, investors, suppliers
- Name the key legislation that relates to employee relations.
Employment law is a part of civil law. The key legislation that relate to employee relation includes Fair Work Act 2009.
- Detail 5 key points in the above legislation and how they can be applied in the workplace.
- Employees should be provided with equal opportunities.
- No discrimination
- N oppression against the employees
- Enables fairness at work
- enables flexible workingarrangements
- What can be some of the symptoms be of a poor employee relations environment?
- Excessive employee retention
- Lack of work satisfaction
- Frequent workplace conflict
Part B
Recently 7-Eleven was in the news due to its poor employee relations practices. Research and identify the key problems in this case study.
- What did 7-Eleven do wrong?
7 Eleven unethically made the employees work for a lower amount of remuneration and deported or terminated employee if they complained.
- What legislation did 7 Eleven Breach. List any other non-complaint breaches?
The organization breached The Fair work regulation 2009.
Apart from unethical act towards the employees, the company also denied to pay its franchises.
- What was the consequences to the business
High employee attrition, loss of revenue due to lawsuit and decreased consumer base due to negative publicity were the consequences.
- What was the consequences to the employees
The work life balance of the employees got adversely impacted. Besides that they were also suffering from lack o job satisfaction.
- How could 7-Eleven have avoided the situation?
The company should have abide by the rules of the fair work act in order to avoid the consequences.
- What lessons can other businesses learn from the 7-Eleven case?
It is highly crucial for the organizations to abide by the fair work law in order to maintain effective employee relation and avoid negative consequences.
Task 2: Develop employee and industrial relations plans and policies
Proposal for employee relations strategy
Respected Sir,
It is high time for the company to deal effective employee relation strategy to help the company meet its full potential by cultivating positive staff relationships. The three strategy that the company should implemented by Next iT includes:
- Develop policies and procedure to ensure fair work place and effective employee relation.
- Establishing an internal communication tool in order to enhance the communication between employers and employees
- Each and every employee will be given training and education in order to understand their legal as well as ethical responsibilities towards the organization.
The skill that will be required by the management in order to comply with the strategy are enough knowledge about the employee relation issues and polices that an be implemented to eradicate the same.
Cost benefit analysis
Option |
Cost–benefit analysis |
Risk assessment plan |
||||||
Cost |
Benefit |
Outcome |
Associated risk/s |
Consequence |
Likelihood |
Risk level (monitor, low, medium, high, very-high) |
Risk control |
|
1. |
· Investment in meeting, email, phone call, massaging and other virtual communication procedures · Appoint liaison officer for effective communication |
· Prevent discrimination in decision making process · Effective and viable policies |
· Work satisfaction of the employees · Decrement in conflict and employee attrition |
· Technological fault · Employees may not abide by the policy |
· Police development may remain incomplete · The strategy will not be of any help |
Moderate |
Moderate |
· Developing strict measures in case the policies are not followed. |
2. |
· Invest in networking technology · Investing on User Interface devices · Inviting on cyber license |
· Regular and easier communication between the employees |
· Effective relationship between the employee and the employees |
Employees may use the process for excessive unofficial communication |
Loss of productivity and revenue |
Moderate |
Moderate |
Invigilating the system regularly |
3. |
Invest in training of the employees |
Employees will be able to understand how they are expected to act within the organization and what are the negative consequences of unethical |
No discrimination in the organization will take place |
Employees may not participate in the training program |
Loss of revenue and ineffective of the strategy |
Low |
Low |
Compulsory participation should be mentioned i the policies and procedures developed |
Part B: Next iT policy development
- Purpose
The purpose of the policy is to ensure that the Next iT organization is practicing fair business and all the employees are able to enjoy an environment friendly workplace that is free of discrimination ad unethical act.
- Scope
The scope of the report is that the policy is relevant to all the employers as well as employees of the Next iT system.
- Background
Next iT is facing several issues associated with employee relation that is affecting the overall progress of the company.
- Definitions
Consequences of Poor Employee Relations Practices
The term ’employee relations’ refers to a company’s efforts to manage relationships between employers and employees.
- Legislation
The company will abide by the legislation Fair Work act 2009 while developing the polices and procedures
Policy
- The company is liable of treating all the employees fairly, consistently and reasonably in maters associated with discipline, grievances and capabilities.
- Strict action will be taken against any employee who have practice discrimination on the basis of age, gender, race and sexual orientation.
- No favoritism should be performed by the employers.
- n, Managers need to allow all employees the opportunity to state their case when a disciplinary matter arises and ensure that all facts of the case have been thoroughly investigated prior to any disciplinary hearing.
- Both the employees and the employers needs to abide by the policies in order to avoid legal allegations
- The organization will deal wih the grievances expeditiously and fairly
- Grievances and the proceedings under this policy will be treated with the greatest degree of confidentiality possible.
- Employees will be protected from discrimination as well as retaliation in connection with exercising rights under the grievance policy.
Procedure
- All the employees are expected to maintain the standard of conduct. Any breach of good conduct will be subjected to disciplinary action.
- Where an issue of alleged gross misconduct has arisen, the employee should normally be suspended from work on pay pending the outcome of an investigation and any disciplinary hearing.
- Employee having any grievance must submit the grievance in writing to the immediate supervisor. The grievance must be submitted within 3 0days of the occurrence of the incident. The supervisor will respond to the grievance within 10 day of submission.
- In case the victim is not satisfied with the decision he or she can apply to the department head within 10 days of the report provided by the supervisor. Aboard meeting will be conducted ad the decision will be passed to the employee within 15 days following the date of meeting.
- In case the victim is not satisfied with the decision made by the director head, he or she can appeal to the President of the Company. The president of the company along with the group of reviewee will review the case . Within the following 30 days fowoing the recent of the grievance, the ultimate decision will be taken by the president of the company.
- Student Task 3: Implement employee relations policies and plans
Employee relations options: |
1. Enhancing the relationship between employees and employer |
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2. Empowering the employees |
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3. Educating employees about the importance of employee relation |
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Activity |
Timeline |
Description/tactics/rationale |
Resources/ |
Person responsible |
Informing the employees about the newly developed policies and procedures |
7/100/2018 |
Through email |
Through intranet |
The HR manager |
Educating the employees about the importance of employee relation |
8/10/2018 |
By conducting meetings |
Laptop |
The HR Personnel |
Entertaining any query of the employees regarding the newly developed policies and procedure |
9/10/2018 |
By conducting meetings |
Laptop |
The Hr and operational manager |
In case of any difference in opinion employees can raise the case to the higher authority |
11/7/2018 |
By conducting meeting |
Laptop |
The Hr and operational manager |
Employers will be trained so that they can handle team conflict effectively |
12/7/2018 |
Through both meeting and activities |
Not applicable |
The Hr and operational manager |
Employee relations options |
Associated |
Risk |
Risk consequence |
Risk level |
1. Enhancing the relationship between employees and employer |
Employees may not abide by the policies and procedure |
Moderate |
Conflict |
high |
2. Empowering the employees |
The management may not abide by the policies and procedures |
Low |
Misunderstanding |
High |
3. Educating employees about the importance of employee relation |
Employees may not attend the lessons |
Low |
Lack of knowledge about the policies and the procedure |
High |
ER option: |
Enhancing the relationship between employees and employer |
|||
Risk mitigation strategy or contingency plan: |
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On job training will be provided to the employee in the form of coaching |
ER option: |
Empowering the employees |
Risk mitigation strategy or contingency plan: |
|
Employees should be incorporated in all crucial meetings |
ER option: |
Educating employees about the importance of employee relation |
Risk mitigation strategy or contingency plan: |
|
In order to educate employees about the importance oof team bonding sessions will be provided where the attendance will be compulsory |
Training task |
Student group |
Objectives |
Required competencies |
Training methods |
Number of sessions |
Proposed timeframe |
Implementation of employee relations strategy |
HR supervisor (self) Operations Manager Business Development Manager Schedulers Site supervisors |
To support the implementation of employee relations strategy |
Respecting co-workers on the basis of race, gender, age and sexual orientation |
On job training will be provided to the employee in the form of coaching |
3-4 |
2 to 3 months |
Conflict management techniques and skills |
Site supervisors |
To develop conflict management techniques and skills |
Educating the employees about the law and regulation against asexual as well as sexual harassment |
Both induction as well as refresher training |
2-3 |
2 to 3 months |
Student Task 4: Train stakeholders and assess compliance
- Training plan template
Knowledge to be taught |
Method of training |
Expected outcome |
Duration of the training |
Respecting co-workers on the basis of race, gender, age and sexual orientation |
On job training will be provided to the employee in the form of coaching |
Bondage an collaboration between the employees will increase |
2 to 3 months |
Educating the employees about the law and regulation against asexual as well as sexual harassment |
Both induction as well as refresher training |
Employees will develop awareness about the policies and procedure available for than when it comes to work place harassment |
3 months |
Educating the employees about the importance of diversity within the organization |
On job training will be provided to the employee in the form of coaching |
Lower number of conflicts as well as employee attrition |
2 to 3 moths |
Teaching the employees the procedures that they needs to conduct in order to raise their concern associated with employee relation |
Through simulation exercise |
Bondage an collaboration between the employees will increase |
2 to 3 months |
- Monitoring and reviewing plan template
Description of output/ outcome/activity |
Measurement |
Baseline mark |
Target |
Data collection and analysis methods |
monitoring of the effectiveness of the training |
Generation of weekly performance report |
At least 0.5 percent improvement in each week |
5 percent performance improvement in each week |
By analysing the feedback given by the supervisors as well as employees |
Increased bonding between the employees and the employers |
Generation of weekly conflict report |
At least 1 percent improvement per week |
10 percent performance improvement in each week |
By analysing the feedback given by the supervisors as well as employees |
Increased bonding between the employees |
Generation of weekly conflict report |
At least 1 percent improvement per week |
10 percent performance improvement in each week |
By analysing the feedback given by the supervisors as well as employees |
Enhanced knowledge about the policies and procedures of the company |
By conducting a weekly meeting where the knowledge of the employees as well as employers will be assessed. |
At least 2 percent improvement per week. |
10 percent improvement at the end of the week |
By analysing the feedback given by the supervisors as well as employees |
Employee empowerment |
Employees should be incorporated in crucial decision making process by the organization. |
At least 1.5 percent improvement per week. |
15 percent improvement at the end of the week |
By analysing the feedback given by the supervisors as well as employees |
Employee friendly workplace ambience |
The number of conflicts and discriminatory act will be assessed per week |
At least 1.5 percent improvement per week. |
15 percent improvement at the end of the week |
By analysing the feedback given by the supervisors as well as employees |
High employee retention and loyalty towards the Next iT organization |
The number of employee attrition per month will be assessed |
At least 2 percent improvement per week |
15 percent improvement at the end of the week |
By analysing the feedback given by the supervisors as well as employees |
Task 5: Present report to your assessor
The purpose of this report is to identify as well as analyze the grievances that have been raised by the employee of Next IT. The current situation needs to be handled based on the grievance policy of the organization in order to reestablish an effective employee relation at the Next IT organization. First it is crucial to identify the chief issues that have been raised by the employees. The major issues associated with employee relation are as follows:
- Long working period: The employees of the mentioned organization are made to work more than 40 hours per week. However, according to the Safe Work AustraliaWorking Arrangements Policy, all the employees working a any Australian institution are liable of working up to 47 hours per week. For any extra effort, extra monitory provision needs to be provided to the employees. Employees are not able to consume meal or take minimum amount of rest due to excessive work pressure which in turn is affecting their work life balance.
- Low Wage: In spite of this prolonged after of office work, employees are not obtaining incentives which is further demotivating their aspiration to work for the organization. . No formal workplace agreement currently exists for staff and new starters are hired under a verbal agreement in relation to the relevant award.
Considering the fact these two issues have let to high dissatisfaction among the employees and they are planning for a strike, if the condition remain unattended highly adverse effect on the business of Next IT will take place. In order to prevent this, the management needs to follow the grievance policy of the organization. In the following paragraph, effective recommendation to eradicate the issue has been discussed.
Firstly, a meeting should be conducted with the employees where the higher management team including the HR manager will be present. In the meeting detailed discussion about the two mentioned issues will be conducted and the employees will be given possible solution that poses the potential to eradicate the issues. In order to compensate for high working hours , employees will b provided with incentives. Nor only that, a half yearly employee appraisal will also be conducted in order to enhance the basis salary of the employees. When it comes to the incentive, no employee will be forced to work overtime and hence it will be totality their decision weather to peruse overtime or not . in order to reduce the work stress of the employees, the break that every workers are entitled to, that is a 10-minute rest break in the morning and 30-minute meal break and up to an additional 30minute rest break for extended overtime shifts till the evening will be given to the employees. All these solutions will be presented to thee employees during the meeting. If the workers get satisfied with the solution, the case will be closed. In case of disagreement between the management and the employees, the employees will be asked to submit their grievances to the department head as per the grivabce policy an procedure.
References
Arcioni, E., 2015. Historical facts and constitutional adjudication: the case of the Australian constitutional preamble. Giornale di Storia Costituzionale, 30, pp.107.
Love, K., 2014. Centre for Employment and Labour Relations Law The University of Melbourne.
Quinlivan, J.A., Battikhi, Z. and Petersen, R.W., 2014. What factors impact upon a woman’s decision to undertake genetic cancer testing?. Frontiers in oncology, 3, p.325.