Chapter 6 - Employee Relations

Question 1

How is employee relations linked to business objectives and strategy? (3)

Answer 1

• to achieve optimal working relations its vital employee relations are positive
  harmonious relationship is created through use of smooth and effective employee relations strategies (actions)
• positive working environment = functional (departmental) objectives met, so organisation can meet overall bus objectives, eg. increased bus competitiveness or profit maximisation

Question 2

What is the role of trade unions? (4) - stakeholders in operating environment

Answer 2

• represent employees, aim at getting best deal for employees
• come up with the agreement
• put a log of claims to employer
• suggest employees go on strike if they don’t get what they want

Question 3

What is the role of employer associations? (3) - stakeholders in operating environment

Answer 3

• take care of employers
• keep members informed of legislative changes
• assist members in negotiating workplace agreements consistent with legislation

Question 4

What is the role of peak union bodies? (3) - stakeholders in macro environment

Answer 4

• Unions are affiliated with state bodies, e.g. ACTU
• ACTU represents union movement in courts, tribunals and dealings with gov.
• assists in settlement of disputes (mainly involving large companies)

Question 5

what is the role of peak employer bodies? - stakeholders in macro environment

Answer 5

• perform similar role for employers that are performed by peak union bodies

Question 6

What are 3 key roles of governments in the employee relations process?

Answer 6

1. legislator - pass laws that provide legal framework for employee relations
2. employer - fed and state governments employ 1/3 of Australian workers
3. administrator of gov policies - implement legislation

Question 7

What are 3 strengths of the centralised approach?

Answer 7

• industrial disputes within individual bus’s can be reduced, because awards cover entire industries (equality)
• gov.’s have greater control over wage outcomes through policies, so can maintain management of the economy
• Faster to implement changes as it applies to the whole organisation, no negotiation

Question 8

What are 3 weaknesses of the centralised approach?

Answer 8

• less incentive for participative approach b/c decisions on wages and conditions not made within organisation
• doesn’t provide opportunities for individual businesses to provide improvements in employment conditions in return for productivity gains
• less flexible system, eg same wages and conditions applied to large organisation and small bus in country town

Question 9

What are 3 strengths of the decentralised system?

Answer 9

• flexibility to introduce employment conditions that take into account individual characteristics
• greater communication b/w employees and employers = greater cooperative spirit
• greater effort and contribution to productivity employment by employees can be rewarded

Question 10

what are 3 weaknesses of a decentralised system?

Answer 10

• likely to be inequality b/w wages of skilled and unskilled workers, because unskilled have less bargaining power
• gov. has less control over wages, management of economy more difficult
• more negotiation between employees and employer which takes time

Question 11

what are 3 similarities between centralised and decentralised systems?

Answer 11

• Both relate to the terms and conditions of employment
• Both approaches use awards
• Ten national employment standards reflected in both approaches

Question 12

What are 3 differences between centralised and decentralised systems?

Answer 12

• decentralised more flexible at work place level, centralised is less flexible because industry wide
• Although both use awards, centralised uses them primarily for establishing terms and conditions. Decentralised only uses them for a safety net
• Definitions

Question 13

What is POLC?

Answer 13

planning - defining objectives, determining strategies to achieve them (consultative or participative?, planning what needs to happen for agreement to be reached and implemented)
Organising - organising resource to achieve objectives (ensuring agreements are flexible enough to achieve goals)
Leading - motivating to achieve objectives
Controlling - taking corrective action to ensure objectives are achieved (implementing the agreement, performance indicators, informing supervisors)

Question 14

What are 3 of the 10 national employment standards?

Answer 14

• annual leave
• public holidays
• notice of termination and redundancy pay

Question 15

what must employer and employees do to enter negotiations in good faith? (3)

Answer 15

• attend and participate in meetings at reasonable times
• provided responses to proposals made by other bargaining reps, provide reasons if proposals aren’t accepted
• not engage in unfair conduct which undermines freedom of association or collective bargaining

Question 16

What will The Fair Work Commission ensure is included in the agreement?

Answer 16

• there is genuine evidence both employer and employees agree to terms of agreement
• agreement is consistent with the National Employment Standards
• no unlawful content in agreement

Question 17

What is the role of HR managers in a decentralised employee relations environment? (4)

Answer 17

• negotiating employee arrangements - with employees and their reps
• training other managers and supervisors - to facilitate the implementation of agreements within their areas
• implementing agreements
• dealing with disputes and conflict - that may arise during the life of an agreement

Question 18

What does the consultative or participative style result in? (2)

Answer 18

• develops harmonious working relations

- encourages employee innovation

Question 19

what does the autocratic style result in? (2)

Answer 19

• employee relations becomes a source of conflict

- suspicion between employees and management

Question 20

What are 3 management skills that will develop a positive employee relations culture?

Answer 20

• communication skills (builds trust, timely resolution of disputes)
• teamwork (level of engagement in employees)
• problem solving (unnecessary conflict avoided)

Question 21

what are 3 benefits of effective employee relations?

Answer 21

• better overall organisational performance (growth, sales, customer satisfaction
• fewer industrial disputes
• higher productivity

Question 22

What are the 2 major causes of conflict?

Answer 22

• Disputes relating to negotiation of awards and collective/enterprise agreements (employment conditions such as working hours or leave)
• Disputes relating to outside awards and collective/enterprise agreements (health and safety, job security issues such as downsizing, union issues)

Question 23

What is the Fair Work Commission and what is their role? (4)

Answer 23

• Government body
• Approves agreements reached at enterprise level
• ensures parties comply with the agreements
• help parties resolve workplace disputes through consolation, mediation, or if a resolution cant be reached arbitration

Question 24

How can a HR manager negotiate employment agreements? (2) (role of HR manager in decentralised)

Answer 24

• be aware of all relevant awards and legal requirements

- keep an open mind/keep the big picture in mind

Question 25

how can a HR manager train other managers and supervisors? (2) (role of HR manager in decentralised)

Answer 25

• inform them of the details of the agreement to ensure processes for achieving improvements are put in place
• monitor processes with performance indicators to track success

Question 26

how can a HR manager implement agreements? (2) (role of HR manager in decentralised)

Answer 26

• have responsibility for preparing and distributing legally required Fair Work info statement
• assist other managers in preparing performance indicators to measure improvements on the operation of the agreement

Question 27

What are 2 types of industrial action?

Answer 27

• Picket lines (protests that take place outside the workplace, generally associated with a strike)
• Work bans (refusal to work overtime, handle a product or even work with particular individuals)

Question 28

When will parties take common law action?

Answer 28

• last resort

- parties may make claims for damages if they feel they need to be compensated

Question 29

What do industry wide awards include? (4)

Answer 29

• ensures equality as all employees in industry or occupation are given the same conditions of employment
• Must abide by 10 National Employment Standards
• minimum wages and conditions for a whole industry or occupation
• gives certainty about minimum pay and working conditions

Question 30

What do collective agreements include? (3)

Answer 30

• Minimum wages and conditions for a group of employees within particular workplace
• Must abide by 10 National Employment Standards
• provides flexibility in employees conditions while still providing safety net

Question 31

What do individual agreements include? (4)

Answer 31

• sets minimum wages and conditions for single individual
• Must abide by 10 National Employment Standards
• Allows greater flexibility in creation of employment
• suits employees who are employed for a set period of time

Question 32

Who are the key stakeholders employee relations? (9)

Answer 32

• employers
• employees
• trade unions
• employer associations
• peak union bodies
• peak employer bodies
• the government

Question 33

What are 2 similarities between industry wide awards, collective agreements and an individual contract?

Answer 33

• All must abide by the 10 national employment standards

- All set minimum wages and conditions of employment

Question 34

What are 2 differences between industry wide awards, collective agreements and an individual contract?

Answer 34

• All set minimum wages and conditions of employment for different groups or individuals
• industry-wide awards arise from submissions made, which result in a legally binding agreement for the whole industry