People and Organizations: Principles and Practice in Global Contexts, Lecture 4



Employee Relations



In every organization, there are concerns relating to management and employee relations, which involves pay-work bargain, dealing with employment practices, terms and conditions of employment issues, communicating with the employees. To work and solve the issues like this, employees approach with trade unions or individual way (Armstrong, 2009).

According to Armstrong (2009), employee relations is about relationships between management and trade unions, involving for collective agreements for bargaining disputes resolutions, dealing with issues on employment relationship and working environment.

Good employee relations can result in improved moral and committed employees, fever grievances, increased productivity, better controlled labor costs.

 

Dunlop, (1958) status that individual relation regarded as a system or web of rules and how employees behave at work, but as per (Kochan et al, 1986) there is a strategic level and workplace level when one always interacts, therefor employee relation is always in instability and conflicts are inevitable. Schilstra, (1998) criticized the Dunlop system, saying behavioral factors are virtually absent, rules and procedures concentrate as outputs and it doesn’t concentrates on conflict and change.

 Fox, (1966) status that there are two basic views expresses between management and trade unions,

  1. Unitary – which leads by management, see their function as directing and controlling employees to achieve objectives. It is an autocratic view.
  2. Pluralist – which is a balance of power between management and employees, have trust within the relationship, respect for each side. Refrain both sides from pushing their interest separately.

When we see these views from the Sri Lankan context, these views are clearly used. Most of the government sectors and its trade unions having the Unitary views and most privet sectors and its trade unions having Pluralist views.

The trade union of Government Medical Offices Association (GMOA) and the minister of Health is having disputes. GMOA is always requesting solutions for the problems they have and the Minister not listen to them and asking more work from GMOA’s. Both the parties always against each other, where poor sick people pay for their punishments. Currently, the GMOA started a petition against the minister of health due to these disputes.

Pluralist view is correctly used by MAS holdings to its 99,000 employees with management. In MAS, there are no trade unions as government sectors, but there is a special team, consist of employees from each department called “Pahesara” is act as the trade union. 

Its main objective is to give better benefits to the employees and to sort out issues with the management. Pehasara is conducting the first week of every month with the management, before the meeting a document is sent to every employee to be mentioned his/her issue and all of the issues will be summarized by the president of the committee to ask for solutions in the meeting. After the meeting, all employees get aware of the problem they had and the solution they got from the management by the meeting minutes.



References

Armstrong, M., 2009. Armstrong's Handbook of Human Resource Management Practice. 11th ed. London: Kogan Page.

Dunlop, 1958. Industrial Relations System. New York: Holt.

Fox, A., 1966. Industrial Sociology and Industrial Relations, Royal commission Resurch paper No3, London: MHSO.

Kochan, T. A. ,. K. H. a. M. R., 1986. The transformation of american industrial Relations. London: Macmillan.

Schilstra, K., 1998. Industrial Relations and Human Resource Management. Amsterdam: Erasmus Universiteit Rotterdam.



Comments

  1. Malitha Eranga FernandoSeptember 15, 2019 at 8:10 PM

    This comment has been removed by the author.

    ReplyDelete
  2. Malitha Eranga FernandoSeptember 15, 2019 at 8:12 PM

    Creative article with practical examples of your work environment & currently health sector issues. Nice flow.
    What about your management???
    Are they agree for every request of pahesara. Is there any good & bad experience, Plz share us.
    Thank you for sharing this article..

    ReplyDelete
    Replies
    1. AchalaSeptember 16, 2019 at 10:21 PM

      Thanks Malitha for your valuable comments. We practice Pehasara, which is a monthly committee meeting with management and employees. Most of the time the management agrees for over 90% of the requests made by team members. Yes mostly there are good situations and very few unhappiness issues. For an example, team members wears a overall and a scarf at work, but they request to have similar uniform for every member in the organization and the result is every one including the chairmen to trainee team member wears a same T shirt across entire MAS Holdings. From the request of team members, the Death donation for each immediate family member death ( mother/father/brother/sister/spouse/children/ grand parents/spouse parents) has been increased to Rs.75,000. Team members requested for extra skills to be improved and therefore every member has free of charge Handy craft, Cake making, Beauty culture classes. Every member can access Gym facility, Indore sports facilities (Boxing,TT,Fencing,Basket Ball, Kungfu,) and outdoor sports (Rugby, Cricket, Volleyball) with the help of Pehasara. all the mega events being plan according to Pehasara ( Musical show/ Carnival / Trips/ Children day/ Educational seminars/ Scholarships for talented children of the members)
      Issues arises when employees requesting for extra facilities on Medical insurance. Medical insurance is allowed to staff and above members only, but as per the request Pehasara made, a medical doctor is visiting the company each day and check the members free of charge and issue medicine free of charge too. If they need hospital facilities, that also given to all team members. and staff and above members facilitates with medical cover for total family members of them starting from Rs 75,000 per family member.

      Delete
  3. Anupama KankanamgeSeptember 16, 2019 at 8:38 AM

    If MAS has not a trade union is that meant the management is giving solutions to all the problems or the employees are happy with the management decisions?
    Good article Achala. You have shown both paths.How it impact having a trade union and not having , but having a strong team to discuss employee issues with the management. Good luck..

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    Replies
    1. AchalaSeptember 16, 2019 at 10:32 PM

      Thanks Anupama for valuable comments. Yes, most of the time its a win-win situation, employees in MAS Holdings getting more benefits even they were not expected. Management is always care for employees because we have a norm that management is benefited with good remuneration because of Team members happiness. From the chairmen Mr. Mahesh Amalean level its a belief and total management is align to this concept. Employees are happy to work for MAS Holdings.

      Delete
  4. JinendranSeptember 16, 2019 at 9:08 AM

    Good article Achala, not only in GMOA, many government sector trade unions in our country did not acting on behalf of the employees, their actions are to fulfill the requirements of the members in the union, for an example we can observe that in tea sector trade unions. In the end what we can assume not the trade unions but the employees are trying to save or protesting to bring benefits to their union members.

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    Replies
    1. AchalaSeptember 16, 2019 at 10:43 PM

      Thanks Jinendran for your valuable comments. What you said is correct, because these unions does not work for the benefit of the organization but only for the members benefits. Ministers look for their benefits and Union looking for their benefits. This is the Unitary view of the employee relations. Thanks.

      Delete
  5. Nethra LiyanageSeptember 17, 2019 at 12:09 AM

    Thank you for sharing your experiences in MAS culture .In our organization we have experienced the benefits won through a trade union which represent the entire team....good job Achala

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    Replies
    1. AchalaSeptember 17, 2019 at 1:56 AM

      Thanks Nethra for your valuable comments. Culture of the organization helps to build the link between employees and management well. Thanks.

      Delete
  6. Wasantha ArunasiriSeptember 20, 2019 at 5:42 PM

    good explain Achala. we can get knowledge about The Employee Relations.Thanks for sharing your knowledge..

    ReplyDelete
  7. Razi JalaldeenSeptember 20, 2019 at 9:10 PM

    Good job Achala, you have tried to relate the theory with current context of Sri Lanka. I agree with you with most of your arguments, but I believe Sri Lankan private sector seems to be believing unitary and the government sector seems to be believing pluralistic view.

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    Replies
    1. AchalaSeptember 20, 2019 at 9:54 PM

      Thank you sir for the valuable comments on this blog.Im agree with your comments too sir. Thanks .

      Delete
  8. Malintha GannileSeptember 24, 2019 at 8:24 AM

    Interesting article , nicely explained about Principles and Practice in Global Contexts, we can get the idea from this article. thanks for sharing this.

    ReplyDelete
    Replies
    1. AchalaSeptember 24, 2019 at 8:41 AM

      Thanks Malintha for valuable comments. Appreciate it.

      Delete
  9. NamilaOctober 2, 2019 at 12:21 AM

    "Pehasara is conducting the first week of every month with the management, before the meeting a document is sent to every employee to be mentioned his/her issue and all of the issues will be summarized by the president of the committee to ask for solutions in the meeting." So who will decide what are the main issues or not, Do they discuss every issues or important ones??

    ReplyDelete
    Replies
    1. AchalaOctober 9, 2019 at 3:38 PM

      Yes Namila, it is being decided by the committee members including the president. After that it is being summarized by the president to discuss at the management meeting. They discussed almost all the issues which they need a solution. If the problem is solved at the meeting date, it wont be discussed. Thanks Namila for your comments.

      Delete
  10. Isuru EkanayakeOctober 5, 2019 at 7:50 PM

    GMOA's Case is a good example to show the conflict of the leadership and the employee relationship.Both parties have equal responsibility to maintain the relationship.In MAS case its crucial to mainatin a healthy employee relationship since human resource is the most valuable assert in manufacturing industry.Good article .

    ReplyDelete
  11. Jehan RahimanOctober 5, 2019 at 9:40 PM

    According to my view, i believe that most of the private organisations are following unitary method and government organisations are pluralist. But there are some private companies which are being in pluralist view due to unethical trade unions.

    ReplyDelete
  12. Upendra BatagallaOctober 7, 2019 at 2:29 AM

    Good article Achala. It is interesting you have explained the Pehesara concept which is a new thing for us. Also GMOA case is a practical example for us and it is clear how to act accordingly. Thank you for sharing

    ReplyDelete
  13. PrasannaOctober 10, 2019 at 10:56 AM

    Interesting to read and agree with your statement. As you mentioned above trade union action in unitary way explains that a group of followers/ union members who simply carried out the leader's instructions without questioning. Most of trade union s are following the same approach in Sri Lankan context where 99% of the followers doesn't know the reason for the trade union activity and politics controls every thing. Thanks for sharing.

    ReplyDelete

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