GGSR CHAPT 6

• Employee relations


  The basic premise of employee relations
• Industrial relations


  Synonymous and associated with collectives, such as mass movements of workers, trade unions and others
• Industrial relations


  Linked to "Industrial" work such as manufacturing sector, labor intensive work that are rendered full time
• Industrial relations


  Its tone were thought of to be more focused on "collective action" such as bargaining agreements
• Before the industrial revolution, work was inclined toward factory work
• Employee relations


  Revolves around a smaller subset of industries and goes beyond the collectives such as trade unions
• Employee relations


  Are no longer focused on factory work, manufacturing jobs, but now also includes the service sector/non union entities, part time and contractual workers
• The distinction emerged due to the changing industry environment over the past decades, before the industrial revolution, work was more inclined toward factory work, but today the factory idea has diminished also because of the onset of technology and evolution of labor demand from workers
• The changes within


  Had drastically altered the relations from the employees to labor unions against a more individualistic approach between the employer directly to the employees
• The difference from the industry jargon, type of work, and management focus

  Changed the locus from industrial towards the employees
• Employee relations


  Recently the term generally focuses on the restrictions and agreements between the industry to its workers in various levels of collectivization, as a union, or as an individual
• Employee relations


  Its main goal is to make rigid the interest of the employees towards the company's goals and aspirations
• The idea of industry and employees

  Has moved wherein the company and the workers is seen as a unitary entity, working toward a common goal compared to two separate entities in a constant state of bargaining between conflict and resolutions
• Psychological contract


  An intangible agreement between two parties binds the relationship between the employer and their employees
• The relationship within the corporate structure is guided and predicated on a set of practices and expectations between them
• Examples of norms in the psychological contract

  • Both parties observe fairness and transparency
  • Employees impact and value are recognized and rewarded by their employer in various forms, such as benefits, tenure, or career growth
  • Both employer and employee will work toward the shared goal of growth that will be beneficial for both parties based on shared values, mores, and vision
• The set norms between employer and employee relationship


  Provide the necessary environment for co creating value for the workplace environment
• Reciprocity

  Exists in this interaction where the employer extracts value from labor generated by its subjects and at the same time employees earn monetary compensation, security, and self fulfilment
• Once attained, this psychological contract

  Drives employee satisfaction and motivation, which in turn, creates more value to the organization through better work quality and output
• Specific conditions employees seek to elevate their sense of belongingness and self-actualization


  • Community building among peers
  • Tenure and security
  • Corporate mobility and promotions
  • Expansion of skill sets and training
  • Humane treatment
  • Work/life balance
  • Having their voices and suggestions heard by management
  • Impact and performance are duly rewarded
  • Flexibility on tasks processes
• Standards the industry sets on its employees

  • Proactive and willingness to learn
  • Has the necessary skills and competence to work on designated tasks
  • A team player willing to work with others
  • Focused on achieving the goals set by the organization
  • Has the initiative to work on tasks with minimal supervision
• The harmony between the employer and the employee must exert the best effort derive the best from work and tasks, thus elevating overall productivity and value across the organizational hierarchy
• Failure to meet at a compromise from both parties may mean additional opportunity and transactional cost
• It is in the best interest of employers and employees to arrive at the best compromise that will be fair and just for all
• Knowing the dynamics of psychological contract is essential in understanding the dynamics within organization
• Values that come into play in employer/employee dynamics

  • Justice
  • Fairness
  • Transparency
  • Trust
  • Dignity
  • Cooperation
• It should be assumed that employers and employees share these values by default toward common goals, but the diversity embedded in human relationships and collectives complicates the idea of the interaction
• Job satisfaction


  An instance where the dynamics is being studied and analyzed, it is measured through surveys regarding various aspects of their jobs and each employees' views about it
• Factors that may be asked in job satisfaction surveys


  • Power, influence, and freedom, regarding the tasks given
  • Self actualisation and fulfilment when doing their jobs
  • Respect among peers and working relationship in the workplace
  • Compensation
  • Recognition of the personal value
• Today's generation of workers is more selective regarding their job choices, that results in more resignations that contribute to a rising trend of high attrition among businesses
• The decline in overall satisfaction maybe linked to the changing workplace market that is more accessible and transparent than before
• Other than technology, the idea of changing jobs in short periods is also linked to the lack of growth within companies because of flatter organizational structures, widely popular in the 2000s onwards due to the rise of smaller and more agile start-up companies
• The emergence of "Gig Economy" one where more and young workers are pushed to pursue part-time jobs because of the lack of wages relative to demands of the current -day economy. They overstretch their time and energy, most workers lead to burnout that pushes them to leave their post and look for other posts
• Compliance


  Conjures ideas of submission and power. In the relationship between employer and employee, compliance has different forms and root sources of power
• Sources of power


  • Coercive-punishment
  • Remunerative- financial reward
  • Normative - symbolic awards tied to values held by the company
• Forms of involvement


  • Alternative - Negative or antagonistic
  • Calculative - Careful and thoughtful of choices
  • Moral- Positive and in accordance with norms set by the company
• Combinations of sources of power and forms of involvement

  • If a worker's involvement or reaction toward a task is alienating or negative, resulting in him or her being negligent, then it could be best for the company to be coercive toward the employee to correct the action or subdue the damage to be incurred
  • If the act is calculative to the point that it resulted in positive growth and development, then the company may be remunerative in their approach
  • If an employee acted positively, and is in line with the moral standards and examples by the organization, in this case, the individual maybe given awards of recognition that may bring prestige to the one to be rewarded
• Commitment


  Commitment is about involvement or moral bond between employer and employee and sharing an optimistic view that leads to a mutually beneficial relationship
• Commitment used to be defined (90's) as a belief leading to employees creating positive value and even beyond the expected output
• Two distinct forms of commitment

  • Attitudinal commitment - one that can be distinguished with the psychological bond of the employer and employee that is held by common norms and values
  • Behavioral commitment -one that can be described as "going beyond expectations" or loyalty to the company