Emmanuel Deo Borgonia BSBA- FM 2

BM-GGSR – GOOD GOVERNANCE AND SOCIAL RESPONSIBILITY

ASYNCHRONOUS ACTIVITY NO. 5 – EMPLOYEE AND INDUSTRY RELATIONS

INSTRUCTIONS:

1. Research on the following:

a. Employee relations vs Industry relations – Employee relations is concerned with preventing

and resolving problems involving individuals which arise out of or affect work situations.
Industry relations examines the relationship between labor (employees) and management (the
employer), as well as the governments, institutions, and organizations that directly or indirectly
regulate the industrial relations system.

b. Psychological contract and its purpose - The term 'psychological contract' refers to individuals'
expectations, beliefs, ambitions and obligations, as perceived by the employer and the worker.
Psychological contracts allow the employee to see their value and role within the business. It also
helps both sides avoid creating unrealistic expectations of one another. And it allows for
“amending” the terms of the contract if needed, which is done through regular communication.

c. Compliance vs Commitment on work - Compliance means one is doing something because

they have to, for fear of some negative result. For example, I need to participate in class so that I
won’t get failing grades. Commitment means doing something because one believes that what
one is doing is the right thing to do. For example, I need to sacrifice my sleep so that I can finish
this research.