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Topic 2 Nature of Empt Rship BUSM1084 Sem 3 2011
Topic 2 Nature of Empt Rship BUSM1084 Sem 3 2011
Introduction
Overview of Chapter 1 of Balnave (2007) The nature of the employment relationship Conflict and the employment relationship Frames of reference (unitarist, pluralist, radical) Individualism and collectivism Industrial relations HRM Integration of IR and HRM Employment relations
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Introduction
Activity: are you a unitarist, pluralist, or radical? Note that Balnave is written from a pluralist orientation. Up to page 9 is presented as merely factual yet is really predicated on a pluralist orientation.
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Intro
Definition of employment relations: a bridging term that both integrates industrial relations and HRM, and broadens the boundaries of both disciplines to encompass a wider range of stakeholders and environmental factors (Balnave et al 2007, p. 497)
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Manifestations of conflict
Overt = open. Usually collective, organised. Inc strikes, lockouts, picketing, threats of plant closures, outsourcing of tasks Covert = not visible or public. Usually individual, unorganised. Includes: absenteeism, labour turnover, sabotage, restriction of work effort, strict disciplinary codes linked to threats of dismissal etc.
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Manifestations of conflict
The nature of the employment relationship is clearly reflected in these manifestations of conflict. Although employers hold the balance of power, employees bargain with their compliance, commitment and work effort. (p. 7) In Aust, overt conflict attracts more attention, but covert conflict is more costly to business. Overt conflict in decline.
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Manifestations of conflict Conflict displacement thesis: although industrial disputes involving collective work stoppages have declined, the decline cannot be equated per se with a reduction of industrial conflict. Rather, evidence from Australia and overseas suggests that without the ability to voice dissatisfaction through collective action, workers are more likely to resort to more covert methods, including absenteeism, low productivity and high labour turnover. (p. 9)
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Frames of reference
A frame of reference refers to a persons perspective on the world. It comprises the assumptions, values, beliefs and convictions we draw on to interpret and understand the way things are and why they happen. important tool for understanding why people behave the way they do in employment relations. Managers frames of reference shape the way they approach ER, workers frames influence how they respond to authority, govts frames shapes laws.
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Frame of reference
there is no one way of viewing the world of work. Rather, people with make judgements on the basis of their own assumptions and beliefs. (p. 10) Unitarist Pluralist Radical/Marxist Handout: Table, Frames of reference in employment relations Handout: Are you a unitarist, pluralist or radical?
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Industrial relations
Diverse views of its scope and content Always focused on institutions of job regulation; the role of trade unions, employers and the government, and the institutions they help create to regulate industrial conflict, such as collective bargaining and arbitration. Doubt over academic status: is it a discipline itself or a multi-disciplinary area?
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Industrial relations
Practical focus Generally pluralist in orientation Focus on rules Systems approach popular in IR.
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Systems approach to IR
Dunlop (1958). Derived from wider systems approach derived from structural functionalism then in vogue in American sociology ie actors, contexts, inputs, outputs central function of IR is the determination of workplace rules System comprises: actors, contexts, ideology, web of rules Actors interact in various contexts to produce rules that enable the system to keep functioning.
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Systems approach to IR
Criticisms Descriptive, not analytical Radicals criticise concept of shared ideology, preoccupation with stability, status quo, disregard for inequality. Some parties can seek to eliminate others Too deterministic, doesnt allow for actors strategic choices
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Challenges to traditional IR
Tendency to focus on industrial, unionised, male, manual workers ignores shift to services sector, non traditional employment Too prescriptive; no general theory Radical critique of pluralist assumption of shared power Lack of historical perspective
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HRM
Established in US in 1980s, slightly later in UK, Aust and Singapore Formerly known as personnel management Exact nature of HRM, and differences from PM contentious. More strategic than PM which was administrative and low status
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HRM
People a source of competitive advantage Connection between HR and org performance Integration and fit with business strategies Strong culture Common interests Cooperation, unitarist approach Soft and hard
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Limitations of HRM
Normative HRM criticised for its unitarist approach. HRM obscures reality of employment relationship Focus on enterprise level rather than societal, labour market Contradictions: 1.Individualism versus collectivism 2.Commitment versus flexibility 3.Strong culture versus adaptability Is it really new or old wine in new bottles? Deliberate, useful ambiguity?
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Key differences between them Some authors say they are incompatible
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HRM
Individual focus Non-unionised sectors
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Employment Relations According to Balnave: ER a legitimate bridging term that reflects the overlapping concerns of HRM and IR ER broadens the boundaries of both disciplines ER encompasses a wider range of stakeholders and environmental factors
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Conclusion
But ER still controversial. According to Stone, ER is merely a response by IR academics to the threat posed by rise of HRM in practice and theory. ie integrating industrial relations and HRM and presenting it as the emperor in new clothes(2007)
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Key questions
1. 2. 3. 4. 5. 6. Why is the employment relationship interdependent? What is managerial prerogative and how far should it extend? What is the difference between overt and covert forms of industrial conflict? Give some examples of each How do the unitarist, pluralist and radical frames of reference differ in their assumptions about the nature of the employment relationship? What is the systems approach and what are its strengths and weaknesses? How applicable is it to Singapore? What role does freedom and choice play in the employment relationship?
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