Employee Relations

J Cain Chapter 14 & extra notes 1

Employee Relations


Workplace Relations

The aim of workplace relations is to achieve an optimum working relationship between employees and management.Workplace/ Employee / Industrial Relations refers to the relationship between employees or their representatives and employers encompassing areas such as wages & conditions of employment.


What is workplace relations?

• Good employee relations allows for maximum productivity, motivated and effective employees.


Forms of conflictStrikes – workers withdraw their labour.

Stop work meetings – employees meet during work time.

Work to rule – workers refuse to do any more than the bare minimum required in a job and follow every rule to the letter eg. lunch breaks, hours of work.


Boycotts – refusal to do something.

Picket lines – workers demonstrate outside premises, often preventing others from entering.


Participants in Australian Workplace Relations

employees Employers / employer associations

Trade unions

Employee relations

Fair Pay Australia

AIRC


Australian Industrial Relations Commission

An industrial court set up to arbitrate on workplace relations issues. Decisions are legally binding.Prior to 2007 the AIRC’s role was to;•Set federal awards•Settle industrial disputes•Hold National Wage Cases•Hear important test cases eg. leave entitlements•Ratify Enterprise Agreements.


Important terms & concepts

1) Award

2) Australian Workplace Agreement (AWA)

3) Enterprise Bargaining Agreement (EBA)


Changes to the Industrial Relations system – important dates

Pre 1991 – centralised system – high levels of industrial strikes & unrest. Decisions made by a central body. Emphasis on conflict ‘us vs. them’

1991 – 1996 – Restructure for greater flexibility in workplaces. Move from a centralised system to a more decentralised system. Decisions made at the workplace not a central body.


Move to enterprise bargaining – employees and employers in a workplace negotiate their own contract of employment, and award restructuring – employers and unions given the right to negotiate their own workplace agreement on site provided any wage increases or better conditions were linked to increases in productivity. Greater control and power in the workplace.Move away from National Wage Cases and the role of the AIRC was to check and scrutinise agreements.


Reform Act 1993 – Move towards use of agreements. Awards now a safety net minimum. Idea was to free up the system and provide greater flexibility.

Workplace Relations Act 1996 – move towards more flexibility and also AWAs were introduced.


Features of the Act

• AWAs were introduced

• Awards remained but limited in scope

• Role of AIRC downgraded

• Move to EBAs/ Collective Certified Agreements


Workplace Relations Amendment (WorkChoices) Act – The WorkChoices amendment further decentralised the employee relations system by;Establishing the Australian Fair Pay & Conditions standard – 5 minimum employment conditions.Increased reliance on AWAs and EBAsRemoval of the No Disadvantage TestEstablished the Australian Fair Pay ComissionReduced the role of the AIRCRestrictions on trade unions, exempt businesses of under 100 employees from unfair dismissal.


Fair Work Act 2008 – the Labor government introduced legislation. Fair Work Australia was established as the main body to provide independent advice, information and assistance for employees and employers.

The aim of the Act is to;

a)Strengthen the safety net of minimum pay & conditions

b)Abolish AWAs and restore collective bargaining.

c)Restore protection against unfair dismissal.

d) Created Fair Work Ombudsman


Assessment of workplace relations

Useful indicators include;• Levels of employee participation in decision making• Degree of consultation• Communication channels within the workplace• Productivity levels• Staff morale levels• Incidences of strikes and other industrial action.


Centralised vs. Decentralised Employee Relations System

Centralised Decentralised


HR Manager - skills

Communication & interpersonal skills

Negotiation

Team building

Planning & leadership skills

Knowledge of workplace relations laws

Problem solving skills

Decision making skills

Employee Relations

Documents

Transcript of Employee Relations