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Transcript of Internal Employee Relations

Human Resource Management 10th Edition Chapter 13 INTERNAL EMPLOYEE RELATIONS

2008 by Prentice Hall


HRM in Action: Continuous Background Checking Not just for pre-employment any more Few employers are screening their employees on an ongoing basis People and events are ever-changing Examples: Financial devastation, marital collapse or a medical crisis can send a person with the cleanest record over the edge 2008 by Prentice Hall 13-2

Internal Employees Relations DefinedHuman resource activities associated with movement of employees within firm after they become organizational members 2008 by Prentice Hall 13-3

Internal Employees Relations Activities Promotion Transfer Demotion Resignation Discharge Layoff Retirement Discipline Disciplinary action 2008 by Prentice Hall 13-4

Employment at Will Unwritten contract created when employee agrees to work for employer No agreement as to how long parties expect employment to last Approximately 2 of every 3 U.S. workers depend almost entirely on continued goodwill of employer 2008 by Prentice Hall 13-5

Not Included Individuals with a contract for a specified time period - collective bargaining agreements between labor and management and teachers Whistleblowers

2008 by Prentice Hall


Exceptions to Employment-at-Will Doctrine Prohibiting terminations in violation of public policy Permitting employees to bring claims based on representations made in employment handbooks Permitting claims based on the commonlaw doctrine of good faith and fair dealing 2008 by Prentice Hall 13-7

How Employers Can Protect Themselves No statements suggesting job security or permanent employment Avoiding statements during job interviews, such as You can expect to hold this job as long as you want - Could be considered a contractual agreement A person should not be employed without a signed acknowledgment of the at-will disclaimer 2008 by Prentice Hall 13-8

How Employers Can Protect Themselves (Cont.) Clearly defining workers duties Providing good feedback on a regular basis Conducting realistic performance appraisals on a regular basis There is no law involving ethical considerations for employment-at-will 2008 by Prentice Hall 13-9

Discipline and Disciplinary Action Discipline - State of employee self-control and orderly conduct Disciplinary action -Invokes penalty against employee who fails to meet established standards 2008 by Prentice Hall 13-10

Effective Disciplinary Action Addresses employees wrongful behavior, not employee as a person Should not be applied haphazardly Not usually managements initial response to a problem Normally, there are more positive ways of convincing employees to adhere to company policies 2008 by Prentice Hall 13-11

The Disciplinary Action ProcessEXTERNAL ENVIRONMENT INTERNAL ENVIRONMENT Set Organizational Goals Establish Rules Communicate Rules to Employees Observe Performance Compare Performance with Rules

Take Appropriate Disciplinary Action 2008 by Prentice Hall 13-12

Disciplinary Action Word discipline comes from word disciple Translated from Latin, it means, to teach Intent of disciplinary action should be to ensure recipient sees disciplinary action as learning process 2008 by Prentice Hall 13-13

Approaches to Disciplinary Action Hot stove rule Progressive disciplinary action Disciplinary action without punishment 2008 by Prentice Hall 13-14

Hot Stove Rule Burns immediately Provides warning Gives consistent punishment Burns impersonally Problem - All situations are not the same 2008 by Prentice Hall 13-15

Progressive Disciplinary Action Ensure minimum penalty appropriate to offense is imposed Model developed in response to National Labor Relations Act (NLRA) of 1935 Involves answering series of questions about severity of offense

2008 by Prentice Hall


The Progressive Disciplinary ApproachImproper BehaviorYes

Does this violation warrant disciplinary actions?Yes


No Disciplinary Action

Does this violation warrant more than an oral warning?Yes


Oral Warning

Does this violation warrant more than a written warning?Yes


Written Warning

Does this violation warrant more than a suspension?Yes



Termination 2008 by Prentice Hall 13-17

Suggested Guidelines for Disciplinary ActionOffenses Requiring First, an Oral Warning; Second, a Written Warning; and Third, TerminationNegligence in the performance of duties Unauthorized absence from job Inefficiency in the performance of job

Offenses Requiring a Written Warning; and Then TerminationSleeping on the job Failure to report to work one of two days in a row without notification Negligent use of property

Offenses Requiring Immediate TerminationTheft Fighting on the job Falsifying time cards Failure to report to work three days in a row without notification 2008 by Prentice Hall 13-18

Disciplinary Action without Punishment Process of giving worker time off with pay to think about whether he or she wants to follow the rules and continue working for company Employee violates rule, manager issues oral reminder Repetition brings written reminder Third violation: Worker takes 1, 2 or 3 days off (with pay) to think about situation Important all rules explicitly stated in writing 2008 by Prentice Hall 13-19

Problems in Administration of Disciplinary Action Lack of training Fear The only one Guilt Loss of friendship Time loss Loss of temper Rationalization13-20

2008 by Prentice Hall

Disciplinary Action Advice Managers often avoid disciplinary action, even when it is in companys best interest Some managers believe that even attempting to terminate women and minorities is useless Proper time and place to administer disciplinary action Many supervisors may be too lenient early in disciplinary action process and too strict later 2008 by Prentice Hall 13-21

Grievance Handling Under Collective Bargaining Agreement Grievance - Employees dissatisfaction or feeling of personal injustice relating to employment Grievance procedure - Formal, systematic process that permits employees to express complaints without jeopardizing their jobs

2008 by Prentice Hall


Grievance Procedure Assists management in seeking out underlying causes of and solutions to grievances Virtually all labor agreements include some form of grievance procedure Normally well defined Usually restricted to violations of terms and conditions of agreement 2008 by Prentice Hall 13-23

General Principles for Effective Grievance Administration Grievances should be adjusted promptly. Procedures and forms used for airing grievances must be easy to utilize and well understood by employees and their supervisors. Direct and timely avenues of appeal from rulings of line supervision must exist 2008 by Prentice Hall 13-24

A Multiple-Step Grievance ProcedureArbitrator

President, Vice President for Labor Relations, etc.

To Impartial Third Party

International Representative, Local President, etc.

Plant Manager, Personnel Manager, etc.Grievance in Writing

Grievance Committee, Business Agent, etc.

First-Line SupervisorOral Presentation

Union Steward

AggrievedPrentice Hall Employee 2008 by


Arbitration Parties submit dispute to impartial third party for binding resolution Final step in most grievance procedures Union and company select arbitrator Courts will generally enforce arbitrators decision 2008 by Prentice Hall 13-26

Factors Arbitrator May Use to Evaluate Fairness of Managements Actions Nature of offense Due process and procedural correctness Double jeopardy Past record of grievant Length of service with company Knowledge of rules Warnings Lax enforcement of rules Discriminatory treatment 2008 by Prentice Hall 13-27

Formats of Written Warnings Statement of facts concerning offense Identification of rule that was violated Statement of what resulted or could have resulted because of violation Identification of any previous similar violations by same individual Statement of possible future consequences should violation occur again Signature and date 2008 by Prentice Hall 13-28

Example of a Written WarningDate: To: From: August 1, 2007 Judy Bandy Wayne Sanders


Written Warning

We are quite concerned because today you were thirty minutes late to work and offered no justification for this. According to our records, a similar offense occurred on July 25, 2007. At that time, you were informed that failure to report to work on time is unacceptable. I am, therefore, notifying you in writing that you must report to work on time. Please sign this form to indicate that you have read and understand this warning. Signing is not an indication of agreement.


Date 2008 by Prentice Hall 13-29

Grievance Handling in Union-free Organizations Most large and medium sized nonunion firms have established formal grievance procedures Means of resolving complaints varies 2008 by Prentice Hall 13-30

Trends & Innovations: Alternative Dispute Resolution Procedure where employee and company agree problems will be addressed by agreed upon means ahead of time Arbitration, mediation, mini-trials, and ombudspersons used Uses range from racial, gender, and age discrimination to unfair firings

2008 by Prentice Hall


Trends & Innovations: Alternative Dispute Resolution (Cont.) Presidential EO requires federal agencies to (1) promote greater use of mediation, arbitration, early neutral evaluation, agency ombudspersons,