Post on 21-Jan-2016
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Managing Conflict In The Workplace
Ian MejiaRedfield College2009
Syllabus
industrial conflict • definition and causes — wage demands, working conditions,
management policy, political goals and social issues • perspectives on conflict — unitary, pluralist, radical • types of industrial action – overt — lockouts, pickets, strikes, bans, work-to-rule – covert — absenteeism, sabotage, turnover, exclusion from
decision-making in business • roles of stakeholders in resolving disputes • dispute resolution processes — conciliation, arbitration, grievance
procedures, negotiation, mediation, common law action, business/division closure
• costs and benefits of industrial conflict – financial, personal, social, political, international
Causes of Industrial Conflict
Industrial Conflict is clash between employees and employers
The main causes of conflict are wages, hours of work, entitlements, managerial policy, physical working conditions, trade unionism, and other things.
Wage Disputes
Income for employees vs Profits for employers.
Basic source of conflict because workers want more money, and businesses want fewer expenses.
Causes for wage disputes include business profit, executive salary increases, inflation, differing salaries.
Hours of Work
Needs of the business vs Employee flexibility.
Changes to normal hours
Restrictions on holidays
Entitlements (leave, compensation, etc.) Mainly in business collapse. Employees
want the money that they are entitled to. Accumulated sick leave, and long service
leave for example.
Management Policy
Major changes to business structure or policy.
E.g changes to shifts, promotions, new awards or agreements, discipline policy etc.
Physical Working Conditions
Employers must provide safe working conditions.
Employees may feel their conditions are substandard or to uncomrfotable.
Trade Unionism
Decreased in recent years due to The Workplace Relations Act 1996
Ability to take legal action for unlawful industrial disruptions.
Perspectives on Conflict
Unitary Pluralist Radical
Unitary
A perspective on conflict that assumes both employers and employees have the same business vision and this work together to ensure smooth industrial relations pratices are carried out.
Unitary View of ER
If conflict does arise it is because of poor management or poor communications, or interference from third parties.
This is closely tied to HRM where the organisation is viewed in its entirety as ‘one’ without a fundamental conflict.
Pluralist A perspective that assumes conflict in the
workplace is inevitable because employers and employees want different things.
Pluralist View on Conflict
Argument for the need for employees to act together to overcome the position of power of the employer.
Loyalty should be towards the union, or fellow employees, than the business.
Conflict shold be resolved by an ‘independent’ or Government.
Radical A perspective on
conflict based on a difference in ideology. A rejection of all forms of entrepreneurship.
Radical View on Conflict
Conflict is caused by the class war in capitalist economies between workers and owners.
Change to the social structure and economic system is required.
3 Perspectives
Three very good quotes in your text book representing the three differing perspectives.
‘No wonder workers are nervous and edgy about their prospects. They’ve been downsized, contracted out and casualised.’
ACTU Secretary, Greg Combet
Pluralist
We [Govt.] don’t believe that at the first sign of trouble commissions should rush in. We fundamentally believe that the relationship between workers and managers is best run at the workplace level rather than mediated
between third parties.
Workplace Relations Minister, Tony Abott
Unitary
‘The Australian labour force has seen a polarisation between over and under employment culminating in a loss of job security for those at the lower end of this spectrum and consequently a weaker position in the
class power struggle - The Dole Army
Radical
Types of Industrial Action
Industrial action is when disputes cannot be resolved through negotiations.
Generally we can break industrial action into overt and covert action.
Overt Actions Obvious and visible
forms of industrial action. These include strikes,
pickets, work bans, and work to rule, by EMPLOYEES
And lockouts, transfers, and dismissal for EMPLOYERS
Strikes
Obvious and common industrial action. Disruption to business as well as the
community. Requires higher rates of union
membership or skilled workers Employers can now sue employees for
unlawful strike action
Pickets Protests outside workplaces to disrupt workers
and suppliers from entering or exiting the building.
May lead to significant loss of production.
Work Bans and Work To Rule
Refusal to do duties not specifically outlined in the employment contract. E.g. overtime or other duties.
Work to Rule is similar wherein workers do only what is specified in the employment contract.
Overt Actions by EmployERS
Lockouts
- Employers actually lock the workers out leaving workers with no income.
- Quite an extreme measure
Transfer and Dismissal
Moving workers to other departments or locations. Reducing the power of employees by separating workers responsible for conflict.
Dismissing workers who do not comply with their conditions of employment
Covert Forms on Industrial Action
Absenteeism
‘Chuckin a sickie.’ obvious sign of worker dissatisfation.
Turning up late or leaving early Effective indicator of effective employment
relations.
Sabotage and Accidents
Damaging equipment, stealing, disrupting work process, and wasting time.
Carelessness can lead to accidents
Turnover Rates
The number of employees permanently leaving a workplace who need replacing.
Worker dissatisfaction, unmotivation, or lack of rewards.
Covert Action by EmployERS
Exclusion of workers from decision making Reduction of entitlements and ‘perks.’ Rostering someone out or reducing hours.
The Role of Stakeholders
Resolving disputes has traditionally been characterised by nions and employer associations battling for power.
Recent years has seen a move towards dispute resolution at the workplace level.
Employees and Employers
Many disputes do not need the union to intervene.
It is costly to both parties involved Significance and importance of the formal
grievance procedure to reduce productivity loss and assist in dispute resolution.
Unions and Employer Associations
Role of unions is decreasing Work Choices introduced a ‘bargaining period’ in
between contracts. Industrial action must not occur outside this time period.
Unions and Employer Associations are only required if the dispute heads to conciliation or arbitration at an industrial tribunal level.
Government Organisations
AIRC – Australian Industrial Relations Commission.
Anti Discrimination Board Courts
The Process of Dispute Resolution
When disputes cannot be solved at a workplace level, or if grievance procedures fail.
Negotiation CA’s and Awards normally will be
negotiated through unions and employers. AWA’s are at an individual level.
Mediation When both parties cannot
agree on a resolution mediation may be a likely alternative
Mediation involves inviting a third party to assist with the negotiations encouraging parties to find common ground and settle a dispute.
Suggestions are not binding.
Conciliation
Conciliation is mediation but the AIRC is the mediator. Disputing parties may be ordered to the Industrial tribunal.
Parties would rather resolve their dispute here than move to arbitration.
Arbitration
The AIRC will hear both sides and then provides a legally binding decision before a commissioner in small disputes, or a full bench for large disputes.
Costs and Benefits
Costs during a dispute, benefits may come as flow on effects.
Costs include, financial costs, loss of production, reduced job security, lost revenue, stress and loss of morale, divisions etc.
Benefits include, a better workplace and workplace practice. Fairer outcomes releasing possible tension, improved employment relations.