Employee Relations
Interaction of management (including owners) and
unions in an organization can come in various forms and this refers to labour
relations. A trade union is an organization of workers. The trade union,
through its leadership bargains with the employers on behalf of union members
and negotiates labor contracts with employees.
Its leadership bargains with the employers or on
behalf of union members and negotiates labor contracts with employers. This may
include the negotiation of wages, work rules, complaint procedures, rules
governing hiring, firing, and promotion of workers, benefits, workplace safety,
and policies. An agreement negotiated by the union leaders is binding on the rank-and-file
members and the employer and in some cases on other non-members. These
organizations may comprise individual workers, professionals, past workers, or
the unemployed. Most commonly, these organizations are “maintaining or
improving the conditions of employment of their employees”.
The employment relationship in Sri Lanka is based on
the Employer-Employee relationship, which over the years has gained protection
under the law. The common Law concept of the contract is based on a Master and
servant relationship under Roman-Dutch Law, which was later influenced by the
English Law concepts. The influence of English Law was seen mostly in the area
of the rights and liabilities of the Master and servant relationship regarding
third parties.
Trade unions are registered as per regulations laid down in the Trade Union Ordinance in 1935 and its successive amendments and some other rules and regulations. Managers in both union and non-union environments need to understand how unions operate and be thoroughly familiar with the law governing labor relations.
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| Labour Relation Process |
Government regulation of labor relations in Sri Lanka
Sri Lanka has approximately 1000 trade unions. Out of
these about 20 have more than 100,000 members. Out of these trade unions 750
are in government departments where labor laws do not apply. Only 30 percent of
the country’s workforce is organized in trade unions. Trade unions are
registered as per regulations laid down in the relevant Act of 1935 through
Trade Union Ordinance and its successive amendments. Seven members are adequate
to form a TU in Sri Lanka.
There have been several disputes in recent times
regarding the recognition of unions. The Employer’s Federation of Ceylon has always
maintained that the majority of the problems arise from a lack of appreciation
of what recognition constitutes. Legal recognition flows from the Trade Unions
Ordinance. As far as individual disputes are concerned, although some employers
may not recognize the right of the unions there is no difficulty for the union
to raise the matter in the Labor Department or the Labor Tribunal if it is
prepared.
Reason for employees unionize
The majority of both private and public sector
organizations in Sri Lanka have trade unions and a higher percentage of the
workforce has some form of trade union membership.
most of the employees join TUs to safeguard themselves against victimization from the management, including
the immediate supervisor, fellow employees and the union itself for not being
in the membership.
The majority of research on why employees unionize comes
from studies of blue-collar employees. These studies generally concluded that
employees unionize as a result of economic need, because of general
dissatisfaction with managerial practices and/ or as a way to fulfill social
and status needs.
- Economic needs
Dissatisfaction with wages, benefits, and working
conditions appears to be the strongest reason to join a union. This point is
continuously supported by research studies that find that both union members
and non-members have their highest expectations of union performance regarding
the “bread and butter” issues of collective bargaining. It is these traditional
issues of wages and benefits on which unions are built.
- Dissatisfaction with management
Employees may seek unionization when they perceive
that managerial practices regarding promotion, transfer, shift assignment, or
other job-related policies are administered in an unfair or biased manner. Employees
cite favoritism shown by managers as a major reason for joining unions. This is
particularly true when the favoritism concerns the HR areas of discipline,
promotion, and wage increases. The failure of employers to allow employees to
participate in decision-making affecting their welfare may encourage union membership.
- Social and status concerns
Employees whose needs for recognition and social
affiliation are being frustrated may join unions as a means of satisfying these
needs. Through their unions, they have an opportunity to fraternize with other employees
who have similar desires, interests, problems, and grips.
Impact of unionizations on managers
The unionization of employees can affect managers in
several ways. Perhaps most significant is the effect it can have on the
prerogative exercised by management in making decisions about employees.
Further unionization restricts the freedom of management to formulate Human
Resource policy unilaterally and can challenge the authority of supervisors.
A union contract may require certain terms (such as
seniority) for promotion, which means the manager has less control over the
employees he or she can promote.
| Figure 2 The collective bargaining process |
Conclusion
Employees join unions mainly due
to economic needs, dissatisfaction with managers, and social and status
concerns. Unions make an impact on management privileges and supervisory
authority. The collective bargaining process includes preparation, development of
strategies, conducting negotiations, and formalizing agreements. Bargaining
hints support to effectiveness of the bargaining process.
References
- Chandra, R. S. (2006). The Employment Relationship. Sri Lanka: International Labor Organization.
- Human Resource Management. (2011). M. Libraries.
- Labour, D. o. (2023, 12 02). Trade Unions Ordinance. Retrieved from Department of Labour: https://labourdept.gov.lk/index.php?option=com_content&id=65&Itemid=59&lang=en
- Prabhashini Wijewantha, P. G. (2011). Reasons for Unionization and Politicization of Trade Unions in Sri Lanka. Kelaniya Journal of Human Resource, 1-20.
Effective employee relations are the cornerstone of a harmonious workplace. HR's role in cultivating open communication, addressing concerns, and fostering a positive work environment is crucial. By promoting fairness, resolving conflicts, and ensuring employee engagement, HR contributes to building a strong foundation for collaborative and productive relationships within the organization.
ReplyDeleteThis blog serves as a valuable resource for HR professionals, managers, and anyone interested in creating a workplace where employees thrive. It prompts reflection on the role each of us plays in shaping the employee experience and the overall success of the organization.
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