Human resource management practice A substitute for trade unions - Dissertation Example

? HUMAN RESOURCE MANAGEMENT PRACTICE; A SUBSTITUTE FOR TRADE UNIONS Number] Executive Summary It is a hot debate in industrial relations academics that whether or not contemporary HRM practices have substituted trade unions. Most of the research studies show that the relationship between decline in trade unions and increase in HRM practices is just coincidental and this research study also found that if HRM practices have to play any role in declining existence and memberships in trade unions there is a need to follow soft HRM concepts. Besides, soft HRM (not hard HRM) which can cause a decline in trade union there are other factors as well such as unemployment and increase in part time and white collar jobs causing decline in trade unions. By using desk research based on a mixed research design where quantitative data is analyzed through qualitative methods of interpretation and induction this research study found that only soft HRM practices can be regarded as having a fair contribution in decreasing the role and influence of trade unions in organizations. In addition to this, the research study also analyzed how contemporary HRM practices have accommodated employees and how it caters for employees issues effectively enough to minimize the role of trade unions. The study also presented future scope of research in the same area while suggesting implications of the findings of this study for organizations. Contents 1.Introduction 3 1.1 Project Aims and Objectives 3 1.2 Project Approach 4 2.Literature Review 5 2.1 Introduction to Human Resource Management 5 2.2 Human Resource Management and Employee Relations 6 2.3 Hard and Soft Human Resource Management 7 2.4 Trade Unions and their Purpose 8 2.5 Trade Unions and Human Resource Management 8 2.5.1 Research on HRM replacing unionism 9 3.Critical Evaluation and Analysis of the Data 11 3.1 Decline in Trade Unions 11 3.2 HRM Practices 14 3.3 Factors that may have Caused Decline in Trade Unions 19 3.3.1 Trends in Unemployment and its possible Effects on Declining Trade Unions 20 3.3.2 Effects of Increase in Number of Females in Workforce and Increase in Part Time Jobs on Declining Trade Unions 22 4.Discussion 25 5.Conclusion 29 Bibliography 31 HUMAN RESOURCE MANAGEMENT PRACTICE; A SUBSTITUTE FOR TRADE UNIONS 1. Introduction Human resource management is a complete philosophy suggesting management of all personnel related issues in the light of vision of the organization and integrated with the organization’s strategy and policy (Pieper 1990). Traditionally, staff management is mainly targeted on tasks such as staffing, work design and rewarding however now the concept has been broadened to include in it personnel development and strategy specific actions. With this broad change where we talk about realizing the real potential of people and managing them in a way that they produce efficient results (Venter & Van der Waldt 2007) is it suitable to say that modern human resource management practice has substituted trade unions which were common a few years back to make the voice of laborers heard and acted. This research study, therefore, seeks to explore if human resource management practice has substituted trade unions or not. 1.1 Project Aims and Objectives As mentioned above research question guiding this research study asks has contemporary human resource management practice substituted trade unions. Having developed this research question, this research study seeks to attain following aims and objectives. To explore the role of modern human resource management in personnel management and development. To critically evaluate the role of trade unions in modern human resource management practice. To identify factors contributing to decline in trade unions if it is not modern HRM practices. 1.2 Project Approach This research study is primarily focused on secondary data and hence is categorized as desk research; Armstrong (2006, p. 53) defined desk research as “the assembly, collation and analysis of marketing information which is already published or in existence”. This means that research based on the data that has already been collected for some other purpose but is used in the study is called desk research. Out of the types of research designs defined by Creswell (2009) this research study uses a mixed design where both quantitative and qualitative designs are used to draw conclusions however the main emphasis is placed on qualitative design. Qualitative research design is defined by Strauss and Corbin (1990, p. 17) as “any kind of research that produces findings not arrived at by means of statistical procedures or other means of quantification” (p. 17); whereas, Thomas (2003) defined quantitative research design as a research methodology that is concerned with amounts, figures and measurements. This research study by using mixed design aims to take advantage of the benefits of both the designs while compensating for the disadvantages of each other. The research philosophy guiding this study is constructive interpretivist since this study is mainly following a qualitative stance which makes the analysis inductive, that is, analysis which is mainly focused on researcher’s interpretation of the socially constructed world (Blaxter, Hughes & Tight 2001). It is therefore concluded that project approach is qualitative however the inputs to make interpretations is provided by the quantitative findings. 2. Literature Review 2.1 Introduction to Human Resource Management Minbaeva (2005) as cited in Tan and Nasurdin (2011, p. 157) “viewed HRM practices a set of practices used by organization to manage human resources through facilitating the development of competencies that are firm specific, produce complex social relation and generate organization knowledge to sustain competitive advantage”. This definition of HRM seems quite different from what HRM practices were used to be in the past. Wasbeek (2004) while explaining the evolution of HRM elucidated that few years back when the concept of HRM was not developed laborers in jobs were only considered as ‘hands’ since the workers are hired only for physical labor and employers have no interest in their intellect or personality. This was the time when workers were not considered as asset or resources and the concept of human resource management was referred to as personnel administration or industrial / employee relations (Wasbeek 2004). Deb (2009) explained how HRM has evolved over a period of time confirming that HRM has a history of over a century. Deb (2009) further explained that in 1910s scientific management theory of Frederick W Taylor, known as Taylorism, initiated discussions on employees, their work and their management; being ‘rationale-oriented management theory’ it remained focus of attention among managers for several years. Then in 1920s and 30s concept of human relations management emerged when Hawthrone studies were conducted; 1950s and 60s was a period of behavioral science movement where central theme was HRM; 1960s was the period where personnel departments were started establishing in organizations to take care of human resource related issues (Deb 2009). 1970s and 80s make these efforts more refined by introducing several laws with regards to human resources in organizations therefore we can say that the concept of HRM was initiated in 1960s and 70s which took its recent shape after several decades of reformation (Deb 2009). Geet and Deshpande (2008) further explained that 1970s and 80s was the developmental period where value adding capabilities and skill management was the main target; the period from 1980 to 1995 was growth oriented and development of the human resource was the main focus of this era while the current era (1995 onwards) is proactive developmental era and is mainly concerned with overall development of human resources in an organization. With the refinement in the concept of HRM and the replacement of HRM with HRD (human resource development) which established major focus on employees, traditional personnel administration concepts and practices became obsolete. However, the question still remains that if this ‘development’ is good or not and if it is good why still there exists trade unions. This research is concerned with exploring if HRM practices have replaced the concept of trade unions or not; and if not, why? Are HRM/HRD practices not good enough or are there other reasons? 2.2 Human Resource Management and Employee Relations Employee relations is one of the key aspects in HRM and it looks after the functions related to employee contracts, responsibilities, roles and rights of employees and employee complaints (Strayer 2005). It guides the same aspects as shown by its name i.e. maintaining relationships with employees and doing everything to maintain and foster the relationship (Strayer 2005). Explaining HRM approach towards employee relations, Armstrong (2008) explains that HRM is responsible to induce a drive for commitment into employees while making them realize they are an important part of the organization so that they willingly contribute positively towards the organizational objectives. This will be fostered further by emphasizing on mutuality. Gennard and Judge (2005) while explaining the role of HRM in ER explains that if a HRM practitioner lacks ability for employee relations management, he/she will be a less effective HR manager. This shows that HRM and ER are closely tied; this research study is concerned with identifying the relationship of HRM and ER to the concept of trade unions. 2.3 Hard and Soft Human Resource Management These two are the most common models in HRM but they are opposite of each other while hard HRM focuses on strategic control and treat employees as resources, soft HRM is more concerned with commitment and treat employees as humans. Legge (1995) explained that soft HRM takes employees as valued assets of the organization and treats them as a source of competitive advantage whereas hard HRM is concerned with integrating concepts of HRM in a manner that they help organization achieve business goals. Truss et al (1997) explained that hard HRM focuses attention on theory X whereas soft HRM focuses on theory Y. Truss et al (1997) examined that due to wide differences in these two approaches is it possible for an organization to use both these models in integration; from their research they found that no organizations clearly follows any one of these models and though organizations focuses on commitment and conceptually targets to treat employees as humans (soft HRM concept) in reality where policies and strategic control is in action it is practically hard to stick to soft HRM and hence hard RM elements also come into action (Truss et al 1997). This study also looks into soft and hard HRM concepts and tries to relate it to the need of trade unions and which of the HRM versions may result in increase or decline in the number of trade unions. 2.4 Trade Unions and their Purpose Deb (2009) defined trade union as a representative body where employees are at the receiving end. Shmoop (2010, p. 1) defined labor union as “an organization established by and for workers to pursue collective workplace goals, benefits, work rules and power”. Clyde E. Dankert as cited in Sinha et al (2004, p. 1) defined trade union as “a continuing organization of employees established for the purpose of protecting or improvising, through collective action, the economic and social status of its members”. These definitions somewhat clarifies the purpose of trade unions; these unions are meant to protect employee rights and improve their economic and social status. Elaborating on the purpose of trade unions Anbuvelan (2005) stated that a trade union protects economic rights of its members through collective bargaining and keeps check and balance on employers and hence is a source of restriction on management. Farnham (2000) stated that trade unions have a purpose to take part in job regulation; the author quoted Flanders (1968, p. 42) that purpose of trade unions ‘is enabling workers to gain more control over their working lives’. 2.5 Trade Unions and Human Resource Management The concept of labor unions grew rapidly from 1930s till 1950s however from 1960s till present labor unions are shrinking (Shmoop 2010). Explaining the reasons for this decline in labor unions, Shmoop (2010) stated that disagreement among workers on the concept and type of labor union they should have and changes in federal labor law largely influence the existence of labor unions. If we relate the emergence of HRM practice with decline in labor unions a relationship can be determined as explained above the concept of HRM per se was initiated in 1960s and 70s and here too as explained by Shmoop (2010) labor unions started shrinking from 1960s. One probable clarification for this apparent relationship could be the fact that the concept of HRM has room for all employee related issues and modern HRM considers employee as a resource so there is but less probability trade unions require raising their voice as employers already recognize needs of employees. However, this is still questionable if contemporary human resource management practices are good for employees even if they take into account employees’ voice and how the concept of soft and hard HRM fits in the context of this discussion. Hence the question still remains if HRM have replaced trade unions or are there other reasons for the decline in the existence of labor unions. 2.5.1 Research on HRM replacing unionism There has been research on HRM replacing unionism however the findings have been mixed (Akorsu & Akorsu 2009). This is because authors and researchers have not even agreed on the influence HRM practices have on the employees where Delbridge and Whitfield (2001), Godard (2001) and de Menezes et al (2002) suggest HRM has positive influences on workers as these practices are in favor of workers while on the other hand authors such as Bailey et al (2001) and Forth and Millward (2004) suggest HRM enhances work burden and stress for the employees. Stewart and Garranhan (1995) also promoted the same idea that new HRM practices do not improve workers’ quality of life and made work more stressful. The researchers presenting the hard side of HRM where organizational goals are the main force guiding organizations’ decisions including HRM decisions emphasized the need to have trade unions to protect employee rights since they hold that modern HRM practices are not enough to support the workforce in all instances; for example the cases when organizational goals are given more importance over employees, role of labor unions become prominent. There are studies supporting this fact; Godard (2004) held that in a political economic system it is possible that employees and employers may work in an environment of mutual trust and cooperation but this trust in not long lasting and there are genuine reasons for not trusting the employers. This was also proposed by Guest (1995) when the author confirmed that it is impossible for a worker to be loyal to both the employer and the union. Then there is research on whether or not there exist a relationship between increase in HRM practices and decline in trade unions. There are research studies showing that HRM practices were introduced by the organizations as a strategy to replace trade unions as shown by the studies conducted by Fiorito et al (1987), Dundon (2002) and Gall (2002) however the question still remains that whether or not they eventually replaced the trade unions. Guest (1995) suggested that this apparent relationship is just coincidental and steady decline in trade unions is not because of the improving HRM practices. In another study, Moonilal (1998, p. 85) also doubted the relationship between trade unions decline and HRM practices as he stated “the question is whether this is the doing of management or caused by reluctance on the part of unions to break out of traditional cocoon of reactive protest”. In another study, Armstrong (1999) rejected the claim that trade unions decline is solely because of the improving HRM practices and mentioned that there are other reasons of decline in trade unions such as growth in service industry which is usually non-unionized as compared to manufacturing industry, increase in number of women in the workforce, increase in part time and white collar jobs and general influence of unemployment. In another study, Machin and Wood (2005) also concluded that there is no relationship between faster decline in trade unions and faster take up of HRM. 3. Critical Evaluation and Analysis of the Data From the literature presented above it can be said that decline in trade unions is not due to improved HRM practices and there are other factors as well contributing to the decline in trade unions. However, to conclude on that there must be some quantitative data to support the literature. For this there is a need to identify factors which can be used to build relationships. To identify factors and build relationships this section on critical evaluation is divided into three sub-sections. First sub-section presents quantitative data on the decline in trade unions mainly in prominent nations such as USA, UK and Australia. Second sub-section presents increase in HRM practices over decades; and third sub-section analyzes factors identified in the literature such as unemployment, women role in workforce and increase in white collar and part time jobs so that meaningful relationships can be built on how the decline in trade unions can be associated with any of these factors or with the increase in HRM practices. Next head named ‘discussion’ will offer a discussion on the same. Period selected for the study is to be kept constant to validate the findings therefore available data is used however for analysis purposes only a specified range in all of these factors is used. 3.1 Decline in Trade Unions Though it has been proved by many studies that trade union memberships has been declining from the past few decades however looking at the quantitative evidence will help identify the decline. Following table presents decline/increase in union membership in USA, UK and Australia from 1970 to 2003 (in thousands). Table I – Union Membership (in thousands) from year 1970-2003 (Source: Visser 2006) From the table presented above it can be established that trade union memberships may have increased initially however a sharp decline can be noticed especially when comparisons are made between data of year 1970 and that of the year 2003. Furthermore, Visser (2006) has also presented a solid comparison of trade union membership rates in 1993 and 2003 for 24 countries from which some significant comparisons are presented below; Table II – Trade Union Membership Rates 1993 and 2003 (Source: Visser 2006) This table also shows that there is a prominent decline in the rate of trade union membership in year 1993 in comparison with year 2003. Some graphical presentations showing decline in trade unions over the period of time are presented below. Figure I – Trade Union Membership Levels in UK from 1982 to 2010 (Source: Labor Force Survey) Considering the data from late 20th and early 21st century in the figure presented above it can be noted that trade union membership levels in UK has declined. Following graph presents trade union membership in US from 1930-2010 showing a decline in union membership in US too. Figure II - Trade Union Membership in US from 1930-2010 (online) These facts and figures presented above clarifies that there is a sharp decrease in trade unions in the past decades. 3.2 HRM Practices As explained in the literature section HRM practices have improved over a period of time. Based on the history of HRM presented by Deb (2009) and Geet and Deshpande (2008) following graph represents how HRM practices has flourished and refined decade by decade. Figure III – Improved HRM Practices over a Period of Time (Adapted from Deb 2009) The graph above shows that in 1910s the concept of scientific management theory was practiced by managers which remained in focus till 1940s and have started declining in the following years. Concept of human relations management was introduced in 1920s and has been in keen practice by 1950s having faced with a decline in the following years. Similarly, Hawthrone studies were conducted in 1930s and have deep impact on the history of HRM evolution; 1940s saw improvement in the ongoing HRM practices. In 1950s behavior science movement was initiated which is still in focus; 1960s and 1970s saw great improvements in HRM practices and with keen focus on resource management rather than on personnel administration HRM practices became prominent, HR laws became refined and several adverse personnel related practices were abandoned. 1990s was growth oriented period, 2000s saw human resource management conversion into human resource development and from then onwards it is proactive HRD practices. Hence it can be said that HRM practices have improved adequately year by year. This is the theory explaining improvement in HR practices. Workplace Employee Relations Survey (WERS) conducted and documented by van Wanrooy et al (2011) have taken actual opinions of employees and managers on several aspects of employee relations; few of them are shared here to see how HRM practices have improved in actual practice. HR managers play a vital role in maintaining employee relations; WERS by van Wanrooy et al (2011) compares the findings of survey conducted in 2004 with the findings of current survey (2011) to identify issues HR managers spent time on. Following presents the findings; Figure IV - Issues that Workplace HR Managers have spent time on (Source: van Wanrooy et al 2011, p. 12) Findings reveal that “Workplace managers were no less likely in 2011 than in 2004 to be spending time on recruitment or selection; Some issues were more commonly mentioned in the latest survey, however, with the increases being statistically significant for: employee consultation, and holiday entitlements” (van Wanrooy et al 2011, p. 12). On the other hand, there is evidence in Workplace Employee Relations Survey (2011) that decline in trade unions is only prominent in private sector where public sector represents the major chunk that recognizes trade unions as shown in the below figure; Figure V – Workplaces with a Union Presence (%) (Source: van Wanrooy et al 2011, p. 14) The WERS (2011) also depicts manager’s attitude towards unions where it is stated in the survey that “The percentage of workplace managers who were not in favour of union membership stayed unchanged between 2004 and 2011 at 17%. The percentage who agreed that they would rather consult directly with employees than with unions rose from 76% to 80%. In 2011, 24% agreed that unions help to find ways to improve workplace performance (no significant change from 22% in 2004)” (van Wanrooy et al 2011, p. 14) In addition to this, there is evidence in the survey that employees are quite happy and satisfied with their jobs and they are committed and loyal to their organizations. Figure VI – Employee’s Organizational Commitment (Source: van Wanrooy et al 2011, p. 19) Now when this positive side is looked at with respect to employee’s opinion about their managers; the picture shows a different side as shown in the figure below; Figure VII – Employees’ views of managers (%) (Source: van Wanrooy et al 2011, p. 21) These figures show a 50-50 response which means that half of the employees do not agree that their managers are sincere in attempting to understand employees’ views and they are not too satisfied with their involvement in decision making. Hence it can be concluded that decrease in number of trade unions in the recent past was mainly observed in private sector and this may not necessarily be attributed to good HRM practices as most of the employees do not show very satisfactory view of their managers. This can also be related to the concept of soft and hard HRM where it can be said that there is more emphasize on hard HRM practices and hence employees still feel a gap between them and their employers and this attitude is more prominent in public sector and this is the reason trade unions are more common in public than private sector. 3.3 Factors that may have Caused Decline in Trade Unions Apparently it seems that improvements in HRM practices have led to the decline in trade unions however HRM practices alone cannot be effective enough to bring decline in trade unions. Studies show that there are cases when trade unions are literally required to overcome the burden and stress caused by improved and refined HRM practices. Concept of hard HRM calls for trade unions so that the balance can be maintained and no employee will be exploited in the name of achieving organizations goals (Akorsu & Akorsu 2009). Then if it is not improved HRM practices that have brought decline in trade unions what other factors must have brought this decline. Armstrong (1999) suggested these factors to be general influence of unemployment, increase in number of women in the workforce and increase in part time and white collar jobs. Following presents the trends in each of these factors over the years to analyze if they can possibly have an influence on declining trade unions. 3.3.1 Trends in Unemployment and its possible Effects on Declining Trade Unions Comparing the changes in unemployment rates in UK and USA year by year it can be concluded that rates of unemployment in both UK and USA has remained fluctuating over the years. However in USA it has been high in 2008-2009 while has followed a downward trend in later years whereas in UK unemployment rate has followed a downward trend till 2005 but has kept on increasing in later years up till now. These trends are depicted in the graphs shown below. Figure VIII – Employment Rate in USA (1990-2013) (Source: U.S. Bureau of Labor Statistics) Figure IX – Employment Rate in UK (1980-2010) (Source: International Monetary Fund - 2011 World Economic Outlook) Now if we compare the decline in trade unions with increase in unemployment it can be concluded that the periods when memberships in trade unions were declining unemployment rate was also declining in UK i.e. periods from 1990s till early 2000 while unemployment rate in USA was increasing during the same period while memberships in trade unions were declining. Hence it cannot be established conclusively that increasing unemployment rate is one of the reasons of decreasing memberships in trade unions same as it cannot be concluded that improved HRM practices has replaced trade unions since there is a mixed evidence. 3.3.2 Effects of Increase in Number of Females in Workforce and Increase in Part Time Jobs on Declining Trade Unions It is evident from the literature and available data that women participation in the workforce has been increasing (Schaffner 2003; Fielden & Davidson 2010). For example graph presented below shows an increase in women’s share in the US workforce. Figure X – Women’s Share in US Workforce (Source: Current Population Survey, Bureau of Labor Statistics 2013) Similarly part time jobs have been increasing as compared to full time jobs as shown below in the graph presenting part time vs. full time jobs in UK. Figure XI - Full Time and Part Time Employment (Source: Office for National Statistics cited in Patterson 2012) Increasing number of females in the workforce and increasing number of part time jobs have been identified as two of the possible reasons for decline in trade unions (Armstrong 1999). Armstrong (1999) may have found increase in number of females as a factor declining trade unions because as highlighted by Williams and Adam-Smith (2010) that the trade unions used to be male dominant and men being the bread earner were much more focused in trade unions with no representation of females. Therefore Armstrong (1999) may have concluded that with increase in number of females in the workforce the concept of trade unions may have started declining. Now if the increase in female workers in the workforce is logically evaluated for it to be a reason for decline in trade unions there seems to be less possibility because female workers may have similar issues as male workers and they may also need representation in trade unions rather than causing decline in trade unions. Hence there is possibility that increase in number of females in the workforce may cause increase in trade unions for collective bargaining. On the other hand, when part time jobs have been evaluated logically for it to be a reason for decline in trade unions there seems to be a great possibility since if part time workers are increasing in numbers they may be faced with different regulations and hence they may have different demands. Huge increase in part time jobs in recent times can be regarded as a reason for decline in trade unions. Further discussions on all of these aspects are presented in next head. 4. Discussion Discussion on human resource management practices replacing trade unions is very important in industrial relations. There are research studies that accept this hypothesis and there are those that reject this hypothesis. These mixed findings leave room for further research in this area. From the analysis, evaluation and literature presented above it can be concluded that decline in trade unions over a period of time was due to various reasons and good HRM practices is one of those reasons however this too is to be emphasized that good HRM practices may result in decline in trade unions and it is not always good HRM that is practiced in all organizations; in addition to this, out of the factors identified by Armstrong (1999) unemployment (to a partial extent) and increase in part time jobs were found to be reasons of decline in trade unions whereas increase in number of female workers doesn’t seem to be a reason for declining membership in trade unions. Good HRM practices can be regarded as a reason for decline in trade unions because the concept of HRM per se is based on removing the discontent arising in the employees and this discontent leads to the formation of unions (Fiorito 2001, p. 337) so that voices of employees can be heard. However, HRM practiced in organizations is not always positive; there are soft and hard HRM versions and depending upon the choice of practice within organizations will decide formation of trade unions. When compared with the purpose of trade unions as elaborated in chapter one, ‘it is enabling workers to gain more control over their working lives’ it can be said that when HRM practices itself allow employees to take the lead and control of their circumstances trade unions are less likely to be formed. Otherwise, when the focus of organizations is more on hard HRM version, need to form trade unions become prominent. This relationship can be depicted as follows; Figure XII – Relationship between Trade Unions and HRM (Source: Discussions this paper) Hence when the reasons of discontent are eliminated by good HRM practices the reasons for establishment of trade unions also mitigate and when hard HRM version foster discontent, trade unions are more likely to be promoted. The WERS by van Wanrooy et al (2011) shows that employees are loyal to their organizations and are proud to tell people about their workplaces however they are not much satisfied with the way their managers involve them in decision making and put in efforts to understand their views. The findings from survey can also be related to the above presented figure where trade unions and HRM co-exist however depending upon soft and hard HRM practiced within organizations pertinence of trade unions will be determined. Revisiting the aims and objectives set at the outset of this study, the first objective was to explore the role of modern human resource management in personnel management and development. It was revealed from the literature and analysis that there has been a constant improvement in the concept of HRM which have led it to take its current shape. Decade by decade the concept of HRM has been refined and has accommodated all the various aspects which might help human resources of an organization to develop and grow. This is the reason it can be said that HRM plays a vital role not only in personnel management but also in personnel development. Second objective of this study was to critically evaluate the role of trade unions in modern human resource management practice. It was found that the role of trade unions in modern era is declining however the significant decline can only be seen in the private sector. Public sector do not see much decline; this may be translated into the practice of HRM in both sectors where private sector is more into applying soft HRM version whereas public sector is more into following hard HRM concept. Hence it can be said that modern HRM do not replace trade unions but minimize their involvement only when the organization is more inclined towards applying soft HRM than hard HRM. Therefore, the more likely conclusion drawn from this discussion is that the role of trade unions in modern HRM practices can only be declining when organizations use soft HRM concepts in their workplaces. Third objective of this study was to identify factors contributing to decline in trade unions if it is not modern HRM practices. It was established that it is modern HRM practices along with other factors causing decline in trade unions; as explained earlier unemployment was found to be causing decline in trade unions to a partial extent, increase in part time jobs was found to be one of the solid reasons of decline in trade unions whereas increase in number of female workers was not found to be a reason for declining membership in trade unions. From the above discussion it can be said that this research study concludes in the favor of various factors which have resulted in decline in trade unions and besides good HRM these factors include unemployment to some extent and increase in the number of part time jobs over full time jobs. Answering the main research question that whether or not HRM practices have completely substituted trade unions, this will be wrong to say it has completed replaced trade unions but it is justified to say that modern HRM practices has to a great extent minimize the influence and role of trade unions in modern organization settings. This too is only applicable to organizations that adopt soft HRM version. To those who are more towards using hard HRM may result in increase in the need to have trade unions to ensure employees have control over their working lives. This is more understandable when the individual differences and tailored HR practices are considered as highlighted by Cox and Parkinson (2003) every individual has different attitudes and different work elements matter to different employees, for example for one employee it may be the pay which matters the most while for other it may be the work-life balance. Therefore it is only HRM practices and not trade unions which can cater for these individual needs because the purpose of trade unions is to raise voice for collective bargaining and not for individual interests. Hence this study presents a different analysis and interpretation of the extent to which HRM practices can replace trade unions because evidence from different studies which present arguments in favor or against HRM replacing trade unions are all considered, evaluated and analyzed to form an argument that supports that HRM practices (only the soft version) have minimized the influence of trade unions. 5. Conclusion It can be concluded from the findings, analysis and discussion that HRM practices in modern settings too can be further subdivided into soft and hard HRM. When analyzed with respect to their role in declining trade unions it is interesting to note that organizations that are more into taking people at work as resources that can be en-cashed to achieve organizational goals are more likely to raise need for trade unions; because when employers are more profit concerned they may concern less about their employees. In such situations, trade unions are vital to give voice to employees but in other case when soft HRM is more focused in organizations, need to have trade union is low. Furthermore, it can be said that HRM practices have improved enough to cater for most of the employee related issues however this has not resulted into abandonment of trade unions and trade unions play its role whenever required. Another conclusive finding is that decline in trade unions is more prominent in private than public sector and this is more likely because private organizations are more into applying soft HRM concepts as compared to public sector whose main focus is on hard HRM. It is clear from the literature search that most of the studies declared the relationship between improvements in HRM practices and decline in trade unions as coincidental however this study revealed some more in-depth areas that needs further exploration. These areas are the role of HRM practices – soft anf hard versions, and how this may affect the formation and existence of trade unions. This study reveal that HRM and trade unions co-exist and they cannot be separated however the extent to which trade unions play their role and are involved in employee relations issues will be determined based on the HRM practice which can be based on soft or hard HRM concepts. Furthermore, this research study also tried to find out the relationship between other factors and decline in trade unions however it has only focused on factors identified by Armstrong (1999); future studies may find factors other than those identified in this study and analyze how they have caused decline in trade unions. These findings imply that the better the HRM practices (soft HRM version applied) better the departments can understand employees and their needs and hence can cater for their issues resulting in lesser dependence on and involvement of trade unions in HR tasks. However, this is not the case and most of the time organizations do practice HRM but the context they follow falls under hard HRM category which makes them more concerned about profits and less concerned about employees resulting in the need to have trade unions for employee representation purposes. 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