Industrial Relations: the Theory of Competing Interests in Pluralism - Essay Example

Name Tutor Title: Industrial Relations Institution Date Industrial Relations An industrial relations system consists of the relationships between employees to fellow employees and employers. The relations might concern managing means of conflict and cooperation within the industrial framework. Handling issues concerning industrial relation is indeed complex thus calling for a harmonious and cooperative than a conflicted relationship between the management and the organizations employees. A good relations system creates an environment conducive to economic efficiency yet instilling motivation, productivity and development of the firm employees and generates loyalty and mutual trust in the relationship. There three main parties involved in the industrial relation, the employers’ posses certain rights, which include rights to hire and fire employees (Barrow, 2002). The management can also affect workers interests by exercising their rights to relocate, close or even merge the factory or introduce technological changes. The field of industrial relations looks at a relationship between management and the workers, particularly the groups of workers represented by the union, it helps in interaction between employees, employers, government and the associations and institutions where such interactions are moderated. The industrial relations body covers aspects of the employment relationship, including human research management, employee relations and the union-management relations (Salamon, 2002). The government has a role of influencing and regulating the industrial relations through laws, rules, agreements, award of court and others. It may also include third parties and labor and tribunal courts. Actors in the industrial relations system serve as a link that communicates and harmonize relationships’ between the employers, employees, Government and other institution as shown in the diagram below (Jerome, 2004). The pluralist industrial relations try to balance the competing interests between the employers and workers. Paradigm analyzes work and employment relationship from a theoretical view rooted in an inherently conflicting of interest between the two parties in an imperfect labor markets. The employment relationship is viewed to be a bargaining problem among the stake holders, who have different competing interests. On most cases the employment outcomes depend on the varied elements on the environment that determines each parties support on the conflicting interest (Jerome, 2004). The industrial relation has a role in designing the employment relationships, when issues concerning power bargaining that may raise problems on central questions about distribution of resources and rules that govern interactions between the two organs that is employer and employees. As a result procedures involving corporations, labor unions, the public policies and dispute resolving measures are important to the institution achievement, in the pluralist industry relations (Edwards, 2007). The theory of competing interests in Pluralist set up The fundamental assumptions of pluralism industrial relations are a conflict of interest in the employment relationships, the labor market never perfectly competitive. Basing on the facts that employees are simply not commodities, or even a factor of production, thus raising assumptions that yield a theoretical view over the employment relationship that is usually differs significantly form other views of employment relationships, namely the human resource management among others. On normal occasion buyers and sellers of labor do so, simply to search for a transaction that maximizes their utility. This gives reasons on why competitive markets on several occasions would stimulate maximum aggregated welfare and place checks on abuse on any part in the organization (Kelly, 2002). Moreover in this practice the individuals’ employees, managers, owners and the union leaders are viewed to be the human advocates rather than extreme rational agents. In times of decision making behavioral aspects of the respective parties remains important, a cognitive limitations on emotions social or cultural norms and values, as well as the extrinsic motivators are part of the major complex issues that the industrial relations can work on to have a health relationship among the key stakeholders (Barrow, 2002). On the other hand in unitary perspective, the organization is perceived to be integrated and works harmoniously, the industrial relations system is viewed to work as one family. Basically a core assumption of the unitary approach, the management, staff and other members of the organization share same goals, purposes and interests. This works as a major unifying factor that creates spirit of togetherness as the parties’ works hand-in-hand towards the shared mutual goals. Unitary too demands for a paternalistic approach where it develops loyalty of all employees. In this case the union is deemed to be unnecessary, any conflict in this particular case is perceived to be a disruptive against the proper integration of the involved bodies (Barrow, 2002). Employees on Unitary Approach The move creates a flexible practice, individuals’ remains business oriented, play a multi-skilled and ready to tackle with efficiency in whatever tasks are required to undertake. In a case where a union is recognized, the union used to link a group of staff and the company. More emphasis is on good relationships, favorable terms and conditions of employment. They need to be included in contributing in major decisions at workplace; this will empower individuals in their roles and improve the team work spirit, innovative and discretion in problem solving at work place. The employees have to feel that skills and expertise of managers to get supporting their endeavors (Ferner, 1998). Employers view on unitary approach Usually most employees will welcome a unitary approach as it comes with so many rewards. The staffing policies in this case are designed to unify effort, inspire as well motivate there employees. The organization wider objective has to be well communicated involve workers in the discussion for proper results. Staff –management conflict are seen as rising from cases where the information is not communicated or inadequate presentations of management policies. Have line managers who would fully dedicate their time and energy to the team or staffs responsibilities. Short of one of these factors the organizations performance will surely drop as loyalty and trust is fundamental in the whole unity arrangement. The radical perspective views industrial relations looks at the nature of the capitalist society. In this case there is a division of interest between the capital and labor that sees workplace relations against this background. Here the system proves the gap of inequality of power and the economical benefits. The management that serves under Marxist theory is exploitative. Hence conflicts with the employee more often thus inevitable make trade unions involvement in response to workers exploitation by employers who have capitalistic nature (Edwards, 2007). Collective bargaining reduces conflicts According to Salamon (2002), collective bargaining has three major aspects namely political, economical and the administrative law. It is quite predictable that wherever there is human interaction a conflict is bound to happen. Every individual is motivated by different personal interests. Something that does not confirm to their beliefs is generally not acceptable. The situation is no different when it involves employee-employers conflict at workplace. They both serve different objectives and have different limitations, occasionally conflict will for part of this inherently complexities, which would require resolution. Establishment of a harmonious industrial climate that enforces supports to help the pace of organizations, effort towards economic and social development since obstacles towards development are reduces to a considerable lower level. These calls for proper intervention through conflict solving management, here is were the trade union, government and other institution comes in to rescue and up hold the employment relationship. It will involve the whole process of negotiation between the trade union and the employers in respect of their stipulated agreement, in the terms and conditions of employment as given to employees, clarify on issues concerning the employees rights and responsibilities of the trade unions (Trevor, 2010). The employer- worker relationship The employer’s power over its workers depends on the numerous factors. However, contractual relationship among the two remains influential on most occasions. The managers have a responsibility to control and balance factor concerning individual interests, control and motivation in away that harmonizes and creates a productive working relationship. In doing all these the firm will avoid any possible negative confrontation as the worker will feel the employer has their interest at hand, hence avoiding conflicts in the organization. It is true that employee’s representation enables the employer to be sure that the pleas they raise are had from a unified voice. This is made possible only if there is a legal bargaining that will speak for employees. Once the union is in place the employees would feel represented and there grievances’ delivered to the right people. A collective bargaining and labor management partnership creates a mutual relationship, the increased collection bargaining increases the strength of workforce, thereby improving their bargaining capacity as a group. The team spirit collectively boosts morale and productivity of employees (Edwards, 2007). The employee unity works to restrict management freedom for arbitrary action against the employees; unilateral actions by the employers are also discouraged which breaks the recurring conflicts in the organization. Involvement of workers in decision making it easier to resolve issues at the bargaining level rather than taking up complaints of individual workers this creates a better plat form for both parties to resolve raising issues. It tends to promote a sense of job security among the workers which tries to reduce the cost of labor turnover something that will work in support of management strategies thus creating a vibrant communication among the parties (Kelly, 2002). A collective voice in large organizations remains relevant. This kind of firms offers superficial conducts between the management and the employees, workers in large institutions settings luck direct communication the situation may creates problems that concern their jobs, this triggers actions in option to leave or speak up, in this case a collective voice would serve to link the two involved parties which may create any agreement that will certainly get both employers and the employees certified thus killing any possibility of conflict. In a unitary perspective the human resource managers pull the employees-employers together this relationship is aimed at a good coexistence between the two parties, the issue of conflict is resolved as the employees easily communicates to the human resource, which further gets the matter solved (Barrow, 2002). The industrial relations system in it self-plays a very important role in bringing the whole involved parties to a common table, that each of the party can communicate and identify their different interests, an event that builds on the individual and as well develop groups’ interests. This serves as information meeting point that aids in building employee-employer good relationship, something that address both needs for the employee and those of the employers. The industrial relations create a collective bargaining where the parties agrees on a mutually descriptive contract that will help govern there conducts and holds the parties responsible in every act concerning duty execution (Salamon, 2002). Bibliography Ferner, R. H. 1998. Changing industrial relations in Europ. New York: Wiley-Blackwell. Barrow, C. 2002. Industrial relations law. london: Routledge. Edwards, P. 2007. Industrial relations: theory and practice. New York : Wiley-Blackwell. Jerome, J. 2004. Industrial relations: towards a theory of negotiated connectedness. London: SAGE. Kelly, J. E. 2002. Industrial Relations: Approaches to industrial relations and trends in national systems. London: Routledge. Salamon, M. 2002. Industrial relations: theory and practice. New york: Financial Times Prentice Hall. Trevor Colling, M. T. 2010. Industrial Relations: Theory and Practice. New York: John Wiley and sons Read More