Employee Relations: Phone-us Call Centre - Essay Example

Employee Relations - Phone-us Call Centre - Total Number of Words: 2,521 Q The first issue that the Managing Director has identified is the high level of absenteeism. He has also worked out that absenteeism is highest during the 10pm-2am shift, and during the school holidays. In light of these findings he is not convinced that the absence relates to genuine illness! He has decided, therefore, to give a disciplinary warning to anyone who is absent more than twice, followed by a final warning on the third occasion of absence and dismissal on the following occasion. Implementing a harsh organizational rule in managing the high rate of absenteeism is not the best solution to address the problem. It is possible that major changes in the work shift schedule that these employees have to go through combined with a high level of work-related stress could endanger the physical health of the employees. Stressors at work can either be external or internal. (Ward et al., 2003) External stressors include extreme physical condition such as hot or cold room temperatures. An evidence-based research was conducted by Gershon et al. (2007) shows that there is a significant relationship between organizational climate and musculoskeletal disorders. In some cases, poor working environment related to insufficient lighting or the presence of noise pollution could also lead to stressful working condition. Several studies suggest that one of the risk factors that may have contributed to call centre agents’ upper limb discomfort includes the insufficient mobility while at work. (Lynn et al., 2001; Greening et al., 1999) Particularly the work-related ‘social demands’ such as the personal interaction of call centre agents with the clients and ‘organizational demands’ which includes excessive work load and responsibility could contribute to neck and lower back pains. (Daraiseh et al., 2003) Poor body posture at work also increases the workers’ risk of having a chronic ne ck pain. (Aptaker, 1996) Considering the large number of young mothers who are working with the company, it would be very difficult to force this group of employees to work during school holidays especially when there is nobody to take care of their children. Requiring sick employees and worried mothers to be present at work is not a good idea since employees will not be able to deliver a good quality customer service to the Phone-us clients. Implementing a strict organizational rule on absenteeism may only cause these employees to become de-motivated from working with the company. As a result, it is expected that the quality service they render with our customers would gradually decline. In worst cases, Phone-us would lose a large number of these valuable employees to other call centres that are also based in the North Thames area. Losing these valuable employees can be very costly on the part of the company since the management will have to hire new employees and train them without having a guarantee that these people will be able to tolerate such a harsh organizational rule on absenteeism. In worst case scenario, it is possible for some of the employees to legal sue the company for not offering them flexible working schedule as required in the European Flexible Working Hours Directive. Assuming that Phone-us is a highly unionized company, employees who are members of a trade union could collectively decide to submit a formal grievances to the top management with regards to the unfair employee treatment and other employement issues related to health detriments (Dessler, 2000: p. 545). In case this scenario would happen in the near future, Phone-us management will have a serious problem since this type of employee settlement agreement would usually takes a lot of time and effort on the part of the company’s representative aside from the business opportunity loss and additional expenses that will accumulate out of going through the bargaining process. European Flexible Working Hours Directive aims to create a healthy working environment for employees. (Stanley Blick, 2008) As indicated in the European Flexible Working Directive which was adopted and implemented in UK as a domestic law back in 1998, Phone-us management is required to consider offering employees with a limited flexible work scheduling arrangements. (Dessler, 2000: p. 311) Under the said directive, working parents with children below the age of six and/or a disabled child who is below the age of 18 are qualified to apply for a flexible working arrangements such as having a work schedule of four days each week by starting early and finishing late at work or finish the work load from home with the company (Easen, 2004). In line with implementing a flexible working schedule for employees, it is possible to require employees to report to the HR department at least 24 hours in advance in case they need to file either a sick leave or a maternal leave so that HR department can make necessary adjustments on the rest of employees’ work schedule. As part of offering a flexible working schedule, Phone-us should consider that each young employee between the age of 16 – 17 is required to work at least 40 hours each week but not longer that 8 hours each day (Stanley Blick, 2008). In case a young employee will need to file a half-day leave, employee should be given the option to work another half-day within the week. There are a lot of implemented flexitime programs that are quite successful in the past. Since less time are lost on absenteeism and tardiness, the work performance of employees as compared with the hours paid to each employee in terms of productivity increases (Employers and Work-life Balance, 2008; Kush & Stroh, 1994). Since chronic pain related to the upper limbs could significantly affect employees’ work performances, mood, sleeping habits including their social relationship with other people. (Carr & Mann, 2000), Phone-us management should also consider identifying the potential work-related stressors and implementing proper pain reduction management in order to minimize the rate of absenteeism due to sickness (Salter et al., 2006; Chaffin et al., 1999). In other words, offering employees with flexible work schedule option combined with the implementation of proper health and safety management will strengthen the long-term work relationship between Phone-us management and its employees. Q.2 There is no trade union representation, but there is a staff-employee consultation body that meets fortnightly. At the last meeting of the staff-employee consultation meeting the employees formally requested that Phone-us recognise the AAA trade union, which is relevant to this sector of employment. The Managing Director has decided to refuse this request, and also limit the number of staff-employee consultation meetings to six per year. He thinks that the employees should be answering calls, not discussing issues with management. The main concerns of trade union members is to improve their employment security and rights in terms of having at least a minimum wage as stated in the Wage Act 1986, having a safe working conditions, legally allowed working hours, employment contract, work discrimination related to gender, race, ethnicity, disability, religion, and age as well as employment benefits and rights like maternity leave, and unfair dismissal among others (UK Laws Legal Portal, 2008; Office of Public Sector Information, 2008; Dessler, 2000: p. 520). Given that the existence of trade union groups is all about the business relationship between employers and employees, employees should not be limited to answering only phone calls which is required in a call centre company. With regards to the issue on trade unions, Phone-us management including the Managing Director should recognize the presence of AAA Trade Union and allow the members to vote for a qualified trade union representative since trade unions throughout the United Kingdom are highly recognized by the law. Whoever wins in the election via secret ballot becomes the employees’ representative on behalf of the trade unions. (Dessler, 2000: p. 533) Aiming to strengthen the trade unions, the British Labour Law highly regulates the rights, obligations, and restrictions of trade union members throughout the United Kingdom (Business & Companies, 2008). Based on Trade Union Reform and Employment Rights Act of 1993 (c.19), trade union members has the right to vote for their leader (UK Laws Legal Portal, 2008). In case employers such as in the case of the Phone-us management does not fairly acknowledge the main concerns of the trade union members, employees will have the right to submit a formal grievances against them as a way of resolving the differences between the management and employees’ concerns (Business & Companies, 2008). As a result of going through a grievances procedure, Phone-us management and trade union representative will have to undergo a day-to-day collective bargaining as both parties will try to interpret the specific rights of trade union members which are stated in the Trade Union Reform and Employment Rights Act of 1993 (Dessler, 2000: p.545; Sloane & Witney, 1977: pp. 229 – 231). In general, the degree of seriousness of employees’ grievances vary from case to another in the sense that solving discipline cases that are related to seniority problems pertaining to a job promotion, job transfer, and massive lay-offs are among the most difficult issues to solve (Dessler, 2000: p. 545). Firing employees out of having excessive absences could trigger employees to file grievances complains. (Richardson, 1985: p. 184) This is likely to occur in case Phone-us management did not provide employees with warnings and/or disciplinary acts with regards to the excessive absenteeism. Even though firing employees out of excessive absenteeism could cause employees to file a formal grievances against the employer, the case of Phone-us, which falls under job evaluations, is much easier to solve as compared to cases wherein seniority problems is involved. According to the European Court Judgement, “it is the essence of the right… that employees should be free to instruct or permit the union to make representations to their employer. (TUC, 2002)” In other words, trade union members have the right to make representations to their employers. Therefore, preventing the trade unions from being able to legally vote for a trade union representative as well as the Managing Director’s decision to limit the staff-employee consultation meetings down to six per year is a violation of the trade union’s freedom to voice out their personal concerns. The problem with failure to satisfy employees out of collective bargaining procedure is the fact that the complainants can appeal to the court for a hearing on a Tribunal claim. (Business & Companies, 2008) In case the court decided that the employer did not follow the legally accepted protocols on tribunal complaints, employer will be forced to pay a much higher compensation which is payable to the employee. On the other hand, in case the court decided that employee did not follow a part of the protocol on a Tribunal claim, the case will be constructively dismissed. Q.3 He has decided that the current Managers and Team Leaders have a very weak style of management. He has concluded that they are weak, and do not drive the employees well to achieve targets. He has decided to put them all on a management training course – run by one of his friends. If, as a result of that training course, they do not ‘toughen up’ they will be demoted to call handling duties. He has also decided to reduce their base pay and increase the level of bonus that can be achieved. The bonus will only be payable on the achievement of the new, higher targets that he will introduce. Providing Phone-us managers and team leaders with proper training on the importance of effective leadership style on management can help strengthen employees’ drive to achieve their daily, weekly, and monthly sales targets. In fact, a good managerial leadership skill is important since it contributes to the overall success and profitability of the company. In general, having a competitive leadership skill is an essential characteristic of a manager and/or team leaders which necessary in making the operation flow of a call centre to work efficiently. As a result of improving the leadership skills of the managers as well as the team leaders, Phone-us is able to reduce the unnecessary internal conflicts among the stakeholders which may result to organizational mismanagement and operational errors due to miscommunication, de-motivated employees, and the lack of a structured and well-organized operational system. Given that each of the Phone-us’ managers and team leaders will be able to develop a good leadership skill, the savings that comes from establishing good leadership skills could result to increasing revenue generation on the part of the company. Transformational and authentic leadership styles are among the commonly used leadership approach today. The application of transformational leadership approach is good in the sense that transformational leaders have the ability to internalize a sense of commitment in terms of achieving the organizational goal as well as effectively persuading the group members to actively participate and commit themselves with the organizational plan. (Burns, 1978: p. 4) The strong commitment coming from the managers and team leaders as well as the entire group members could strengthen the overall performance of Phone-us. Given that transformational leaders are more focused on terminal values like integrity and fairness, this type of managers and team leaders becomes directly involve and responsible in the development of the organization (Homig, 2001). Just like the benefits of having transformational leaders, the application of authentic type of leadership will also positively contribute to the success of Phone-us since authentic type of managers and team leaders are able to empower the team members with proper knowledge and skills that are necessary to enable them to achieve the organizational goal. The fact that this type of leadership enables each individual to go through the process of self-reflection and self-awareness, each of the team members will be able to learn to freely express themselves and inspire other people within the business organization. (Covey, 2004) Given that authentic leaders are able to lead the entire team with the use of heart and compassion, the close personal relationship between the managers, team leaders and their subordinates will improve the outcome of their collective performance. This is possible since developing a close relationship among employees could lessen chronic stress and burnout in the workplace. (Maslach, Schaufeli, & Letter, 2001) Even though both transformational and authentic leadership approach has benefits when applied in organizational management, both leadership style has its limitations when it comes to managing people. Transformational leadership style is applicable to limited organizational situations since this type of leadership approach is not effective within a business environment that needs a strict authority to get the subordinates to follow the leader(s). In some cases, it is best to use transactional style of leadership when punishing any of the team members for work undone or not meeting the pre-determined standard a certain project. The practice of pure authentic leadership approach may not be able effective when there is a need to control all employees within the business or other organization. In other words, there is always the possibility that other type of leadership could work better and more effective just like in the case of the military, army, or navy. For this reason, managers and team leaders of Phone-us should learn which type of leadership approach could work effectively based on their personal character. Major change related to employees’ base pay and work incentive is a sensitive issue since it can cause serious organizational resistance to change. Reducing employees’ base pay may not be a very good idea since issues related to this type of incentive plan could also increase grievances complaints on the part of the employees. Rewards can either be intrinsic or extrinsic. Intrinsic reward is a motivational approach that uses a sincere acknowledgement for a good performance like thanking the employees for their effort at work. (Shamir et al., 1993) Extrinsic rewards can be in a form of increased salary or bonus given to employees. Several studies show that excessive use of extrinsic rewards like cash incentives could even result to demotivating the employees. (Anthony, Dearden, & Bedford, 1989: p. 57; Cecil Hill, Spring 1989; Kohn, 1988) Likewise, the use of “Pay for Performance” and/or ‘performance-related pay’ (PRP) is no longer effective as an employee reward when used alone since a lot of business internal and external changes had taken place over the years. (Leopold, Harris, & Watson, 2005: Ch. 8: p. 212; Lawler, 1971: 151) According to Deci (1988), the use of money incentives to increase employees motivation is not a good choice since it lowers the company’s ‘intrinsic rewards’. Instead of using extrinsic rewards, Phone-us management should consider developing an organizational culture that is more focused on the use of intrinsic rewards like publicly recognizing the achievements of each competitive employee. Using this type of reward strategy will enable the company to maintain a low operational cost as the management tries to increase employees’ productivity and work satisfaction. *** End *** References: Anthony, R. N., Dearden, J., & Bedford, N. M. (1989). Management Control Systems, 5th Edition. Homewood, Ill.: Irwin. Aptaker, R. L. (1996). Neck Pain: Part I - Narrowing the Differential. The Physician and Sportsmedicine , 24(10). Burns, J. (1978). Model of Transactional and Transformational Leaders. p. 4. Business & Companies. 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