Managing Employee Relations: Importance, Employment Laws, Rights, Duties, and Obligations

This document discusses the value and importance of employee relations in achieving organizational objectives. It also explains the fundamentals of employment law and analyzes the different rights, duties, and obligations of employers and employees within the workplace. The document includes a case study on Tesco and explores the impact of employee relations on stakeholders.

20 Managing Employee
Relations

Table of Contents
INTRODUCTION................................................................................................................................3
TASK 1 ................................................................................................................................................3
P1 Discuss value and importance of employee relations in application to specific organisational
examples..........................................................................................................................................3
P2. Explain the fundamentals of employment law that apply to specific organisational examples 4
TASK 2.................................................................................................................................................6
P3.Briefly analyse different types of rights, duties and obligations an employer and employee has
within the workplace........................................................................................................................6
P4 Give suggestions related to rights, duties and obligations of employment relationship............8
TASK3..................................................................................................................................................9
P5 For a given organisation conduct a complete analysis of stakeholders......................................9
TASK 4...............................................................................................................................................10
P6 Discuss both positive and negative impact of employee relation on different stakeholders....10
CONCLUSION..................................................................................................................................12
REFERENCES...................................................................................................................................13
Books & Journal:...........................................................................................................................13

INTRODUCTION
In an organisational sector, employees are to be considered as asset of firm who increases
the business at higher level. It is important to manage relation in industry so that goals as well as
objectives are achieved in proper manner. Managing employee relations are defined as process in
which firm used to manage relation between subordinates and employers (Jennings, 2017). To
achieve goals in proper manner, it is essential for entity to be aware about how positive
relationships can be maintained at work place. Main aim of this report is to understand how
employee relation can assist in development of organisational objectives. Tesco, a multinational
corporation which deals in groceries, retailing and headquartered in UK. Organisation deals in
ample number of products and services such as cosmetics, apparels, etc. This report comprise of
importance of employee relations, fundamentals of employment law, different rights, duties, advise
related to rights of employee relationship, stakeholder analysis and effect of employee relation on
stakeholders.
TASK 1
P1 Discuss value and importance of employee relations in application to specific organisational
examples.
In corporate world, employee relations are most important because they help in
achievement of objectives in most specified manner. The HR manager is responsible for balancing
the relationship at workplace. To do this, they formulate and regulated different policies through
which they are able to maintain positive atmosphere in environment. Without proper positive
relationship, it is difficult to worm in correct in firm. In context with Tesco, they make ensure that
employers are able to develop healthy relationship between employees. Importance of employee
relation is further discussed below-
 Personnel engagement- Main reason for managing relation is that by doing this employees
are engaged towards each other, work, roles, responsibilities though which it is easy to
achieve desired common goals without facing any issue or problem. Furthermore, in chosen
firm Tesco, HR of company carry out many activities to engage subordinates at workplace.
It also leads to achieving of objectives in most efficient way (Abdullah, 2017). It is
necessary to be engage workforce in their roles so that productivity & progress level of
entity get increased at rapid scale.
 Effect on performance- Another point of importance of employee relation is that it creates
a impact on performance of subordinates. This is because if positive relations are maintained

then subordinates will be able to engage with work in most effective manner. Moreover, it
also shows that if there is mutual coordination & cooperation between both employer as well
as personnel then productivity of entity increases at higher level. If there is conflicts
amongst each member of firm then, performance of subordinates gets affected because of
poor relation with others.
 Healthy work environment- In organisation, subordinates have long working hours and
shifts which they have to complete on basis of per day. By having a good relations at
workplace it is easy to create a healthy environment which leads to accomplishment of
objectives and also due to this personnel are able to work in correct way when they have
optimistic atmosphere all around ( Muduli, 2016). In relevance with selected firm, manager
assigned group tasks to each member which assist in creation of healthy environment. It is
most effective way of establishing healthy environment by managing relations.
 Decision making- Then, ER is also important because when there is establishment of
proper relationship then it is easy to be make decisions in firm. Rationale is that when
relations are maintained in entity, manager is able to use conduct planning, use tools,
selection of ideas is done properly. In reference with undertaken company, they are able to
take decisions because of mutual understanding between each member (Barends, 2018). It is
necessary to have effective decision making so that all resources, practices are used in most
efficient way.
Thus, explained matter states that importance of managing employee relation has increased
with changing period of time. It has become essential for entities now a days to have a positive
relationship amongst their personnel. It leads to increase of morale of subordinates & which also
increases their retaining period for longer period of time. Hence, it is important to manage relations
so that it become easier to use skills as well as abilities of subordinates in correct way which is
helpful for business.
P2. Explain the fundamentals of employment law that apply to specific organisational examples
In business sector, is important to carry out everything in legal way so that issues do not
occur in future interval of time. Employment laws are defined as rules or laws which are linked with
workers, labour, trade unions & government. In employment laws, guidelines or laws related to
country or states are described under which workforce or people working in entity are protected in
ethical way. Every firm is entitled to work by consideration of these laws so that subordinates are
protected from unethical activities. In view point of undertaken enterprise,they also consider these
laws which depicts relationship between these employers and employees.

The HR of company make assure that all activities are carried out in without violating the
business ethics or law. Therefore, there are various types of employment laws which are discussed
below-
 Equality Act 2010- According this law, employee working in enterprise have equal chance
of accessing opportunities and keeping safe themselves from being getting discriminated by
any one. Through this act, organisation is able to increases goodwill in minds of their
subordinates. This act was regulated in 2010, with aim of reducing discrimination at
workplace because of age, gender, colour etc. Thus, in viewpoint of Tesco, they follows all
guidelines & statements which are related with personnel discrimination which are provided
by legislative bodies of UK ( Aylott, 2018). By managing equality at organisation, it is easy
to enhance morale of individual. This too leads to development of
 Healthy & safety act 1974- It is also being considered as law which was established in
1974 with aim of providing health safety measures at workplace and reducing risks for
same. Under this law, it is duty of entity to provide safety premises so that workforce is able
to carry out their work in effective way. In reference with chosen enterprise, management
of firm make assures that proper safety is provide to their people who are working & risks
are managed by superior authorities if they occur. For example- rules related with fighting
or bullying in workplace is prohibited with updated new guidelines ( DeCenzo, 2016).
Moreover, many measures have been taken by company to protect mental as well as
emotional traits of employees working in entity.
 Minimum wage act- This is another employment law in which it specifies that there is
particular national wage amount which is necessary to be given to workers as specified by
UK law and government. Under this act, per day wages are being required to be given to
workers on basis of per hour. In UK these per hour rate for wages are divided through ages
of individuals, which occurred form April 2019 to be £8.21 an hour for workers ageing
between 18 to 25 years, 21 to 24 will be £7.70, under 18 £4.35 and at last to £3.90
(Mamorsky, 2020). By properly following this act, Tesco is able to deliver minimum wage
to according on the basis of per day and working hour spend by worker.
The above explained paragraph shows that it is crucial for firm to consider employment
related laws, regulations so that there is proper smooth functioning of business and practices.
Moreover, manager assures that all rules as well as regulations are properly followed. It leads to
elimination of errors on both basis internally & externally.

TASK 2
P3.Briefly analyse different types of rights, duties and obligations an employer and employee has
within the workplace
In organisational context, rights, duties and obligations of both employer employees
essential to be examined so that work is processed accordingly in correct way. Each and every
company have different types of rights and duties. Tesco is larger enterprise which have large
number of employees around the globe. It is necessary to be aware about these duties so that goals
are achieve in most efficient manner. Because of larger number of branches and subsidiaries the
range of obligations & duties are carried out accordingly (Watson, 2017). So, to achieve better
results it is necessary to be aware about these so that practices are applied in correct form. Due to
involvement of ample number of functions and operations there are large number of duties which
are needed to be fulfilled in most appropriate manner.
So, types of rights, duties, obligations are of Tesco are described below-
EMPLOYERS
Rights of employers:
 Right to ask- In this right, it states that employers have right to ask relevant information
regarding firm and workforce performance or progress statistics. With this right they can
make decisions in proper manner. Also, queries can be asked by them too to determine the
reason for poor performance of subordinates. So, chosen company's leaders and managers
have equal right of asking questions to their colleagues (Sonnenstuhl, 2018).
 Right to delegate power and work- Tesco have wider functions as well as operations all
around the world. To manage and maintain them higher authorities or management have
been placed (Johns, 2020). They have right to delegate power to others or keep power at
same level. Moreover they have right to assign work depending upon their choice or
preferences. In relevance with undertaken firm, they delegate work on basis of several
department such as marketing and sales, finance, human resource management, etc.
Duties of employers:
 Training & development programmes- In an firm, personnel are main and integral part of
business which generate profit as well as sales. Without them it is not possible to get the
work completed on time. So, it is duty of employers to provide training/ development
programmes to personnel so that theirs skills get developed which assist and can be use at a
specific departments. Thus, In relation with selected company they conduct these
programmes at regular interval so that efficient employees are identified properly.

 Safe work environment- Then, further duty is to provide safe working environment to
subordinates so that they deliver positive outcomes in organisation. When there is existence
of safe work culture then it is easy for personnel to perform without any force and which
results in better results. Most of employees focuses on work culture rather than money or
salary.
Obligations of employer:
 Fair recruitment practices- In corporate world, there recruitment is done at larger scale
with different criteria and tools. In reference with chosen firm, they have obligation of
carrying out fair recruitment practices so that correct & deserving workforce is hired which
increases profitability. To carry out these practices fairly, they have different specification of
every candidate according to which they do hiring or selection. (Longart, 2017). So, it also
enhances the effectiveness of HR and process.
 Working time regulations & holidays- Further, obligation is that in contract of
employment it is essential to provide time interval and holidays in contract so that there is
establishment of flexible working. These both are required to be given to all employees so
that they work / perform in appropriate manner. In relevance with Tesco, they provide both
of them and are also specified in contract. It depicts the culture of work environment
through which goodwill get affected too.
EMPLOYEES
Rights of employees:
 Rights to speak- In organisational sector, subordinates have right to speak at workplace for
themselves so that they are able to stand for their own. Also, they can ask questions to
anyone or their superiors of any thing in which they have doubt. With this right, it become
easy to clear doubts, queries which is helpful in firm.
 Rights to receive pay slips- Then, other right is that employee have right to ask or get the
pay slip for their incentives. It is most important right as because it is helpful for bank
related activities and can be also used for future period of time. This is helpful for
subordinates if any problem occur during their salary issues or other activities.
Duties of employees:
 Team working- In corporate sector, it is necessary to work in team or group to get the work
done on time. With effective team working, it is easy to achieve goals in timely manner.
Further, in relation with Tesco employees work in team and group tasks are carried out by
them. This increases and enhances their work efficiency level at higher level.
 Work with productiveness- It is also main duty of personnel to work as permanent so
that firm is able to achieve objectives in productive way. In context of undertaken firm,

they work in such a way that all work is carried out in with correct way.
Obligations of employees:
 Establish healthy work environment for colleagues- At workplace, individual wish for
supportive and healthy environment so they are able to work in most effective manner. This
is done by respective firm though induction programmes, refreshing activities etc. Through
this it is easy to achieve results on time (Jennings, 2017).
 Obey Rules and Regulations- It is also considered as obligation in which there it is
important for them to respect their superiors and obey all rules & regulations so that a line is
maintained between both parties. In viewpoint of chosen company, personnel in entity have
respect all rules/ regulation of management which reflects their behaviour at work
environment.
The above discussed matter states that, with these duties & obligations both can manage
their relationships in healthier and positive way. It is also helpful in improving the morale of both
parties at all aspect. Thus, several obligations,rights ad duties are explained at deeper level.
P4 Give suggestions related to rights, duties and obligations of employment relationship.
Employee relation is a two way process of employee & employer that is brace through
identifying, resolving workplace issues, measuring employee satisfaction & chaste and providing
support. It is a effort made by an organisation to develop and maintain positive relationship with
their employee. By maintaining healthy relationship in workplace, company hopes to keep staff
members loyal and encourage them to work effectively and efficiently in order to achieve their
objective or goal. In business aspects employee relations includes rules, regulations, social
concerns, economic stability and obligation (Abdullah, 2017).
Duties, rights, and obligation plays a vital role in order to practice and maintain better
relation in employee and employer. In context of Tesco, they holds obligation to conduct
recruitment and selection which leads to no discrimination in workplace. Culture of workplace need
to be created in such manner that employee will be aware of all consequences of any activity.
Another duty and obligation of employee and employer is to follow rules and regulations.
Duties of employee is to follow commands of employer. Relation of employee and employer is
based on moral character of employee and this built honesty, to maintain this employee must act
according to business interest not their own interest. If corporation, wants to work ethically then
employee of company must follows rules and regulation of company and makes company work by
all laws and ethics.
Furthermore, given entity needs to provide safe and security environment in workforce

along with rules, regulations and rights. Employees have right to trade union membership and
participates in trade union activities. They have right treat equally in relations with their colleagues.
Hence employer and workers rights, duties, and obligation are integrated for maintaining safe
healthy and productive working environment for everyone who have similar goal within company.
TASK3
P5 For a given organisation conduct a complete analysis of stakeholders.
Stakeholder is either a group or company or an individual who is wedged by result of a task
and stakeholders are those internal and external parties who have wedges over operations,
functions, decision making and productivity of company ( Muduli, 2016). They grasp significant
interest and power to makes changes in functions and decisions of firm. Stakeholders of Tesco who
are external to brands are customers and government whereas internal are their employees. Both
internal and external stakeholders are their investors.
Stakeholders analysis is a process to find those people who are interested to invest in
project before it begins. After identifying, organisation will group them according to their interest,
level of participation and influence in project so that they will be able to involve and communicate
with each other at best level. Organisation conducts three steps for analysis of stakeholders and
these are as follows:
Step 1:Identifying stakeholders- This step is performed by the management of company in
order to identify stakeholder of organisation. In Context of Tesco they carried out brainstorm to
collect information related to those parties who are majorly wedged by the functions and operations
of firm. Leading stakeholder of selected enterprise are their employee, customer, government,
shareholders, suppliers, third parties, financier etc.
Step 2: Prioritising stakeholders- Developing a strategies for each and every stakeholder is
difficult because they all posses different requirement and for that it is important for Tesco to
prioritize them according to their power, interest or influence (Barends, 2018). This will help the
organization to develop effectively strategy to manage all group. In order to do that power interest
grid is used which has four quadrant and these are as follows:
 High power, High interest: The entity puts customers and employees in this grid of stack
holders because they have high power and high interest.
 High power, Less interest: In this categorises of TESCO group those stakeholder who have
high power and less interest and they are external third parties and government
 Low power, High interest: Stakeholders who have low power and high interest are
investors of given
 Low power, Low interest: Supplier comes under this category because they have less

power and less interest.
Step 3:Understanding important stakeholders- This is the final step of stakeholder
analysis after identifying and prioritised. In this step important or key stockholder is determined.
With reference to Tesco, employees , customers and valued shareholders are the key stake-holders
of company from whom operations are funded, plan, implemented and sale are successful.
TASK 4
P6 Discuss both positive and negative impact of employee relation on different stakeholders.
In below section, impact of Tesco stakeholders,which are its employee,shareholders,and
government is discussed. They have wide range of power to influence decision and other operations
of organisation.
Stakeholders Description Positive Negative
Shareholder Shareholders are those
individuals who holds
ownership of shares in
Tesco and through
them they increase
their capital and in
return they paid
dividends with respect
period of earning.
( Aylott, 2018).
Effective employee
relation increases the
performance of
employee that leads
creativity and
betterment of Tesco
company which gives
high profit and return
of shareholders.
Counter to positive if
staff relation is not
good then the
performance of
employee decreases
and that reduced
earning of
shareholders.
employees Employee or workers
or staff members of a
firm are those who
made plan, strategies
& activities and then
implement or execute
that into real practices.
Positive impact of
employee relation is
directly attributed by
employee of selected
company as they have
received job
satisfaction, who
remain motivated,
giving them
opportunity to develop
on personal and
professional level.
Bad employee relation
effects negatively and
that is faced by
workers of chosen
firm because it created
unhealthy environment
and deceases the
chances of
development skill and
personal abilities.

Government Government of every
region has responsible
to maintain the
stability of economy
and for that they have
made some rules and
regulation in every
aspects. laws related to
business has to follow
all company. They are
basically a regulating
party looking over
economy for whole
region
Positive impact is that
they are running their
function according to
the rules and
regulations made by
the government. All
parties are operating
their function ethically
( DeCenzo, 2016).
The government does
not prominently
impact employee
relation but it may
bring some bleak
effect on given entity
and which is a part of
economy and that
leads to negative
impact on government
but will not directly
affected.

CONCLUSION
After a brief analysis f above report, it is concluded that managing employee relation is not
easy and which require deep level of knowledge at all aspects of corporate sector. It is crucial for
company to use such business practices so that positive relationship is developed at all aspects. So,
discussions have been made about value of employee relations, fundamental of employment laws.
Then, several types of rights, duties, advice related to duties, stakeholder analysis & impacts of
employee relations. Therefore, it is evaluated that with correct decision making process and use of
effective procedures relations are developed at workplace.

REFERENCES
Books & Journal:
Jennings, 2017. Employee Relations Audits. Taylor & Francis.
Abdullah, 2017. Managing the psychological contract: Employee relations in South Asia. Springer.
Muduli, 2016. High performance work system in India: Examining the role of employee
engagement. Journal of Asia-Pacific Business. 17(2). pp.130-150.
Barends, 2018. Evidence-based management: How to use evidence to make better organizational
decisions. Kogan Page Publishers.
Aylott, 2018. Employment Law: A Practical Introduction. Kogan Page Publishers.
DeCenzo, D.A., 2016. Fundamentals of human resource management. John Wiley & Sons.
Mamorsky, 2020. Employee benefits law: ERISA and beyond. Law Journal Press.
Watson, 2017. Sociology, work and organisation. Taylor & Francis.
Sonnenstuhl, 2018. Strategies for employee assistance programs: The crucial balance. Cornell
University Press.
Johns, 2020. Using the law in social work. Learning Matters.
Longart, P. and et.al., 2017. A stakeholder analysis of a service learning project for tourism
development in An Ecuadorian Rural Community. Journal of hospitality, leisure, sport &
tourism education, 20, pp.87-100.
Yakovleva, 2017. Corporate social responsibility in the mining industries. Routledge.