Managing Labor Relations at Coca-Cola Company: A Case Study

The Coca-Cola Company has effectively managed its employee-labor relations by recognizing the work of employees, offering rewards for completing tasks, and developing a long-distance employee relations program to address issues. The company's positive views on equality, motivation, and social responsibility have earned it a good reputation in society and among its employees. However, the firm sometimes uses an autocratic leadership approach and has a lengthy HR process, which can create problems. Overall, the company's strengths in creating an open work environment, recognizing employee efforts, and taking prompt action on issues contribute to its effective labor relations.

Employees and Labor Relation 1
EMPLOYEES AND LABOR RELATION

Employees and Labor Relation 2
Table of Contents
INTRODUCTION...........................................................................................................................1
ANALYSIS OF EMPLOYEE/LABOR RELATIONS IN COCA COLA......................................1
Management view........................................................................................................................1
Labour view.................................................................................................................................3
Society view.................................................................................................................................3
Strength........................................................................................................................................3
Weakness.....................................................................................................................................4
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

Employees and Labor Relation 1
INTRODUCTION
Human resource management is the type of strategic approach which ensures the
effective management of the employees who are working in a corporation (Valentine,
Hollingworth & Schultz, 2018). This department performs different types of functions such as
recruitment, selection, training, and development etc. Among these functions, building an
effective relationship between labor and the manager is being regarded as another important
responsibility that needs to be performed by the HR manager. With an aim to carry out this
study, Coca-Cola Company is taken into consideration. This is US based company which
manufactures sweetened soft drinks. The main purpose of this report is to showcase that how
effectively a company is able to manage employee/labor relations. In this context, there are
different elements will be discussed which the cited company is using with an aim to establish a
good relationship between its employers and employees.
ANALYSIS OF EMPLOYEE/LABOR RELATIONS IN COCA COLA
Definition
On the basis of the analysis, it is examined that there are around 61000 employees are
working in a cited corporation. Further, apart from the United States, the firm operates its
function in different other nations also. In addition to this, it has also being examined that labor
is the most critical part of their production, not technology. Here, the firm believes that it is able
to accomplish success in the market all because of its employees. Thus, the given perspective of
management in relation to its employees plays a very vital role in the task of building an
effectual relationship between employer and labor in the firm in an effectual manner.
Management view
As per the managers of Coca-Cola, it is identified that they are doing good in the task of
building an effectual relationship between labor/employees and employers. This is because; they
are doing all the activities which they have specified in their strategic plan. Herein, maintaining
as well as enhancing the motivation level of its employees is being regarded as the object which
the firm has specified in its strategic plan. This is because the firm believes that the success of
any company totally resides in its employee’s productivity only. Here, if employees will perform
well then the only corporation is able to attain sales and profit in the market. But, in case if labor
will not work well then, in this situation the impact of the same will be seen on the profitability

Employees and Labor Relation 2
related condition of an enterprise. Here, with an aim to build or manage an effective relationship
between employer and labor, Coca-Cola Company is performing a different type of activities.
In accordance with the given context, it is also identified that management of Coca-Cola
Company complies with the open communication type of system. In the given system each
employee who is working within the corporation has an opportunity with regard to freely express
their views and opinions in front of the top management of the firm. It is being regarded as
another most important factor with an aim to maintain an effectual relationship between labor
and employer of the firm (Employee Engagement, 2018). This thing indicates that the Coca-Cola
Company gives importance to the views and opinions of the company. Here, it is examined that
the relationship between employers and labor will be hindered if labor will start thinking that
they are not considered as an important part of the firm. This thing will have a direct impact on
the productivity of the firm also.
In addition to this, Coca-Cola Company also gives a reward to the employees who have
given the best suggestion. In order to enhance the relationship between employer and employees,
the given thing will also play a very important role. For example, manager of Coca-Cola
Company has given some task to labor suppose it is to make the production of 50000 units in 3
days. With an aim to accomplish this task, the manager has promised its employees that he will
give them an incentive of 500 Dollar. In case if labor has completed the given task and manager
has not given any reward or incentive in relation to the same. Then the given thing will hamper
their level of motivation in a negative manner. Further, due to this, there are many types of
ineffective activities will also being arises in the corporation. It consists of strikes and lockouts
etc. Thus, it is also important for the manager that it should always fulfil all the promise that it
has made to its employees. This thing is effectively done by the manager of Coca-Cola
Company. Here, it keeps the record of each and every worker's production unit. Thus, if specific
unit completed then in the given situation manager offer them a reward. It is the reason why the
relationship between employer and labor in Coca-Cola Company is very effectual.
Additionally, the firm operates its operation in the number of nations. Thus, with an aim
to maintain long-distance employee relation at Coca-Cola Company, it has developed a program
in which all the issues of employees are managed by HR professionals over the phone (Long-
Distance Employee Relations at Coca-Cola, 2018). Herein, it can be said that it is the advanced
version of employee grievance procedure in which all the issues of employees are managed at

Employees and Labor Relation 3
the phone. The given thing depicts that the firm is effectively fulfilling its roles and
responsibilities in an effectual manner (Khoreva, Vaiman & Van Zalk, 2017).
Labor view
The labors who are working in the Coca-Cola Company also have positive views in
relation to the firm’s policy. In this regard, employees of the firm belief that it is the great place
to work. This is because; the management of the company gives consideration to all their needs
and wants. Further, it also makes constant efforts in the process of improving working condition
for its employees. Further, labor also believes that the firm has a strict policy in relation to
employee equality. Here, no employees are judged on the basis of their colour, caste and creed
etc. The given thing tends to play a very vital role in the process of improving the motivation
level of labor who are working in a corporation (Emelifeonwu & Valk, 2018). It is through this
way only Coca-Cola Company is making its efforts in terms of building an effective relationship
between its employers and employees.
Society view
The government of the nation, as well as society in which the firm operates its function,
also have a positive opinion about the company (Hu and et.al., 2018). From the given thing, it is
examined that firm perform a different type of social responsibility in which it ensures that the
product which it is producing does not cause an impact on the natural environment of the nation.
For the given task, it annually prepares a sustainability report which will clearly specify the
environmental protection activities being done by Coca-Cola Company in an effectual manner.
In addition to this, it can also be said that the company has won the Hellenic award which is
given to the firm which is considered as the best place to work for the employees (Xie and et.al.,
2018). These all things indicate that the firm is doing very well in the task of maintaining the
relationship between employer and labor.
Strength
In the task of building an effective relationship between employer and labour, following
strength of company examined.
 Firm compliance with the open work environment
 Firm compliance with recognizing the work which is being carried out its employees.
 Taking instant action in relation to the issue which is being presented by its employees.

Employees and Labor Relation 4
Weakness
One of a main weakness of the company is that its leader sometimes complies with the
autocratic type of leadership approach in which it does not invite views and suggestion from its
employees while taking any kind of decision. Thus, the given thing sometimes creates a problem
in the task of building an effective relationship between employer and labor. Further, sometime
HR manager of a firm follows the long process with an aim to address the issue of employees.
This hampers the satisfaction level of its employees. The given thing will have a direct impact on
the brand image of Coca-Cola Company (Jennings, McCarthy & Undy, 2017).

Employees and Labor Relation 5
CONCLUSION
From the whole report, it can be concluded that the manager of Coca-Cola Company is
effectively managing its employee/ labor relations. This is due to the fact that with an aim to do
the same the firm is taking a different type of measures. These measures are making the working
condition for employees highly effective. Thus, it is due to the presence of a given aspect only
they are being able to give their best to the firm in an effectual manner. In addition to this, the
given thing is also playing a very vital role in the process of improving the sales and profitability
related condition of the company. Moreover, it can also be depicted that it is because of a good
relationship between employees and labor only firm is able to establish its remarkable presence
in the global market.

Employees and Labor Relation 6
REFERENCES
Emelifeonwu, J. C., & Valk, R. (2018). Employee voice and silence in multinational
corporations in the mobile telecommunications industry in Nigeria. Employee Relations.
Employee Engagement. (2018). [Online]. Available through: < https://www.coca-
colacompany.com/our-company/employee-engagement>. [Accessed on 9th October
2018].
Hu, E. and et.al. (2018). Job satisfaction and union participation in China: Developing and
testing a mediated moderation model. Employee Relations.
Jennings, C., McCarthy, W. E. J., & Undy, R. (2017). Employee Relations Audits. Routledge.
Khoreva, V., Vaiman, V., & Van Zalk, M. (2017). Talent management practice effectiveness:
investigating the employee perspective. Employee Relations, 39(1), 19-33.
Long-Distance Employee Relations at Coca-Cola. (2018). [Online]. Available through: <
https://www.shrm.org/hr-today/news/hr-news/pages/eratcoca-cola.aspx>. [Accessed on
9th October 2018].
Valentine, S. R., Hollingworth, D., & Schultz, P. (2018). Data-based ethical decision making,
lateral relations, and organizational commitment: Building positive workplace
connections through ethical operations. Employee Relations.
Xie, Y. and et.al. (2018). The influences of transformational leadership on employee
employability: Evidence from China. Employee Relations.