Importance of Employee Relations in an Organisation

This report discusses the value and importance of employee relations in an organisation, including the fundamentals of employment law and stakeholder analysis. It covers the impact of positive and negative employee relations on stakeholders and provides advice on managing employee relations. The report also includes examples from the National Health Services (NHS) in the UK.

WORK AND THE
EMPLOYMENT
RELATIONSHIP

Table of Contents
INTRODUCTION ..........................................................................................................................1
MAIN BODY...................................................................................................................................1
Value and importance of employee relations.........................................................................1
Stakeholder Analysis for Evaluating Importance of Employment Relationship in an
Organisation...........................................................................................................................5
Impact of Negative or Positive Employee Relations on Stakeholders...................................8
CONCLUSION..............................................................................................................................10
REFERENCES .............................................................................................................................11

INTRODUCTION
Employee relation basically focuses on the relationship between employees of an
organisation in order to achieve objectives of organisation. The managers of an organisation
ensure that there is cordial relations among employees to create a healthy work environment in
an organisation. In this report, NSH is taken as the chosen company. NHS is a public funded
healthcare system founded in 1948 in united kingdom. The report covers the value and
importance of employee relations with its application in organization as well fundamentals of
employment law. In addition to that, it includes different types of rights, duties and obligations
within a workplace between employer and employee. It also determine appropriate advice
relating to rights, duties and obligations of the employee relationship for a range of
organisational examples. Moreover, it involves various mechanisms for managing employment
relationship and make justified solutions. Also it involves stakeholder analysis for organisation
and how stakeholder engagement and contribution can support positive employment
relationships.
MAIN BODY
Value and importance of employee relations
Employee relations plays a very important role in workplace. Every individual shares a
certain relationship with his or her co workers and they requires people to talk, discuss ideas and
share happiness and worries. Its tough for individuals to work without any interaction. In order to
achieve group goals its important that people are comfortable with each other. Employee
relations plays a important role in an organisation(Alabood and Sulphey, 2020). Employee
relation focuses on both individual and collective relationships with an increase on relationship
between managers and team members. It creates a strategic positive environment for employees
and keep them engaged in work. Every organisation has a dedicated employee relations manager
that performs various functions such as compensator, advisor and mediator to employee issues.
It Includes various activities to create a healthy work environment: Increases motivation: It helps in maintaining good relationship with employees and
motivates employees. It helps in increasing productivity and highly motivated employees
are less likely to get irritated.
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 Improves confidence and trust: In order to improve trust and confidence, it requires a lot
of effort and trust from both employer and employee. The communication between
employees ensures healthy workplace communication.
 Better employment engagement : It helps in improving employee engagement and
ensures better workplace and maintains efficient flow of workforce.
Fundamental of employment laws already begins before hiring someone. In order to
ensure smooth operations, it important to understand the employment law. It is the area of law
that governs the employee relationship. In order to prevent various issue such as promote health
and safety, prevent discrimination, prevent work disruption and establishing a minimum required
level for economic support(Boehnlein and Baum, 2020). It regulates the relationship among
employees and employers.
Organisations in order to improve and respond in effective way to employee criminal
justice system need to maintain strong relations between managers and employees of an
organization. Strong employee relations can create motivated workforce, higher satisfaction and
more productive employees. A healthy work environment can be established only improving and
maintaining positive employee relations to create a healthy work environment. In order to
improve employee relations in workplace there are various ways:s Increase motivation : It helps employees to have a good relationship within company's
leadership and motivated employees usually perform better and are more capable of
achieving results. Promote work life balance : Its important to balance work life among team members to
create a healthy environment that provides flexibility to pursue interests and creating a
strong workforce for better relations between employees and management. Various
options such as flexible work schedules, health benefits, paid time off and ability to work
from home. Employee's importance: In order to achieve organisational goals effectively and
efficiently its important to express gratitude and admire employees for better
performance. This will encourage employees and individuals will feel better and valued. Communicate company's vision and mission: It helps employees to understand their
work better and into a broader organizational structure and how their roles relate to
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company's strategic vision. It should regularly communicate changes in procedures,
policies and expectations. Offering career development opportunities: Employees who grow in their roles are
highly productive and happy. Its helpful for employees to understand their career path
and set goals and objectives. Employee relations managers and other HR department are
accountable for maintaining employee relations(Das, Singh and Mehra, 2021). Career
development activities include professional networks, On-the-job coaching, Job rotation,
staff exchange programs and research and project work.
 High sense of community: Employees are likely to get ahead with their roles if they feel
that there role can impact on overall success of the organization. It can help team
members to understand the company's place and vision in achieving it and making them
feel like they are part of something big.
Rights, obligations and duties of an employee and employer and various mechanisms
for managing employee relations. There are various roles and responsibilities performed by
employees and employers in an organization. In order to ensure equal opportunities, employment
terms and conditions and right wages it is mandatory to know about the responsibilities and
rights in the workplace.
Employer Employee
Responsibilities  Providing a safer workplace
for employees.
 Informing workers of their
rights and responsibilities.
 Providing adequate training to
employees.
 Employees are responsible to
report on time.
 Its important to maintain a
level of hygiene and grooming.
 They need to properly follow
the instructions of employer.
Rights  The employers have the right
to demand good work from
their employees.
 They have the right to
 Every employee has right to
know of hazards existing in the
workplace.
 Employees have the rights to
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demand high quality work
from employees.
 The employer have the right
to demand for employees to
have the best interests in
organisation.
participate in matters including
safety and health at workplace.
 Every employee have right to
say no to unusual danger
existing in the workplace.
Duties  The employer's main
responsibility is make sure the
workplace is not exposed to
hazards and is safe.
 Providing adequate facilities
for employees.
 Providing training,
instruction, supervision and
sufficient information to
employees.
 Duty to take care of their own
safety and health.
 To cooperate with employer in
every planned goals and
objectives(Fernet and et. al.,
2020).
 To take reasonable care for
safety and health of those
affected by their actions.
In order to maintain work in organisation, its important to develop work spirit and
cooperate employer relations. The basic right of employees should be respected by employers
and employees should obey to their employers orders. Once employee relation are formed there
are certain obligations that need to be imposed on an employer.
The psychological contract impacts the relationship between work, duties and practices.
It is described as informal obligation, perceptions and mutual beliefs between an employer and
employee. It focuses more on social relationship among employees and employers. Unspoken agreement : It is an unspoken agreement involving supervisors, employees
and other individuals. These contracts are based on expectations and are reciprocal. There
are various factors that impact these contracts which involves factors such as
organizational dynamics, degree of values between employee and employer. Pre-employment stage : These are formed in pre-employment stage and are important for
management professionals and practitioners. The contract is initially formed in the pre-
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employment stage as job candidates forms impressions and expectations about the
potential employer. Once the employee is hired , there is a formation of social group
between employer and employee. Impact of supervisor behaviour : As the employment continues, there is a slow down
due to employee gaining experience and becoming affiliated with organization(Matsuo,
2020). It is important to manage practitioners as psychological factors might change. Impact of performance management: The performance management impacts the
psychological contract as most organizations measures their employees performance on
annual basis. This measurement can cause changes in psychological contract which might
be changed due to change in agreements and incentives.
 Impact of organizational justice : There is an impact of organizational justice on
psychological contract as the activities are perceived and which can result in impacting
the organizational reputation in wider manner and to foster effective psychological
contracts.
Maintaining healthy relations with employees in an organization is a primary need for
success for organization(Yasir and Majid, 2020)s. Strong employee relations are required for
human satisfaction and high productivity. It generally deals with resolving and avoiding issues
which might came from work scenario and it depends upon safe work environment, commitment,
incentives and relation depended upon safe and healthy work environment. It signifies that
employees should have positive attitude towards their job role and they should not behave as per
the norms of behaviour. The management should ensure proper steps so that employee's
behaviour is according to the managerial expectations. Since employees expect from
management that a safe working environment , proper incentives, decision making and fair
treatment should be given to them.
Stakeholder Analysis for Evaluating Importance of Employment Relationship in an Organisation
The Stakeholders and various people of organisation are crucial to garner positive
employment relation within an business organisation(Niziołek and Boczkowska, 2021). The
actions, activities and roles of these members are very much significant that influences employee
relations. The main players inculcated in the employees relation are as given below:
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STAKEHOLDERS SUPPORT
EMPLOYER The key people in an organisation involves employer who motivates,
guides and supports employees of the company to achieve and
accomplish the tasks with maximum efficiency. The employer plays
very important role in binding their employee communications
constructively to attain the organisational objectives. The role of
employer like National Health Services in regards to the employment
relation is to generate employment opportunities. The employers of
NHS maintain positive relations with employees by ensuring
equitable pay-scale distribution, identify and resolve employee
grievances, training and development, fulfil health and safety needs,
etc. The role of employer is to manage employees by employee
recognition, proper communication, respecting their work, improve
efficiency, conflict resolution of employees.
EMPLOYEES It is employees efforts to connect and interlink with each other which
further results to construct better employee's relations. Employees are
the true assets of an organisation which help in attainment of
business's goals. It helps in decision making process and
implementing new decisions by managers related to the business.
Employees and management have abominable influence on each-
other's decisions and work-activities of business(Rai and
Maheshwari, 2020). The employees of NHS follows rules and
regulations, understands their roles and responsibilities, also they
collaborate with management decisions for creating a positive work
environment. The employees work in coordination with the
employers, and management frames plans-policies in synchronisation
to their employees. There must be the work collaboration and mutual
understanding among the employees working together from various
departments.
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GOVERNMENT Mainly the functions of all the business depend upon the laws,
regulations and norms of that particular location. Government plays a
admirable role in maintaining positive relationship along employees
by establishing norms, guidelines and regulations for employees
relations. The government make the norms and guidelines for
stopping breach of moral, ethical, social, psychological and other
rights of beings and acts for same to provide justice to everyone.
NHS comply with all the government norms related to employees
like minimum wages, safety and security, right to information,
contractual rights, proper working hours, etc. to maintain positive
employee relation. Amendments were revised regarding Employee
Relation Act according to trade union's recognition to strengthen
connections between the employees and employers.
TRADE UNIONS It refers to the collaboration of members who negotiate together with
the employer as well as the management for protecting the rights of
employees. UNISON is a publicly funded trade union that is present
in NHS to communicate the issues faced by employees with the
management. These trade unions campaigns to protect the rights of
employees, get them better pays and better working conditions in the
business(Saragih, Prasetio and Naufal, 2020). Trade unions works in
order to increase the motivation and satisfaction levels of employees
by communicating the issues faced by the employees to the
management. The trade unions in an organisation are also important
in an organisation as it solves employee's conflicts with other
employees or with the management.
A healthy employee relation is very crucial to receive optima result from employees and avoid
wastage of resources and efforts. Employee relations should be very much coordinative and
hassle-free with employers, government, jurisdiction, employer associations and other employees
to generate effectiveness and efficiency in work(Sarwar and et. al., 2020).
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Impact of Negative or Positive Employee Relations on Stakeholders
There are many impacts of positive and negative employee relationships that could affect
conflict avoidance and resolution or vice-versa for the various stakeholders which are as follows:
STAKEHOLDERS POSITIVE NEGATIVE
GOVERNMENT Government policies regarding
employee relations has the major
impacts on achievement of
company's objectives and aims
along with it they also have impacts
on employees of the organisation.
Favourable government policies
regarding the employees relations
and their rights greatly influence
effective and efficient working of
the workforce in an organisation
and contributes to economic growth.
There are many government and
legislative acts that may affect the
employees in negative ways. Taking
an look towards resent scenario,
government implemented lock-
down across multiple places without
taking significant consideration of
employees relations to the business
which lead to unfavourable
outcomes for overall business. This
lead to further shortage of
availability of employees for work.
EMPLOYEES Employees are the essence to a
business and organisation as they
are responsible for creating a
business. With proper employee
relations a employee feels more
secure and comfortable in their
working environment. The
contribution of employees towards
their works increases and wastage
of resources become minimum. This
gives employees a satisfaction of
their work completion.
If positive employees relations are
not maintained there are chances of
declination of employees efforts
towards their contribution to work.
Without proper employee relations
there may be chances of conflicts
among the employees and
management could arise. There may
be lack of proper coordination of
efforts among employee and
superiors(Shepherd, Ployhart and
Kautz, 2020).
EMPLOYERS Employers are the people who
induces employees to work for the
Without proper employee relations
may face vigorous conflicts and
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organisation. Employers could
manage employees and their actions
effectively and efficiently if they
maintain proper employee relations.
This also helps to create and
develop coordinative efforts among
the employees and the managers
towards the achievement of
organisational objectives. Due to
proper employee relations,
communication becomes aligned
and accuracy in actions can be
obtained(Singh, Bamel and Vohra,
2020).
chaos among the mangers and
employees. The works with
improper communication would
unleash abomination over the
effectiveness and efficiency of the
employers. The employees would
not listen to the employer and their
works would not be In proper
coordination. The employers would
not be able to direct their objectives
to employees and actions of
employees would not comply with
their orders.
TRADE UNIONS Trade unions are the supporters of
employees but they similarly stay in
connection to the authorities of the
organisation. If the employee
relations are maintained effectively
the faith and resonance of
employees towards the trade unions
are maintained. If the employees are
are having enough faith towards the
trade unions they will also respect
and favour the support of trade
unions. Positive employee relations
would be prosperous for the name
and image of trade union and it
would be considered effective.
Improper or hectic employee
relations will resolve towards
ineffectiveness of the trade unions
and its dissolution. Trade unions
are formed for benefiting and
helping, develop positive employee
relations. It acts as a link between
solving conflicts among the
employees and the management
(Wang and et. al., 2020). If, the
trade unions fails to resolve the
conflicts and employees problems
the management would not value
the suggestions and help of the trade
unions in its crucial activities.
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CONCLUSION
From the above report it can be concluded that the managers of NHS ensures that there is
cordial relations between employees in order to ensure effective achievement of organizational
goals. In addition to that it involves values and importance of employee relations with its
application in organization as well as fundamentals of employment law. Moreover, it involves
rights, duties and obligations within a workplace among employer and employee. It also includes
appropriate advice relating to rights, duties and obligations of the employee relationship for a
range of organisational examples. In addition to that it involves stakeholders analysis for
organisation and how stakeholder engage and contribute to support positive employment
relationships.
10

REFERENCES
Books and Journals
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Certain Cultural Variables as Antecedents of Employee Creativity: A Study using
Structural Equation Modelling. Talent Development & Excellence. 12(1).
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performance? Meta-analytical evidence on the moderating role of societal culture. The
International Journal of Human Resource Management. pp.1-39.
Das, M., Singh, V. and Mehra, S., 2021. Employee Demography and Employee Engagement-An
Empirical Study on IT Employees. SCMS Journal of Indian Management, 18(1). pp.59-
74.
Fernet, C. and et. al., 2020. On the temporal stability of self-determined work motivation
profiles: a latent transition analysis. European Journal of Work and Organizational
Psychology, 29(1). pp.49-63.
Matsuo, M., 2020. Influences of developmental job experience and learning goal orientation on
employee creativity: mediating role of psychological empowerment. Human Resource
Development International. pp.1-15.
Niziołek, K. and Boczkowska, K., 2021. Standardized Management Systems in the Context of
Active Employee Participation in Occupational Health and Safety. European Research
Studies, 24(3). pp.73-88.
Rai, A. and Maheshwari, S., 2020. Exploring the mediating role of work engagement between
the linkages of job characteristics with organizational engagement and job
satisfaction. Management Research Review.
Saragih, R., Prasetio, A. P. and Naufal, I.Z., 2020. Work-life balance and work stress as
antecedents of employee turnover intention in private food processing organizations.
In Advances in Business, Management and Entrepreneurship (pp. 690-697). CRC Press.
Sarwar, H. and et. al., 2020. Ethical leadership, work engagement, employees’ well-being, and
performance: a cross-cultural comparison. Journal of Sustainable Tourism, 28(12).
pp.2008-2026.
Shepherd, W. J., Ployhart, R. E. and Kautz, J., 2020. The neglected role of collective customer
perceptions in shaping collective employee satisfaction, service climate, voluntary
turnover, and involuntary turnover: A cautionary note. Journal of Applied
Psychology, 105(11). p.1327.
Singh, N., Bamel, U. and Vohra, V., 2020. The mediating effect of meaningful work between
human resource practices and innovative work behavior: a study of emerging
market. Employee Relations: The International Journal.
Wang, C. and et. al., 2020. Effects of professional identity on turnover intention in China's hotel
employees: The mediating role of employee engagement and job satisfaction. Journal of
Hospitality and Tourism Management, 45. pp.10-22.
Yasir, M. and Majid, A., 2020. High-involvement HRM practices and innovative work behavior
among production-line workers: mediating role of employee's functional
flexibility. Employee Relations: The International Journal.
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