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Importance of Employee Relations in Organizations

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Added on  2023/06/12

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This article discusses the importance of employee relations in organizations, including mechanisms for managing the employment relationship and fundamentals of employment law. It also covers the rights, duties, and obligations of employers and employees, as well as the psychological contract in relation to work-life balance.

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Employee Relations

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Table of Contents
INTRODUCTION ..........................................................................................................................4
The value and importance of employee relations in application to specific organizational:-........4
Analyses the value and importance of employee relations in terms of improving business
outcomes:-........................................................................................................................................5
Various mechanisms for managing the employment relationship and make justified solutions for
a range of specific organizational examples:-..................................................................................5
The fundamentals of employment law that apply to specific organizational examples:-................6
The different types of rights, duties and obligations an employer and employee have within the
workplace:-......................................................................................................................................7
The psychological contract and support for employee work life balance in relation to rights,
duties and obligations of the employment relationship:-.................................................................9
Determine appropriate advice relating to rights, duties and obligations of the employment
relationship for a range of given organisational:-............................................................................9
Engagement and contribution can support positive employment relationships within an
organization:- ................................................................................................................................10
Different stakeholder perspectives and interests in the broader business environment to support
positive employment relationships:-..............................................................................................11
The impact of both positive and negative employee relations within the workplace:-.................12
Both positive and negative employee relationships can affect employee engagement, motivation
and performance:-..........................................................................................................................14
REFERENCES..............................................................................................................................16
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INTRODUCTION
cc. The organization's human resources department negotiate employee relationship
attempt. some organizations have the role of a dedicated employee relationship manager(Abid,
and et.al., 2020). The main duty of an employee relationship manger is to build and maintain a
fair or facilitator communication between the employees and higher authorities as well as
provide fair monetary rewards, advantageous benefits, proper working balance, and rational
work in an organisation. Includes advice creating, or creating policies for employee issues such
as time(Liu, 2021). And others. The human resources department mainly has 2 functions. First,
HR helps an organisation by forbid and resolve bad issues such as disputes between worker and
administration. Second, it helps to generate and enforce a fair and consistent rules and regulation
which will have to follow or obey by everyone present in the workplace.
The value and importance of employee relations in application to specific
organizational:-
Any employee/individual have a good and strong relationship with their own employers and
shows healthy relation in that case organization can gain the huge benefits. Employee who are
active and respond back to the relationships with the manager are consider as more happy and
also count for the long term or run. The establishment of this belongings relationship is easier
than completion, and given the second appearance with employee, there are some reasons for
continuing this.
Retain Loyal Employees:- Loyal employee fair employees may be disrespectful to challenger,
but unluckily, employees who do not have friendly relationships with the employer are quite
abandoned. If employees feel high and appreciated by their employers, they are much faithful.
An Organization who develop positive relationships between workers and managers are mostly
successful.(Poon, 2019)
Fewer Workplace Conflicts:- When any individual like being around manager and the co
workers, such types of employee are less likely to seek out the conflicts. Peaceful workplace is
the reason for benefits of strong employee and employer relationships. Also, if the work area was
the aspect of a recent conflict, relationships with employees need to be reassessed.

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Increased productive:- Productivity Improvement where employees have a positive relationship
with boss. When employees feel for them, they bring their best efforts and are likely to claim
personal proportions of the project they work.(Unsal, 2019)
Analyses the value and importance of employee relations in terms of
improving business outcomes:-
The relationship between good employees means that employees feel their work and are positive
part of such large organizations. Despite the importance of the relationship between strong and
healthy employees, if employees and management relationships are hampered, there is a situation
in the life of each organization(Câmara, and Petrenko, 2021)
1. If employees do not act according to the acting standards recognized, they are known as
employee indiscipline. Absent, employee behavior changes, slow performance,
complaints are the ind skips of all forms of employees. if employees do not meet the
management prospect in terms of standard performance and behavior, they are called
index balls. In such case, it must be guarantee by management that needs to take action.
Employee behavior follows driving expectations.
2. Employees are also expecting to manage the need for a safe working environment, fair
handling, participation in appropriate incentives, decisions, and satisfaction. Some
failures of management to meet these expectations are called employees.
Various mechanisms for managing the employment relationship and make
justified solutions for a range of specific organizational examples:-
1. Promote the open dialog:- the open dialog does not mean that administrators frequently
talk to employees (Zahira, 2018.) . It is a surroundings where worker are not hesitate to
communicate honestly with managers. Open dialog is structurally transparent. It focuses
on program. need a good manager in the first place and employees who feel that their
administrators are open are honest, trustworthy and much more likely to be a positive
relationship with them.
2. Focus on the organization mission and values:- The desire of almost every employee is
to be a part of something bigger than their current situation.. This is true for all 5
generations which are currently entring the workforce. Millennial want to be socially
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responsible and benefit the whole world. Employee mental object in an organization can
build strong relationships and retain employees. Adjust company values with how to treat
employees.(Fadillah, 2018)
3. Increase the Ratio of Positive vs. Negative Feedback:- Most employees are proud of
their achievements, regardless of their actualized performance. Rather, managers and HR
should focus on nine things that were done right, not one that was done wrong. Many
experts suggest giving 2,3 optimistic natural action points for each criticism, and some
suggest 5,6 positive points for each negative point(Hadizadeh, and Bahramzadeh, 2022)
The fundamentals of employment law that apply to specific organizational
examples:-
Nearly all companies apply some form of labor law. Labor law is an area of law that modulate
employment relationships. if a company has multiple employees, the company may apply labor
law. This field consists of both state and federal law and covers many different issues with the
common goal of protecting individual rights. For employees, these laws are designed as, Prevent
discrimination, Promote health and safety, Set the minimum necessary financial support,
Preventing work interruptions due to disputes between workers and managers.(Chakraborty,
Tripathi, and Saha, 2021)
1. Protected Leave Laws:- Employees can take leave under the Family and Medical Leave
Act which is also known as(FMLA), can take time off work to give birth, adopt a child,
or care for their family or a specific family organization. member serious medical
condition(Obuobisa-Darko, and Domfeh, 2018). If a family member is called up for
enlistment in the armed forces, the employee may also be eligible for the required
qualifying leave under the FMLA. The Employment and Reemployment Rights Act of
1994(USERRA) defend experienced and reservists from discrimination and retaliation
for leaving their jobs to serve in the force.
2. Safety:- Managers want to make convinced that place of business protection is a spire
priority. The Occupational Health and Safety Act calls for employers to offer a secure
place of business, which includes any critical compliance education for managers and
employees. If employees are injured all through coating regardless of all of the
exceptional protection precautions, they'll be eligible for worker's compensation, that
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may consist of break day to get better or maybe everlasting disability.(Berber, and
Lekovic,, 2018)
3. Compensation & Overtime:- Managers may ask worker to work extra time, particularly
when faced with point in time or time-sensitive projects. Managers often need to track
how many hours an employee has been working so that they can take the breaks required
by law. The Federal Fair Labor Standards Act (FLSA) sets a federal minimum wage and
requires insurable to pay an hour and a half for overtime 40 hours or more per week.
Increase.
4. State and Local Laws:- it is very important to focus on many states and cities which
have similar law, out of these laws several are more strict than federal law. various list
extra protected characteristics and activities and have exact wage and hour laws(Song, and
et.al ., 2019) Managers need to realize that they are responsible for follow with federal
employment laws, in addition to state and local laws.
The different types of rights, duties and obligations an employer and
employee have within the workplace:-
The rights and responsibilities of an individual and an organization move hand in hand.
Employers set the level with the aid of using talking process expectations, organization
regulations and worker rights to assured and respectful running conditions(Sultana, Salman, and
Irfan, 2020). Employees should do their element with the aid of using running hard, the
regulations and displaying others courtesy.
Safe Working Conditions:- Employers are responsible for providing secure working conditions
to employees that meet the standards (OSHA) standards. OSHA's goal is to cut down death and
injury by reducing the risk famous for the best power. When employers cooperate with
mechanical, deadly chemical substances, or other workplaces, employers who are responsible for
training new employees in workplace security. It is also necessary to provide security facilities
such as masks, goggles, gloves and straps. Employees can protect their own by keeping safety
rule at any time.
Respectful, Non-Discriminatory Treatment:- Favoritism in the workplace is prohibited by
state and federal law. The Equal Employment and Opportunity Commission implement civil
rights protections in the workplace. Under EEOC regulations, employers may not discriminating

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on the basis of age, color, gender identity or sexual position, genetic information, national origin,
pregnancy, sex and sexual orientation. Employers must also make adjustments as required by
law. Workers with disabilities who qualify under the Americans with Disabilities Act are also
protected. Employers and employees may not pursue in harassment, aggression, assault or
bullying that is prohibited by workplace violence rules. Employee rights and duties include
knowing workplace environmental policies, treating others with respect, and reporting
determined violations. (.Palvalin, 2018.)
Fair Labor Provisions:- The rights and responsibilities of employers and workers are clearly
defined in the Fair Labor Standards Act (FLSA), which covers 143 million workers. This federal
law set the working conditions of most occupations, with certain exceptions. The vital principle
of the law is to ensure that workers are paid fair wages for fair work. Employers may be fined for
FLSA violations such as classifications of workers and denial to pay overtime if required by law.
the employee needs to report the exact time worked on the time card. For example, expected to
use time efficiently within 40 hours a week and focus on work-related tasks rather than sitting
with office text message friends.
The psychological contract and support for employee work life balance in
relation to rights, duties and obligations of the employment relationship:-
The term psychological contract refers to the belief, aspiration and cause of individuals as
detected by employers and employees. The concept come out in the early 1960s and is central to
knowing the employment relationship. Art on perception from organizational psychology and
behavior, it provides a good reason for employers to pay attention to the human side of the
employment relationship. Although the concept of psychological contract describes the
expectations and assumptions of employers towards their employees, the concept has primarily
been studied from the employee's point of view. They are dynamic ,constantly evolving by the
organizational experiences. It basically highlights individuals belief of what should be done in
organization and what they are supposed to do. It gives them sense of control and influences
employees as they are the part of the contract and carry out obligations. It improves certainty by
creating sense of predictability,security and control. It focuses on equity perception of reward
and effort relationship. Psychological contract strength depends on how fair the persons thinks
company is fulfilling the obligations without the formal written contract. This determines
persons commitment towards company. It addresses the informal relationship between
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employees and employers which are not easy to define like a employment contract. There are 4
types of contracts-
Transnational contracts- are those which are of limited time with specified
performance terms. It is formed when employment is for short term. It is based on work
in exchange of money with specific and description of duties and responsibilities.
Relational contracts- They are open ended membership but are incomplete attached to
membership. It is based on long term arrangements of employment. Career growth and
remuneration based on trust and loyalty.
Transitional contracts- They are breakdown of contracts which reflects the absence of
commitments for future employment.
Balanced contracts- They are open ended and relationship with performance terms
which can change from time to time.
Determine appropriate advice relating to rights, duties and obligations of the
employment relationship for a range of given organisational:-
Process in which employee and employers eight and duties takes place because these are two
essential factor of an organisation. There are some laws and rule, regulation in the favour of the
employees. It is in progress that these laws, regulations and their interpretation should be
compatible with the existence of employment relationships between domestic laws and
employers and the existence of employment relationships(Wilkinson, 2020). It is consonant and
considering the fact that employment law or labour law is visualised, the boundary of compatible
work is the mission of legal document, considering the protection of employment related people
and workers The obligations of related parties in the situation where each right is considered to
be difficult in thought process of difficulties in situations where each right is difficult, according
with the principles of the ILO declaration on the 1998 and the basic principles and rights . It is
not obvious that it is an attempt to attire the employment relationship, or if there is a legal
framework or interpretation , application form disadvantage or restriction, the written agreement
indicates that the worker's has a protected work . When expired, roles international guidance to
members to achieve this protection through domestic laws and practice, and this is manual
process which is associated with time passes, and people protected it as a worker who can
maintain, especially affected and efficient, effective and comprehensive, impulsive compliance,
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which use rapid results, promoting a year recognition that domestic policy should be a result of
consulting with social partners, Based on organization suffering from parties affected by the
individuals. the acceptance that it should promote ordinary growth, labour standards and decent
jobs, and globalized economy raise worker mobility, at least select the law Employment of
employment related employees, employers, Among the services that are considered to be
employers, employment relationships are considered to be employment relationships, the
associated worker, and their community, and their society, and that may cause serious problems,
and claims that uncertainty must be resolved with respect to the presence of employment
relationships. One fair competition and effective employment worker is to address the special
situation of women, especially those that recognize special situations of women, and people with
employment were judged that these proposals have to accept the form of recommendation.
Safe Working Conditions should be there in the organization each and every employee should
feel safe in workplace, individual should be motivated and appraised according to the
performance and treat the employee in a very respectful way. If any organization treat their
employee in well effective way employee also provide the same from their side. There should be
Non-Discriminatory Treatment between the employee regarding the favoritism, male, female,
black white and etc which is described above. Fair Labor Provisions and Safety Protected Leave
Laws, under fair labor law set the working conditions of most occupations, with certain
exceptions. Where safety protected law describe or consist the medical leave and any leave
which directly relates to health and medical facility of employee because health come first at
every point according to the law. (Andati, and Otuya, 2019.)
stakeholder
Engagement and contribution can support positive employment relationships
within an organization:-
stakeholder participation is the process by which a company communicates and knows about its
stakeholders. knowing each other, organization know what they want, when they want it, how
committed they are, and how their plans and actions influence their goals. Can better understand.
improving communication and rethinking strategy and operations can provide long-term benefits
such as brand reputation and starter advantage. Stakeholders are unit that affect and may be
affected by an organization activities, products or services, and related performance. This
explanation does not include everyone who may have knowledge or thought about the

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organization. There are many stakeholders in an organization, with different types and levels of
participation, often with different and sometimes contradictory interests and concerns.
Importance of stakeholders:- It supply businesses a social license to function, expand and
innovate. This improves the relationship between the company and its stakeholders. It gives the
company a positive image and raise the company's reputation. Avoid litigation and objection
costs. This helps companies find new trends, act proactively, and act with a starter advantage
over their competitors.(Galais, and Moser, 2018)
Stakeholders
Six Benefits of Stakeholder Engagement:-
Education:- Communicating straight with stakeholders gives not only a stakeholder perspective,
but also new perception into products and issues that can help in gain a competitive advantage.
But make it sure to include multiple perspectives in the outreach to guarantee that organisation
can hear from all sides.
Effective Decision Making:- Education from the new perspectives can change the way of
thinking about problems and make more advised decisions.
Trust:- When contacting stakeholders organization let them know that they value their linear
perspective. This cooperative approach which helps an organization to build loyalty and
goodwill in the respective market field. This is especially useful when working after a bad
situation occurs.(.Gollan, and Davis, 2018)
Different stakeholder perspectives and interests in the broader business
environment to support positive employment relationships:-
The internal stake holders are those who are completely involve in the operation and strategy of
an organization. Internal stakeholders, primarily employees, owners and managers, are some
kind of internal stakeholder present in every origination.
Internal Stakeholders
Employees:- Employees are the most important internal stakeholder present in an organisation.
In an organisation employees make important financial and time investments as well as play's an
important role in the strategy, tactics, and operations that the organization implements.
Managers:- Managers have an important role in setting an organization's strategy and they plays
a crucial role in making the decision regarding their business operation. The main responsibility
of a manager is to make an involvement of the stakeholder, authorities in the business function.
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Owners:- Owners which may consider shareholders of recorded organizations and they have the
large stake portion of the company. The duty of the owner is to present their organisation in an
impressive way in their respective market and make effective strategies which will enhance the
work of the company operations.(.Kim, 2018.)
External Stakeholders
In an organisation there are several outside stakeholder or investors presents who give their ideas
and thoughts to the management before the company is making some decision regarding their
business operation. However, there decisions can make a impact on overall business activity, due
to this they can effect the elements related to an organisation such as employee, clients and
communities etc.
Customers: The main aim of almost every organisation is to fulfil the needs and wants
of the people by offering them high valuable products. Communicating with customers
through social media, emails, store fronts, person trying out groups, and the shipping of offerings
and items is an essential issue of conserving a robust community.
Governments:- tax businesses and are a significant part of their success. Give the motivative of
the interests involved, the government can surely be considered a major interest group.
Governments also conduct time-to-time supervision to assure that accounting activity, ethical
pattern, and legal concerns are followed completely by the company officials.
Supplier:- Suppliers and other plan of action regarding alliances are interdependent, and success
in one influences success in the other. the supplier is closely connected with the organization as a
major external stakeholder. Timely payments, deliveries, communications and operational
processes are key to hold a strong position.
The impact of both positive and negative employee relations within the
workplace:-
Positive Employee Relations:- The positive relationships with our employees are
Communication with continuous and intensive factor. The recruiting procedure is planned to do
communication with the challenges of employment relationships, and at some point of time all
the worker will have to face trouble with them. This can be due to the behavior of associate,
hiring managers, applying company policies, interrupt ambitions, and many other explanation.
Healthy worker relationships also reject conflicts and battles between individuals. People
tend to be more adjustable and stop finding flaws in each other. The individual does not
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waste time on empty conflicts and discussions, but concentrates on his work and works
hard to achieve better performance. They start treating each other as person and do their
best to cooperation and make everyone happy.(Ludwikowska, 2022)
Healthy and safe worker relationships reduce the trouble of absence in the workplace.
Employee take their work much more seriously and want to come to the office on a daily
basis. They don't take holiday rather they start liking their work.
Work will become clean if target shared among all. A wholesome relation together along
with employees could simplicity the key load on organization and will increase
productivity. Responsibilities should be separated among unit individuals to perform the
assigned duties inside the specify time frame.
Employees are companies important resources and asset. Their work performed has
direct impact on work productivity. So, it is important for employers to maintain healthy
relations with employees. It results in increased morale and motivation.
Negative Employee Relationship Management
The main motive of the employee is to enjoy every positive aspect present in an
organization which leads them to give their best in the respective work area. Least
interested employees can not satisfy the work which is needed from them by an
organization. Negative employee can ruin the business atmosphere by spreading bad
rumors about the company to other employees.
Employees frequently change their job if they are not satisfied with the management or
administration of the company where they are currently working. If there is an un-healthy
relation with the co-workers and management then the employee will find it hard to do
work in this kind of atmosphere. The organization spends lots of money and time to train
new employee's, so they can easily coordinate with the past employee, but many of the
time this training session fails miserably.
No one likes to take tension home. Struggle always lead to stress at work, and people feel
restless at home. (Lubis, 2019)
Poor relations hinder the development of organization. Employees cannot perform
better because of bad relations between employees and employers.

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Both positive and negative employee relationships can affect employee
engagement, motivation and performance:-
Positive
Improved Job Performance:- Motivated worker are more probable to perform improved than
employees who feel they are doing their best without motivation. if individual run a sales-based
business and offer commissions to salespeople, they normally work harder to get more selling.
This is also true if individuals appreciate the excellent customer service of employees. The praise
is likely to carry employees to that standard.
Improved Job Satisfaction:- When employees are motivated by financial and non-monetary
incentives, they tend to feel more systematically stronger in their quality to work at a higher
level. This helps them feel a valuable and important part of organization, which related with
increased job satisfaction. A small business mission statement needs to guide employees to the
definition of success. motivating and rewarding employees by clearly authorities that success in
the position of an employee means explaining the details of all the cars in the lot every other day.
Negative
Can Create Workplace Conflict:- It is one of the most negative factor on employee motivation
because it directly create conflict and raise tension environment in the organization. If the hard
work done by an employee is not appreciated and recognized than they feel demotivated to do
work with the same efficiency, which can lead to decrease in overall business performance. It is
difficult for manager to give all employees the same level of motivation. It's important for an
organization to identify those employee who are more loyal towards their given work because it
is very crucial duty for the management to motivate these kind of employee to enhance their
business productivity. (.Delpierre, 2021)
Emotional exhaustion- It is described as the state which happens by emotional and
psychological demands of employees. It also mentions that work and family conflicts are
negatively related to emotional exhaustion. The factors affecting are job tension,age and tenure
on the job. It leads to absenteeism,job change and intention to leave. Employees having job
demands are more exhausted. Employees having higher rate of exhaustion in early career were
less chance of switching jobs.
CONCLUSION
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In this following report we concluded that employee relation is process with refer to an
enterprise efforts to develop and maintain the positive environment and relation with the
employee of the organisation. By keeping positive relationship, constructive relation, with the
help of these factor an organisation can keep employee loyal and engaged toward the work and
The value and importance of employee relations in application to specific organizations are
important in many ways such as employee social relation, Various mechanisms for managing the
employment relationship, fundamentals of employment law, different types of rights, duties and
obligations an employer and etc. employee engagement, motivation and performance in their
organization can be affected by positive as well as negative employee relationship.
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REFERENCES
Books and Journals
Liu, C., 2021. CEO gender and employee relations: Evidence from labor lawsuits. Journal of
Banking & Finance, 128, p.106136.
Poon, T.S.C., 2019. Independent workers: Growth trends, categories, and employee relations
implications in the emerging gig economy. Employee Responsibilities and Rights
Journal, 31(1), pp.63-69.
Unsal, O., 2019. Employee relations and firm risk: Evidence from court rooms. Research in
International Business and Finance, 48, pp.1-16.
Câmara, A. and Petrenko, O., 2021. The influence of diversity and employee relations on
corporate philanthropy and performance. Business and Society Review.
Zahira, N., 2018. PELAKSANAAN KEGIATAN EMPLOYEE RELATIONS DALAM
MENINGKATKAN KINERJA KARYAWAN (Studi Kasus Pendidikan Dan Pelatihan
Profesi Lpp Tvri Jakarta) (Doctoral dissertation, Universitas Pembangunan Nasional
Veteran Jakarta).
Fadillah, D., 2018. Pengelolaan program penghargargaan pegawai teladan melalui Role Model:
studi kasus tentang kegiatan Employee Relations di Pengadilan Tinggi Agama Jawa
Barat Jl. Soekarno Hatta no 714 Bandung (Doctoral dissertation, UIN Sunan Gunung
Djati Bandung).
Chakraborty, T., Tripathi, M. and Saha, S., 2021. The Dynamics of Employee Relationships in a
Digitalized Workplace: The Role of Media Richness on Workplace Culture. In Critical
Issues on Changing Dynamics in Employee Relations and Workforce Diversity (pp. 175-
205). IGI Global.
RAHMADHANI, S., 2018. EMPLOYEE RELATIONS DALAM MENINGKATKAN
PROFESIONALISME KERJA KARYAWAN DI PT. PLN (PERSERO)
PEMBANGKITAN SUMBAGUT SEKTOR PEMBANGKITAN PEKANBARU (Doctoral
dissertation, Universitas Islam Negeri Sultan Syarif Kasim Riau).
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Palvalin, M., 2018. What matters for knowledge work productivity?. Employee Relations.
Andati, R.O. and Otuya, D., 2019. A Critical Review of Literature on Labour Relations and
Employee Performance in Kenya after the Promulgation of the 2010 Constitution. A
Critical Review of Literature on Labour Relations and Employee Performance in Kenya
after the Promulgation of the 2010 Constitution (December 26, 2020). American Based
Research Journal, 8(12).
Galais, N. and Moser, K., 2018. Temporary agency workers stepping into a permanent position:
social skills matter. Employee relations.
Gollan, P.J. and Davis, E.M., 2018. Employee involvement and organisational change: the
diffusion of high involvement management in Australian workplaces. In Models of
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Lubis, A.S., 2019. The influence of adversity quotient and job stress on employee performance
through work motivation as an intervening variable (Study of conventional taxi drivers
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Delpierre, A., 2021. An employee group without right?. Revue francaise de sociologie, 62(1),
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Ludwikowska, K., 2022. Employee-oriented human resource policy as a factor shaping the
influence of servant leadership on job performance. International Journal of
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Kim, D., 2018. Examining effects of internal public relations practices on organizational social
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