How Employee Relations Can Influence the Behaviour of Different Stakeholders
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This report discusses the values and importance of employee relations, fundamentals of employment law, and different rights, duties, and obligations of employers and employees in the context of Unilever. It also includes stakeholder analysis and an evaluation of the impacts of positive and negative employee relations on different stakeholders.
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How employee relations can influence the behaviour of different stakeholders Table of Contents INTRODUCTION...........................................................................................................................1 MAIN BODY...................................................................................................................................1 Values as well as importance of employee relations along with fundamentals of employment law applied to entity...............................................................................................................1 Different kind of rights, duties addition to obligations which are with employer and employee along with suitable advice related to duties, obligations and rights.......................................3 Stakeholders analysis along with analysis related to the ways in which stakeholder engagement along with contribution can support employment relations at workplace in positive manner......................................................................................................................7 Analysis of impacts of positive along with negative employee relations on distinct stakeholders............................................................................................................................8 CONCLUSION..............................................................................................................................10 REFERENCES..............................................................................................................................11
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INTRODUCTION Employee relationship is defined as process of managing relations by management of companies within their workforce which results into positive working environment. It could be describedasmultidisciplinaryareasthatdefinesvariousmethodstomanagecomplex interrelations between seniors, workers, trade leaders and (Aloisi, and De Stefano, 2020). In currenttimesithasbecomeverynecessaryforemployerstomaintainstrongemployee relationship in order to operate business operations smoothly, productively and efficiently. In the followingreportUnilevercompanyhasbeentakentounderstandimpactofemployee relationship on various stakeholders behaviour. The selected company is a leading multinational organisation which deals on international level and has its headquarter in London, England. The report discusses about importance and value of employee relationship along with fundamentals of employment law, various rights as well as obligations to responsibilities of worker in company. Furthermore, this report also contains overall stakeholder analysis for respective company and evaluation of optimistic and negative influences of worker relationship on different stakeholder. MAIN BODY Values as well as importance of employee relations along with fundamentals of employment law applied to entity Employee relationship is defined as demonstrative, applied, physical and contractual relationship that workers maintain among them at different stages of a firm. This helps them in making their bond stronger among superior authorities and co-workers. Employee relationship becomes stronger when they identify and resolve conflicts along with measuring morale as well as providing them support. In current times every company pat their focus on implementing strong employee relationship by creating positive working environment for their workforce. In case of Unilever, there are various components which helps in determining value and importance of employee relationship at workplace. Provided below are some points that will define value and importance of employee relationship: Reduce conflicts: Strong employee relationship results into more positive and productive working environment for employees within company (Harsh and Prasad, 2021). For instance, in case of Unilever, healthy relationship within workers is very important as it reduce the chances 1
ofconflictsandmisunderstandingsamongthem.Thisallowsthemtohaveeffective communication between them and leads to make some adjustments which could assist them in understanding opinions of each other. Enhance productivity: Healthy working environment within a workplace leads to more productivity among employees and they put their all efforts to accomplish organisational objectives. It increases the motivation among employees to work together with morale of completing given assignment with high efficiency. In case of selected company, its values and importance of employee relationship is reflected through its investment in various programmes that represent enhancement in productivity that also improves profits for organisation. Employee loyalty: If employees are provided with positive working environment than it will reflect drastic modifications in their loyalty and turnover rates. In case of respective organisation, productive working environment motivates employees to remain loyal that results in improved retention of personal which reduces several costs such as recruitment, training, sourcingandothers.Itisalsoveryessentialforcompanytomaintainhealthyworking environment to employees so that it could decrease absenteeism issues and making them loyal towards company. Fundamental related to employment law Employment law is described as assortment of legislations which are essential to be executed for sustaining strong relationship between employees and companies. It is defined as wide part which includes factors related to relationships except negotiation process which mainly included in labour law and communal bargaining. There are several fundamentals that are associated with employment law which are being executed by managers of Unilever company in its overall department. These employment laws are explained below in detail: Workplace safety law: Workplace safety law:This law states that it is very essential for companies to provide safety for their employees at workplace. It is necessary for senior authority or managers to keep working environment healthy, safe and positive for(Audenaert,George,and Decramer, 2019).king case of Unilever, HR department implements this law to protect employees from discrimination and other toxic situations so that they could feel safe. They provide all safety measures and take all the precautions necessary for safety of employees. 2
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Minimum wages law:This employment law states that all the employees have right to claimminimumwagesfromtheiremployers.Accordingtothislawitisessentialfor organisations to pay around €6.15 2 employees aged between 18 to 20, people who are aged between 21 to 24 must be given around €7.70 and individuals who are about the age of 25 years should be provided with approximately €8.21. In terms of selected company, its manager provide minimum employment wages to the workers working in the company in order to maintain positive workplace environment. It is recommended to the executives of Unilever that they must include workers in decision creation process, encourage effective communication, make them feel appreciated, provide them with rewards, offer profession development opportunities, encourage healthy work balance life and implement strategies to eliminate (Florek, 2020Valenduc, 2019). When all these factors will be implemented by the selected company then it could be able to improve employee relationship in a very active manner. Different kind of rights, duties addition to obligations which are with employer and employee along with suitable advice related to duties, obligations and rights. Various applications, responsibilities and rights of company and worker are mentioned below: In a company, employees and employers have several type of rights duties and obligations. In case of Unilever, some duties, rights and obligations are explain below: Employers Rights: Following are the rights of owners of Unilever: •It is the right of the company to claim hard work from its employees. In terms of selected company,itisrightforthefirmtoexpectfulldedicationofitsemployeesin accomplishing desired objectives. •The another right of employer includes executing work policies at workplace. In case of 3
respective company, it is it’s right to implement suitable workplace policies according to the demand of situation and conditions (Boella and Goss-Turner, 2019). Duties: Some of the responsibilities that are within managers of Unilever are below: •One of the major duty of employer includes providing wages to employees on time. In case of selected company, it is its duty to pay employees according to their performance at workplace. •Another duty of employer includes ensuring that all the provider resources are being utilised by the employees. In terms of respective company, it is its duty to monitor that all equipment are being used by employees in very useful manner. Obligations: Owner of Unilever have subsequent obligations: •One of the applications of employer involves delivering correct information at workplace to every employee in a proper manner. In context to selected company, it is essential for firmtoprovideaccurateinformationwithoutanymiscommunicationamongits workforce (Liu, Zhang and Fang, 2021). •Another application of employers include maintaining records of workers in a very systematic manner. In case of selected company, it is necessary for the firm to keep data of employees perfectly. Employees Rights: Succeeding are specific rights of employees that are elaborate in Unilever: 4
•It is right of the employees working in the selected company to demand for wages according to their performance on time. •Another right of employees include equally paid by the employer. The respective company is required to pay all the employees equally without any discrimination based on gender, caste, religion or any other aspect. Duties: The responsibilities of Unilever Workers are discussed underneath: •The primary duty of employees working in Unilever include obeying all the rules and regulations implemented by the company according to the employment contract. •Another duty of employees of Unilever switch to put maximum efforts in accomplishing desiredorganisationalobjectivesinordertogainprofitabilityforthe company(Nechanska, Hughes and Dundon, 2020). Obligation: Obligations that are in workers of Unilever are below: •Employees of the respective company are obliged to follow all the instructions provided by their senior authorities. •Employees are also obliged to inform company about any misconduct happening in the company. In terms of selected company, employees are obliged to provide every detail related to any uncertainties at workplace. Advices related to rights, duties and obligations of employment relationships ExecutivesofUnileveraresuggestedtoguardworkersandcreatehealthyworkplace 5
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environmentbyimplementingeffectivebusinessstrategiessuchascontinuesfeedbacks, delegating tasks, conveying roles and responsibilities of employees. In addition, there are several circumstances that the firm is experiencing such as shared values, continuous learning and others. It is essential for all the employees to have certain duties, rights and obligations which needs to be fulfilled by employer. In case of Unilever, provided below are some suggestions Rights: Company should have right to motivate employees in order to create positive work environment through implementing strong employee relationships. For instance, in order to build work life balance in the respective company it is essential to maintain or organise all the activities systematically by the senior (Fenech, Baguant and Ivanov, 2019). The company needs to involve employees in decision making process and encourage them to participate In Group discussions. In terms to workers, it is advised to follow all the terms and conditions implemented by company in order to maintain work life balance. Duties: The respective company is advice to follow their duties in order to provide employees a healthy working environment along with resolving all the conflicts arise among them. For instance, if the company faces any uncertainty situation that could impact business operations, then it must take all the necessary actions to prevent that. In addition, it is advisable to employees to perform their duties with perfection and loyalty. Obligations: It is recommended to the selected company to take all the required action at the time of any uncertain situation or accident. For instance, the company is obliged to take a person met with an accident to the nearby hospital as soon as possible. Furthermore, it is advisable to employees to avoid risky working places show that take it remain safe while working. Evaluation of psychological contracts Psychological contracts are defined as unwritten collection of expectations that represents mutual beliefs, informal applications and other factors between employees and employers. In terms of Unilever, it is being observed that psychological contracts play a very vital role in representing 6
values, beliefs and other factors that are required to be adhere by it and its employees. With the assistance of this agreement, worker could build strong work life balance and development of effective communication occurs which results in adhering all duties, rights and obligations at distinctive levels. Stakeholders analysis along with analysis related to the ways in which stakeholder engagement along with contribution can support employment relations at workplace in positive manner. Stakeholder analysis is defined as a tool which is implemented by companies in order to identify key individuals proceeding to implementing project, making team, level of participation and interest which determines their involvement at workplace.By utilising stakeholders analysis framework, senior authorities of Unilever could determine and evaluate requirements of all the employees working in a particular project or within firm. Grade of stakeholder analysis in context of the selected company is provided below LEVEL OF INTEREST LEVELOF POWER HIGHLOW HIGHOwnersGovernment LOWEmployeesCustomers According to the above mentioned grid, components related to power level and interest level are being taken to complete stakeholder analysis. The important stakeholders which are involved and provide maximum contribution in supporting positive employee relationship in context to the selected company are mentioned below High power, High interest:This is stakeholder represents owners and management of Unilever. These individuals have high power and high interest in all the business activities conduct in the company. It has been observed that they make contributions through executing 7
their decisions and involved themselves with other people in order to share information or opinions. They also put their contribution in resolving issues related to workplace which results in developing employee relationships. Low power, high interest:This category of stakeholder analysis represents employees who have less power and high interest within a company. In terms of selected company, its employees have high interest and performing all the provided tasks and responsibilities but posses low power because they do not have any right to take decisions. These stakeholders involve themselves in all the activities and operations by contributing their efforts in order to accomplish organizational objectives which results in developing positive employee relationship at workplace. High power, low interest:It is index of stakeholder an analysis represents government which have less interest but high power in impacting business operations of Unilever. The government could influence business operations through implementing laws related to working standards that must be followed by the company and its employees. Low power, low interest:This index of stakeholder analysis includes customers who plays essential role in business. In terms of selected company, its potential customers have low power and low interest in business practices implemented by the company (Steijn and Giauque, 2021). They are only interested in buying offered products by the organization in the market. In addition, they contribute in supporting employee relationship within a company by making buying decisions and giving them positive feedback. Analysis of impacts of positive along with negative employee relations on distinct stakeholders. Employee relations influence various stakeholders in different manner which could impact business operations of a company. Below mentioned our analysis of impacts that positive and negative employee relations have on different stakeholders in terms of Unilever Customers: It is referred as important stakeholder which have huge impact on to business operations of company. Some of the impacts that employee relation have on customers of the 8
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selected company are being evaluated below Positive: Positive employee relationship results in coordination among employees and employer under which they gave all products demanded by the customers without any delay that results in satisfactions of consumers that keeps them retained with the company (Yang and Basile, 2018). It would result in providing positive feedback and they will remain happy with the services provided by the company. Negative: Negative employee relationships impact on demands of customers because of which they might switch to other firms who offer similar products with additional facilities and features. It could impact on interest of customers and they will be unhappy with the service which results in negative feedback by them. Owners and managers: These are represented as those stakeholders who are responsible to organise and manage all the necessary business activities and provide guidance to employees. Negative and positive impacts that employee relations have on these stakeholders are mentioned below Positive: Positive employee relations Represent that owners and managers have provided them correct guidance in order to accomplish desirable goals. It influence in execution of policies and other factors on time show that all business operations are executed promptly. Negative: Negative employee relations impacts drastically on the implemented policies that could restrict working growth and development of the company. Employees: These are considered as essential stakeholders of a company who contribute in large banner in accomplishing maximum objectivesthat results in higher productivity (Andersson, 2019). In context of Unilever, positive and negative impacts of employee relations on employees are explained below Positive: Positive employee relations influence on improving productivity, loyalty and 9
boost the morale of employees to achieve targets effectively. It also assist them in resolving their conflicts and walk together for a specific goal. Negative: Damaging employee relations influences employed capabilities of staffs and also discourage them. In addition, employees also start leaving the company because of negative working environment which results in higher number of absentees that could impact growth of company. CONCLUSION From the above discussion it has been determined that worker relations play very important role within a company. Improving productivity, conflict reduction and enhancing member loyalty are some of the values and important factors associated to employee relations. Employment laws fundamentals which are important and must be implemented by the company includes minimum wages law and workplace safety law. There are certain rights, duties and obligations that that are required by the employer and employees to follow as well as executed within a company. It has been observed from stakeholder analysis the different stakeholders could be positively or negatively impacted by employee relations. 10
REFERENCES Books and Journals Aloisi, A. and De Stefano, V., 2020. Regulation and the future of work: The employment relationship as an innovation facilitator.International Labour Review,159(1), pp.47-69. Andersson, R., 2019. Employee communication responsibility: its antecedents and implications for strategic communication management.International Journal of Strategic Communication,13(1), pp.60-75. Audenaert, M., George, B. and Decramer, A., 2019. How a demanding employment relationship relates to affective commitment in public organizations: A multilevel analysis.Public Administration,97(1), pp.11-27. Boella, M.J. and Goss-Turner, S., 2019. Employee relations. InHuman resource management in the hospitality industry(pp. 307-318). Routledge. Fenech, R., Baguant, P. and Ivanov, D., 2019. The changing role of human resource management in an era of digital transformation.Journal of Management Information and Decision Sciences,22(2), pp.1-10. Florek, L., 2020. Temporary Employment and the Employment Relationship. InNews Forms of Employment(pp. 193-201). Springer VS, Wiesbaden. Harsh and Prasad, A., 2021. Employment relationship and organisation capability: a conceptual framework.International Journal of Business Innovation and Research,24(3), pp.397- 416. Liu, L., Zhang, C. and Fang, C.C., 2021. Effects of health-promoting leadership, employee health on employee engagement: employability as moderating variable.International Journal of Workplace Health Management. Nechanska, E., Hughes, E. and Dundon, T., 2020. Towards an integration of employee voice and silence.Human Resource Management Review,30(1), p.100674. Steijn, B. and Giauque, D., 2021. Public Sector Employee Well-Being.Managing for Public Service Performance: How People and Values Make a Difference, p.221. Valenduc, G., 2019. New forms of work and employment in the digital economy. InThe deconstruction of employment as a political question(pp. 63-80). Palgrave Macmillan, Cham. Yang, J. and Basile, K., 2018. The impact of corporate social responsibility on brand equity. Marketing Intelligence & Planning. 11