Employee Relations and Employment Law: ALDI Case Study Report

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This report delves into the critical aspects of employee relations within organizations, using ALDI as a specific case study. It explores the value and importance of employee relations, highlighting their impact on productivity, employee retention, and dispute reduction. The report examines the fundamentals of employment law, including flexible working acts, working time regulations, and health and safety regulations, and how they apply to ALDI. It outlines the rights, duties, and obligations of both employers and employees, providing practical advice for managing the employment relationship effectively. Furthermore, the report conducts a stakeholder analysis, assessing the impact of both positive and negative employee relations on various stakeholders. Overall, the report provides a comprehensive analysis of employee relations and its implications for organizational success, offering valuable insights into creating a positive and productive work environment.
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Employee Relations
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Table of Contents
INTRODUCTION...........................................................................................................................3
SECTION 1......................................................................................................................................3
Explain the value and importance of employee relations in application to specific
organisational examples...............................................................................................................3
Explain the fundamentals of employment law that apply to specific organisational examples.. 5
Explain the different types of rights, duties and obligations an employer and employee has
within the workplace....................................................................................................................6
Determine appropriate advice relating to rights, duties and obligations of the employment
relationship for a range of given organisational examples..........................................................8
SECTION 2......................................................................................................................................9
Conduct and complete a stakeholder analysis for a given organisation......................................9
Analyse the impact of both positive and negative employee relations on different stakeholders
...................................................................................................................................................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13
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INTRODUCTION
Employee relation is considered as various actions which have been conducted through
employer for maintaining effective relationship with staff. As entity which maintains healthy
workers relation facilitate reliable as well as fair treatment to their staff which in future assists
them to be committed towards its task and remain loyal towards firm. Moreover, maintaining
effective relationship assists firm to minimise personnel disputes, enhance employee morale and
increase whole productivity (Brockman, Luo and Xu, 2020). For this report, the undertaken
company is ALDI which is a discount supermarket retailer that performs their business globally
as well as provides various products such as foods, household’s essentials and many more. Its
headquarters is in Essen, Germany. This report covers some topics that are employee relation’s
value and significance along with employment law fundamentals. Moreover, several kinds of
rights, duties and obligations which employer and employee have into firm. Apart from this,
stakeholder analysis along with optimistic and pessimistic staff relation affects over various
stakeholders is also discussed in this report.
SECTION 1
Explain the value and importance of employee relations in application to specific organisational
examples.
Employee relation is regarded as a potential done through entity in order to maintain an
effective relations among employer and employee. A company with healthy staff relationship are
very much competent as well as productive at market area as healthy workers perform with more
potential and dedications. The main reason beside this is that staff should be treated fairly so that
it has be committed towards its job as well as contributes towards attainment of firm’s
objectives. In respect of ALDI which is an international retailer that provides various ranges of
product with the help of their supermarket which perform across the world. This maintain a huge
personnel which greatly contributes towards exploring market shares through keeping audiences
satisfied with its services by doing direct interactions (Chen and et. al., 2020). Therefore, this is
vital for them to maintain effective relationship with their staff to be happy as well as loyal
towards firm.
From various analysis, this has been determined that ALDI’s staff has complaints that they
pressure them to perform harder and also for additional hours. The key problem that can
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develops dissatisfaction among personnel as well as drives toward staff turnover with pessimistic
brand publicity. Therefore, for overcoming from it, respective organisation should put efforts
upon developing their relationship with staff members for minimising personnel problems as
well as maintain its performance into market area.
The values as well as significance of maintaining effective relations within entity are
discussed below:
Enhanced productivity: Through maintaining an effective relationship with staff, ALDI
will become competent to develop a good workplace that support to influence towards
their task performance in more effectual way. As when workers are happy to performs for
entity in producing more revenue.
Retain loyal workers: An employee who experiences a pessimistic atmosphere as well as
do not have healthy relationship with their employer are encourage them to leave the
entity. Therefore, through maintaining effective relationship with ALDI’s staff will make
them competent to develop loyal workers personnel who stay as well as perform for firm
for longer durations.
Discourage disputes: when staff is treated in fair manner then it initiated following the
instruction which is facilitated to them related with its work. It outcomes in reducing
stress level within workers that in turn minimises the possibilities of disputes among staff
towards administration.
These whole are advantages which respective organisation will obtain to maintain an
effective relationship with their workers at work area (Cullinane and Donaghey, 2020).
Moreover, the mechanism by that they may develop healthy relationship which supports them for
overcoming form their present problems are described below:
Delegation: The respective organisation should delicate few authorities within their staff
for enhancing its competencies through challenging them with harder work. It assists
them to increase its confidence as well as faith towards their administration that assists to
develop employer and employee relations.
Divide task: the respective organisation may develop their relationship with staff
members through minimising its work pressure by dividing its task between another
individual. As it will facilitate double advantage which workers can able to accomplish
its work on specified time and objective will be attained.
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Appreciation over performance: This is the vital aspects which should be undertaken
through ALDI in order to develop effective employee relationship. The firm has to
appreciate as well as also reward their staff over its effectual performance that support
them to keep personnel encouraged towards its task and satisfied with the policies of
employer.
Explain the fundamentals of employment law that apply to specific organisational examples.
The key issue faced through ALDI is enhancing dissatisfaction within workers related to
its job because of higher pressure upon staff in respect of their performance as well as additional
hours working that they obtain during its job. This problem has impacted the relationship
between employer and employee up to a huge extends and drives towards pessimistic publicity
into market area. Therefore, for overcoming from this, respective organisation has to concentrate
upon imposing various employment regulations into its workplace which support to develop a
faith among staff towards administration. Employment law includes of specific norms or
guidelines which is imposed through government for safeguarding the employee interest at work
area as well as saves them from various exploitation (Kang and Kim, 2020). Some act in
employment law that ALDI should comply for improving their employee relations and their
reputation at market area are discussed below:
Flexible working act 2014: This is considered as the vital employment law that is usually
imposed through the government of United Kingdom for providing a flexible working
hour’s option to its workers in which they opt the timings for their work according t its
requirements. It assists them to reduce the problems as well as dissatisfaction among staff
members.
Working time regulation act, 1998: This is also considered as the crucial employment
law that is imposed through the government of United Kingdom with intent of limiting
the workers working hours so that it cannot able to develop through their employer
(Kataria and et. al., 2020). According to this, employee cannot lawfully require to
perform for above 48 hours in a week. Along with this, they also facilitate employees’
benefits such as some rest period in every work say or among its shift. It should be
executed through ALDI at their work area that assists to limit the staff working as well as
it also aids in minimising its level of dissatisfaction and stress towards entity.
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Contract of employment act, 1963: It is the employment law act of United Kingdom
government that imposed the needs of legal notice related to terms and condition upon
which a worker has to perform into entity. Moreover, through clearing the condition of
work in advance with staff respective organisation will become competent to obviate
disputes in future time period.
Health & safety act, 2018: This act is considered as the fundamental part of legislation
that covers occupational health & safety into Britain. This established common
responsibilities that employers have towards staff as well as public. The main intent of
this regulation is to assure employees’ exposure for ionising radiation is kept as lower as
affordable practicable. This has to be comply into respective organisation as this states
that all staff has to safeguard themselves as well as other from hazards of work area.
Explain the different types of rights, duties and obligations an employer and employee has within
the workplace.
The employer is accountable for facilitating a safe as well as favourable atmosphere to
perform so that their staff may do its work in effective manner. So, in respect of this, there are
numerous obligations which are needed to be performed through employer in favour of their
workers (Maheshwari, Samal and Bhamoriya, 2020). This will assists ALDI to keep consumers
satisfied with its job and workplace. So some obligation and rights of employer are discussed
below:
Duty or obligations of employer:
Fair treatment: It is the aforementioned employer duty or obligation is that they should
treat their workers in fair manner as well as do not apply bad treatment or any kind of
discrimination sort of attitude towards workers. As this may drives staff to loose focus as
well as motivation into its task that also outcomes in staff turnover (Margono, 2020).
Along with this, under Fair labour standard act, respective organisation is grateful to treat
their workers in fair way and must not force them to perform their practises which are
beyond its ability.
Safety: The employer have obligation to facilitate a safe atmosphere to their staff in
which they are may perform freely as well as without any kind of fear. So, under the
health and safety act, ALDI has duty to develop a work environment that is secure
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enough for workers to perform as well as so not includes any kind of health risk. This
supports them through maximising its productivity and staff satisfaction related to its job.
Rights of employer
The employers have rights to set the standards related to its recruitment criteria for
recruiting competent individuals for its job position in respect of their ability, experiences
and education background.
Also, employer have rights to demand from its workers to perform effectively into its
interested organisation as well as not by its own as well as they should not solicits the
business for its personal advantage.
The employers have rights to demand from their staff that confidentiality information of
firm should not be shared to another party.
Beside whole this, staff also possess specific obligation or duties which they need to do for
the organisational interest as this is its morale accountability. Along with this, workers have
some rights that aids them from being safeguarded against any kind of discrimination at work
area (Nechanska, Hughes and Dundon, 2020). Some of employee’s rights and obligation are
discussed below:
Rights of employee:
Equal employment opportunity: Employee has rights to perform into an atmosphere that
is free from discrimination as well as harassment according to Equality act. This
regulation protect employee rights as well as facilitates them an opportunity for
demanding equality from their employer in respect of remunerations, work hours and
many more.
Working condition: Employee have rights for expecting or demanding their employer a
job into secure atmosphere that do not include any kind of undue stress. Harmful work
atmosphere also includes unreasonable job accountability that do not any workers
perform their work in effective way.
Duty or obligation of employee:
Worker are obliged for co-operating with employers into Health and Safety norms as well
as should not misuse the equipments which have been facilitated to them for safety intent
at work area.
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Moreover, employees duty is, not to share the information of employer publicly or
another party unless they has been asked through employer.
This is worker’s duty that they should compete into business against their employer as
they are performing into firm as a regular employee.
Determine appropriate advice relating to rights, duties and obligations of the employment
relationship for a range of given organisational examples.
Employers have various accountabilities and duties which they should accomplish in
effective manner for maintaining an effective relationship with personnel that further supports
organisation in order to retain their workers for long duration (Nwagbara, 2020). Along with this,
workers are also accountable for contributing towards developing its relationship with employers
through performing its duties. Moreover, it will also support in reducing various other problems
which are generally faced through both at work area. Some advices are given below:
Employee relationship: In context of ALDI, workers are being forced to perform more
and for long time rather than its regular work hours that is key reason behind firm
relationship associated with problems. Therefore, for developing their relationship with
staff, they should perform their responsibility of fair treatment for their personnel. For
instance, respective firm may either recruit more staff during work pressure so that work
can be categorised among another employees or this may be divided the staff shift so that
it may obtain rest from its job. Therefore, this assists respective firm to reduce employee
turnover rate as due to effective staff relation a kind of positive working environment is
developed which motivates them to perform for long period.
Health and Safety: Beside this, respective organisation should concentrate towards
facilitating a healthy as well as secure atmosphere in which workers may perform in free
manner without any kind of fear. Workers have rights for get healthy work atmosphere
with effective work situation. Within this, staff may raise voice against their additional
work pressure so that strict action may be considered or it may ask for extra pay for its
work. Furthermore, this assists respective organisation to minimise the problem of
enhancing staff turnover as by complying this, their workforce feel secure and protected
towards its work as well as enable them to perform task effectively and attain higher
productivity.
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SECTION 2
Conduct and complete a stakeholder analysis for a given organisation.
Stakeholder is considered as a group of individuals who are related with firm as well as
impacted through practices that is performed through organisation. These groups of people are
undertaken as a vital for firm as this contributes towards their growth and development (Oruh
and Dibia, 2020). So, the analysis of stakeholder is crucial for ALDI for determining various
ways where they may influence the performance of entity. Along with this, it assists in
determining numerous opportunities of growth that stakeholder will facilitate.
The analysis may be conducted with the assistance of stakeholder mapping techniques that is
usually utilised for analysing as well as determining the requirements of their stakeholder. This is
mainly applied for evaluating whole key stakeholders that are primary and secondary who put
interest into the practice performed through organisation. This technique of stakeholder mapping
will be utilised for performing analysis upon main respective entity stakeholders. This practice
perform over investigation, discussion and debating for identifying various perspective for whole
spectrum of stakeholder as well as for it mapping is categorised in four phases taht are described
below:
Figure 1,Stakeholder Analysis.
(SOURCE: Stakeholder Analysis – How To Analyze Project Stakeholders?. 2017)
Low power, low interest: The ALDI’s supplier comes under respective phase. Firm’s
vendor has various consumers so that they are not very much interested into
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modifications that are happening within entity. Respective organisation also has several
suppliers as well as this may be regarded as the key reasons which their vendors perform
without having so much power. Moreover, the stakeholder who lies into this section is
less significant. Entity has sent its newsletters and usual information of firm upon
continuous basis.
Low power, high interest: The ALDI’s staff do not having so much power but they are
very much interested into decision which is formulated through its administration as this
somehow directly or indirectly develop large affects upon them. Rather than complying
the plan of action “Keep them informed”, firm may consider some things with employees
that comes into its interest area as well as assists administration to formulate decision.
High power, low interest: The respective organisation has some investors who do not
have interest on regular operations of firm. It has power for reversing a decision but it
does not have very much concern a bout board meeting as those financial institutions
have invested its capital into several multinational firms (Zhang, Wang and Kong, 2020).
ALDI must accomplish the requirements of these investors as well as it must try to keep
effective relations with their stakeholders.
High power, high interest: Staff into higher authorities, main investors and other is some
examples of stakeholders who comes under respective phase. They develop whole
essential calls for ALDI as well as it are so much focused about day to day practices and
longer term plans of their business. Along with this, the organisation has to engage them
into decision formulation as well as its conceptions has to be undertaken as priority basis.
As per the above analysis, this have been determined that for dealing with problems that
ALDI is recently facing related with staff dissatisfaction, firm needs to concentrate upon staff
involvement. It may be performed through including them during the development of strategy,
getting suggestion from them as well as developing flow of communication so that they may feel
valuable while performing into workplace (Unsal and Brodmann, 2020).
The involvement of stakeholder is very much vital for organisation as it has competencies to
influence the practices performed through entity. The stakeholder engagement into the
procedures of respective organisation will support them to perform its operations in very
appropriate way along with mutual stakeholder’s contribution. It in future may support them to
maximise their profit as well as acceptance of market. For this, through staff engagement into
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formulation of strategy and decision making will aids ALDI to perform its operations in very
much well defined way. It also assists them to enhance the employee relation into workplace that
drives towards enhancement of productivity
Analyse the impact of both positive and negative employee relations on different stakeholders
Employees are vital part of entity that contributes towards attainment of firm’s objectives
through doing various activities. The organisational growth and success is based on the work
quality which is performed through personnel (Wang, Albert and Sun, 2020). Therefore, ALDI
should concentrates towards developing their relationship with staff for enhancing its
performance at market area as well as attain expected success. The optimistic and pessimistic
workers relationship has effective influences over stakeholder up to larger extended, that may be
effectively understood by respective points:
Negative relation impact upon stakeholders
The negative employee relationship is one when employer do not put effective potential
towards staff needs at work area as well as do not treat them in fair way. It outcomes in
dissatisfaction of job among workers, disputes and various problems that can raise in respect of
work and can impact its performance which may also influence their market performance. ALDI
is recently going through the issue of employee relations because of unfair treatment that it put
forth towards their personnel. It can influence the organisational performance which has
pessimistic influence over their stakeholders. For this, dissatisfied workers cannot facilitate more
attention to consumers that drives towards shrinking of marketplace which can left firm into loss.
It also impacts the investors as it identifies not so much interest to invest funds into firm.
Positive employee relation impact upon stakeholders
The optimistic staff relationship will assists ALDI to improve the performance of their
workers that in turn maximise the organisational profitability. Moreover, it also aids them to
represent a affirmative reputation at market area which may contributes towards maximising
their goodwill which support to keep stakeholder very much involved into action which is
performed through firm (Wilkinson and et. al., 2020). For this, an effective reputation into
market area aids respective organisation to grab the attention of investors for contributing more
towards as well as support firm to attain the success at market area. Along with this, optimistic
relationship assists them in maximising staff quality performance that aids to bring more
consumer satisfaction from the services facilitated through their workers.
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Beside this, the pessimistic workers relationship will enhance the dissatisfaction of job
which also drives towards high staff turnover into ALDI. Also, the staff turnover maximisation
will has large affects upon government relationship as respective firm contributes into United
Kingdom GDP by development of job, contribution of tax as well as spending with British based
enterprises.
Therefore, ALDI should concentrate in maintaining effective as well as optimistic
relationship with their workers so that its performance could be develop at market area as well as
problems associated with work may get reduced. It further support firm to attain high profit and
growth at market area (Zeller, 2020).
ALDI should perform towards developing optimistic relationship with their staff by
facilitating them several rights such as equal opportunity or pay as well as effective work
situation at firm. It will assist them to reduce disputes at work area because affirmative
relationship brings satisfaction of jobs that drives workers to perform together at work area.
Thus, employees perform with full concentration as well as peace without any kind of work
associated problems that directs to attainment of firm’s growth.
CONCLUSION
As per the above report, it has been concluded that employee relation is vital within
organisation as maintaining effective relationship assists firm to minimise personnel disputes,
enhance employee morale and increase whole productivity. Moreover, there are various
employment law that firm should comply such flexible working hour, contract of employment
and many others as this assists them for safeguarding the employee interest at work area as well
as saves them from various exploitation. Along with this, there are numerous rights, obligation
and duties that both employer and employees should perform for developing an optimistic work
environment. Also, some advice that entity can undertake are, it has to develop their relationship
with staff and provide fair treatment for their personnel, concentrate towards facilitating a
healthy as well as secure atmosphere in which workers may perform in free manner without any
kind of fear. Apart from this, in order to perform stakeholder analysis company use techniques
known as stakeholder mapping and the employee relation has impact upon stakeholder in both
positive as well as negative manner.
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REFERENCES
Books and Journals
Brockman, P., Luo, J. and Xu, L., 2020. The impact of short-selling pressure on corporate
employee relations. Journal of Corporate Finance. p.101677.
Chen, T. and et. al., 2020. The impact of organizational support on employee
performance. Employee Relations: The International Journal.
Cullinane, N. and Donaghey, J., 2020. Employee silence. In Handbook of research on employee
voice. Edward Elgar Publishing.
Kang, J. K. and Kim, J., 2020. Do family firms invest more than Nonfamily firms in Employee-
Friendly policies?. Management science. 66(3). pp.1300-1324.
Kataria, A. and et. al., 2020. Forty years of Employee Relations–The International Journal: a
bibliometric overview. Employee Relations: The International Journal.
Maheshwari, M., Samal, A. and Bhamoriya, V., 2020. Role of employee relations and HRM in
driving commitment to sustainability in MSME firms. International Journal of
Productivity and Performance Management.
Margono, K., 2020. Aktivitas employee relations di PT L'Oreal Indonesia= the activities of
employee relations in L'Oreal Indonesia LTD (Doctoral dissertation, Universitas Pelita
Harapan).
Nechanska, E., Hughes, E. and Dundon, T., 2020. Towards an integration of employee voice and
silence. Human Resource Management Review. 30(1). p.100674.
Nwagbara, U., 2020. Exploring how institutions shape managerialist employment relations and
work-life balance (WLB) challenges in Nigeria. Employee Relations: The International
Journal.
Oruh, E. S. and Dibia, C., 2020. Employee stress and the implication of high-power distance
culture: empirical evidence from Nigeria's employment terrain. Employee Relations: The
International Journal.
Unsal, O. and Brodmann, J., 2020. The Impact of Employee Relations on the Reputation of the
Board of Directors and CEO. The Quarterly Review of Economics and Finance.
Wang, W., Albert, L. and Sun, Q., 2020. Employee isolation and telecommuter organizational
commitment. Employee Relations: The International Journal.
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Wilkinson, A. and et. al., 2020. Handbook of research on employee voice. Edward Elgar
Publishing.
Zeller, D., 2020. Global Employee Relations: Business Strategies and Objectives.
Zhang, J., Wang, J. and Kong, D., 2020. Employee treatment and corporate fraud. Economic
Modelling. 85. pp.325-334.
Online
Stakeholder Analysis – How To Analyze Project Stakeholders?. 2017. [Online]. Available
through:< https://www.scholar99.com/stakeholder-analysis-techniques/>
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