Employee Relations in ALDI: Conflicts and Negotiation Report

This report provides a detailed analysis of employee relations within ALDI, a leading retailer. It begins by exploring unitary and pluralistic frames, which are fundamental approaches to managing employee relationships, and discusses how changes in trade unionism have impacted these dynamics. The report then identifies the key players in employee relations and outlines a step-by-step process for handling conflicts, including an examination of key features in conflict situations and the effectiveness of various conflict resolution procedures. Furthermore, it delves into the role of negotiation in collective bargaining and assesses the impact of different negotiation strategies. The report also investigates the influence of the EU on industrial democracy in the UK and examines methods used to gain employee participation and involvement in decision-making processes, concluding with an assessment of the impact of human resource management on employee relations. The analysis provides insights into how ALDI can foster positive employee relations and address workplace challenges effectively.

Employee Relations

CONTENTS
Contents...........................................................................................................................................1
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Unitary and pluralistic frames...............................................................................................1
1.2 Changes in trade unionism affected employee relations.......................................................2
1.3 Role of main players in employee relations..........................................................................3
TASK 2............................................................................................................................................4
2.1 Process which an enterprise should follow when dealing with conflicts..............................4
2.2 Key features in employee relations in a situation of conflict................................................5
2.3 Effectiveness of procedures used in a selected conflict situation..........................................5
TASK 3............................................................................................................................................6
3.1 Role of negotiation in collective Bargaining.........................................................................6
3.2 Impact of negotiation strategy for a given situation..............................................................7
TASK 4............................................................................................................................................8
4.1 Influence of the EU on industrial democracy in the UK...........................................................8
4.2 Methods used to gain employee participation and involvement in the decision making
process.........................................................................................................................................9
4.3 Impact of human resource management on employee relations............................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
Employee relations is known as one of the most crucial and important element of every
enterprise as this results in effective communication among various departments of
enterprise and at the same time improve employees performance (Larson, 2017). It is very
important for employer of every enterprise to create and maintain good relations with
workers as this provide various benefits to company. For this, it is very important that there
must be a effective communication channel at workplace so company can execute all
business activities in an effective manner. Basically, this concept is related with gaining
workers commitment so company can achieve its set goals and objectives. ALDI, a leading
and popular retailer having more than 10000 stores 18 countries is taken under this report for
study. Various approaches of employee relations such as unitary and pluralistic are all
mentioned in this report. Variations in trade unions and impact of this employee relations is
also given under this. Further, individuals who play a main role in employee relations and a
step by step procedure which company can follow in order to handle the situations of
conflicts is also detailed in this. Along with this, key features of employee relations and
impact on negotiation strategy is also described.
TASK 1
1.1 Unitary and pluralistic frames
It comes under one of the main responsibility of manager of every enterprise to create and
maintain good relations with customers. For achieve the same, different methods are there which
can be use by the managers of ALDI such as unitary and pluralistic Both these approaches are
depend on different thoughts and views but the main focus of both approaches is to develop good
relations between employees and employers of a company.
In context of unitary approach of employee relations indicate that, power relies in the hand
of individuals who work at managerial level of company. However, responsibility remain in the
hand of senior managers of ALDI and employees are not allowed to participate in strategic
affairs of a company (Fu and et. al., 2015). Further, this approach help in maintain in uniformity
of direction as in this, only a single individual remain liable to take decisions regarding all
activities and all this help in maintain the relation in an professional way. This also promote and
encourage loyalty as well as commitment of employees which provide variety of benefits to
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company. Along with this, this approach of employee relations is based on the assumption that
conflicts between employers and employees of ALDI can be avoided.
Pluralistic approach of employee relations focus on the belief that workforce of an
enterprise is developed through different behaviours, attitudes and beliefs of workers (Casimir
and et. at., 2012). In this approach, trade unions play a significant role and take decisions in
favour of workers in order to encourage them and to satisfy their needs. Further, as per this
approach, it is very essential to carry out negotiations so workers can feel their value and
importance and values towards the organisation.
Overall, there are two approaches which can be used by the managers of ALDI in order
to create and maintain good relations with its employees and stakeholders and at the same time to
execute business activities of firm in an efficient and effective manner.
1.2 Changes in trade unionism affected employee relations
Changes in trade union directly affect the employees relations in a company. Basically
trade is a group of individuals and leaders that work together with the aim of providing safe and
healthy working environment to employees so they can perform in an effective manner. Further,
trade unions ensure and promote common interest of staff members with various monetary and
non monetary benefits (Schlechter, Thompson and Bussin, 2015). First union movement was
carried out in nineteenth century with different models of unions. This came into existence in
1824 with particular legislations under which different employees joined the association in order
to get the fair wages for the work they do in enterprise. Workers understood that trade unions are
totally against the exploitations of employees and the main aim of this is to provide benefits to
workers. Main changes in trade unions that affect the employee relations in ALDI are as
follows:
 Technological: Various developments in technology encourage the firm to reduce the
labour which adversely affect the employment of individuals(Bedo, Z., Demirbag and
Wood, 2011). In this, ALDI amend with the legislations and regulations related with the
retrenchment of manpower. In some situations trade unions of ALDI act as a shield and
protect them from being retrenched. Further, various technological advancements guide
ALDI in enhance its business activities but at the cost of employee relations.
 Political and legal: Political and legal are the two significant factors that affect various
elements related with employee relations in ALDI. Top managers of enterprise remain
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liable to follow the various regulations and legislations develop by government of
country in which firm operates and order to eliminate the conflicts arise between
employers and employees.
One of the main purpose of development of trade unions is to protect the right of staff
members and at the same time promote the promote the interest of both parties by with help
of collective bargaining and by development of effective strategies (Onoshchenko and
Williams, 2014). At present, trade unions also do efforts to remove child labour and do
various activities for welfare of society. Further, trade unions are also liable to conduct
various training and development programmes for employees in order to develop their
specific skills and abilities.
1.3 Role of main players in employee relations
Different individuals are there in enterprise who remain responsible to create and maintain
good relations with employees. But in order to achieve this, it is very essential for the
managers to take initiative who work at managerial level (Tlaiss, 2013). It is very important
for them to listen the issues and problems of employees and do efforts to solve the same.
Main players who play a significant role in maintaining employee relations are as follows:
 Managers: Front line managers of an enterprise play a significant role in develop and
maintain good relations among employers and employees of company. It comes
under the responsibility of manager of ALDI to make sure that healthy and positive
work environment is offer to workers so they should not involve in any kind of
unethical process and activity. It is also very relevant at the time when criticism take
place between the workers who play a big role in whole process of business and
affect the functioning of enterprise. Further, manager is the one who remain
responsible to develop a healthy competitive environment in order to motivate
employees to perform well and at the same time can contribute more in growth of
company. In this way, managers play a big role in develop and maintain employee
relations.
 Employees: One of the main responsibility of a worker in enterprise is to carry out
assign operations and tasks in an effective manner so firm can achieve its set goals
and objectives. Employees of ALDI are responsible to loyal towards the company
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and follow all the set rules and guidelines during their work. In this way, manager
can play their role in maintain employee relations at workplace.
 Government agencies: Government of country also play a big role in maintain good
relations among employees and employers of enterprise (Curran and Quinn, 2012).
Government made various rules and legislations so firm can create and maintain a
good relations with its employees and at the same time workers can get fair
compensation for the work they do at workplace.
TASK 2
2.1 Process which an enterprise should follow when dealing with conflicts
Execute various business operations in a competitive environment give rise to various
conflicts such as lockouts and strikes (Marginson, 2015). Various approaches are there which
can be use by use by manager of ALDI to deal effectively with situations of conflicts.
Basically, conflicts take place at workplace when working environment of enterprise,
allocation of operations does not take place in a right manner and all this leads to decline
motivation of workers. In this situation, rather than follow the guidelines workers raise their
voice. In case, where top manager of company do discrimination among workers and allocate
work as per their age then give rise to a situation of conflict. Due to this, workers working at
different level of company fail to carry out their job in an effective manner which affect sales
and profits of company (Guery, 2015). Further, employees fail to offer quality products and
services to final customers which leads to increase customers of complaints. In order to handle
with this kind of situation, it is very important for managers of ALDI to have clear
communication at workplace. Further, it is very important for manager to provide platforms to
employees so they can express their views, opinions and ideas and effective solution can be
develop for the same.
In addition to this, situation of conflicts arise which customers starts complaining. In
order to handle this it is important for top ,managers to respond to workers regarding
unfavourable working conditions and unfair treatment (Hauser-Ditz, Hertwig and Pries, 2013).
Managers can use ethical codes of conduct in order to offer solution to employees.
Along with this, injury at workplace also leads to conflicts and affect business activities. It
comes under the responsibility of human resource managers of enterprise to make that proper
facilities are given to employees so they can be secure from any kind of injury at workplace.
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2.2 Key features in employee relations in a situation of conflict
Conflict situation selected for this is collective disputes. This arise due to ineffective
allocation of roles and responsibilities disputes take place among workers of various
departments. This negatively affect the working environment of organization and at the same
time decrease profits and productivity of company. Main features of a conflict situation, includes
the following:
 Dissatisfy with the corporation: One of the main reason why conflict take place is
because workers are dissatisfy with the management. Top managers of ALDI fail to
allocate resources in an effective way which directly affects the functioning and
profitability of enterprise (Clarke, 2015). All this affect the employees relations in a
negative way. In order to deal with this situation, it is very important for ALDI to
have effective communication channels. Further, it is necessary for firm to provide
platforms to workers so they can discuss their issues and problems with management
of enterprise.
 Hinder the relationship between employees: Conflict of collective dispute directly
affect the relationship among the employees working with enterprise. In this kind of
situation, employees do not like to work with each other in teams which affect the
productivity of enterprise and also affect its profits.
2.3 Effectiveness of procedures used in a selected conflict situation
Conflict is a kind of disagreement and misunderstanding among the employer, employees etc. It
develops the negativity at the workplace. It can be arise from the many reasons like for an
instance poor working conditions, bad behaviour, poor communication, does not provide
training and safe working environment to staff members. The conflict process which ALDI
business organisation used during the dispute arising can be analyse in a form of collective
dispute condition. It is necessary that manage should develop the positive working
environment and also provide training facilities for employees regarding improving their
skills and knowledge (Hardy and Kozek, 2011). In case of conflict, there is a big role of
manager or top management of ALDI company to take different approaches in order to
resolve the dispute in an effective or proper manner. In context to get over or resolve the
conflict situation, the top management of this business firm use a particular conflict
resolution technique. In reduce the impact of conflict, it is necessary for manager to
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communicate with employees in a proper and clear manner. The management of this
organisation gives a proper platform where the staff members can give their feedbacks to top
management regarding their problems or issues at the workplace. It is necessary that
manager should use the effective tools and techniques in order to solving the conflict
situation. The conflict develop the negative or bad impact on the performance level and
develop of ALDI business firm. For resolving the dispute, there is a need know about the
major reasons or problems behind the conflict.
Respond to conflict- Many of the time, the employer of this company is not aware regarding
the problems of staff members along with the organisation (Karl, Peluchette and Hall, 2016).
So, it is necessary for manager to communicate with them personally and know about their
problems so that it can resolve their issues in a proper and effective manner.
Understand problems- IN order to resolve the solution of problems and also conflict
resolution, it is essential for manager or top management to determine and also understand
the reasons behind the conflict by listening the problems of conflict parties (Bissola and
Imperatori, 2014). With the help of this manager can resolve the conflict in an effective
manner.
Provide solution- After determining the reasons or issues behind conflict, manager should
develop the positive environment at workplace.
With the help of using these all steps, top management can resolve the problems or conflict in an
organisation.
TASK 3
3.1 Role of negotiation in collective Bargaining
The collective bargaining refers to a process of negotiation regarding the salary amount
as well as wages among the manager and staff members in an organisation. The main motive of
collective bargaining is to provide the advantage of collective bargaining of both the
employment parties on a specific discussion concerned with the wages and also salary
(Siyanbola and et. al., 2017). The trade union works on securing the working conditions of
employees and also provides the proper working hours. The negotiation can be relation to protect
all the right of staff members in an organisation. The collective bargaining is helpful in providing
the good decisions from mutual agreement and t is helpful in minimizing the conflict from work
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place. With the help of this positive working environment will be developed and all staff
members will work together in achieving the common goals of company.
Collective bargaining is helpful in gaining the level of satisfaction to both the conflict
parties in order to making the good and harmful relationship of employer and employees. It is
helpful in providing the benefits to an organisation. It is related to the work problems ad also
make their solution in a proper manner so that the relationship of employees can be good and
effective. It is necessary that that there should be proper understanding between all employees of
an organisation.
Negotiation can be developing positive as well as negative impacts on the dispute
condition. Negotiation does not in favour of one party or another party (De Spiegelaere and et.
al., 2017). In order to solve the problems or conflicts in an organisation, it is necessary for a
manager to develop the effective and useful strategies and policies.
3.2 Impact of negotiation strategy for a given situation
Basically the negotiation related strategy is concerned to an interaction of parties which
are included in the conflict. A negotiation is necessary among an employer and employee in
order to increase the development and productivity of an organisation (Regalia and Regalia,
2017). With the help of negotiation firm can resolve the conflict in a very effective manner.
There are different kinds of negotiation strategy which are helpful in resolving the issues in a
proper manner. It is helpful in making the better working environment workplace. Some of the
strategies are given below:
Competitive strategy- This type of strategy work with a tendering process where the
proposal request is forwarded to the top management. After completion of negotiation through an
authority with the top management and then choose none which is beneficial for an organisation.
But this kind of strategy is not effective for the business firm.
Cooperative strategy- It is used in the process of negotiation where the large cooperation
is present among the conflict parties. It helps in making the good cooperation among both
dispute parties. It is helpful in resolving the issues and problems in a very effective manner and
making a good coordination.
Accommodative strategy- Firm uses this type of problem solving strategy in order to
resolving the conflict among the employees. It is helpful in making the good performance of firm
along with the staff members. This company provides the good and effective offers to staff
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members in order to sustain them at the work place for doing many business related activities
and also operations.
Compromising strategies- It applies in that condition in which the staff members
negotiate for their positions on which they presently working. In context to this, there are
different time constraints which impact on the performance level of staff members because of the
working environment and the position which employees hold in ALD Company.
TASK 4
4.1 Influence of the EU on industrial democracy in the UK
An impact of European Union can be on industrial democracy under which the business
firm operates its business. It is a kind f framework which explains the working environment on
the basis of design of overall organisation. An industrial democracy refers that the employees are
regarded as partners of companies and it increase an empowerment in context to take effective
and beneficial decisions (Sahadev and Demirbag, 2010). The suggestions, work committees,
joint council of management these all methods are included in this industrial democracy. In this
the council of European Union are bodies which are represent staff members of an organisation
in Europe country. A body which organisation used to consult with top management in order to
take some of the effective decisions which can impact on the working conditions and
performance level of company.
In context to this the co- determination practices is treated as the best practice. In this
type of practice includes the structure as well as the working council which includes the two
different levels that are supervisory and administrative (Kim and Rhee, 2011). It is regarded as a
right practice through the employees so that they can give their participation in the activities and
also programmes in ALDI business firm. It helps in increasing the participation as well as
protects the employees.
In addition to this the consultation and also information directive provides a focus on the
information rights as well as consultation to staff members which are already working in an
organisation in European Union. In the consultation and information includes an area such as
employment structure, economic condition and also the process of taking a suggestion from the
top management of an organisation. Thus a mechanism has developed a cooperation atmosphere
and also an involvement which can be helpful in enhancing eth development and growth of a
business firm. With the help of this the motivation level of staff members will be enhance and
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they will work on achieving the organisational goals and objective in an effective as well as in
proper manner.
4.2 Methods used to gain employee participation and involvement in the decision making
process
For gaining the employees involvement and participation there are some methods which
managers of ALDI firm uses are given below as above:
Employee participation- It includes the staff members to share their views, opinions and thoughts
in the process of decision making of a business firm. With the help of this managers can
motivate the staff members in order to enhancing their satisfaction level as well as their
morale. It is helpful in minimising the dispute and also improving their working
performance (Saunders, 2012). On the hand the main focus of managers on developing the
positive working environment at work place so that employees can give their involvement
and also participation in a better way. In order to increasing eth development and growth of
company managers applies this tool in an effective or proper manner.
Representative participation- This method used by the management when the representatives of
trade union, staff members and managers are sit together and consult on the problems as
well as issues of a business firm. It is a very effective tool where all the different parties can
give their views and opinions in order to resolve all problems in an effective or systematic
manner. But in this the staff members are restricted in order to give their opinion and it is a
big disadvantage of this method.
Quality circle- Firm can also applied this method in context to get some ideas regarding the
problems from top to the down approach which developing of groups in a business firm. But
on the other hand the disadvantage of this method is that it can restrict an involvement of
those people which posses extra knowledge.
Attitude survey- It is a very effective technique which an organisation used where the staff
members give their opinions, view points and also suggestions concerned with the process
of job evaluation, job determination, measuring the performance and many other things.
4.3 Impact of human resource management on employee relations
Human Resource Management includes the relationship of employee relations like the
relationship among the staff members and also manager. Human resource manager of ALDI
Company is capable and it has the ability to deal with any kind of issues in an organisation.
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Manager manages and control all the operations and activities of an organisation(Cai, Jo and
Pan, 2011). It is the responsibility of manager to maintain then positive working environment so
that all staff can work effectively and focus on achieving the set goals and objectives. If the
relationship among staff members and management will be good then it helps in enhancing the
productivity and development of an organisation. Impact of human resource management can be
developing the negative as well as positive impact on the employee relation.
Positive impacts
 It is necessary that manager should support employees and also include them in decision
making process.
 An employer of ALDI Company motivates its staff member so that they can work in a
proper manner.
 This company develop the positive working environment for employees in order to
increasing their working efficiency and effectiveness.
 In addition to maintaining the good employee relation, it is important to manager to
provide safe working environment to staff members so that they can work safely.
 It is necessary that manager should use the good HR practices at workplace.
 Manager executes the good policies and plans at work place in a organisation through
involving the employees.
Negative impacts
 If manager will discriminate among the employees on the basis of colour, gender,
region etc. then from this negative working environment will be developed at the
workplace.
 If in case manager does not support to employees and also demotivate them then the
relation of employer and workers will be negative.
 In order to enhance the knowledge and skills of employees, if manager does not
provide the training to them then their performance level will not be increased and the
productivity of company will be affected.
CONCLUSION
From the above project report, it can be summarised that workers are known as one of the
most essential and crucial part of every enterprise and it comes under the responsibility of
manager of that company to create and maintain good relations with workers. One of the main
advantage of this is that it provide commitment and loyalty of workers to firm which provide
various long term benefits to company. Various approaches of employee relations are there
which can be use by the managers of ALDI. Whenever, a conflict arise or take place at
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