The Role of Employee Relations in Effective HRM Strategies (Fall 2024)

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TASK 2: POSTER
Importance of Employee Relations in HRM Decision-Making
In HRM, employee relations play a critical role in the decision-making process. The reason as to why employee relations play a
critical role in the decision-making process of the HRM is due to the fact that the employees constitute of the base of the
operations and activities of the organisations. As such, without the satisfaction of the employees in the organisation, the operations
and activities would be affected. For example, in the hospitality sector, without the satisfaction of the employees, the operations
and activities of the hospitality sector would suffer heavily. As such, the HRM has to make suitable decisions so as to maintain the
employee relations of the organisation (Unsal, 2019).
Employee Relations
Employee relations refer to the management of the relationships between the employees and the employers by the organisation. In
any organisation that has proper employee relations system, the organisation is able to provide fair and consistent treatment to all
of their employees so that they would be committed to their jobs and be loyal to the organisation. Employee relations are
extremely essential for the context of any organisation as it would help the organisation to retain the employees and reduce the
employee turnover rate as well as make the loyal to the organisation (Griffin, Bryant, and Koerber, 2015).
Important Employment Legislations
The key important employment legislations are:
 Employee Rights: The employee in the context of an organisation has some legal rights, which the managers of the
organisations need to abide by.
 Sex and Racial Discrimination: The employee should not at all be discriminated based on their gender or race under
various racial and ethical laws in different countries.
 Workplace Safety: The employee should be guaranteed to provide with workplace safety so that they can be secured and
safe.
 Minimum Wage: The employee should be granted a minimum wage in exchange for their work hours (Belloc, 2016).

References
Belloc, F., 2016. Employee representation legislations and innovation.
Griffin, J.J., Bryant, A. and Koerber, C.P., 2015. Corporate responsibility and employee relations: from external pressure to action. Group &
Organization Management, 40(3), pp.378-404.
John, K., Knyazeva, A. and Knyazeva, D., 2015. Employee rights and acquisitions. Journal of Financial Economics, 118(1), pp.49-69.
Meer, J. and West, J., 2016. Effects of the minimum wage on employment dynamics. Journal of Human Resources, 51(2), pp.500-522.
Unsal, O., 2019. Employee relations and firm risk: Evidence from court rooms. Research in International Business and Finance, 48, pp.1-16.
Impact of HRM Decision Making
Due to the key employment legislations such as employee rights, sex and racial discrimination, workplace safety, and minimum
wage, the HRM has to ensure that all of these legislations are effectively complied with and are being followed in the organisation.
As such, the decisions taken by the HRM of the organisation would be able to comply with the employment legislations so that the
employee relations within the organisation can be easily sustained.
Pros and Cons of the Legislations
The pros and cons of the legislations are:
1. Employee Rights: The pro of employee rights is that the employees are given certain rights that they can exercise within
the organisation legally. However, the con of this legislation is the that the employees would be unable to take actions in
certain situations as the employee rights does not cover them for example fighting back when bullied by superiors (John,
Knyazeva, and Knyazeva, 2015).
2. Sex and Racial Discrimination: The pro of Sex and Racial Discrimination is that it helps to protect the employees of
diversified genders, culture, and race and unifies them all as employees of the organisation. There are no such cons for this
employment legislation.
3. Workplace Safety: The pro of workplace safety is that it helps to maintain the safety and security within the workplace of
the organisation and as such, it guarantees the safety and security of the employees. However, there are no such cons for
this employment legislation.
4. Minimum Wage: The pro of minimum wage is that it is able to guarantee that the employee or worker in the organisation
would be granted a minimum wage in exchange for their work hours. The con of this employment legislation is that the
minimum wage in some countries can be very low (Meer and West, 2016).