Employee Relations Report: British Petroleum Analysis

This report examines employee relations within organizations, focusing on the application of unitary and pluralistic frames of reference, using British Petroleum as a case study. It explores how these frames impact management-employee dynamics, conflict resolution, and the role of trade unions. The report details the key players in employee relations, including employers, employees, government, and the organization itself. It further analyzes various conflict situations, such as those related to salary/pay and unequal employment opportunities, and discusses strategies for effective conflict resolution, including dispute handling procedures and collective bargaining. The report highlights the impact of unresolved conflicts on employee satisfaction, manager-employee relationships, and the overall reputation of the company. Additionally, it explores how changes in trade union policies, such as new laws and increased power, can influence employee relations within the organization, emphasizing the need for proactive management strategies to maintain a positive and productive work environment.

EMPLOYEE
RELATIONS

TABLE OF CONTENTS
INTRODUCTION ..........................................................................................................................1
TASK 1............................................................................................................................................1
1.1................................................................................................................................................1
1.2................................................................................................................................................2
1.3................................................................................................................................................3
TASK 2............................................................................................................................................3
2.1................................................................................................................................................3
2.2................................................................................................................................................4
2.3................................................................................................................................................5
TASK 3............................................................................................................................................6
3.1................................................................................................................................................6
3.2................................................................................................................................................7
TASK 4............................................................................................................................................7
4.1................................................................................................................................................7
4.2................................................................................................................................................1
4.3................................................................................................................................................2
CONCLUSION................................................................................................................................2
REFERENCES................................................................................................................................4

INTRODUCTION
The success of an organization is dependent on the maintenance of healthy relations with the
employees. In order to gain high productivity it is necessary to have strong employee relation. It
deals with handling issues and conflicts raised among the individuals. However, strong relation
can be maintained with the availability of healthy and safe working environment. Good relations
can be defined that the employees should have a positive feel about their identity and job. The
present report is prepared with the purpose of defining the practical impact of unitary and
pluralistic frames in the organizations. For better understanding of the concept, British petroleum
has taken into consideration. It is a multinational oil and gas company which offers petroleum,
natural gas, motor fuels and aviation fuels. The cited document is going to explain the affect of
change in trade union policies.
TASK 1
1.1
Organization follows different frames and polices in order to accomplish their motive.
However, three types of frames are adopted by the companies such as Unitary frames, pluralistic
frames and radical frames of reference. Whereas, Unitary frames can be defined as an approach
where the management and employees share common goals and objectives. In this unit, a
parental approach is being followed by the management of the company. Here, the higher
management is concerned about the employees' motivation and satisfaction. According to this
concept, the top management of the firm makes sure about the demands of subordinates in order
to achieve the gaols and objectives of the company. Under this concept, the issues and conflict
raised by the employees are sorted by the management itself. There is no involvement of any
third party who makes decisions. This concept is applicable to the services departments, banks
etc (Rainbird, Fuller and Munro, 2004).
On contradict to above, pluralistic frame of reference an organization is being made up of
several sub groups where all the groups have their own roles and responsibility. In particular,
major two groups are formed under this concept such as management and trade unions. Here, the
management of an organization aims at influencing and coordinating. On other side. Trade
unions act as a legal representative of the workers. Generally, it is seen that the management and
lower level workers do not work with the same objective. As a result, situations arises where the
management and worker do not agree upon the same solution. It leads to raise in a conflicting
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situation which can result into strikes and non performance of work. To resolve these issues trade
union interrupt to empower the workers of the firm. This frame is generally adopted in the
production units where the work is done by the lower level workers. As per the case study,
British petroleum adopts pluralistic frames where the workers are empowered by the trade
unions. If any conflict or problem arises at the cited firm then trade unions are there to negotiate
between the management and its workers. It results into resolving the issues effectively with
lowing an individual interest (Rose, 2008).
1.2
In United Kingdom, trade unions were first established in 1869 to advantage both the
employer and employee in the company. It was formed with the motive to raise voice in favour
of workers in the organization. In addition to it, if any kind of exploitation occurs with the
worker then it sorts out with the help of trade unions. However, change in trade union can affect
the employee relations in a company. In context to it, trade union plays a role of mediator
between the management and worker at British petroleum. It is necessary to find optimum
solution of the conflicting situations in a firm. The major reason mentioned below which can be
responsible for the change in trade union.
Introduction of new laws in trade unions: The relationship of employer and employee may get
affected by the implementation of new laws and policies. The rule and regulations are modified
and changed over a period so that it can offer assistance to the workers. In addition to it, there is
no compulsion of implementing or adoption of changes in the firms. It can result into creating a
conflicting situation in a company. For example: The law is introduced related with the change in
working time. If the management of British petroleum does not apply it then the employees will
not be satisfied. It leads to affect the employee relation in a way which can result into affecting
the productivity of the firm (Shah and Shah, 2010).
Increase in power of trade unions: This is the another factor due to which the employee
relations may get hampered. With the increase in power of member of trade union, they may start
interrupting in the company affairs. As a result, the working conditions of a firm will sure get
influenced. If the trade unions will get power then they will affect the environment of British
petroleum. Trade unions aim at providing assistance of the subordinates of cited firm.
Sometimes, it is not possible for the management to implement each and every policies in the
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company. As a result, the operations of company will get affects due to non performance of tasks
by the worker of British Petroleum.
1.3
There are different players who plays a crucial role in employee relations. It is
necessarily be required to have healthy relations between employer-employee so that the
objectives of the firm can be achieved. There are four main players in employee relations are
stated below Bailly and Léné, 2012).
Employers: In a company, employer plays a crucial role in decision making. In order to take
decision, the management of the firm can impact the interest of the subordinates. Sometimes, it
may happen that the employer make decision which are not in accordance with the interest of
employees. As a result, the satisfaction level of the subordinates may not match up with the
organization. In order to gain the satisfaction level of workers, the management of British
petroleum requires taking decisions in relation with the needs and demands of the workers.
Employees: Employees are considered to be the most important asset of the company. At British
petroleum, the decision taken by the management may not be accepted by the workers. It leads to
create in strikes and lock out at workplaces. Therefore, it is essential for the management of
British Petroleum to give preference to the workers (Simelane, 2008).
Role of government: Government is another player by whom a role played in the employee
relations. In UK, there are some polices framed by the government which can uplift the interest
of both the employee and employer. In context to it, if the any issue arises between the
management and workers then the polices framed by the government to equalise the interest of
both the parties.
Role of organization: The size and pattern of the company plays a crucial role in maintaining
relations with the employees. The cited firm needs to focus and remove the issues so that better
relations can be maintained.
TASK 2
2.1
In an organization, the rise of conflict is very common if two parties does not exist upon a
same decision then the conflicting situation arises. It can raise between the employer and
employees of the company. It can also be said that, conflicts can be termed as the disputes that
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arise due to misunderstanding between two people at workplace. There can be some reason due
to which the conflicts may arise which are given below. Poor training Inadequate informations Difference in backgrounds of employees Poor communication
 Increase in workload
There are some different conflict situations that has arisen in are stated below.
Salary/pay: It is seen that in an organization the worker work for the years at the same pay. In
this situation, the workforce may feel dissatisfied and betrayed by the employer. As a result, the
quality of work and interest of the workers will get affected at workplace. It is the duty of the
management of British petroleum to offer reasonable amount of wages to the workers.
Unequal employment opportunity: This is the another situation when the workers of same level
may not get the equal amount of wages for the same work. It is the responsibility of the
management to make sure not let this happen at workplace. It can create a situation of
discrimination which can affect the work efficiency of the workers. The management of British
petroleum must keep in mind to avoid such situation (Tansel and Gazîoğlu, 2014).
Dealing with different conflict situations
The management of British petroleum can adopt the method of dispute handling procedure
where the company requires preparing a plan to over the conflicting situation at workplace. Here,
it is necessary to analyse the root cause of the problem. Further, the management of cited firm of
can develop an open persuasion option where the view and ideas of all the members will be
gathered. The top management of the company can identify the whole issue and try to come up
with the better solution. For the creation of future opportunities the management requires
analysing the issues effective. The part of subordinates can be better understood with the help of
meeting so that discussions can be made. The management of the cited firm can taken into
consideration is collective bargaining. Issues related with wages is being faced by the workers.
Therefore, British petroleum can consider this method so that proper solution can be found.
2.2
The dissatisfaction level of subordinates of the company can be affected due to
occurrence of conflict. In order to gain desired productivity the management of the firm requires
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offering better working condition to the workers. On the basis of above situation, the
subordinates of the company are facing the issue related with the wages. It leads to affect the
management of the cited firm. It is necessarily be sorted out so that the productivity of the
company wont get affected. However, the key features of the conflict are given below.
Dissatisfaction level of subordinates: An effective solution of the stated problem is required so
that the operations of the firm will not get affected. The dissatisfaction level of worker may
increase if the solution is not effective. The management of British Petroleum will try to interact
with the workforce but there is no surety of getting an appropriate solution. It can also happen
that management of cited firm may not ready to raise the wages of the workers. It can result into
the non performance of the work and ultimately it can affect the profitability of the company.
Relationship between manager and employees: The relationship can be badly affected if the
effective solution is not found. It leads to affect company's performance in the market which
leads to decrease in market share. It may happen the subordinates of British petroleum that they
may not work with the same level of efficiency as they used to. The company may not cooperate
them whenever they need any kind of assistance. Both the situations will ultimately impact the
proceedings of the British Petroleum. It leads to reduction of company's image and also affecting
the market and customer base of the firm (Tüselmann, McDonald and Heise, 2002).
Affect in company reputation: The negative impact of conflict can tarnished the image of
British Petroleum. It is a leading organization in UK where the petrol and other fuels are taken
by the firm only. If these conflicts are not solved in a stipulated time then delivery of fuels will
get affected. It will directly impact the image of the organization as ell as the needs of the
customers will also get influences. The management of company requires focusing on the
impacts. A better solution will result into solving the problem effectively.
2.3
On the basis of above situation, salary is the issue is taken into considered. The
management of British Petroleum is facing this conflict among its subordinates. To overcome
this problem, collective bargaining has taken into consideration. Acceptance of this process can
remain helpful in sorting out the issue of the firm. The management of British Petroleum can
identifies the pros and cons of the sated issues. For the effective solution, communication can be
done with the workers so that negotiation can be done. In addition to it, the view point of the
issue can be understood. At British petroleum the method of dispute handling has remained
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useful. It leads to gain the optimum solution of the sated problem. To benefit both the company
and employees the management has negotiated to gain effective solution.
The process remained effective on ground of employees and management as well. But
there may be times when the company or a system needs to take unified steps to sort a conflict. It
leads to increase in dissatisfaction level of employees. It can also happen the solution can be
helpful for employees but not for the management. If the positive aspect of the conflict is
considered them the management of has hiked the pay scale of the employees. Adoption of needs
and wants of subordinates can leads to improve company's situation. The above conflicts have
affected the position and productivity of. It can be improved with the implementation of the
strategies. As a result, British petroleum can achieve it goals and objectives.
TASK 3
3.1
Collective bargaining is a special tool for the industrial mechanism. It is an aspect of
negotiation which can be applicable for the employee relations. In addition to this, negotiation is
a better tool of collective bargaining. Here, it may possible that the negotiation body can be in or
out the company. So it may happen that the outcomes can be in favour or against the
management. In context to this, the process happen when the trade union increase their voice
against establishment for the worker. However, the final solution can be raised with the help of
effective negotiation. In various cases, the ultimate solution of any problem can be the
negotiation.
Collective bargaining can lead to collective agreement. The cited agreements are
generally in written form and are signed by both the parties. It displays the accent of both the
parties towards the final solution. Here, the collective bargaining is considered to solve the
problem of wages of workers of mentioned company are not happy with the same salary
structure for the long year. An effective solution may get with the help of support given by the
members of trade union. Therefore, the effective solution will assist both the employees and the
management of British Petroleum. The concept of collective bargaining will assist in satisfying
the needs and demands of the workers.
Union and management negotiators of British Petroleum must continue to solve the issue
with the help of bargaining provision. Production of goods can be done effectively if the
managers and workers work together in the company. Negotiation can finish with assurance of
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both the parties and their interest. Therefore, the management of British Petroleum necessarily to
satisfy the motives of employees. The company needs to perform collective bargaining in a way
that the satisfaction level of both the parties is equally taken.
3.2
Negotiation can be defines as a way through which the two parties agree over the same
solution. In addition to it, the process of negotiation includes various steps such as collection of
information, analysis of the same is done. Further, the formulated plans and strategies has helped
in identified the key issues of the company. In context to it, gathering of information and data
initiates the process of negotiation. In addition to it, the role of negotiators are being played by
the employees, union leaders and management. In this process the motive and objective is clear
regarding the negotiations. As the trade union leader will announce the objectives with bonus and
salary at that time the management of requires providing data and information related with cost,
sales and pay rate. Further, the key issues are identified by the trade unions where the trace the
predictions of the management of British Petroleum. For the next level plans and strategies are
made to settle the management. The plans will be formed in the meetings conducted between the
management and trade unions.
At British Petroleum, it may happen the occurrence of both the impact i.e. Positive or
negative. The affirmative impact of the strategy is that it can aid the cited firm to solve the issue
of related with the employees. Coveted solutions and outcome may occur with the help of proper
formulation of plans and strategies. It leads to enhance the employee performance which can
ultimately benefit the company and also help to uplift the speed of the performance of
employees. However, it will not only result in solving the issues but also to create a better
working environment for the employees. It will help the firm to overcome such situations in the
future. With the help of this, the operations of the cited firm can be improved and the
productivity of the company can also get increased. As a result, the goals and objectives of the
organization can be effectively and efficiently achieved.
TASK 4
4.1
Industrial democracy is an effective way which helps in taking decisions by the workers
of the company. In addition to it, the obligation and authorities are also being shared among the
workers at workplace. In some countries of Europe the structure of industrial democracy is
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placed for decades but the idea does not fit in well. It has been identified that the managers and
unions shares an aggressive relationship in the companies of Europe. On other side, the role of
workers in the company's decision making process is increased with the help of certain
legislation policies. As per the present EU policies, the concept of partner based relationship is
adopted where the common goals and objectives are being shared by the management and the
workers of the British petroleum. With the change in time the concept of trade union has also
been changed. Earlier, the motive of trade unions was to uplift the interest of the workers in the
company but with the changing time and policies the members of trade union educate the
workers and management to know the importance of working together. They are given the
cognition related with the welfare of showing concern towards the employees in decision
making. In addition to this, the involvement of employees has become essential so that effective
decision making can be done effectively. Where the employees are required to contribute in the
success of the company.
In present scenario, for all the departments in the companies work councils are
formulated. It provides an assistance to the management of cited firm to know the long term
objectives and goals. This council aids an organization to modify its strategies for future
prospects of the business. It also assists the company to represent itself for workers needs and
help. In addition to it, interaction with top level can be done easily with the formation of direct
line communication. However, the legislation of UK helps the employees and management of
British Petroleum to create a sense of understanding. The workers of the cited firm takes part in
decision making of the company which leads to improve the individual and organizational
performance. The another alternative that can also be utilized for worker shareholders and
partners is that offering the shares of the company. These strategies will be assertive for the
company to accent on importance of workers in business. There is another issue of wage
dumping that is faced in UK. In which the workers of the firm are getting less amount of wages
as compare to the standard ones. Therefore, it is seen that the management of British Petroleum
has got influenced by the European legislation. The implementation of Various regulation and
systems of has brought changes in the activities of the organizations of the economy.
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4.2
Employee involvement is creating an environment in which all the employees have an
impact on decision and action that affects the organisation's growth. It means each employee's
inputs are valuable for the company and each employee is giving contribution towards the
objective of the organisation. There are several methods to gain employee participation and
involvement in the decision (Kim, Park and Wier, 2012).
making process: Sharing Information: The management can ensure active participation in decision
making process by sharing important information with each employees. Consultation: The manager can consult on complex topics with the expert employees.
Their thoughts and ideas might help them to solve the problems. Employees would also
feel valuable for the organisation. Financial participation: financial participation in term of profit sharing and share
ownership can also gain employee participation in decision making. Commitment to Quality: It ensures that the products and services the organisation
provides, that meets the customer's expectations. The employees should share a common
goal of producing or delivering the quality products and services. Developing the individual: The management of the company focuses on developing the
individual skills and knowledge by providing training and development programmes.
Employees can learn through these learning programmes and able to take decisions for
the company as well. Board level participation: It is also known as industrial democracy. This can aid in
protecting the interests of the employees. They will be able to put their ideas and thoughts
on a particular topic in front of board members and they will able to take necessary
decisions. Involvement of
other stakeholders: by involving other stakeholders in the decision making process,
management can gain employee participation in decision making for the organisation.
1

 Job Enrichment: The management can expand the job content and add additional
motivators and rewards to the existing job profile is a fine way to keep workers involved
in managerial decision-making. It gives freedom of work to the employees and they can
handle day to day business problems (Vakola and Nikolaou, 2005).
4.3
Any organisation's success and failure depends upon the relationship shared among the
employees. They must share a common goal otherwise they would always end up fighting and
blaming each others. They need to trust each employee. It can make every employee comfortable
at workplace. It ensures a friendly and productive working environment. If the employees feel
happy at workplace, they avoid conflicts with each other. Human resource management plays an
important role in employee relations. There is a need for superior to motivate and influence the
employees through which they can work effectively and efficiently. It is the responsibility of
human resource management to organise various activities to bring all employees at a common
platform. They need to allocate the task in such a way that every employees have equal
responsibility and equally responsible towards the success or failure of the organisation. The
management should reward the employees who put many efforts to achieve the task. This will
motivate the employees and encourage other the employees as well to perform better. HR
manager also plays a leader's role, where he need to support employees by solving their problems
at workplace. HR should organise various kind of extra curricular activities and ensure active
participation from the employees. By organising these activities, employees will feel relax and
take the necessary break from the routine work. Proper co-ordination can be developed with the
help of these activities.
In the given case, British petroleum is a multinational gas and oil company that produces
fuel and other petroleum products. With so many employees are working for the organisation, the
HR managers need to ensure good employee relations in the organisation. The employees of the
organisation maintains discipline and proper co-ordination at workplace that indicates strong
employee relationship of the company. This leads the company towards success in this
competitive environment (Tüselmann, McDonald and Heise, 2002).
CONCLUSION
Employee's relations plays an essential role in the success of an organization. In order to
attain the company objectives it is important to analyse the needs and demands of the workers.
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