Unit 24: Employee Relations Report for Vodafone UK

This report examines employee relations within Vodafone UK, covering key concepts like unitary and pluralistic frames of reference, the impact of trade unionism, and the role of legislation. It analyzes industrial conflicts and their resolution, exploring procedures organizations should follow. The r...Read More

UNIT 24. EMPLOYEE RELATIONS
1

Tables of Contents
Task 1.....................................................................................................................................................5
LO1. Understanding the context of employee relations against a challenging background .................5
AC 1.1 Explaining the unitary and pluralistic frames of reference ........................................................5
AC 1.2 Assessing how changes in the trade unionism have affected employee relations....................6
AC 1.3 Explaining the role of legislation in employee relations ............................................................7
Task 2.....................................................................................................................................................8
LO2. Understanding the nature of industrial conflicts and its resolution..............................................8
AC 2.1 Explaining the procedures that an organisation should follow when dealing with different
conflict situations..................................................................................................................................8
AC 2.2 Explaining the key features of employee relations in a selected conflict situation....................9
AC 2.3 Evaluating the effectiveness of procedures used in a selected conflict situation.....................10
Task 3...................................................................................................................................................11
LO3 Understanding collective bargaining and negotiation process ....................................................11
AC 3.1 Explaining the role of negotiation in collective Bargaining ......................................................11
AC 3.2 Assessing the impact of negotiation strategy for a given situation ..........................................12
Task 4...................................................................................................................................................14
LO4 Understanding the concept of employee participation and involvement ...................................14
AC 4.1 Assessing the influence of the EU on industrial democracy in the UK .....................................14
AC 4.2 Comparing the methods used to gain employee participation and involvement in the decision-
making process in the organisations ...................................................................................................15
AC 4.3 Assessing the impact of human resource management on employee relations ......................17
Conclusion ..........................................................................................................................................19
Reference List......................................................................................................................................20
2

Introduction
As according to this study, the assimilation will discuss importance of good as well as
a strong relationship between the employees and the employers for an organisation. For
describing the effect of strong relationships between employees and the employers, the
learner has chosen Vodafone UK. Employee relations are one of the most important pillars of
the growth as well as the development of the organisation. Along with describing the
importance of employee relations for an organisation, the learner will also explain the role
that legislature plays in the field of employee relations. The learner also evaluates all the
changes in trade unionism that affect employee relations, the nature of industrial conflicts and
their resolutions, collective bargaining and the process of negotiation. The learner by the end
of the assignment will explain the concept of employee involvement as well as participation
in the works of the organisation.
Figure 1: Logo of Vodafone, UK
(Source: Vodafone.co.uk, 2016)
3

Task 1
LO1. Understanding employee relations against a difficult background
AC 1.1 References of pluralistic and unitary frames
This section of the assignment, the learner being the HR assistant of the Vodafone
UK Company will explain both the unitary as well as the pluralistic frames of reference. Both
these frames of references are actually the perspective, which the HRM department of an
organisation may utilise for the successful as well as the profitable growth of their
organisation.
The Unitary Frame of Reference
In the opinion of Newsom et. al. (2012, p.75), the Unitary Frame of Mention is
referring, all the manner of thinking, presume, values as well as the practices that are related
to the management of an organisation. This frame of reference is also utilised by an
organisation for managing the employees of the organisation. The perspective of the Unitary
Frame of Reference assumes that if an organisation wants to achieve success in the business
world, then the members of that organisation will have to work on one single goal or mission.
The employees working in an organisation may have different roles in the workplace; still,
they will work towards fulfilment of one aim. For this case, the organisation must set
objectives. The achievement of that objective will measure the success of the organisation. In
this frame of reference, the workers are expected to be completely loyal to the organisation
and they must accept the decision of the management, those who are acknowledged as
parental, working for the benefits of both the company as well as employees.
The Pluralistic Frame of Reference
In the opinion of Millward and Brewerton (2015, p.236), the Pluralistic Frame of
Reference refers to the believe that an organisation in order to grow successfully in this world
of business, will have to works powerfully in different small sub-groups, rather that working
together for any particular objective like the Federal Exposure of Reference. The Doctrine
Frame of Reference believes that work of an organisation that is divided among various
departments must have their own legal loyalties, their own leaders for decision-making
4

process as well as their own set of ideas, practices and objectives. Moreover, the role of the
management will focus less on the management, enforcing as well as controlling the
employees of an organisation; rather it will focus more on influence and co-ordination.
AC 1.2 Modification in commerce union have stricken worker dealings
As particular section of assignment, the learner being the HR assistant will assess how
various changes in the trade unionism have impacted over the relationship between the
employees and the employers of Vodafone UK company. In the view Morris (2012, p.523),
Trade Union refers to those members of the organisation, such as workers as well as union
leaders, those who work together in order to protect as well as promote all their common
interests. In the past few year, the trade unionism has travelled through various changes that
have an adverse effect on the relationship between employees and the employers of the
organisation. Earlier, the position of the employees in the organisation was considered as the
lowest position in the workplace hierarchy. However, with the involvement of trade
unionism, the employees are considered the most important as well as influential part of the
Vodafone UK Company. This increase in the position, as well as the importance of the
employees, encourages them to work enthusiastically towards the growth of the organisation.
The existence of the Trade Union is of utmost necessity because the common employees will
not be able to raise their voice. The changes in trade unionism include recognising whether
the organisation have any impact as well as position in the extremely competitive global
business market. This information about the position of the organisation in the market will be
beneficial for the employees.
 The Vodafone services take an effort of direct engagement with their employees,
within the business with other relevant issues through different channels, with
representatives of employee and round table meetings. When European countries gets
affected consultation of employees through the Vodafone European Employee
Consultative Council (EECC). The meeting of Vodafone European Employee
Consultative Council meeting occurs at least once in a year which give employee
representative an opportunity for concern raising without the help of management of
Vodafone executives.
 Delegates of employees holds two interim meeting in a year who are elected by
Committee who can request services of translation. Established in 2003, Vodafone
5

European Employee Consultative Council meets requirement of Article 13 of
European Union Directive on Council of Work of European Multinationality . The
employees from all over 14 countries are represented within European Union. The
representatives number according to per market is always kept in proportion to
number of employees.
.
AC 1.3 Function of legislation in employer relation
In this part of the assignment, the learner being the HR assistant of the Vodafone UK
Company will analyse few legislations that the organisation follows. Moreover, the learner
will also explain the ways this legislation influence the relationship between the employees
and the employers of the organisation.
The Equality Act 2010
The Equality Act 2010 is a law undertaken by the Vodafone UK Company, for the
benefit of the employees of the organisation. According to this law, every employee working
for the organisation must be treated equally irrespective of religion, caste, sex etc.
(Legislation.gov.uk, 2016). The Equality Act 2010 has a strong impact on the employee
relations of the organisation. Employees of the organisation are satisfied by the organisation
when they are treated equally. Because of this, the employees will work enthusiastically as
well as innovatively for the organisation. This will increase the profitability of the
organisation.
Work Time Regulation Act 1998
The Work Time Regulation Act 1998 is formed to benefit the employees of the
organisation. This law governs the time of work done by the employees, it also governs that
the employees are given proper leave in the case of necessity (Legislation.gov.uk, 2016).
When the organisation takes care of all the employees and provides them proper leave when
needed. Then the employees are comfortable working for benefit of company.
Health and Safety at Work Act 1974
The1974, activity act of Health and safety governs the wellness as well as the safety
facilities that are provided to the employees of the organisation (Legislation.gov.uk, 2016).
6

This law plays a very important role in the growth of the Vodafone UK organisation. Proper
Health facilities provided to all the employees of the company will keep the employees
healthy. When the employees of the organisation are healthy, they will work profitable for the
organisation. Safety facilities must be given to the employees of the organisation. When the
employees can trust that the organisation will provide them safety facilities, they can
comfortably work for the organisation. For example, if the organisation provides proper
transportation facilities for the safety of the employees. Then the employees will prefer to
work for longer hours in order to encourage the profitable growth of the company.
The Employment Right Act 1996
The employment Right Act 1996 governs all necessary accurate that the employees
must get in order to work for the benefit of any organisation. This law enforces that all the
employees must be given proper information about all the facilities as well as the pay scale of
the organisation (Legislation.gov.uk, 2016). When the employees have all the information
about their company, they will work securely.
Task 2
LO2. Understanding industrial nature of conflicts and there resolution
AC 2.1 Procedures of organisation which need to deal with different issues
In this section of the assignment, the learner being the HR assistant of Vodafone UK
Company will explain all the different conflict situations that arise in the organisation. The
learner will also explain process that organization should compel while handling with these
situations. As views of Devonish (2013, p.452), the conflict between the employers as well as
the employees of the organisation arises when the matter of salary increment comes into
consideration. The employees of the organisation desire to have a regular increment in their
salaries. However, the organisation may not prefer to increase the salary of the employees.
Other conflicts that arise between the employees and the employers of the
organisation are because of many other reasons such as improper environmental conditions,
the decrease in the number of leaves provided to the employees of the company as well as an
increase in the working time of the employees of the Vodafone UK Company. The Vodafone
UK Company uses various procedures for resolving these conflicts between the employees as
7

well as the employers. The procedures for resolving the conflicts include various steps. The
first step includes proper identification of the source of conflicts. For example, there is a
conflict between the employers and the employees on the increase in working time issue.
Then to resolve this conflict, the organisation must identify the reason behind this conflict,
the source lies in the documents of the organisation where it is mentioned strictly that the
employees must work for 8 hours in the company.
However, the employers are forcing the employees to work for 10 hours in the
company. Once the source of conflict is identified, the second step involves looking beyond
the incident. In this case, the organisation will analyse other such incidences encouraging
same conflicts. After collecting the viewpoints of both the party that is the employees and the
employers, the company will request solution from each party. Then various solutions will be
discussed and finally, the organisation will reach an agreement to solve the conflict where
needs, as well as demands of both the employers and the employees, are taken into
consideration. The procedures followed by the organisation for resolving conflicts between
the employees and the employers include negotiation as well as meditation. Negotiation
involves considering the perspective of both the employees and the employers for resolving
the conflicts between them.
AC 2.2 Key characteristic of employer relations with issue
In this particular part of the assignment, the learner being the HR assistant will
property of employee dealings conflict condition. The employees of Vodafone UK Company
face many conflicts. In the view of Pawar and Pawar (2016, p.251), When the organisation is
unable to understand how their work, as well as facilities, will influence the personal goals as
well as interests of the employees oforganisation, then the conflict of interest emerges within
the organisation.
When the goals of organisation differ completely from the goals of the employees of
that organisation, then the employees may get tempted to fight against the organisation, for
their personal goals. Other conflicts that arise in the organisation are due to the
misunderstanding caused by communication, conflicts that are caused when the employees
are unable to understand the accurate work that is expected of them etc. These conflicts
adversely affect or hamper the employee relations of the organisation. The key features of
employee relations in case, of conflicts, includes letting people discuss their stories,
8

conducting reality check to analyse the cause of conflicts then finally implementing a proper
solution for the resolution of conflicts.
AC 2.3 Effectiveness of process used in problem
In this section of the assignment, the learner being the HR assistant of Vodafone UK
Company evaluates the effectiveness of procedures those, which are used in the situation of
conflict within the organisation. The instruments that are used by the organisation for
resolving the conflicts are Negotiation, Meditation etc. These processes are very effective for
resolving the conflicts within the organisation. Negotiation is beneficial for both the
employees as well as the employers of the organisation. In the process of negotiation both the
perspectives of employer and the employee is taken into consideration. This is a quick as well
as an inexpensive method to solve the conflict. Another process for resolving conflict
involves meditation. This method of resolving conflicts is highly effective as it promotes
cooperation as well as communication between the employees and employers; this method
also provides a basis for both the employees as well as the employers of the company to solve
the problem themselves.
9

Task 3
LO3 Process of negotiation and collective bargaining
AC 3.1 Role of discussion in corporate Bargaining
In the opinion of Marginson et al. (2014, p.49), collective bargaining refers a process
through which the conflicts in an organisation can be minimised. This process is being done
through the negotiation between the employee’s representative and employer. The
employee’s representatives can trade unions who determine the needs and demands of all
employees. The trade union leaders have more strength and power to negotiate with
management in order to earn the common interest of their members. Without this collective
bargaining, the management wages or any other needs of employees cannot be decided. Act
1996, of Employment Rights sets the status and condition of collective Bargaining according
to which the management needs to negotiate with union leaders (Legislation.gov.uk, 2016).
Negotiation determines the two parties to come together and finally reach an acceptable
agreement.
As stated by Anzia and Moe (2013, p.101), in the bargaining process the leaders talk
on the behalf of other employees regarding increment in salary, holidays or work time. In this
process, negotiation plays a key role. Negotiation process first determines the objectives of
collective bargaining for which the union leaders are dealing with. The role of negotiation is
to solve these problems through communication. The role of negotiation is to maintain the
healthy relationship between management and workers by solving their issues. Negotiation
helps in to settle down the disputes that company employees are facing. For example, if the
employees of a certain company are not getting the correct amount of salary for their work, it
will develop a dispute in an organisation.
To solve settle such disputes negotiation plays a major role as the management deal
with their employee and solve their problems. In the opinion of Marginson et al. (2014, p.50),
negotiation also protects the interest of the employees through collective bargaining and
action. Negotiation involves the trade union leader in this process as a representative of all
employees to bargain their objectives. The main role of this process is to resolve the
difference in between management.
10

In the chosen organisation, Vodafone UK being a renowned telecom company also faces
dispute in the workplace for instance union strikes regarding the increment in their salary or
their excessive workload. Even the employees raise their voice against holiday issues. The
company negotiates with the employees in order to settle these disputes. Through negotiation
process, Vodafone UK maintains a healthy relationship with the employees by settling the
conflicts regarding the wages. The management of UK ensures the objective of negotiation
by the participation of the union leaders. The role of negotiation for Vodafone UK is to
resolve the difference between employer and employees.
AC 3.2 Impact of negotiation scheme for given state
In this section of assignment, the learner will demonstrate the impact of negotiation
on any organisation for the conflict situations. As stated by Pruitt, D.G., (2013, p.56), there
are types of the conflict situation that an organisation needs to deal with. Some of this
conflict situation and the impact of negotiation on this have been described below.
Salary increment
Workers mostly demand the salary increment from the management depending on the
current pay rates or work pressures. The management deals with the trade union leaders by
negotiating with them and try to satisfy common interest.
Work Period
As per the Act of 1998, Working Time Regulations, the employees need to do
activity for 48 hours in a week (Legislation.gov.uk, 2016). If a company refuse to follow this
rule then the trade union leader can revolt against the company. To settle this dispute the
company negotiates with the employee representative maintain the healthy culture in the
workplace.
Holiday
According to the Working Time Regulations Act, 1998 employees should have at
least 28 days’ holiday in a year (Legislation.gov.uk, 2016). Violation of this regulation the
trade union leaders bring a situation conflict and the management deals with this situation by
the process of negotiation. As opined by Pruitt, D.G., (2013, p.60), the main impact of
negotiation on this matter is to consider the common interest and needs.
11

Working Atmosphere
As per act of 1974 Health and Safety at Work, atmosphere of working property needs
to healthy and safe for the employees (Legislation.gov.uk, 2016). If a company fails to
maintain the healthy working atmosphere then the employees demand for which ultimately
resolved by negotiation.
In the chosen organisation, Vodafone UK negotiation leaves a greater impact. This
company main faces the problems related the salary increment. To revolt for this issue the
trade union of this company gather all information of pay rates, rules of industrial policies
and government regulations. They demand their rights by striking or working slow. For
example, if the employees of Vodafone UK demand the salary increment of 5% per month,
the management can consider the salary increment of 1.5% per month by negotiating with
them depending on the information. If there any work time-related problem then they will
deal with this problem by providing them extra 5minutes break time. However, sometimes
the trade union refuses to negotiate with the management, which leads inconveniences at
work.
12

Task 4
LO4 Concept of engagement of employee and involvement
AC 4.1 Influence of the EU on democracy in UK
As opined by Coulter and Hancké (2015, P.100), European Union determines the non-
biased trading in the European market which also includes the slandered technical regulations
barrier-free trade. The focus of European Union is to fulfil the social and fundamental rights
of workers. To improve employee relation EU has certain laws. Some of these are discussed
below:
The European Commission and labour law-The commission checks that European
Union are incorporated properly into law of nationality ensuring systematic monitoring of
how rules are properly implemented. Infringement proceedings of how an EU country has
incorporated a directive into national law is detected in 1993
The 1971 Regulation implies on posting of workers. The workers were temporarily
provided with services under EU member state law under subordination of posting of
company in the host country. The workers were put under application of principle of
coordination for social security purpose. The EU commission has formulated Community law
in 1990 foe extension of legislature of collective labour agreements entered by both sides of
industry prohibiting Member of States from enforcement of rules that are against liberty of
political, social, economic provisions.
Equal Opportunities
European Union determines that every worker of a UK based company like Vodafone
UK need to have equal opportunity to excel in their work or show their potentiality. If any
violation of this law happens then the concerned authority of European Union will take a step
against that organisation.
13

Employment Protection
According to the European labour law, the UK-based companies like Vodafone need
to give the employees proper working conditions. The European Union determines every
employee is being treated equally. Employees have a right to get job security. Information
related to the job need to be informed to the employees.
Employees Relations
As stated by Coulter and Hancké (2015, P.110), European Union also influences the
employee relation through the negotiation process. This union determines that the interests of
the workers need to satisfy and their demands need to be considered.
Healthy and Safety at Work
The working atmosphere needs to be healthy and safe for the employee to work.
European Union develops rule and regulations for the UK based company like Vodafone UK
to provide better-working atmosphere to the employees.
The impact of European Union on HR department brings improvements in working
conditions and fair remuneration. The influence of EU on HR management determines every
rule and regulation that Vodafone and other UK based company need to follow whiling
dealing with their employees. Since Brexit, the influence and impact of such rule and
regulations have been decreased from the UK based companies like Vodafone.
AC 4.2 Methods used to gain participation of employee and involvement in process of
decision-making in organize
As stated by Beach (2014, P.56), to build good employee relation the organisation
need to include to their employees and their needs while making any decision. The
organisation needs to consider the interest of their employees to make a good profit. There
are different ways to include employees in decision-making process. Some have been
elaborated below:
14

Board level participation
Through industrial democracy, the management can include their employees in
decision-making process. It determines that the interests of employees are being considered.
By involving the employees in this process, management tries to increase the determination
of their employees to their work.
Participating via Collective Bargaining
Another way to involve the employees in process of making decision through
collective deal. Thoughts of Beach (2014, p.89), employees can demand their need through
trade union leaders and the management of an organisation will consider their points and
needs while decision making. In this way, the employees can influence the decision-making
process.
Participation via innovative suggestions
The management can encourage their employees through giving their opportunity to
introduce their innovative ideas and suggestions regarding finance, safety rules or reward
policies. Through these ideas, companies can provide a healthy working atmosphere for their
employees.
Participation via Complete Control
In this process, the employees directly influence the decision-making process through
the trade unions. These unions demand their common needs and directly control over
management's decision.
Participating via Job Enrichment
By providing rewards, bonuses and other motivators, the management can enrich the
work. The employees will feel motivated and will consider themselves as the part of the
organisation.
Participating via quality circles
A group of some employees arranges meeting to solve different problems of an
organisation. As opined by Beach (2014, p.89), by involving employees in this process the
management increases the loyalty of employees towards their work.
15

Vodafone UK renowned telecom company includes their employees in their decision-
making process to develop good employee relation. The trade union of this company
determines that the employee's needs and interest influences the decision-making process.
Vodafone UK also follows the ways of rewarding their employees in order to introduce good
employees.
AC 4.3 Human resource management and their Impact on relationship of employees
In persuasion of Cooper and Sparrow (2012, p.45), HR management affects greatly
employee relationship through HRM policies. These policies not only help to build good
employee relationship but also help to resolve the trade union objectives. HR department
determines the individual behaviour of employees towards their job. HR department looks
after the job satisfaction of every employee. The most important role of HR department is to
build effective communication between the management and employees. They work for
better and productive communication. As opined by Sparrow and Cooper (2012, p.67), HR
determines that the management regularly has communication with their staff in order to
know about their problems and issues.
To improve the employee relations the HR department takes care of the economic,
social and psychological satisfaction of their employees. There some factors which negatively
affects the initiatives of HR department. To break these drawbacks the HR department takes
different initiatives. The management can improve communication with their employees by
building two ways communication programs. Even the management needs are in touch with
the trade union leader regularly to understand their grievances and to resolve their problems
to maintain the harmony of a work place.
Even the management need to change HR practices to increase the workforce as
recently managers have great problems regarding collective bargaining and employee
grievances. As stated by Sparrow and Cooper (2012, p.90), now a day’s Human resource
management has been taking new strategies to gain the objectives of the certain organisation.
The HR department of Vodafone UK has also adopted different policies to build good
employment relationship. The HR department has developed effective and regular
communication with their employees to provide them economic, social and psychological
satisfaction among their staffs. The human resource department of Vodafone UK regularly
16

contacts with trade union leader to know about the issues and problems of the employees.
Such initiative greatly impacts on the employee relations and on the working atmosphere.
The influence of trade unions in the workplace is diluted as enterprises decentralize the
central bargaining. The Human Resource Management on the performance of individual
employees by means of incentives and team building or engaging themselves in non-union
workforces. The primary goal of management is to improve productivity with better quality
of product. It also focuses on greater efficiency and managerial control that concerns on
keeping down the cost with providing better security in job. Implementation and redesigning
of working organisation for better service quality output is aimed by HRM. The focal points
covered by HRM are-
 A shared strategic vision coupled with jointly designed and administered process for
carrying it out.
 Open continuous exchange of information including budget and financial data making
union a partner in business decisions.
 Recognition of strong link between productivity and quality of working life including
security of employees are employed.
 Delegation of central role of collective bargaining, in relation to the level closest to
customer or location where work is performed.
17

Conclusion
In this present assignment, the learner has described the employee relations by
explaining the unitary and pluralistic frames. The effect trade unionism on employ relation
has been mentioned here. The procedure of organisation while dealing with conflict situation
in a workplace has been elaborated in this assignment. The learner has evaluated the role of
corporate negotiation and there outcome on battle situations. Here, determination of EU 's
industrial political orientation in UK is described. Employees’ involvement and participation
in process of making decisions which is elaborated through this assignment. Finally, the
learner has explained the consequence of HRM on employer relations here. Present
assignment, the learner has provided every aspect of employee relation in an organisation.
18

Reference List
Books
19

Websites
20