Ellard Williams Case Study: Improving Management-Union Relations

This case study examines the human resource management challenges at Ellard Williams, focusing on the impact of unions on organizational operations and the causes of conflicts in management-labor relations. It highlights the importance of collective bargaining, fair treatment of employees, and the potential for unions to pressure organizations for increased remuneration and benefits. The study identifies several causes of conflict, including salary resentment, job redundancy, and safety concerns. Recommendations for promoting positive relations between management and unions include collaboration, shared visions, mutual respect, and stable communication. The study concludes that fostering a collaborative environment can lead to improved productivity, profitability, and employee welfare. Desklib provides students access to this and other solved assignments.

Running Head: Human Resource Management
Human Resource Management
A case study of Ellard Williams
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Running Head: Human Resource Management
Table of Contents
Introduction................................................................................................................................3
1) Impact of unions on the organizational operations............................................................3
2) Causes of challenges and conflicts in management/labour relations.................................4
3) Recommendations for promotion of conducive and positive relations between the
management and the unions...................................................................................................4
Conclusion..................................................................................................................................5
References..................................................................................................................................7
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Running Head: Human Resource Management
Introduction
The employees of an organization are entitled by the state legislation to assist, create, join
and enjoy rights that are directed towards their well being and grievance redressal. The
process of collective bargaining by representation therefore needs to be used by the
employees. This has gained importance as organizations consider their workers as the most
valuable resources which further develop goods and services by applying their skills and
talents. Labour unions have been found to have a deep effect on the operation of the
organisation. More often than not relationships between the organisation and the employees
turn sour aiming towards conflicting situations. In this report with reference to the case study
organization Ellard Williams and its current relationship, some important aspects have been
described for addressing issues between management and unions.
1) Impact of unions on the organizational operations
The labor forces which are under the influence of unions resort to collective bargaining on
the foundation of demonstration. This facilitates perfect representation of the workforce to
ward off unfair practices to them. This results in a secure an amiable working atmosphere
which in turn ensures them a means of livelihood. The welfare of the workforce and
maintenance of work-life security are the key aspects that need to be the focus of the
organizations. It has been observed that the organizations have been pressurized by the
unions to raise the employee remuneration and quite often such a practice becomes binding
on the enterprises to incorporate modifications in the pay structure irrespective of the
variations in the business profits. In some situations, even when the organization could
provide a fair amount of remuneration, the workforce has been deliberately kept underpaid on
various pretexts (Yates & Fairbrother, 2013, pp. 15-45). In such cases, a protective shield that
ensures fair treatment by the organizations is provided to the employees by the unions. In
order to maintain a motivated and positive workforce within the organization, it is important
that the business targets are achieved by an appropriate level of organizational governance
and operational efficiency. Additionally, it is mandatory for them to work in compliance
with the industry statutes and standards. On the basis of collective bargaining, the employees
of the organization, even when paid more are not all the time willing to enhance the level of
performance. The collective bargaining agreements often induce the organizations to offer
inflated plans of pension to the members of the workforce. These situations lead to the
incurrence of additional expenses by the organization resulting in an enhanced compensation
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much higher than the standards set by the industry. The business costs get inflated because of
the incorporation of the incremental benefit plans to the employees. Even during the
economic recession, the business under the influence of the unions fails to cut down the
workforce and maintain the same volume of employees (Aronowitz, 2014). Thus, even on the
face of low sales and profit margins, the organizations end up retaining the same number of
employees. In circumstances when the employees are given benefits and recognition in the
form of high salaries and special amenities, there is a constant pressure on the workforce to
remain unionized. In cases of a competitively advantageous organization, the aspect of
unionization of the workforce hinders the economic aspects and the firm finds it difficult to
maintain the advantageous position in the market competition (Yates & Fairbrother, 2013, pp.
15-45).
2) Causes of challenges and conflicts in management/labour relations
An employer-employee relationship if confronted with challenges, then it is most likely that a
conflict like the situation is about to get developed. There could be many causes of such a
conflict. These are in the form of pressure of unionization, policies relating to layoff and
unbending attitude of employers and unions. Some general causes of conflicts are resentment
from salary, the unwillingness of workers to cooperate with their employers, long and hectic
working session etc. When organizational profits are inadequate then firms are not in a
situation for paying huge salaries to their staffs (Edelstein, 2017). A problem like job
redundancy is also another factor that compels them to reduce the number of workers. Over
this cause, the conflict arises, and if the employees are not cooperative then the situation goes
out of control (Webster, 2014). If safety concerns are not met by the firms then dissatisfaction
follows and firms and their workers get into a tussle. Another cause of conflict is working
during the break time or reduction of a number of leaves for employees when absenteeism is
higher. This is kind of an effort to compensate work supposedly hampered by other’s
absenteeism. Statutory benefits like leave during the period of paternity and maternity if not
provided by the firms, then conflicts become unavoidable. Pressure from employee or unions
to bring firms under the scope of union often creates a conflicting situation. It often becomes
necessary from workers’ point of thought to stay under the purview of unions while firms are
always reluctant fearing a backlash from the unionized workforce (Forth et al, 2013).
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3) Recommendations for the promotion of conducive and positive relations between the
management and the unions
It is very usual that the relationship between employers and employees are not always
cordial. When unions take the lead among them the situation becomes difficult. If a
relationship needs to be improved among them then it is highly vital that collaboration and
shared visions are practiced. They need to work on consideration for each other’s better
aspects like protection of interest and development of better relationship (Markovits et al,
2016).
Business values become higher and motivation among employers and the employees remain
productive as long as there is mutual respect for each other. Both the union and the employer
must work hand-in-hand to ensure that the resources and the environment of work provided
by the latter are used judiciously by the employees with the interference of the former so that
a heightened governance and amiable working atmosphere leads the company towards
profitability and welfare of the workers (Hayek, 2014). With better respect and reciprocal
mind towards each other, firms can be sure of a better relationship with unions and
employees.
Stable and regular fruitful communications between the management and the union are
significant. This creates a conflict-free environment and both unions and employers can help
each other when a better resolution come out from communication among them. The difficult
situation may be avoided by firms when both put forward their advice regarding a situational
exigency from the business’s perspective.
Firms by practicing a common set of behaviors for protecting their staffs can enhance the
possibility of better relations. This leads to trust generation among them and business moves
to profitability.
With perfect teamwork, both the unions and the employers can augment better relationships.
Both firms and unions may create a better bonding among them if strategies are jointly
developed. With this practice, better results are most likely to prevail (Jones, Burke &
Westman, 2013).
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Conclusion
If a firm could develop an amicable relationship with its employees then a most advantageous
position gets developed. Similarly, if unions and employers are in a good relationship, it
becomes easier for firms to ensure a better position in the industry. Causes of conflict could
be different in forms and may prevail in an industrial setting. These could be salary related
dissatisfaction, poor conditions of working and unsuitable terms that govern employment.
Firms often feel the pressure of unions and this hampers the productivity and profit margin
because firms even are not much in profitable positions needs to pay a higher amount of
salaries and payments. During a poor financial situation like the financial crisis, this problem
becomes higher. There is a possible solution to the problem and this is collaboration among
both employers and unions working on shared targets to develop workers’ favorable
conditions and profitability of the business.
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References
Aronowitz, S. (2014). The politics of identity: Class, culture, social movements. Routledge.
Edelstein, J. D. (2017). Comparative union democracy: Organization and opposition in
British and American unions. Routledge.
Forth, J., Kersley, B. E., Lardies, C. A., Bryson, A., Bewley, H., Dix, G., & Oxenbridge, S.
(2013). Inside the workplace: findings from the 2004 Workplace Employment Relations
Survey. Routledge.
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Hayek, F. A. (2014). The constitution of liberty. Routledge.
Jones, F., Burke, R. J., & Westman, M. (Eds.). (2013). Work-life balance: A psychological
perspective. Psychology Press.
Markovits, A., Gourevitch, P., Ross, G., Martin, A., Bornstein, S., & Allen, C. (2016).
Unions and Economic Crisis: Britain, West Germany, and Sweden. Routledge.
Webster, J. (2014). Shaping women's work: Gender, employment, and information
technology. Routledge.
Yates, C. A., & Fairbrother, P. (2013). Unions in crisis, unions in renewal?. In Trade Unions
in Renewal (pp. 15-45). Routledge.
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