Comprehensive Analysis of Employee Relations at Tesco: A Report

This report provides a comprehensive analysis of employee relations within Tesco, a leading UK retail company. It begins by exploring the unitary and pluralistic frames of reference, highlighting Tesco's adoption of the unitary approach and its implications for employee management. The report then examines the impact of trade unionism on employee relations, using the 2017 Tesco employee demands and subsequent strike as a case study. Key players in employee relations, including HR managers, financial managers, and union leaders, are identified and their roles are discussed. The report further delves into Tesco's conflict-dealing procedures, emphasizing the importance of monitoring, communication, and policy development. The report also outlines key features of Tesco's employee relations, such as coordination, compensation, job security, and training. The significance of procedures used in conflict situations is highlighted. The role of negotiation in collective bargaining and the impact of negotiation strategies are also discussed. Furthermore, the influence of the EU on industrial democracy in the UK and methods of gaining employee involvement and participation are analyzed. Finally, the report assesses the impact of HRM on employee relations, concluding with a summary of findings and recommendations.

EMPLOYEE RELATIONS

Table of Contents
INTRODUCTION .........................................................................................................................3
TASK 1 ...........................................................................................................................................3
P1.1 Unitary and pluralistic frame of refrence.......................................................................3
P1.2 Imapct of changed trade unionism on employee relation..............................................4
P1. 3 Role of main players in employee's relation. ...............................................................4
TASK 2............................................................................................................................................5
P2.1 Conflict dealing procedure of the company...................................................................5
P2.2 Key features of employee relation. ...............................................................................6
P2.3 Significance of procedures used in a conflict situation..................................................7
TASK 3............................................................................................................................................7
P3.1 Role of negotiation in collective bargaining..................................................................7
P3.2 Impact of negotiation strategy........................................................................................8
TASK 4..........................................................................................................................................10
P4.1 EU influence on industrial democracy in UK..............................................................10
P4.2 Methods of gain employee involvement and participation in decision making procedure
..............................................................................................................................................11
P4.3 Impact of HRM on employee relation..........................................................................12
CONCLUSION..............................................................................................................................12
REFERENCES .............................................................................................................................14
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Illustration Index
Illustration 1: Organizational conflict..............................................................................................5
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INTRODUCTION
Employees are considered as one of the basis element of the organisations. With the help
these building blocks they are able to maxinise their growth and profitability. In order to
maintain their performance, employee's relation is essential. It supports the company in order to
reach their objective. In order to maintain this various key element of the business groups such as
manager, leader, HR etc, are taking necessary steps. Tesco is considered as a leading retail
company of UK. They are offering huge variety of services to their customers and maximising
their profitability. They consider various strategies in order to maintain their relationship with
employees and achieve their profitability. This report is presented in context with the employee
relation within the organisation. In order to determine this role of various elements of the firm
are considered, alobng with this impact of trade union is also analysed, feature of the relation are
also discussed.
TASK 1
P1.1 Unitary and pluralistic frame of refrence.
Unitary frame of refrence: According to this frame of refrence mind set, thinking
approach, value, attitude, practices, etc. towards members and organisation. It helps in
determining the methods though which the company is able to reach their objective and achieve
success. For this procvess objectives are developed with the help of mission statement. In order
to effectively implement this frame of refrence the employees of the orgnisation must be loyal
and focused.
Pluralistic frame of refrence: On the other hand pluralistic is implemented into small
groups. In oerder to apply this frame of refrence business group is required to distribute their
employees into small units. On the basis of their loyalty , their objectives are developed. Usually
there are two major pluralistic groups are identified one is management of the company and
another is the trade union (Allen, Ericksen and Collins, 2013). The manager is working in order
to coordinate and manaintain performance of the work force. While the unions are able to control
actiities of the staff in the organisation.
Tesco is implementing unitary fram of refrences. With the help of this method they are
able to select employees on the basis of their mind set, thinking approach, value, attitude,
practices, etc. towards members and organisation. It supports their employees in order to
increase their growth and profitability as them. As the staff is having clear vision towards the
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objective and goals, due to which they are able to maxcimise their profitability. Along with this
fram of reference they are able to control the activities of their employees and coordinate them as
per their requirement. It also play significant role in planning and processing of the company and
maintains health and peaceful envirironment at the work place.
P1.2 Imapct of changed trade unionism on employee relation.
Trade union plays significant role in order to order to provide their rights and save from
injustice. There are various changes are introduced for improving their process and make them
effective. Now organisations are making an effective union, as it is essentail for both the
employees as well as company. For instance, in Feb 2017 the employees of TESCO raised their
demands in fornt of the managemnt tem of the company. Their demands were fundamental but
the tem refused to accept. Along with this they terminated large number of employees without
giving any notice, due to which employees of the business group moved towards strick. With the
help of various other trade union the staff continued their strick (Ariani, 2013).
It caused huge impact on the sales and purchase of the compny. Along with this it
influences their brand value and reputation into the market. The shares and market value of the
firm is also get highly influenced. It decreased their sales upto 80% from all the stores around
the world. The management of the company is get frustrated due to loss and decreased sales of
the company. In order to sort this matter organisationtries to connect with their employees and
discuss this matter but due to ineffective trade unioun they are not able to communicate.
Therefore, role of trade unioun is very significant in order, it helps both 'the organisation
and employees in order to present their needs and requirements. In order to make them more
effective various changes are also introduced . Due to which it is considered as one of the most
effective and essential element for the organisation. It also plays significant role in order to
maintain relationship between employees and company. TESCO is also able to take benefit, by
improving their relation with staff and masimise their performance (Ariño and et.al., 2014).
P1. 3 Role of main players in employee's relation.
In order to maintain employee's relation following are main players:
HR manager: HR manager plays significant role for maintaing employee's relationship.
The HR department of TESCO is taking various steps in this sequence such as before
implementing any policies into the organisation, they involve view of their staff also. Different
types of benefits are also offered by them such incentives, leaves management, pensions, medical
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etc. Along with this various motivational and encouragement activities are also organised by
them.
Employee trainee: The role of employee trainee is also very important in order to
maintain relationship. All the tasks are assigned by them on the basis of skills and capabilities of
the workforce. Along with this different training and learning activities are also organised in
order to increase their performance through this strategies they try to maintaintheir relationship.
Financial manager: The salary are provided on time and also different types of
incentives and bonus are offered to the work force. Along with this they there are various types
of financial supports are also offered to the staff such as loans, etc.
CEO: The CEO of the company is also taking various initiative in order to maintain their
relationships. For this various business activities are organised, along with this suggestions and
issues of the employees are also analysed. They also try to maintain environment of the work
place in order to maintain effectiveness of the workplace.
Union leader: In every leaders are available in order to show way to their employees and
provide them guidlines. Every organisations have union leader that presents issues and problems
of their team. This supports employees in orer to present their issues and problems with their
management.
TESCO is also having all these key elements into their organisation. With the help of
these memebers they are able to maintain balance between employees and team alsong with this
it helps in order to determine their problems and issues. Through incorporating all these activitise
they are able to mainain growth and profitability of company (Asmuß and Oshima, 2012) .
TASK 2
P2.1 Conflict dealing procedure of the company.
TESCO is one of the leading retail comopany of UK. They are providing services across
the world. In order to provide these services they requires large work force. In this firm there is
interpersonal conflict between the employees. They are having cross culture work approach due
to which employees having diversified culture works together. Sometime it creates conflicts
within the organisation. These conflicts can create huge impact on the processing and other
element of the firm. In order to overcome them the management is having set procedure. They
are taking all the steps based on the following mentioned procedurs:
 The first step is monitoring all the activities of the employees.
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 Conduct meeting in order to effectively communicate message along with this their view
points are also considered.
 Before implementing any new policies, design and layout is developed. On the basis of
that development takes place.
 The last step is based on execution, in this process the developed plan is applied.
 On the basis of that feedback is gathered.
Through this procedure the organisation is able to overcome all the challenges and
maintain effectiveness of theitr work place environmet. Along with this it supports in order to
maintain relationship with trade union also, due to which they are able to maximise profitability
of company and increase growth.
P2.2 Key features of employee relation.
TESCO is having large amount of employees in their work force. They all are having
different capabilities, knowledge, skills, talent, prospective and behaviour. In order to maintain
balance within the organisation and coordinate all the activities of the employees role of manager
is significant. While working or handing such consitions various challenges are identified by
them. Therefore, it become very difficult for them in order to maintain their motivation level,
encourage them and inspire in order to achieve obejctive of the compay. Along with this in case
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Illustration 1: Organizational conflict
Source: Types of conflict

if any problem arrise at the work place, it will be handled by them (Babalola and et.al., 2016).
The managemret team of TESCo incorporates unitary frame of refrence in order to maintain their
relationship with thweir employees. In this sequence some key features are mentioned below:
 The manager is maintaining coordination among employees.
 Compensation, incentives and financial supports are included into the structure of the
company.
 Employees are providing with job safety and security on the basis of their performance.
 All the laws in the favour of employee's and labours are imeplemented at the work place.
 Necessary training and developemnt activities are provided to the employees.
 The communication channel should be maintained effectively.
All the above mentioned strategies plays significant role in order to maintain their
relationship. Through incorporating all these strategies TESCO is abe to maintain relationship
with their employees. These all strategies supports in order to maintain effectiveness of their
work place environment. Throrugh maintaining the effective communication channel they are
able to overcome their communicatoin gap, it supports in order to reduce confussoin and
misunderstanding, due to which organisation is able to maintain their relationship. If relationship
is effective in an organisation between employees, so they will perform task effective and
manger will be able to reduce the wastage of resource in organisation.
P2.3 Significance of procedures used in a conflict situation.
Tesco is having effective service of relating in market, they have so many employees and
works under Company, this will make more chance of conflicts in an organisation (Do Paco, and
Cláudia Nave, 2013). For this company have to make effective management of employees in an
organisation. For making solve manager have to make focus on individual employee, because
every employees have different type of personality, skills and views. This will give impact on
relationship of employees. So manger have to identify effective and then he have to find the
problems and issues which can occurring and occur in a firm (Balliet and Van Lange, 2013).
Conflicts are idenjtified as an important fators that influences relation between employees
and organisation. In order to overcome them manager takes necessary steps. If these issues and
problems are not resolved, it can influence the growth and profitability of the firm. Manager of
TESCO are also actively playing various role and responsibilities in order to maintain their
relationship effectively. In order to overcome this situations the management team of the
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company is working. To solev the conflicts in the company the manager needs to apply some
effective strategies and approaches (Bloom and et.al., 2012).
`The employee relation is the most common factor that affect the overall compnay
performance if the employee has some conflicts then they need to solve them efficiently.
Employee relation is maintained by providing ood and effective environment to the empoyees in
the company. The manager has the responsibilities to solve the conflict that is occured between
the employees or between the departments. Main objective of the firm is to manage employee so
that they can achieve the desired goal. Tesco has good management team they provide
appropriate solution for the specific problem so that employee can easily work together. The
manager has the responsibilities to provide open environment to the employees so they can also
give their suggestion and opinion for the specific problem.
TASK 3
P3.1 Role of negotiation in collective bargaining
Negitiation is the process in which they provide thee effctive and efficient way to solve th
eissues in the company. The negotiation is th edecsiion that is takenb by the leader and a
manager. They provide strategies and approaches to solve the specific conflict. Collective
bargaining is the procedure to how they can solve the conflicts in the firm. This process is
between the management and the workers of the entity. There are manay factors that affect the
overall company performance. The manager has responsibilities to manage and solve the conflict
in the firm. To involve the employee in the decision making system they will get more effective
solutions for the particular problem (Buller and McEvoy, 2012).
To maintain the employee relation in the company the manager and the management
need to provide effective and open environment to the employee so that they can easily work in
the firm. Sometimes firm has many conflicts between the employees, between the departments
but Tesco has the conflict in which the employee has different backgrounds and cross culture
work approach so that each employee has different styles and ideas to work together in the firm.
They have the problem in which they are culture issue with other employees. Negotiation help to
reduce the complexity to reduce the appropriate problem. The manager and the management
develop the policies and contracts for the employees so that they can easily work together in the
entity.
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Collective bargaining help to solve the appropriate problem in different ways. The
employee relation is the main factor to achieve the desired goal of the entity. There are many
negotiation strategies and approaches to solve the problem create the effective agreement to the
employees to maintain the employee relation in the entity (Erne, 2012). There are some benefits
of negotiation in collective bargaining as follows:
 Flexibility
 Increased efficiency between employees
 health benefit
 Reluctance
 Increment in performance
These all are the benefits of including negotiation in collective bargaining in the firm.
They will provide more efficiency and increase the productivity in the industry.
P3.2 Impact of negotiation strategy
Negotiation strategy help to get desired objective of the company. There are any different
types of negotiation strategy to create effective and efficient agreement to the employees. Firm
need to maintain employee relation in the entity because if the relationship is not maintained in
the firm then they will not get the desired target and goal and they also affect directly to the
overall company performance. Tesco follows different types of negotiation strategies to create
effective agreement to the employee to maintain employee relation in the firm.
Negotiation strategies provide effective plan and policies for best result. There are many
types of negotiation strategies that will help to create efficient way to manage the employees n
the company. Some of the negotiation strategies are as follows:
1. Trouble solving: This negotiation strategy give the way in which the manager discuss
the problems with both parties and then they take effective decision for the employees.
Tesco follows this strategy to solve and create good relation agreement to the members.
2. Yielding: This approach consider that one point is suitable for one employee but that is
not important for another employee in the company so that they also focus that points that
is suitable for individual person (Fisher, Kelman and Nan, 2013).
3. Compromising: This consider the effective result that is comfortable with each associate
in the company.
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4. Inaction: Tesco firm follows this strategy to maintain relation between the employees in
the entity. This approach considers all the proposal and suggestion and then they will take
the effective decision for the employees.
These all are the negotiation strategies to create effective agreement between the
employees in the company. This negotiation strategies have positive impact on the firm because
this will create good environment between the employees to maintain the employee relation in
the entity. The firms should follow the appropriate negotiation strategies to maintain the
employee relation in the company. To maintain the employee relation in the entity the manager
and a leader need to create that environment to the employees in which they can easily give their
own ideas to solve the particular problem of the firm (Guillon and Cezanne, 2014). Tesco
provides good environment to the employees and effective agreement through applying
negotiation strategies to solve the problem. Some of the impact on the company as follows:
1. They focus on the interest not on the employee position.
2. Develop various types of options before taking the decisions to create agreement.
3. Provide effective and efficient agreement to get the target and objective of the firm.
TASK 4
P4.1 EU influence on industrial democracy in UK
Industrial democracy is the factor that affect the overall company performance. To
maintain democracy in the company the manager need to provide effective and open
environment to the employee so that they can easily communicate with teach other. Industrial
democracy is the agreement in which it involves employee making decisions, authorities and the
responsibilities of the individual employee of the firm. In some of the European countries the
structure of this types type of democracy is good and effective but the idea behind the industrial
democracy is not good enough and aggressive. They do not have the good employee relation in
the company because they are providing appropriate environment to the employee to improve
their own performance (Jimeno and Thomas, 2013).
The used new relationship is called partner based relationship where union and the
management works to get the same goal of the firm. In British countries they involve the
employees in decision making procedure to motivate the employee if the employee relation is not
good and effective tin the entity then the firm cannot take advantage and they cannot get higher
performance in the industry.
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Main role of works councils in the company is to discuss long term goal of the business
and they suggest effective and efficient strategies to improve the business in the world. They
provide ideas to how they can increase the productivity in the market and also they give opinion
and approaches to improve the performance of the company. They provide different ideas and
techniques to improve the performance of the firm in the industry (Zheng and et.al., 2013).
Each firm should innovate the product in the market and then they should apply some
effective strategies to increase the productivity in the industry. British country companies
involve the employee in decision making system so that they also feel like they are also
important fort the firm. They follow some different types of strategies to solve the problem
between the employees. European countries has the good and effective format of industrial
democracy but the idea behind the democracy is not good enough. The relationship between the
employee and the management must be good because they only help to get the desired objective
of the firm (Lambert and Kopikare, 2012).
To maintain relationship between the employees the manager needs to provide effective
open environment, provide appropriate guidelines, incentives, problem solving skills,
communication these all are the factors that will help to maintain employee relation in the
company the Tesco provide all these things to the employees to maintain the employee relation
in the firm. This entity has effective and efficient relationship between the employees that will
help to increase the productivity of the product in the market and also enhance the performance
of the company in the industry (Yarnell and Neff, 2013).
P4.2 Methods of gain employee involvement and participation in decision making procedure
Company should involve the employee in decision making procedure to motivate the
employee in the firm. There are various strategies to involve the employees in decision making.
Each approach has characteristics to involve the employee in the process. Tesco firm involves
the employees in this type of process because this is the way to get more profit in the industry.
To maintain employee relation in the entity the manager needs to provide good and effective
environment to the employee so that they can easily work together (Marginson and Galetto,
2016). There are many types of employee involvement in the decision making procedure as
follows:
Direct participation method
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