1. A2 People The role of Trade Unions and ACAS

2. Trade unions A pressure group that represents the interests of people at work. 3 types: Craft unions - represent jobs from craft or skill areas e.g. bakers union BFAWA Industrial unions - represent workers in whole industries e.g. NUT national union of teachers General unions - representing mainly unskilled workers from many occupations. E.g. TGWU (Transport and General Workers' Union).

3. Trade union recognition Businesses must recognise a trade union for collective bargaining. Many firms will allow staff to be members of unions but will not recognise the union Single union agreement – a firm recognises only one trade union for collective bargaining No-strike agreement – contract signed that prevents unions from calling strikes

4. Functions of Trade Unions  Collective bargaining, unions represent and negotiate for workers  Offer legal representation for workers (injuries, compensation, dismissal, etc)  Provide training  Improve the pay of workers  Improve working conditions and secure longer holidays  Protect members' jobs.  Provide local, social and welfare facilities.  Influence government policy by sponsoring Members of Parliament and contributing money to political parties.  Financial assistance for workers

5. Benefits to the employer Reduces time needed for individual bargaining Provides a valuable communication link Improves worker morale if taking needs seriously Trade union input may make the implementation of change easier

6. Industrial Disputes and Industrial Action If management and unions have disputes and the negotiation process collapses to achieve their demands trade unions may ballot their members to take industrial action 1. Non co-operation. Refusing to attend meetings and use new machinery or processes 2. Work to Rule or ‘Go Slow’. Refusing to perform any tasks not in the contract of employment and keeping the output of products to a minimum 3. Overtime Ban. Refusing to work any hours over and above the required weekly number of hours

7. Industrial action 4. Picketing. Standing at the entrance to the workplace and not allowing any person or vehicle to cross the ‘picket line’ and enter the workplace 5. ‘Blacking’. Refusing to deal with certain employees or suppliers because they have refused to participate in the industrial action 6. Strikes. This is often the last resort for a trade union. It involves the employees stopping their work, leaving the workplace and refusing to return Industrial action is implemented to reduce output (therefore also reducing sales and profits) and hoping that the employer will give-in to their demands.

10. ACAS The Advisory Conciliation and Arbitration Service was set up by the government in 1975 as an independent body that helps to settle industrial disputes and claims of unfair dismissal by employees. There are three main services that are offered by ACAS, advice, conciliation and arbitration. A.C.A.S. representatives can be invited into a business by the two feuding parties (employers and trade unions) in order to offer their advice to both parties on the industrial unrest and the ‘best’ way to proceed in order to settle the unrest.

11. ACAS Conciliation is an attempt to get the two sides in an industrial dispute to resolve their differences. A conciliator listens to the arguments of both sides, and then tries to encourage the trade union and the employer to negotiate and compromise so that they can reach a solution that is acceptable to both parties. Arbitration is the process of resolving an industrial dispute by using an independent person to decide the appropriate outcome. The arbitrator will look at the arguments put forward by both parties, and then he will arrive at a legally binding decision. Pendulum arbitration is a type of arbitration in which the arbitrator will decide completely in favour of one party or the other, with no compromise or negotiation being allowed.

12. The Trades Union Congress The Trades Union Congress (TUC) is a national organisation that represent trade unions in the UK. It is made up of over 90 unions representing more than 9 million members. Trade unions join the TUC as they know they can be stronger and more effective if they work together with other unions to protect the rights of workers An annual conference decides overall union policy and elects the General Council. The General Secretary of the TUC is the trades union spokesman in any negotiations with the government or employers' organisations. The TUC has no power to initiate or halt an individual union's industrial action.

13. The Trades Union Congress Functions of The TUC Be the main voice of the union movement as a whole Prevent or solve inter-union disputes Promote international labour solidarity Combat injustice in the workplace Act as a a pressure group to influence Government policy in favour of the workers and unions it represents Not all unions are affiliated

14. Recent trends in trade unions Trade union membership has been in decline over the last two decades. Reasons for decline include, the fall in manufacturing industries, the rise in the flexible workforce, difficult legislation and greater employee participation reducing the need for unions. Unions have responded to this decline by merging with other unions. This has resulted in fewer large unions with a diverse range of members. Union density – the proportion of all employees who are union members. Union density = actual union membership x 100 potential union membership

15. Employers’ Associations They represent the views and interests of companies within a sector of industry e.g. Engineering Employers’ Federation Useful for small firms negotiating with larger trade unions Financed by members subscriptions Functions include: Provide advice on collective bargaining Act as a pressure group influencing Government legislation in favour of the industry and companies Research and provide information for the industry as a whole e.g. on new legislation or technology Provide a negotiating team that can agree minimum pay and conditions with trade unions throughout the industry

16. Improving Industrial Relations Industrial Relations – the atmosphere prevailing between management and its workforce representatives – the trade unions Government attempting to avoid ‘them and us’ culture and develop a partnership approach between companies and unions

17. Student activity – Trade union negotiation Split into two groups one group are the trade union representatives, the other the senior management team of an Insurance provider Billco. Billco. Insurers currently works a 40 hour week Monday to Friday 9:00 till 17:00. Customers have recently been complaining they have been unable to reach the firm during hours that suit them. Billco. have proposed that they introduce a new shift pattern were workers in the call centre either work in one of three shifts – 8:00 till 16:00, 11:00 till 19:00, 13:00 till 21:00 These call centre workers are concerned at these proposals and the union is due for talks with the senior management team at Billco. Your task is to have a meeting to discuss the issues outlined above you must both agree on a suitable outcome. Use the additional information sheets to structure your arguments. You have 15 minutes to prepare your arguments and a further 10 minutes to have the meeting. All terms are negotiable and you may use your own initiative to resolve this issue. If a decision is not made in this time ACAS will have to become involved and arbitrate the situation

18. Senior management team New working hours must be implemented for the company to continue to meet its customers needs Existing worker contracts state a working week of 40 hours, but state no official working hours If the working hours can not be improved 20 redundancies may be necessary due to the future loss of customers In order to overcome these unsociable hours bonuses and other non-financial incentives may be offered A rotating shift pattern may be able to be offered Potential promotions of workers to shift leaders may result from the successful implementation of these new working hours

19. Trade union representatives The call centre is essential to the functioning of the business Many of the workers have families with children who find these hours unsuitable, but can not afford to lose their jobs Many of the workers carry out tasks that are not listed in their job description such as promoting other services offered by Billco. to the customers they deal with. The threat of work to rule may seriously damage sales of some of Billco.’s services Due to the high volume of calls company policy states a guideline of no more than 10 minute per call. Workers often speak for much longer than this to resole customers issues for good customer service. Workers are highly trained and the company has invested large amounts in the past in their training. Replacing the existing workers would be expensive in redundancy and recruitment and training costs of the new staff.