Employee relations Human Resource Management

Employee Relations Terminology ACAS (Advisory, Conciliation and Arbitration Service) Employers’ Associations (CBI) Trade Unions Professional Associations Collective bargaining Industrial Action Works Council Grievance Procedures Disciplinary Procedures Terms and conditions Employee Legislation Health and Safety

ACAS Advisory,Conciliation and Arbitration service. ‘to improve the performance and effectiveness of organisations by providing an independent and impartial service to prevent and resolve disputes and to build harmonious relationships at work.’ 1.By preventing or resolving employment disputes 2.By conciliating in actual or potential complaints before industrial tribunals 3.By providing information and advice 4.By promoting good practice

Employers’ Associations Represent the views and interests of companies within one sector or industry. Financed by subscriptions from members. E.g. Newspaper Society, Engineering Employers Association, Meat Marketing Board

Employers’ Associations  Provide a range of services 1.Try to influence government e.g. taxes, employment law 2.Produce both product and market research for members 3.Public relations voice for industry (e.g. BSE crisis) 4.Can provide negotiating team for pay, working conditions etc.

TRADE UNIONS Individual employees have very little power. A group of workers who join together to further their own interests: Obtaining satisfactory pay Ensuring satisfactory working conditions (no of hours, breaks) Negotiating bonuses Obtaining job security

LARGE UNIONS Unison Representing local govt employees, health, utilities, 1.3m members The Transport and General Workers Union (TGWU) Represent people working in a range of different occupations and industries in the public and private sector

Represents all trade unions. Provides information and advice to its members Membership starting to increase again Involved in research into employment rights, health and safety, working conditions CBI (Confederation of British Industry) represents employers TRADE UNION CONGRESS (TUC)

SINGLE UNION AGREEMENTS One union represents all workers in an organisation This system saves time and money and there is less likely to be conflict.

Professional Associations Represent ‘professional’ occupations Doctors – British Medical Association Police – Police Federation Footballers – Professional Footballers Association Represent members in bargaining for pay and improved terms and conditions

Employee relations processes NEGOTIATION – discussing, agreeing and implementing changes CONSULTATION – by law employees have to be consulted, however may only involve “telling” ARBITRATION – a third party is called upon to make a decision, eg ACAS, where the employer and employees are in dispute

Employee relations policies Contract of Employment Terms and conditions Procedures/Policies for dealing with staff complaints,the disciplining of staff, redundancy procedures and redundancy payment Involvement of staff in decision making Trade union recognition Collective bargaining

COLLECTIVE BARGAINING This is the process of a group representing the employees negotiating changes in working conditions with the employer(s). Typically agreements will be for several years at a time.

INDUSTRIAL ACTION Work to rule Overtime ban Go slow Sit in Boycott Strike Picketing

WORKS COUNCILS A European concept that has been introduced in UK. Allows access to company information and gives employee representatives joint decision making powers. Companies (150+ employees) can be fined if they do not have a Special Negotiating Board.

Recent Legislation Recent legislation has severely weakened trade union power as follows: An employer can now sue a union for lost profits if industrial action is taken without an initial secret ballot of workers. Industrial action can be taken only against the original employer and not against his suppliers or buyers. Mass picketing is unlawful. Only a handful of strikers are allowed to man a picket line, peacefully.

If an employee is unhappy with their conditions or the way in which they are treated. Three stages in the process: 1.Negotiations with union and HRM dept 2.ACAS approached for a ruling 3.Employment Tribunal (has legal powers) Grievance procedures

DISCIPLINARY PROCEDURES Steps an organisation will take to deal with an employee who is breaking the conditions of their contract. Could be: Verbal warning - logged Written warning Second written warning Contract terminated (P45 issued) However could jump straight to dismissal depending in nature of offence

Legislation A main function of the HR department is to ensure the organisation is fully aware of any relevant legislation All policies and procedures should be in line with current legislation Legislation is continually being updated which makes this an ongoing task for every organisation

The Main Areas of Legislation Equal Opportunities Employment Protection Health and Safety

Equal Opportunities Equal Pay Act 1970 Sex Discrimination Act 1975 Employment Equality (Sexual Orientation) Regulations 2003 Race Relations Act 1976 Employment Equality (Religion or Belief) Regulations 2003 Disability Discrimination Act 1995

Equal Opportunities Task Working in pairs and using the ACAS website – – use the Equality link to read about the advice provided by ACAS under each of the headingswww.acas.org.uk In your jotter write a short paragraph on each The Employee Questions and Employer Questions links might also be useful

Example paragraph Equal Pay Act 1970 Men and women should receive the same pay and conditions for doing ‘broadly similar’, but not necessarily identical work. The Act is monitored by the Equal Opportunities Commission. Employees are also entitled to know how their pay is made up. E.g., bonus schemes

Employment Protection Employment Rights Act 1996 Working Time Regulations Act 1998 National Minimum Wage Act 1998 Employment Act 2002 Employment Relations Act 2004

Employment Rights Act 1996 States duties and rights of the employer and employee Includes the employee’s rights to maternity and paternity leave Details regarding termination of employment Right to a written contract of employment within 60 days of starting work Details regarding Sunday working Right to a written pay slip

Working time Regulations Act 1998 a limit of an average of 48 hours (though workers can choose to work more if they want to) a limit of an average of 8 hours work in 24 which night workers can be required to work right for night workers to receive free health assessments right to 11 hours rest a day right to a day off each week right to an in-work rest break if the working day is longer than 6 hours right to 4 weeks paid leave per year

National Minimum Wage Act 1998 Aimed at providing employees with decent minimum standards and fairness in the workplace Applies to nearly all workers and sets hourly rates below which pay must not be allowed to fall Rates set are based on the recommendations of the Low Pay Commission Age GroupAmount Over 21£ £ – 17£3.64 Apprentice Rate£2.50 January 2011

Employment Act 2002 Maternity, paternity and adoption leave Flexible working practices and fairness Dispute resolution – disciplinary and grievance procedures reviewed Time off for Trade Union Reps Equal Pay questionnaire can be given to employer if there is doubt about the pay structure Treatment of employees on Fixed Term Contract Gives additional rights such as:

Employment Relations Act 2004 Deals mainly with employee relations and the operation of the statutory recognition procedure for trade unions The law on industrial action ballots and ballot notices When arbitration should take place Unfair dismissal Grievance and disciplinary hearings

Health and Safety Health and Safety at Work Act 1974 The Factories Act 1961 Office, Shops and Railway Premises Act 1963 Control of Substances Hazardous to Health Regulations 1988 The Fire Precautions Act 1971

Health and Safety at Work Act 1974 Aims to raise the standard of safety and health for all individuals at work, and to protect the public whose safety may be put at risk by the activities of people at work Places responsibility on employers and employees If either fail to comply they can be taken to court and fined The Act is backed by the HSE

Employer Duties all machinery is properly maintained all hazardous substances are dealt with properly all staff are trained and informed of potential dangers that the environment is safe and non-hazardous to the health of the employees risk assessment of the building are carried out safety officers are appointed to carry our regular inspections of the workplace Employers must take every reasonable step to ensure that:

Employee Duties Expected to behave in a reasonable manner at work and must take some responsibility for their own actions Must cooperate with their employers with regards to health and safety requirements Must follow all instructions and accept training where appropriate Employees must take reasonable care for the safety of themselves and others

The Factories Act 1961 Applies to all premises where 2 or more people are employed in manual labour Includes garages to engineering works Sets out to ensure that minimum standards of cleanliness, space for people to work, temperature and ventilation, lighting, conveniences, clothing, accommodation and first-aid facilities are maintained

Office, Shops and Railway Premises Act 1963 Was introduced to extend protection for factories to other buildings Provisions are similar to those of the Factories Act Deals with cleanliness, lighting, ventilation etc

Control of Substances Hazardous to Health Regulations 1988 Includes 19 regulations and 4 codes of practice Protects all employees who work with any substance hazardous to their health Employees must be aware of how they handle, use and control substances Particularly important for workers in the nuclear fuel, chemical and asbestos industries

The Fire Precautions Act 1971 Lists premises for which a fire certificate is required Includes premises being used as a place of work Requirements set may include the means of escape from the building as well as instruction and training for employees on what to do in the event of a fire Also details the limit of the number of people on the premises