1. Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 1 Industrial relations Chapter 7

2. Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 7-2 Industrial relations (IR)  Objectives ÙDiscuss the role of HRM and the pursuit of a neo-liberal IR agenda in bringing about the gradual decentralisation of Australian IR. ÙDescribe the emergence of workplace bargaining and changes to dispute resolution which have led to a move away from industrial tribunals. ÙDiscuss the changing nature of employment relationships, including the emergence of individual agreements, non-standard employment contracts, contracting out and privatisation.

3. Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 7-3 Industrial relations (IR)  Objectives (continued) ÙExplain the reasons for declining membership of Australian unions. ÙDiscuss the growth of employer prerogative, brought about through policies such as employment flexibility. ÙDiscuss the industrial relations challenges for the HR professional of the future.

4. Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 7-4 Industrial relations (IR)  Employees and their unions, employers and their associations, and governments and industrial tribunals are all actors involved in regulation of the employment relationship.

5. Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 7-5 Decentralisation of industrial relations  Lowering of the centre of industrial relations activity from the Australian Industrial Relations Commission (AIRC) to the level of the individual workplace.

6. Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 7-6 Enterprise bargaining  Direct negotiations between an employer (or enterprise) and employees (or their representatives).  Enterprise agreements ÙAgreements negotiated between an employer and employees.

7. Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 7-7 Workplace Relations Act (WRA) 1996  The WRA provides for four forms of employment regulation: ÙAwards ÙCollective union agreements ÙCollective non-union agreements ÙIndividual agreements

8. Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 7-8 Table shows the changes in workplaces with 20 or more employees. Source: Compiled from A. Morehead, M. Steele, M. Alexander, K. Stephen & L. Duffin, Changes at Work: The 1995 Australian Workplace Industrial Relations Survey. Longman: Sydney, 1997. Table 7.2 Changes in dispute resolving mechanisms between 1990 and 1995

9. Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 7-9 Source: B. van Gramberg, ‘Avenues for the Growth of Private Alternative Dispute Resolution in Australian Workplaces’, in I. McAndrew & A. Geare (eds.) Proceedings of the 16th Conference of the Association of Industrial Relations Academics of Australia and New Zealand, Queenstown New Zealand, 6-8 February 2002, 2002, pp. 525-36. Table 7.3 Parties involved in workplace dispute resolution clauses

10. Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 7-10 The changing nature of employment  Emergence of non-standard forms of employment ÙCasualisation of the workforce ÙOutsourcing and contracting  Australian workplace agreements (AWAs)

11. Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 7-11 Declining unionisation rates in Australia  1986: 46% unionisation  August 2001: 24.5% unionisation

12. Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 7-12 Factors in the decline of unionisation  Legislative changes  Decentralisation of IR  Introduction of HRM practices  Downsizing of the public service ÙRestructuring of industry  Increased participation of women in workforce

13. Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 7-13 Union responses to the decline of unionisation  ‘Damage control’  Recruitment of new members ÙACTU campaign: unions@work

14. Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 7-14 Growth of employer prerogative  Example: Mudginberri dispute in 1985

15. Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 7-15 IR challenges for the future  Decentralisation, deregulation, neo- liberalism ÙHR challenge: strong analytical skills  Flexible work practices ÙHR challenge: strategic decisions about appropriate forms of employment contracts  Non-unionised environment ÙExtent of engagement with unions

16. Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 7-16 IR challenges for the future  Unitarist management policies ÙHR challenge: manage employee recruitment and retention  Market-based IR ÙHR challenges: Ütargeting and developing employees with relevant skills Üskill formation Ümanaging employee turnover Üemployment contract management Ümentoring and coaching of a diverse and highly skilled workforce

17. Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 7-17 Summary  Since the 1980s, there have been three inter-related developments in Australian IR: ÙDecentralisation ÙDeregulation ÙNeo-liberal policies  The changing IR context creates an array of new challenges for HR professionals.