Employee Relations

Introduction to Modern Business Environment

The Modern Business Environment demands a healthy employer employee relationship for organizational success.  The recent concept of human asset has changed the perspective of the management on employee treatment. Employee relationship is one of the tool used by the organizations to maintain a healthy wok environment in organizations by keeping a check on productivity, motivation and morale (Pawson, 2011). Present report is about redirecting the HR framework to create a healthy work environment in order to maintain strong employee relationship in the organization. The newly appointed manager of Hilton Hotel focuses on the new terms and policies to create a better work environment which facilitates the organization with least conflict situations, grievances and better relations.

Unitary and pluralistic frames of references

Unitary and pluralistic approaches are the two different approaches adopted by the organizations which reflects the level of freedom within the organizations. The unitary approach is adopted by the management who believes in having full authority and control over their employees. The unitary perspective is associated with the legitimate power in an organization (Gannon, Doherty and Roper, 2012). It shares the basic assumption that employees and management share the common objectives and goals and that employees and loyal and totally committed to the management team. It is and integrated framework of harmonious work. Pluralistic perspective on the other hand allow the freedom of expressions within the organizations. This approach actively foster the development groups and allow them to establish their own norms and selected informal leader. This approach however is prone to employee management conflicts due to difference in objective and goals. Trade unions who represent the organizational workforce is the term evolved from the same. In case of major conflicts between management and trade unions stakeholders intervention is demanded to solve the issue (Gloet, 2006).

Hilton hotel have the similar approached of pluralism in the organization. The management believes in the freedom of expression by the employees of the firm. The hotel staff enjoys the healthy work environment and thus try to integrate the goals of both the parties. Conflicts however arise the tensions which is peacefully resolved by the conferences and trade union and management meetings. The management believes in its staff and thus embrace the wider array of employee relation policies. It focuses on motivating the trade unions to make the policy of pluralism mutually beneficial for both the teams (Dhar, 2008).

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Assessment of how changes in trade unionism affects employee relations

Rapid economic development and globalization has forced the organizations to follow the policy of pluralism in most of the organizations. Trade unions is the major contributor of this policy. This contributes the organisations with a healthy and cooperative work environment. Trade unions attract the growth and productivity by working in perfect alignment with the organizational goals and objectives. It focuses on the employee contribution and consent in the major policies of the management. In case of any demand for change the representative of the union has the full authority to get the same (Hafeez, 2013). The traditions authoritarian approach has been taken over by trade unions in recent era. It contributes to the organizations as follows:

  • Educating and training the employees
  • Tailoring the expectations and demands of the staff in the mutually beneficial perspective
  • Melding the staff attitude and behaviour to build loyalty and commitment
  • Educating members with broad knowledge of labour welfare and issues related with labour management
  • Evaluating employee performance and rectifying the same if required
  • Providing proper trainings and retraining to the staff (Bridle, 2010).

Trade union thus has generated a new era of employee relations creating social cohesion in the organizations by ensuring the employees with secured income and workers right and social protection. It has also facilitated the development of partnership with the organizations by clearly stating the strength of workforce to the employees. This however has ensured a long-term bond with the company. Promotion of labour rights and welfare system has facilitated human rights and democracy and thus has stretched the organizational culture so as to challenge the global competitors by strengthen the position of the firm (Cavico, Muffler and Mujtaba, 2013).

Major impacts on the changes in trade unions on employee relations on Hilton hotel include social cohesion, partnership in development, promotion of human rights and democracy and c\globalization and changes, etc. It improves the social cohesion at workplace such as effective working environment, security of income and increment in skills and knowledge os all employees. Along with this, all changes improve the globalization and employee relation of organization at international level (Shamsudin and et al, 2012).

Role of main player in employee relations

The key parties of the employee relationship are management, trade union and the third party playing the neutral role to promote industrial relationship.

  • Manager should focus on aligning the organizational goals with the individual goals
  • He should ensure minimum communication gaps between staff and management
  • Engorgement and motivation of employees should be his key responsibility  
  • Manager is also responsible for facilitating proper work environment and minimum staff disputes (Condrey, 2010).
  • Ensuring employee participation also become the major responsibility of the manager

Different conflict situations at Hilton work place

Hilton hotel also faces some conflict situation and mainly it arises between the staff members, supervisor or customers. The manager of Hilton faces many conflicts such as:

  • Conflict between customer and manager because that customer is not satisfied by their services.
  • Conflict among supervisor and worker because organization is not paying for their overtime work (Walker, 2013).
  • Conflict among employees due to poor management and leadership skills.

Formal process: In this process Hilton hotel invites external party for resolving the problem or conflict at workplace. It helps in reducing the discrimination at workplace and provide a valid and ethical solution for any kind of conflicts.

Informal process:  In this types of process only employees and employees of Hilton hotel try to find out some valid solution for different types of conflicts. There is not involvement of any third party (Gannon, Doherty and Roper, 2012).

Identify the source of conflict: After identifying the source of conflict Hilton hotel can easily resolve it. So, management of the Hilton hotel should focus on getting more information about the cause of the conflict. To obtain information HR office of Hilton hotel should listen both of parties and check the conflict from the other’s point of view. Further, company should try to identify issues clearly and concisely. Along with this for getting facts about cause of information Hilton hotel should focus on underlying interest, need and concern etc (Employee Performance Management System, 2015).

Look beyond the incident: Cause of conflict may be a minor problem but it can create a level of stress in mind of both parties. This type of stress can affect the performance of Hilton hotel. So, for resolving this stress problem organization should look all the aspects of entire incident of conflict (Hafeez, 2013).

Request solutions: After obtaining information from each party’s point of view, employee relation officer should take next step to identify different solution for changing situations. Every party have different point of view to resolve the problem and conflict. So, Hilton hotel should get all the solution which help in resolving the conflict at workplace (Shamsudin and et al, 2012). Alternative solution can be found by appropriate listing, discussion and cooperation with both parties.

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Identify the solution: After getting different alternative solution Hilton hotel should focus on selecting appropriate solution to change the situation. Employee relation officer should choose that solution which can remove the stress of both parties. Solution must be acceptable by both disputants (Gloet, 2006).

Agreement: At this stage employee relation office of Hilton hotel should assure about that both parties are agreed on solution. In addition, organization should make sure about that both side understand the position of the other and develop a mutual satisfactory situation to improve the atmosphere of work place (Regan, 2011).

As per the above discussion Hilton can use different methods and procedures for resolving conflicts at work place. There are different situations when conflicts arise between different employees and employer of Hilton hotel (Hilton hotel, 2015). For resolving this problem organization uses different procedures which have some positive and negative sides to resolve any problem of organization.
As per the above discussion Hilton hotel uses a step by step process for resolving the conflict at work place which includes different stages such as identification of source of conflict, look beyond the incident, requesting solutions, identification of the solution and agreement. It is the best process for resolving the problem of conflict at work place. It can resolve the sensitive issues very effectively (Dhar, 2008).

For example for the minimum salary and salary range issue any single mistake can affect the total cost of Hilton hotel. So, formal process will be the best process to solve the conflict at work place. Further, it is also very effective for sensitive and uncommon issues of conflicts at Hilton hotel. On other hand, hotel uses informal process of conflict resolution for uncommon and less sensitive issues. Major reason of conflict at Hilton hotel include the gap in mutual interest, contradictory rules and principles of all employees and different approaches and process of different groups of Hilton hotel (Kane and Palmer, 2005). Formal process of conflict resolution of Hilton hotel is effective for employees because it protects rights and demands of all employees at workplace. Further, it majorly focuses on providing employee benefits at workplace. Therefore, process of conflict solution is effective for employees as well as Hilton hotel.  Formal process has used by Hilton hotel for resolving the complex problem at workplace such as conflicts between employees and employer for change management process. At this situation third party has helped in motivating employees to accept changes as well as provided incidences to employer of the company to manage changes at workplace (Regan, 2011). Therefore, formal process helps Hilton hotel in resolving conflicts at workplace and getting appropriate solution for it.

Negotiation is a best medium for collective bargaining. Collective bargaining can be defined as a process in which trade unions work together for dealing with management of Hilton hotel for different issues of employee’s right, salary, compensation, wage, incentives, working environment, etc. Collective bargaining does to find an appropriate solution of any problem and majorly it dismiss the case and problem (Palmer, 2005). So, there is a huge requirement of getting a better solution in collective bargaining. So, Negotiation plays an important role in collective bargaining to get final solution which will be better for both parties. Organization can select negotiation body from inside and outside the company. Therefore, negotiation play a very significant role in collective bargaining between employees and management of company. So, it is a vital part of collective bargaining for getting the final solution of conflict which has raised between organization and employees. For large number of cases negotiation plays a positive role in making the ultimate solution of conflict at workplace (Bhattacharya, 2009).

Along with this, negotiation plays a very significant role in collective bargaining which helps in maintaining rights of employees and employer at workplace. Along with this, it helps in developing freedom of choice, resolving different labor management issues, etc. therefore, overall negotiation in collective bargaining helps in improving the employee relation at workplace (Palmer, 2005).

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Negotiation strategy

Negotiation strategy can affect positively and negatively for a given situation because it is not favorable for both parties which are involved in the conflicts situations. Therefore, negotiation strategy has positive and negative impact on the employees and employer of Hilton hotel. This organization is a recognized and combined union established from different groups of the hospitality industry of United Kingdom (Alcázar, Fernández and Gardey, 2013).  Negotiation strategy has some positive impact such as it helps employees of the company to control the whole conflicts between employer and other unions of hospitality industry. Further, Hilton hotel’s negotiation strategy is very helpful because it can satisfy employees of the organization and bring a perfect solution of conflict situation for employees of company (Cavico, Muffler and Mujtaba, 2013). In addition, negotiation strategy helps in protecting rights of employees and converting all operation in smooth flow. Along with this, negotiation strategy assist in maintaining cooperation between employees and organization. Further, it has positive impact on the employee’s performance and productivity of the organization. Negotiation strategy also plays an important role in maintaining strong employee’s relation at work place of Hilton hotel. But, negotiation strategy also have some negative impact because there is a chance to produce future conflict at work place. Therefore, negotiation strategy of Hilton hotel has positive and negative impact on the employee relation and performance of the organization (Jena, 2012).

Assess the influence of the EU on industrial democracy

ndustrial democracy is the situation in which the organization provide chances to employees to get involve into the decision making process, responsibilities and most importantly delegate of the authorities at the workplace. The rules and regulations implemented by the European Union has improving the role of employees into the decision making process. The main idea behind the industrial democracy is to foster the well being of staff people and improving the relationship between managers and employees (Webster, 2014). Due to the current legislation of EU it become possible to create the organizational culture of partner based relationships. The concept of partner based relationships state that the union and managers work with each another and they collaborate into the organization in pleasant way. Unions are playing very crucial role in making people educated and aware about the benefits of employees as well as managers. It has resulted in the employee involvement and it has provided the freedom to employees (Dhar, 2008). The EU legislation is highly responsible for the improvement in worker's situation within the British firms. Employees get complete support from the union and all the issues got addressed on the priority basis. It is something which highly affects the motivational level of employees and improves their performance with respect to achieving the organizational objectives. EU has influenced the organizational attitude towards their employees and now they are treating them as main assets of their company. Therefore these are some of the main positive impacts of the EU on industrial democracy.

Assess the impact of human resource management on employee relations

Human resource management has huge impact on employee relations of Hilton hotel. All employees who are working at organization can improve the performance of the company or destroy the overall productivity of company by their attitude, behavior and overall perception. So, effective employee management is also very essential for effective performance of the company at work place (Kane and Palmer, 2005).

Human resource management of Hilton hotel has positive impact in motivating employees of the organization which provide assistance in attaining goals and objectives in effective manner (Shamsudin and, 2012). Therefore, overall motivation among employees augments the effective relationship between personnel of the company at workplace. On other hand, HRM department of the company also formulated some important HR policies regarding salary, wages, working hours and working environment, etc. All these policies also have positive and negative impacts on employee relation because it affects the satisfaction level of employees towards the different aspects of job. Generally employees of the organization do not satisfied with these policies which affect the relationship of personnel with employer of Hilton hotel. Therefore, different functions of HRM influence the employee’s relations of Hilton hotel (Hafeez, 2013).

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The current research report has concluded that major aim of employee relations is to develop effective working environment in an organization to attain different goals and objectives. Employee relation and human resource management have effective relationship with each other which can influence the overall performance of the company. Study has also found that Hilton hotel has used appropriate process for resolving conflict at work place as well as it has healthy relations among employees and employer of the company. HRM department of the company and its function has some positive and negative impact on employee relations which affect the overall performance of the company.


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