Download - Impact and Changing Role of Trade Unions Saj
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Impact and Changing RoleImpact and Changing Role
of Trade Unionsof Trade Unions
By Saj, Geraint and Yassine.
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ObjectivesObjectives
The factors that influence theThe factors that influence the
success of industrial actionsuccess of industrial action
The problems of industrial action forThe problems of industrial action for
employers and employeesemployers and employees
The benefits of industrial actionThe benefits of industrial action
An account of how industrial actionAn account of how industrial action
and trade unions have influencedand trade unions have influenced
(positive and negative) a specific(positive and negative) a specific
businessbusiness
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What is a trade union?What is a trade union?
Trade union is an organisation ofTrade union is an organisation of
employees, which acts collectivelyemployees, which acts collectively
in dealings with management forin dealings with management for
mutual protection and assistancemutual protection and assistanceand is often concerned with wagesand is often concerned with wages
and conditions of employment.and conditions of employment.
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How do trade unions benefitHow do trade unions benefit
employers?employers?
Provide a valuable communication link betweenProvide a valuable communication link betweensenior management and the workforce .senior management and the workforce .
Allows management to avoid what would be veryAllows management to avoid what would be verytime consuming bargaining and negotiationtime consuming bargaining and negotiation
with each individual employee.with each individual employee.
A strong union may encourage management toA strong union may encourage management totake workers needs seriously and thus improvetake workers needs seriously and thus improveemployee morale, which in turn may have aemployee morale, which in turn may have a
positive influence on productivity.positive influence on productivity.
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A trade union may ease situationsA trade union may ease situationsthat could cause difficulty for a firmthat could cause difficulty for a firmsuch as downsizing andsuch as downsizing and
redundancy, renegotiation ofredundancy, renegotiation ofemployment conditions andemployment conditions andcontracts.contracts.
Trade union officials can be consultedTrade union officials can be consultedat an early stage of the decision-at an early stage of the decision-making process, which may makemaking process, which may makethe workforce more confident thatthe workforce more confident that
management is acting properly andmanagement is acting properly andthou htfull .thou htfull .
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How do trade unions benefitHow do trade unions benefit
employees?employees?
The main functions that trade unionsThe main functions that trade unionsprovide for their members areprovide for their members arenegotiation and representation.negotiation and representation.
Negotiation involves the process ofNegotiation involves the process of
finding a solution to differences. Infinding a solution to differences. Inmany organisations, trade unions aremany organisations, trade unions areformally recognised by the employerformally recognised by the employer
which means that there is a formalwhich means that there is a formalagreement between the trade unionagreement between the trade unionand the organisation, giving the tradeand the organisation, giving the tradeunion the right to negotiate with theunion the right to negotiate with the
employer.employer.
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Factors that influence theFactors that influence the
success of industrial actionsuccess of industrial action
Nature and strength of the unionNature and strength of the union
Workforce concentration (e.g. Lots ofWorkforce concentration (e.g. Lots of
union members in on e firmunion members in on e firm
compared with a few members incompared with a few members in
many firms)many firms)
Management tactics (e.g. If stocksManagement tactics (e.g. If stocks
are available to meet demandare available to meet demandduring a strike)during a strike)
Economic and legal climateEconomic and legal climate
Public supportPublic support
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Problems of industrial actionProblems of industrial action
for employersfor employers
Lost production, reduced revenueLost production, reduced revenue
and lower profitsand lower profits
Continuing poor relationships andContinuing poor relationships and
grievances with employees, thatgrievances with employees, that
lead to poor motivation andlead to poor motivation and
communicationcommunication
Shifts managements focus away fromShifts managements focus away fromstrategic planning for the futurestrategic planning for the future
Harms the firms reputation with itsHarms the firms reputation with its
customerscustomers
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Problems of industrial actionProblems of industrial action
for employeesfor employees
Reduced or lost earningsReduced or lost earnings
Closure of the business andClosure of the business andredundanciesredundancies
Stress and friction between levels of theStress and friction between levels of thehierarchyhierarchy
If unsuccessful, workers are in a weakerIf unsuccessful, workers are in a weakerpositionposition
Support from the public may decline ifSupport from the public may decline ifaction affects themaction affects them
Must conform to legislation or be liableMust conform to legislation or be liable
for damagesfor damages
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Benefits of industrial actionBenefits of industrial action
Resolves ongoing grievances andResolves ongoing grievances and
improves the atmosphereimproves the atmosphere
Often leads to new rules about whichOften leads to new rules about which
all agree (e.g. Regarding rates ofall agree (e.g. Regarding rates of
pay or the need to consult)pay or the need to consult)
Leads to greater understanding ofLeads to greater understanding of
employer/employee positionsemployer/employee positions
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Account of how industrialAccount of how industrial
action and trade unions haveaction and trade unions have
influenced a specific businessinfluenced a specific business