Employer relations 2010
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Employer relations 2010

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Introductory pp for topic of Employee Relations Unit 4 Business Management

Introductory pp for topic of Employee Relations Unit 4 Business Management

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  • 1. Reference: Chapter 6 11 August, 2010
  • 2.
    • EMPLOYEE RELATIONS
    • Definition:
    • The relationship that exists between employers and employees and how they work together to determine the level of pay and working conditions.
    • This relationship will involve employers trying to achieve a set of working conditions that will meet the need of employees as well as allowing the organisation to achieve its strategic, tactical and operational objectives.
  • 3.  
  • 4.
    • In the i nternal environment:
    • employers
    • employees
    • In the operating environment:
    • trade unions
    • employer associations
    • In the macro environment:
    • peak union bodies – ACTU
    • peak employer bodies – ACCI
    • government and government organisations
  • 5.  
  • 6.  
  • 7.
    • Prior to 1991, wages and conditions of work for employees such as tradesmen, staff working in hospitality, staff working in retail etc. were determined centrally by The Australian Industrial Relations Commission
  • 8.
    • Conciliation
    • Arbitration
    • When conciliation has failed a formal court process takes place. Each party presents arguments to a judge who then decides the outcome.
    • The decision made is legally binding.
    • A system of resolving industrial disputes between employees and employers with the assistance of a third party appointed by the government.
    • Decisions are non-binding
  • 9.
    • Advantages
    • Disadvantages
    • Workers treated equally regardless of their employer
    • Less flexible as the wages and conditions have to apply equally to large and small businesses. What suits big businesses may not be affordable for small businesses
  • 10.
    • Conciliation
    • Arbitration
    • A system of resolving industrial disputes between employees and employers with the assistance of a third party appointed by the government.
    • Decisions are non-binding
    • When conciliation has failed a formal court process takes place. Each party presents arguments to a judge who then decides the outcome.
    • The decision made is legally binding.
  • 11.
    • In 1991 the Labor Government introduced the concept of enterprise bargaining (workplace bargaining)
    • Workers were allowed to negotiate wage increases at the enterprise level in line with productivity increases
    • Paul Keating, Prime Minister – responsible for introducing enterprise bargaining
  • 12.
    • A decentralised system exists when employees are able to negotiate agreements with employers in individual workplaces.
    • Developed in response for the need of the Australian economy to become internationally competitive
  • 13.
    • Advantages
    • Disadvantages
    • Flexibility to meet the needs of individual workplaces
    • Greater inequality in wages and conditions as unskilled workers have reduced bargaining power
  • 14.
    • Industry-wide Awards
    • What is an award?
    • Collective and individual agreements
    • What is the difference between them?
  • 15.
    • The Liberal Government was instrumental in making significant changes to Employee Relations in Australia.
    • The first significant change was the introduction of the Work Place Relations Act in 1996 and the second change was to introduce the controversial WorkChoices legislation in 2006
  • 16.  
  • 17.
    • Australian Workplace Agreements AWAs
    • Certified Agreements (Collective Agreements )
    • They are individual contracts between the worker and their employer
    • Awards only used for the purpose of being a safety net (outlined the very least that workers had to receive)
    • Negotiated by workers with their employers.
    • They cover a number of employers in a particular workplace (hence the name collective agreement).
  • 18.
    • Australian Fair Pay Commission established to set minimum wages rates based on existing awards
    • Further restrictions on the activities of union designed to reduce their influence in the workplace
    • Reduced access to ‘unfair dismissal’ laws
    • AWAs and Certified agreements to be registered with the Office of the Employment Advocate
    • ‘ No disadvantage ’ test no longer exists
    • 5 basic conditions cannot be undercut e.g. 4 weeks annual leave. Others?
  • 19.
    • What did it do?
    • Reinstatement of ‘unfair dismissal’ laws
    • Phasing out of AWAs
  • 20.
    • Passed by Parliament on 20 March, 2009
    • From July 1, 2009, no AWAs can be made
    • National Employment Standards (NES) commence 1 January, 2010 (the minimum safety net)
  • 21.
    • Industrial awards
    • - award modernisation
    • - 10 national employment standards
    • Collective agreements
    • (certified agreements)
    • AWAs (existing ones to run their course)
    • Individual common law contracts
  • 22.  
  • 23.
    • Read pgs 210-211 to consolidate your understanding and complete Q2 TYU
    • Read pgs 212 - 215 and write brief notes about each of the major players in employee relations e.g. unions, employer associations, government and advocates.
    • Complete Qs 1 – 7 TYU on page 215
  • 24.
    • Can you list the advantages and disadvantages of centralised and decentralised bargaining. Use the table format provided on slides 9 and 13. Make sure you can distinguish between them.
    • Slide 21 lists the different types of agreements. Can you explain each type and suggest who might use this type of employment arrangement? Refer pgs 222 -225 ( NB: individual contracts refer to common law contracts)