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Chapter1 IR
Chapter1 IR
Chapter1 IR
Chapter1 IR
Chapter1 IR
Chapter1 IR
Chapter1 IR
Chapter1 IR
Chapter1 IR
Chapter1 IR
Chapter1 IR
Chapter1 IR
Chapter1 IR
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Chapter1 IR

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  • 1. MPH 3023<br />CHAPTER 1: INTRODUCTION TO EMPLOYMENT AND INDUSTRIAL RELATIONS<br />
  • 2. Chapter Outline<br />An introduction to employment relations<br />The changing world of work<br />Importance of effective employment and industrial relations<br />
  • 3. An Introduction to Employment and Industrial Relations<br />Field of employment relations is all about the relationship between an employer and his employees.<br />Three key role players in an employment relations system are employers, employees and the government.<br />Their aims:<br />Employers: maximize profitability and ensure long-term survival in their businesses.<br />Employees: maximize earnings, have a steady income and a job that provides psychological satisfaction.<br />Government: economic development, stable political environment and a country of contented people.<br />
  • 4. The Changing World of Work<br />The Economic Boom of Asia and Malaysia<br />Globalization and Increased Competition<br />Reduced Hierarchy and Control, More Collaboration<br />Flexibility<br />Diversity<br />Work-life Balance<br />Family-friendly Policies<br />Focus on Individual Rights<br />
  • 5. The Changing World of Work: The Economic Boom of Asia and Malaysia <br />Within the years of 1050s – 1990s, sustained economic growth led to the growth of multinational corporations.<br />The MNCs considered relocating their production facilities where labors are cheap.<br />Foreign direct investment (FDI) was seen as a way to create jobs in economies where unemployment was still high.<br />Unemployment could create social and political unrest, therefore, solution to unemployment issue was given the highest priority.<br />
  • 6. Globalization – new phenomenon but very controversial.<br />Globalization can be about world trade.<br />Globalization also can be about companies off-shoring work and having work done somewhere away from the company headquarters.<br />It means work is being decentralized.<br />It also means importing foreign labor that could bring conflict between local and foreign workers during times of economic crisis.<br />The Changing World of Work: Globalization and Increased Competition<br />
  • 7. The current trend today – employers are emphasizing partnership and collaboration, as opposed to “master-servant” relationship.<br />Reason – more jobs are “knowledge” jobs rather than jobs involving unskilled labor.<br />The more knowledgeable workers are, the less they want to be treated as manual labor.<br />“Flat” organizational structures.<br />The Changing World of Work: Reduced Hierarchy and Control, More Collaboration<br />
  • 8. “Just-in-time” workforce.<br />Ability to outsource and offshore work to countries with low labor costs.<br />Long-term employment relationships have been changed to short-term contracts, and other forms of non-traditional contracts – direct conflict with “job security”.<br />Flexibility in time – work is becoming less time-dependant.<br />Flexibility in location – work is becoming less location-dependant.<br />The Changing World of Work: Flexibility<br />
  • 9. Diversity in terms of gender, race, age, religion, disability.<br />In the context of Malaysia, national, linguistic and cultural background of workers has become more varied as the result of influx of workers brought into Malaysia.<br />The Changing World of Work: Diversity<br />
  • 10. The Changing World of Work: Work-life Balance<br />There is growing movement demanding that employees have the right to strike a balance between work and their personal lives.<br />Employers who introduce policies to encourage a work-life balance tend to attract those who are parents with young or disabled children, or those who look after elderly family members.<br />To help keep employees’ life free of stress, many benefits and schemes have been introduced including:<br /> Medical benefits for employees’ families<br />Annual physical check-up<br />Insurance coverage<br />Flextime<br />Longer weekends<br />Tuition support for children<br />Working from home policies<br />Community relations programs<br />
  • 11. Flexibility of working hours<br />Some American companies are experimenting with policies that allow workers to bring their babies to work.<br />Family-friendly policies aims to:<br />Attract and retain talented workers<br />Reduce costs of child-care for employees<br />Prove to the workforce that the employer is truly committed to caring about his staff.<br />The Changing World of Work: Family-Friendly Policies<br />
  • 12. Employees have the right:<br />Not to be discriminated at work because they belong to a particular group.<br />For privacy at work.<br />The Changing World of Work: Focus on Individual Rights<br />
  • 13. Importance of Effective Employment and Industrial Relations<br />Employers that are able to develop a strong, positive relationship with their employees are more assured of business success.<br />Employment relations is about:<br />On-going survival of business<br />High levels of productivity and profitability<br />Keeping the business out of court to avoid time and legal costs as well as negative public image.<br />

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