Analysis Industrial Relation in Belize 0

A research on
Analysis of Industrial Relations in Belize
Dhyron Humes, Renee Guerra, Shevaun Cadle and Opal Pineda
University of Belize

Submitted to: Mr. Romaldo Lewis

Course: Industrial Relation
University of Belize
Date: 12th November, 2018
Running Head: Industrial Relations in Belize 1

Contents

Introduction 2
Statement of Problem 2
Objectives: 3
Hypothesis 3
Literature review 3
Methodology 4
Results/analysis/discussion 4
Conclusion 12
Recommendations 12
Reference 13
Appendix 14
Appendix 1: questionnaire for employees 14
Running Head: Industrial Relations in Belize 2

Introduction

Industrial Relation, also known as employee relation, signifies the relationship that exists
between employers and employees within a business structure. Furthermore, it is justified that
when a dispute between employers and employees is left unrest, the workplace tends to suffer.
For example; high labor turnover, disciplinary problems, absenteeism, low morale, reduction of
output, and the country’s economy are negative factors that arise from poor industrial relation
practices. Therefore, it is important to resolve conflicts between employers and employees for
better and positive productivity in the business.
“The study of this paper is to understand the effect of enforcement in regards to
compliance with the following five employment and social security regulations: minimum wage,
maximum hours, paid vacation time, workers compensation and health insurance.”
According to the Statistical Institute of Belize (SIB) 2018, Belize’s population is approximately
382,444 of which 43% (162,264) make up the labor force. In the Capital of Belize ‘Belmopan’
there is a total of 13,381 people, not counting the surrounding villages such as San Martin, Maya
Mopan, and Las Flores. Therefore, including those respective surrounding areas Belmopan
adds-up to 21,814 residents. Subsequently, the ratings impose menace to the country labor
market being that both unemployment and underemployment have increased by 1% and 3%
respectively. Later, the unemployment rate continues to increase by a rating of 9%, which
continues to impact the country’s economy negatively. It is understood that a country’s
performance replicates the government proficiency to effectively oversee and address industrial
problems.

Statement of Problem
The aspects involved in industrial relations such as employee and employer relationship
has a significant influence on the overall productivity of the business and country; all linking to
economic growth since it interrelates to employment rates. The labour laws in Belize are often in
non-compliance due to the lack of effective enforcement; this is where the problem in industrial
relation exists. This research is to analyze how the lack of compliance of labour laws in the
businesses affects the country’s economic gain. Likewise, this paper evaluates the effect of
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enforcement in compliance with the following five labour law areas which are employment and
social security regulations: minimum wage, maximum hours, paid vacation time, workers
compensation insurance and health insurance.

Objectives:
1. Measurement of the degree of labor law compliance in accordance with the violation of
the following rights within the public sector:
❏ Minimum wage
❏ Maximum hours
❏ Paid vacation time
❏ Workers compensation insurance
❏ Health insurance
2. To identify how the lack of labor law compliance hinders the economic growth in Belize

Hypothesis
I. If businesses within Belize act in accordance to the labour law in relation to providing
benefits then the turnover rate will decrease.
Null hypothesis
II. If there is relationship improvement between employer and employee, the unemployment
rate will not change.

Literature review
Industrial Relations (or labour market relations) emerged as a multi-disciplinary field of
research in Great Britain and the USA about hundred years ago. However, it took nearly half a
century for research and teaching within this broad field to really gain momentum. As a distinct
academic discipline, industrial relations (IR) is primarily an Anglo-Saxon phenomenon. It is only
since World War II that a corresponding multi-disciplinary treatment of the complex of problems
pertaining to the employment relationship.
Past research such as of Dana Volosevici (2015) examined the trends and challenges
affecting the actors of industrial relations, the trade unions and the employers’ association, in a
Europe promoting smart, sustainable and inclusive growth and a specific social model. Another
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researcher Bergene, A. C., & Hansen, P. B. (2016), suggested the Norwegian model of industrial
relations has received a lot of praise. It is generally thought of as the peak of the welfare state, a
reason why Norway is not severely hit by crises, is highly adaptable, and thus still going strong.
Likewise, Oliver, D., & Walpole, K. (2017) experts in industrial relation introduced and promote
that National Qualifications Frameworks (NQFs) are intended to promote stronger linkages
between education institutions and the labour market. The research examined how industrial
relations institutions mediate the relationship between formal qualifications, job classifications
and pay outcomes in Australian manufacturing.
Finally, Wen, X., & Lin, K. (2015) explained that the intensifying labour conflict in
China has posed a serious challenge to the industrial relations system. Under growing pressure,
the Chinese government has sought to reform the system but the results are meagre. Among the
supposedly successful cases, the development of collective bargaining in Wenling, Zhejiang
province has been hailed as a model of labour relations to be replicated elsewhere. Based on a
detailed case study of Wenling, this study aims to analyze the process whereby local government
reconstructs the industrial relations system by organizing and incorporating the interest of
employers and workers, leading to regularized wage growth and reduced labour dispute.
However, the tensions in the state corporatist structure may still undermine any attempt by the
government to reconstruct industrial relations.

Methodology
The data will be collected using a questionnaire developed with fifteen closed ended
questions. Both quantitative and qualitative responses will be sought in order to provide the socio
economic aspects of the research. Sampling will be done in a simple random fashion with respect
to polling the local employees. The total population for Toucan Industry is 45 employees. A
sample population was calculated with a 95% confidence level and a 5% margin of error to be 41
samples. Since it will be a simple random distribution, participants will be chosen randomly.

Results/analysis/discussion

This qualitative study aims to determine how work conditions, in regards to employers
complying with employee benefit rights, can decrease turnover rates in Belize. The results will
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also present a generalized explanation how Belize’s economy is affected by work conditions.
According to the 41 surveyed participants at the Toucan industry, 97.6% highly believe that there
is profound importance in managers strengthening relationships within the workplace and that
employers should get to know their subordinates personally. Also, majority agrees that managers
should be capable to take on the role of a counsellor.
Further data results provided based on a question which ask the participants to select the
given key factors that they consider as important regarding relationship building within the
workplace. The key factors that is provided in the question is communication, listening, trust,
giving time, respect or all. Figure 1 shows that 53.7% select all factors is important whereas
22% select communication, 4.9% select listening, 9.8% select trust, 4.9% select giving time and
4.9% select respect.
Figure 1

In this section, the survey results illustrate that most of the partakers agrees with poor workplace
relationship between managers and their subordinates being a cause for low performance
standard. It was then question how exactly does it affect performance in which responses is
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illustrated in figure 2. The options being provided on the survey are demotivate employees, job
dissatisfaction, reduce employee’s productivity and high staff turnover.

As shown, majority of the participants, 95.12% selected all the options are factors explaining
how the workplace performance is affected by weak relations. The remaining participants chose
job dissatisfaction and high employee turnover, a 2.44% for both.

Figure 2

From the diagrams below, key findings emerge from figure 3 is that all participants agree that
strong employee-employer relationship increases the organization’s overall productivity.
Likewise, further date presentation below in figure 3.1 demonstrates that all respondents selected
that all factors namely motivated employees, job satisfaction, increase employee productivity,
reduces staff turnover as result of positive relations in the workplace.
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Figure 3 Figure 3.1

Figure 4 reveals that employees at the workplace do receive work benefits such as health
insurance, sick leave, bonus incentives and etc. An 85.37% chosen yes and 14. 63% selected that
they do not receive those benefits.
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Figure 4

Furthermore, an important finding is presented in figure 5 where respondents are questioned

whether or not, they are satisfied with the benefits being provided to employees. From all the
participants, 46.34% feels unsatisfied with the benefits and 53.66% selected that they are
satisfied. Even though the greater number of participants voted yes, the difference to those who
voted no is not significant.
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Figure 5

The survey posed the question: Are you given the information, tools and technology needed to
do your job properly? The result found evidence that 63.41% says that they are frequently
provided with the necessities to do their job, 29.27% stated sometimes and the remaining 7.32%
stated that they are rarely supplied with the information and equipment needed.
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Figure 6

Moreover, the following section prove that the participants who works at the organization are
satisfied with the work conditions at the workplace. The research project considers the possibility
of employees being overworked as one of the forefront issues causing high turnover rate. The
findings are 51.22%, 24.39% or 24.39% who selected rarely, sometime and frequently
respectively.
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Another important finding of this research paper is to investigate if employers are complying
with employee labor right such as those falling under salary and wages. Hence, the results shown
in figure 8 provides evidence that there is little difference in the percentage figures between those
who feel that their wage corresponds with their worked hours and the remaining who believes
that it does not. The pie chart data representation reveals that 56.10% voted yes to receiving pay
according to worked hours and those who voted no is 43.90%.

Additionally, based on figure 9, majority of the employees are relevantly content with the
working environment. This is illustrated by the pie chart below which provides that 63.41%
opted that they would recommend others to apply for a job at Toucan industries and only 36.59%
opted that they would not.
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Figure 9

DISCUSSION
The results demonstrate two main things that will determine if this research paper
hypothesis is correct. First, employers who does not promote employee engagement will face the
consequences of greatly decreasing the business’s productivity. Therefore, employers can
increase employee engagement by being involved with their employees on a personal basis, act
as an excellent guidance or counsellor when needed and follow the labour laws. From the results,
employees expect that employers communicate, listen, trust, provide time and respect when it
comes to building relationships. In return, this will successfully allow strong and positive
relationships to be developed between the employers and employees. If good relations are not
maintained then employees will lose their motivation to perform well, increase job
dissatisfaction and there will be a high staff turnover. An organization cannot afford to allow a
high staff turnover to occur because this will affect the firm’s reputation, and it is costly in terms
of expenses and time. On a greater level, the country cannot afford for organizations to have a
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high staff turnover as well because it has the potential to affect the economy’s growth in Belize.
Hence, the reason why industrial relations are a vital aspect of any country.
Second, in relation to determining whether or not if employers provide benefits in
compliance with minimum wage, maximum hours, paid vacation time, compensation insurance
and health insurance; evidence shows low significance between satisfaction and dissatisfaction
of the work conditions at toucan industry. As a matter of fact, there is just a 7.32% difference
therefore, the number percentage to those who are unsatisfied is still high. However, the level of
dissatisfaction is not of concern because most employees feel that they are provided all the
necessities to perform well and most of the respondents do not feel overworked. From the results
it is clear that the employer is in compliance with the labour laws. This is also proven from the
findings where most employees would definitely recommend other people to work at Toucan
industry.
From the brief description above, key findings emerge: employees greatly values
employer’s involvement when it comes to their well-being; employee engagement is important
for the health of the organization; depending on the employer-employee relationships it will
significantly increase the performance of the institution; overall employees at the Toucan
Industry are satisfied with the working conditions being that they are receiving employee
benefits thus, the employers are in compliance with the labour laws. Therefore, the hypothesis
can be hold true because when employees provide good benefits then the turnover rate will be
low.

Conclusion

This paper highlights the overall picture of industrial relations within the country of

Belize. According to the Statistical Institute of Belize (SIB) 2018, it points out that Belize’s

Labor force comprise of 43% of its population. Base on that figure it is understood that 57% of

Belizeans are unemployed. Major cause of this is because the labor laws in Belize are often in
Running Head: Industrial Relations in Belize 14

noncompliance due to the lack of effective enforcement. Consequently, this is where the

problems lie, linking to poor and unfair practices carried out within the business sector. It is

understood that Industrial Relations tend to pose one of the most delicate and complex problems

to modern Industrial sector as the future of the industry are largely based on the way how it

maintains the Industrial Relation. Therefore, the Government of Belize (GOB) need to analyse

and increase awareness about Industrial Relations. By putting this into practice the country’s

economy will be greatly affected due to employee’s productivity rate (increased).

Furthermore, this research paper is based on both primary and secondary data. In terms of

the comprehensive information on several aspects of industrial relations has been retrieved from

the annual reports and official records from Statistical Institute of Belize and close ended

responses from questionnaires (survey). Base on the gathered information researcher analyzed

that 97.6% of the employees from Toucan Industry believe that it is important to strengthen the

relationship between managers and employees. Additionally, 95.12% also responded weak to

relations affecting the underlying performance of employees. Therefore, ethical practice should

be carried out in order to increase productivity and having industrial peace. As it relate to

benefits of employees, they should have or possess equal benefits and have knowledge of what

they are entitled to. By this employees will be able to value their job more, build a positive

relationship with their employer and significantly contribute to the success of the business and

country.
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Recommendations
The relationship between the employers and the employees is vital for any organization

to succeed. Managers and employers must take into consideration that employee satisfaction

and motivation plays an important role on how well employees perform in the organization.

Highly satisfied and motivated employees tend to perform better than those employees that are

not satisfied and motivated. This research conducted at Toucan’s Industries highlighted that

there is a vast amount (46.34%) of unsatisfied employees due to reasons such as: they believe

that the pay received is not aligned to the hours they work, they feel overworked and the

adequate tools needed to carry out their tasks is rarely provided. With this consideration in

mind, the following recommendations will suit to the manager and employer of Toucan Industry

and other business in the country of Belize.

1) Managers and employers must create a solid relationship with employees. For instance,

know how they feel about the work.

2) Employees should be provided with the required tools, and materials on time so to

perform their assigned task effectively and efficiently.

3) Managers and employers should always seek to satisfy employees in order to get more

output.

4) Employers must pay employees according to their hours worked, and follow the laws of

Belize by providing insurance benefits, sick leave, maternity leave and so forth.

Toucan industry as well as other businesses in Belize must take into consideration that

employees are an integral part of the business. Therefore, employees must always be satisfied
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and motivated in order to perform effectively and efficiently. Unsatisfied or unmotivated

employees may sometime be a threat for an organization since they will always be unproductive

and can give a bad reputation to the organization.

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Reference

Bergene, A. C., & Hansen, P. B. (2016). A Historical Legacy Untouched by Time and Space?
The Hollowing-out of the Norwegian Model of Industrial Relations. Nordic Journal Of
Working Life Studies, 6(1), 5-24.

Oliver, D., & Walpole, K. (2017). How are links between a National Qualifications Framework,
job roles and pay mediated by industrial relations institutions in manufacturing?.
Journal Of Vocational Education & Training, 69(4), 576-595.

Volosevici, D. (2015). Trends in Industrial Relations in the European Union. Petroleum - Gas
University Of Ploiesti Bulletin, Technical Series, 67(3), 117-124.

Wen, X., & Lin, K. (2015). Restructuring China's State Corporatist Industrial Relations System:
the Wenling experience. Journal Of Contemporary China, 24(94), 665-683.

ZOFKA, J. (2016). The Transformation of Soviet Industrial Relations and the Foundation of the
Moldovan Dniester Republic. Europe-Asia Studies, 68(5), 826-846.

The Statistical Institute of Belize. (2018). [online] Available at: http://sib.org.bz/ [Accessed 7
Sep. 2018].
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Appendix
Appendix 1: questionnaire for employees

This questionnaire asks for information about the relationship between you and the manager. We
would like to evaluate industrial relation in Belize. The data gathered will be analysed to
determine the success or failure of industrial relation in Belize.

Please answer each question based on the knowledge you have on the relationship/interaction in the
business. Your individual responses to the questionnaire will be strictly confidential and used solely
for this research.

1. Is it important for managers to build relationships within the workplace?

☐Yes

☐No

2. Should managers take time out to get to know employees personally?

☐Yes

☐No

3. Should managers be able to play the role of a counsellor towards employees?

☐Yes

☐No
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4. What’s the most important or key aspect of building workplace relationships? Tick as

appropriate.

☐Communication

☐Listening

☐Trust

☐Recognition

☐Giving time

☐Respect

Other (please specify) ________________________________________________________________

5. Is conflict always a bad thing in organizations?

☐Yes

☐No

6. Are your day-to-day responsibilities clearly defined to you?

☐Yes

☐No

7. Do poor workplace relations between employees and managers have a negative effect on

organizational performance? If YES, please tick as appropriate.

☐Yes

☐No

Demotivated employees

Job Dissatisfaction
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Reduced employee productivity

High staff turnover

Other (please specify):____________________________________________________________

8. Do strong workplace relations between employees and managers have a positive effect on

organizations? If YES, please tick as appropriate

☐Yes

☐No

Motivated Employees

Job Satisfaction

Increased employee productivity

Reduced staff turnover

Other (please specify):_____________________________________________________________

9. Is there any benefits for employees (health insurance, sick leave, bonus, etc.)?

10. Are you satisfied with the benefits (health insurance, sick leave, bonus, etc.) provided to

you?

☐Yes

☐No

11. Are you given the information, tools, and technologies you need to do your job

properly?

☐Sometimes
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☐Rarely

☐Frequently

12. Do you ever feel overworked?

☐Sometimes

☐Rarely

☐Frequently

13. Do you believe that your wage/salary matches your hours worked?

☐Yes

☐No

14. Would you recommend someone to apply for any open position here?

☐Yes

☐No