Employee Relations and Engagement • Employee welfare • Negotiating terms and conditions of employment

• Employee development • Sharing decision making with employees

Employee Relations
• Employee remuneration, safety, welfare, etc • Engaging in power struggle with trade unions
 Employee relations refers to the interrelationships,
both formal and informal between managers and
Employment Relations and HRM Trade union’s perspective…
those whom they manage.
• HRM and the ‘individualization’ of employment  Collective bargaining about terms and conditions of
 How are we managed? how we would like to be
relations employment
managed? how and why conflicts arise? and how
• Focus on the individual worker and relationship with  Representing individuals in conflict with
these can be resolved at work? These are the basic
management management
concern of employee relations.
• Mainstream HRM – concern with involvement and  Improving the abilities of employees to influence
commitment and relationship to business performance events in the workplace
Why are Employee Relations worth studying?
(Guest et al. 2000)  Regulating relations with trade unions.
• For many people work is central in terms of time,
• Business-model of HR dominant
money, identity, status, social relations
Individual employee’s perspective…
• Most of us experience work as employees – we have
And Now…. • Improve their conditions of employment
an employment relationship – between ourselves and
• Increased concern with both individual and collective • Voice and grievances
those who employ us, and an employment status
aspects of employment • Exchange views and ideas of management
• However, many different interests at work
• Re-focusing on how the employment relationship is • Share in decision making
(‘stakeholders’) – owners, shareholders, managers,
regulated.
employees, customers – all exert pressure on
• Theoretically, this marks a return to a focus on power Third Parties' perspective…
employment relationship
and authority relations in employment • Creating and maintaining harmony at work
• Creating a framework of rules for fair conduct in
The Employment Relationship
Main Parties Engaged in ER… relationships
 It follows that the ‘employment relationship’ is a
• Establishing a peace making arrangements
central feature of work but it is dynamic.
• Achieving a prosperous society with justice
 It is also complex – has many dimensions and levels –
economic, legal, social, psychological and political
Engagement
 Shaped by historical experiences
What is Employee Engagement
 Employment relationship now seen as core to the
• An engaged employee is one who is fully involved in,
study of employee relations
and enthusiastic about his work, and thus will act in a
 Many employment relationships, many employee way that furthers his organization’s interests.
relations • Employee engagement is a measurable degree of
employees’ positive or negative emotional attachment
IR to ER Manager’s perspective… to their job, colleagues, and organization which
• Employee relations is more comprehensive and • Creating and maintaining employee motivation profoundly influences their willingness to learn and
includes all aspects of HRM where employees are dealt • Obtaining commitment from the workforce perform at work
with collectively. • Establishing mutually beneficial channels of
• It covers … communication What is Employee Engagement
• Participative management • Achieving high level of efficiency
• Employee engagement is the extent to which
employee commitment, both emotional and
intellectual, exists relative to accomplishing the work,
mission, and vision of the organization.
• Schmidt – An employee’s involvement with,
commitment to, and satisfaction with work.
• David Zinger – Employee engagement is the art and
science of engaging people in authentic and recognized
connections to strategy, roles, performance,
organization, community, relationships, customers,
development, energy and happiness to leverage,
sustain, and transform work into results.
Role of a Managers
• The workplace Manager and his/ her ability to meet
a core set of employees’ emotional requirements is the
most important variable that distinguishes between
highly productive and unproductive workplaces.
• At a level Managers can influence the most basic
human needs – to be recognized as individuals and to
contribute.
Paradigm Shift
 In many countries today, the employer needs the
employees more than the other way around. As
the world shifts from an industrial to a knowledge-
based economy – and as the employees are
increasingly valued for what they know as much as
what they produce – the employer’s power has
diminished or evaporated
Engaged Employees
• Emotional – work with passion, feel a profound
connection to their company.
• Involvement – more positive attitudes, trust,
organizational commitment, and intrinsic enjoyment of
work.
• Engaged employees are more productive, more
profitable, more customer focused, safer, and less
likely to leave their employer.
Drivers of Engagement
• Employee perceptions of job importance • Employee
clarity of job expectations
• Career advancement/ improvement opportunities
• Regular feedback and dialogue with Supervisors
• Quality of working relationships with peers, superiors
and subordinates
• Perceptions of the ethos and values of the
organization
• Effective internal employee communication
• Reward to engage
Employee Engagement Index
• I understand overall mission of my company
• My Company asks for my feedback and acts upon my
inputs
• My Company provides me with the training and the
tools that I need to be successful
Employee Engagement Strategy
 Why
 How
 What
Benefits – Direct and Indirect
• Culture Building
• Employee Satisfaction
• Positive Employee Relations
• Retention
• Productivity/ Quality Enhancement
• Customer Satisfaction
• Financial Performance
• Employer Brand
Importance of Employee Engagement
• Engaged employees will stay with the company, be an
advocate of the company, and contribute to bottom-
line business success.
• They will normally perform better and are motivated.
• There is a significant link between employee
engagement and profitability.
• They form an emotional connection with the
company. This impacts their attitude towards the
company’s clients and thereby improves customer
satisfaction and service levels.
• It builds passion, commitment, and alignment with
the organization’s strategies and goals.
• Increases employees’ trust in the organization.
• Creates a sense of loyalty in a competitive
environment.
• Provides a high-energy working environment.
• Boosts business growth.
• Makes the employees effective brand ambassadors
of the company.
Employee Engagement is not a stand-alone activity. It is
an integral part of business strategy and a long-term
initiative.