385 BA - Business Environment
Week 8
Chapter 8 Employee Relations
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BA 385 - Business Environment
Psychological Contract
The beliefs, perceptions, expectations, and obligations that make up the agreement between individuals and employers.
Largely unwritten. Details develop through interactions with managers and coworkers and corporate culture. Breach means loss of loyalty, focus and trust.
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BA 385 - Business Environment
Employee-Employer Contract
Up to early 1900s: Master-Servant '20s/'30s: More balanced '50s: Keep happy to avoid problems '60s: Participatory Management '70s: Freedom and democracy at work '80s: Attention to employee welfare '90s: Empowerment and teamwork Today: Global competitiveness + efficiencies=layoffs
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BA 385 - Business Environment
Workforce Reduction
Result of pressure to increase efficiencies Signal to end of "old" contract Involve reducing the number of employees, simplifying products and processes, and decreasing quality and/or services. Converts private issue into public issue Outsourcing & offshoring Key employer considerations
Take into account the financial implications and qualitative and emotional toll of the reduction strategy. Commit to assisting employees who must make a career transition.
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BA 385 - Business Environment
What can Employees do?
Understand how skills and competencies affect and align with business performance. Strive for cost-cutting and conservation strategies regardless of the employer's current financial condition. Be willing to fulfill diverse and varying roles.
More cross training Be flexible Learn the whole business
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BA 385 - Business Environment
Employment at will
This common-law doctrine allows the employer or employee to terminate the relationship at any time as long as it does not violate any employment contract. Many states still use the employment at will philosophy, but laws and statutes may limit total discretion (see http://www.oregon.gov/BOLI )
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BA 385 - Business Environment
Wages and Benefits
Fair Labor Standards Act of 1938 prescribed the first minimum wage (current $5.45/hr or $11, 336/yr.) and overtime pay, record keeping, and child labor standards. Employee Retirement Income Security Act (1974) set uniform minimum standards to ensure that employee benefits plans are fair and sound .
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BA 385 - Business Environment
Labor Unions
National Labor Relations Act (1935) legitimized the rights of employees to engage in collective bargaining and to strike. To protect employee rights and restore the balance of power. In 2006, 12 % of wage and salary workers were union members (down from 20.1% in 1983). About 36 % of government workers were union members in 2004, compared with about 8 %of workers in private-sector industries.
http://www.bls.gov/news.release/union2.nr0.htm
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BA 385 - Business Environment
Health and Safety
Occupational Safety and Health Act sought to ensure safe and healthy working conditions for all employees. Recent issue: ergonomics, the design, arrangement, and use of equipment to maximize productivity and minimize strain. Emerging issue: Violence; by strangers, non-employees and coworkers.
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BA 385 - Business Environment
Equal Opportunity Employment
Civil Rights Act of 1964 prohibits employment discrimination on the basis of race, national origin, color, religion, and gender. Later laws added: pregnanacy, disabilities and age. Affirmative action programs allow companies to build balanced workforces. Equal Employment Opportunity Commission monitors compliance with the law.
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BA 385 - Business Environment
Sexual Harassment
sexual Unwelcome advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature. When submission to or rejection of this conduct explicitly or implicitly affects an individual's employment; unreasonably interferes with an individual's work performance; or creates an intimidating, hostile, or offensive work environment.
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BA 385 - Business Environment
Sexual Harassment (cont.)
Quid pro quo
Exchange of job benefits for sexual favors. Explicitly illeagal, one incident may justify legal claim
Hostile work environment
Epithets, slurs, negative stereotyping, intimidating acts, and/or graphic materials that show hostility toward an individual or group. Conduct that a "reasonable person" would determine as intolerable to the work environment.
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BA 385 - Business Environment
Whistle-Blowing
A whistle-blower is one who reports individual or corporate wrong-doing to either internal or external sources.
The focus is usually on issues or behaviors that need corrective action. Legal protections vary according to the subject matter of the whistleblowing, and sometimes the state in which the case arises. http://www.ethicspoint.com
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BA 385 - Business Environment
Whistle-Blowing
(cont.)
Managers and other employees may not appreciate reports that expose company weaknesses, raise embarrassing questions, or otherwise detract from organizational tasks.
Historically, whistle-blowers have been retaliated against, demoted, fired, and even worse as a result of their action. Sarbanes-Oxley provides solid protection and penalties for retaliation from reporting corporate fraud.
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BA 385 - Business Environment
Ethical Responsibilities to Employees
Ongoing training and development
Benefits include stronger recruitment and retention, employee commitment, job satisfaction, and productivity.
Embracing diversity
Utilize the unique skills and contributions of all types of people. Reflect customers' characteristics.
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BA 385 - Business Environment
Generation Profiles
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BA 385 - Business Environment
Ethical Responsibilities to Employees (cont.)
Allow for work/life balance
Assist employees in balancing wo...