impact and changing role of trade unions saj

8/14/2019 Impact and Changing Role of Trade Unions Saj

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Impact and Changing RoleImpact and Changing Role

of Trade Unionsof Trade Unions

By Saj, Geraint and Yassine.


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ObjectivesObjectives

The factors that influence theThe factors that influence the

success of industrial actionsuccess of industrial action

The problems of industrial action forThe problems of industrial action for

employers and employeesemployers and employees

The benefits of industrial actionThe benefits of industrial action

An account of how industrial actionAn account of how industrial action

and trade unions have influencedand trade unions have influenced

(positive and negative) a specific(positive and negative) a specific

businessbusiness


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What is a trade union?What is a trade union?

Trade union is an organisation ofTrade union is an organisation of

employees, which acts collectivelyemployees, which acts collectively

in dealings with management forin dealings with management for

mutual protection and assistancemutual protection and assistanceand is often concerned with wagesand is often concerned with wages

and conditions of employment.and conditions of employment.


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How do trade unions benefitHow do trade unions benefit

employers?employers?

Provide a valuable communication link betweenProvide a valuable communication link betweensenior management and the workforce .senior management and the workforce .

Allows management to avoid what would be veryAllows management to avoid what would be verytime consuming bargaining and negotiationtime consuming bargaining and negotiation

with each individual employee.with each individual employee.

A strong union may encourage management toA strong union may encourage management totake workers needs seriously and thus improvetake workers needs seriously and thus improveemployee morale, which in turn may have aemployee morale, which in turn may have a

positive influence on productivity.positive influence on productivity.


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A trade union may ease situationsA trade union may ease situationsthat could cause difficulty for a firmthat could cause difficulty for a firmsuch as downsizing andsuch as downsizing and

redundancy, renegotiation ofredundancy, renegotiation ofemployment conditions andemployment conditions andcontracts.contracts.

Trade union officials can be consultedTrade union officials can be consultedat an early stage of the decision-at an early stage of the decision-making process, which may makemaking process, which may makethe workforce more confident thatthe workforce more confident that

management is acting properly andmanagement is acting properly andthou htfull .thou htfull .


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How do trade unions benefitHow do trade unions benefit

employees?employees?

The main functions that trade unionsThe main functions that trade unionsprovide for their members areprovide for their members arenegotiation and representation.negotiation and representation.

Negotiation involves the process ofNegotiation involves the process of

finding a solution to differences. Infinding a solution to differences. Inmany organisations, trade unions aremany organisations, trade unions areformally recognised by the employerformally recognised by the employer

which means that there is a formalwhich means that there is a formalagreement between the trade unionagreement between the trade unionand the organisation, giving the tradeand the organisation, giving the tradeunion the right to negotiate with theunion the right to negotiate with the

employer.employer.


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Factors that influence theFactors that influence the

success of industrial actionsuccess of industrial action

Nature and strength of the unionNature and strength of the union

Workforce concentration (e.g. Lots ofWorkforce concentration (e.g. Lots of

union members in on e firmunion members in on e firm

compared with a few members incompared with a few members in

many firms)many firms)

Management tactics (e.g. If stocksManagement tactics (e.g. If stocks

are available to meet demandare available to meet demandduring a strike)during a strike)

Economic and legal climateEconomic and legal climate

Public supportPublic support


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Problems of industrial actionProblems of industrial action

for employersfor employers

Lost production, reduced revenueLost production, reduced revenue

and lower profitsand lower profits

Continuing poor relationships andContinuing poor relationships and

grievances with employees, thatgrievances with employees, that

lead to poor motivation andlead to poor motivation and

communicationcommunication

Shifts managements focus away fromShifts managements focus away fromstrategic planning for the futurestrategic planning for the future

Harms the firms reputation with itsHarms the firms reputation with its

customerscustomers


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Problems of industrial actionProblems of industrial action

for employeesfor employees

Reduced or lost earningsReduced or lost earnings

Closure of the business andClosure of the business andredundanciesredundancies

Stress and friction between levels of theStress and friction between levels of thehierarchyhierarchy

If unsuccessful, workers are in a weakerIf unsuccessful, workers are in a weakerpositionposition

Support from the public may decline ifSupport from the public may decline ifaction affects themaction affects them

Must conform to legislation or be liableMust conform to legislation or be liable

for damagesfor damages


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Benefits of industrial actionBenefits of industrial action

Resolves ongoing grievances andResolves ongoing grievances and

improves the atmosphereimproves the atmosphere

Often leads to new rules about whichOften leads to new rules about which

all agree (e.g. Regarding rates ofall agree (e.g. Regarding rates of

pay or the need to consult)pay or the need to consult)

Leads to greater understanding ofLeads to greater understanding of

employer/employee positionsemployer/employee positions


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Account of how industrialAccount of how industrial

action and trade unions haveaction and trade unions have

influenced a specific businessinfluenced a specific business

impact and changing role of trade unions saj

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