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Industrial relations is the study of all aspects of job regulations- the making and administering of the rule which regulate employment relationship regardless of whether these are seen as being formal or informal, structured or unstructured (Bain and Clegg, 1974). Guest (1987) says that, The main dimension of human resources management involve the goal of integration (i.e. if human resources can be integrated into strategic plans, if human resources policies cohere, if line managers have internalized the importance of human resources and if this is reflected in their behavior and if employees identify with the company) then the companys strategic plans are likely to be more successfully implemented, the goal of employee commitment, the goal of flexibility adaptability (i.e. organic structure, functional flexibility), the goal of quality [i.e. quality of staff, performance, standards and public image]. This paper seeks to interrogate the statement that human resources management and industrial relations have convergence and divergence .In fact, Kaufman (2001) says that researchers in HR and IR are often like the proverbial ships passing in the nightsailing much the same seas but unaware of each others presence-and that the advancement of knowledge would be materially promoted by greater interaction among people in the two fields. Management has a general way of giving an overview to both IR and HRM and this is called the frame of reference. According to Fox (1966), frame of reference assists in understanding the nature of workplace, dynamics and relations. The next section discusses the frame of reference in detail.
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Frame of reference
According to Swanepoel et al (2005), there are three different perspectives relating to the way in which management views the concept. The various approaches or perspectives are the unitarist; the pluralist and the radical perspective.
The Unitarist Perspective
The unitarist perspective emphasizes that the organization is a coherent and integrated team united for a common purpose (Swanepoel et al; 2005). The approach identifies the organization as an employment entity with an integrated group of people with a single authority and loyalty structure and a common set of values, interests and objectives shared by all members of the organization. Salamon (1987) and Marchington (1982) share the same view and further state that the managements prerogative to manage and to make decisions is regarded as legitimate, rational and accepted. Any opposition to this prerogative of management is regarded as irrational. However, Fox (1966) argued that the importance of a common goal for the enterprise is that there will be no room for division within the enterprise because all participants would have the goal of the efficient functioning of the enterprise and all will share in the rewards which accrue from the attainment of this aim. Management believes in reward systems tied down to individual performance and negotiations that are individualistic. The unitary frame of reference can be subdivided into the crude and sophisticated versions. In the crude version, the enterprise is seen as a structure resembling a pyramid with the manager at the apex of the organization and the lines of demarcations are very clear. On the other hand, management in the sophisticated version are not comfortable with workers union but are not blunt and however use competitive working conditions like culture of high commitment to the organizational goals, focus on the need to bond the employee through a strong culture, employee involvement, structure and strong communication including the open door policy. Conflict is seen as irrational and pathological due to faulty communications or procedures, and conflict is also seen as emanating from troublemakers or agitators and the managers role is clearly to be at the apex and make decisions (Magaramombe, 2010).
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In terms of this perspective, the organization is composed of individuals who coalesce into a variety of distract sectional groups each having its own interests, objectives and leadership. Collective worker bodies are accommodated and collective bargaining is an important characteristic in this regard (Swanepoel, 2005). This view is similar to that of Fox (1966) who argues that the organization contains people with a variety of different interests, aims and aspirations; therefore it is a coalition of different interests rather than the embodiment of one common goal. Since an organization is multi structured and competitive in terms of groupings, leadership, authority and loyalty, this results in tension and competing claims which have to be managed in the interest of maintaining a viable collaborative structure. Under the pluralist perspective, conflict is normal and management should try to reconcile conflicting opinions and keep the conflict within acceptable bounds so that it does not destroy the organization altogether. On the other hand, management views the different stakeholders to have convergence at one time and therein the organization which makes the relationship cooperative to stabilize the company and an example is the collective bargaining process.
The Radical Perspective
This is not a frame of reference normally used by managers to manage, but an analytical tool used by academics to understand the nature and dynamics of society including the workplace .There is an inherent and antagonistic conflict between the interests of capital and that of organized labour, where capital aims to maximize profit and labour aiming to maximize on wages and salaries which is a cost to capital, therefore conflict between the two is seen as being inevitable. Industrial peace is only acquired on a pragmatic basis, that is, employees only cooperate with the employer to the extent that it is in their interest to do so (Magaramombe, 2010).
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b) Employment relations should at all times reflect order. c) Employment relations should be exercised strictly in terms of a clearly diffused judicial system and set rules and regulations. In the event that a trade union being given access to a business concern, such a union should act as a partner of management in the application of rules and regulations. HRM shows that the organization is a unitary structure where all levels and kinds of employees have common objectives and values. The hierarchy of authority within the organization should be very clear to all and must be maintained (Leopold, 2002).
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The nature and scope of conflict are however limited by the interdependence of the parties involved in the process of economic survival. The different parties in the organization like the employer and the trade unions will attempt to settle their differences by means of interactions mechanisms such as negotiation and collective bargaining. According to Van der Merwe (1986), IR as an employment relations system involves the individuals and groups who have conflicting interests and goals. The organization is in a permanent state of dynamic tension resulting from the inherent conflict of interests between the various sectional groups and requires management through a variety of roles, institutions and processes. Conflict is natural and inherent in the relationship and however negotiations between the employer and employees is the primary means of achieving compromise and rules for controlling future conflict. The role of management is clear but workers should be afforded the opportunity to participate in making decisions concerning matters affecting their daily work life (Van der Merwe, 1986).
relations tends to contrast this with a more pluralistic and collective value system. The table below shows some of the differences between HRM and IR.
Aspect
Employment Contract
IR
Clear delineation of formalized contracts.
HRM
Try going beyond formal contract. Much less rule based.
Rule orientation
Procedures
Business needs
To monitor
To nurture
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Aspect
respect of labour Frame of reference Key relations focus
IR
Pluralist Internal: ;Labour management
HRM
Ker role players Communication Degree of standardization Selection Pay thrust Conditions of service Collectivism/ Individualism
Specialists Indirect High Separate, marginal task Fixed into job evaluation Separately negotiated Collective agreements
Line Managers Direct Direct Integrated, key task Performance based Harmonization Towards individual agreements
Job levels and categories Work design Human Resources Development Foci of attention for interventions
Source: Storey (1995). However different HRM and IR authors show that there is a move to converge both theories in employment relations and the next section shows the level of convergence between the different authors.
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incentive and reward schemes and to control socialization of new recruits carefully. b) by practicing high quality management, the need for union as a protective device against arbitrary management behaviour is likely to be reduced. The industrial relations system will still be used to negotiate annual wages, but if a policy of paying above average rates is pursued, individualized incentive schemes are increasingly operating and longer term pay deals are concluded diminishing the central role of trade unions. c) the anti-union threat and at new sites where human resources policies should obviate any felt need for a union. In the UK, there is little empirical evidence on the link between human resources and industrial relations. Jackson (1977) argued for the beginning of a long term trend reflecting a shift in workers attitudes from a collective to a more individualistic orientation. However, Kelly (1988) says that the extent of the changes and the novelty of the circumstances suggesting could also be misleading citing a few publicised cases and pointing to the upsurge in industrial unrest and the increase in the membership of a number of trade unions.
Development in the world in term of HRM and IR application: the Green Field Site
According to Guest (1987) not everyone would agree that human resources management is inevitably associated with an absence of trade unions, even in the USA. Case studies from General Motors and Xerox illustrating the role of trade union in facilitating a move towards human resources management were used. Market forces were driving American companies towards human resources management and nonunion companies have been at the leading edge of this movement collaborating with trade unions.
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Companies setting up green-field sites in the UK have an ideal opportunity to consider new initiatives in many aspects of management including the explicit choices about management of industrial relations: (1) adopting a unitarist individualistic human resources policy and have no union and no collective arrangements, (2) adopting a unitarist perspective with no independent trade union, but provide a collective voice through some form of company consultative council, (3) accepting a pluralist perspective but plan it carefully seeking a single union agreement signed on the companys terms and possibly containing some form of no strike clause linked to pendulum arbitration, and (4) accepting the traditional pluralist perspective in the UK and recognize any unions who can demonstrate significant membership. One indication of human resources practices in green-field sites might therefore be the presence of trade union. Single union deals have not always stood in the way of human resources management, in the case of Toshiba and Nissan, a union has played a supportive role in instituting human resources policies. It seems American companies with the strong flair of anti-unionism, individualism, and general appreciation of human resources management, will generally pursue the nonunion path. On the other hand, other countries that used to accommodate trade unions may opt for non-union company council or a single union deal. Those countries with the pluralist perspective are more likely to plan a positive union role with collective bargaining. In the green field sites, HRM determines the strategic competence of management and its pursuance is never determinable in terms of risk. Organizations driven by market pressures to seek improved quality, greater flexibility, and constant innovation, human resources management may appear to an attractive option.
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Conclusion
Due to the globalization and world class organizations, Peters and Waterman (1982) say that the excellent companies needs to focus their strategies on the customers to survive competition. However, organizations should also ensure that there is a good interaction and dynamism related to the role of employers, labour and the government. Locke, Kochan and Piore (1985) view HRM and IR as basically one integrated area of employment relations management. This view is similar to that of Swanepoel (1985) who say that the changing nature of HRM and IR denotes a shift towards employment relations a theory that suits the perspective of management in general and the strategic management in particular. From this detailed discussion, indeed it can be argued that to a greater extent, it is true that researchers in HR and IR are often like the proverbial ships passing in the nightsailing much the same seas but unaware of each others presence-and that the advancement of knowledge would be materially promoted by greater interaction among people in the two fields. However the new industrial relations or employment relations show that there is indeed a convergence of both theories.
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REFERENCES 1. Bain, G.S., and Clegg, H.A., (1974). A Strategy for Industrial Relations Research in Great Britain. Journal of Industrial Relations. 2. Dunlop, J.E.T., (1958). Industrial Relations Systems. Southern Illinois UP, Carbondale. 3. Fox, A., (1966). Industrial Relations: A Social Critique of Pluralist Ideology 4. Guest, D. E. (1987). Human Resource Management: Its implications for Industrial Relations and Trade Unions. 5. Jackson, M.P., (1977).Industrial Relations. British Library Cataloguing in Publication. London. 6. Magaramombe (2010). MBA Industrial Relations in Class Notes. 7. Marching ton, M., (1982). The management of employee relations. UMIST University of Manchester. 8. Salamon, M (1987). Industrial relations: theory and practice. New York: Prentice Hall. 9. Storey, J., (1989). New Perspectives on Human Resource Management. Routledge 10. Swanepoel, B.J., Slabbert, K., Prinsloo, J.J., Backer, W., Erasmus, B., Brink, M.,(2005)
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