EFFECTS OF EMPLOYEE RELATIONS ON EMPLOYEE PRODUCTIVITY
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EFFECTS OF EMPLOYEE RELATIONS ON EMPLOYEE PRODUCTIVITY
ABSTRACT
The need to increase staff productivity is one of the most serious concerns confronting most organisations today. There is a prevalent perception that productivity gains can only be realised through significant changes in employee relations. Changes are regarded to be required in the organisation and structure of work, as well as in how personnel are trained, compensated, and motivated.
Furthermore, it is suggested that these changes are inextricably linked to the need to revamp our system of interest representation and dispute resolution. The activities of trade unions and the operations of arbitration courts are frequently considered as barriers to management efforts to improve their organisations’ competitive performance.
The goal of this research is to assess these ideas, discover how employee interactions affect productivity, and suggest solutions to boost productivity in organisations. This study used South Akim Rural Bank as a case study, with various staff and management from the bank serving as respondents.
Responses from employees and employers were analysed to produce findings and suggestions for this study. In terms of research methodology, the casual research design was selected as the most appropriate research design for the study. Data was collected from both primary and secondary sources.
The core data came from questionnaire responses and interviews with bank management, while the secondary data came from books, articles, and journals on employee relations. The study’s findings demonstrated that employee relations practises influence productivity via employee morale, quality, and amount of output/product.
Other findings include numerous workplace issues and strategies to improve healthy relationships between employees and their employers in an organisation. The most valuable advice provided is to treat staff with respect.
CHAPITRE ONE
INTRODUCTION
Maintaining excellent employee interactions is a prerequisite for organisational success. High productivity and human satisfaction necessitate strong employee interactions. Employee relations are generally concerned with avoiding and resolving conflicts with individuals that may develop from or be influenced by the work environment.
Strong employee relations are dependent on a healthy and safe work environment, 100% involvement and dedication from all employees, employee motivator incentives, and an effective communication system in the organisation. Healthy employee relations result in more efficient, motivated, and productive employees, which leads to an increase in output.
Over 40% of the companies included in Fortune magazine’s top 100 “America’s Best Companies to Work For” also appear on the Fortune 500. While it is possible that employees enjoy working for these companies because they are successful,
the Watson Wyatt WorldwideHuman Capital Index study suggests that good practises lead to good financial outcomes more often than good financial outcomes lead to good practises.
1.1 BACKGROUND AND ORGANISATIONAL PROFILE OF THE STUDY
Employee relations can be traced back to the industrial revolution, which spawned open labour markets and large-scale industrial organisations employing thousands of wage workers.
Labour issues arose as society grappled with these major economic and social shifts. Low pay, long hours, boring and risky labour, and abusive management practises resulted in significant employee turnover, violent strikes, and the threat of social instability.
Intellectually, industrial relations emerged at the close of the nineteenth century as a bridge between classical economics and Marxism, with Sidney and Beatrice Webb’s Industrial Democracy serving as the pivotal work. Thus, industrial relations rejected conventional economics.
Employee relations were institutionalised in 1920 by John R. Commons, who established the first academic industrial relations programme at the University of Wisconsin. John D. Rockefeller, Jr., who favoured progressive labor-management relations in the aftermath of a brutal strike at a Rockefeller-owned coal mine in Colorado, provided early financial support for the field.
Montague Burton, another progressive entrepreneur, funded chairs in industrial relations at Leeds, Cardiff, and Cambridge in 1930, and the field was formalised in the 1950s with the establishment of the Oxford School by Allan Flanders and Hugh Clegg.
Industrial relations were established with a strong problem-solving focus that rejected both the laissez faire answers to labour problems advocated by classical economics and the Marxist solution of class revolution. This philosophy underpins New Deal laws in the United States, such as the National Labour Relations Act and the Fair Labour Standards Act.
1.1.2 ORGANISATIONAL PROFILE
The South Akim Rural Bank was chosen as a case study for this study to demonstrate the effects of employee relations on company productivity. South Akim Rural Bank’s headquarters are located on the main Suhum-Koforidua road, directly across from the post office in Nankese. The South Akim Rural Bank Limited was established and began operations in 1984 at Nankese in the Suhum/Kraboa/Coaltar District.
The bank is still ranked #1 in the Eastern Region for deposits and in the top ten rural and community banks in the country for deposits and assets.
1.2 STATEMENT OF THE PROBLEM
In contemporary times, most workers do not create more merely because of the unhealthy relationship they have with their coworkers and employers. According to a recent study conducted by Blyton (2008), employees do not perform well at work when they are dissatisfied with management, the government, or even their coworkers.
Strikes and lockouts are the result of a poor employee-employer relationship. All of these activities done by employees to express their frustrations do more harm than good to the organisation because productivity is dramatically lowered.
Employee relations are in crisis, according to various sources. The dominance of mainstream economics and organisational behaviour on one side, and postmodernism on the other, threatens academia’s established viewpoints.
In policy circles, the emphasis on institutional involvement in workplace relations has been supplanted by a neoliberal emphasis on the laissez faire promotion of free markets.
1.3 OBJECTIVES OF RESEARCH
The following are the study’s objectives:
To identify diverse employee relations practises and their impact on an organization’s productivity.
Identifying the issues that people confront at work.
Identifying methods for improving the healthy interaction between employees and employers in an organisation.
1.4 QUESTIONS FOR RESEARCH
The following questions were utilised to attain the aforementioned goals:
What are your company’s varied employee relations practises, and how do they effect productivity?
What challenges does your organisation face?
How can a good relationship between employees and employers be improved in an organisation?
1.5. RESEARCH HYPOTHESIS
H0: Employee relations have no effect on employee productivity.
Employee relations have an impact on employee productivity.
1.6 SIGNIFICANCE OF THE STUDY
This study aims to highlight the many employee relations practises that South Akim Rural Bank has implemented in order to boost productivity and contribute to the economic growth of the communities in which it works as well as the country as a whole.
As a result, this study will assist in enlightening management of various organisations about the varied consequences of relationship practises between employers and employees in an organisation.
The report will also highlight the employee relations practises that the bank has made available to its staff. It also aims to highlight the level of encouragement and motivation that the bank has provided to its workers in order for them to perform efficiently, among other things.
The significance of this study is thus to emphasise the numerous employee relations practises and how they effect an organization’s productivity. This research will help organisations understand how to treat their staff in order to enhance productivity.
1.7 SCOPE OF THE STUDY
The investigation will be limited to South Akim Rural Bank at the New Juaben Municipal Assembly in Ghana’s Eastern Region. The research will rely on the bank as well as secondary sources for essential information. The investigation will take four months to conclude.
1.8 LIMITATIONS OF THE STUDY
The researcher discovered a constraint in terms of information availability. As a result of the institution’s working ethics, the researcher was denied access to essential material since it was considered confidential, and the targeted respondent’s phone was not reached because certain staff were on leave. Inadequate funding and time availability also become constraints.
1.9 CHAPTER PLAN
The project will be divided into the following chapters:
The first chapter provides an overview of the research project. It provides general information about the company and the research being conducted. This chapter so includes the study’s background and organisational profile, a statement of the problem, objectives, research questions, the significance of the investigation, the scope of the study, and the researcher’s limits.
The second chapter contains a survey of the literature as well as the theoretical framework.
The third chapter describes the research approach. The research technique represents the many approaches and procedures employed by the researcher to gather information.
The fourth chapter analyses and interprets the material obtained by the researcher.
The researcher’s results and conclusions are presented in Chapter 5. Based on the findings, conclusions will be reached and their consequences will be discussed.
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