1. Provide an outline of the key perspectives of the employment relationship that inform our
understanding of HRM.
Workshop Tutor: Andrew Burnett
Table of content
How can HRM be understood? 4
What is employment relationship? 4
Elements of employment relationship 4
What is individual contract of employment and how it works? 5
Duties of employer and employees 6
What is psychological contract? 6
Socio-political dimension of the employment relationship 8
What will be covered in this essay? This essay will reflect on what is employment relationship in HRM. What is the purpose in applying of HRM practices, ...view middle of the document...
To accomplish this objectives HRM interacts in many ways. HRM practices can be understood in three ways, “Intended (as ‘designed’ at an organisational level), Actual (as implemented at local level) and Perceived (as understood by employees) (Wright and Nishii, 2007). The aim of Human Resource Management is to find a balance in the employment relationship to make both parties satisfied.
What is employment relationship?
When looking on what employment relationship is, we may reflect on it as “simple the economic exchange of an individual’s labour for reward of some description”, but it is important to know that every employment relationship is unique, employees may have to follow same terms and conditions set between them and employer during negotiation of contract, but they can expect different level of treatment, reward or practices that will influence their employment.
Elements of employment relationship
We can consider four elements of employment relationships, each of them explain how complex and detailed they are. Each affects individual work ethics, motives, beliefs and personal values. Employment relationship stays under internal and external effects of these factors.
Economic “ often referred to wage-effort bargain, where we see employment as exchange of ‘effort’ for a ‘wage’ of some description. Where ‘effort’ can be physical, mental, emotional, skilled, unskilled and so on and ‘wage’ typically refers to a financial payment but can also include non-financial incentives, benefits and perks” (Wilton, 2013).
Socio-political where “typically, the balance of power in this relationship resides with the employer who possesses the ‘power to command’ the worker who, in turn, has an ‘obligation to obey’ (Kahn-Freund, 1977).
Legal/contractual that “refers to both the legal status of the employment contract as a binding on the both parties and to the series of contractual and statutory employment obligations by which the parties must abide” (Wilton, 2013).
Psychological contract/social exchange “that establishes an implicit and unwritten set of beliefs and assumptions about what each party expects of the other and what they perceive their own obligations to be” (Wilton, 2013).
What is individual contract of employment and how it works?
When we consider employment relationship we think about most widely used form of submission and subordination called contract of employment, where both parties agrees on rights, responsibilities, expectations expressed in agreement that protect them and give them possibility of enforcing conditions of employment contract using law and legal actions. Contract can be written, oral or implied and terms can be linked to different sources like trade union agreements, company handbook, official statements accepted by employee. Employer is forced by law to include terms like rate of pay, hours of work, sick pay and date when contract ends. Terms can be determined and shaped during negotiation...