Performance Management: Employee and Labor Relations

QUESTION

Performance Management: Employee and Labor Relations

Overview: For this milestone, due in Module Five, you will analyze HR strategic initiatives of employee and labor relations that positively impact organizational effectiveness. The three critical element focus on employee discipline, performance management, and employee and labor relations.

Prompt: First, read Chapters 8 and 14 in your text, the Harvard Business Review article Discipline Without Punishment – At Last, and the Grievance Procedures: What are the Steps Typically Found in a Grievance Procedure? SHRM article.

Refer to the chapter readings and module resources to support your responses to each of the three critical elements below. Carefully read and address each critical element as written, using detailed and informative analysis that conveys critical thinking. The three critical element are aligned to the organization technical competency within the HR knowledge domain.

Specifically, the following critical elements must be addressed:

Employee Discipline: Analyze punitive and nonpunitive disciplinary approaches, and explain their impacts on employee relations.

Performance Management: Determine the elements of an effective performance management system, and explain how well the employer’s system meets organizational needs.

Employee and Labor Relations: Determine the differences between union grievance procedures and nonunion complaint processes, and describe improvements that could be made to a nonunion complaint process.

Be sure to incorporate instructor feedback on this milestone into your final submission.

ANSWER

Performance Management: Employee and Labor Relations

Employee Discipline: Punitive and Non-punitive Disciplinary Approaches and their Impact on Employee Relations

The conventional punitive approaches to disciplinary action usually leave an employee with a clean slate. The employee is freed of their responsibility, enabling them to perform well in the future. This means that the employee can get back to work after paying the price of misdemeanor with disciplinary action. For the management of an organization, however, the employee’s commitment to performing well in the future is not assured. There is no guarantee that the employee will improve their performance or act in a desired way in the future. The employee is usually absolved of their wrong actions by simply accepting punishment (Huberman, 1975). In non-punitive disciplinary approaches, the goal is to utilize a more collaborative approach that is capable of gaining trust in the employee and ensuring that they accept the set regulations and rules. This eliminates any punitive nature of disciplinary action. The non-punitive disciplinary approach comprises four steps as follows:

1. The issuance of a verbal reminder. This is meant to capture the attention of the employee and notify them of the rules and regulations that they should follow to avoid any misconduct in the future.
2. The issuance of a formal written reminder. When repeat misconduct occurs after the verbal reminder has been issued, a reminder in writing is given to the worker in the form of a memo. This memo is maintained in the worker’s disciplinary records and the employee is given private counsel about their actions. However, it should be noted that threats are not used. However, the employee’s memo that is maintained in their disciplinary record is removed if there is no misconduct for an entire year.
3. Paid leave. When repeat misconduct occurs even after verbal warning and a written memo, the individual is sent on a compulsory leave of absence for a period set by the organization’s policies. The employee is paid for the number of days spent on leave and is asked to evaluate whether the company is a right match for them in regards to abiding by the rules, or if they would prefer to pursue another organization due to failure in respecting the rules. Upon return, the employee discusses their decision with the management and needs to promise to abide by the rules before resuming work.
4. Dismissal. If a repeat misconduct incident occurs after the leave of absence, the employee is dismissed.

The steps for non-punitive disciplinary action are followed subject to the type of misconduct. For instance, the process will not be followed for criminal and sexual misconducts (Huberman, 1975). It is important for organizations to confront employees for not abiding by the regulations set by the company. Most companies use the non-punitive approach and reject the punitive approach because the latter creates more problems than it solves. Employees who are punished through punitive approach do not receive assistance or provide assurance for improvement for the future, making them less likely to fare better. On the other hand, the non-punitive approach ensures that employees with problems make a conscious decision to become better, committed, or former employees of a company (Huberman, 1975). Therefore, non-punitive approach is the better and more effective method of disciplining errant employees within an organization.

Performance Management: Elements of an Effective Performance Management System (PMS)

Performance Management System (PMS) is important for organizations to ensure increased workforce performance and productivity. An effective PMS is made up of performance goal setting; rewards and recognition; collaboration, teamwork, and communication; employee training and development; performance appraisal and review; and the provision of feedback (Lawler III et al., 2012). Hence, a good PMS plan begins with the setting of performance goals, after which regular review or appraisal, and the provision of feedback are carried out. It also identifies the developmental or training needs of employees and includes recognition and reward practices (Lawler III, Benson, & McDermott, 2012). In addition, PMS needs to encourage teamwork, collaboration, and communication within the organization.

A PMS is composed of people and process elements, where the component of process includes issues such as evaluation criteria, job description, rewards and recognition, and the time period for appraisal discussions. The people component is made up of the individuals involved in performance management – the employees being managed and the manager. The manager is in charge of setting performance goals, communications plans, giving feedback, and motivating employees. The managers need to align and motivate employees to meet organizational goals and targets. By increasing the productivity and performance of employees, an organization is able to improve its profitability, productivity, and competitive advantage, meeting its strategic goals. Therefore, in order to improve the productivity and performance of employees within an organization, it is important that the management implements an effective PMS that is managed by competent managers.

Employee and Labor Relations: Differences between Union Grievance Procedures and Non-union Complaint Processes

The union grievance process involves an employee that brings forth their complaints and a representative from the workers’ union. A non-union procedure does not involve a union representative and has different stages as a result of process protections. While a union process follows set procedures by union law (Nurse & Devonish, 2007), the stages of a non-union procedure depend on the choices made by the people involved in the process. A non-union procedure is, therefore, more complicated and may take longer to resolve a dispute (Taras & Kaufman, 2006). Non-union procedures may be improved upon by developing a standard procedure to be followed. Clear rules and steps should be developed for people taking the procedure to follow and ensure quick resolution of problems.

Employee and labor relations play an important role in maintaining the decorum as well as the profitability of an organization. The non-punitive disciplinary approach is favored over punitive approach as it holds the employee accountable for their actions, thus ensuring better behavior in future. An effective Performance Management System (PMS) assists in setting performance goals and rewards that motivate employees towards working better. A competent manager is integral for a successful PMS. In order to settle grievances, the union procedure is faster than non-union procedure. By incorporating healthy employee and labor relations policies, an organization can resolve conflict in behavior and processes, and ensure the company runs smoothly.

References

Huberman, J. (1975). Discipline without punishment lives. Harvard Business Review, 53(4), 6-8.

Lawler III, E. E., Benson, G. S., & McDermott, M. (2012). What makes performance appraisals effective?. Compensation & Benefits Review, 44(4), 191-200.

Nurse, L., & Devonish, D. (2007). Grievance management and its links to workplace justice. Employee Relations.

Taras, D. G., & Kaufman, B. E. (2006). Non-union employee representation in North America: diversity, controversy and uncertain future1. Industrial Relations Journal, 37(5), 513-542.