How employee relations can influence the behaviour of different stakeholders

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Discuss the significance of employee relations in application to Tesco and suggest ways to improve them along with the fundamentals of Employment Law applicable.

Employees are the foundations of an organization. They add value to the work of the organization. It is the duty of employer to take care of the well being of the employees for their better performance. The significance of employee relations in application to Tesco is discussed below:

• Enhanced Motivation- Healthy working environment within an organization motivates employees to perform better with each passing day and give the company the best possible results (Shen, Dumont and Deng, 2018). Good relations with employees include the motivation given by Tesco to them from time to time by praising or appreciating them for their efforts in front of everyone. This makes them feel recognised and valued. Further, Tesco knows that promotions, increments and healthy communications must take place for maintaining the relations.
• Boosts Employee Loyalty- Individuals generally leave their jobs because of their seniors or bosses. When the relations between them are not good it become a reason for their resignation. Usually employees are not happy and satisfied with the senior authorities as they do not treat them properly. But when they treat them nicely, they make good relations with them which help Tesco gain the loyalty of the employees and retain them within the organization. Tesco ensures that everyone respects each and and equality is there in the organization.
• Better Employee Engagement- Employee Engagement are the efforts drawn by the  employer to engage their employees on the job. It involves several things such as ensuring a healthy working environment, frequent appreciations for their efforts, etc. Tesco conducts employee engagement surveys on a regular basis for building up strong relations with them.   
• Build up Trust and Confidence- Trust is a two way thing and requires time. Nurturing of trust along with the confidence is needs a lot of efforts on the part of both the employee as well as employer too (Eldor, 2020). Good employee relations are the seeds of the trust and confidence among employees. Thus, to gain the trust of its employees Tesco organizes healthy workplace communication. The company train them regularly to boost their confidence.
• Reduction in Conflicts at workplace- The prime reason behind an unsuccessful business are the conflicts that take place within the organization between different authorities. These conflicts affects the working of the company to a great extent and the ultimate result fall on the performance of the company. Healthy relations help in reducing the conflicts as these relationship help in understanding in each other well which reduces the chances of conflicts. Tesco is a successful company and its happy and satisfied employees are the reason for its success. Good employee relations reduce the chances of conflicts at workplace.

Every organization needs to follow certain rules and regulations prescribed by the government of the nation in the it operates (Edmans, 2021). There are various laws and acts but the organization follow the ones only applicable to their business. Employment law in UK is formed for the protection of both employees as well as employers within an organization. The law contains legislation in relation to discrimination, salary, resignation and much more. It provide guidelines to the working of the organization and helps in resolving conflicts between different levels of authorities. An explanation to the laws, applicable to Tesco is given below:

• Health and Safety at Work, 1974- This act ensures safety and security of the employees working for the organization. Healthy employees give better results to the entity (Feher, 2021). Tesco takes care of the well being of its employees and makes them feel safe during work. Further, the company also ensures the security of their job. This makes the employees loyal and help gain their trust.
• Equality Act, 2010- This act states that the organization should treat the employees equally irrespective of their caste, creed, colour, religion, etc. Equality among everyone in the organization is necessary in order to avoid conflicts, gain trust, loyalty and maintain healthy relations with the employees (Wilkinson and Et. Al., 2020). The chosen organization, Tesco follows the Equality Act, 2010 and give equal treatment to all its employees at any level whether peon or CEO, if similar mistake is done similar punishment is given.

These fundamentals help Tesco maintain healthy relations with its employees and as a result the employees are giving fruitful results to the organization. Tesco already are using these fundamentals effectively. Further the company can provide regular training to its employees and take regular sessions of employees on how they feel while working in the organization. The application of these ways may let entity touch the skies even higher.

Explain the types of rights, duties and obligations an employer and employee has to perform within an entity and explain how the company tackles the disputes within the organization.

There are several rights, duties and obligations every individual working with the organization has towards it. Rights, duties and obligations of employers are given below:

Rights

• It is the right of an employer to question employees about their work and ask for their progress (Matos, 2020). In Tesco, employers take reports from managers on weekly basis of the work progress.
• When an organization hires an individual as an employee, the entity pay the individual for the work. It is the right of the employer to expect good performance from the employees as they are being paid for that (Bratton, J. and Et. Al., 2021). Tesco's employers provide sufficient remuneration to its employees and expect good performance in return.

Duties

• It is the duty of every employer to look after the health, safety and well being of its employees as well as other individuals who may have an impact due to the actions of the employees. Tesco fulfils this duty by providing medical facilities as well as keeping safety measures at workplace.
• It is the duty of the employer to provide training essential to perform the assigned job. Tesco has a separate department who provides training to the newly hired people according to the requirement of their job.

Obligations

• It is an obligation of the employer to practice fair recruitment within the organization. Tesco practice this which helps the company hire the actual talent and enhance the performance of the company.
• It is an  obligation of the employer to provide equipment and machinery which is safe and is in good condition so that it do not cause any trouble while working (Vitolla and Et. Al., 2019). Tesco do a monthly analysis of its equipments to ensures the safety of its workers.

Rights, duties and obligations of employees are discussed below:

Rights

• The very important and prime right of an employee is the right to equality. It is the right of every employee to get the same treatment as their colleagues. Discrimination on any basis is not acceptable at any cost (Hansen and Pihl-Thingvad, 2019). Tesco do not discriminates its employees and treats them equally in order to retain them and keep them happy.
• After equality employees need fair remuneration, Tesco provides fair remuneration to its employees as per their position and also provides increments based on their efforts made to give better results as well as their work.

Duties

• Tesco take regular sessions in its conference rooms on a monthly basis to remind its employees to take care of their health. It is the duty of an employee to do so as it affects the performance of the company.
• It is the duty of an employee report the work done by them to the higher authority from time to time (Afsar and Umrani, 2020). This punctuality of the employees of Tesco help the company easily track the work record for smooth progress.

Obligations

• It is an obligation of the employee to treat other employees with respect in the organization. This nice behaviour is one of the reasons behind the effective coordination of the employees of Tesco.
• It is an obligation of the employee to not place others at risk (Ahsan, 2020). Tesco's employees are honest enough and are not just selfish that they place other employees at risk because of jealousy or some other reason.

Various mechanisms for managing the employment relationship

There was a time when there arose a huge dispute between the company Tesco and its employees. It was very difficult for the organization to control the situation. However, the company came up with the following mechanisms in order to resolve the conflict:

• The very first way to resolve any conflict is open communication with a cool mind. Tesco should communicate with its employees on the disputed topics.
• A simple nice gesture such as “Thank you” has a lasting impact on the mind of the employees and show that the company sincerely recognise for their efforts.
• Asking for feedback from employees make them feel valued and an important part of the organization. This is the most common mechanism used by Tesco.
• Tesco invests in their employees in order to resolve the conflict so that the employees can understand that the organization do not think their bad.

Conduct a stakeholder analysis and their contribution in positive employment relationships within an organization.

Stake means interest and hence the term stakeholders are the individuals who have a stake or interest in the organization. These stakeholders can affect an entity to an extent. It is essential for the organization to look after the interests of these stakeholders as they are an important part of the company (Stahl and Et. Al., 2020). Stakeholder analysis and their contribution in positive employee relations is given below:

High power, high interest - The first quadrant contains stakeholders with high powers in the organization. Tesco keeps them at the priority as it is important for the organization to do so. The company never miss any opportunity to keep them happy and satisfied (Freeman, Harrison and Zyglidopoulos, 2018). These include the employees, Government, BOD of Tesco and so on. The organization share all the relevant information with them as they consider to be shared.

High power, low interest - The second quadrant contains stakeholders with high powers in the organization but with a low interest (Khan and Khan, 2019). It is necessary for Tesco to keep these people satisfied as their actions can influence the working of the organization.

Low power, high interest - The third quadrant contains stakeholders with low powers in the organization (Aguilera‐Caracuel and Guerrero‐Villegas, 2018). Tesco keeps them informed about the projects going on and have a check on them regularly to ensure that they are not suffering with any problem regarding the projects.

Low power, low interest - The fourth quadrant contains stakeholders with low powers in the organization that too with a low interest. It is the duty of Tesco to keep these people inform but not overdo the same.

Critically analyse the impact of employee relations on different stakeholders.

Employees are considered as the prime stakeholders who are impacted in terms of their economic well being. Employee relations has the ability to affect the operations of the organizations to a great extent, both in positive as well as negative ways depends upon the relations maintained by the entity (Bundy, Vogel and Zachary, 2018). A critical analysis of the impact of employee relations on different stakeholders in relation to Tesco is discussed below:

Positive Impacts

• Healthy employee relations make a positive impact on the retention rate of employees. Good employee relations enable Tesco retain the employees which make them more skilled with the passing time and increases their productivity too.
• Good employee relations and stress free workplace environment make employees be more regular thereby reducing the chances of absenteeism (Markovic and Bagherzadeh, 2018). Tesco has certain activities for its employees at least once in a month to make them feel fresh and relaxed. These nice gestures of the company, positively affects the employees.

Negative Impacts

• Poor employee relations can highly affect the performance of the employees. If the company, Tesco will not treat its employees properly or not maintain good relations with them, their performance will be affected. As the employees will lack interest in the work and do not get motivated to do their best.
• Abject behaviour with employees can divert their minds which may result in error. Thus, Tesco care that every employee of the company is happy and satisfied. As bad relations will result in lack of interest which will ultimately result in delay in the assigned project.

The positive impacts stated above can help the organization keep the employees happy and satisfied. When the employees are happy with the organization, they try to understand the situation of the organization too (Samimi and Et. Al., 2020). Better understanding on the part of both, the organization as well as employees helps in avoiding conflicts. Due to the negative impacts, it is difficult for organization to retain them and hence as a result they leave their job. This solves the problem of disputes from the root cause (Santoro and Et. Al., 2020). Interests of all parties who have an impact with their decisions are considered as per the perspective of a stakeholder. The perspective of stakeholders is important as it places people between or at the centre of projects and its management. Get Free Samples of assignment from Instant assignment.

CONCLUSION

From the above report, it has been concluded that maintaining healthy employee relations is an essential part of the company's working and should not be underestimated or overlooked. The chosen company, has maintained good relations with its employees and the results of which are seen in its performance. The company is touching the skies and has become the largest grocery store in the nation. There are various rights, duties and obligations that every individual associated with the company need to perform. Further, the company has certain strategies or mechanisms which it uses to resolve any conflict in case if it arises. All this help the company maintain healthy relations and keep employees satisfied. Stakeholder analysis show how the company sections different classes of stakeholders and hoe the organization treats them as per their power and interest. It is also seen that employee relations can highly affect the performance of the company, it can let the entity touch the skies or crash to the grounds.

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REFERENCES

Books and Journals:

• Afsar, B. and Umrani, W. A., 2020. Corporate social responsibility and pro‐environmental behavior at workplace: The role of moral reflectiveness, coworker advocacy, and environmental commitment. Corporate Social Responsibility and Environmental Management, 27(1), pp.109-125.
• Aguilera‐Caracuel, J. and Guerrero‐Villegas, J., 2018. How corporate social responsibility helps MNEs to improve their reputation. The moderating effects of geographical diversification and operating in developing regions. Corporate social responsibility and environmental management, 25(4), pp.355-372.
• Ahsan, M., 2020. Entrepreneurship and ethics in the sharing economy: A critical perspective. Journal of Business Ethics, 161(1), pp.19-33.
• Bratton, J. and Et. Al., 2021. Human resource management. Bloomsbury Publishing.
• Bundy, J., Vogel, R. M. and Zachary, M. A., 2018. Organization-stakeholder fit: A dynamic theory of cooperation, compromise, and conflict between an organization and its stakeholders. Strategic Management Journal, 39(2), pp.476-501.
• Chaudhary, R., 2019. Corporate social responsibility perceptions and employee engagement: role of psychological meaningfulness, safety and availability. Corporate Governance: The International Journal of Business in Society.
• Edmans, A., 2021. Grow the Pie: How Great Companies Deliver Both Purpose and Profit-Updated and Revised. Cambridge University Press.
• Eldor, L., 2020. How collective engagement creates competitive advantage for organizations: A business‐level model of shared vision, competitive intensity, and service performance. Journal of Management Studies, 57(2), pp.177-209.
• Feher, M., 2021. Rated agency: Investee politics in a speculative age. Princeton University Press.
• Freeman, R. E., Harrison, J. S. and Zyglidopoulos, S., 2018. Stakeholder theory: Concepts and strategies. Cambridge University Press.
• Hansen, J. A. and Pihl-Thingvad, S., 2019. Managing employee innovative behaviour through transformational and transactional leadership styles. Public Management Review, 21(6), pp.918-944.
• Khan, N. A. and Khan, A. N., 2019. What followers are saying about transformational leaders fostering employee innovation via organisational learning, knowledge sharing and social media use in public organisations?. Government Information Quarterly, 36(4), p.101391.
• Markovic, S. and Bagherzadeh, M., 2018. How does breadth of external stakeholder co-creation influence innovation performance? Analyzing the mediating roles of knowledge sharing and product innovation. Journal of Business Research, 88, pp.173-186.
• Matos, P., 2020. ESG and responsible institutional investing around the world: A critical review.
• Samimi, M. and Et. Al., 2020. What is strategic leadership? Developing a framework for future research. The Leadership Quarterly, p.101353.
• Santoro, G. and Et. Al., 2020. Exploring the relationship between entrepreneurial resilience and success: The moderating role of stakeholders' engagement. Journal of Business Research, 119, pp.142-150.
• Shen, J., Dumont, J. and Deng, X., 2018. Employees' perceptions of green HRM and non-green employee work outcomes: The social identity and stakeholder perspectives. Group & Organization Management, 43(4), pp.594-622.
• Stahl, G. K. and Et. Al., 2020. Enhancing the role of human resource management in corporate sustainability and social responsibility: A multi-stakeholder, multidimensional approach to HRM. Human Resource Management Review, 30(3), p.100708.
• Vitolla, F. and Et. Al., 2019. How pressure from stakeholders affects integrated reporting quality. Corporate Social Responsibility and Environmental Management, 26(6), pp.1591-1606.
• Wilkinson, A. and Et. Al., 2020. Handbook of research on employee voice. Edward Elgar Publishing.

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