Employee and Labor Relations

​The final function of HRM is labor and employee relations.

Labor Relations

Whether an organization is unionized or not, the labor movement has had a major impact on the way in which businesses function today. Understanding the basic principles of union operations and labor relations is important to any HR professional.

The theory behind unions is simple, but powerful: collectively a group of employees has more influence than a single employee. In general, the greater the number of people who unite for a common cause, the more likely a business will respond. It is noteworthy that union membership among public sector and service employees is on the rise while it is declining in the rest of the private sector.

Employee Relations

Employee relations involve the decisions that are made in the absence of a union, or with regard to issues not covered by a labor contract. While it may seem as if there is a difference between unionized and non-unionized employees, the truth of the matter is that HR professionals should treat all employees the same, regardless of their affiliation. The ability to interact with individuals should not be affected by the presence or absence of a union contract, as HR professionals will face challenging and rewarding situations in either instance. It is important to follow ‘the golden rule’ and treat employees in the manner you would want to be treated yourself.