Origins of Industrial Conflict and Conflict Resolution Methods

Definition and Causes

Wage demands, working conditions, management policy, political goals and social issues.

An industrial conflict or dispute is defined as a withdrawal from work by a group of employees, or a refusal by an employer to allow workers to work.Conflict refers to disputes, disagreements or dissatisfaction between individuals and/or groups. A dispute is a disagreement.

The common causes of industrial conflict are:

Wage Demands

The level of wage and salaries is often the major cause of disputes between an employee and employer. It also refers to a demand by employees for an increase in their wage rate or changes to the way in which their wages are calculated or determined. As well, wage demands may relate to pay rates may need to be adjusted to compensate employees in times of inflationary pressures such as GST and interest rates. Employees are more likely to seek wage increases to maintain their standards of living. Australian unions and workers fight for improved wages.

Working Conditions

Disputes often arise over issues of working conditions and safety at the workplace. Include disputes concerning issues such as leave entitlements, pensions, compensation, hours of work. Employers will need to monitor physical working conditions and provide adequate protective clothing and equipment, first aid facilities, quality working equipment and amenities such as lunch rooms, change rooms and toilet facilities.

Employees will take action if there is a risk to either their or others health and safety.

Management Policy

Disputes are often the result of inadequate consultation by management with their employees. Disputes over changes that management wishes to implement will often cause industrial conflict. Matters include terms and conditions of employment, new awards and agreements, award restructuring, outsourcing and technology acquisitions and structural change.

Political Goals and Social Issues

This usually refers to non-industrial issues, but rather involves wider issues directed at persons or situations rather than those relating to the employer-employee relationship. Employee unions, federations and associations will often undertake actions that are unrelated to the basic wages and conditions of their members.

Perspectives on conflict - unitary, pluralist, radical

• The different stakeholders in employment relations view the relationship between employers and employees from a range of different perspectives.

Unitary Perspective

In unitary perspective employees and employers work together as a team to achieve common goals. The unitary approach in ER assumes stakeholders such as employees and their employers work "hand in hand" to achieve shared goals. It sees the business as a unified entity in which everyone shares the same purpose and is part of the same team. If conflict does arise, it is seen as the fault of poor employee management or communication problems. Unions are rarely needed.

Pluralist Perspective

The pluralist perspective believes that conflict between employers and employees given their different aims and interests is expected at times. It also recognizes that some interests are shared and that decision making should be shared between the competing parties. Both parties need to accept that the differing views can be considered for successful industrial relations to occur. So managers must develop an effective system of communications that allows employees to express their views and to resolve them without damaging the organisation and its performance.

Radical Perspective

Radical approach believes that there are such fundamental differences between employer and employee that it's almost certain that conflict will always occur. Sees conflict in the workplace and reflects the traditional view of "us employees VS those employers". It believes that employers and employees are too opposed to work together.

• Roles of stakeholders in resolving disputes

• Employers: Use grievance procedures and negotiate agreements directly with employees to resolve disputes. Line managers are playing a much greater role today in resolving disputes.

• Employees: Use grievance procedures and negotiate agreements with employers with or without unions, on a collective or individual basis.

• Employer associations: Provide information and support to employers, assist in negotiations with unions, represent employers in tribunals.

• Unions: Represent employees in disputes from the shop floor to the national level, negotiate with management, employers and associations, represent employees in tribunals.

• Government organisations: Through their legislation can resolve or even prevent disputes. Government has also established the rules under which the parties negotiate, whether in individual contracts, collective bargaining or in the conciliation and arbitration system. Government also has the responsibility of ensuring that these rules are followed, and stands ready to intervene if an agreement cannot be reached.

• Types of industrial action

• There are two main forms of industrial action that can be taken by employees or employers; overt action (physical response, highly visible) and covert action (silent and unseen response)

Overt

Lockouts, pickets, strikes, bans, work-to-rule

Overt industrial action is highly visible, direct and aimed at gaining max awareness and well organised by unions.