INDUSTRIAL RELATIONS STRATEGY
A recent dispute heard by the Fair Work Commission has clearly demonstrated to us the need to increase Industrial Relations (IR) knowledge in organisations.
In this case law, an employer tried to construct an argument that Union officials could not enter their business premises to represent their members on the basis of not following OHS directions, using COVID-19 as their catalyst for this argument. It was a poorly constructed argument between two warring parties and begs the question of the wider IR strategy in play. Tension between employers and Unions is often a given, but understanding the wider landscape is crucial in managing Unions within your workplace.
A remindeR
The Fair Work Act allows for employees to be represented by their Union and protects those rights under law. It is an employee’s right to have advocacy of their workplace rights, safety and other entitlements by a registered Union.
We hear a lot of grumblings about Unions and their roles in the workplace – but while poor employers exist, Unions will exist. Unions do hold employers to task on workplace rights that may otherwise be trampled. On the flip side, there are a number of aggressive Unions and organisers that would benefit from becoming “new world” focussed in the execution of their strategies, and reduce tensions with their method of interaction. A strong Industrial Relations strategy is vitally important for any organisation that has Union members.
Industrial Relations (IR) is a complicated topic – not only because of the legal framework it sits within but also because of the wide variety of strategies that play out in a workplace - strategies that are impacted by Unions needing to serve their members to retain a strong membership base, and hence, position of power.
Managers who interact with Unions need to understand the context of their IR landscape:
What cycle is the business in with their enterprise agreement/s?
If a business has just concluded an enterprise agreement, after licking of wounds, you should be able to expect a clearer run on IR issues, unless the EBA process was particularly difficult, which will impact your culture.
Other Unions?
Whilst there are some delineations of Union coverage by job classification, there are also overlaps. Are there other Unions more active in the membership area, hence prompting Unions to protect their membership base by being more visible or aggressive in representing their members?
Membership fees
Are annual membership fees due? Most Union members pay their fees monthly, but not all. Unions are as beholden to their stakeholders (members) as a business is to their own internal stakeholders. It’s a game of politics all round.
Union elections
Is there an election of branch and national Union officials coming up? That has a role in how a Union will undertake their strategy in the 9 - 12 months lead up to an Union election. In a similar vein, State elections politics by party lines will also have an impact.
Wage statistics and general economic statistics
If your enterprise agreement is coming up for negotiation, businesses should be carefully watching wage indexes and CPI which will be the backbone of any Union’s Log of Claims.
Most importantly, plan your negotiation strategy carefully in terms of timelines. Be firm on when you will start the process of re-negotiation, Log of Claims expectations and build in a buffer to deal with unforeseen issues. Most organisations do not want to expose themselves with an expired enterprise agreement, where strike action is not only legal, but disrupting to your business.
Mel has direct and extensive experience with Industrial Relations, including the very pointy end of IR. Strong negotiation experience when entering into enterprise agreement discussions is also vital, so reach out to us today to help:
mel@hrunplugged.com.au or 0424 995 502.