© boardworks ltd 20071 of 26 resolving disagreements 1 of 26© boardworks ltd 2007 teacher’s...

© Boardworks Ltd 20071 of 26

Resolving Disagreements

1 of 26 © Boardworks Ltd 2007

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Resolving Disagreements Unit 2: People in

Business

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Learning objectives


What causes disagreements at work?

How do business grievance procedures help to resolve disagreements?

What local, national and international organizations can be used to help resolve work disputes?

How can businesses manage change successfully and avoid disagreements?

2 of 26 © Boardworks Ltd 2007


Workplace disagreements

Relations between people in a business do not always run smoothly. Sometimes minor problems arise; sometimes more serious disputes occur. These might be between individual employees or groups of employees, or between an employer and one, or all, of the employees.


What causes disagreements?

Can you think of any other causes of disagreements in the workplace?

terms and conditions of employmentdisputes between colleaguesconflict between an employee and their supervisor or line manageran employee or employer breaching the terms of their contract of employmentperceived unfair treatment or discrimination against an employee or employeesredundancieschanges in the working arrangements of a business.

There are many causes of workplace disputes:


Major or minor disagreement?

Can you think of any steps that couldbe taken to resolve each dispute?


Managing change

Many businesses are trying to adopt more flexible ways of working. However, sometimes introducing changes in working hours or pay can lead to disagreements.

For example, if one member of the team works flexible hours in order to look after young children, other team members may resent this. If a performance-related bonus scheme is introduced, some employees may receive less money than others.

Businesses need to manage change effectively in order to try and avoid serious discontent among employees.

Can you think of any other examples where more flexible working arrangements could cause disagreements?


How can disagreements be resolved?

The way a disagreement is resolved will depend on the reason for the dispute and how serious that dispute is.

A minor dispute can usually be dealt with within the workplace following the business’s grievance procedures; more serious disagreements may have to be resolved outside of the business.


Business grievance procedures

Information on grievance and disciplinary procedures, or where this information can be found, will be stated in the employee’s contract of employment.

To deal with disputes, should they arise, most businesses have in place two procedures:

grievance procedures – for an employee with a problem or complaint disciplinary procedures – for when the employer has a problem or concern about an employee.


Grievance procedures


Disciplinary procedures

An employer will usually institute a formal disciplinary process in cases where an employee has committed a serious breach of their contract, or where a resolution cannot be found informally to a problem.

Poor quality of work, constant lateness, not turning up for work, turning up drunk for work, or theft would all constitute serious breaches of contract.


Disciplinary procedures


Legal reasons for dismissal

Breaching the terms as stated in their contract of employment.

If they are incapable of doing the work.

If they are involved in illegal activities.

Some other significant reason (e.g. continually refusing to comply with reasonable requests).

Redundancy – when there is no longer work for that person to do.

An employee can only legally be dismissed for the following reasons:


Types of dismissal

If an employee is legally sacked for a good reason, this is known as fair dismissal. If they are sacked for no good reason, this is unfair dismissal. Wrongful dismissal applies if the employer has breached the terms of their contract with the employer: for example, dismissing the employee without notice.Constructive dismissal is when an employee resigns because their employer has made their work conditions intolerable.

An employee who has been dismissed unlawfully can take their case to an employment tribunal.


Which type of dismissal?


How can disagreements be resolved?

Trade unions and other representative organizations

Arbitration services (e.g. ACAS)

Employment tribunals

The European Court of Justice

If a dispute cannot be resolved using the business’s grievance or disciplinary procedures, there are a number of local, national and international organizations which are used by employees and employers to help resolve workplace disagreements. These include:


Trade unions and representative organizations

Trade unions protect the interests of their members within a workplace. Many workplaces have trade union representatives. If this is the case, they are often involved in resolving disagreements at an early stage. They will:

advise the employee about their legal rights

accompany the employee at grievance or disciplinary meetings with the employer

support the employee at an employee tribunal

negotiate with managers on behalf of employees with a common grievance (known as collective bargaining).


Industrial action

If negotiations between trade union members and managers fail, employees may resort to industrial action. This could mean workers going on strike, refusing to work overtime or refusing to do certain tasks.


Arbitration services

An arbitration service is an outside organization which can be brought in to consult on a disagreement between employers and employees.

ACAS issues regular newsletters to inform and advise employers and employees on maintaining good working relations.

ACAS will often step in to try to avoid cases going to a tribunal. A conciliator will try to reach a settlement with both parties.

The Advisory, Conciliation and Arbitration Service (ACAS) was set up to prevent and resolve problems in the workplace. ACAS is a public body funded by tax payers.



An employment or industrial tribunal is an informal court where employees can take their case if they feel they have been treated unfairly by their employer and the situation has not been resolved using the business’s own procedures.

An employment tribunal has three members, an independent, legally-qualified chairperson and two lay people, nominated by trade unions and employers.

The tribunal will listen to both sides of the dispute, and hear any relevant evidence, before coming to a decision.

What do you think should happen if the employee wins the case?

What about if they lose the case?



If the employee wins the case, the tribunal may rule that:

They should be reinstated, either to their old job or a similar position.They should receive financial compensation. Awards take into account the length of time the employee has been unemployed and the redundancy pay they would have received.

If the employee loses the case, the tribunal may award costs against them, up to a maximum of £10,000.

Do you think most employees would prefer to be reinstated or to receive financial compensation?

If they lose a case, why do you think a tribunal may make an employee pay some or all of the costs?


Case study

Rebecca Mountford was a trainee nursery nurse when she was dismissed from her job just weeks after she informed her employer she was pregnant. She was awarded more than £7,000 in damages at an employment tribunal.

Which sort of dismissal do you think this is an example of?Do you think her employer’s reaction is a common one?Do you think the amount Rebecca was awarded is fair?How might this case have been resolved at an earlier stage?


The European Court of Justice

If an individual or business disagrees with the decision made by an employment tribunal, they may be able to take their case to a UK appeal court or the European Court of Justice. Very few cases get this far; most are settled at a much earlier stage.

The European Court of Justice is made up of judges appointed by the governments of EU member states. UK courts must abide by the European Court’s decisions on equal pay directives, employee rights and a number of other issues.


Good practice by employers

Within the workplace, problems can be minimized and working relationships improved if:

there are good communication methods in place between the employer and employeesdecisions are seen to be fairunion or staff representatives get involved in disputes at an early stagethere is an experienced Human Resources manager in the organization who understands the legal rights of both parties.


Question time!

1. State three reasons why a disagreement might occur in the workplace. Can you suggest how these could be avoided?

2. What two procedures do most organizations have in place to resolve disagreements?

3. Identify the three stages involved in a formal grievance procedure.

4. What is the role of ACAS in relation to disagreements?5. What is meant by the term fair dismissal? List three

reasons why an employee might be fairly dismissed.


Who wants to be an A* student?


Glossary

© boardworks ltd 20071 of 26 resolving disagreements 1 of 26© boardworks ltd 2007 teacher’s...

Documents

serious disagreements

causes of disagreements

disagreements unit

serious disputes

businesss grievance

causes of workplace

learning objectives

individual employees