HRM107 Study Guide - Final Guide: Alternative Dispute Resolution, Enterprise Bargaining Agreement, Active Listening
Week 10: Chapter 9
Negotiation at the workplace
With the locus of control being increasingly passed back to the enterprise, its managers and
employees, there has been a growing reliance on processes for reducing and resolving conflict
within the workplace rather than relying on the resources provided by a third party in the form of an
industrial tribunal or advocate. This change in focus has brought with it a need for line, operational
and HR managers to develop skills in resolving conflict.
The trend towards leaner organisations, especially if it involves reductions in employee pay and
conditions, can often lead to higher levels of conflict over issues such as workloads, the provisions of
resources, remunerations and reward packages.
E.g. Farifax journalists offered as contractors instead of employed created dispute
Quantas outsourcing for competition, intensity pressures
Positive and negative aspects of workplace conflict:
Negative:
• Increased competition between parties can hinder team cooperation
• Heightened emotions such as anxiety, fear, stress, frustration
• A breakdown in communication
• Bias towards or exclusion of others
• Divergence from the core issue
• Lack of flexibility
• Escalation of the conflict
Positive:
• Heightens awareness of issues
• Catalyst for organisational change
• If handled in a cooperative manner, can strengthen existing relationships and heighten morale
• Promotes awareness of self and others
• Enhances personal development
2 types of conflict:
1. Industrial disputes/conflict: result from unresolved workplace conflict where the dispute has
escalated to a high level where there is a threat of lost work time, disruptions and work bans.
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2. Workplace conflict: usually results from differences of opinion during bargaining phases or
when negotiations are taking place.
When a third party intervenes, this is known as alternative dispute resolution. Benefits: independent
person, provide stability, cost effective, allows greater control over the resolution of the dispute,
builds relationships and a culture of trust and respect.
The Fair Work Act 2009 has less prescriptive mechanisms for dispute resolution between parties
than previous acts. The Act suggests that it can assist in resolving disputes for those covered by the
national workplace relations system and assist with award, collective or enterprise agreement
disputes; bargaining disputes; and disputes arising under the general protections provisions of the
act.
ADR in workplace conflict
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Document Summary
This change in focus has brought with it a need for line, operational and hr managers to develop skills in resolving conflict. The trend towards leaner organisations, especially if it involves reductions in employee pay and conditions, can often lead to higher levels of conflict over issues such as workloads, the provisions of resources, remunerations and reward packages. Farifax journalists offered as contractors instead of employed created dispute. Increased competition between parties can hinder team cooperation: heightened emotions such as anxiety, fear, stress, frustration, a breakdown in communication, bias towards or exclusion of others, divergence from the core issue, escalation of the conflict. Positive: heightens awareness of issues, catalyst for organisational change, promotes awareness of self and others, enhances personal development. If handled in a cooperative manner, can strengthen existing relationships and heighten morale. When a third party intervenes, this is known as alternative dispute resolution.