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SEY0000000259_IPM4_COL_240x185_PB_B[1-246] (ID 194138)

SEY0000000259_IPM4_COL_240x185_PB_B[1-246] (ID 194138)

Introductory Personnel Management N4 5

Definition
Interpersonal relationships is defined as ‘the association or relationship an
individual has with others within the working environment’.

Three important concepts will be discussed as part of the unit on Interpersonal
Relations:

1. Attitudes

Definition
Attitudes is defined as ‘the way a person thinks and feels, and sometimes
behaves, towards something or somebody else; attitudes can be positive or
negative’.

Attitude is indeed everything. The attitudes of employees working in an
organisation are a deciding factor in whether it will be successful or not in the
market. Employee attitudes toward the workplace, the work situation and
fellow workers, can improve or disrupt interpersonal relationships in the
organisation.
The attitude of employees will affect
the way they deal with and work with
colleagues, management and customers. If
these attitudes are negative, it could lead
to conflict and tension amongst workers,
damaging the relationship they might have.
If this happens, it will have a detrimental
effect on the achievement of organisational
goals and objectives. A negative attitude
amongst workers should therefore quickly be identified in order to avoid any
possible damage to the fragile interpersonal relationships in the workplace.

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Module 5: Human relations within an organisation

The attitude of employees is closely linked to
their morale, which is defined as the amount of
confidence and enthusiasm they display in the
workplace. Negative attitudes amongst
employees will indefinitely impact the moral of
workers.

Negative attitudes can spread like wild fire
throughout the organisation, affecting every
individual exposed to it. It greatly impacts the organisational culture and
working environment of teams. Human resources departments can measure
employee attitudes through attitude or climate surveys which are administered
to workers every few years, or when a sudden change in morale has been
noted. These surveys provide management with invaluable information on the
attitudes and morale of workers and what they could potentially do to correct
it before it is too late.

Organisations can follow the following steps to change or impact employee
attitudes in the workplace:
•• Communication clearly and continuously with employees, especially

about changes planned in the organisation.
•• Involve employees in planning and decision-making in the workplace,

where at all possible.
•• Plan activities where employees can interact with each other in a relaxed

and informal manner.
•• Empower employees to support certain aspects of the business

environment. Give them more responsibility and autonomy over their
tasks and projects.

2. Job satisfaction

Definition

Job satisfaction is defined as ‘the level of contentment a person feels
regarding the job; based on an individual’s perception of satisfaction’.

The topic of job satisfaction has been touched on a lot in this textbook. It
is the key determinant of employee motivation and drive, as well as their
productivity in the workplace. If employees are not happy in their jobs, they
will not be motivated to perform to the standards of the organisation. Even
more important, employees who are satisfied on the job, seem to have better
relationships with colleagues and management.

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Introductory Personnel Management N4 5

They will be positive, happy, motivated and driven to succeed. They will
cooperate and motivate each other and encourage each other when necessary.

When employees are dissatisfied with their jobs, regardless of the reason for
this dissatisfaction, their relationships with those around them will suffer. They
will by more prone to argue or disagree with others, they will be
uncooperative, aggressive and sometimes even spiteful in what they do.
Unsatisfied employees also have other troubling behaviours in the
organisation. They might develop a habit for late coming or leaving work early;
they may be absent from work more often, take longer lunch or tea breaks, or
be tardy, slow or behind in their work.

The impact of job satisfaction on the
relationship and behaviour of employees
within the organisation is something
that should not be taken lightly. Human
resources managers must address
employee dissatisfaction as soon as it is
discovered in order to avoid any negative
consequences on other workers and the organisation as a whole. They can
also maintain employee job satisfaction by communicating regularly with
them, giving them recognition for good performance, providing them with
challenging and stimulating work, allowing them the opportunity to train and
development themselves in the organisation, etc.

3. Prejudice

Definition

Prejudice is defined as ‘the unreasonable dislike or preference for a specific
person, group or custom, especially when it is based on their race, religion
or gender’.

There is nothing more damaging to interpersonal relationships in an
organisation than prejudice and discrimination. Where prejudice is
an unreasonable dislike or preference for a specific person or group,
discrimination is the practice of treating a person or a particular group in
society, less fairly than others.

Both of these concepts are detrimental to harmonious interpersonal relations
in the workplace and should be avoided and eliminated as far as possible.
People’s perception of one another is shaped by their experiences, including
these said prejudices.

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Module 5: Human relations within an organisation

Most prejudices are inherited from family members who felt like they did many
years ago, rubbing that feeling off to their children and grandchildren.
Therefore some people have a prejudice against someone without always
understanding the reason behind it. These prejudices then lead to blatant
discrimination against people and groups in the workplace, making it
increasingly difficult to maintain sound
interpersonal relations.

Human resources departments should aim
to educate the workforce on prejudice
and discrimination, especially the impact
thereof on the affected people and
groups. It is true that education won’t
always change beliefs or perceptions,
but it could make the guilty party more
aware of the consequences of the said
behaviour. Management should also adhere to Government legislation that
aims to eradicate discrimination from the workplace. The Employment Equity
Act serves the purpose of ensuring that all workers are treated equal and that
al workers are given equal opportunities in the workplace. If workers feel that
they are treated equal to their colleagues, they will be more likely to behave
in a positive and polite manner towards them, and work towards achieving
organisational objectives.

Individual activity 5 A

Answer the following questions in your workbook:
(a) What are interpersonal relationships?
(b) Why is interpersonal relationships important in the workplace?
(c) What are the three factors to keep in mind when managing interpersonal

relations in an organisation?
(d) In table format, explain the difference between attitudes, job satisfaction

and prejudice.
(e) Indicate why you think it is important for HR Departments to pay close

attention to the attitudes, job satisfaction and potential prejudices of
employees.
(f) What can HR departments do to deal with problems in attitude,
satisfaction and prejudice in the workplace?

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Introductory Personnel Management N4 5

Group activity 5 B

In your groups, come up with a cartoon on interpersonal relationships in
the organisation.
•• The cartoon can reflect positive or negative interpersonal

relationships.
•• Consider a cartoon topic based on the three concepts: attitude, job

satisfaction and prejudice.
•• You can create a simple black and white cartoon, or create a colourful

one.
•• Be as creative as you choose.

5.2 Conflict, competition and cooperation

The ‘Three C’s’ are important in the management and support of human
relations in the workplace.

5.2.1 Conflict

Definition
Conflict is defined as ‘the continuous disagreement between two or more
parties in an organisation’.

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Module 5: Human relations within an organisation

Conflict is an inherent part of any relationship, be it within the organisation or
in the person’s private family life. Some conflict can be positive, especially
where it encourages the exchange of ideas and creativity. Counter-productive
conflict can result in employee dissatisfaction, reduced productivity,
absenteeism and increased employee turnover, increased work-related stress,
or in the worst case scenario, disciplinary
action due to claims of harassment, assault
or aggression at work.

Remember, when workers are in conflict with
each other, be it positive or negative conflict,
it will have an impact on their relationship.
If the disagreement cannot be solved, the
relationship will continue to deteriorate
until nothing remains. This leads to lowered
productivity, lowered morale and lowered job
satisfaction. If the disagreement can be solved harmoniously and the conflict
dealt with appropriately, these relationships can be strengthened.

Management has a responsibility to manage day-to-day conflict in the
workplace. They first need to identify counter-productive conflict and aim to
understand the reason for the conflict, before they will be able to manage it
effectively in the organisation. This means that they need to understand the
source of conflict in the organisation.

Table 034. Sources of conflict in the organisation

Source of Description
conflict
• Conflict due to an incompatibility of preferences,
Values conflict principles and practices that people believe in.

• Examples: Religion, ethics or politics.

Power conflict • Conflict due to one party that wishes to maximise the
amount of influence that it has in a relationship and in a
social setting.

• Examples: In a decision-making process, one person
wants to force his will or power onto the rest of the
group.

Economic conflict • Conflict due to the scarcity of resources available in
the market and people fighting to get hold of those
resources.

• Example: When food or water is scarce, it leads to
conflict.

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Introductory Personnel Management N4

Source of Description
conflict
Interpersonal • Conflict that occurs when two people are incompatible in
conflict terms of their needs, goals or approaches to work.

Organisational • Example: Disagreements on how to proceed with a
conflict project.

Environmental • Conflict due to inequalities in the organisational chart
conflict and how employees report to each other.

• Example: An employee feels he is being managed by a
person that is not his manager.

• Conflict due to external pressures outside of the
organisation finding its way inside the organisation.

• Examples: Recession, changing legislation or high
unemployment rate.

Conflict is clearly inevitable. It is unavoidable because of differences in work
goals and personal preferences. Management can use the following guidelines
for handling conflict in the workplace:

Figure 010. Guidelines for handling conflict in the workplace 5
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Module 5: Human relations within an organisation

Group activity 5 C

As a group, analyse the following picture and answer the questions that
follows:

(a) What is the conflict situation in this picture?
(b) Why do you think the manager is shouting?
(c) Who do you think are the people he is shouting at?
(d) What do you think happened?
(e) Do you think that the manager dealt with the conflict appropriately?
(f) What could or should this manager have said/done to prevent the this

situation?
(g) Do you think that the manager’s reason for conflict could have been

resolved? Substantiate your answer.

5.2.2 Competition

Definition
Competition is defined as ‘a situation in which people compete with each
other for something that not everyone can have’.

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Introductory Personnel Management N4 5

Competition in the workplace can be good thing for a number of reasons. It can
be positive in the sense that it could encourage and inspire workers to work
harder and better. A little friendly competition with co-workers can also be a
source of motivation. More often than not, competition comes as a natural
impulse, where people want to compete and be better than someone else.
Competition can also be negative as
it can demoralise and demotivate
workers who are not always able to
keep up with the high performers.

Most people tend to compare their
own performance to that of other
people around them. If they do not
measure up to these individuals, it
becomes self-defeating. Whether
a person is competitive or not all
depends on their personality and preference. Some individuals live to compete.
They flourish on recognition and individual reward and always aim to be the
best. Others want to just get by - satisfied with being the best they could be.

Competition also has an impact on interpersonal relationships. When an
employee is highly competitive, they might do whatever it takes to succeed
and be the best, regardless of the people around them. They will place a lot of
pressure on others in their teams, causing friction in the relationship. Those
that are not so competitive, might get annoyed with the competitive employee,
who is always trying to outshine them.

Example:
Some organisations are more conducive to competition in the workplace
than others, especially those in the sales industry where employees
compete for the highest sales in the organisation. In a production
industry where workers work together as a team on a production line,
competition is not necessary and therefore not that evident.

There are certain pros and cons to competition amongst employees in the
workplace. These are summarised in the table below:

Definition

Interpersonal relationships is defined as ‘the association or relationship an
individual has with others within the working environment’.

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Module 5: Human relations within an organisation

Table 035. Pros and cons to competition amongst employees in the workplace

Pros of competition Cons of competition

• Higher level of productivity. • Employee stress and frustration levels may
increase.
• It promotes efficiency and self-
improvement. • Might force good employees to leave.

• Higher profits, if managed • Might lead to employees bringing each
correctly. other down.

• Cooperative competition is • Team spirit dies.
helpful.
• Lack of trust among co-workers.
• Learning from competitors. • Can create unhealthy rivalries in teams.
• It ignites employee motivation

to improve their performance.

The human resources department has a big responsibility to manage
counterproductive competition in the workplace that threatens productivity
and workplace morale. Human resources departments can focus on the
following elements to help workers stay competitive, without going overboard:

•• Provide employees with regular and constructive feedback, so that they
are aware of where they stand in the organisation.

•• Give multi-dimensional evaluations of performance, by not focusing only
on the numbers, but also on behaviour, progress and impact.

•• Set an example for employees by portraying the behaviour and
performance required of them. This will eliminate unnecessary
competition among employees.

•• Set clear and specific goals for employees that they should achieve. Help
them to compete against themselves, to become better and improve their
own performance over time.

•• Be flexible by not only focusing on getting the work done, but more on
how it gets done. This will help employees feel less stressed and be less
competitive in the organisation.

•• Change the culture of unhealthy competition in the workplace to a culture
of high performance through healthy competition.

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Introductory Personnel Management N4 5

Group activity 5 D

Analyse the following cartoon, then answer the questions that follow:

Source: https://www.safaribooksonline.com/library/view/101-business-ideas/9780273786191/html/
chapter-099.html

(a) Define competition in your own words.
(b) Describe what is happening in the cartoon.
(c) What do you think could the employee winning the prize have done to

out-perform the rest?
(d) What is your opinion of the faces of the other employees? Are they

positive or negative? Why?
(e) Do you think it is wise to reward employees publicly in front of non-

performing or lower performing employees?
(f) How can competition affect the morale of employees?
(g) Why is healthy competition a good thing for organisations?
(h) What impact will negative competition have on employees?
(i) What can HR Departments do to encourage healthy and productive

competition amongst employees?

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Module 5: Human relations within an organisation

5.2.3 Cooperation

Definition

Cooperation is defined as ‘doing something together or working together
towards a shared aim; willingness to be helpful’.

In order to achieve high levels of productivity in the workplace, it is important
that all employees and management work together in achieving the same goal.
This cooperation between employees and management is crucial to the overall
profitability and success in the organisation.

When cooperation is high, individuals willingly engage in open communication
with management. Employees will also be proactive by preventing problems
before they occur, in consultation with management and other colleagues.
Cooperation is not always easy, but it is definitely worth it if it leads to a
more harmonious and productive operation. Cooperation in organisations is
important for the following reasons:
•• It promotes and increases productivity in the workplace.
•• It improves employee job satisfaction.
•• It encourages employee buy-in in organisational goals and objectives.
•• It reduces misunderstandings among co-workers and between employees

and management.

A lack of cooperation among employees can lead to resentment, higher costs,
lost business and a declining workplace culture. The following elements in an
organisation are affected by a lack of cooperation:

1. Teamwork

A lack of cooperation has a negative effect on teamwork in an organisation. If
individual members are not cooperating, the team cannot succeed in their goals.

2. Project planning

Successful project planning requires full cooperation from all team members in
order to be effective.

3. Information sharing

Sharing information and resources in a business helps build a cooperative
working environment.

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Introductory Personnel Management N4

4. Management

Management has a big responsibility in encouraging cooperation among
workers in an organisation.

Human resources departments have a responsibility to ensure that employees
are as cooperative as possible in their attempts to reach goals and objectives
of the organisation. Cooperation is key in team related projects as well as
production lines where each employee has their own role, but needs to work
together with the rest of the group, in order to finish the production of a
product.

HR departments can really have an impact on the cooperation of employees
in the workplace. Just by communicating and challenging workers, rewarding
them with incentives for their team efforts and cooperation, and by educating
workers on the benefit of cooperation, HR managers can positively influence
the level of cooperation and the impact thereof in the organisation.

Group activity 5 E

In your groups, discuss the following picture, then answer the questions
that follow:

(a) What do you think is happening in the picture? 5
(b) How does this relate to workplace cooperation?
(c) Do you think cooperation is important in an organisation? Explain your

answer.
(d) There are two teams pulling at the rope. Both have their own goal and

cooperate with each other to compete with the other group. Is this
something that is common in the workplace? Explain your answer.
(e) How can the HR department ensure that cooperation takes place in the
organisation?

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Module 5: Human relations within an organisation

5.3 Labour relations

The last unit in Module 5 covers the aspect of Labour Relations and its role
in the management of human resources in the organisation. Because of the
individual differences of people, their different motivators, drivers, goals and
ideals, conflict and frustration are bound to happen. It is for this reason that
the management and control of labour relations is so important.

Definition

Labour relations is defined as ‘the relationship between the employee and
the employer; tripartite relationship between the employee, employer and
the state’.

5.3.1 Labour relations as a tripartite relationship in
the workplace

In South Africa, labour relations in most organisations are quite volatile.
Collective action is mostly driven by Shop Stewards serving a specific Trade
Union. This means that there is definitely
power in numbers, especially when strong
leaders representing the needs and rights of
all employees, take the forefront. Labour
Relations in any organisation focus on the
relationship between the management
team and employees. In larger
organisations, the employees as a collective whole, are represented by a Trade
Union; therefore the relationship now exists between the organisation and the
trade union.

The main goal of the management of labour relations is to
ensure harmonious relationships between employees and
their employer. It is important to understand that both
parties are dependent on each other for their existence.
The employer starts a business in order to make a profit,
but needs people to produce the products and services
he wants to sell. Employees accept employment and give
their time, efforts, skills and knowledge to the employer
in exchange for a salary. This interdependence is what drives the relationship
between these two primary parties.

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Introductory Personnel Management N4 5

Definition

Tripartite relationship is defined as ‘the relationship between the
employee, the employer and the state’.

Labour relationship is also a tripartite relationship. This means that it is a
relationship between the employee and the employer as primary partners,
and the state as a secondary partner. There are therefore three main parties
involved in labour relations, each with their own goals, objectives and
aspirations. The employer wants to make a profit and has the role of managing
employees and directing their activities.

Employees perform the work required by the employer in return for a salary.
And the state provides legislation on which the relationship should exist. All
parties involved in labour relations will continuously bargain and negotiate with
each other on matters of interest, such as wages, working conditions, benefits,
agreements and recognition. When such agreements cannot be achieved, it
normally leads to a dispute between parties, which could potentially lead to
industrial action, such as strikes, boycotts, go-slows or lockouts.

5.3.2 Rights of employee vs rights of employer

This relationship between employer and employee should be built on trust and
the rights of both parties.
Employees and employers have
very specific rights in terms of
common law and labour
legislation. It is important to
balance these rights as it is the
foundation of a fair and successful
employment relationship. It is also
important to remember that with
each of these rights, there is also
an obligation.

This means that the rights of the
employees are the obligation of
the employer; and the right of
the employer are the obligations of the employees. Employees and employers
therefore have certain rights in the organisation, and also certain obligations.

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Module 5: Human relations within an organisation

Definitions

A right is defined as ‘something that a person is entitled to and which they
can demand from the other party’.

An Obligation is defined as ‘the duty or responsibility to do something that
another person is entitled to’.

Table 036. The rights of both the employee and employer

Rights of an employee Right of the employer

• To not be unfairly dismissed or • To expect employees to render the
discriminated against. agreed services on the agreed days
and times.

• To be provided with appropriate • To expect employees to perform
resources and equipment in the duties under his authorisation and
workplace. control.

• To have safe working conditions. • To carry out all work instructions
and obey all reasonable and lawful
instructions issued.

• To receive the agreed remuneration • To expect employees to display good

on the agreed date and time. behaviour in the workplace.

• To receive fair labour practices. • To expect employees to act in good
faith, be loyal, and have the best
interests of the employer at heart at
all times.

• To be treated with dignity and • To expect employees to follow
respect. workplace rules, company
policies and procedures and work
performance.

• To non-victimisation in claiming • To expect employees to strive
rights and using procedures. honestly toward work objectives,
and to expect employees to adhere
to product specifications and quality
standards.

• To leave benefits and other basic • To expect employees to use the
conditions of employment as employer’s prescribed resources and
stipulated in the BCEA. methods.

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Introductory Personnel Management N4 5

Example:
One party’s right is another party’s obligation.
•• Employees have the right to be paid for their services. The obligation

of the employer is to pay the worker on the agreed times at the
agreed rate.
•• The employer has the right to expect workers to render services on
agreed days and times. Employees have the obligation to give up
their time, experiences and knowledge to provide the employer with
a service in exchange for payment.
•• Employees have the right to a safe and healthy working
environment. Employers have the obligation to provide employees
with a safe and healthy working environment.

5.3.3 Important concepts related to labour relations
in the workplace

As an introduction to labour relations, the following concepts will set the scene
for further studies on the relationship between the employer, the employee
and the state.

1. Retrenchment

Definition
Retrenchment is defined as ‘the situation where an employee has to
leave his position and the organisation due to financial constraints in the
business’.

Retrenchment has become a sad reality in
South Africa. With the economy of the
country struggling to keep it’s head above
water, many organisations in many industries
are feeling the pinch.

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Module 5: Human relations within an organisation

When organisations are faced with the choice to either keep their business
afloat by letting people go, or closing down the business because they don’t
want to let any of their employees go, the choice is obvious. Their main aim
after all, is to make a profit and a success of their business.

Retrenchment is mostly seen as a last resort in many organisations. Management
would try their best to cut costs elsewhere, such as overtime costs, temps or
extra contractors, before they will consider
retrenching their workers. If there is no other
option, however, management is faced with
a difficult decision as to which employees
they are going to retrench. They need to
follow the guidelines for retrenchment, as
set out by the Labour Relations Act, and keep
the Trade Union in the loop of the process.

It is very important at this stage that
management clearly communicates the
state of the organisation to employees
and explains to them why it has to happen. Some businesses will then offer
voluntary packages or early retirement to reduce the cost of labour in the
organisation. If they still do not shed enough costs, they will retrench other
workers based on the LIFO principle, service functions and positions that are
not considered as key to business success. All retrenched workers will also be
offered a severance package based on their years of service at the organisation.

2. Promotion

Definition

Promotion is defined as ‘when an employee is moved to a more important
job or rank in an organisation’.

When an employee is consistently performing well in their job and shows a
lot of potential, they could be considered for a promotion. This means that
they will have the opportunity to move into a higher, more complex and more
important job in the organisation. This is normally also associated with a higher
salary, better benefits and more responsibility.

Promotion opportunities are a good way to keep job satisfaction and morale of
workers in shape, while also challenging under-performing workers to increase
their performance due to these opportunities.

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Introductory Personnel Management N4 5

When an employee is in a position in which they are not performing optimally,
organisations might also consider demotion.
This means that these workers might be
moved to a lower position that is less complex,
with less responsibility, but also less benefits
and a lower salary.

Demoting employees is not always good for
morale or motivation, but it is sometimes
necessary to help the individual improve
performance without the risk of losing their
jobs.

3. Termination of services

Definition

Termination of service is defined as ‘a situation where an employee’s
services and relationship with the employer comes to an end’.

It is sometimes necessary for the relationship between the employee and the
employer to come to an end. This termination of service can come from either
the employer or the employee:
•• An employee can terminate his services with the employer through

resignation, retirement or death.
•• An employer can terminate the services of employees through dismissals,

retrenchments or layoffs.

Organisations need to follow the strict
instructions in the Labour Relations Act and
the Basic Conditions of Employment Act,
when it comes to terminating the services of
employees, especially when it comes to
dismissal and retrenchments.

Management should follow the organisation’s
disciplinary policy closely, by ensuring
that all terminations are substantially and
procedurally fair, and that unions and shop stewards are consulted at all times.
Employees who terminate their services due to resignation or retirement
should give notice to employers, normally four weeks after one year’s service,
based on the requirements of the Basic Conditions of Employment Act.

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Module 5: Human relations within an organisation

4. Strikes

Definition

Strikes are defined as ‘an employee’s refusal to work because of a
disagreement over pay or working conditions’.

Employees have the right to strike. Strikes are a form of industrial action
employees partake in when they feel that the employer is not listening to
them, or their demands are not met. These
strikes are normally initiated by Shop
Stewards and Trade Unions, and can either
be protected, where it meets the
requirements of the Labour Relations Act, or
unprotected, where unions did not follow the
process as set out by the Act. Many trade
unions drive strikes because they feel the
need to force the employer to meet the
demands of their members, regardless of risk to individual members.

When employees are on a protected strike, they cannot lose their jobs, but
they will not be paid. A no work, no rule applies in this situation. When they
partake in an unprotected strike, workers can potentially lose their jobs and
income. Strikes can continue for a few days, or indefinitely, until an agreement
can be reached between the employer and unions. The Commission for
Conciliation, Mediation and Arbitration (CCMA) is more often than not called in
to mediate the dispute between the employer and the unions. The damage to
the employer’s organisation, profits and image may force management to give
in to the demands of the Trade Union.

An employer’s equivalent form of
industrial action is termed a lockout.
A lockout is when the employer locks
employees out of the premises in an
attempt to sway them to accept an offer
they put on the table. Organisations
will also need to follow the process
for lockout, as set out in the Labour
Relations Act, before they will be able to
physically lock workers out.

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Introductory Personnel Management N4

5. Negotiations

Definition

Negotiation is defined as ‘a formal discussion between people who are
trying to reach an agreement’.

The organisation and trade unions meet regularly to negotiate on certain terms
and conditions relevant to both parties. Some of the topics on the table include
wage increases, benefit improvements, and leave
allocations, overtime issues and the conversion of
temp workers to permanent workers. Negotiations
is the first step in the dispute resolution process,
followed by conciliation, mediation and arbitration.
When management and trade unions negotiate,
they normally gather in a meeting room, around a
table, and discuss, demand and compromise on
issues of mutual concern. The main aim of
negotiations is to find a mutually beneficial
agreement or outcome, acceptable to both parties.

Individual activity 5 B

Answer the following questions in the workbook: 5
(a) Define labour relations in your own words.
(b) Why is the management of labour relations important in the organisation?
(c) Explain what is meant by a tripartite relationship.
(d) Discuss the rights and obligations of employees and employers in the

organisation.
(e) Differentiate between the following concepts:
(f) Retrenchment
(g) Promotion
(h) Termination of service
(i) Strikes
(j) Negotiations

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Module 5: Human relations within an organisation

Group reflection 5

In your workbook, after you have completed this module, reflect on the
following questions:
(a) Which part of this module did you most enjoy? Why?
(b) Which part did you find most challenging? Why?
(c) What did you learn from this module?
(d) On a scale from 1 to 10 (1 being the lowest and 10 being the highest),

score your level of comfort and understanding of this module.
•• If your score was below 5, what would you do to improve your

understanding of this module?
•• If your score was above 5, what would you do to improve your

learning even further?

5.4 Conclusion

This module covered the management of human relations in the workplace.
It started off with a discussion of attitudes, job satisfaction and prejudice and
the impact it has on interpersonal relationships. It continued to discuss the
three C’s in the workplace: conflict, competition and cooperation, explaining
how each of these concepts impact interpersonal relationships within the
organisation.

The last section covered labour relations, the rights and obligations of workers,
tripartite relationships and concepts related to industrial relations, including
retrenchment, promotion, termination, strikes and negotiations.

214

Introductory Personnel Management N4

5.5 Module summary

See Figure 9. Module 5 – Structure

Homework Assessment 5

(a) Identify whether the following statements are true or false by making a
cross in the relevant box:

Statement True False

1. Attitudes do not have an impact on the
relationships in the organisation.

2. Job satisfaction leads to higher productivity and (5 x 2) [10] 5
motivation.
(2)
3. Conflict is always negative in the organisation. (2)
(2)
4. Cooperation is necessary for the organisation to (2)
be successful. (2)
(2)
5. Competition is a normal part of any workplace (2)
relations. (2)
(2)
(2)

(b) Define the following concepts as clearly as possible: [20]
1. Attitudes
2. Job satisfaction
3. Prejudice
4. Conflict
5. Co-operation
6. Competition
7. Labour relations
8. Retrenchment
9. Strikes
10. Negotiations



215

Module 5: Human relations within an organisation

(c) Read the questions carefully and then answer it as comprehensively as
you can:

1. Explain how the following concepts impact interpersonal relations
in the workplace:

1.1 Conflict (5)

1.2 Competition (5)

1.3 Co-operation (5)

2. Discuss the sources of conflict in the organisation. (12)

3. Explain what HR managers can do to deal with negative conflict. (5)

4. Explain what is meant by a tripartite relationship. (3)

5. Give the rights of employees and employers in table format. (10)

6. Differentiate between the following concepts by explaining

their role in labour relations:

6.1 Retrenchment (5)

6.2 Promotion (5)

6.3 Termination of services (5)

6.4 Strikes (5)

6.5 Negotiations (5)

[70]

Total: [100]

216

Introductory Personnel Management N4

Glossary

Abilities - all the things that an individual can do; being able to do something.

Attitudes - the way a person thinks and feels about something or somebody,
which also impacts the person’s behaviour towards others.

Authority – the power of a manager to give orders or make decisions; the
power to direct and control individual employees in the organisation.

Behaviour - the way in which a person acts or conducts oneself, especially
towards others, a specific situation or stimulus.

Business aim - the goals and objectives the organisation wants to achieve
within a specific time frame. It is also where the business wants to go in the
future.

Business function – a department within an organisation that is dedicated to
managing and controlling specific elements, production factors and functions
within an organisation.

Career - the series of jobs that a person has in a particular area of work, usually
involving more responsibility as time passes.

Career development - an ongoing process of managing a person’s life, learning
and work; it involves developing the skills and knowledge that enable a person
to plan and make informed decisions about their careers.

Career expectations - the expectations a person has of his job and his career
going into the future; desire for growth, movement and progression in career.

Career management - the lifelong, self-monitored process of career planning
that involves choosing and setting personal goals and formulating strategies for
achieving them.

Career path - the growth of an employee within an organisation; moving from
one position to another, normally more complex in nature.

Career plan - a plan for an employee’s career, including short-term and long-
term goals and objectives for achieving this plan.

Career planning - a process of systematically planning a career by matching
career goals and individual capabilities with opportunities in the organisation;
enhancing an employee’s future value’.

217

Communication - the activity or process of expressing ideas and feelings or
giving people information.

Compensation management - the management of employee salary packages,
benefits and incentives in the right combination within the organisation.

Competition – a situation in which organisations compete with each other for
market share and sales from consumers.

Conflict - a situation in which people or groups within an organisation are
involved in a serious disagreement or argument.

Consumer – the individual who finally consumes the product, after buying it.

Cooperation - doing something together or working together towards a shared
aim; willingness to be helpful.

Customer – the person or business that buys the product and services that the
Organisation puts up for sale.

Decision-making – process or action of making very important decisions within
the organisation.

Delegation – the act by a manager to give control, authority, a job or a duty to
a specific employee.

Demand – the desire or need of customers for goods or services which they
want to buy or use.

Development - the gradual growth of something or someone so that it
becomes more advanced, stronger, etc.

Division of labour – the assignment or allocation of different parts of a
manufacturing process or task to different people in order to improve
efficiency.

Economy – all activities related to the production and consumption of goods
and services in a country.

Effectiveness - the act of producing the result that is wanted or intended; the
act of producing a successful result.

Employee – the worker who is employed and paid by the Organisation to
produce the products and services needed by consumers.

Employer - a person or organisation that employs people to produce products
and services needed by consumers and pays them for their services.

218

Introductory Personnel Management N4

Entrepreneur – someone who can take any idea, for a product or a service, and
have the skills set, will and courage to take extreme risk to do whatever it takes
to turn than concept into reality.

Entrepreneurship – the development of a business from the ground up;
coming up with an idea and turning it into a profitable business.

Expectation - the belief that something will happen or is likely to happen.

External environment – those factors outside the organisation that affect the
company’s ability to function.

Formal communication - the means of communication normally controlled by
people in positions of authority in the organisation.

Formal groups - employees working together on a planned project in a work
group within the organisation; usually formed by the organisation.

Frustration - the feeling of being upset or annoyed as a result of being unable
to change or achieve something.

Functional structure – a business structure divided into different business
functions, such as Information Technology, Finance, Production and Purchasing.

Goals - something observable and measurable that an employee wants to
achieve within a specific timeframe.

Government agency – an official, administrative unit of government that
provides, directs and supervises specialist services to the community at large.

Groups - a number of unique individuals who come together for a shared or
common purpose.

Group dynamics - how groups form, their structure and process, and how they
function in an organisation; deals with the attitudes and behavioural patterns
of a group.

Human resources development - the role of the human resources department
that deals with the training and development of employees.

Human resources maintenance - the management and maintenance of
employee health, welfare, satisfaction and motivation in the workplace, to
ensure that they stay with the organisation for as long as possible.

Human resources provisioning - the responsibility of the human resources
department to provide the organisation with properly trained and skilled
employees at the right time in the right positions, in order to ensure continued
success of the business.

219

Induction - the act of introducing a new employee to the organisation, his
colleagues and to his working environment.

Informal communication - the exchange of information outside the formal
chain of communication; communication free from organisational formalities.

Informal groups - groups that emerges naturally due to the response and
common interests of the members; based on likes, interests and attitudes of
members.

Interpersonal relationships - the association or relationship an individual has
with others within the working environment.

Job - the sum of all the tasks and duties performed in a specific position; work
for which you receive regular payment.

Job satisfaction - how content or happy an employee is with his or her job in
the organisation; a feeling of fulfilment in a job.

Labour market - the supply of available workers (skilled or unskilled) in relation
to available work; where workers and employers interact with each other.

Labour relations - the relationship between the employee and the employer;
tripartite relationship between the employee, employer and the state.

Leadership - the act of leading and inspiring a group of people or an
organisation to move forward and achieve goals and objectives.

Learning - the acquisition of knowledge or skills through study, experience or
being taught.

Line function - the function in an organisation that has to do with the
production of goods and services; managed by the line manager or HOD.

Line structure – a business structure with clear lines of reporting, authority and
communication from various managerial levels.

Manager – a person who is in charge of running a business, a shop/store or a
similar organization or part of one.

Managerial responsibility – a duty or task that managers are required or
expected to do.

Management – the organisation and coordination of all the activities of a
business in order to achieve defined objectives and goals.

Management tasks – the main tasks and duties of management in an
organisation.

220

Introductory Personnel Management N4

Markets – a set up where two or more parties engage in the exchange of
goods, services and information.

Motivation - the reason why an individual does something or behaves in a
certain way.

Needs – something that you cannot live without; something very important or
essential to life.

Negotiation - a formal discussion between people who are trying to reach an
agreement.

Obligation - the duty or responsibility to do something that another person is
entitled to.

Occupation - a job or profession.

Organisation – a group of people who form a business, club, or enterprise
together in order to achieve a particular aim.

Organisational design – a step-by-step methodology which identifies
dysfunctional aspects of work flow, procedures, structures and systems,
realigns them to fit current business realities and then develops plans to
implement the new changes’.

Organisational structure - The typical hierarchical arrangement of lines of
authority, communications, rights and duties of an organisation.

Owner – an individual who owns something, in this case, a business or
organisation.

Qualification - an examination that a person have passed or a course of study
that they have successfully completed.

Performance - how well or how badly an employee does something in the
workplace.

Performance appraisal - the systematic evaluation of the performance of
employee in order to understand the abilities of the employee for further
growth and development in the organisation.

Personality - the individual differences in characteristic patterns of thinking,
feeling and behaving.

Personnel function - the function that manages all staff related matters in the
organisation.

221

Placement - the act of hiring and placing an applicant into a vacancy in an
organisation.

Potential - the possibility of an individual to be developed or used to a greater
extent in the organisation.

Prejudice - the unreasonable dislike or preference for a specific person, group
or custom, especially when it is based on their race, religion or gender.

Prices – the amount of money that a consumer has to pay for a specific product
or service.

Private Sector – the area of the country’s economy under private rather than
governmental control.

Production – the transformation of a combination of inputs into tangible
outputs during the production process.

Production factors – all the inputs that are used in the production of goods or
services in an attempt to make a profit.

Production Process - the steps followed to produce a product with the
provided inputs transformed into a sellable output.

Productivity - the highest level of output with the lowest level of input that
includes time, money and resources.

Profits – the money than an organisation makes by selling their products and
services, after covering the costs involved in producing these products and
services.

Promotion - is defined as ‘when an employee is moved to a more important
job or rank in an organisation.

Psychology - an academic discipline and applied science which studies the
mind and behaviour of people.

Public – those ordinary people, businesses and societies that fall in the
environment external to the organisation.

Public Sector – the area of the country’s economy under governmental rather
than private control.

Recruitment - the act or process of finding new people, with the right skills,
experience and qualifications to join a company or organisation.

Resources – all the individual things organisations need, has or can use to
produce products and services to increase profitability.

222

Introductory Personnel Management N4

Retrenchment - the situation where an employee has to leave his position and
the organisation due to financial constraints in the business.

Rights - something that a person is entitled to and which they can demand
from the other party.

Screening - the process of evaluating applications against the job description,
job specification and other requirements of the job.

Selection - choosing the best candidate with the right skills, experience and
qualifications to fill the vacant position.

Self-development - the process of developing the self in an effort toward self-
actualisation.

Self-esteem - the confidence in one’s own worth or abilities: self-respect.

Span of control – the number of subordinates that reports directly to a specific
manager or supervisor.

Specialisation – a situation where an employee focuses or concentrates on a
specific job or task.

Staff Function - the support function guiding line functions and speciality
functions in the organisation, such as the IT department or Finance
Department.

Strikes - an employee’s refusal to work because of a disagreement over pay or
working conditions.

Suppliers – those businesses and individuals who supply organisations with the
resources they need to produce the products and services they have planned.

Supply – the amount of goods and services made available by the employer to
the consumer to buy and use.

Task - a piece of work to be done or undertaken as part of a job; work-related
activities needed to get an end-result.

Technology – the application of scientific knowledge for practical purpose, like
developing machinery and devices to be used within the organisation.

Technological change – any changes that might take place through the
introduction or improvement of computers, machinery and equipment in the
organisation.

Termination of service - a situation where an employee’s services and
relationship with the employer comes to an end.

223

Training - the process of learning the skills you need to do a job.
Traits - a particular quality or characteristic in an individual’s personality.
Tripartite Relationship - the relationship between the employee, the employer
and the state.
Unemployment - the number of people without a job; the number of people
looking for employment, but cannot find a job.
Wants – something that you desire to have, but you don’t necessarily need to
survive.
Working conditions - the condition in which an individual has to work,
including amenities, physical environment, stress and noise levels, degree of
safety, etc.

224

Introductory Personnel Management N4

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