HR Research Briefing
Thehuman resources department is a crucial department in anyorganization since it determines the type of the employees hired bythe company. A skilled human resources manager should be able toidentify people with the right skills and competencies to work intheir organization and add value to their workforce (Stoica, 2013).They required to conduct extensive research on labor relations toenable them to make an informed decision on issues concerned withemployment.Labor relation management was traditionally a function of the humanresources department of an organization (Arora, 2016). However, therole has been expanded to cover all sectors of management in theorganization that has a management aspect or function. This impliesthat managers at any level of the organization whether it is themanufacturing arm of the organization or in the finance sectionshould have an awareness of human resource practices, employees’needs and many other aspects of the human resource (Beschorner &Hajduk, 2017).This paper reviews labor relation at Nestlefor the purpose of determining critical elements of labor relation atthe company,strengths of labor relations practices at the company as well, giveinsight on the overall labor relations management policy of the firm(Brentano & Sherman, 2015).
LaborRelations At Nestle International
Nestleis a global leader in its field of business as well otherorganizational aspects like cooperate social responsibility, laborregulations compliance and labor relations. The firm’s policy givesroom for employee improvement, incorporate good cover for employeesand also have one of the top compensation packages for the employeesin the manufacturing industry (Brentano & Sherman, 2015). Thefirm also has a wide human resources policy that meets globalstandards. Their policies apply to all the regions it operates in,and it is reviewed and improved upon each year.
Roleof Labor and Human Resource Management at Nestle
Nestlegroup of companies value the role of labor in the organization. Thisis indicated by their comprehensive policy on labor. It is a detailedpolicy that applies to many aspects of employment that most employersignore or consider not to be important. Their policies RE alsoglobally accepted since they meet global standards and can becompared to policies of other firms such as Google and Deloitte.
TheNestle human resources management policy provides guidance on therole of its labor force in the organization and that of itsmanagement as well as employee relations. The administration of laborrelations at the organization is thus informed by effective strategicmanagement. The policies stipulate how employees join theorganization, the promotion of employees, the health cover providedto employees, training, and learning, workplace wellness, diversityand many others.
Nestlegroup of companies also has performance measures for its managementof labor relations that show its effort to improve employee welfareas well as its willingness to do so. It takes these measures overthree or four years depending on the element of labor that is beingmeasured. These measures allow it to benchmark against itscompetitors as well as meet global standards (Liel von, 2016). Theyrevolve around workplace wellness, work satisfaction, employeeretention rate, training, and improvement. It has increased thenumber of hours that employees use in attending training and how manyemployees go for training, sick days taken have gone down, workplaceinjuries has also reduced significantly(Lussier & Hendon, 2013).
MajorEmployee and Labor Relations Issues at the Company
Thehuman relations practice at Nestle is to leave many issues related tohuman resource management to be handled by the line manager in chargeof the employee. The line manager in dealing labor is guided by theHuman Resource department and company policy (Crumpton, 2015). Thisstyle of operation ensures that the employee’s welfare is managedby a person that they work in close collaboration with. The majorissues that they handle are training of employees and personalimprovement of the employee given their potential and a personaldevelopment plan for the same employee. This is encompassed in itsprofessional development policy (Mondy & Mondy, 2014). The aim ofthis policy may be to have a better employee, but it is also aimed athaving the employee in question motivated to get the best out of themif they leave the organization at any point be a better personprofessionally. The firm, unlike other firms, does not compel theemployee to leave the organization because they want to further theirstudies. Instead, it allows them to further their studies, and at thesame time, there are packages offered by the employer that help theemployee to pay for these studies (Mondy & Mondy, 2014).
Nestlealso takes legal and regulatory guidance policies very seriously asfar as the management of labor is concerned. Since regulations varyfrom one country to another and Nestle being a multinational companyits human resources policy must adapt accordingly to the law andregulation in the country of operation (St, Craver, & Crain,2016). This affects its manufacturing function more than any otherdepartment in the organization. Workplace standards and manufacturingpractices have a great effect on the final product. This means abalance must be attained between good practices and loweringmanufacturing cost per unit (Kendrick, 2014).
Thefirm also strives to have very good employees that will sustain itsglobal standard and improve upon it. This makes it train employees.It reviews the market trend in terms of employees’ needs and whatis available in the firm (Acikgoz & Bergman, 2016). Issues likediversity, getting rid of discrimination and a vibrant cooperateculture that communicates effectively are also major issues that thehuman resources department aims to take care of and improve.
Thefirm also takes into account that all employees need a good work-lifebalance. This means that employees are allowed to participate incommunity programs, undertake civic roles, leisure activities amongothers. It also looks at an issue like parenting and leaves for new aparent which is above the leave provided for in the countries wherethe firm operates. Nestle believes that if any working days are to betaken out to attend to these activities the manager in charge of theemployee`s section must be notified. Gender balance and diversity areissues that the firm takes into account to maintain its global imageand meet the regulatory standards of (Nestle,2017).
Strengthsand Weaknesses of Nestles’ Labor Relations Policy
Thelabor relations policy at Nestle has many advantages. The policiesadopted by organizations are inherent to weaknesses. While laborrelations may always be improved, Nestle has done well in its laborrelations. At Nestle remuneration is among the most competitive inthe world. It also looks at essential packages that are given to theemployees above the salary and normal packages. Nestle also addressseveral employee needs that relate to their overall welfare in theorganization. Things like professional development, health, andsafety, promotion and labor practices are always being improved andworked on. For example, the workplace injuries in its manufacturingplaces have reduced because they take safety seriously (Kendrick,2014).
Nestlenot only values health which most companies do because of legal orregulatory requirements, but it also goes a step further and takescare of their wellbeing which entails overall happiness,satisfaction, psychological health, fitness and many others. The firmalso ensures that they have a diverse staff and address issuesrelating to discrimination of employees. It has also improved itsworkplaces to accommodate the physically disabled people by puttingup good structures. The firm has gone further in maintainingdiversity through pushing its staff to be vibrant and developpersonal working relationships (Shanks & Cahill, 2015).
Onthe other hand, there are inevitably weaknesses to their laborrelations practices. Since these practices are influenced by a globalway of doing things, the local practices and culture of a regioncountry or area may not be captured by the labor relations policyeven in practice (Poprozman, 2014). If the company could create localpolicies for the local operation in practice while in cooperatingglobal aspects it would be much better. The firms’ practices arealso not open to circumstances or situations specific to an employee.Although they are reasonable practices they are non-negotiable(Shanks & Cahill, 2015).
Inconclusion, this paper has highlighted an aspect of labor relationthat is adopted by Nestle and their significance in maintaining goodwork practice. The paper has also provided insight into the laborrelation practices among companies. It has shown in practice howlabor relation is applied to create value for an organization. FromNestlé’s case, we get to know the latest trends in the industry asfar as labor relations practices are concerned.
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