Employment Relations IN THE Air travel Industry Management Essay

Nowadays, one of the greatest business in the global market is the air travel industry. The air travel industry is at the area of the business environment that constantly changes due to increase in technical issues and due to high competitiveness between your airline companies. Despite the fact that technology is continually developing and taking over the power of the labor force in companies, people will always be the basic factor in the development of companies due to undeniable fact that without people, technical advantages would not be exploitable. That's the reason employment relations are so very important to the companies riches are future development. Advantages of wealthy employment relationships are improvement in productivity and also problems in workplaces are much easier to resolve. Additionally, additional information and support is provided to participants of personnel (either managerial or simple employers) and unions on situations that appear within the work environment and the environment encircled.

One of the major companies in the airline industry that involves mind while talking about employment relations is English Airways. BA is one of the largest Airline companies on earth and the most significant in the United Kingdom, soaring to over 550 areas worldwide. Because the founding of the business, the increasing degrees of market show and company development have been common to the eyes of the owners and the CEO's of the company over time. BA has approximately 40. 000 employees in the company's bases worldwide. Therefore good work relations are crucial if the business wants to avoid industrial activities that will interrupt their functions. As we will se in the following chapters, BA has not only developed good work relations however the current situation that the company is might become a fatal strike to the company's future growth.


It is not a simple treatment when trying to give a definition from what employment relationships is. Matching to Ed Rose, work relations is the"regulation of the work relationship between employer and employee, both collectively and singularly, and the persistence of substantive and procedural issues at commercial, organisational and workplace levels. " (p. 6 Ed Rose. 2001). regarding to Ed Rose and the definition above, we can easily see that employment relations is vital for companies in order to keep the relationship between your company and the employee in harmony urging the personnel to focus on a top level, in order for the company to truly have a positive final result and fulfil the goals place by the business. A balance between your needs of an employer and and staff will conclude into a good relationship and using its turn maximize output, the workplace environment could be more nice for the company to work in, the chance for employees to develop their skills further will be increased as well as job satisfactions and they will gain more job security if the relationship is good consequently of speech initiatives.

According to Salamon (2000), "a trade union is any business, whose membership

Consists of employees, who seek to arrange and symbolize their pursuits both in the workplace and contemporary society and, specifically, seeks to regulate the employment relationship through the immediate procedure for collective bargaining with management".

In our days and nights there has been a significant drop in employment relationships when talking about trade unions. Union memberships have dropped to about 7 million in the current work area, from 12 million users before. Also, apart from the decrease in the union memberships, the focus of unions has also been changed and since shown in the Workplace Employment Relations Review. Pay and working conditions are not the basic focus of Unions which spend almost all of their time supporting complaints that matter mostly individual individuals.

According to Lewis (2003) there are five basic management styles when talking about Industrial Relations, Sophisticated paternalists, complex moderns (consulters), sophisticated moderns (constitutionalists), standard moderns and traditionalists.

The prime concern for managers is "focus". Professionals should direct their attention to issues that directly affect workers performance. It's true, that positive mental health bonding with employees has as an result increase in the economic performance of the company.



British Airways is one of the most significant airline companies on the globe and recruits a large number of employees in their bases around the world. Personnel which have employment with BA have many reps when speaking of trade unions. A sample of the trade unions associated with BA are BALPA, which is the reps of pilots, BASSA which signifies the cabin staff participants and Unite the Union which signifies other employees of the business.

On the companies part, a team of he companies employees has been developed in order to handle the employment relationships plan that has been developed by the company by communicating, talking to and negotiating the changes that are made by the companies managers negotiating directly with the employees reps from the various trade unions. In order for the consultation intend to be successful the company also makes practice sessions to monitor the performance of strategies launched by others to allow them to develop the perfect technique for the companies' success in job relationships issues.

In 2005 Uk Airways because of some situations affecting the procedures carried out in Heathrow International airport that had to do with the ground support staff the company launched a program called Industrial Relations Change Programme to be able to prevent further interruptions. This specific program focused on the partnership between professionals and Trade Unions and got as main purpose to reduce the communication obstacles between the two sides to be able to better their romantic relationship and increase understanding related to issues that emerged to the top. More than 1800 professionals and approximately 220 Trade Union staff attended the seminars to improve human relationships.

The present for BA occupation relationships is all but positive. Continual strikes so when we can easily see in newspapers and on the news headlines disagreements between managers and employees have lead the business in to the difficult stick it is right now.

The company's relationship with the Unite that signifies the cabin team members have definitely been disrupted due to fact that the business is making changes to staff contracts and is constantly cutting jobs in order to handle the turmoil that the global market is facing.

Since the beginning of the hits on December 22nd BA had not faced any similar happenings for over ten years pointing out the good relationship between employees and professionals until lately. As mentioned in the Telegraph online website, there is deep unhappiness one of the cabin crew staff of BA for these reasons

Cost slicing, i. e. minimizing the amount of cabin team from 15 to 14 on long distance flights.

Reduce income, i. e. The Company argues that the income of the cabin staff personnel in long distance plane tickets is extremely high as well as pensions because of this time frame when going right through a global economical crisis.

Re-structuring of deals and the fact that BA have freezing pay.

Although strike activities are difficult to carry our because of the procedure which have to be developed Unite feels that workforce hit is really the only solution.

Successful negotiations between the two sides have not yed been achieved but Unite is positive that the outcome will be good for both the company in general and the employees as well.

Most of the firms in the elite of the Global market have been afflicted by the financial crisis ensuing into financial troubles as well as work environment disruptions. Methods are been extracted from companies such as BA to be able to enhance labour relations and also re-develop work place innovation schemes for them to leave back this black gap in the global current economic climate. Since the company is positioned in the public sector, BA has developed characteristics of your general public company such as unionized activities and the introduction of a traditional job relations strategy increasing interactions with the government and tighter relationship with companies in the public sector. For BA to "crawl" out of this crisis they have to develop modern office strategies to top the market and support their brand name.

BA should develop powerful work practises to be able to develop a wholesome place of work environment. Practises that the company should choose are

High levels of performance by creating value and implemented regarding of new capital and scientific developments.

Development of real human capital that may lead to increased employee skills and upgraded customization of services.

Engagement of employees in problem fixing issues and performance advancements.

Building of organisational cultural capital to ease knowledge showing and coordination off work.

Research in options specifically for airlines have shown the advantages to firms - in terms of better efficiency, quality and financial performance - of work methods that encourage the simultaneous development of human being capital and public capital. Workers benefit from improvements in skills and sociable capital, plus more than 70 percent like these work systems over either traditional union or non-union systems. Unions are essential - the mixture of formal and casual mechanisms for employee voice improves the productivity effects of HPWP. For staff, the mixture of union representations with HPWP tends to be associated with higher salary, some of which can be achieved through mutual gain-sharing or similar reimbursement practices.

http://media. bbc. co. uk/2/hi/uk_information/8412490. stm

http://www. telegraph. co. uk/travel/travelnews/6810822/BA-strike-QandA. html

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