Employee Voice in the international context (Focus on: Involvement and Participation)

Introduction

 The issue of employees’ voice has attracted a lot of attention from individuals seeking improved organizational performance and those who desire a better employee representation system. The international environment has become more sympathetic to the ideas of employees rights, trade unions and which have their fundamental support from various legal regulations. A major ingredient in employees’ voice around the globe and especially in European Union employment and social policy has been the unfaltering commitment to the notion of employee participation and involvement.  Employee involvement has also become central to senior management in increasing number of multinational organizations even across the European markets as they try to maintain a competitive advantage in market and financial conditions that are dynamic and demanding. In the European Union, the employee voice has been enshrined majorly in law, where various measures are outlined that regulates other areas like non-stand contracts, working conditions and working time. These measures have faced stiff opposition from employees and especially the ones touching on employees’ participation have been viewed as intrusive and threatening.  More complication on adoption of the measures has emerged from the large diversity of present legal and industrial relations frameworks among the member states and even from some governments. Organizations such as UNICE have emphasized the issue of employee voice by highlighting the need for a voluntary approach in consultation and a formal definition of trade unions.

 The need for employee involvement and participation in the international markets cannot be overlooked and the spread of information and consultation arrangements have attracted a lot of attention from the employers. The international market is becoming more complex due to the existence of different work related policy frameworks and the fact that multinational firms are expanding rapidly to take advantage of opportunities in foreign countries. This has comes with increased call for employer responsibility and adherence to various principles aimed at ensuring employees rights and hence participation through representative organization.  In European Union, the focus has been on redistributive forms of workplace employee participation at the company level or group level especially on consultation and information (Hyman, 2010). The focus has majorly been directed towards to basic levels .These comprises of representation of employee at board level where they can influence organizational strategy and representation below the board level via works council where they can daily functions and operations of management. These notions have lead to adoption of various regulations that influence labor relations at the organizational level and across the whole industry in the international and European markets (Waddington, 2011). The growth of multinationals to the level of influencing the legislation process and political platform has been driven by the fact that these firms operates under various regulations and involve many expatriates in carrying out international management decisions. Therefore, companies have been undertaking audits or reviews of their existing consultation and information practices against the established regulations and also to assess the possibility that workers will seek to activate these statutory procedures.

Trade unions are at the heart of this debate and the unions are seen to have been left out due to lack of sufficient scope that could bring about the right communication and networking in European Workers council.  The past has also seen arguments that there would be isolation of council representatives from the representational national structure which undermined the councils’ effectiveness. Another issue has been that these councils would not be involved from national collective bargaining, and in turn leading to further exclusion of international bargaining issues (Waddington, 2011). Due to difference in cultures , languages and  hence backgrounds of industrial relations,  opportunities have been spotted which can  be used  for creation of new employee representation that is transnational and which can lay  a basis of developing ‘solidaristic’ strategies that  supplements consultation and information (Caligiuri & Bonache, 2016) .  The European Work Councils has a major role of ensuing employee participation by providing consultation.  However, criticism has been drawn from the fact that the quality of service provided by the council is poor so that, at best, many of these councils act just like institutions where information can be disclosed by managers. Lack of an even pattern of articulation between trade unions and the workers councils in relation to training, support and communication is another issue.  The practices of consultation and information fail to meet the standards in the EWC outlined agreements (Waddington, 2011). Such information and consultation should be of high quality so as ensure employee voice is facilitated through involvement and participation.    

 Employee voice goes beyond representation by the councils to express grievances in work context to participation and management of employees in the process of decision making or even communication where employees and managers are given an opportunity to exchange ideas about certain issues via a collective consultation and on an individual platform. This is true where there is diversity where workers can exchange experiences and objects to other people in different countries or even spreading social structures that can be enjoined in pre-existing culture to have an environment that encourages employees’ welfare and improving organizational performance. In an era of globalization, many employees find themselves relocating to foreign countries to work on multinational organizations and they have to be granted a voice to raise grievances, share ideas and be included in the decision making process (Caligiuri & Bonache, 2016). This is also important for the employees working in transnational companies that aim at spreading out operations in various countries while sustaining a local responsiveness that is of high level. Working as an expatriate in these companies represents certain challenges that emerge from salient differences in economic and geopolitical changes, technological advancement, communication and even the demographic and organizational trend in the business environment. The expatriates normally have some key functions that forms the reasons for working in other countries; management development, control and filling certain positions .The controlling role involves the expatriates representing the interest of the parent firm in various subsidiaries by liaising between the interests of both countries, safeguarding the overall interests of the firm and ensuring that decisions made at the subsidiary level do not deviate from the organizational goals (Caligiuri & Bonache, 2016). This function requires a lot of involvement and participation of the employees who take part in it. The function of filling the vacant position involve knowledge transfer to the subsidiary from the headquarter and such knowledge may be general such as corporate culture or even more specific and technical such as negotiation and purchasing skills , transformational or even outputs(Caligiuri & Bonache, 2016).  Transferring this knowledge involves a lot of participations and involvement by members of an organization so that it can be steeped in the skills and experience of these individuals. 

Management development is a task that involves getting immersed in a wide array of challenging and new intercultural situations which will assist in development of a holistic approach and international business acumen. The need for participation is quit high given the fact that the individuals taking over the responsibilities will encounter challenges that they want solved through engagement. These people also want opportunities to have a work life-balance and be able to explore career opportunities for professional growth. The global mobility undertaken by expatriates has many challenges, while its integration with management of global talent will involve addressing the various needs of these workers (Caligiuri & Bonache, 2016). It is important for the European Union member states in the management of demand and supply of international mobile professionals, an in ensuring that those with the appropriate kind of cross-cultural competences and skills are given the right assignments and at the appropriate time.   To accomplish this, the talent management and the mobility functions are close in reference to employees’ participations and involvement. Employee participation and involvement is also beneficial to the human resource managers who will have an opportunity examine whether the actual competencies acquired are appropriate instead of assuming that such competences were gained while abroad (Bonache & Noethen, 2014).  With increased heterogeneity of foreign employees among the European countries, family demographics and individual needs will continue being more distinctive presently and in future.  The various demands from these expatriates ranging from eldercare and even inclusion of benefits to those partners who are not married will have to be encountered.  These individuals may also demands their rights as provided in the regulations of the various countries or European agreements and avoiding confrontation at the workplace or disruptions in the operations of the firm.

The success of employee in delivering value to the employers such as multinationals across the European Union depends on the various legal regulations that provide an opportunity for employees to engage the management. A legal background provides such an avenue where employee’s rights are upheld such the Article 119 of the Treaty of Rome (now Article 141 where considerations such as the principle of equal pay are provided for both genders – male and female (Barber & Monks, 2006). The female employees are given the right to participate in collective bargain or trade unions and be provided with contractual benefits that are similar to that of men working in a common establishment or same terms and conditions. Similar opportunities provided where discrimination is rule out, enabling equal participation and involvement of all employees with fear of prejudice based on one’s gender or background. This ensures that there is a platform for all employees to engage in information sharing and finding for solutions to problems jointly between employees and managers in both formal and informal arrangements. It shows participation and involvement will best take place if every employee to share their views on the prevailing problems and offering suggestion for available solutions. This supports the idea of aligning the interests of employees and employers and focusing the energy towards common goals within the organization .However, this does not work under the premise that conflict is not likely to occur, or that any the trade unions will not be required to solve such problems. While encouraging the participation and involvement, it is important to appreciate that there will always be separate interest of employers and workers and many of these interests are unavoidable and natural. However, employee involvement will ensure that different there is the appropriate management of these interests and hence open conflicts are avoided or are channeled towards production of more positive outcomes. In the same manner it is can be difficult to avoid conflict in an international environment where the many challenges that relates to labor and  different labor  regulations including in the European Union . It would require the effort of employers and employees to ensure that any cultural differences arising from the expatriates or between them and management are addressed.  

The appropriate participation can be attained through the inspirational social partnership that is established by the European directives, where the process of information and consultation among all sizes of organizations are legally mandated.  The social partnership model is able to move beyond a narrow idea of employment relationship as comprising only of the organization and work is considered in social context that is broader (Hyman, 2010). This allows employees and employers to have responsibilities and rights and some of the rights have been enshrined different laws of various European Union member states.  The participants in this model have a social and economic function in a business environment and where consultation arrangements are promoted to attain the intended social, economic and cultural goals.   Here, social dialogue is promoted and it plays a vital role in development and maintenance of the statutory form of participation by the employee. The aim is to forge a social partnership concept on which a framework is developed for modernization of organizational functions (Hyman, 2010).  Regardless of any criticism on employee democracy to participate or get involved in the decision making process, the benefits will outweigh.

Conclusion

 There are various justifications for employees possessing some participatory rights including providing a remedy for power imbalances between employers and employees and having democratic principles at the place of work which are common across the European Union members. Others include creating organizations that address various community interests, encourage economic efficiency and the development of work relationships that are based on corporation. Therefore, in markets that are increasingly becoming global and where labor mobility level is high, participation will ensure that employees can overcome cultural differences and are provided with a working environment where their value is appreciated.  This will link the gap between employees or trade unions that represent them and the companies, and the interests all parties will be addressed without a need for litigation to solve arising conflicts. In addition, the organizations are under an obligation to consult with employees while assigning them functions, choosing the company representatives in foreign countries and in major decisions such as mitigating the effects arising from redundancies. In addition, consultations and sharing of information with trade unions will remove any fear that social participation will render such organizations irrelevant. In the expansive European Union, the participation and involvement can act like a productive factor, specifically for those firms that are experiencing expansion, restructuring and even business turbulence in the global market.

References

Waddington, J. (2011). European works councils: the challenge for labour. Industrial Relations Journal, 42(6), 508-529.

 

Bonache, J., & Noethen, D. (2014). The impact of individual performance on organizational success and its implications for the management of expatriates. The International Journal of Human Resource Management, 25(14), 1960-1977.

 

Caligiuri, P., & Bonache, J. (2016). Evolving and enduring challenges in global mobility. Journal of World Business, 51(1), 127-141.

 

Hyman, R. (2010). British industrial relations: The European dimension (pp. 54-80). John Wiley & Sons.

 

Barber, B., Monks J. (2006).Europe and Your Rights at Work.