two questions:
The answer to the first question will require you to demonstrate a sound understanding of the law in relation to fair and unfair reasons for dismissal and provide ways to ensure that the dismissal in each case is fair. You should be able to explain the role of the ACAS code of practice in the process and provide recommendations to Nick Diamond.
(40 marks: max 1000 words)

The second question requires you to consider ideas that may inform a pay and reward policy. You can use existing pay and reward policies to help you but you should also consider academic sources that examine the objectives of reward and options for individual and team based contingent pay. You should consider the wider business context that might impact on the policy.
(60 marks: max 1500 words)

Module Title: EMPLOYMENT RELATIONS

ASSIGNMENT TWO (OF TWO)

Assignment Brief

Assignment Title:  Employment Relations in Context

Assignment number:  2 of 2

Learning Outcomes covered (based on Module Specification):

On successful completion of this module you should be able to (outcomes relating to this assignment in bold):

•    Explain the dynamic nature of the field of employee relations and the political, social and legal environment within which it operates

•    Assess the significance of differing perceptions of and orientations to work in the context of change, modernisation and contemporary labour market trends and data.

•    Evaluate the role, strategies and differing perspectives of the main actors (the state, management; unions and employees) in determining the environment of ER.

•    Examine and assess the relevance of the processes and procedures of ER and the conflicts and tension which can arise.

•    Identify the main sources of UK and EU legislation with regard to employee relations in the UK.

Key Skills Developed

This assignment will develop your ability to critique theory and consider how it may be applied to practice.

Scenario

Nick Diamond runs a small firm called Diamond Building Services, which delivers private and small scale public sector contracts, specialising in housing and leisure projects.

Nick established his business in 2003 after working in the industry as a bricklayer and plasterer for the first 20 years of his career. He was employed in a large building company for most of that time. In 2003, he took the opportunity to take voluntary redundancy and used the redundancy payment to establish his business.

While Nick worked for the large company, he also acted as secretary of his local trade union branch and was involved in accompanying staff to disciplinary and grievance hearings.  He has always described himself as ‘a socialist’ and he still believes that good terms and conditions for front line workers are as important as the pay rewards that they receive.

In 2004 he took on his first permanent employee, Dave Stoneman, who worked both as a bricklayer and provided some help with finding new business. Dave and Nick developed a good relationship and over time and together they generated enough business to take on more employees to work as builders. At around the same time as he recruited his second bricklayer, Nick hired Susie Daynes to run his office, taking calls and dealing with day to day administrative work.

In January 2012, Nick took on his fifth employee, Steve Bolden as a labourer. Steve was a 20 year old former student from a nearby further education college bricklaying course. In May 2012 he took on a sixth employee, Mickey Rodgers, a 35 year old who had previously worked for the same large company as Nick.  Until taking the decision to employ Steve and Mickey, Nick only had positive things to say about his role of an employer, which he enjoyed.  However, with Steve and Mickey, things took a turn for the worse.

One day Nick arrived at the office to find Susie Daynes in tears. When he asked Susie what had happened, she explained that Mickey had stormed into the office and immediately started shouting at her for what he thought was the late payment of his wages (they were actually paid on time). In addition, Susie stated that Mickey and had called her a ‘useless bitch’. During the tirade, Mickey had been standing and Susie had been seated, which added to the intimidation. Nick was deeply concerned by this but it accorded with other things he had heard from his building team about Mickey’s attitude.

Later that day, Nick received a call on his mobile from an irate customer whose garden wall had collapsed just days after Steve had been sent to build it. Nick was annoyed by this as it was the fifth report of poor quality work he had received regarding Steve’s projects. He had already begun compiling a file of evidence of botched jobs that had been Steve’s responsibility.

Nick began to consider what to do about Steve and Mickey. He had no idea how to manage their behaviour as his previous experience had involved defending such cases as a trade unionist.

Despite these setbacks, Nick still views being an employer as a generally positive role and the issues with Mickey and Steve made him appreciate his builders even more.  He now wants to find a way to encourage his longstanding employees to take more responsibility for developing projects and new business.

Nick is also concerned that he is paying a variety of different wages to his employees, depending on the level of experience that they had when they were recruited. He makes a point of paying at least 50p an hour more than the minimum wage but doesn’t offer any other incentives. He wonders whether his informal approach to employment relations may be harming his firm as it grows and looks to recruit more workers.

Questions

1. Nick comes to the conclusion that Steve and Mickey’s continued presence is damaging his business. He calls you to discuss the ground/s upon which they can be lawfully and fairly dismissed and what he must do to ensure that such dismissals do not lead to claims of unfair dismissal. Provide this advice with reference to legislation and case law.

(40 marks: max 1000 words)

2. Nick has decided to design a pay and reward policy for his company. Help Nick design a pay and reward policy by outlining possible considerations of such a policy. You should make reference to theory and practice in your answer and explain how such a policy might achieve his ambition of both motivating existing staff and recruiting competent and trustworthy employees in the future.  Your policy should consider additional incentives beyond simply wages/ salary.

(60 marks: max 1500 words)

Briefing Notes

The answer to the first question will require you to demonstrate a sound understanding of the law in relation to fair and unfair reasons for dismissal and provide ways to ensure that the dismissal in each case is fair. You should be able to explain the role of the ACAS code of practice in the process and provide recommendations to Nick Diamond.

The second question requires you to consider ideas that may inform a pay and reward policy. You can use existing pay and reward policies to help you but you should also consider academic sources that examine the objectives of reward and options for individual and team based contingent pay. You should consider the wider business context that might impact on the policy.