Free «Influences on Employee Relations» Essay Sample


The internal environment of every company represents a fragile entity, which formulates itself under the influence of many factors. In fact, employee relations represent the engine of the company’s evolution and development. However, it is possible to separate employment relations from employee relations. It is necessary for understanding the factors influencing employer and employees interconnection and those affecting only employee relations. In general, communication is valuable for the selection of the most appropriate approach for the achievement of the company’s strategic foals. In particular, the following discussion reflects the essence of the impact of internal and external factors on employment relations along with the factors influencing strategic employee relations.

The Impact of Internal and External Factors on Employment Relations

As long as employee relations represent some of the main elements of the company’s development, it is essential to consider every factor influencing it separately. In addition, it is crucial to look into two different aspects of the topic including employment relations and strategic employee relations. Employment relations involve managers and their subordinates, while employee relations entail people working in the same department with similar duties and responsibilities. In fact, both types should be given separate consideration as long as different factors contribute to their transformation.

First, it is impossible not to emphasize the importance of employment relations. As it has already been mentioned, it is the core of the company’s growth and development. There are both internal and external factors, which affect the nature of relations between an employer and employees. Motivation, human resources management, and bargaining power represent the major internal factors influencing employment relations (Benge, n.d.). Motivation is the key aspect in formulating productive and effective relations full of understanding and support between both parties. It is the primary element in creating a balanced organizational culture based on mutual respect and support. If the employer is capable of meeting employees’ needs, they will be more willing to increase their efforts aimed towards goals achievement. In addition, motivated employees feel confident in their actions thanks to the communication with top management whenever needed. Nevertheless, it is necessary to admit that motivation may also have a negative impact on the employment relations. While it is highly beneficial to reward successful employees, it is rather disappointing to receive the punishment even if the employee deserved it. Punishments are necessary but there are chances that some employees will find them unfair. In this way, employment relations depend on the sensitive nature of motivation, which creates a balanced development of the company.

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Another factor of the internal environment of the company having an influence on employment relations is human resources management. Employees are always willing to see that the employer values them and appreciates every contribution to the business evolution of the company. It is obvious that promotions and competitive wages are among the major influential constituents of employee’s job satisfaction that is crucial to the employee’s willingness to work for the company and act according to the directions of the employer. In this way, employees would like to receive a salary comparable to similar job positions among other competitive companies. In other words, the sensible employer creates a background for the development of harmonious employment relations by meeting the needs of employees and ensuring their financial stability. Personal and career development also manifest the significant elements determining employment relations. The employees who do not receive any promotion, regardless of their hard and dedicated work, are most likely to start hating the employer consequently (Masood et al., 2014). In this way, the employer will earn a negative reputation in the eyes of other employees thinking that they will never get a promotion no matter what they do. The employer should be aware of the fact that employees have a desire to grow and develop within the company. Otherwise, inappropriate human resources management will burden the employment relations and discourage the workers from reaching for excellence in professional performance.

Bargaining power is another questionable aspect affecting employment relations from different points of view. Unions is an optimal approach to reduce employee’s bargaining power. However, from the perspective of employment relations, it is possible to emphasize several doubtful points. It is a sensitive aspect, which may ruin employment relations in case of disagreement. Unions tend to work on the implementation of a plan or a project predetermined beforehand by particular regulations, which do not always match with the employer’s desired outcomes. Thus, when issues arise, union’s vision and employer’s opinion may be different. As a result, the company will have a conflict with employees working on the implementation of the project instead of precisely adhering to the plan of the company’s management.

As for the external factors influencing employment relations, it is necessary to mention events from private lives of the employees and regulations from the government agencies on employee’s rights and safety (Genc, 2014). Family issues have always been crucial to boss-worker relations. It is one of the most unstable factors, which is doubtful from the point of its influence. Some employers are full of understanding and appreciation of the employees’ families and commitments, while others want to see business responsibilities prioritized as to family issues. Logically, the employer can also be understood as the results of these usually remain the same – continuous absenteeism and poor performance. The phenomena normally do not take place within the company too often. However, they are crucial to trust and understanding in the employment relations. As for the government agencies administering an employee’s rights, it is a concept which an employer cannot change (Xesha, 2014). Nevertheless, the changes have a significant influence on the employment relations, especially in relation to the appearance of new employment standards. As a result, it may be challenging for employees to adhere to new terms and conditions of the performance and employers can hardly regulate the influence of this factor on the employees’ morale and productivity.

Strategic Employee Relations

Communication is one of the entities contributing to the development of strategic employee relations. It is fundamental in building understanding among employees. Effective communication is the key to the stable employee morale leading to increased productivity. Employees need to have an effective communication system, which will connect all departments (Redsteer, n.d.). A quick exchange of information combined with the willingness of workers to achieve goals leads to the enhancement of the team spirit. If employees feel their attachment to the company, they will become more responsive and confident in their work.

The company’s organizational culture is another aspect having an effect on employee relations. For example, the company, which practices punishments instead of rewards, is most likely to develop low morale. In this case, employees will come to their workplace in fear and stressed, not willing to get the punishment (Odhong & Omolo, 2014). In addition, they may create informal groups “fighting” for their job positions and doing everything to avoid the punishment. Although, this approach leads to unity among employees it will eventually result in an intentional destruction of the organizational culture.


The discussion proved that there are multiple factors affecting the relations of employers and employees at work. They may seem similar. However, the effect is different. The evaluation of each factor helps to understand the nature of the company’s activity and its components. Employees with their needs and relations represent the primary element in building the company’s strategic plans. The topic analyzed is crucial to business evolution with the myriad of its available resources and challenges confronted in the daily operations. Employees need to have enough support and understanding from the employer and effective interpersonal communication system in order to create a balanced and harmonious working environment.


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