The political condition is also another issue that will affect management in the labour process. The changes in employment law by government affect management in its business plan. Gennard (1997) stated that, government prohibits employers from competing on the basis of a pay reduction strategy. Instead Gennard (1997) also emphasized that, the government advice to the employers to seek competitive advantages by enhancing the quality of inputs they recruit.
For example, by introducing new technology, improving labour utilization and upgrading the skills of the workforce. As a result, the enactment of new regulations will indirectly influence the management's previous plan. This is because of the government's intension to allow the employees to join a trade union and not to be discriminated by the employers. In addition, government 'obligates employers to recognize trade union for collective bargaining purposes where a majority of the relevant workforce vote to be represented by a union'.
(Gennard, 1997) Therefore, the management is required to focus more on the benefits of employees such as pay, leaves and training and development for skills enhancement. Compare with olden days, the management need more capital to train its employees and invest for new plants and ideas in order to gain competitive advantages. This is the issue brought by the political condition where the cost for running a business has much been increased. The management will need to look for a better option to resolve this problem.
The management's styles and strategies in solving this particular issue for both public and private sectors are almost the same. Due to there is an employment act regarding the employees' right and benefits, the managements are forced to follow it. The management will normally offer more company's shares to the public in order to obtain the capital for investment on new plants and ideas as well as to train its employees and form a highly productivity team in order to increase the company's competencies.
The social issue The society has a very strong impact in influencing management in staffing process. 'Society is a very important stake holder in relation to the human and social implications of excellence models. The excellent organization tends not only to avoid negative impact on the physical and social environment, but also to generate positive value, especially for the local community'.
(Tito Conti, 2002) Therefore, the management should deals with the social issues well in order to create positive images for its company. These issues are commonly related to the 'growth of female employment, and its importance of industrial relations, is closely bound up with changing social patterns and expectations in respect of education, work and family arrangement'. (Salamon, 2001) Hence, the management should base on the qualifications and performance and avoid sex discrimination in recruiting and selecting employees.
The rapid changing social patterns have become one of the important factors for management to pay attention and bring it into the plan. This is because the educational level has been promoting the living standards and the lifestyle of people. The enrichment of knowledge as a result, informs the employees to know better their own right as an employee from the employment act. The management styles and strategies in resolving social issues for both public and private sectors are based on the perception of the community.
The management will behave accordingly to at least the extent they are expected to behave by the society as to build up a positive reputation for instance, the social responsibility as a contribution to the society in order to keep the existing customers or attract the customers those who are not satisfied with the competitor's way of resolving social issues. Furthermore, this will enhance the industrial relations as the management treat its employees equally or base on their performance rather than the age, sex and race.
It will then directly uplift the motivation of the employees as they have been given a fair working environment to compete against each other for career development. The performance and productivity of the company will also increase due to the high employees' motivation. Conclusion As a conclusion, industrial relations help to maintain industrial peace, resolve conflicts and disagreement and preserve company's reputation. It encourages employees and employers to come closer to each other to removing misunderstanding and redressing grievances by going through the negotiation process.
The objective of industrial relations is to create a peaceful atmosphere in open mind to achieve equilibrium in the benefits of both management and employees. It improves the performance of a company, provide job security to its employees and create a positive goodwill of a company. To sum up, it benefits a company in many ways. An excellent company should not only focus on its customers but also focus on the benefits of its employees as good industrial relations is a key factor that will lead to long term success.