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The Study on Practices of Employee Relations in Hi-tech Industry

In the current era of knowledge economy, the core of the competitions between corporations has evolved from production to management, and now focuses on the acquirement of adequate human resources and the amelioration of innovation. To corporations, the most vital task is often not how to obtain capable human resources, but rather how to ensure the existing ones continuously contribute to the progression of the firm. This involves the internal culture of the firm and its organizational layout; moreover, the most direct effect comes from the ¡§push-and-pull¡¨ interaction between the employer and employee, which is the fundamental quality of employee relations.
This research first intends to explore and clarify the meaning of employee relation through a comprehensive study of the aggregated works on related applications of labor relations by previous scholars, including labor union, collective bargaining, negotiation, and labor involvement and participation. Bearing the attributes of high-tech industries in mind, the actual practice of employee relations can then be categorized under six major groups through an understanding of renowned models on labor relations: direct financial rewards and benefits, indirect financial rewards and benefits, non-financial rewards and benefits, employee participation and involvment, organizational communication and management on labor relations. Based on these six categories, an analysis of the actual practice on employee relations leads to the following conclusions:
A.Direct financial rewards and benefits
In respect to the base-salary system, position-oriented system is more widely adopted than the ability-oriented and the seniority-oriented ones. The ability-oriented system, though, imposes the maximal impacts on employee relations. In respect to the motivation system, the year-end profit-sharing system is the most common one, and it is also considered to be having the best effect on stimulating employee relations. In most firms, the department of human resources is the key unit in charge of the motivation system.
B.Indirect financial rewards and benefits
Regarding economical benefits, most companies follow the traditional model and engage in pension plan, the subsidy for marriage and funeral. Injury compensation is often acclaimed to be the most essential program in enhancing employee relations. These programs are often done through the Human Resource Department and the Employee Welfare Committee. Regarding benefits on leisure activities, the most common activity is domestic and international travel coordinated through the Employee Welfare Committee. Regarding facility benefits, high percentages of firms have contracts with stores or other corporations for discounts and pre-arranged special rates. However, labor co-ops are preferred as the facility that improves employee relations the most. In general, facility benefits are coordinated through the General Administrative Department, the Human Resource Department and the Employee Welfare Committee. Regarding services benefits, most firms respect foremost the smoothness of complain and appeal channel of lower-ranked employees, and they also achieve improvements on employee relation through family goodwill policy. Most of the services benefits are managed by the department of human resources.
C.Non-financial rewards and benefits
In respective to non-financial compensations, the leadership style of the high-tech industry often focus on the involvement and participation from the employees, and this is often done through inquiry and commentary. Regarding the working environment, the business sectors widely adopt regulation and policy on assessment, opportunities and fairness for advancement. Flexible working hours have also been known to have positive effect on employee relations. Benefits in this category are usually overseen by the Human Resource Department.
D.Employee participation and involvement
Most corporations implement labor participations through employee suggestion program, which also improves employee relations the most. Regarding the rights of employee participation, the participation level on financial management is the lowest, but the participation level on company¡¦s policy, marketing, production and human resource management are normal.
E.Organizational communication
Regarding organizational communication, parallel communication is more efficient based on survey results. The efficiency of downward communication and upward communication is normal. Besides, bulletin board, telephone, interview, meeting, and e-mail are commonly adopted, especially the last three improves employee relations most.
F.Management in labor relations
Regarding management on labor relations, there were only few unions in hi-tech companies. Conciliation is most widely adopted on labor dispute. Collective bargaining and collective agreement improves employee relations greatly. Since most companies do not organize unions, conciliation is more preferred, compared with arbitration and lawsuit.

Identiferoai:union.ndltd.org:NSYSU/oai:NSYSU:etd-0704104-183232
Date04 July 2004
CreatorsShih, I-fan
ContributorsLiang-chih Huang, none, Jin-feng Uen
PublisherNSYSU
Source SetsNSYSU Electronic Thesis and Dissertation Archive
LanguageCholon
Detected LanguageEnglish
Typetext
Formatapplication/pdf
Sourcehttp://etd.lib.nsysu.edu.tw/ETD-db/ETD-search/view_etd?URN=etd-0704104-183232
Rightsoff_campus_withheld, Copyright information available at source archive

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