GMGM2023 Human Resource Management PDF

GMGM2023 HUMAN RESOURCE MANAGEMENT IN PUBLIC SECTOR (8 CHAPTERS) CHAPTER 1 : INTRODUCTION TO HUMAN RESOURCE MANAGEMENT HRM Definition The process of acquiring, training, appraising and compensating employees - Acquiring : find, attract and recruit qualified candidate (interna...

GMGM2023 HUMAN RESOURCE MANAGEMENT IN PUBLIC SECTOR (8 CHAPTERS) CHAPTER 1 : INTRODUCTION TO HUMAN RESOURCE MANAGEMENT HRM Definition The process of acquiring, training, appraising and compensating employees - Acquiring : find, attract and recruit qualified candidate (internal & external sourcing) - Training : educates employees (experiential learning, seminar, case study) - Appraising : analyze performance, determine future task (review work history, performance against specific goals) - Compensating : provide something in return for job (monetary / non-monetary) Attending to their labor relations, health and safety, and fairness concerns - Labour relations : positive relationship - Fairness concerns : equal opportunity - Health and safety : working environment, well-being, compliance to regulations Utilization of individuals to achieve organizational objectives Involve people, resource and management - Resource : assets/costs for organizations - Management : coordination and control to achieve set goals Personnel Management Definition : The planning, organizing, compensation, integration and maintenance of people for the purpose of contributing to organizational, individual and societal goals - Planning : The process of choosing appropriate goals and determining the actions, strategies and resources needed (to achieve optimum use) - Organizing : The process of establishing worker relationships (allows workers work together to achieve goals) - Compensation : Any payment given by an employer to an employee during their period of employment (monetary / non-monetary) - Integration : The process aligning HR functions, data, and processes into an organization's overall operations (improve decision making) - Maintenance : The process of designing safety, medical care plans, and welfare actions for employees (create positive work environment) HRM Goals / Importance Support the organization in achieving its objectives by developing and implementing HR strategies Contribute to the development of a high-performance culture Ensure that organization has the talented, skilled and engaged people Create a positive employment relationship between management and employees Encourage the application of an ethical approach to people management HRM Functions : Planning - The process of choosing appropriate goals and determining the actions, strategies and resources needed Organizing - The process of establishing worker relationships (allows workers work together to achieve goals) Leading - The process of articulating a vision, energizing and motivating employees Staffing - The process of recruiting and selecting employees for positions within the company Controlling - The process of evaluating and improving performance, establish standards to measure, compare and make decisions 1 Difference Between HRM And PM HRM PM Nature Long-term and proactive Short-term and reactive - Continuous development and functions to - Ensure peaceful measure management improve company’s workforce relations in the present - Concerned with present and future organizational conditions Approach Strategic approach Traditional approach -aligns HR functions with the overall goals -Focuses on administrative tasks and maintaining employees records Focuses Resource- centered Employee-centered - Focused on delegating the responsibility - Focused on hiring, training, of HRM compensating and maintaining the existing force of he organization Emphasizes Open minded contracts Strict observance (menekankan) - Can be modified upon the demand of the - For rules, procedures and contracts that business govern the relationships between the - Motivate and inspires employees based workforce and the management upon team spirit Relationship Better performance is the cause of job Job satisfaction is the cause of better between job satisfaction performance satisfaction & performance CHAPTER 2 : DEVELOPMENT OF HUMAN RESOURCE DEPARTMENT Key Characteristic of HR Commitment of senior leaders towards change Employee involvement and transparent communication Integration of HR into strategic planning Strategic investment in the workforce HR Cycle - stage an employee go through 1. Selection : identify, recruit 2. Performance management : set goals, monitor, feedback 3. Rewards / development : compensation 4. Performance HRM Process 1. Recruitment 2. Selection 3. Training 4. Assessing performance 2  5. Motivating 6. Compensating 7. Maintaining labor relations 8. Healthy welfare & safety of employees 9. Compliance to labor laws Functional / Classical Approach (Scientific Management) Objective : achieve goals through scientific approach with optimal method for every task Used scientific approach for each work rather than old rule-of-thumb techniques - Scientific approach : problem solving and decision making through observe and analysis - ROT : based on experience and common sense Selecting, training, teaching, and developing workers Letting individuals choose their own tasks and train themselves - handle tasks they are better suited for Collaborating with workers to ensure that all work aligns with the established scientific principles Ensuring an equal distribution of work and responsibility between management and workers Max Weber ‘s Theory (Features of Bureaucracy Structure) Division of labor : complex work broken down into simple jobs Hierarchy of authority : Chain of command to direct individual’s effort towards organizational goal accomplishment Framework of rules : Effort directed and coordinated by rules Impersonality : Hiring and promoting people on the basis of objective merit rather than favoritism (on the basis what they know, not who they know) Formal selection : Technical competence members selected accordingly on the basis of training, qualification, education, etc Henry Fayol (14 Principles of Management) 1. Division of Work – specialized work to increase output (increase skilled and efficiency) 2. Authority – Managers have authority to give orders 3. Discipline – Vary methods for doing so 4. Unity of Command – Employees should have only one direct supervisor. 5. Unity of Direction – Teams with the same objective should be working under the direction of one manager, using one plan. 6. Subordination of Individual Interests to the General Interest – Group interest is more important than one employee interest 7. Remuneration – Satisfaction depends on fair remuneration (financial and non-financial compensation) 8. Centralization – How close employees are to the decision-making process 9. Scalar Chain – Be aware of your position in the organization's hierarchy 10. Order – The workplace facilities must be clean, tidy and safe 11. Equity – Managers should be fair to staff (maintaining discipline and kindness) 12. Stability of Tenure of Personnel – Managers should strive to minimize employee turnover 13. Initiative – Employees should be given the necessary level of freedom to create and carry out plans 14. Esprit de Corps – Organizations should strive to promote team spirit and unity Hawthorne Study - reveal about human behavior in workplaces Key findings : The Hawthorne effect : people modify their behavior when they know they are being observed (increased productivity) Importance of social factors : group dynamics, employee morale, relationship between management and employees Need for human relations : focus on employee needs, motivation and satisfaction 3 Impact to management and organizational behavior : Focus on employee well-being Importance of communication Evolution Of HRM 1890-1913 : Welfare officer - person responsible for the well-being of a specific group (provide support, guidance) 1914-1939 : Labour management - oversee and coordinate workforce to achieve objectives (planning, organizing, leading, controlling) 1945-1979 : Personnel management - approach to manage employees focuses on administrative tasks and operational functions 1980-1990 : HRM - The process of acquiring, training, appraising and compensating employees 1990 above : Human capital - collective talent and potential of an organization's workforce CHAPTER 3 : JOB ANALYSIS AND JOB DESIGN Job Analysis The process of defining job responsibilities, skill prerequisites, and identifying the ideal candidate for a specific role. Compiling, maintaining, reviewing, and modifying job info Analyze job context (working conditions, schedule, organizational context, social context) to determine duties, responsibilities, and accountabilities Evaluating personal characteristics for job fit Involve “Human Requirement” - Job-related knowledge and skills (education, training, work experience) - Personal attributes (physical characteristics, personality, interests) Product of Job Analysis : Job Description - written statement of what employees do, how they do it and why it is done Job title - specific position that describes the job function (sales manager, software engineer) Job location - Physical & social environment – surroundings, social interactions, and overall atmosphere that impact an employee's job satisfaction, productivity, and overall well-being Competencies – criteria to perform with level of knowledge & skills Training/Education – induction, job rotation, external course Advancement Opportunities – promotion, career development Conditions of Employment – salary & benefits, overtime, pensions Reporting to (Responsibilities – to whom job holder is accountable) Job Specification - written statement of the minimum acceptable qualification that an employee must possess to perform a given job successfully Essential qualification - education, experience, certifications Skill and abilities - technical, interpersonal (interact), problem-solving Physical requirement - physical abilities, sensory requirement Working conditions - environment, hazards Personal traits - leadership, adaptability Job Design Work arrangement or rearrangement aimed at reducing/overcoming job dissatisfaction & employee alienation arising from repetitive & mechanistic task Job Design Techniques Job Simplification : break down job into smaller and simpler tasks - reduce the complexity and range of tasks 4  - increase efficiency, reduce errors and lower training costs Job Enlargement : expand the number of different tasks with all tasks at the same level - Horizontal expansion: It focuses on broadening the job - greater variety, give worker more work to do - prevent job boredom and increase job satisfaction Job Enrichment : increase the level of difficulty and responsibility - Vertical expansion: It focuses on increasing the employee's level of responsibility and authority - greater challenge, more satisfying - Employees gain new skills and knowledge Job Rotation : movement of workers from different task & responsibilities - allowing employees to move through variety of jobs, department or function - A planned movement for specific duration - exposing employees to different roles and tasks to enhance their skills, knowledge Team Building : create opportunities for teamwork - Creating roles that require collaboration - Shared goals and outcomes can encourage teamwork. - fosters a sense of community and belonging within the workplace Hackman & Oldham, 1980 (Five key characteristics of motivating jobs) Skill variety Task identity Task significance Autonomy Feedback Importance of Job Design Greater clarity of work role, purpose and accountabilities Good team cohesion as roles, relationships and resources are clearly defined Varied work and challenges, opportunity to develop work skills, flexibility and experience Support for work/life balance Increased job satisfaction and engagement Reengineering Reimagining and completely redesigning business processes to achieve significant enhancements in essential modern performance metrics like cost, quality, service, and speed CHAPTER 4 : HUMAN RESOURCE PLANNING HR Planning The process of forecasting, development and controlling human resource in an organization Ensure the right number of human resource, with the right capabilities, at the right times and in the right places Availability and allocation of people to jobs Long term HR Planning Process Forecasting labor demand & supply - Demand : predict future needs for employees (based on goals, technology, industry trends) - Supply : availability of qualified workers (labor market condition, demographic, geographic) - external & internal supply 5  Managing labor surplus or shortage - steps to align the workforce with organizational needs - Surplus : transfer to another department, reduce through layoffs, reduce working hours - Shortage : overtime, temporary workers, recruitment HR strategies and plan - Develop strategies: to address identified gaps and achieve organizational goals - Implementing strategies: put plan into action through various HR initiatives - Monitoring and evaluation: Assessing the effectiveness of HR strategies and making necessary adjustments Employee requisition - request to the HR department to fill a vacant position or create a new one - Outlines the specific needs of the department - provides essential information about the desired candidate (position title, salary range, department) Importance : Aligns workforce with business objectives: HR planning helps ensure that the organization has the necessary talent to support its strategic goals. Predicts future labor needs: By forecasting labor demand, HR planning helps organizations anticipate future staffing requirements and avoid shortages or surpluses Optimizes talent management: It aids in identifying skill gaps, developing employees, and building a high-performing workforce. Reduces costs: Effective HR planning helps control labor costs by avoiding unnecessary hiring or layoffs Improves decision making: HR planning provides data-driven insights to support informed decision-making. Recruitment The process of selecting the right person for the right position at the right time (involve identify, attract, interview, select, hire and onboarding employees) Internal : fill job vacancies by consider current employees Promotion - movement of an employee to a higher position (reward for exceptional performance) transfer - movement of an employee from one position (change in department / job role without change level of responsibility) word-of-mouth advertisements - current employees to spread the word about open positions within the company External : finding and hiring candidates from outside an organization Walk-in applicants -individuals who visit a company's office without a prior appointment to inquire about job openings or submit their resumes advertising - advertisements and distributing them through various media channels to reach a target audience headhunt - recruiters actively identify and approach top talent for specific high-level positions job fairs - variety of companies participate to showcase job openings Alternatives to recruitment Overtime : hours an employee works beyond their regular scheduled working hours - Avoid cost of selection and training - Employee get higher pay - Less productive and optimal performance Subcontracting : hire individual to complete specialized task that usually can’t be done by current employee - Avoid expand capacities immediately - Avoid expenses of recruitment and the effect of absenteeism 6  - Meet increase demand and short term HR needs - Hired for a limited time Employee leasing : arrangement between company and leasing agency to supplies worker on a temporary basis - Avoid expenses - Leasing agency handle employment and salaries - Reduce HR burden Outsourcing : assign task that usually done by current employee to third party - specialized skills and knowledge from external providers - Challenge control quality Temporary employment : hired for a specific period or task - meet short-term labor needs for specific projects - replace employees on leave - lower labor costs compared to permanent employees Jabatan Perkhidmatan Awam, JPA (Public Service Department) government agency responsible for overseeing the public service in Malaysia Roles : manage human resources (recruitment, training, development, and performance management) developing policies and guidelines for the public service enhance the efficiency and effectiveness of public service delivery initiatives to modernize and improve the public services Suruhanjaya Perkhidmatan Awam, SPA (Public Service Commission) Responsible for appointment of personnel to the Malaysian civil service ensuring the recruitment and selection of qualified, competent, and eligible individuals to serve the nation Roles : conducts various examinations and assessments to evaluate candidates' knowledge, skills, and aptitude shortlisted candidates are invited for interviews recommends suitable candidates for appointment sets and maintains high standards for recruitment and selection National Institute Of Public Administration (INTAN) training institution for the Malaysian public service Roles : conducts training that focuses on attitude development, skills enhancement carries out research, consultancy and publishing activities Selection - choosing the right candidate for a job position 1. Publication of posts - external / internally publication 2. Applications with the standardized forms 3. Technical evaluation of applications 4. Evaluates files and recommends list candidate 5. Interview and establishes short list 6. Final decision 7. Appointment Interview Process Initial Screening: Reviewing resumes and applications to identify qualified candidates. Phone or Video Interview: Conducting preliminary interviews to narrow down the pool of candidates In-Person Interviews: Meeting with candidates face-to-face to assess their qualifications and fit. Assessment Tests: Administering aptitude, personality, or skills tests to evaluate candidates 7  Reference Checks: Verifying candidate information and seeking feedback from previous employers. Job Offer: Extending an offer to the selected candidate Types Structured interviews: Predetermined questions asked to all candidates. Unstructured interviews: Conversational and open-ended questions. Behavioral interviews: Focus on past experiences and behaviors. Situational interviews: Present hypothetical scenarios to assess problem-solving skills. Panel interviews: Multiple interviewers assess the candidate simultaneously. CHAPTER 5 : CAREER DEVELOPMENT AND GROWTH Employee Development Providing learning, development, and training opportunities to enhance individual, team, and organizational performance Objectives To have the right people to achieve organizational objective of enhancing performance and growth Ensure all employees possess the necessary skills and knowledge Ensure individuals are developed to their fullest potential Activities Learning : a lasting change in behavior due to practice or experience Education : acquisition of knowledge, values, and understanding needed for various life aspects Development : enhancement of an individual's capabilities and potential through learning and educational encounters Training : organized and methodical adjustment of behavior through learning programs and instructions Career Profession that usually involves special training or formal education and is considered a person’s lifework Career Development A complete series of activities and events linked to one's career that enhancing professional growth gaining educational qualifications and certifications navigating a career path, achieving self-actualization transitioning between careers experiencing career growth earning accomplishments and recognition Career Development Model 1. Michael Armstrong 1996 Expanding : beginning of career, acquire new skills and knowledge, develop competencies rapidly, clarify aspirations Establishing : apply and test the gained skills and knowledge confirming or adjusting aspirations Maturing : Establish career path, progressing based on motivation, abilities and opportunities 8 Growth : advancing to the next stage, growing, recognize accomplishment Plateau : low chances of promotion, limited learning progress, lack of advancement Stagnate / Decline : switch to a new job, nearly retirement 2. Okuji & Associates 2010 Training Learning experience to improve ability to perform a job Involve develop skills essential for particular job Aim to alter the behavior and enhance performance Training Cycle 1. Needs assessment and analysis 2. Design and development 3. Implementation and delivery 4. Evaluation Benefits Staying ahead of competitors Boosting staff morale - through the introduction of new skills and knowledge Cultivate a positive mindset among employees Improves employee productivity Enables the identification of weaknesses and skill deficiencies Draws in fresh talent Approaches in training 1. Management Experiential learning Seminar/conferences Case study Management games Role play Behaviour Modelling 2.Non-management OJT Apprenticeship Classroom Computer 9  Simulation Factors Influencing Training and Development Top management support Commitment from specialists and generalists Technological advances Organizational complexity Learning style 21st Century Employees Problem Solving : employees are expected to think critically, analyze information, and devise innovative solutions - Recognised problem with multiple variables - Critical thinking: Analyzing information, evaluating options, and making informed decisions - Generating new ideas and approaches to tackle problems Knowing How to Learn : possessing the ability to acquire new knowledge and skills independently - Understand learning process - Effectively finding, evaluating, and using information - using technology for learning and communication Sociability : ability to interact and connect with others effectively - Teamwork and collaboration - sharing ideas, resolving conflicts, and building rapport - adaptable to change Self-Management : ability to regulate emotion and motivation to achieve goals - Time management - Stress management - Ensuring follow through on tasks - Being responsible for the outcome Leadership : emphasis on employee empowerment - ability to inspire and encourage others to work towards a common goal - skill to convey ideas clearly and persuasively - Creating a cohesive and productive team CHAPTER 6 : MOTIVATION IN MANAGEMENT Motivation Movere (Latin) - to move A psychological drive that directs a person towards objective Types of Motivation Intrinsic - Satisfaction when task is performed - Self motivated - Resulting from job content Extrinsic - Anticipation of reward 10 Motivation Theories 1.Maslow’s Hierarchy of Needs Theory 2.Herzberg 2 factors Theory Hygiene - basic element, extrinsic and include salaries, job security, working conditions Motivators - to increase satisfaction, intrinsic and includes sense of achievement, recognition, personal growth 3.Vroom Expectancy Theory Employee’s motivation is an outcome of how an individual wants a reward (Valence), the assessment that the effort will lead to expected performance (Expectancy) and belief that performance will lead to reward (Instrumentality) Valence - expected outcome after achieving goals Expectancy - faith that better effort lead to better performance Instrumentality - faith that well performance lead to valid outcome 4.McClelland 3 Needs Theory Motivating employees according to their specific needs Need for recognition / achievement - seek challenge, need feedback, take personal rsponsibility Need for power - want to direct people Need for affiliation - need harmonious relationships and to be accepted by other Characteristics of High Motivation (David McClelland) High level of personal responsibility Take risk Have a comprehensive work and strive to achieve objectives Utilize feedback Look for opportunity Employee Motivation Strategies Job design - job rotation, job enlargement, job enrichment Incentives - pay bonuses, award, raining & education Empowerment - range on work, schedule, flextime Learns to love the job you hate - control expectation, build immunity to cynicism CHAPTER 9 : COMPENSATION MANAGEMENT Remuneration : Consists of financial and non-financial perks provided to an employee Compensation : Monetary payments to an employee Payment for work carried out b that person - Wages : payment for services on an hourly, daily or weekly basis - Salary : regular wages by employer on a weekly, biweekly or monthly basis includes benefits (health insurance, saving plan) 11  Payment for who suffered from loss or injuries Factors influencing organization compensation management Internal factors Financial strength - financial health impacts competitive compensation packages (strong financial, higher salaries) - financial difficulty - adjust compensation strategies to align with budget limitations Employee worth - Employee performance directly impacts compensation (merit increases, bonuses, and promotions) Internal equity - ensuring fair compensation for similar jobs within the organization Job complexity - Skill equipment, responsibility, working conditions Company policy - Pay structure External factors Labor market (compensation survey) - Supply and demand for specific skills: Determines wage levels for in-demand talent. - Competition for talent: Impacts salary offers to attract and retain employees. - Geographic location: Cost of living and labor costs vary by region. Economic factor - Inflation rates: Affect the purchasing power of wages. - Economic growth: Influences labor demand and wage levels. - Unemployment rates: Impact the supply of labor and bargaining power of employees Competitors influences - Benchmarking: Comparing compensation packages with industry competitors to ensure competitiveness. - Talent War: In industries with high talent competition, companies may offer higher salaries and benefits to attract top talent. Legislative and union constraints - Minimum wage laws: Set a floor for compensation. - Overtime regulations: Impact labor costs and scheduling. - Equal pay laws: Ensure fair compensation for equal work. Social trends / globalization - Economic conditions in other countries can affect labor costs and talent availability. - Globalization and outsourcing can impact wage levels Technology - Using data to analyze compensation trends, identify pay gaps, and make data-driven decisions. Compensation Strategy Defines the intentions of the organization on the reward policies, processes and practices required to ensure that it has the skilled, competent and well-motivated workforce its need to achieve its goals 12 Total Rewards Trends : Flexible Rewards 1. choice 2. Pay for performance Advantages of Compensation Foster values and culture Motivate employees Increase performance and productivity Enable to achieve goals Classification of Reward Financial (extrinsic) ○ Direct - base pay (wages, salaries) & variable pay (incentives) ○ Indirect - mandatory benefits (provident fund, maternity leave, health plan) & voluntary benefits (vacation break, educational assistance) Non-financial (intrinsic) ○ Satisfaction derived ○ Praise and rewards Payroll Management Process of paying employees and maintaining the financial documentation Key aspects : Calculate employee hours, wages, salaries and other compensation Pay the correct taxes and deductions Ensure employees are paid accurately and on time Maintain payroll records and comply with legal requirement Provide employees with the pay statements Integrating payroll with other HR and workforce management system CHAPTER 10 : INDUSTRIAL RELATION Industrial Relation - relationship between workers and employers 13 Actors in Industrial Relation -workers (Trade Union), employers (Employers Association), government (society) Harmonious Industrial Relations Peaceful relationships between employers and employees Number of disputes and industrial actions are minimal Both parties choose peaceful ways to settle conflict Successful dispute resolution at the early stage History Stared in Europe in the 19th century Introduced in Malaya in 1920 Trade Unions Act 1959 Industrial Relation Act 1967 Principles of Industrial Relations (by Industrial Relations Act 1967) Trade unionism - workmen and employer are entitled to basic trade union rights (to form unions, join unions, participate in union’s activities) Union recognition - employee unions must be recognized by employers as legal representative before they represent employees to bargain Collective bargaining - guide employee unions in negotiate the terms and conditions of employment and works with employers Dispute resolution - offer effective resolution of conflict between disputing parties Trade Union (TU) An independent organization who have voice for governing relations between workers and employers relating to industrial relations, developing economic status and finding a solution for benefit of both parties Set up by workers union and worker’s representative Official channels or workers to negotiate with employers Legal and Membership of TU Workers have the right to create union with minimum of 7 members Employees must apply to TU Affairs Department to register unions Conditions of Membership - over 16 years - must work in industry cooperation - Workers in Peninsula Malaysia only can join TU in PM, Sabah TU in Sabah and Sarawak TU in Sarawak - All members must be in one of the sector either public or private - Member under 21 years old cannot be appointed as committee members - Managers can join KS on condition that all its members are managers Objectives of TU Strive or salary and benefits - the minimum salary bonus, promotion, etc Improving working conditions - healthy workplace, access to training, job security Equal rights - equal in payment Unity and solidarity - encourage cooperation, mutual support and collective aim Discipline - protect from a clutches of management Procedures of Establishment TU 1. Workers held special meeting among themselves to establish TU 2. Agree on the basics and appoint committee 3. Committee design goals 4. Committee must ask Direction of Trade Union to register Union within one month after the meeting 14 Equal Employment Opportunity (EEO) Laws that prohibit specific types of job discrimination Promote equal opportunity in employment through administrative and judicial enforcement Key Players of Industrial Relation National Labor Advisory Council Ministry of Human Resources Malaysian Trade Union Congress Malaysian Employers Federation International Labor Organization Trade Disputes Disputes between employers and employee-related jobs Matter of disputes : the rights, terms and conditions, benefits, facilities, working conditions Trade Negotiation Discussion between TU and employers for improving regulation and better conditions of service for members Process : 1. Preparation and Planning Identify objectives: Clearly define the goals and desired outcomes of the negotiation. Research and analysis: Gather information on the other party's interests, positions, and potential concessions. Build a negotiation team: Assemble a team with relevant expertise and skills. Develop negotiation strategies: Determine the best approach to achieve desired outcomes. 2. Negotiation and Bargaining Opening positions: Each party presents its initial demands and proposals. Information exchange: Parties share information and explore common ground. Bargaining and compromise: Parties make concessions and trade-offs to reach an agreement. Building trust and relationships: Fostering trust and cooperation between negotiating parties. 3. Agreement and Finalization Reaching consensus: Parties agree on the main terms and conditions of the agreement. Drafting the agreement: Legal experts draft the agreement in precise language. Review and approval: The agreement is reviewed and approved by relevant authorities. Signing the agreement: Formalizing the agreement through signatures. 4. Implementation and Monitoring Developing implementation plans: Creating strategies for putting the agreement into effect. Monitoring compliance: Ensuring that all parties adhere to the terms of the agreement. Dispute resolution: Establishing mechanisms for addressing disagreements. Evaluation and adjustment: Assessing the effectiveness of the agreement and making necessary adjustments. 15 Collective Agreement Written agreement that s negotiated between employer and TU concerning conditions of employment for workers who are eligible to join TU Minimum of 3 years agreement Can only be amended when approved by the Court Trade Actions TU tried to force employer to comply with their demands Picket - Chanting with banners / posters outside the premise - Requirement : not report to the court yet, must be members, held near workplace, outside working hours, safe) Strike - Employees refuse to work sometimes for a specific period until agreement is reached - Requirement : vote passed majority of ⅔ members, Ballot papers sent to TU Affairs department do no exceed 14 days after the vote day, wait minimum of 7 days after sending ballot papers Disciplinary Actions Mechanisms to control / monitor behavior of employees To improve misbehavior of productive and efficient behavior 16