SOUND LABOUR RELATIONS AS AN ENABLER OF HIGH PERFORMANCE AND WELLBEING

The month of May each year offers the opportunity to gather a number of interesting insights from the local radio and the written Press through the perusal of the numerous articles and interviews on the related questions of labour rights, labour relations, strength of unions, and economic challenges. Over the past twenty years I have written papers, intervened in conferences and workshops and consulted on these very matters locally and internationally and I remain bemused by the persistent state of affairs, travelling unimpeded through time as it were, which I have described, since a long time, a “neither adequately enabling nor particularly repressive” state of employment relations in Mauritius. Frankly, I cannot recall a single time around Labour Day when I did not hear the following sweeping laments in some form or another, in effect reflecting a status quo that satisfies no one:

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— Employers, given half a chance, are increasingly exploitative and disrespectful of their workers, and the situation has worsened during and following the Covid-19 pandemic;
— The trade union movement is ageing, fragmented and déphasé (outdated) and must get a grip on its ineffectual historical reflexes;
— Employers fail to consult adequately with workers or workers’ representatives;
— Workers fail to see the usefulness of joining a union, or else they are unwilling or unable to do so for some reason or other;
— The country’s economic challenges call for a “new” way of managing human capital, suggesting that traditional worker representation mechanisms are outdated.

And so on. This year again I heard on the radio a few mentions of the infamous and equally persistent phenomenon of “skills mismatch” which to my mind is a thoughtless, unhelpful turn of phrase, and probably causing more harm than good to labour market dynamics. I invite readers to imagine being a young person having toiled and sweated over classes, assignments and examinations over many years, to hear herself/himself defined as “mismatched”! This seems to be an old problem that requires new solutions. Apart from the ubiquitous “system” blaming, it would be preferable that social partners gather, not only for a “dialogue” but also with a commitment to bring about changes and move out of their respective comfort zones once for all.

In all of my research I have systematically found that, barring some models of excellence of sound labour-management relations, few and far between at that, a large number of firms operating in Mauritius prefer an old-fashioned, command-and-control management style and a people management approach that unapologetically sides with profit maximization and efficiency in the short term. All this with insufficient regard for the quality of jobs, of the working environment, and for workers’ wellbeing and dignity. There is also much anti-union feeling in some sectors where the leadership style is intimidating and where managers explicitly or implicitly demand that employees silence their personal grievances. And, although the State has always professed a caring orientation, it seems tied up in an intricate web of interests such that economic survival and competitiveness of enterprises – with the usual strategies of restructurings, right-sizings, productivity, flexibility in hiring and firing –overshadowing workers’ and unions’ preoccupations regarding security, dignity, communication and collaboration at the workplace.

Nevertheless, in the sort of globally difficult competitive environment Mauritius finds itself today, many management teams have been debating and fortunately in some cases, applying, the notion that it takes a very particular approach to managing the human capital of an enterprise to obtain innovations, process and product improvements, quality and technology adoption, and service excellence. And part of this approach includes a kind of labour relations that promotes consultation, communication, shared interests, and basic human respect. At the enterprise level there is no shortage of ideas from around the world to arrive at a trust-based, high-engagement culture that yields the aforementioned benefits. In the US, known for predominantly non-unionised workplace arrangements, the trend has been toward reform of the union movement itself, to embrace a new philosophy about offering a more attractive value proposition to workers in these difficult times. (Some time back I wrote an article on social movement unionism and in a future paper I may discuss this alternative type of value proposition in more detail). In the UK, the Investors in People award which recognizes excellence in people management for the benefit of employees and organisations, engages with unions at all decision-making instances. Even locally, a number of employers are themselves impressive examples of highly enlightened, people-oriented Human Resource Management, and they manage very well to consult with unions and arrive at solutions and strategies that benefit everyone.

Just the other day I was looking at some of the inputs at the World Economic Forum’s “Future of Work” and I will urge any boss, HR or otherwise, to take a look at what is going on in terms of contemporary trends in philosophies and strategies of people management. The commitment at the Forum is to “co-create a framework for good work standards, with inputs from trade unions and independent experts, make commitments to raise the bar on good work for their sectors.” We also must recall that SDG 08 calls for sustainable economic growth through societies that create the conditions which allow people to have quality jobs to stimulate the economy. Really, information, examples, frameworks, all exist both locally and internationally to raise the bar on people management and employment relations practices, so there is no excuse for ignorance or inaction in these areas of policy and practice.

As we can see, such an approach is mainly about creating a culture that demonstrates a faith in the internal strengths and competencies of the organisation which can be crafted and built purposefully during a specified strategic time frame. In Strategic HRM speak we refer to this as the building of core competencies ‘from the inside’ so as to be more resilient in facing externalities. As such, a focus on core competencies and capabilities can provide a bridge between the strategy and the HRM domains via an emphasis on people (and the way they are managed and treated) as a source of sustained competitive advantage.

In such a culture the union assists management in the dissemination of company information about strategy, issues, challenges, and also demonstrates its contributive value in finding solutions collaboratively. The union participates in good faith in the management of the enterprise by rallying employees around the overarching mission of the company, what it entails in terms of performance and behavior, and also at times, sacrifice and effort. In such a culture strategies and solutions are arrived at through consultation and democratic principles and by valuing and facilitating the work of unions. It must be said that, if unions are to modernize and innovate, this can only be realistically achieved in an environment where they are promoted as being valuable key partners, where their ideas and contributions are welcomed and where they are being regularly consulted in the decision-making processes of the organisation.

Still, this will neither happen by magic nor overnight. Often we admire highly successful organisations or extremely engaging and motivating workplaces as if they happened by sheer luck. In order to be in line with global practices of ‘putting people first’, managers will have to adopt increasingly democratic and participative styles, and workers’ representatives, as strategic partners, must work out a more attractive value proposition to the new entrants on the labour market, especially in the post Covid-19 world of remote working, of rapid skill development, lifelong learning, e-commerce, artificial intelligence and rapid and multiple career moves.

I will end by sharing a few statements made at the last World Economic Forum by leaders in people management, with the wish that they might spark a new interest and be an inspiration amongst trade unionists and management teams alike here in Mauritius:
“We embrace agile and flexible ways of working for our people to support high performance, greater inclusion, well-being and stronger resiliency. We’re delighted to discuss the ever-changing global digital environment. Our new ways of working need to reflect broader shifts and diverse employees’ needs to live their unique life and work” (Schneider Electric).

“We must imagine not just what the world of work is going to look like in 10, 15, 20 years, but what we want it to look like. We must imagine what it will look like if human beings are thriving. We are a strong supporter of the Partnership to pave the way for us to work together to build better businesses in a better world.” (Unilever).

ANITA RAMGUTTY, PHD

 

 

 

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