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Thursday 29 June 2017

Report on equal employment opportunity: focus on human resource management policies and practices at OneSteel

Executive summary

The main issues identified in relation to OneSteel are that gender inequality is still high despite the form commitment by the organisation to the contrary. There also seems to be a perception that service staff jobs are a preserve of the males as indicated by females being only 2% in that job level. This fact also indicates that the production processes are unhealthy and strenuous hence the rationale to keep women out of them. Unfairness in promotion is indicated by the fact that the proportion of female employees lowers as one move up along the ladder. These are some of the issues addressed.

Recommendations for the manufacturing and distribution sectors are as follows:
Manufacturing section:
-          Make greater measures to attract more service staff that are female
-          Entrench job rotation to facilitate flexibility in times of maternity/paternity leaves
-          Take sharper affirmative actions in terms of training and promotions
-          Promoting a culture of gender equality and equity
Distribution section:
-          Promote affirmative action to make up for women to make up for deficiencies in other departments
-          Create job descriptions that are allow workers to work from home
-          Ensure cross-departmental training to facilitate job rotation

This report recommends that these measures be implemented to make gender parity easily achievable at OneSteel. Further details are as contained in the report. 
OneSteel is a constituent company of Arrium, a mining and manufacturing company operating in Australia. It is the manufacturing and recycling division of the larger corporation. The management model at OneSteel is a decentralised one where different divisions are empowered to make decisions that are specific to them including human resource management decisions. The company makes efforts to entrench equality and maintains a comprehensive policy for ensuring transparency and equality in its human resource management practices. The company’s report on equality indicates that the females are greatly outnumbered in the organisation forming only about 11% of the total employee population. This is in addition to the fact that some categories such as service staff have only 2% female (Appendix 1). In addition to this, the percentage of women seem to decrease as one moves up the management ladder and this is an implication that promotion and training practices may need to be revaluated.  The main weakness in the making of this report is that the main source of information is the company which would ordinarily be expected to put more emphasis on facts that put them in positive light at the expense of any prejudicial information. Nevertheless, weaknesses in the policy can be deduced from the statistics provided.

2.0 Recommendation 1: Steel manufacturing section

2.1 Brief description of recommendation

-          Make greater measures to attract more service staff that are female
-          Entrench job rotation to facilitate flexibility in times of maternity/paternity leaves
-          Take sharper affirmative actions in terms of training and promotions
-          Promoting a culture of gender equality and equity

2.2 Existing initiatives in context

The company maintains fairness, transparency and equity in the recruitment of employees. The element that is in question is the aspect of equity which does not necessarily guarantee equality. There needs to be conscious efforts to ensure that there is equality of either gender when recruiting. Given that manual jobs in the manufacturing sector could be excessively manual, it is anticipated that females may be avoiding the jobs. The improvement of working conditions would not only increase working conditions for the men but also attract the women to the jobs.

The company allows employees to embrace flexibility of work schedules and this is done by allowing them to work online from home. This may be very favourable to the female employees. However, in certain functions like service staff involved in factory operations, this work arrangement may not be sustainable. Flexibility can on the other hand be promoted through job rotation. For instance, as soon as an employee is aware that she’s pregnant, she can notify the management which would then assign her to job roles that she can handle while pregnant and shortly after childbirth.

The current initiatives in the company are such that participation of females is higher than their average rate of 11%. For instance, Steelers leadership program contained 25% females; 16% of new recruits are women; and internal appointments contain 23.4% women (Appendix 1). This means that there is a marginal approach for affirmative action. But this approach is too marginal to entrench equality. If the trend is to be maintained, it would take decades before equality is realised. The new initiative suggests more radical measures such as raising the numbers to at least 35% for each training initiative.

Resorting to culture is important since the policies do not seem to produce results. Policies may promote fairness but with sufficient grounds allowing ‘exceptional’ implementation. That is why cultural perspectives should be promoted.

2.3 Level of consultation expected

The level of consultation in the case of promoting work flexibility will be limited. The policy shall be made and employees will be informed of the policies and encouraged to consult with the human resource management department whenever they have an issue that could affect their work. In the affirmative action in training and promotion of staff, unions would need to be involved. Affirmative action can at times lead to cases of discrimination against members of the dominant gender that may be more deserving of the appointments. Consultations with unions would be important in determining the extent to which affirmative action can go without aggravating existing employees. The unions to be consulted in this case are the Australian Worker’s Union whose main goal is to fight for the rights of the workers in terms of remuneration and working conditions (The Australian Workers’ Union, 2013). Where initiatives are to extend to the technical and engineering aspects, the union to consult is the Australian Manufacturing Workers’ Union which also ensures that workers’ rights to fairness and good working conditions are upheld in addition to helping the organisation access trainings which they conduct for their professionals when promoting affirmative action (AMWU, 2013).

2.4 Organisational context

It is also an indicator that the workers are not equipped properly when it comes to handling manual tasks where work equipment such as trolleys, lifting equipment and others that can easily be applied are exploited to make their work easy (Dean and Peter, 2012). In organisations where workers are fully furnished with equipment to enable them handle manual jobs, the work is made easy enough for females to tackle without strain (Dean and Peter, 2012). Working on the assumption that females are largely excluded from these jobs because of their inability to use their muscle in executing the tasks, there is an indicator that the workers are poorly equipped. This could mean that their working conditions are not healthy and this constitutes grounds for intervention by the relevant trade unions that are dedicated to ensuring that the welfare of the worker is maintained. On fairness, statistics on the distribution of work between genders is telling. It is difficult to justify that the organisation is committed to fairness where the average employee proportion is 11% female. Besides, only about 23% are recruited into the organisation.

2.5 Theoretical basis

There is a difference between equity and equality where the former does not imply that genders must be equal in an organisation. In reality, equality is the best measure of equity as it is easily visible and measurable.

Ideally, the percentage of either gender would be at around 50% for it to be considered fair. The Australian government sets a good example by maintaining a workforce that is slightly fairly balanced along gender lines female (McCrystal and Orchiston, 2013). The trend has actually been common in most sectors in the Australian economy as equality is promoted in recruitment. Promotion of equality is a concept that has been discussed in various forums with industry players from across the world emphasising on the need to entrench equality and fairness within the organisations (Baird, Williamson and Heron, 2012). The law prohibits employers from engaging in any acts of discrimination against employees based on characteristics such as gender, race, disability, religion and others (Commonwealth of Australia, 2013; Commonwealth of Australia, 2013a; Williamson, 2012). For instance, the legal provisions envision a situation where recruitment is done using means that do not disqualify anyone based on their gender.

Gauging fairness is an intricate exercise that cannot be simply subjected to the absolute gender numbers of those who are recruited. The managers can only evaluate job applicants based on the applications received: they cannot go out to entice people to apply for the jobs based on the gender balance (Williamson, 2012). This hurdle has been experienced in many companies that have in the past advertised jobs that the society perceives to be suited for a certain gender. The opposite gender tends to keep off and in the end; the organisation has to consider only those who are interested in the jobs. In this case, the question on why the organisation appears biased against women could be answered by this argument where it is possible that female applicants kept off the service staff jobs. This could explain the reason why recruitment of service staff is biased against women despite the policy at OneSteel to be fair and transparent and fair.

The maintenance of an equal opportunity environment in the organisation is a thing that must be entrenched into the organisational culture (Bacon and Hoque, 2012). The commitment to do the same is one that is not easily enforceable through rules. This is because cases of discrimination are very difficult to prove. In as much as gender parity is an important consideration, the overriding factor is the issue of suitability for the job (Deirdre and Mary, 2012). Where an applicant is deemed to be unsuitable, their rejection can be done without giving rise to claims of discrimination. In most cases where companies are sued over discrimination charges, they tend to assume the argument of qualification and suitability and it becomes extremely difficult for the aggrieved parties to prove that they had been discriminated against (Deirdre and Mary, 2012). Companies therefore use these legal loopholes to maintain their line of thinking even where it is flawed.
Further discussions on the role of trade unions are contained in section 3.5

2.6 Merits and demerits of measures proposed

The advantage of promoting recruitment of more women as service staff is because it will help in entrenching the culture of gender equality. Demystification of jobs considered as male jobs and getting women to perform them properly will be a good initiative in achieving this. This would be followed by promoting further measures for job flexibility and affirmative action. These initiatives will certainly help in promoting gender equality.

The demerit of these approaches is that they are likely to be unfair to the male employees. The process of encouraging promotion of women may lead to qualified men being left out unfairly. Besides, proposing to emphasise on the employment and promotion of women could reduce emphasis on competence and productivity. These may negatively affect performance of the organisation. Besides, affirmative action could lead to women being demeaned as they’d be seen as people who can only excel if systems are modified to favour them. The implementation of this system must therefore be done in a manner that overcomes these demerits.

2.7 Monitoring and reporting of problem

Targets should be set for each element of human resource management. Aspects such as recruitment, training and promotion should be done. This should be done on an annual capacity where the proportion of women within the organisation rises by at least 5% until the overall percentage is over 45%. The department would accordingly report regularly on progress based on comparative analysis on observed trends.

3.0 Recommendation 2: Distribution

The distribution section deals with transporting manufactured products from the factories to the distribution centres and to the customers. The main functions would include warehousing, inventory management, order processing, and transportation.

3.1 Brief description of recommendation

-          Promote affirmative action to make up for women to make up for deficiencies in other departments
-          Create job descriptions that are allow workers to work from home
-          Ensure cross-departmental training to facilitate job rotation

3.2 Existing initiatives in context

As highlighted in 2.2 above, the company has made steps to promote gender equity by creating opportunities in training and appointments at a ratio higher than the average distribution of employees in the market. However, these initiatives are not sufficient as maintaining the trend would mean that equality would not be realised in the foreseeable future.  The company is already involved in initiatives for promoting flexibility of work by facilitating work at home (Appendix 1). This can be improved through flexible reporting hours and establishing online work arrangements that can facilitate employees to work from home or in different locations. There is little initiative in making the cross-department rotations more common. The operations of the distribution department should be publicised to make all in the organisation to understand the department. This would help in facilitating flexibility of work schedules especially where job rotation is done for the pregnant and sickly in other departments to facilitate work from home without compromising the overall performance of the organisation.

3.3 Level of consultation expected

Consultations shall be limited to employee-management consultations when it comes to job flexibility perspectives. However, unions such as the Transport Workers Union that represents workers involved in transportation shall be engaged with to ensure that confrontations do not arise over the rights of the workers. Structured consultations shall always be facilitated to ensure that employees are kept happy and that any grievances related to the proposed changes are tackled very quickly.

3.4 Organisational context

The distribution section is the only section in which most of the jobs can easily be handled with women. The level of expertise as relates to coordination and implementation of distribution schedules can be acquired with relative ease by brilliant employees from either gender. Given that there may be a difficulty in promoting gender equality in other divisions, the distribution division provides this opportunity. To try and balance gender equality in OneSteel, female numbers in the distribution business can be raised to over 60%. This would go a long way in improving gender parity in the wider organisation. Functions such as coordination, order processing and many other functions related to distribution can be conducted at home. This means that the option of promoting flexibility using this division may actually be more successful than in other divisions.

3.5 Theoretical basis

The dilemmas to be faced here are about the remuneration and working conditions for employees on job rotation and the role of unions in defending workers’ rights.

The provision of good working conditions is very crucial to the employees. Apart from the issue of salary increment, disputes about the working condition of employees are among the leading causes of trade disputes between organisations and their workers (Akkerman, Born and Torenvlied, 2013). The basics of good working conditions are that the employee should be provided with necessary tools and safety gears to ensure that they can conduct their work with ease. In the increasingly modern manufacturing centres, manufacturing processes are almost entirely mechanised with the workers required to put in very little effort to ensure that the systems work as they should (Dean and Peter, 2012). Where the level of work facilitation is high, the bridge between men’s jobs and women’s jobs is reduced drastically as the women are also able to undertake the manual jobs. For instance, the task of moving products from point the warehouse to the manufacturing site needs not be a man’s job where automated trolleys are the ones used to do the work.

While the creation of good working conditions may be an extra cost to the organisations, they tend to give in under the weight of trade unions which tend to be unrelenting in defending the workers. In relation to the manufacturing and distribution aspects of the organisations, the relevant trade unions are Australian Worker’s Union and the Transport Workers’ Union (TWU, 2013; AMWU, 2013). The two unions have something in common in that they push for remuneration and good working conditions for their union members. Even though the unions are always willing to sit with the management and negotiate, they have a legally secured weapon of last resort: strikes.

Research indicates that most strikes that occur due to industrial disputes are only started after intense and lengthy negotiations have ended in a stalemate (Heery, 2009). Unions are therefore not a major threat to organisations as they allow for sufficient time for deliberation. As a matter of fact, unions can work to the advantage of the organisation as they compress the diverse demands of the employees through consensus building into fewer issues that can be satisfied with ease. Organisations are actually better off dealing with staff unions than spending endless amounts of time with individual employees over similar demands (Akkerman, Born and Torenvlied, 2013). At OneSteel, the managers appear open to the idea of workers forming unions even though they appear not keen to enforce it.

3.6 Merits and demerits of measures proposed

The main challenge of trying to use this department to balance gender parity in the whole organisation is the fact that it may amount into injustice for the male employees. Besides, the question of performance still applies. In some job descriptions such as transportation where drivers may be needed to drive for hours and be away from home, women may not be able to handle the tasks. Inter-departmental transfers on the other hand may be challenging when it comes to the harmonisation of remuneration across roles. Individual employees may not be agreeable to the idea of altering their salaries just to accommodate their new roles.

On the positive side, the organisation should be able to demonstrate its commitment to gender equality by ensuring that roles that can be handled by women are given to them. Maintaining a huge proportion of women employees in this section would go a long way in proving this.

3.7 Monitoring and reporting of problem

Concerns over the impact on performance can be alleviated by maintaining records on performance and how they differ as more female employees are brought into the department. Training needs and facilitation of manual tasks through provision of equipment should also be done and progress made reported. As is also suggested in 2.7 above, regular reports should be made to monitor trends in employment of females and as compared to preceding years.

4.0 Summary

In this report, the main suggestions made involve efforts to fast-track measures being taken to promote gender parity at OneSteel. It was observed that even though the policy of fairness is already in place, the gender disparity is still very high in the organisation. Enhanced measures for affirmative action have been proposed with the target being an 8% improvement in the proportion of women per year until they are more than 45% in the whole organisation. Differences in work description can be exploited to raise the percentage of women in areas that can easily be handled by women such as in the distribution department to make up for imbalances in areas such as engineering where bridging the gap may be difficult due to difficulties in getting competent women. Other measures suggested include using job rotations to promote flexibility and making manual tasks easier through provision of equipment to make them less laborious hence enable women to handle them in addition to making work easy for all employees. If these measures are implemented as suggested, gender parity wold be improved within a relatively short time.


References

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