MGT5ERN Employement Relationships

Introduction

Employee relations is considered to be one of the most significant aspect of every organization because satisfied employees help in creating better workplace culture by reducing conflicts and misunderstanding and enhancing their productivity and performance while they receive opportunities of employee empowerment and engagement within the organization (Vera, 2018). However, when employee desires, expectations as well as grievances are not heard by the organizational then it leads to their increased dissatisfaction and demotivation among them which has a direct and negative impact on their performance and this issue also affects workplace culture and reputation (Muthoka, 2017). Most of the time, when organizations fail to hear the demands of the employees then it leads to protest against the organization. Hence the primary aim of the paper is to discuss about the dispute of 1986 50-day Victorian Nurses strike and highlight the reason behind the strike. The paper will also analyze the dispute from the perspectives of different stakeholders and how the dispute was finally resolved and whether it was effectively resolved or not and the type of implication the dispute had on the Employment Relations of Australia.

Discussion

About the Dispute

In the year of October 1986 Victorian nurses began one of their longest strike after they failed to get an effective answer even after repeated talks with the health minister David White who was responsible for reducing the classification as well as pay of approximately half of the Victorian nurses (Strauss, 2020). The strike took place for a number reasons and the first was when in 1983 the members of RANF (Royal Australian Nursing Federation) Victorian brand had overwhelmingly voted to entirely remove the clause of no-strike from their constitution and for this a five day strike by the nurses were called in the year of 1985 because they felt deeply hurt by the indifference of the government to react to the decision that was taken by RANF (Strauss, 2020). The strike was called off after Industrial Relations Commission (IRC) hearing was promised to them that would review the decision made by RANF. Though on the surface nurses were showed that the nursing profession will be receiving funding and enhanced career structure but in reality, many nurses were demoted to lower positions that did not result in hike of payment (Fehring, 2018).

In August, 1986, the IRC reduced qualification allowances that were offered to nurses as bonus payments after they had completed each certificates. All these led to the presence of lack of career structure, tough working conditions along with insufficient wages that forced nurses to leave their professions which resulted in shortages of staff (Blair, 2018). Hence, it should be noted that the primary aim of the dispute was to increase the wages of the nurses. However, the ultimate reason that led to nurses strike in October 1986 was the decision of RANF where they decided to hold several stopwork meetings in the next months (Blair, 2018). Hence the strike took place because the maximum qualification allowance was tremendously reduced, no award and increased would be given to students and RN’s in the first year and the decision of reclassifying most of the nurses as Grade 1 RN’s to cut their payment triggered the strike.

External Business Factors

There were external business factors that made the government and the concerned bodies or authorities took the wrong decision for the nurses which was not expected to be met with such hostility as well as protest. These authorities were of the view that nurses were receiving too much for the work that were being done by them within the healthcare sector and the advancement of technology really meant that the hospitals would be needing newly-created staff who would be specialized in handling technological innovations in their nursing units which would require to pay them more than the other nurses for their extra qualification (Jacqui, 2017). To meet this requirement, the decision-makers thought of cutting down allowances of the existing nurses and students so that new nurses could be accommodated within the same pay and it was this decision that led to widespread dispute among the nurses and the decision-makers (Jacqui, 2017). The government like, before was relying on the dedication of the nurses and therefore was not paying any heed towards changing times took the nurses for granted.

Another external factor which led to the 50-day strike by the Victorian nurses was due to the growing cracks within the system, where the government had gone to set up working parties at two hospitals which were tremendously affected- Royal Melbourne as well as the Alfred that aimed at recommending ways to improve the working conditions (Burrows, 2018). However, the real issues of extra staff as well as the wages could not be resolved which further made the nurses discontented as well as terribly dissatisfied and therefore the proposed changes were bound to have a negative impact on the nurses and therefore, eventually this led to dispute between the two parties where the nurses decided to go on a strike as they understood that their demands as well as grievances would not be met anytime soon and at the same time they were also vigilant to understand what the government along with other parties, wanted to impose (Burrows, 2018). Hence, the above are some external business environment which triggered as well as contributed towards the dispute between the parties.

Views of Stakeholders

According to the employees who were the nurses in this case, thought that the strike was a much-needed action as the government and the IRC were not paying geed to their needs, grievances as well as demands and if they agree to pay cuts, no allowances and other legislation imposed by the health ministers. According to the employees, though what they were doing was unethical as they had to leave their patients in hospital beds and come out on the streets, yet they felt that this action and strike was compulsory as it would help them to make their demands heard and would further ensure their security with the help of which they could take care of their families and children. Despite the nurses facing criticism from different parties, they were stern in their actions and at the same time, managed to prove that the workers were capable enough of protecting their rights and also succeed against determined employers while at the same time, maintaining solidarity as well as commitment to work.

On the other hand, the employers were stern in not giving in to the demands of the nurses as this would mean extra expenditure for the organization as a result of which they were threatening to terminate the nurses from their hospitals if they did not return to work. Employers did not want to hear the demands of the nurses as they felt that the strike was baseless and the cut in wages as well as allowances were justified (Kowalchuk, 2018). They had no consideration for the expectations of the nurses and even though of bringing nurses from different regions to work in their healthcare system so that activities of healthcare sector were not hindered and they would also not have to meet the demands of the nurses (Kowalchuk, 2018).

The union RANF or Royal Australian Nurses Federation, were the ones who persuaded the nurses to go for the strike as this was the only way to make their demands as well as grievances heard to not only the employers but also the government along with the general public. They were both happy as well as satisfied that eventually nurses agreed to go on a strike that would be beneficial for their future and at the same time would also help in offering them security in odd times (Wilson et al., 2020). The union was completely in favor of the nurses and backed them effectively that encouraged the nurses to stay firm in their decisions and fight for their rights till the end. The union RANF considered the policies as well as the legislations of the IRC as a strategy to exploit the nurses, which they completely opposed and therefore, to ensure safety and security of the nurses, the federation took the decision of calling the strike (Wilson et al., 2020). The unions were providing support to the nurses as well as the midwives who were on the picket lines, where they donated essentials like toilets, telephone lines and others. They were even provided with food as well as funds for the strike.

The State and the Federal governments were completely against the strike as they thought that nurses leaving their duties and going on a strike by putting the lives of patients at stake was unethical and that they should return to work while at the same time negotiate with the respective authorities regarding their demands (Loughrey, 2019). The State and the Federal government wanted the dispute to be sorted through arbitration as this was considered to be the most proper and accepted ways of resolving industrial disputes. Since the nurses were in no mood to compromise, therefore, the government decided to bring nurses from both England and Ireland who would be replacing the striking nurses (Loughrey, 2019).

On the other hand, the employer’s association like the Industrial Relations Commission refused to arbitrate with the nurses regarding the nurses while they were on strike and at the same time, the Health Minister, David White, too refused to make any negotiations with the nurses outside the commission (Kemei & Etowa 2021). Both the health minister and the IRC wanted the nurses to call off the strike and come back to work and only then would they consider the aspect of negotiation and arbitration as they did not want to hear the demands of the nurses while on strike since they were not in the mood to make any sort of compromises (Kemei & Etowa 2021).

Resolution of Dispute

After a 50-day strike by the nurses and after much disagreement, struggle as well as violence, the dispute was finally resolved, when on 19^th December nurses gathered in their thousands at the Sports and Entertainment Center to accept the $30million package that was being offered to them from the government where they were being provided with rise in wages and at the same time, the qualification allowances were also being returned to them along with a new career structure (Smith, 2018). However, it was also stated that the nurses would go on a strike again if the government failed to honor its promises. Therefore, the nurses finally voted to return to work on 20^th December 1986 after their demands had been fulfilled in a successful manner (Smith, 2018).

Dispute Implication

It should be noted that the dispute was resolved in an effective and efficient manner where the demands of the nurses was considered after a 50-day strike where the grievances of the nurses was finally heard and understood, that led to an increase in their wages and at the same time, also helped in restoring their allowance fees. At the same time, this also had implications on the employment relations in Australia (McIlroy, 2018). The strike became an example of the necessity of trade unions and how the latter helps in achieving justice for the workers and the strike showed that workers could successfully make themselves heard without any political support and use their power to unite people so that industrial actions could be taken (McIlroy, 2018). It also cast aside the perceptions of people regarding nurses and midwives as handmaidens. The strike, made other organizations in Australia, realize the importance of maintaining effective and positive relationship with their employees and promote ethical practices within the organization (Wilson et al., 2020).

Conclusion

Thus, to conclude it should be noted that maintaining an effective, employee relations is quite essential for every organization as it helps in avoiding disputes and strikes. The employer’s association and the respective authorities failed to consider the grievances and demands of the nurses and went on to take unethical decisions which led to widespread disagreement among the nurses and they eventually called a strike and were also successful in making their demands heard.

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