In organizations today, is the balance of power in the employment relationship equal or does the employer or employee have most power? Using an organization of your choice explore this question.
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1. Introduction
With an employment of almost 2.2 million staff, based in the US Wal-Mart is the largest private retailer in the world. It has expanded its operations across fourteen other countries, representing about one-fifth of its overall sales in 2005 (Wal-Mart Annual Report, 2005). Though Wal-Mart's ethical statement claims that it strives for greater good for all their stakeholders, covering suppliers, employees, shareholders and environments, all is not gone as the statement, especially in the case of employee relations at Wal-Mart. If enter 'Wal-Mart's employee relations' in Google search, countless lawsuits and issues regarding to its workforce will be brought up. It is evident that Wal-Mart suffers from infamous employment relations and workplace unfairness. Compare to the minor favor of employees’ right, which includes the wages, working hours, union activities and the health care, Wal-Mart seems has valued much more shareholders’ interests throughout its business operations.
Harzing and Ruysseveldt (1995) defines employment relationship as a regulatory system involving the participation of both employees and employers, whose representative organizations are trade unions and employer associations, and often a considerable measure of intervention from the local state. ER pluralists argue that different parties, typically the employers and the workers, keep competing for power and influence over rules, institutions and policies, all of which