Reduction of management flexibility
Recently, unions have increased their focus into the management of the organizations where human resources prerogatives are subjected to higher scrutiny that requires them to ensure higher accountability. Previously, human resources managers drew the rules and regulations for different positions independently. Altman (2001) points out that for the bureaucratic managers, it was used as rich ground of punishing their allies and rewarding their friends.
Through strong demands for increased operations delineation in terms of the necessary requirements in different posts, there is reduced ability of the managers to manipulate various circumstances to their advantage. Besides, modes of recruitments are subjected to increased scrutiny that posses threat to company’s reputes locally and internationally if it fails to ensure accountability (Foot, 2008). To add to that, in areas of compensation unions restrict implementation of HR policies that are directed at impose strong culture of employee motivation and commitments.
These policies have been categorized as being harmful to the staff and the company on a long term basis. Besides, unions have been reported to increase their call for formalized recruitment in the employment sector. Foot (2008), argues that following the increase in external impacts from the unions which have membership of over 70% of the
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As a result, there has been an increase in the overall pay by the employers in organizations owing to staff higher qualification status. Indirectly, it is clear that management of different organizations has been largely transformed to avoid the wrath of the union action that could spell doom to them. With over 85% of the people in US being workers covered by the unions, extended impacts to the organizations by unions are bound to attract large solidarity and impose huge losses.
Therefore, companies like Imperial Oil, Dofasco and Delta air lines opts to avoid such threats and offer high quality services and working environment for their employees (Truss, 2005). Their remuneration has been categorized as one of the best and autonomy highly regarded to ensure maximum returns. However, some researchers have categorized these actions as counter measures to reduce the importance of the workers unions in the society (Gary, 2009).