Aims and Objectives Our alma Is to reach mutually agreed outcomes by recognizing where the employees and the business are now, where we want to be in the future and how we can get there. We began the negotiation process with very optimistic outcomes in mind, whilst considering our fall back options which would exceed current employer/ competitor offerings and protect the long term interests of the employees. We as the employee/ union group believed that the outcomes achieved were very favorable for the employees. Bargaining Strategy We recognized that there was a retention issue within the organization, which could effect Its long-term financial success and brand reputation. With this In mind we reviewed and compared the current offerings of a prospective competitor e. G. Kea, Buntings, Freedom with the retail industry award and used this as a basis to commence our negotiations. The log of claims was also supported by data from industry reports, productivity commission reports, and personal experience. 3 Outcomes 3. Strategy Our objective was to understand the current situation of the organization, look at where the employer and employee wanted to be and how we could work together to each this outcome. We compared their current offering against large global furniture retailers such as Kea and later considered that this may not have been reasonable as the company was a local company who were losing profits and having difficulty retaining staff. We also recognized that the unemployment rate within the retail sector was high and it was predicted that this could increase due to the popularity of online shopping.
With this In mind we did not want our employees to be out of work but we wanted to achieve guaranteed financial and non-financial rewards outcomes in mind, the fall back options would still provide employees with substantial cash and non-cash rewards. Our aim was to motivate, retain our staff, reward and recognize their commitment to the organization. We felt that the fall back options could meet and exceed employee expectations, as they would look at the offerings of fellow competitors and see that Furniture Co. As providing them with a higher offering than the award and industry average. 3. 2 Salary Increase We had originally set out to achieve a 4-6% salary increase for all staff which was an optimistic request based on current ICP data and cost of living, however we were willing to negotiate the salary if employees were provided with other cash and non- cash incentives. We achieved a guaranteed salary increase of 3. 5% + an additional performance incentive of 1% if key performance indicators were met We believe this was a successful outcome as the employer was originally offering 1. % salary increase + 1. 5% increase if key performance indicators were met. We were successful in requesting that the employer separate salary increase discussions from Kepi’s as his was not a guaranteed earning and would leave employees feeling uncertain of their future which could have exacerbated the existing retention problem within the organization. 3. 3 Retention Bonus We had requested additional annual leave dependent on years of service as a retention, reward and recognition strategy.
Our strategy was to agree to the annual leave block out period in exchange for additional leave to be provided to employees depending on their years of service. As the employees, we understood that the annual leave block out period was something that most employers would request u to the nature of the sales activity during this period. However we also felt that employees should be rewarded for their commitment to the organization during the time, as they would be away from family and friends during the holiday period. 3. Flexibility As the restored hours of work for retail staff was not outlined in the negotiation booklet, we considered introducing a roster cycle which included staggered start and finish times which employees would cycle through. This would allow employees to improve their work-life balance by better managing their commitments outside of work. It would also allow for a more diverse range of applicants to be considered for retail positions within the organization e. G. Students, parents returning to the workforce, employees on visas with restricted working hours.
This was a benefit for the employer as it would reduce unexpected absenteeism, there was no cost associated for the employer to introduce this and it would retain staff who may have needed to leave the workforce or return to the workforce due a change in their circumstances. The employer agreed in principle to this request and would review the process in partnership with the union. If the employee or the employer have a change in availability or roster cycle they will need to consult one another at least 2 weeks prior to the roster commencing. Overview Inter-team Negotiation We met with the employer group on two occasions to propose our log of claims and listen to their log of claims. Employer and employee had originally wanted to discuss training and development, however upon reflection of the transient nature of employment within the retail sector and a number of other factors, we the employee removed this as did the employer group. Our final log of claims was agreed to and tooth parties presented this to one another via email and face-to-face discussion. We listened to their log of claims and developed our fall back options and what we were willing to trade.
We commenced bargaining proceedings with our optimistic options at the forefront of our negotiation exercise in order to achieve the fall back options. 5 Overview of Intra-team Negotiation Experience We chose two – three members of each team to be lead speakers on each log of claim. However all group members understood the background research and optimistic and fall back options for each log of claim as the research used and employee personal experiences to support the logs of claim crossed over in particular topic areas. For example