HR assignment help report analysis on: Industrial relations of Quantas Airlines
- Executive summary
This report majorly takes into consideration the issues in Industrial Relations as well as challenges at Qantas Airlines. This report also highlights the various roles of management & the unions.
Qantas is one of the Australia’s largest international & domestic airlines. It has been ranked one of the top three global airlines during the year 2008. The major objective of Qantas is to accommodate aviation services to the high & elite target population. The airline operates in 146 destinations covering 38 countries and is an internationally recognized brand (Qantas Handbook, 2009).
The organizational structure for Qantas Airlines is a hierarchy based structure. The organizational structure at Qantas could also be seen as a reflecting glass through which the individuals or the stakeholders outside would be able to see what is happening inside the organization. The organization can be structured in a well defined manner as well as structured in various ways depending upon the goals & objectives framed by the top level management of the company.
- About the company:
Qantas is one of the Australia’s largest international & domestic airlines. It has been ranked one of the top three global airlines during the year 2008. The major objective of Qantas is to accommodate aviation services to the high & elite target population. The airline operates in 146 destinations covering 38 countries and is an internationally recognized brand (Qantas Handbook, 2009).
Qantas also possess Jetstar which is considered to be as a ‘no frills’ airline which provides the target audience with cheap routes. Qantas uses various strategies to market its service offerings, which ensures the airline to gain a competitive advantage over other airlines.
2.1 Mission:
The mission of Queensland and Northern Territory Aerial Services (QANTAS) – “QANTAS Airlines is a global airlines committed towards providing air transportation services of the premium quality and to maximize the returns for the benefit of its shareholders and staff.”
2.2 Objectives:
The objective QANTAS follows is to run and develop a well known brand, close relationship with its employees as well as customers to build a prosperous future and spread its services all over the globe. QANTAS objective is to provide a safe & a hassle free journey to all its travelers. QANTAS is supported by dedicated staff and devoted customers. This gives them the motivation to serve their customers in the best possible manner.
CEO cited (Qantas Handbook, 2009) – We aim to meet your expectations every time you fly and so we continue to invest in our business and will always strive to provide you with an exceptional level of service.
2.3 Strategies:
The future possesses many challenges for Qantas as more & more number of airlines is operating in the similar destinations. In order to compete & build a strong brand image in the minds of the travelers QANTAS adopts various strategies. It has also formulated certain strategies to meet its long term objective of serving the people at its best of the ability.
- Core Business Industry Sector:
3.1 Product:
The QANTAS Airlines offers wide range of products & services along with three different aircrafts namely, A380, Jetstar & QANTAS which suits the requirements of an individual depending upon their budget. The A380 is the biggest & has highly advanced technology. It consists of four different classes. Jetstar is an aircraft launched for travelers who are low on budget (Qantas Handbook, 2009).
3.2 Production & Distribution:
The QANATS Airlines covers 142 destinations in 32 countries. It a covers almost all the major cities of Australia & other parts of the globe.
Finance:
The QANTAS contributes 66% of shares in the domestic market. This figure is tends to decrease as new aircrafts have come up in the aviation industry (Qantas Handbook, 2009). The sales figures of QANTAS have also declined from 68%- 51%, thereby, leading QANTAS to rethink upon their marketing strategies.
3.3 Personnel or Number of Staff:
Currently, QANATS Airlines is operating with 33,000 (approx.) staff members flying in 187 aircrafts all over the globe covering 142 destinations in 32 countries. The crew members of the QANTAS Airlines serve its customers with the best of the quality & ensure a safe journey (Qantas Handbook, 2009).
- Organizational Structure:
(Source: The Official Board, 2011)
Organizational structure refers to the various types of activities which have been allotted to the people working in the organization. The task allotted to each & every individual would be according to the roles & responsibilities given to them. These tasks have been allotted in order to accomplish the goals of the organization in long run.
The organizational structure at Qantas could also be seen as a reflecting glass through which the individuals or the stakeholders outside would be able to see what is happening inside the organization. The organization can be structured in a well defined manner as well as structured in various ways depending upon the goals & objectives framed by the top level management of the company (Budd, 2004). The organizational structure for Qantas above refers to hierarchal structure. This shows how the various roles as well as the responsibilities would be operated in the organization.
Internal & External influences that impact QANTAS:
Some of the internal & external influences which would impact the organization i.e. QANTAS could be as under. They are as follows:
Internal Influence Factors
Þ Up gradation in the technology
Þ Use of various electronic means of communication
Þ Adoption of the various business culture in the organization
Þ Use of new systems as well as procedures
External Influence Factors
Þ Globalization
Þ Economic Factors
Þ Political Factors
Þ Legal Factors
Þ Technological Factors
Þ Social Factors
Þ Geographical Factors
Þ Economic Cycle of QANTAS or PLC of the organization
Þ Changes in the current nature of the market
- IR issues & challenges:
Industrial Relations refer to a filed which studies the various aspects of the employment relations. Industrial relations have been known as employment relations as it deals with the relationship building of the same. Industrial relations also take into consideration the various situations & not only a unified work force (Baker & Hart, 2008).
There may be many issues which might arise in an organization. Same was the case with Qantas Airlines. Many issues aroused in the organization which led to hassles in the proper functioning of the organization.
Some of the major concerns in the organization would be in regards to the way with which the company treats its employees as well as its workers. The mere domestic issues of the organization have become global issues for the organization. These issues have also created issues all over the nation (Budd, 2004). These issues might also influence other multinationals as well.
Various issues as well as challenges have been noticed at Qantas Airlines. The HR of the organization was quite busy resolving the various issues at the organization. Many industrial hot actions have been faced by Qantas from the different unions available in the company (Baker & Hart, 2008).
Recently, approximately 300 workers of the organization which were a part of the National Union of Workers i.e. NUW stopped working for more than 24hours. The major reason for not working was due to the various issues in regards to their wages along with the security of the job.
The workers in the organization were majorly unhappy due to the rise in the casual workers as compared to the permanent workers. There was a major shift from the permanent workers to casual workers (Kotler, 2009). The warehouse for Qantas was majorly handled by the full time workers of the organization keeping in mind the freight, food supplies as well as the replacement of the equipments, parts of the airlines.
The main source for industrial disputes was due to the various unions which are applicable in the organization. The pilots at Qantas had also started announcing their campaigns which would help them in order to protect their jobs as well (Baker & Hart, 2008).
The engineers at Qantas Airlines, also went ahead to strike for a minor dispute which happened in the organization. The other reason for a major dispute with the officials at Qantas Airlines was a rise in the pay of approximately 5% in order to retain the staff members as well as work in more flexible environments (Kotler, 2009). The union at Qantas was too much aggressive in order to increase pay which would help in order to increase the productivity of the people working in the organization.
The other reason for IR issue in the organization would be to enhance as well as provide a protected environment which would help in order give the employees job security as well as high levels of efficiency in the organization (Baker & Hart, 2008).
Some of the challenges or issues which were affected by Qantas Airlines could be classified as under. They are as follows:
Bargaining Rights:
The bargaining rights were one of the main issues with the Qantas Airlines. The union of the airline referred to the recognition of the workers in the organization that would join hands together & change the policy for the organization (Kotler, 2009). According to National Labor Relations Act i.e. NLRA, the bargaining rights could be recognized as well as people would bind together to change the minds of the people.
Lookism:
The reason which poses to be one of the major reasons for IR issues would refer to the discrimination of the sex in the workplace. The males as well as the females in the organization were ill treated in regards to the promotions; hike in the salary as well as due to the increase in their weight both the sexes’ male, female were being ill treated (Kotler, 2009). Lookism refers to one of the major concerns in case of IR in case of the airlines industry i.e. Qantas Airlines.
Multinational Corporations
Another issue in regards to the major challenge in case of IR would be the rise in the multinational corporations (Douglas, 2005). The HR of such type of organizations was becoming popular globally. These have also influenced the governmental policies. The emerging MNC’s have also affected the airline industry as well.
- Employment Relationship in Australia
Australia refers to one of the modern as well as a competitive economy. Australia is known for its flexible workplace which helps in order to link the productivity with the innovation as well as fair remuneration to gain high levels of efficiency from the individuals. The workers along with the employers of the organization would be able to negotiate upon the agreements, thereby responding to the challenges overseas (Douglas, 2005).
In the year 1990, various changes have been taken up in order to introduce the relation laws in Australia. There are various reforms which have been maintained in order to have a strong as well as greater flexibility & the choice of the workers or employers at a given work place. The Australian Government has a right to frame the laws as well as list into the constitution.
In the year 2006, the government of Australia has been establishing wide relations within the workplace based upon the corporation power of the constitution. The corporation gives the permission to the government to make laws for the multi nationals as well as the various financial & trading corporations within Australia (Douglas, 2005).
- Change in IR in Australia
Industrial Relations in Australia take into consideration wide array of the life of the organization. Some of them would be as under:
Þ Working hours
Þ Pay rates
Þ Training & development
Þ Leaves
Þ Holidays
Þ Up gradation of the technology as well as work practices
Þ Working conditions
- Major changes within workplace in Australia
Australia refers to one of the economies, which has build up interrelationship between the various macro level as well as enterprise level changes. In the past two decades, there have been major changes within the workplace at Australia (Ackers, Peter, Wilkinson & Adrian, 2003).
The political parties should be given credentials for achieving various types of up gradation in the macro as well as micro level. With the support of the unions applicable in country, a labor market was formed which helped to undertake various types of social as well as economic reforms (Ackers, Peter, Wilkinson & Adrian, 2003).
In the early 1990’s, the labor market in Australia has become more flexible giving the non union agreements to enter the workplace as well. This was one of the most controversial moves which helped to have a more radical change in the overall labor market (Ackers, Peter, Wilkinson & Adrian, 2003).
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