ABSTRACT
The purpose
of the study was to investigate trade unionism and organizational effectiveness
(a study of Nestle Nigeria plc), Lagos. The study adopted the descriptive
survey research design with the following objectives; to assess the priority
accorded welfare of employees in public organisations; to determine how
employees are carried along in policy review and implementation with respect to
communication; to evaluate the extent to which quality of negotiation
influences employees performance and to appraise the extent to which
management-employees relations influences productivity in the organisation. The
study comprised one hundred and twenty (120) respondents randomly selected
across the sample. A self- constructed questionnaire was used for data
collection for the study. The questionnaire consisted of twenty (20) items on a
4 point. Likert scale tagged Trade unionism and organizational effectiveness
(TUAOE).The statistical method used for the analysis of data was simple
percentage and chi-square. The hypotheses were tested at 0.05 level of
significance. The findings of the study revealed that there is relationship
between trade union and provision of welfare measures among workers in an
organization, that trade union enhances participation of workers in the
management affair of the organization, that trade union ensures the reduction
of disputes and sue for dialogue and that management-employees relation promote
the organizational productivity. The study therefore concluded and recommended
that the welfare of employees should be considered, top-down communication in
the organization should be smoothened, quality of negotiation and employees
performance should be encouraged and that employee should be made to partake in
critical decision so as to have a sense of belonging.
TABLE OF CONTENTS
Content
Page
Title
page i
Certification ii
Dedication iii
Acknowledgement iv
Abstract
v
Table
of contents vi
CHAPTER ONE: INTRODUCTION
1.1
Background to the Study 1
1.2
Statement of the Problem 3
1.3 Purpose of the Study 4
1.3 Research Questions 5
1.4 Research Hypotheses 5
1.5 Significance of the Study 6
1.6 Scope of the Study 6
1.7 Operational Definition of Terms 7
References 9
CHAPTER TWO: LITERATURE REVIEW
2.1
Preamble 10
2.1
Theoretical Framework 10
2.3
Review of Empirical Literatures
11
References 21
CHAPTER THREE: RESEARCH DESIGN AND
METHODOLOGY
3.1
Preamble 22
3.2 Research
Design 22
3.3
Population of the Study 23
3.3
Sampling, Procedure and Sample Size 23
3.4 Research
Instrument 23
3.5 Validity
of instruments 23
3.6
Reliability of Instruments 23
3.7
Method of Data Collection 24
3.8
Method of Data Analysis 24
References 25
CHAPTER FOUR: DATA ANALYSIS AND DISCUSSION
OF RESULTS
4.1
Preamble 26
4.2
Analysis of Respondents’ Bio-Data 26
4.3
Analysis According To Research Questions 28
4.4 Testing
of Hypotheses 33
4.5
Discussion of Findings 36
CHAPTER FIVE: SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS
5.1 Summary of Findings 39
5.2
Conclusions 39
5.3
Recommendations 40
5.4 Suggestion for
Further Studies 41
Bibliography 42
Appendences
44
CHAPTER ONE
INTRODUCTION
1.1 Background to the Study
Nigerian workers like their counterparts in other developing
countries have witnessed fundamental changes in their condition over time. To a
large extent, trade unions have played significant role in this transformation.
In most developing countries, government is the largest employer of labour with
private individuals employing a minimal proportion of the working class
(Fajana, 2000).
In Nigeria, trade unions have become important agent of
socio-economic transformation and class struggle (Aremu, 1996; Akinyanju 1997).
Eminent roles of trade unionism came to the fore in the period of the colonial
struggle and continued till the post independence era. In the latter period,
trade unions play an important role in the struggle against dictatorial
military rule and the restoration of civil rule in the country. More
importantly, during the civilian era, trade unions were in the forefront in the
struggle against unpopular government policies such as deregulation of the oil
sector, retrenchment of workers and refusal to honour agreement on wage
increase.
Most unions claim a right of exclusivity. The union has the
authority to determine who may be a member of the union and who may not. Most
unions assert a right to mandate that only its members, and no others, may be
permitted to work at certain jobs. Furthermore, the union contract is exclusive
with regard to the employer, an employer is generally not permitted to seek out
the services of another labor union or hire another competing labor union even
if he is dissatisfied with the performance of the current labor union (Fajana,
2000).
These organizations may comprise individual workers,
professionals, past workers, or the unemployed. The most common, but by no
means only, purpose of these organizations is maintaining or improving the
conditions of their employment (Fajana, 2000).
According to Baird (2005), in the last five decades globally,
trade unions have evolved into a number of forms, influenced by differing
political and economic regimes. The immediate objectives and activities of
trade unions vary, but may include:
Provision of benefits to members: Early trade unions, like
Friendly Societies, often provided a range of benefits to insure members
against unemployment, ill health, old age and funeral expenses. In many
developed countries, these functions have been assumed by the state; however,
the provision of professional training, legal advice and representation for
members is still an important benefit of trade union membership.
Collective bargaining: Where trade unions are able to operate
openly and are recognized by employers, they may negotiate with employers over
wages and working conditions.
Industrial action: Trade unions may organize strikes or resistance
to lockouts in furtherance of particular goals.
Political activity: Trade unions may promote legislation favorable
to the interests of their members or workers as a whole. To this end they may
pursue campaigns, undertake lobbying, or financially support individual
candidates or parties for public office.
In business organisations, trade unions play a significant role in
directly shaping organisational effeciveness in today’s organisation. The
exposure of Nigerian firms and industries to greater market pressures, a
growing trend in outsourcing and the growth in a typical employment, employer
sponsored forms of participation and representation, and the imposition of
legal constraints on the ability of unions to recruit, organise, collectively
bargain and take industrial action, has all contributed to the roles of trade
unionism (Yusuf, 2008).
Despite the adoption of various internal strategies and the
introduction of laws encouraging employers to recognise unions, the downward
trend in membership by private organisations has nevertheless continued in
recent years, albeit at a slower pace. According to Fajana (2000), how unions
respond to the challenges and opportunities presented by the changing nature of
work and employment relations will be decisive in determining their level of
influence in organisational effectiveness within the workplace in the coming years.
1.2 Statement of the Problem
In Nigeria, welfare of employees is not a priority to most
organizations, besides, most employees in the public sector often put up
lowered morale due to the uncompetitive welfare package given to them by their
employees. This has often sparked misunderstanding between employees and their
employers.
In most public sectors, employees are not properly carried along
in policy review and implementation. This break in communication is inimical to
overall effectiveness in the organization as incessant disagreement with the
management often lead to wastage of useful time and drags productivity.
Unions in public organizations often negotiate poorly with their
employers instead of having concrete and implementable decision, their negotiations
are often undefined and generic and as such unable to address efficiency across
boards.
Management-employees relations are a constraint that often
triggers breakdown of law and eventual down-tool by employees. This leads to
loss of huge resources as useful time is expended on placating the two parties
namely, employers and employees. Hence, the need for Trade Unionism and
organizational Effectiveness
1.3 Purpose of the
Study
The purpose of the study was to:
ü assess how Trade Union
helps in providing welfare measures for their members in an organization
ü determine how trade union
demands for workers participation in management.
ü evaluate the extent to
which trade union contributes in reducing industrial disputes in an
organization
ü appraise the extent to
which management-employees relations influences productivity in the
organisation.
1.4 Research Questions
The following research questions were asked in the course of this
study:
ü How does trade
Union help in providing welfare measures for their members in an organization?
ü Does trade union demand for workers participation in management?
ü To what extent does trade union contributes in reducing industrial
disputes in an organization?
ü Do management-employees relations
influence productivity in the organisation?
1.5 Research Hypotheses
The following hypotheses were formulated and tested in this study
HO1: There is no significant relationship between trade
union and provision of welfare measures for their workers in an Organization.
HO2: There is no
significant relationship between trade union and demand for workers
participation in management
HO3: There is no significant relationship between trade
union and reduction in industrial disputes.
HO4: There is no
significant relationship between Management-employees relations and
productivity in the organization.
1.6 Significance of the
Study
Effectiveness
of trade unionism has generated a lot of argument over time. The impact of
these on effectiveness of organisations has become heated arguments amongst the
educated and the illiterates; the rich and the not so rich; and the elites and
nobles in the country.
There is a dearth of work on the subject matter of this study so
the study is aimed at filling the gap.
Policy makers would find the academic piece a very good guiding document
when policies pertaining to the management of employee-employer’s relationship
are to be formulated.
For citizens, the
research work would make a good enlightening piece for people who intend to
know about the subject matter of the research work.
Researchers who are interested in this area would find the book a
good reference and starting point for their research.
1.7 Scope of the Study
The study made a research on trade unionism and organisational
effectiveness. The study was informed by the quest to numerically evaluate the
extent to which trade unionism affects effectiveness in an organisation. The
study was limited to Nestle Nigeria Plc.
Lagos.
1.8 Operational Definition of Terms
Compensation Management: According to Ivancevich et al (1994), this can be said to be the totality of
financial and non-financial rewards
that employee receives in return for his labour or services.
Conflict Resolution: This is
organized way of resolving employer-employee differences usually
caused by disagreement on pay package or staff welfares as a whole.
Wage: This is the reward for labour that is paid on a daily or weekly
basis.
Organisation goals: These are
goals set by organization to increase its performance indices. This could be
long or short term.
Organisation: According to Katz and
Kahn (1966), it is defined as an integrated social system with these three
cardinal features:
Reward System: This is an
existing employees’ reward structure or system in place in an organization. It
is usually guided by organizational policy.
Salary: This is the reward for labour
that is paid on a monthly basis.
The following terms are defined as used in the study
The ideological justification or values that supports the norms
and rules provide for individual commitment to the organization.
The members are functionally interdependent;
The norms of behaviour of members are governed by acceptable behaviour
defined by the authority structure and enforced by reward and sanctions; and
Trade Union: A trade union or labor union is an organization of workers. The
trade union, through its leadership, bargains with the employer on behalf of
union members (rank and file members) and negotiates labour contracts with
employers. This may include the negotiation of wages, work rules, complaint
procedures, rules governing hiring, firing and promotion of workers, benefits,
workplace safety and policies. The agreements negotiated by the union leaders
are binding on the rank and file members and the employer and in some cases on
other non-member workers.
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