Organizing Labour And Employment Relationship

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Reading: Chapter 2

LEARNING OBJECTIVES
TO BECOME FAMILIAR WITH EACH OF THE
FOLLOWING:
 Labour issues: Shift from SE to non-standard

employment (NSE)

 Different perspectives on how to organize labour

and employment relationships

 Managing Workplace Diversity

Employment
Employment is a form of work in which a person (an

‘employee’) is dependent upon, and mostly subservient to, an ‘employer’.
The employment relationship is governed by an

employment contract, which may set out specific rules, obligations, and rights applicable to the employer and employee, and is usually enforceable in a court of law, like other contracts.

Standard Employment Relationship (SER)
1930s to the 1980s was the golden age for the employment

relationship in Canada.

Employees who lose their jobs receive Employment Insurance.
Employees who are injured received Workers Compensation.
People had long term contracts that provided them with benefits,

pay increases and they were secured for the most part

Distinguishing “Work” from “Employment”
Many people who “work” are not “employed”. How can

that be?

-ie., independent contractors, self-employed, temporary

workers

Eg. Payroll clerk, graphic, artist, interpreter, translator, kitchen

staff…….?

Non-Standard Employment Relationship (NSE)
NSE Become the dominant form since the 1980s
Part-time, temporary, lower pay, fewer benefits, shorter job

tenure, no access to collective bargaining.

Recently accounts for about 35% of the workforce, mainly young

university graduates.

http://www.youtube.com/watch?v=2pcLNTNfD3c

Temporary workers or precarious workers are

growing across the world!

Full-time employees are being replaced with

Temporary workers/independent contractors.
So what?
http://www.youtube.com/watch?v=ZgKKHKziFRo

What distinguishes an “employee” from an
“independent contractor”?

Degree of Control – IC’s can set their own schedules, change their

charges from project to project, have latitude on how to perform work; Degree of Economic Risk – IC’s take on risk of whether they get work

or not versus employee who earns a consistent salary

Degree to which the worker performs an essential service for an

organization - core functions of the business tend NOT to be made up of IC’s (versus clerical staff, sometimes HR staff, legal..)

Degree to which the organization provides the necessary tools

- IC’s generally bring their own tools/equipment to project

(eg. Plumbers, electricians, window cleaners, many groups/crews in film production…)

Nature of independent contractor relationship
Independent Contractor
Pros: “independence” - ie, freedom from employer

constraints – can move from job to job, can create more flexible hours… ?

Cons: lack of employment security and regular wage;

contractor assumes success of project, and risk of financial loss if it fails. Often lower income, more vulnerability 10

Nature of independent contractor relationship
For the business
Pros: temporary arrangement so much flexibility;
‘contracting out’ of services as strategy to reduce business’s overheads/fixed costs; Saves office space/full-time wage/termination costs etc.; don’t need to pay minimum wage; don’t need to pay benefits….
Cons: ?
11

OPENING DOOR TO EXPLOITATION?

12

Court’s adjudication criteria
In case of dispute whether relationship is employee or

independent contractor, court will ‘unveil’:

1. degree of control over hours worked and manner of

performance
2. who assumes economic risk
3. essentiality of work to core business activity
4. provision of ‘capital’: tools/equipment –who provides?

13

CURRENT ISSUES IN EMPLOYMENT
What’s worse than a temp worker? An unpaid intern?
 Internships = employment?
 http://www.youtube.com/watch?v=XO9ExWTH2aY
 http://www.youtube.com/watch?v=jwm07y6W3zk
 See pp.105 and 102-103

14

4 perspectives of the nature of the
Employer-Employee relationship

Neo-classical
Managerial
Industrial Pluralist
Critical
Show More

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