A grievance procedure is a step by step process that a worker must go through to get a complaint addressed satisfactorily. A formal written complaint moves in one level up to the higher level to obtain resolved. A grievance procedure is usually included in collective bargaining agreements, it is also an easy method of resolution dispute that used by company to deal with grievances by employees, customers, suppliers and competitors. The process provides hierarchical structure for settling and presenting workplace disputes.
The best known application of this process is really a formal process that outlined in labor contracts. The process does not necessarily to become elaborate and formal, overly formal grievance is discouraged by airing of disputes on the timely manner. In small company grievance procedure may consists few lines in employee manual or designation of single ombudsman to handle the problem because they develop. The peer overview of the worker that is concerned is popular method to put a previous address of grievances, while some larger companies create entire department dedicated in fielding complaints from customers or employees.
Whatever form might take grievance procedure is supposed to permit the companies to solve and hear complaints in a cost-effective and timely manner, before it will lead to litigation. Knowing the formal procedures that are offered often encourages the workers to voice out their concerns regarding company policies before any major problems develop. Because of that, managers will not ignore problems since they're conscious that upper management will become involved with the grievance process. Union settings protect the employees against any arbitrary decisions of the management regarding the discipline, benefits, promotions and discharge. They're also providing labor unions and formal process for the provisions of contracts.
Having grievance procedures is essential to both non-unionized and unionized settings; the businesses must support the written policies of their own with consistent actions to maintain a great employee relations. To make it work all parties must treat it with attitude that serves their own mutual interest. Effective grievance ideally help the management to find out and proper all problems before it advances to serious trouble.
For that procedure being effective both parties should look at it as positive force that can facilitate a wide open discussion of all issues. You will find cases that settling of grievances is a kind of competition that reinforces a "them versus us" mentality between management and labor. In some cases, the employees are quiet reluctant to apply grievances process due to fear of a recrimination. There are studies that implies that employees who rise grievances probably to have lower evaluation of performance, work attendance and promotion rate. A grievance procedure and employment law must be followed by the organization or union to solve any problems that may arise. Company's grievance procedures are including steps that prevent a backlash from employees who prefer to use it.
If situation can't be resolved, final part of grievance process is both for parties to provide at their side to pre-designated arbitrator. The function would be to find out the rights of each party under labor agreement; your decision of the arbitrator is final in most cases can't be changed.