April 2014

HRM 223Employment and Labour Relations

Section A
Attempt both questions

Employee relations at Pepsi Uganda limited

Pepsi Uganda limited is a beverage company dealing in soft drinks established in 2012 in
Kampala. The company employs over 1000 workers in areas of management administration
support staff, and technical production department.

The company is actually among the highly respected employment centers in the country of late
considering the fact that the company has tried to reduce unemployment and improve livelihoods
of people of Uganda. This has not only earned Pepsi great reputation but also support for their
business career across the globe.

However, though Pepsi respected, the companys rates of turnover are alarming. The employees
are well paid and in time but the managers and the board are very dictatorial and unapproachable
in management matters. They believe that if they have been able to grow to all this far, then they
are geniuses who do not want any advice from any employee. They at one time argued that no
employee wishes them good instead all are self seekers with a target of getting their salaries and
leave. They thus believe they are the only ones with a vision of that company and they should be
left to be the sole decision makers in any managerial issues.

This has rendered this company a company without employee relations with fellow employees,
management and the board. The organs of management and administration are defunct and all
most nonoperational. The UBGWU (Uganda Beverages and General Workers Union) was called
in to intervene in the matters but the board ordered them off their company arguing they are mere
employees also with no business acumen. One employee relations expert was overheard stating
that the so called investors are the ones mistreating employees they came to save from
unemployment!
Q.1.

a) What is meant by the term union? (1 mark)

b) Discuss the importance of a union in the beverage company above company. (7 marks)
c) In your own view why do you think the board was right to reject a union in this beverage
company? Defend your answer. (8 marks)

d) Apart from timely pay what other issues did the board and management of the beverage
company ignore that needed the attention of a union to avoid labour turnover? (9 marks)

Total 25 marks

Q.2.

a) Define the term labour turnover (1 mark)

b) Explain the relationship between anticipated productivity by board and management of the
Beverage Company and unionism of workers at this company. (6 marks)
c) Assess the recruitment challenges that Pepsi Uganda limited faces after the departure of a
staff. (9 marks)
d) As an employment and labour relations expert, advise the board and management of Pepsi
Uganda limited on other activities that unions indulge in for organizational and personal
development. (9 marks)

Total 25 marks
 Section B
Answer two questions only
Q.3.

a) What is meant by the term diversity? (1 mark)

b) Explain at least five forms or types of diversity. (6 marks)
c) Examine the challenges faced at workplaces with diverse cultures. (9 marks)
d) Analyse methods of managing diversity at workplaces. (9 marks)

Total 25 marks

Q.4.

a) Define the term work ethics. (1 mark)

b) Discuss the relationship between work ethics and good employment relationship. (6 marks)
c) Assess the contribution of work ethics to the development of the third world economies.
(9 marks)
d) Analyse the methods employees can use to improve on their work ethics in the third world.
(9 marks)

Total 25 marks

Q.5.

a) What is meant by the term conflict? (1 mark)

b) Explain the four types of conflicts in an employment relationship. (4 marks)
c) Discuss the origins of conflicts in an employment relationship. (8 marks)
d) Examine the main approaches of conflict management in an employment relationship.
(12 marks)

Total 25 marks

Q.6.

a) Define the term collective bargaining. (1 mark)

b) Explain the main characteristics of collective bargaining in an employment relationship.
(7 marks)
c) Discuss the importance of collective bargaining to the company and employees. (8 marks)
d) Analyse the stages of collective bargaining and show challenges. (9 marks)

Total 25 marks