Workplace 'partnership' arrangements are currently an issue of considerable debate in Ireland, with the National Centre for Partnership and Performance (NCPP) promoting their wider diffusion. A notable example is the partnership process at Allied Irish Banks (AIB), involving the Irish Bank Officials Association (IBOA), which was examined in detail at a seminar in March 2003. The AIB partnership is set to move up to a new level, with a major agreement expected to be signed soon.
In March 2003, a seminar on enterprise 'partnership' (IE0001204F) was organised in Dublin by the National Centre for Partnership and Performance (NCPP), a body whose main task is to promote the wider diffusion of organisational change based on partnership and problem-solving ( IE0104166F and IE0204203N). At the event, Larry Broderick, the general secretary of the Irish Bank Officials Association (IBOA), delivered a joint presentation on workplace partnership at Allied Irish Banks (AIB), along with Jerome Forde, AIB's employee relations manager. They described the evolution of partnership at AIB, and some of the challenges for the future, among which the need to involve more people at the workplace was raised as a key issue.
History
The AIB/IBOA partnership process dates back to 1994. Rather than starting with a formal partnership agreement, the two parties decided in the mid-1990s to begin to collaborate in what ways they could, developing the practice of partnership in a low-key manner (IE9903273N). The partnership initiative was not formally launched until February 2000, almost eight years after a bitter nationwide bank strike over a dispute between the four main banks and the IBOA in 1992. At the time of the strike, relationships between management and staff in all the banks - not least within AIB – were deeply adversarial. Indeed, 1992 was a watershed at AIB in industrial relations terms.
When launching the process, AIB management and IBOA representatives agreed that there was a 'strong business case' for partnership as a means of adding value to the organisation. They were aware of the need to work together to achieve the organisation’s goals, while taking into account staff needs and their 'reasonable expectation' to share in the gains of the organisation. According to Mr Broderick of IBOA, it is about 'managing each side’s expectations' and understanding each side’s mindset. At the core of the process is the view, held by both parties, that there must be no surprises, in so far as this is possible. This entails strong 'top-down' backing for the process; otherwise it would soon lose credibility. In the case of both AIB and IBOA, this involves a change in traditional postures, which allows them to focus on key issues of 'mutual gain'. It also means that AIB is committed to trade union involvement and representation and that the union is seen as crucial in the leadership role it can demonstrate to its members.
Both parties also cited chapter 9 of Partnership 2000, Ireland's 1997-2000 national agreement (IE9702103F), as helping them to develop the principles of partnership as a means to improving industrial relations. The use of joint working parties was seen as a significant move in terms of developing a mutual gains approach.
Significantly, partnership is described by AIB and IBOA as having evolved out of success rather than crisis. That partnership has developed in a non-crisis environment is seen as important, as it has been allowed sufficient space to 'breathe' and evolve.
Since the birth of the partnership initiative: AIB's bank opening hours have been extended; equal opportunities and anti-harassment policies have been agreed; IBOA has gained access to the bank’s induction school; profit-sharing/'salary foregone' arrangements have been put in place; a new performance review system has been agreed and introduced; and a new staff business scheme has been launched.
Both parties recognise that partnership does not mean that conflict somehow disappears. According to Mr Broderick, 'it is about putting appropriate structures around conflict to promote consensus,'
Moving forward
Both Mr Forde, the AIB employee relations manager, and Larry Broderick of IBOA recognise the need to move the partnership initiative forward. In particular, there is an awareness that more people need to be involved, and that partnership must develop from the 'ground up', rather than just from the 'top down'– crucial though the latter is. Both sides recognise that there are risks involved in this, and are keen to dispel the idea that partnership is easy. In recognition of this need to move forward, AIB and the IBOA recently announced the appointment of Peter Cassells as the independent chair of the AIB/IBOA 'partnership steering committee'. Mr Cassells is currently the executive chair of NCPP and will be able to draw upon his extensive expertise in this area. The appointment of Mr Cassells to the AIB/IBOA partnership steering committee will also give a boost to NCPP, a body that needs to be able to point to successful examples of partnership in practice.
Since the conference took place, the independent weekly industrial relations journal, Industrial Relations News (IRN), has learned that the parties at AIB are – after eight months of detailed negotiations – on the verge of concluding a major agreement. An agreed special three-person tribunal that emerged from these talks is set to play a central role in this prospective deal, and will issue findings on a range of change issues. Chaired by an independent consultant, Phil Flynn, the employer’s nominee is Liam Doherty of the Irish Business and Employers Confederation (IBEC), while the IBOA’s nominee is David Hughes of the Irish Nurses Organisation (INO).
Ireland 'leads Europe'
Also speaking at the NCPP seminar, Willie Coupar, director of the UK's Involvement and Participation Association (IPA), remarked that Ireland is 'at the leading edge' in Europe in terms of the development of workplace partnership. Mr Coupar presented an international perspective on the development and benefits of a partnership approach to managing change. He said that Irish organisations were at the forefront of showing that employee involvement translates into improved productivity and competitiveness.
NCPP competency framework
Also at the March seminar, an NCPP 'competency framework for managing change through partnership ' was formally launched by the Minister for Labour Affairs, Frank Fahey.
According to NCPP, the more congruent employee behaviours and interactions are with an organisation’s strategy, purpose and task, the more effective the organisation will be in achieving its performance goals. The 'competency framework' is designed to assist organisations in achieving this, and consists of 10 core skills or competencies identified by NCPP. These 10 core skills are: organisational and business awareness; leadership; communications; overcoming barriers to change; championing change through partnership; building and maintaining relationships; data analysis and innovative thinking; problem solving and decision making; influencing; and achievement orientation.
The director of NCPP, Lucy Fallon-Byrne, described the competency framework as the first of a series of tools for organisations dealing with change issues: 'They are specifically targeted at organisations seeking to align partnership with their core activities and to improve performance using a more inclusive approach to managing change.'
Commentary
The attempt to give further impetus to the AIB/IBOA workplace partnership initiative comes at a time when there continues to be extensive debate in Ireland over the extent to which enterprise-based partnerships are diffused and embedded (IE0208203F). There are some observers, both in Ireland and overseas, who argue that Ireland is actually quite advanced in terms of developing innovative new forms of workplace partnership. Other commentators, however, disagree, and argue that the development of such local-level voluntary partnership initiatives has been somewhat disappointing, with several observers stating that while partnership at national level has thrived, it has failed to percolate downwards to any appreciable extent.
Much depends on the definition of workplace partnership that is adopted, and, in relation to this, the degree to which employers are willing to share power over decision-making with employees and their representatives. If a broad definition of partnership as favoured by employers is adopted, that encompasses all forms of employee participation and 'voice', including individual human resources management practices, and non-union voice channels, then it could reasonably be argued by optimists that partnership – albeit in this narrow sense - is widespread. However, if we take a more ambitious and advanced definition of partnership - for instance, one that encompasses independent trade union/employee participation in higher-level strategic decision-making and planning - then it could also reasonably be argued that partnerships of such an advanced form are still very rare in Ireland.
Currently, workplace partnership in Ireland is voluntary and has no legal underpinnings, and, as such, is heavily dependent on key senior management and/or trade union personalities for its growth and survival. As such, it is vulnerable to crises and periodic changes in senior personnel/key 'drivers'.
It may be the case that the implementation of the 2002 EU Directive 2002/14/EC on national employee information and consultation rules (EU0204207F) can provide the major institutional architecture and legal underpinnings that would be required to diffuse enterprise partnership more widely, and bring elements of joint problem solving more into the mainstream (IE0106168F). Nevertheless, the Directive only offers potential, and much depends on how the various interest groups make use of its provisions. NCPP will surely play a key role in this regard. (Tony Dobbins, IRN)