HRM3705
Assignment 3 Semester 2 2025
Unique #
Due Date: 12 September 2025
Detailed solutions, explanations, workings
and references.
+27 81 278 3372
, QUESTION 1
1.1 Union influence on remuneration system design at Mpofu Cleaning Centre
At Mpofu Cleaning Centre, the role of the General Services Workers Union (GSWU)
is likely to have a strong effect on how the remuneration system is structured. Since
most employees are unionised, the organisation cannot ignore collective concerns
when introducing pay models. Unions emphasise fairness, equity, and transparency,
which means that any system viewed as undermining teamwork or rewarding
individuals unfairly will face resistance. A performance-based system may clash with
union values if it promotes competition over cooperation, especially in a labour-
intensive service industry where teamwork is critical (Coetzee et al, 2020).
The union will also push for collective rewards, such as across-the-board increases,
cost-of-living adjustments, and benefits that support workers’ wellbeing. This
pressure could lead management to blend individual incentives with group-based
rewards, ensuring that productivity goals align with equity and fairness. In addition,
unions may insist on transparent evaluation criteria, grievance procedures, and
consultation rights before remuneration policies are finalised.
In the context of Mpofu Cleaning Centre, where employees perform relatively low-
paid, manual work, unions will be especially sensitive to systems that risk widening
income gaps or discouraging solidarity. The design of the remuneration structure will
therefore need to combine fair base wages, transparent bonus criteria, and non-
monetary benefits such as medical aid or leave provisions. Ultimately, union
involvement forces management to balance efficiency goals with equity and morale,
ensuring that the system gains legitimacy among the workforce while avoiding
industrial conflict (Coetzee et al, 2020).
1.2 Strategic role of unions in shaping remuneration outcomes
The General Services Workers Union (GSWU) plays a strategic role in influencing
pay levels and bargaining outcomes at Mpofu Cleaning Centre. Through collective
bargaining, the union negotiates with management to secure minimum wages,
Varsity Cube 2025 +27 81 278 3372
Assignment 3 Semester 2 2025
Unique #
Due Date: 12 September 2025
Detailed solutions, explanations, workings
and references.
+27 81 278 3372
, QUESTION 1
1.1 Union influence on remuneration system design at Mpofu Cleaning Centre
At Mpofu Cleaning Centre, the role of the General Services Workers Union (GSWU)
is likely to have a strong effect on how the remuneration system is structured. Since
most employees are unionised, the organisation cannot ignore collective concerns
when introducing pay models. Unions emphasise fairness, equity, and transparency,
which means that any system viewed as undermining teamwork or rewarding
individuals unfairly will face resistance. A performance-based system may clash with
union values if it promotes competition over cooperation, especially in a labour-
intensive service industry where teamwork is critical (Coetzee et al, 2020).
The union will also push for collective rewards, such as across-the-board increases,
cost-of-living adjustments, and benefits that support workers’ wellbeing. This
pressure could lead management to blend individual incentives with group-based
rewards, ensuring that productivity goals align with equity and fairness. In addition,
unions may insist on transparent evaluation criteria, grievance procedures, and
consultation rights before remuneration policies are finalised.
In the context of Mpofu Cleaning Centre, where employees perform relatively low-
paid, manual work, unions will be especially sensitive to systems that risk widening
income gaps or discouraging solidarity. The design of the remuneration structure will
therefore need to combine fair base wages, transparent bonus criteria, and non-
monetary benefits such as medical aid or leave provisions. Ultimately, union
involvement forces management to balance efficiency goals with equity and morale,
ensuring that the system gains legitimacy among the workforce while avoiding
industrial conflict (Coetzee et al, 2020).
1.2 Strategic role of unions in shaping remuneration outcomes
The General Services Workers Union (GSWU) plays a strategic role in influencing
pay levels and bargaining outcomes at Mpofu Cleaning Centre. Through collective
bargaining, the union negotiates with management to secure minimum wages,
Varsity Cube 2025 +27 81 278 3372
