Power Sharing in Progressive Discipline: New Rules of Engagement Arising from an Australian Perspective

The aim of this exploratory study is to apply the lens of power to the understanding of progressive discipline in Australian workplace contexts. Using data from the Australian Industrial Relations Commission, we analysed the outcomes of 78 unfair dismissal cases across 17 industries over a four-year period (1997-2000). We found that the application of progressive discipline on employees is concentrated around industry and occupational class. Specifically, it shows that occupational classes such as unskilled, skilled, and sales staff are more susceptible to disciplining by employers. It raises the awareness of the immense power the employer derives from the use of progressive discipline over employees and implications in the new environment of on-going labour deregulation and the lack of statutory intervention to ameliorate the growing power imbalance. Given that the research focuses on progressive discipline, the data provides strong grounding for theory building and telling a story on the industrial relations environment where power is becoming increasingly oriented towards employers, especially as union density declines. As such, we hope the simplicity of our research inspires further research that uses more advanced statistical analysis and modelling. The paper has implications for managers/supervisors involved in formulation of progressive discipline policies and for employee advocates who champion employee welfare. It demonstrates that power determines employee performance outcomes, which may not necessarily be in the interest of the employer and to a greater degree the employee. When applying current theory in power, one can challenge the Contemporary Management Research 92 relevance of archaic progressive discipline practices in the context of today’s economic realities. We offer some insights into improving progressive discipline as a tool of managerial control. Our recommendations in this paper will also be relevant to countries with labour legislation and human resource practices similar to Australia such as U.S.A., United Kingdom, Canada, and New Zealand.