Presentation on theme: "Managing Human Resources and Labour Relations"— Presentation transcript:
1 Managing Human Resources and Labour Relations Chapter 8Managing HumanResources and Labour Relations
2 Learning ObjectivesDefine human resource management, discuss its strategic significance, and explain how managers plan for human resourcesIdentify the issues involved in staffing a company, including internal and external recruiting and selectionThese learning objectives are based upon those at the beginning of the chapter. For a review of learning objectives, see the summary at the end of the chapter, as well as the list of key terms.Objectives: p.212.Summary: p
3 Learning ObjectivesDiscuss different ways in which organizations go about developing the capabilities of employees and managersDiscuss the importance of wages and salaries, incentives, and benefit programs in attracting and keeping skilled workersThese learning objectives are based upon those at the beginning of the chapter. For a review of learning objectives, see the summary at the end of the chapter, as well as the list of key terms.Objectives: p.212.Summary: p
4 Learning ObjectivesDescribe some of the key legal issues involved in hiring, compensating, and managing workers in today’s workplaceDiscuss workplace diversity, the management of knowledge workers, and the use of contingent and temporary workers as important changes in the contemporary workplaceThese learning objectives are based upon those at the beginning of the chapter. For a review of learning objectives, see the summary at the end of the chapter, as well as the list of key terms.Objectives: p.212.Summary: p
5 Learning ObjectivesTrace the evolution of, and discuss trends in, unionismDescribe the major laws governing unionismIdentify the steps in the collective bargaining processThese learning objectives are based upon those at the beginning of the chapter. For a review of learning objectives, see the summary at the end of the chapter, as well as the list of key terms.Objectives: p.212.Summary: p
6 Human Resource Planning Human Resource ManagementSet of organizational activities directed at attracting, developing, and maintaining an effective workforceJob AnalysisA detailed study of the specific duties in a particular job and the human qualities required for that jobDiscussed on page 214.Activities:Invite the Human Resource Manager to your class as a guest speaker. Request that students make up question lists in advance to guide the discussion.
7 Job Analysis Job description Job specification The objectives, responsibilities, and key tasks of a jobDescribes the conditions under which the tasks must be accomplishedExplains the relationships between that position and others in the firmDescribes the skills required to do the jobJob specificationThe specific skills, education, and experience needed to perform a jobDiscussed on page 214.Activities:Have students write a job description for their most recent, or current, job.Analysis Questions #3
8 Forecasting Forecasting internal supply Forecasting external supply The number and type of employees who will be in the firm at some future dateForecasting external supplyThe number and type of people who will be available for hiring from the labour market at largeDiscussed on page 215.Activities:Using library resources, have students investigate which jobs are growing and which are being reduced by employers. What is supply of labour for these tasks? Where will managers’ challenges lie in staffing five years from now?
9 Forecasting Employee information systems Replacement chart Computerized systems that contain information on each employee’s education, skills, work experience, and career aspirationsReplacement chartAn HR technique that lists each important managerial position, who occupies it, and who is now qualified to to move in to itDiscussed on page 215.
10 Recruiting Human Resources Internal recruitingConsider present employees as candidates for job openingsPromoting or transferring existing staffCan help build morale and keep high quality employees from leavingExternal recruitingAttracting people outside the organization to apply for jobsInclude advertising, campus interviews,employment agencies, and employment agenciesDiscussed on pageActivities:Application Questions: #8.
11 Steps in Selection Process Application formsEfficient method of gathering information about applicant’s previous work history, educational background and other job-related dataTestsTests of ability, skill, aptitude or knowledge that is relevant to a particular jobInterviewsDiscussed on pagesNotes:Be sure to point out to students that demographics that are not relevant to the job cannot be legally sought on an application form. These include: gender, religion, national origin.Note: polygraph tests are against the law in many places. Drug tests can result in lawsuits from those who fail the test. Reference checks are essential although most referees will give glowing reports. Calls to previous employers, checking of academic records, and similar approaches to cross check the applicant’s claims can be more reliable.Activities:Analysis Questions: #8,10.
12 Testing Assessment centre Video assessment A series of exercises in which management candidates perform realistic management tasks while being observed by appraisersVideo assessmentInvolves showing potential hires videos of realistic work situations and asking them to choose a course of actionDiscussed on page 218.Activities:Have students investigate assessment centres in their town or city. What firms use such approaches?Have students script a video of situations with their most recent, or current job, which could be useful in screening someone for the position. Given the time, and available resources, they could also videotape a role play based on their script.
13 Interviews Structured Unstructured Involves the use of a common set of questionsUnstructuredQuestions may vary from candidate to candidateMore often used when interviewing managerial or professional candidatesDiscussed on page 218.
14 Workforce Development OrientationThe initial acquaintance of new employees with the company’s policies and programsTraining and developmentWork-based programsInstructional-based programsTraining technologyDiscussed on pagesActivities:Assign students to work together in small groups. Each group should choose a company in the local business community. They should investigate the various employee development programs in use by the firm. Each student group should present their findings to the class.Analysis Questions #4
15 Work-Based Programs On-the-job training Vestibule training Employees gain new skills while performing them at workVestibule trainingEmployees work in a simulated environmentSystematic job rotations and transfersDiscussed on page 220.Activities:Have students discuss their experiences with on-the-job training. Was it a learning experience, or simply “sink and swim”. How would they rate their experience. If they would rate it critically, how would they improve it?Analysis Questions #4
16 Instructional-Based Programs Lecture or discussionManagement development programsManagers’ conceptual, analytical, and problem-solving skills are enhancedNetworkingInformal interactions among managersMentoringA more experienced manager sponsors and teaches a less experienced managerOff-the-job trainingDiscussed on pageActivities:Have students comment on the value of the lecture-discussion approach to job training. Ask them to describe any experiences that they have had with off-the-job training or computer-assisted instruction for their past, or current, job.Analysis Questions #4
17 Training Technology Video teleconferencing Interactive video Delivery of centralized training to branch offices allows for cost savings in travel and highly effective trainingInteractive videoA combination of video and computer-based instructionDiscussed on page
18 Performance Appraisal Formal evaluations of employee performanceActual performance is compared to objectivesShould be regularly scheduledPerformance expectations must be made clearResults are used to determine training needs, promotion opportunities, compensation, and dismissalDiscussed on pageActivities:Assign students to work together in small groups. Each group should choose a company in the local business community. They should investigate the various performance evaluation programs in use by the firm. Each student group should present their findings to the class.
19 Methods for Appraising Performance Ranking methodsSimple ranking (rank order from top to bottom)Forced distribution (group into predefined frequencies of performance ratings)Rating methodsGraphic rating scale (statement with rating scale)Critical incident methodRecall and discussion of especially good, or poor, performanceDiscussed on pagesActivities:Have students use the Critical Incident Method when evaluating their own course performance.
20 Compensation and Benefits Basis compensationWages and salariesPerformance-based compensationMerit pay plansSkill and knowledge based pay systemsIncentive compensation systemsBenefits programsDiscussed on pagesActivities:Analysis Questions #2
21 Basic Compensation Establishing a Pay Structure Wages Salaries Job EvaluationA method of determining the relative value or worth of a job to the organization so that individuals who perform it can be appropriately compensatedEstablishing a Pay StructureDevelop a pay structure by linking a rational pay scale, level by level, to jobsDiscussed on pageNotes: Issues to keep in mind when deciding on what to pay employees include: amount of pay for different jobs, and payment within ranks and jobs to compensate for differences in experience and seniority.Activities:Many students will have worked in wage-paid positions. Based on their knowledge of the industry they worked in do they feel that the wages they were paid were comparable to those of others working for similar organizations. What measures were taken to compensate them for job level and seniority or experiential differences.Have students discuss the apparent pay structure in their current (or most recent) job. Does it seem fair and equitable? Are the most valuable jobs the ones with the highest pay level?Analysis Questions #2
22 Performance-Based Compensation Merit payPay awarded to employees according to their relative value of their contributionsSkill-based payEmployees are paid for acquired skill level, rather than specific performanceKnowledge-based payEmployees are paid for learningDiscussed on page
23 Incentive Compensation Systems Piece-rate planEmployees are paid a certain amount for each unit of product they produceIndividual incentive planEmployees receive a salary increase, or other similar reward, for outstanding performanceSales commissionSalespeople are paid based on unit, or dollar, salesOther incentivesMay be non-monetary, such as time reliefDiscussed on pagesActivities:Have students rate piece rate, individual incentives or sales commissions based on their personal preference for their own pay method.
24 Team and Group Incentive Systems Gainsharing programsEmployees get a bonus if the firm’s costs are reduced due to increased work efficiencyPerformance increasesAwards directed to a team of employees to reward combined effortProfit-sharing plansThe profitability level of the firm is used to determine the reward level for its employeesDiscussed on pageActivities:Have students discuss what kinds of work situations are suitable for team and group incentives to be used.
25 Benefits Benefits: non-financial rewards Mandated protection plans: EI, CPP, Workers compensationOptional protection plans: health, dental, life insurancePaid time off: vacation time, personal leaveOther types of benefits: wellness programs, child-care benefitsCafeteria-style benefits plan: employees choose their own benefitsDiscussed on pagesActivities:Have students indicate which benefits they feel would be most valuable to them at this time in their lives. How would these benefits change in five years? Ten years?Analysis Question #2
26 Equal Employment Opportunity Regulations protecting people from unfair, or inappropriate, discrimination in the workplaceDecisions are made whenever employees are hired or promotedThe regulations are there to prevent such decisions from being made on any basis other than job-related reasonsDiscussed on page 231.
27 Canadian Human Rights Act Ensures that any individual who wishes to obtain employment has an equal opportunity to applyKey anti-discrimination legislation enacted in 1977Applies to all federal agencies, federal crown corporations, and firms that do business inter-provinciallyProhibits discrimination based on: age, race, colour, national/ethnic origin, physical handicap, religion, gender, marital status, or prison record (if pardoned)Discussed on pageNotes:Affects about 10% of workers with remainder covered by various provincial human rights actsSupercedes any individual company policy
28 Bona Fide Occupational Requirement Allows an individual to be chosen over another due to job characteristicsWhen only a particular type of candidate is acceptable because of the nature of the jobA washroom attendant in a luxurious hotel should be a femaleDiscussed on page 231.
29 Employment Equity Act Federally legislated Designates four groups as employment disadvantagedWomenVisible minoritiesAboriginal peoplePeople with disabilitiesDiscussed on page 232.
30 Comparable Worth Principle Equal wages should be paid for work of equal value to the firmJobs must be classified based on the qualifications needed to do the jobJobs with similar requirements must be paid the sameCritics argue that such approaches ignore the supply and demand aspects of labour; More scarce employees are paid more than those with plentiful skill setsDiscussed on pageNotes: It is hoped that employment equity programs will ease the gap between male and female wages. The average woman earns about 75% of the pay of the average man. Single women obtain 99% of the pay of men. Top jobs are still dominated by males.Ironically, male earning power is eroding, but not female earning power. 80% of jobs lost have been male-dominated.Equity programs can be costly to implement. To bring such programs into the public and private sectors of Ontario is expected to cost about $10 Billion.Activities:What do students feel about the pay equity concept? Is it appropriate? Is it practical? Do they think it will impact their work lives? If so, how?
31 Dealing with Sexual Harassment Develop clear and enforceable policiesInform all employees of the policiesTrain employees to recognize and refrain from sexual harassmentTake complaints seriouslyEstablish a procedure to deal with complaintsTake action against those involvedDiscussed on pages 233.Activities:Have students familiarize themselves with the school’s sexual harassment policy. In class discussion, indicate whether they recognize the proscribed activities in the policy as being forms of harassment.
32 Employee Health and Safety Health and safety programs reduce absenteeism and labour turnover, increase productivity and morale, by making the workplace safer & healthierEach province has its own regulationsGovernment inspectors come on-site, unannounced, to ensure that health and safety regulations are being metCanada places behind other industrialized nations in safety for mining and constructionDiscussed on page 234.Notes: government regulations exist to insure safe workplaces and are getting stricter. Ontario legislation holds officers and directors of companies responsible for workplace health and safety violations. On the job injury can result in jail terms for offenders.Injury can result in high risk situations (such as mining or logging) or from repetitive tasks like keyboarding. Repetitive Strain Injury (also known as Carpel Tunnel Syndrome) affects over 200,000 Canadian yearly. Also, air quality has affected some workers’ lives even away from work when they begin to suffer allergic or auto-immune problems. Employers must show employees how to work safely and operate heavy equipment properly. Employees may refuse to work on an unsafe site.Activities:1) Have students browse work injury records of major firms. What kinds of injuries have occurred? Were they preventable?2) Have students research the Health and Safety legislation required of firms in their province.
33 RetirementRetirement plans may allow early retirement, usually after the age of 55Flexible plans allow those who wish to leave early to do so, while allowing those who are able and willing to work longer the opportunity to do soRegular retirement age is 65 years, but many choose to work beyond that timeHealth statistics show that workers over the age of 65 are more likely to suffer from work-related causesDiscussed on page 234.Notes: Workers over the age of 65 are almost four times more likely to die from work-related causes than younger workers are, and have double the health-care costs. Retirement is happening at earlier ages than ever before in Canada. In the median retirement age was 62.3 years, compared to 64.9 years in Often, firms need the expertise of those who could be retiring, encouraging them to continue to work.Activities:While students tend to be young and waiting to enter the workforce, many will have considered the benefits of early retirement in determining their life goals. Many will also have relatives who have retired. What are the benefits of early retirement? What do they think they would do if they were over 55 years old today?
34 Managing Workforce Diversity Everyone in the workforce must be treated equitablyThe workforce is becoming more diverseGenderRaceAgeEthnicityPhysical abilityDiscussed on page 235.
35 Managing Knowledge Workers Employees who are experts in specific fields like computer technology and engineeringIdentify with their profession rather than the firmPrefer to work independentlyDefine performance based on their industry and peers, rather than their employerPose a special management challengeDiscussed on page
36 Managing Contingent and Temporary Workers Contingent workersWork for a firm on a basis other than full or part-timeFreelance, on-call, temporary subcontractorsTemporary workersHired through outside agenciesManagement issuesFairness and cost issuesDiscussed on pages 237.Activities:Ask students about their experiences as either contingent or temporary employees. For those who have had such an experience, as them to describe the advantages and disadvantages of their position.
37 Labour UnionsGroups of individuals working together to achieve shared job-related goalshigher payreasonable work hoursbetter working conditionsbetter job securitybenefitsDiscussed on pageActivities:Review Questions: #3,5,9.
38 Collective Bargaining A process through which union leaders and management personnel negotiate common terms and conditions of employmentUnion power is achieved through group action enabled by the collective bargaining processDiscussed on page 238.Activities:Review Questions: #3,5,9.
39 Unionism TodayUnions are experiencing difficulties in attracting new membersUnion membership as a percentage of the total workforce is decliningDiversity in the workforce consists of people who are not traditionally members of a unionWomen, ethnic minoritiesEmployers are engaging in more anti-union activities, including more employee-friendly workplacesDiscussed on pagesActivities:Have students do research to identify reasons that employees are deciding not to be members of a union. How much of this trend is due to the fact that employers are creating better work environments for non-union members?Review Questions: #3,5,9.
40 Canadian Labour CodeLabour legislation for firms operating under parliamentary authority(Federal jurisdiction according to the constitution act)Fair employment practicesStandard hours, wages, vacations, and holidaysEmployee safetyIndustrial relations regulationsDeals with all matters related to collective bargainingDiscussed on pageNotes: Guaranteed annual wage is a provision in the collective agreement which guarantees a minimum annual income to those paid hourly wages. Provides income security to employees.Cost of Living Adjustment (COLA): a clause in the Collective Agreement insuring that wages will increase automatically with inflation.Activities:Review Questions: #3,5,9.
41 Collective Bargaining The bargaining cycle begins when representatives from the union and management get together to negotiate a contractA “bargaining zone” is reached, which is a reasonable range of options acceptable to the partiesUnion members vote to accept or reject a tentative agreement through a ratification voteIf accepted, the contract is signed and becomes the Collective AgreementIf rejected, management and union can resort to different tactics to influence the processDiscussed on pageActivities:Review Questions: #3,5,9.
42 Contract Issues Compensation Current and future wages Cost-of-living-adjustment (COLA)BenefitsJob securityOther issues such as the use of temporary workers, grievance procedures, overtime,and working hoursDiscussed on pagesActivities:Concluding Case 10-1: Labour Relations at Canada Post.
43 Union Tactics Strike Withdraw labour services Boycott Members refuse to buy products produced by their firm, and may lobby others to do the samePicketMembers may picket the company and have large signs at the company entranceSlowdownWorkers perform their jobs at a slower pace, limiting productionDiscussed on pagesActivities:Concluding Case 10-1: Labour Relations at Canada Post.
44 Management Tactics Lockout Hire strike-breakers Plant closures Employees are not permitted on the premises to do their jobsHire strike-breakersEmployees that cross picket lines to work for management (often called “scabs”)Plant closuresContracting outDiscussed on pagesActivities:Concluding Case 10-1: Labour Relations at Canada Post.
45 DecertificationThe process by which employees terminate their union’s right to represent themThe union organizes membership meetings, house-to-house visits, and other tacticsEmployers may use meetings, letters, improved working conditionsA vote is held to decide whether or not to decertify the unionDiscussed on page 245.Activities:Concluding Case 10-1: Labour Relations at Canada Post.
46 Conflict Resolution Methods MediationAppoint a third-party conciliator to recommend a solutionHas no legal authority to enforce the recommendationArbitrationAppoint a third-party to devise and impose a solutionHas legal authority to do soArbitration may be voluntary or compulsoryEssential services like fire and police protectionDiscussed on pages 245.Activities:Concluding Case 10-1: Labour Relations at Canada Post.
47 Voluntary Arbitration & Compulsory Arbitration Settles a contract dispute by having a third party hear union and management arguments and issue a binding resolution (voluntary cooperation)Compulsory arbitrationSettles a contract dispute by having management and union forced to let a neutral third party issue a binding resolution (non-voluntary cooperation)Discussed on pages 245.Activities:Concluding Case 10-1: Labour Relations at Canada Post.