Human Resources Flashcards

Flashcards from lecture notes on Human Resources

Strategic Role of Human Resources

Maximise profits by effectively managing people within an organisation, working toward aligning and achieving the goals of the business and the employees.

Outsourcing

When a company takes a part of its business function and gives that part to another company to complete.

Employees (Contract of service)

Regular and continuous, subject to negotiated wage agreement, PAYG tax deductions + superannuation, subject to government legislation, and no legal entitlements from the organisation.

Independent contractor (Contract for service)

Fixed term, fixed agreed rate, must provide own insurance, responsible for own tax requirements

Interdependence HR and Operations:

Ensuring the business has recruited appropriate staff to produce the good/service.

HR and Marketing:

HR develops marketing strategies + the public face of the business

HR and Finance:

Staff producing budgets and working with restricted Finances. Funds are used toward training/ developing staff.

Employers:

An individual or organisation that pays others to work for its business

Employees:

An individual who provides his or her skills to a business in return for a regular source of income

Employer Associations:

Organisations that aim to promote the interests of employers within the business environment.

Unions:

Organisations that aim to protect and promote the interests of employees within the workplace

Fair Work Australia

increased flexibility of employment contracts (decentralising wage negotiations), easier acquisition and separation processes, decrease in power of unions

Society

Businesses responding in a manner that is consistent with the view of society -­‐> treating employees well

Employee Contract

Rights and obligations of employers and employees

Minimum employment standards

Requests for flexible working arrangements, Annual leave, long service leave and other leave entitlements, Notice of termination and redundancy pay

Awards

Legal document that outlines the minim wages and working conditions for all employees working in a particular industry

Enterprise Agreements

An agreement negotiated between employers and employees, usually represented by unions, concerning their pay and work conditions – must comply with national employment standards + pass ‘Better Off Overall Test’

Work Health and Safety Act 2011

Employers must provide staff with a safe workplace and seek to minimise any potential risk that may arise

Workers Compensations Act 2987 + Workers Compensation and Workplace Injury Management Act 1998

Govern the process of employees gaining financial compensation for injuries sustained at work and their subsequent return to work

Anti-­Discrimination Legislation

Prohibiting discrimination in the workplace on the grounds of gender, ethnicity, sexual preference, religion or disability

Positive Impacts of Technology on HR

More efficient production techniques, employees can learn from new workplace technologies, improved ways for employees to deliver products, decrease in repetitiveness of labour intensive work, fosters teamwork where staff teaches new technology to fellow workers

Negative Impacts of Technology on HR

Transfer from labour to capital resource use = job loss, employee resistant to change, reduced satisfaction of staff as positions are less valued, less employee decision making

Changing Work Patterns

increased participation of women, balance between work and family – less full time employment, greater diversity of ethnic and cultural backgrounds in the workplace

Living Standards

Education, variations in skill and opportunities

Economic Cycle:

Consumer spending and investment causing upswings and downswings in economy

Impact of Inflation:

Employees demanding higher wages, leading to higher costs for businesses

Globalisation:

Increased competition from foreign business leading to workers becoming retrenched -­­> downsizing or outsourcing

Acquisition

The stage in the human resource cycle that involves identifying staffing needs, recruitment and selection.

Job description

A written statement describing the duties tasks and responsibilities associated with the job

Job specification

Written statement describing the key skills, experience and qualifications needed for a job

Recruitment

To accumulate a pool of potential candidates for a job. It is from this pool that the business must make its selection.

Selection

A screening process in staff acquisition. The information gathered about job applicants is reviewed and the most appropriate applicant is chosen.

Development

Effective development programs ensure that experienced and talented staff are retained. They enhance employees’ motivation and commitment to the business through promotion opportunities over the longer term.

Induction

Carefully planned to introduce a new employee to the job, their co-­workers, the business and its culture.

Training

Any activities aimed at improving an employee’s present and future performance in the workforce

Mentoring

A mutually agreed role, which suits experienced staff keen to transfer knowledge and skills through succession planning. It is more focused on building a personal relationship that encompasses the life experience of both parties.

Performance Appraisals

A formal assessment of how well a person is working – the person’s strengths. It provides a basis for such matters as future training needs, pay rises, promotions and possible further development.

Maintenance

Focuses on the processes needed to retain staff and manage their wellbeing at work.

Skills inventory

A database that contains information on the skills expertise and qualifications of the current staff.

Employee Benefits

Flexible working arrangements, paid training opportunities, travel allowances, health insurance, subsidised gym membership, housing and company car

Monetary Benefits

Have a financial value -­‐ E.g. A bonus, commission, savings, anything to do with money

Non-Monetary: Benefits

Have a non-financial value and can also be intrinsic (reward that comes from within the person like satisfaction) E.g. social events, job title, office space, unpaid leave

Separation

ending of the employment relationship

Retirement

When an employee retires, the employee has decided to give up full-­time or part-­time work.

Resignation

when an employee leaves their jobs for reasons such as a need for change in their lives or moving interstate.

Voluntary redundancy

where their existing job is no longer required by the firm and may have been offered a redundancy package

Involuntary redundancy

the termination of employment due to the firm closing down or the job no longer being required due to rationalisation, restructuring or new technology.

Dismissal

occurs when the employer terminates an employee’s employment contract due to the unacceptable conduct or behaviour of the employee.

Instant or summary dismissal

the immediate termination of the employee’s contract without notice. E.g. theft, drunkenness

Authoritarian leadership

Managers lead based on the view that they are responsible for telling their employees what they want done and how to accomplish the task.

Participative leadership

Also known as democratic leadership. Participative leadership involves the leader including one or more employees in the decision-making process.

Delegative leadership

Also known as free-­rein leadership. The leader allows the employees to make decisions.

Job design

Where managers develop and specify the work activities of individuals or groups within the business environment.

Job satisfaction

the extents to which employees are satisfied working in their current position within the business, while job enrichment seeks to make use of employee’s talents and abilities within the workplace.

Job rotation

Where an employee is moved through a variety of tasks so as to increase their individual skill development and minimise boredom associated with repetitive tasks.

Job enrichment

the extent a business develops tasks with the abilities of existing staff in mind. Job enrichment reduces the boredom associated with many types of work.

Recruitment

where management seek to employ an individual for a vacancy that exists within the organisation.

Internal recruitment

occurs when the position is filled by existing employees within the business.

External recruitment

occurs when the position is filled by an individual who has not yet worked for the business.

Induction

the process of providing new employees with the knowledge and skills necessary to ensure they are familiar with the organisation and day-­to-­day operations of the business

Performance management

The formal process of recognising the efforts and contributions of employees to their work.

Checking in

Regularly observe an employee’s performance to provide feedback.

Assessment

Process of measuring the employee’s performance against the objectives.

Rewards

Motivate all employees to work to their potential and cooperate with each other to achieve the goals of the business.

Financial Rewards

Additional Monetary payments that are given to employees and are beyond the employee’s minimum legal entitlements.

Non-Financial Rewards

Non-­monetary benefits associated with the job itself such as fringe benefits, status-­related benefits and intrinsic rewards.

Performance Pay

linking part of an employee’s income to their performance at work

Workplace disputes

Conflicts, disagreements or dissatisfaction between individuals and/or groups.

Industrial disputes

Disagreement over an issue or group of issues between employer and its employees, employees ceasing work

Strikes

Workers stop working, most overt form of industrial action which aim to attract publicity and support for employees case

Lockouts

Employers close the entrance to a workplace and refuse admission to the workers e.g to push employees to sign individual agreements and in response to strike action

Grievance procedures

the rules and procedures that employees, unions and employers must follow in order to resolve a dispute.

Negotiation

a discussion between both parties in an attempt to resolve the dispute.

Collective bargaining

Negotiations over workplace disputes within an organisation.

Mediation

Occurs where an independent party with no ties to either stakeholder is asked to assist the conflicting stakeholders to reach a settlement.

Conciliation

when the Fair Work of Australia acts as a mediator and offers suggestions in a dispute to resolve the problem

Arbitration

Involves a commissioner hearing the cases put forward by both parties in an industrial dispute and then making a decision, which is legally binding on both parties.

Staff turnover

the rate at which employees leave a business.

Absenteeism

employees being unable to attend work due to illness, family responsibilities.