1.4.1 Approaches to Staffing

Staff are an asset and cost

How are staff an asset

They bring knowledge skills and build a reputation for a business

How does the National Minimum Wages affect a business

What business are more affected

If it rises a business will face higher labour costs

Businesses on a salary basis are less affected than wage businesses

What are the 4 ways to build a flexible workforce

Multi-skilling

Part-time and temporary

Flexible hours and home working

Outsourcing

What is Multi-skilling

Advantages + Disadvantages

Training workers to fill multiple job roles

+ Reduced labour costs and increased productivity as workers are being used efficiently

+ Improved customer experience as worker is broadly skilled

- High training costs

- Not appropriate for roles of high expertise

Advantages and Disadvantages of Part time/temporary working

+ More attractive to employees

+ Improved productivity as staff can work at their most productive hours

- Can create complications in communication eg working from home

- Difficult to monitor and manage workers

Advantages and Disadvantages of Outsourcing

+ Lower Labour costs

+ Allows access to specialised skills

- May lose control of quality

- May be unethical if country has less labour regulations

Advantages + Disadvantages of home working

+ Lower premises costs

+ Best workers from anywhere are attracted

+ Staff are more productive as no stress from commuting to work

- Cost of technology to allow staff to work from home

- Less innovation as workers are not working together

- Staff may feel isolated

What is Dismissal

What is Redundancy

Terminating employees contract against their will

Job is no longer available and the size of the workforce is reduced

What are the two approaches to employer/employee relationships

Individual approach

Relationship between an employee and employer

Collective bargaining

Group of employees negotiate with their employer for better wages, conditions etc

What does the Individual Approach involve

Assumes each employee is unique

Employer and employee negotiate their roles, responsibilities and benefits

Employer can hire, fire and set the TnCs of employment

What does the Collective Bargaining approach involve

Employees have more bargaining power as a group rather than individuals

Employer and employee have conflicting interests