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Objectives of Chapter 1
To explain HRM, its connection to management processes, define HR-related authority, discuss environmental trends affecting HR, and understand essential knowledge for HR managers.
Human Resource Management (HRM)
Activities managers undertake to plan, organize, staff, lead, and control employees, including recruiting, selecting, training, compensating, and developing people.
Importance of HRM to Managers
Helps avoid mistakes in hiring, motivating employees, and handling conflicts, enabling effective people management to achieve results.
Line Authority vs Staff Authority
Line authority is the right to issue orders and direct employees; staff authority allows HR managers to advise without direct management.
Responsibilities of Line Managers in HRM
Placing employees in positions, training, improving performance, interpreting policies, and maintaining morale.
Major Trends Influencing HRM
Demographic changes, technological advances, and the increasing importance of employee engagement and remote work.
Purpose of Studying Federal Labor Laws
To understand laws governing equal employment opportunities, compliance with anti-discrimination statutes, and protection of employee rights.
Events Shaping Equal Employment Laws
Abolition of slavery (13th Amendment, 1865), Civil Rights Movement (1950s-60s), and 2020 protests for diversity and inclusion.
Title VII of the Civil Rights Act of 1964
Prohibits discrimination based on race, color, religion, sex, or national origin in employment for employers with 15+ employees, enforced by the EEOC.
Equal Pay Act of 1963
Ensures equal pay for men and women performing jobs requiring equal skill, effort, and responsibility under similar conditions.
Age Discrimination in Employment Act (ADEA) of 1967
Protects employees aged 40 and above from age-based discrimination in hiring, firing, compensation, and other employment conditions.
Americans with Disabilities Act (ADA)
Prohibits discrimination against qualified individuals with disabilities and requires reasonable accommodations from employers unless causing undue hardship.
Key Learning Objectives in HR Strategy
Writing HR policies, strategic planning, strategic HR management, HR metrics, high-performance systems, and employee engagement.
Strategic Human Resource Management (HRM)
Aligning HR policies and practices with organizational strategic goals to ensure employee competencies and behaviors align with objectives.
Purpose of HR Policies
Serve as formal guidelines for workplace behavior, including policies on sexual harassment, work schedules, and leave.
Strategic Management Process
Involves setting goals, making forecasts, developing alternatives, selecting the best option, and implementing plans aligned with internal and external factors.
Corporate Strategies
Include concentration, diversification, vertical integration, consolidation, and geographic expansion.
Three Standard Competitive Strategies
Cost leadership, differentiation, and focus.
HR Metrics
Quantitative measures to assess HR activities, such as turnover rates and qualified applicants per job, to evaluate HR effectiveness.
Labor Laws
Establish employees' rights and regulate working conditions, ensuring fair practices in wages, hours, and employment conditions.
Labor Laws in Puerto Rico
Includes both state and federal laws such as FLSA, ADEA, ADA, Title VII of the Civil Rights Act, and FMLA.
Key Provisions of the Fair Labor Standards Act (FLSA)
Covers minimum wage, overtime pay beyond 40 hours/week, and child labor regulations.