u3aos2b - Human resource Management

sac b kk6- 10

Performance Management

is the process used to improve business and employee performance by linking business objectives with individual employee objectives.

Management by Objectives (MBO)

is a performance management strategy where managers and employees jointly set specific, measurable objectives that align with overall business objectives

Appraisals

are a performance management strategy where an employee’s performance is formally assessed against predetermined standards, usually on a regular basis.

Self-Evaluation

is a performance management strategy where employees assess their own performance against set objectives to identify strengths, weaknesses and development needs.

Employee Observation

is a performance management strategy where a manager directly observes an employee’s performance to assess their work and provide feedback.

360-Degree Feedback

is a performance evaluation method that gathers feedback on an employee’s performance from a range of sources, including managers, peers and customers.

Termination

is the ending of the employment relationship between an employee and a business.

Voluntary vs Involuntary Termination

occurs when an employee chooses to leave the business

occurs when the employer decides to end the employment

Resignation

is a form of voluntary termination where an employee chooses to leave their job.

Retirement

is a form of voluntary termination where an employee leaves the workforce permanently.

Redundancy

is a form of involuntary termination where an employee’s job no longer exists.

Dismissal

is a form of involuntary termination where an employee is forced to leave due to poor performance or misconduct.

Dismissal: positves and negatives

Positive: Reduction in costs, eg wages and overheads

removes employees undertaking serious misconduct at the workplace

Negative: decline in morale, loss of talent, increased on preformance of remaining staff.

Entitlement Considerations

are the legal and financial obligations a business must meet when terminating an employee.

Transition Considerations

are the processes a business undertakes to support employees and the workplace during termination.

Participants in Workplace Relations

Workplace Relations

is the management of the relationship between employers and employees, particularly in relation to wages, working conditions and disputes.

The main participants in the workplace are;

  - Human Resource Managers

  - Employees

  - Employer associations

  - Unions

  - The Fair Work Commission

Key Participants

Human Resource Managers

are responsible for managing the relationship between employees and the business.

Employees

are individuals who perform work for a business in exchange for remuneration.

Employer Associations

are organisations that represent and support employers in workplace relations matters.

Unions

are organisations that represent employees and aim to improve their wages and working conditions.

Fair Work Commission

is Australia’s national workplace relations tribunal that sets minimum standards and resolves disputes.

Award

Legally binding minimum requirements for wages and conditions applying to specific industries.

Awards: Advantages and Disadvantages

Advantages of Awards	Disadvantages of Awards
Stability and predictability in the negotiation process	Less flexible to the needs of individual businesses
Businesses do not have to divert resources into negotiating agreements	Hard to build in individualised productivity incentives

Enterprise agreement

Sets out the wage and conditions that will apply to the employees in one business or a group of businesses.

Enterprise agreement: Advantages and Disadvantages

Advantages of Agreements	Disadvantages of Agreements
More flexible to the needs of individual businesses	Less wage equality and transparency across industry
Easier to build in individualised productivity incentives	It is time consuming to negotiate agreements

Compare Awards and Agreements

Similarities

•Both set wages and conditions for employees

•Both comply with the National Employment Standards (NES) e.g. Maximum weekly hours and annual leave

Differences

•Awards are set by the FWC whereas Agreements are negotiated by the Business and Employees (or Unions) and then approved by the FWC

•Agreements are more expensive for businesses as wages and conditions must be above the relevant award

Individual contracts

A legal agreement between an employer and an individual employee regarding their wages and conditions.

Dispute

A conflict between workplace participants as a result of a disagreement.

Dispute resolution process

A series of steps that disputing parties follow in order to resolve a disagreement and reach a resolution.

Mediation

A dispute resolution method where an independent third party will aim to facilitate a resolution between the two disputing parties.

Arbitration

Involves an independent third party hearing arguments from both disputing parties and making a legally binding decision on the outcome.