Business Employment Test

3 phases of the employment cycle

1.Establishment Cycle

-planning

-recruitment

-selection

-employment arrangements and remuneration

2. The maintenance phase

• induction

• training

• performance management

The termination phase

• entitlement and transition issues

remuneration

refers to the payment made to the employee.

staffing

the process of finding and acquiring an employee who will meet the needs of the business, but also preparing and retaining that employee.

Human resource management

It involves the coordination of all aspects of the employment cycle, including the planning, recruitment, selection, legal obligations, training and induction.

performance of staff

how well the job activities of employees are carried out.

staffing needs

the human resource requirements of a business

human resource planning

the process of determining current and future staffing needs for a business and the development of strategies to meet those needs

Staffing needs analysis

• Analysing internal and external environment, e.g budgets, economic conditions

• Business objectives and strategic plan

• Forecast demand (staffing needs, e'.g experience,skills) Forecast supply (staffing available e.g qualifications)

• Determine variances , e.g staffing shortage, no variance, staffing surlpus

• Then develop appropriate objectives and strategies

When introducing new technologies, some of the following workplace issues can arise:

• Existing employees may need to be trained to use new technologies,

• Rates of pay may need to be adjusted to take into account new skills acquired by employees

• flexibility may mean that the division between work and personal lives is blurred.

e-business

use of internet to conduct the full range of business activities

job analysis

is a study of each employee’s duties, tasks and work environment

common methods of job analysis

• the observation method.

• the interview method

• questionnaires.

• the critical incident technique.

observation method

This involves observing workers carrying out their tasks

Adv:

identify skills

identify sequence of tasks and relevant tasks

Dis: Time consuming

Another is the use of a work diary or log, in which the employee observes his or her own work activities and records these over a given period.

the interview method.

employees can be asked about their regular duties and responsibilities, as well as skills required, physical demands and safety requirements.

the critical incident technique

staff responses to particular incidents are judged to be effective or ineffective based on the actions taken

job description

which is a written statement describing the employee’s duties, and tasks and responsibilities associated with the job.

• a summary of what the worker will be doing (the role they will have in the business

job specification

which is a list of the key qualifications needed to perform a particular job in terms of education, skills, knowledge and level of experience.

• it indicates the sort of person a business is seeking (the personal attributes necessary for the job

job design

details the number, kind and variety of tasks that individual employees perform in their jobs.

Adv: greater job satisfaction = increased productivity and motivation

Dis: avoid simply adding tasks for the sake of it and should recognise that there is some benefit from a specialised approach.

Job analysis and Job design benefits

• Job analysis ensures that staff will have the necessary skills and knowledge to be able to perform a job at the level required.

• Job analysis allows a business to create better recruitment and selection strategies, as well as effective training programs, remuneration schemes and performance management processes.

• The development of job descriptions and job specifications ensures that clear expectations are established for employees at the outset of their employment — they know what is expected of them.

Job analysis and job design limitation

• Undertaking job analysis and job design can be time consuming.

• It can be difficult to capture every aspect of a job in a single job description/specification.

• As a business grows or changes, and as technology changes, the jobs within the business may change — job descriptions and specifications can therefore become outdated as they are written at particular points in time. Job analysis needs to be completed regularly.

Recruitment

involves attracting the right people to apply for a job vacancy.

internal recruitment

business decides to recruit someone already employed in the business to a vacancy

external recruitment

External recruitment will be used to find suitable applicants from outside the business

online recruitment agency

is a business that specialises in finding suitable candidates to fill vacancies for a variety of different employers.

internal recruitment advantages

• Employees are already known to the employer, which reduces risk.

• Applicants are already familiar with the business and its objectives, culture and processes.

• If the position is a managerial or supervisory position, it creates a career path within the business to reward valued employees.

• Costs of advertising the position are reduced, and no external agencies need to be paid.

internal recruitment disadvantages

• There may be no-one suitable from within the business.

• If there is more than one internal applicant, it can lead to conflict or rivalry between those employees.

• Applicants may be set in their ways and not open to new ideas.

• The successful applicant from within may have to be replaced, so an external recruitment process may be necessary anyway.

external recruitment advantages

• There is a wider range of applicants to choose from.

• Outside applicants may bring new ideas and fresh approaches to tasks.

• Different qualifications or experience from those already within the business can be specified in the advertising process.

• This method allows for rapid growth of the business because it allows for an increase in actual staff numbers.

external recruitment disadavantages

• The applicants are all unknown, so the choice may be more difficult.

• There are costs associated with advertising the position.

• The field of applicants may be larger, so the process of selection may become more time consuming.

• Qualified employees from within the business may resent outsiders coming in, particularly if it is a managerial or supervisory position.

selection

the process of choosing a candidate that best matches the businesses requirements

The following methods can be used in the selection process:

• Application forms

• Tests

• online selection

• interviews

• background checks

• medical examinations

Steps in a typical selection process

avd of interviews

• The employer meets prospective employees, can assess their appropriateness for the job (or any future jobs with the business).

• Provides the applicant with an opportunity to ask questions about the job and the workplace

dis of interviews

• Some people are able to present well at an interview, but may not be completely honest.

• Doesn’t assess actual skills or abilities on the job

psychological testing adv

• Can give an insight into the personality of the applicant, not just job skills

• Can be used to assess skills such as the ability to work in a team, leadership and decision making

psychological testing dis

• Relies on the applicant giving honest answers to the test questions or tasks

• Not all tests have the necessary reliability in measuring what they claim to measure.

work testing adv

• Can provide an assessment of the actual skills needed to carry out the job

• Allows future work colleagues and supervisors an opportunity to see different applicants in action

work testing dis

• May test technical skills but not broader skills such as leadership or problem solving

• Can be an artificial environment, and some applicants may be nervous and not demonstrate their actual abilities

online selection advs

• Convenient: applicants can complete at any time, and selection panel can view responses in their own time

• Can be used for a wide variety of different types of tasks and responses

online selection dis

• Impersonal — gives no indication of the actual person performing the tasks

• There may be many applications (especially for lower skilled positions). These can be difficult to sort with no context or background.

full time permanent employment

an ongoing employment contract that includes all legally required entitlements

part-time employment

working fewer ordinary weekly or monthly hours compared to full time employees

fixed-term contract

employment offered for a specific period

casual employees

workers employed on a hourly basis

National Employment Standards

Hours of work- must not request or require an employee to work more than 38 hours of work in a week, unless the additional hours are considered reasonable, and the special provision of penalty rates is applied

Parental leave- 12 months unpaid leave

Offers and requests to convert from casual to permanent employment. - This means that casual employees who have worked for their employer for 12 months need to be offered the option to convert to full-time or part-time (permanent) employment by their employer.

Flexible working arrangements.

Annual leave.

Personal/carer’s leave, compassionate leave and family and domestic violence leave.

Community service leave.- Employees, including casual employees, can take community service leave for activities such as voluntary emergency management activities

Long service leave

Public holidays- penalty rate or compensation

Notice and redundancy pay

award

A legally binding document that sets out the minimum wages and conditions for a group of employees.

• Awards have been the traditional means of establishing working conditions for employees.

enterprise agreements

an agreement that has been directly negotiated between an employer and the employees of a business or enterprise .

• provides an opportunity for employers and employees within a particular business or enterprise to negotiate a set of conditions that improve on the standards in an Award.

demonstrate loyalty to business

most employers would expect their employees to show loyalty to the business that employs them. For example, employers generally hope that employees will not resign in the short term to pursue work with a rival business. Employers also prefer that employees avoid making negative comments about the business,they should not disclose any sensitive commercial information to competitors

terms of notice

When an employee leaves, the employer has a number of decisions to make and a number of actions that follow those decisions. All of these take time

conditions of employment

refer to what an employer has agreed to give the employee in return for the employee’s work

remuneration

monetary payment in return for the work an employee performs.

• it affects productivity by increasing employee motivation, and lowering rates of absenteeism and staff turnover.

• adequate level of pay is a necessary condition in attracting and retaining good employees.

flexible work conditions

are patterns of work that allow businesses to work more efficiently or allow employees to balance work and family responsibilities

e.g

work-from-home arrangements

job sharing, which allows two employees to share the hours required for one job

job security

refers to whether an employee believes they are likely to lose their job either through being made redundant or being dismissed.

• there should be enough job security to develop a relationship in which employees believe their efforts will be rewarded.

work-life balance

means achieving the right combination of time devoted to work and time devoted to personal or family life

Occupational Health and Safety Act 2004 (Vic)

that employers are legally obliged to follow to ensure safe workplaces. It also sets the rules for providing compensation to those who are injured at work.

reducing the risks in the workplace

1. identify the risk

2. Assess the risk

3. control the risk

4. review the controls

Equal employment opportunity (EEO)

The overall effect of this legislation is to make it illegal to discriminate against any employee or prospective employee

under this Act employers have a positive duty to eliminate discrimination — to be proactive — and take reasonable and balanced measures to eliminate discrimination, sexual harassment and victimisation.

Victorian Equal Opportunity and Human Rights Commission

The Victorian Equal Opportunity and Human Rights Commission (VEOHRC) was established under the Equal Opportunity Act 2010 (Vic). Its role is to inform and educate the public on equal opportunity and human rights issues as well as to receive complaints and resolve disputes under the Act.

Workplace Gender Equality Agency

The Workplace Gender Equality Agency (WGEA) was established under the Workplace Gender Equality Act 2012 (Cwlth), and is a federal government body set up to work with employers to promote and improve gender equality and outcomes for both women and men in the workplace.

induction

the process of acquainting new employees with the business - its history , structures , objectives , culture , policies and practices - and the jobs they will perform

purposes of induction

• to build the self-confidence of new employees, and to build their confidence in the business

• to create a feeling of belonging and to begin to develop a sense of loyalty to the business

• to familiarise the new employee with the job environment and with the specific duties they are required to undertake within that environment

• to create favourable relationships with other members of the business

• to minimise the time it takes for new employees to become fully productive and contribute to the achievement of the business’s objectives.

benefits of induction

CSR

managing a business so that the broader social welfare of the community, including employees, customers, suppliers and the environment, is taken into consideration when making decisions.

affirmative action

measures taken to eliminate discrimination and to implement positive steps to overcome current and historical lack of equal opportunity.

CSR in employment arrangements

a socially responsible employer will go further in ensuring they pay fair wages, provide safe and pleasant working conditions, and consult with employees on important workplace issues, as well as recognising and rewarding effort, and offering educational opportunities, to provide employees with opportunities to improve.

• flexible working arrangements

CSR in workplace diversity

Employees in a diverse workplace have a wide range of skills, talents, ideas and experience that allows the business to develop better products and improve customer service, because there is a better understanding of the demographics of the marketplace.

CSR in Industrial democracy

It acknowledges that employees can take responsibility for their own actions and can initiate tasks without being ordered to.

Short-term stream

This is for employers to source genuine temporary overseas skilled workers in occupations included on the Short-term Skilled Occupation List (STSOL) for a maximum of two years (or up to four years if an international trade obligation applies).

Medium-term stream

This is for employers to source highly skilled overseas workers to fill medium-term critical skills in occupations included on the Medium- and Long-term Strategic Skills List (MLTSSL) for up to four years, with eligibility to apply for permanent residence after three years.

Transnational corporations opening and closing branches

Transnational corporations (TNCs), also known as multinational corporations, are companies that operate in more than one country.

• provide Australians with employment