Chapter 8 - Recruitment, selection and training of employees

Human resources department

Recruitment and selection
Involves attracting and selecting the best candidates for vacancies that arise.

Recruitment: identification of business needs, and the receiving of applications for the job post.

Wages and salaries
Must attract and maintain employee loyalty to the business.
Sufficiently high to motivate employees.

Industrial relations
Effective communication between lower and higher levels of management.
Resolve disputes – be able to put forward new ideas and suggestions for improvement.

Training programmes
Assessing and fulfilling the training needs of employees.

Health and safety
Business complies with laws and regulations of health and safety.

Redundancy (retrenchment) and dismissal
Releasing employees: due to business changes – employee’s work is not satisfactory.
business must comply with laws of redundancy, dismissal and disciplinary matters.

Recruitment and selection

Process starts when:

·         Employee leaves their job – need to be replaced

·         New business start-up – needs employees

·         Successful business – expand workforce

Recruitment process gives the business an opportunity to assess the role of employees, the nature of their jobs and future workforce requirements.

More importance of the role in the business = the more time consuming and careful the recruitment process may be.

·         Job analysis: Identifies and records the responsibilities and tasks relating to a job.

·         Job description: outlines the responsibilities and duties to be carried out by someone employed to do a specific job.

·         Job specification: is a document which outlines the requirements, qualifications, experience and physical characteristics.

Internal recruitment
is when a vacancy is filled by someone who is an existing employee of the business.

Advantages

·         Quicker and cheaper than external recruitment – reduces advertising costs.

·         Person is known by the business
reliability – ability – potential is known.

·         Person also knows/is familiar with business operations  - reduces need for induction training

·         Form of motivation  - increasing productivity of employees in hopes of also being promoted.

Disadvantages

·         No new ideas

·         Employees may become jealous of each other – creating a toxic work environment.

·         Quality of internal candidates might be low.

External recruitment
Is when a vacancy is filled by someone who is not an existing employee.

·         New ideas could be brought into the business.

·         The specific employees can be recruited based on the business’s needs.

·         Expensive advertising costs

·         Induction training is needed – time consuming

Induction training
Is an introduction given to a new employee, explaining the business’s activities, customs, and procedures, and introducing them to the workplace (potential employees).

Advantages

·         Helps new employees to settle into their job quickly

·         Legal requirements – health and safety training

·         Workers are less likely to make mistakes

Disadvantages

·         Time consuming

·         Wages are to be paid with no work being done

·         Delays start of employee working

On-the-job training
Occurs by watching a more experienced worker doing the job.

Advantages

·         Individual tuition is given – minimises travelling costs.

·         Ensures there is some production from the worker while they are training.

·         Costs less than off-the-job training.

·         Training is tailored to specific business needs.

Disadvantages

·         Trainer will not be as productive as usual  - due to training another employee

·         Trainer may pass down bad habits

·         Training qualification may be recognised outside the business.

Off-the-job training
Involves being trained away from the workplace usually by specialist trainers.

Advantages

·         A broad range of skill can be taught – employee can become more versatile

·         Will not loose on output of employee

Disadvantages

·         Costs are high

·         Additional qualifications – easier for employee to leave the business

Dismissal
Is when employment is ended against the will of the employee, usually for not working in accordance with employment contract.

Redundancy
Is when an employee is no longer needed and so loses their job. It is not due to any aspect of their work being unsatisfactory.

·         Voluntarily

·         Length of time employed by the business

·         Employment history

Which department needs to loose workers