TOPIC 1 EARNING A LIVING

I. FINDING A JOB
Job seekers, that is, people who are looking for a job can find information about job
vacancies in the following sources:
school or college careers advisers
job centres (government agencies)
private search firms, recruitment agencies or headhunters
job offers in newspaper advertisements or the Internet
job fairs
people who already work in the firm
People who are interested can apply for the job by sending in a letter of application or
covering letter and a curriculum vitae or CV containing details of their education and
experience to the Human Resources Department of the company. HR will select the most
suitable applications and prepare a shortlist of candidates or applicants, who are invited to
attend an interview.
A curriculum vitae is a brief history of the applicant. It contains information about the
candidates personal data, schools, qualifications, positions, relevant experience, skills,
abilities, hobbies and interests as well as the names and contact addresses of 2 referees who
are willing to give further details about the applicant.
A covering letter is a formal letter in which the applicant highlights their relevant experience
and skills, draws attention to special characteristics and shows willingness to attend an
interview.
The main purpose of the interview is to assess the applicants suitability for the position, their
appearance, general manner and communication skills. It also gives the applicant the
opportunity to seek further information about the job.
At the interview the candidate might be asked questions about his motivation, career
objectives, strengths and weaknesses.
Within a company it is the Human Resources Department that is in charge of recruitment and
personnel problems. Its functions may be summarized as follows:
finding the right person for vacant jobs: e.g. advertising the vacancy, interviewing
applicants
providing training and further development opportunities
ensuring the welfare of or well-being of employees
dealing with resignations of workers
providing testimonials and references (names of persons willing to testify as to the
character of a job applicant, written declarations about candidates)
dealing with the dismissal of workers

Earning a living

II. JOB ROLES AND TYPES

What people do to earn a living is their job or work occupation. There are two big groups of
jobs: blue-collar jobs and white-collar jobs.
Blue-collar jobs involve physical work. Some physical workers are skilled workers and have
a trade such as electrician or bus-driver or mechanic. Others work as factory hands and they
may be skilled or semi-skilled. And there is also a group of unskilled workers who are mostly
employed in the construction industry and in agriculture. Skilled workers need special training
which they can get in vocational schools or in secondary technical schools. People in bluecollar jobs are paid hourly or weekly wages which are generally lower than the white-collar
workers salary.
White-collar jobs require college or university qualifications. They are also called
professions, such as a doctor, a lawyer, an economist. Some professions such as teaching and
nursing are also called vocations which suggests that people do them in order to help others.
White-collar workers are paid a monthly salary and work in better conditions than blue-collar
workers.
Jobs can also be classified according to the time spent working. If somebody works eight
hours a day, five days a week, that person has a full-time job. Part-time workers only work
for four or six hours a day. Very often they are women who have small children and need to
spend more time with their families. In Hungary unfortunately many people need to have two
jobs, a full-time job and also a part-time job in order to earn enough money to support their
families. Casual workers are those who work on a totally irregular basis, a few hours a day or
a few days a week, whenever they are needed. Temporary or seasonal workers are mostly
employed in catering and the tourism industry and they usually work during the summer
period.
Another grouping could refer to the period time ones work contract is valid.
Tenured work offers the highest degree of job security because your work contract is not
limited in time. Contractual work means that a given work contract is valid for a limited time,
a year or two. In this case, of course, job security is replaced by job insecurity.
New trends in job types include homeworking which means that people work from their
homes through an internet connection, or hot-desking which involves working in an office
where you dont have your own desk, but sit down at any free desk and do your whole work
entirely with the help of a computer.
III. WAGES AND SALARIES
Remuneration means the money you receive in exchange for work you have done. It is not
surprising that many people consider money to be more important than other things in life.
This is because the level of earnings greatly affects the quality of your life. The income you
receive determines the type of house and furnishing you can have, the quality of your car or
the length of holidays you can take. Obviously the standard of living of well-paid people is
much higher than that of poorly-paid people.

Earning a living

There are different forms of remuneration, for example, a salary is paid to white-collar
workers, wages are paid to blue-collar workers. Students are given a grant, lawyers, doctors
and consultants are paid fees, authors are paid royalty, senior managers are offered stock
option plans, old age people are granted a pension. And taxes are a form of income for the
government.
Active employees generally have a base salary and they can also receive benefits depending
on how important the work they do is.
What is gross payment and net payment?
gross pay: the total amount before any deductions have been made
net pay: the amount received after deductions have been taken away
What deductions are made on your salary?
income tax
national insurance
unemployment contributions, superannuation contributions
voluntary deductions: e.g. union membership fees, payments to private pension
schemes, private medical schemes
Why are some jobs better paid than others?
The level of wages and salaries depends on a number of factors, such as market forces,
qualifications, skill factors, job satisfaction.
- market forces, that is, demand and supply. If demand for a certain job is low (few people are
needed) and supply is high (many people are available to do the job), wages and salaries will
be lower. On the other hand, if demand for a job is high but the supply of people for this job is
low, then wages and salaries will be higher.
The demand for a certain job depends on the level of economic development. An important
element of this is infrastructure. For example, in regions with poor infrastructure there will be
fewer factories, less investment and consequently low demand for labour. The supply of
labour depends on how difficult and time- and money-consuming the acquisition of certain
trades and professions is. For example, the supply of doctors will be lower than that of busdrivers for the following reasons.
the occupation requires a high degree of skill and academic ability
the training period is too long for many people
the cost of training is too high.
Changes in demand can also occur because of the movement of multinationals from one
country to another, in this case certain people, mostly managers and technical people whose
skills and knowledge are indispensable for the company will be asked be management to
move home in order to follow work. This will have a lot of consequences such as cost of
moving, housing and travelling. All these costs will affect the wage expectations of the people
involved, that is these people will expect to get higher salaries.
- qualifications also greatly determine how much income a person receives. A good salary
generally requires exam-qualifications, that is to say a college or university degree.

Earning a living

White-collar workers will be offered higher salaries party to compensate for the time spent is
securing qualifications and partly because the work they are doing is more important for the
national economy and the society as a whole. Blue-collar work includes skilled, semi-skilled
and unskilled jobs, and of course there are wage-differences between these groups, with
higher wages given for more skilled labour. However, unskilled jobs do not always pay the
lowest wages because many of these jobs are dirty, unattractive or dangerous so few people
are willing to do them.
o the time it takes to travel to work at home
o the employees work experience and age
o the employees sex, race, nationality, religion. Discrimination at the workplace
often leads to differences in pay. The principles of equal pay and equal
opportunities for men and women irrespective of race, nationality, religion should
be taken into consideration by all employers.
o Special skills (languages, computer literacy)
o The degree of risk a job involves (miners, firemen, policemen, ambulance people
should be paid higher wages)
o Job satisfaction can also be of importance when negotiating wages and salaries. If
a job is interesting, challenging and exciting, it can offer high job satisfaction
which can compensate for less money received. On the other hand if a job is
boring and repetitive, with little or no job satisfaction at all, people will want to be
paid more money to do it.
There are a number of factors that motivate employees and offer them job satisfaction:
o good pay and opportunity for wage increases
o promotion prospects
o interesting, creative and challenging job
o working hours (flexible and fixed hours, overtime)
o holiday arrangements
o job security (knowing that there is no danger of losing your job)
o social interaction with colleagues
o working conditions (pleasant, healthy, nice atmosphere)
o fringe benefits or perks
o receiving training, opportunity to take qualifications
o having a position of responsibility
o working for a respected and well-known company
o having freedom at work
o travelling or working abroad
What fringe benefits/perks (invisible additions to the wages) can be given by companies?
o free or subsidised meals (e.g. luncheon vouchers)
o company car with full use of petrol, mobile phone
o free membership of private health schemes
o low interest rate loans for house purchase
o reduced prices for company products or services
o assistance with expense of moving house
o help with payment of private education fees
o travel allowance, end-of-year bonus
o stock option plan
Earning a living

Earning a living

IV. MANAGEMENT
a. MANAGEMENT FUNCTIONS
1. First of all, managers set objectives, and decide how their organization can achieve
them. This involves developing strategies and plans.
2. Secondly, managers organize. They divide the work into manageable activities. They
select people to perform the jobs.
3. Thirdly, managers practise the social skills of motivation and communication. They
also have to communicate objectives to the people responsible for attaining them.
They make decisions about pay and promotion.
4. Fourthly, managers have to measure the performance of their staff.
5. Lastly, managers develop people both their subordinates and themselves.
b. MANAGERIAL FEATURES/CHARACTERISTICS
What do you think makes a good manager?
o being decisive: able to make quick decisions
o being efficient: doing things quickly, not leaving tasks unfinished, having a tidy
desk, and so on
o being friendly and sociable
o being able to communicate with people
o being logical, rational and analytical
o being able to motivate and inspire and lead people
o being competent: knowing ones job perfectly, as well as the work of ones
subordinates
o being persuasive: able to convince people to do things
o having job ideas
o being forward-looking
o being supportive and understanding
o being inspirational
o being hands-off but at the same time available
o having experience
o being someone who others can respect and appreciate
o being honest and reliable
c. LEADERSHIP STYLES
1. Autocratic. Such leaders are the absolute authority on all matters. They decide what to
do, and whatever others may think, it is done.
2. Democratic or participative. The leader will consult with employees before making
decision, but will reserve the right not to act on a majority view.
3. Laissez-faire or free-rein. The leader gives general directions to workers on the tasks
to be performed, and then leaves them to carry out the work in the way they think is
beast.
4. Charismatic. A charismatic leader is one who influences and motivates others because
he or she has an outstanding personality or character.

Earning a living

V. COMPANY STRUCTURE
1. What types of structure are there? What characterises them?
o the most common: hierarchical structure/line structure, one person or a group at
the top of the pyramid and an increasing number of people below them at each
successive level; everybody has their superior (to whom they report) and their
subordinates (to whom they can give instructions). The disadvantage or the
pyramid structure is that the lower level you go the less decision-making power
people have. This structure is particularly suited to small businesses.
o staff structure: there are people (e.g. the managers assistants) who will help their
colleagues in the pyramid but who have no power to give instructions to people at
the level below.
o functional structure: the whole business is organised according to functions and
divided into departments such as marketing, production, staff, finance, personnel,
research & development or sales. The head of each specialist department
supervises, controls and is responsible for just the one function with which it is
involved, thats why this type of organisation requires a lot of co-operation
between departments. It is particularly suited to large companies with divisions
located around the country or in different countries.
Benefits or working for a small business:
o Employees are responsible for a variety of tasks which gives them a better
possibility of realising their potential.
o Because of the small number of employees, they can deal with problems face to
face.
o Employees get greater job satisfaction as they can actually see the result of their
contribution to the company.
o Because of the relatively simple company structure, employees have more
independence, they dont always have to wait for permission from a superior to
perform a change.
o The atmosphere is friendlier, everybody knows everyone, there is more openness
among people, closer communication and better working relationships. Employees
feel a personal involvement in the business.
Advantages of working for a large company:
o Employees can become more specialised in their work.
o Because of the size of the company, they can easily change departments if they
have problems with their colleagues.
o They are likely to get a slightly higher salary than they would in a small company.
o They enjoy a higher degree of job security as a large company is in a better
position in an economic downturn or recession.
o Large companies often have subsidiaries abroad, so people may be able to go and
work in a foreign country.
o People can be proud of working for a company with national or international
reputation.

Earning a living

2. Types of Business organisations

TYPE
SOLE
PROPRIETORSHIP

PARTNERSHIP
General partnership
Unlimited
partnership
kzkereseti trsasg
Limited partnership
Betti trsasg
CORPORATIONS

LIABILITY
Unlimited

Partners
(2 or more)
Unlimited
At least one
partner has
unlimited l.
Limited

a) private limited
companies (Ltd)
= shares are not sold
on the Stock
Exchange

limited
b) public limited
companies (Plc)
=shares are listed on
the SE, advertised
for public sale

Earning a living

PEOPLE
Sole trader
(sole
proprietor) =
owner and
manager,
provides all
the capital

+ secret/ silent
partner

From 2 to an
unlimited
number of
shareholders
and ownership
is separated
from
management
From 2 to an
unlimited
number of
shareholders
and ownership
is separated
from
management

ADVANTAGES

DIADVANTAGE

- easy to form and

organise
- no read tape or
incidental
expenses
- highly motivated
- freedom
- less capital
necessary to start
- need not share
profits
- personal contact

- unlimited
liability
- limited financial
resources,
difficult to get
loans
- no fringe
benefits
- illness or
absence of the
owner is a
problem
- have to provide
all the capital
- no continuity
- unlimited
liability
- possible
conflicts,
disagreements
between partners
- death or
withdrawal of
partners
- limited capital
because shares
are not for public
sale

- easy to form
- less limited
financial
resources more
people provide
capital
- shared expenses
and management
- legal entity
- easier to raise
funds, more
people provide
capital
- greater
continuity
- limited liability
- separated
management and
ownership
- limited liability
- legal entity
- economies of
scale
- maximum
continuity
- can raise large
sums of capital
- can buy supplies
in bulk and buy
special
equipment
- easier to borrow
money

- a lot of
documentation
and expense to
form
- easy to take over
- can have too
many rules
- annual accounts
are open to
public
- double taxation

VI. EMPLOYER EMPLOYEE RELATIONSHIP

1. Why are workers organised in labour/trade unions?
Labour/trade unions organisations representing people working in a
particular industry or profession and protecting their rights
-

to represent common interests in negotiations with employers for better wages and
working conditions
to provide a communication channel between employees and employers
to put pressure on or influence employers

2. What major issues do they negotiate with employers?

- improved wages and reduced working hours
- improved working conditions
- job security
- benefits for members who are sick, retired or on strike
- unemployment benefit, sickness benefit and pensions
- participation in company decision processes
- improved public and social services
- training, promotion prospects, redundancies
- promotion of equal opportunities and pay
3. What are the basic rights of employees?
- save work environment, fair treatment regardless sex, race, colour, religion, political
opinion, national or social origin, age, sexual orientation, etc.
4. What are the methods that workers might use during an industrial dispute?
- negotiations to reach an agreement or a compromise
- industrial action: strike, work to rule, go slow, sit-in, boycott
5. What working conditions can help women who support a family?
- help in combining work and home duties
- job sharing (two part-time employees = full time job)
- flexitime employment, homeworking
- maternity leave, nursing breaks, childcare facilities
- job security, health protection measures
- paternity leave (surrounding childbirth)
6. What can employers benefit from family-friendly policies?
- greater commitment, loyal employees, better working morale
- more efficiency in doing jobs
- lower turnover of staff, better return on training investments, fewer unplanned absences
- better image, competitive advantage in recruiting

Earning a living

VII. UNEMPLOYMENT
The unemployment rate shows the proportion of unemployed people to the total available
labour force. It only includes the officially registered jobless population, and doesnt count
with hidden or disguised unemployment (jobless people not shown in government statistics).
What is full employment?
- ideal situation (never achieved)
- the supply of labour (the number of people looking for a job) is equal to the number of
unfilled jobs
- does not mean that there is no unemployment at all, but almost everyone who is able and
willing to work can find a job at the wage level they want
What are some of the reasons for unemployment?
- economic recession (companies lay off staff to reduce expenditures)
- the changing patterns of the labour market
- labour immobility (e.g. older generations are less mobile, they are bound by family ties to
their place of living and are reluctant to move)
- people who do not want to work (voluntary unemployment) because they are happy with
the unemployment benefit they draw from the state (high unemployment benefit and low
minimum wages)
- people in the period of changing jobs for better pay or career opportunities (frictional or
search unemployment)
- declining or disappearing industries, structural change of economy (structural
unemployment)
- seasonal unemployment, e.g. in agriculture or tourism (at summer and winter holiday
resort)
What government policies can reduce unemployment?
- providing more retraining schemes
- ensuring better supply of information about job vacancies
- improving geographical mobility of labour by providing housing or granting other benefits
- attracting investors, supporting enterprises that settle and create jobs especially in
unemployment-stricken regions (tax allowance, temporary tax exemption, subsidies)
- providing lower unemployment benefits
VIII. HEALTH AND SAFETY AT WORK
The right health and safety is a basic right of all employees and students. Each business has to
protect its employees. First of all there are certain laws protecting people in the workplace. In
addition it makes sense for a business to protect its workers because satisfied employees
perform better and more efficiently leading to higher productivity and more profit.
Providing a healthy and safe environment includes:
- ensuring adequate work space,
- ensuring suitable lighting,
- ensuring suitable temperature (heating or ventilation and air-conditioning),
- maintaining standards of cleanliness,
- providing adequate washing and toilet facilities,
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10

guaranteeing hygienic and safe conditions,

ensuring noise control,
providing and maintaining safety equipment and clothing,
ensuring first-aid facilities,
providing protection for the use of hazardous substances,
ensuring regular maintenance of working fools, equipment,
providing proper users manuals for special machinery,
offering employers liability insurance cover in case of accidents
providing a break every 4 hours, PC glasses and special chairs for people using
computers.

Protection against fire refers to the following:

- ensuring fire extinguishers in places that can be easily accessed,
- providing escape plans, maps showing where to leave a building on fire,
- offering instruction and training to employees on what to do in the event of fire,
- organising false fire alarms to acquaint people with what to do if there is a fire.
Of special importance are working time regulations which provide basic rights for workers,
such as:
- twenty- minute rest-break after six hours work,
- two days rest in a week,
- eleven consecutive hours rest in any 24 hour period,
- a limit of an average of 40 hours work in a week in which a worker can be required to
work,
- four weeks annual paid leave.
Conditions for a healthy and safe environment will vary depending on the nature of task
carried out. Ensuring the health and safety of a mine worker will require different decisions to
protecting an office worker.
It is in the interest of a business to protect its workforce. A healthy and safe work
environment should prevent accidents, injury and illness among workers. Any one of these
may result in staff absence and lost production for the firm. In extreme cases a business may
even be taken to court for failing to provide protection. The court may order the business to
pay compensation to the employee and also a fine.
Health and safety regulations are updated from time to time as working conditions change,
and they are compulsory for employers and employees as well.

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11

Pldk
The Topic:

YOUR IDEAL JOB OCCUPATION (Syllabus Topic 1)

Base your conversation on the following:

Say what your ideal job or occupation is.
Describe the kind of work you would like to do.
What kind of training would you need?
What responsibilities would you like to have?
What personal and professional qualities would you need?
What promotional opportunities would you like to have?
What would motivate you most in your job?
What do you expect in terms of salary, hours of work, working conditions (health and safety),
security of employment?
Roleplay 1
Candidate
You are applying for the position of cashier with TESCO Supermarkets. At the job interview
you learn about the long working hours and the limited possibilities of promotion. Try to
convince the HR Manager who is interviewing you, that in view of the unsocial hours
(sometimes night shift as well) and the boring work, you would like to have at least 25% more
than the offer in the job advertisement.
Roleplay 2
Candidate
You are applying for a job in the Sales Department of a large multinational company. You are
at the job interview with the HR Manager. Answer his questions referring to your motivation
and your strength & weaknesses, then ask your own questions about such aspects as wages,
benefits, working conditions, promotion prospects, etc.

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12