HUMAN RESOURCE

MANAGEMENT
 HUMAN RESOURCE MANAGEMENT

Learning Outcome: Students should be able to understand the basic HR concepts. They will be
able to understand the process of recruitment, selection, performance appraisal, training &
development, compensation and employee retention approaches and strategies.

Unit-I:

Introduction of HRM: Introduction to HRM – Line Managers – HR Duties – New Approaches to

Organizing HR – Globalization & Competition Trends – Technological Trends – Trends in
Nature of Work – Workforce and Demographic Trends – Economic Challenges – HRM in India
– High Performance Work System’s – Labor Legislation in India – Equal Employment
Opportunity 1990-1991 – HR Score Card developed by TVRLS India.

Unit-II:

Recruitment and Placement: Basics of Job Analysis – Methods for Collecting Job Analysis
Information – Job Descriptions – Job Satisfaction – Job Enlargement, Job Enrichment, Job
Rotation, HRP –Recruitment & Selection Process – Planning & Forecasting – Sources of
Recruitment – Recruitment of Diverse Work Force – Employee Testing & Selection – Basic
types of Interviews – Errors in Interviews – Translating Strategy into HR-Policies & Practices.

Unit-III:

Performance Appraisal and Training & Development of Employees – Concept of Performance,

Management Appraisal – Techniques for Performance Appraisal – Career Management –

Employer Life Cycle – Career Management & Talent Management, Analyzing Training needs &
Designing the program – Implementing different training program – Implementing Management
Development Programs – Evaluating the Training Programs .

Unit-IV:

Compensation – Basic Factors in Determining pay structure – Establishing pay rates – Pricing
Managerial and Professional Jobs – Special Topics in Compensation – Benefits – Insurance –
Retirement Benefits – Personal Services & Family friendly benefits – Salient features of
Workmen Compensation Act & Minimum Wages Act.

Unit-V:

Employee Relation – Labor Movement – Collective Bargaining Process – Grievances –

Managing Dismissals – Employee Safety and Health – Occupational Safety Law – Work Place
Health Hazards Problems & Remedies – Salient features of Industrial Disputes Acts 1947 –
Factories Act, Mines Act.
 HUMAN RESOURCE MANAGEMENT

UNIT -1

MANAGERIAL FUNCTION:

Managing people is the important aspect of every manager so like other managers; a human
resource manager performs the various functions such as:

1. Planning - Planning is a deciding stage that what is to be done exactly. As it involves

identification of alternatives and decision making. We consider that planning includes
forecasting and set of programs, procedure to achieve goal.
2. Organizing - Organizing includes identification and grouping of work activities.
3. Staffing - People could be the dynamic elements of management so without proper sort
of people things will remain immaterial. It involves communication, Counseling.
4. Directing - Relates to all levels of management that includes guiding, supervising,
communication, motivation, leadership.
5. Co-coordinating - Concerned with the unifying the action of a group of people.
6. Controlling - Involves some restriction, corrective action, handling situation.

OPERATING FUNCTIONS:

These functions is concerned with specific activities of procurement, developing, compensating

& maintaining an efficient work force.

PROCUREMENT FUNCTION:Concern with the right kind and right number of people
required to accomplishment the organizational objectives. It consists of the following activities-

Job Analysis - Job analysis identify the nature of job and what type of people required to
perform these job effectively. Job description and job specification are prepared with the help of
information provided by job analysis.

Human Resource Planning - Human resource planning is the process of estimating the present
and future manpower requirements of the organization.

Recruitment - Recruitment is the process of identifying prospective employees, stimulating,

encouraging them to apply for a particular job or jobs in an organization.

Selection - Selection is the process of examining the applicants with regard to their suitability for
the given job and choosing the best from the suitable candidates.
Placement -The selected candidates are assigned to a specific job known as placement.

Orientation/Induction - Orientation is the process of introducing new employees to an

organization that includes introducing new employee to an existing employee, in their specific
jobs and departments.

DEVELOPMENT FUNCTION:

Human Resource Development is the process of improving the knowledge, skill, and values of
employees so that they can perform the present and future job more effectively. The activities are
as such-

1. Performance Appraisal - Performance Appraisal is a systematic evaluation of present

potential capabilities of personnel. It is a process of collecting, analyzing and evaluating
data relative to job behavior and results of individuals.
2. Training - Training is an organized procedure for improving the knowledge and skill of
the employees for doing a particular job or for a definite purpose. Through training
people learn and acquire new skills and job knowledge.
3. Career planning and development - Career planning and development involve the
planning for the career of employees and implementing these plans. It is only possible
through promotions and transfers.

COMPENSATION FUNCTIONS:

Provides appropriate remuneration to employees for their contribution to achieve organizational

objectives. It consists of the following activities-

1. Job evaluation - Job evaluation is a process of determining the relative with of a job.
2. Salary Administration - Salary Administration is to determine the salary structure for
various jobs in the organization.
MAINTENANCE FUNCTION:

Maintenance function is concerned with promoting the physical and mental health of employees
by providing various facility and social security.

All the functions of Human Resource Management are performed in conjunction with each other.

HUMAN RESOURCE MANAGEMENT :

HRM means employing people ,developing their resources ,

utilizing , maintaining and compensating their services in tune with the job and org’al
requirements with a view to contribute to the goals of the org , individual and the society.

Definition: “according to Subba Rao, HRM is managing the function of employing ,developing
,compensating and utilizing human resource s resulting in the creation and development of
human and industrial relations with which would shape the future policies and practices of HRM
with a view to contribute proportionately to the org’al, individual and social goals.”
OBJECTIVES OF HUMAN RESOURCES MANAGEMENT

1. To create and utilize an able and motivated workforce, to accomplish the basic
organizational goals.
2. To establish and maintain sound organizational structure and desirable working
relationships among all the members of the organization by designing jobs and by
establishing responsibility by designing jobs and by establishing responsibility,
accountability and authority for each job in relation to other job.
3. To secure the integration of individual and groups within the organization by
coordinating the individual and group goals with those of the organization
4. To create facilities and opportunities for individual or group development so as to match
it with the growth of the organization.
5. To attain an effective utilization of human resources in the achievement of organizational
goals.

NATURE OF HUMAN RESOURCE MANAGEMENT

1. Human Resource Management involves management functions like planning, organizing,

directing and controlling
2. It involves procurement, development, maintenance of human resource
3. It helps to achieve individual, organizational and social objectives
4. Human Resource Management is a multidisciplinary subject. It includes the study of
management, psychology, communication, economics and sociology.
5. It involves team spirit and team work.
 It is a continuous process

SCOPE OF HUMAN RESOURCE MANAGEMENT

LINE MANAGERS:

Line managers are those managers to whom individual employees or teams directly report
and who have responsibility to higher level of management for those employees or teams .

Responsibility:

1. Ensuring that any staff experiencing performance difficulties are managed appropriately and
working with the employee to identify measures that could be used to improve performance.

2. Managing operational cost

3. Providing technical expertise

4. Organisation of work allocation

5. Monitoring work process

6. Checking quality

7. Dealing with customers / clients

8. Measuring operational performance

LINE FUNCTION: The departments or employees of a firm that perform the core activities and
contribute to its business directly are called line function example manufacturing and marketing.
Line is a commanding relationship. Line managers has the authority to make final decision.

HR DUTIES:

1.The conscience role

2.The counsellor

3.The mediator

4.The spokesman

5.Problem solver

New approaches to organising HR:

a) E-HR

b) Recruitment and selection

c) Motivation

d) HRIS

ASSIGNMENT QUESTIONS:{Unit-1}

1.Describe High performance Work systems?

2. Explain Globalization and competition trends,technological trends & workforce and
demographic trends.
3. Explain the New approaches to organizing HR.
4. Explain HRScore Card developed by TVRLS India.
 UNIT II
Job : Job is defined as a collection of duties and responsibilities which are given together to an
individual employee.

Job analysis is the process of studying and collecting information relating to operations and
responsibilities of a specific job.

It can be explained with the help of the following diagram

 JOB DESCRIPTION (Short Notes)

Job descriptions are written statements that describe the:

• Duties,
• Responsibilities,
• Most Important Contributions And Outcomes Needed From A Position,
• Required Qualifications Of Candidates, And
• Reporting Relationship And Coworkers Of A Particular Job.

1. Title/ Designation of job and location in the concern.

2. The nature of duties and operations to be performed in that job.
3. The nature of authority- responsibility relationships.
4. Necessary qualifications that are required for job.
5. Relationship of that job with other jobs in a concern.
6. The provision of physical and working condition or the work environment required in
performance of that job.
Advantages of Job Description

1. It helps the supervisors in assigning work to the subordinates so that he can guide and
monitor their performances.
2. It helps in recruitment and selection procedures.
3. It assists in manpower planning.
4. It is also helpful in performance appraisal.
5. It is helpful in job evaluation in order to decide about rate of remuneration for a specific
job.
6. It also helps in chalking out training and development programmes.

JOB SPECIFICATION (Short Notes)

It is a statement which tells us minimum acceptable human qualities which helps to

perform a job. Job specification translates the job description into human qualifications
so that a job can be performed in a better manner. Job specification helps in hiring an
appropriate person for an appropriate position. The contents are :
1. Job title and designation
2. Educational qualifications for that title
3. Physical and other related attributes
4. Physique and mental health
5. Special attributes and abilities
6. Maturity and dependability
7. Relationship of that job with other jobs in a concern.

Advantages of Job Specification

1. It is helpful in preliminary screening in the selection procedure.

2. It helps in giving due justification to each job.
3. It also helps in designing training and development programmes.
4. It helps the supervisors for counseling and monitoring performance of employees.
5. It helps in job evaluation.
 6. It helps the management to take decisions regarding promotion, transfers and giving extra
benefits to the employees

PURPOSE OR IMPORTANCE OF JOB ANALYSIS

THE FOLLOWING ARE THE BENEFITS OF JOB ANALYSIS

1. Organizational structure and design :-

Job analysis helps the organization to make suitable changes in the organizational structure, so
that it matches the needs and requirements of the organization. Duties are either added or deleted
from the job.

2. Recruitment and selection :-

Job analysis helps to plan for the future human resource. It helps to recruit and select the right
kind of people. It provides information necessary to select the right person.
3. Performance appraisal and training/development :-

Based on the job requirements identified in the job analysis, the company decides a training
program. Training is given in those areas which will help to improve the performance on the job.
Similarly when appraisal is conducted company check whether the employee is able to work in a
manner in which they require him to do the job.

4. Job evaluation :-

Job evaluation refers to studying in detail the job performance by all individual. The difficulty
levels, skills required and on that basis the salary is fixed. Information regarding qualities
required, skilled levels, difficulty levels are obtained from job analysis.

5. Promotions and transfer:-

When companies give a promotion to an employee, it needs to promote him on the basis of the
skill and talent required for the future job. Similarly when the company transfers an employee to
another branch the job must be very similar to what he has done before. To take these decisions,
the company collects information from job analysis.

6. Career path planning :-

Many companies have not taken up career planning for their employees. This is done to prevent
the employee from leaving the company. When companies plan the future career of the
employee, information will be collected from job analysis. Hence job analysis becomes
important or advantageous.

7. Labourrelations :-

When companies plan to add extra duties or delete certain duties from a job, they require the help
of job analysis, when this activity is systematically done using job analysis the number of
problems with union members reduce and labour relations improve.

8. Health and safety :-

Most companies prepare their own health and safety, plans and programs based on job analysis.
From the job analysis company identifies the risk factor on the job and based on the risk factor
safety equipment’s are provided.

9. Acceptance of job offer :-

 When a person is given an offer/appointment letter the duties to be performed by him are
clearly mentioned in it, this information is collected from job analysis, which is why job
analysis becomes important.

Gathering and analyzing information about the content, context, and the human requirements of
jobs.

Ø Work activities and behaviors

Ø Interactions with others
Ø Performance standards
Ø Financial and budgeting impact
Ø Machines and equipment used
Ø Working conditions
Ø Supervision given and received
Ø Knowledge, skills, and abilities needed

JOB ANALYSIS PROCESS:

 A. Organizational Analysis-
Information in the form of organization charts, job specification, work flow charts etc. are
collected to obtain an overall view of various jobs in the organization to judge the linkages
between jobs and organizational goals, interrelationships among jobs and the contribution of
various jobs.

B. Organizing Job Analysis programme

The company must decide

 who will be in charge of the programme,

 allocate budget
 A time schedule should be prepared.

C. Deciding the areas where job analysis information is to be used

These areas can be decided on the basis of the needs, priorities and constraints of the particular
organization. How the job information will be used and for what purpose, will determine the
extent to which jobs are to be analyzed.

D. Selecting representatives jobs for Analysis

To save time a representative sample of jobs be selected for the purpose of detailed analyses.

E. Understand job design

Analyst should study the current job description and job specification, procedure manual, flow
charts etc.Analyst should study the current job description and job specification Procedure
manual, flow charts etc.

In this step data on the characteristics of the job, qualifications, and behavior required to do the
job effectively is collected from the concerned employees, supervisor or from outsiders. Care
should be taken to use only those techniques for job analysis which are acceptable and reliable in
the given situation.

F. Developing a job description

Job description is prepared on the basis of information collected in the previous steps. It
describes in brief the tasks, duties and responsibilities which need to be discharged for effective
job performance. It also includes working conditions, social environment , machines tools and
equipment's, and relations to other jobs.

G. Preparing a Job specification-

In this last step of job analysis is job specification or employee specification are prepared. This is
written statement specifying the personal attributes in terms of education, training , experience
and aptitude required to perform the job.

Job Analysis and Other HR Activities

Job Design and Job Evaluation :

Job design means the ways that decision-makers choose to organize work responsibilities, duties,
activities, and tasks.

Job design is the process of

o Deciding the contents of the job.

o Deciding methods to carry out the job.
o Deciding the relationship which exists in the organization.

Job analysis helps to develop job design and job design matches the requirements of the job
with the human qualities required to do the job
METHODS OF JOB DESIGN

There are various methods in which job design can be carried out. These methods help to
analysis the job, to design the contents of the and to decide how the job must be carried out
.these methods are as follows :-

 JOB ROTATION
 JOB ENLARGEMENT
 JOB ENRICHMENT

1. JOB ROTATION (Short Notes)

Job rotation implies systematic movement of employees from one job to the other. Job remains
unchanged but employees performing them shift from one job to the other. With job rotation, an
employee is given an opportunity to perform different jobs, which enriches his skills, experience
and ability to perform different jobs.

Advantages of job rotation

 Job rotation helps to avoid monopoly of job and enable the employee to learn new things
 Due to job rotation the person is able to learn different job in the organization this
broadens his knowledge
  In an organization like bank jobs rotation is undertaken to prevent employees from doing
any kind of

Disadvantages of Job Rotation

 Job rotation results in frequent interruption of work .A person who is doing a particular
job and get it comfortable suddenly finds himself shifted to another job or department
.this interrupts the work in both the departments
 When an employee is shifted or rotated in the department, he takes time to learn the new
job, makes mistakes in the process and affects the quality of the job.
 The union might think that employees are being harassed and more work is being taken
from them. In reality this is not the case.

2. JOB ENLARGEMENT(Short Notes)

Job enlargement is another method of job design which involves combining various activities at
the same level in the organization and adding them to the existing job. It increases the scope of
the job. It is also called the horizontal expansion of job activities.

It must be noted that the new activities which have been added should belong to the same
hierarchy level in the organization.

Advantages of job enlargement

 Job enlargement helps the organization to improve and increase the skills of the
employee due to organization as well as the individual benefit.
 Due to job enlargement the person learns many new activities. When such people apply
foe jobs to other companies they can bargain for more salary.
 Job enlargement provides wide range of activities for employees.

Disadvantages of job enlargement

 Job enlargement increases the work of the employee and not every company provides
incentives and extra salary for extra work. Therefore the efforts of the individual may
remain unrecognized.
 In many cases employees end up being frustrated because increased activities do not
result in increased salaries.
 Many union members may misunderstand job enlargement as exploitation of worker and
may take objection to it

3. JOB ENRICHMENT (Short Notes)

Job enrichment is a term given by Fedric Herzberg. According to him a few motivators are added
to a job to make it more rewarding, challenging and interesting. Job enrichment is a method of
adding some motivating factors to an existing job to make it more interesting. The motivating
factors can be

 Giving more freedom.

 Encouraging participation.
 Giving employees the freedom to select the method of working.
 Allowing employees to select the place at which they would like to work.
 Allowing workers to select the tools that they require on the job.
 Allowing workers to decide the layout of plant or office.
Job enrichment gives lot of freedom to the employee but at the same time increases the
responsibility. Some workers are power and responsibility hungry. Job enrichment satisfies the
needs of the employees.

Advantages of job enrichment

 When a certain amount of power is given to employees it makes the job more challenging
for them, we can say that job enrichment is a method of employee empowerment.
 Through job enrichment we can improve the decision making ability of the employee by
asking him to decide on factory layout, method and style of working.
 When we provide decision making opportunities to employees, we can identify which
employee is better that other in decision making and mark employees for future
promotion.
Disadvantages of job enrichment

 Job enrichment is based on the assumptions that workers have complete knowledge to
take decisions and they have the right attitude. In reality this might not be the case due to
which there can be problems in working.
 Job enrichment has negative implications ie. Along with usual work decision making
work is also given to the employees and not many may be comfortable with this.
 Superiors may feel that power is being taken away from them and given to the junior’s.
This might lead to ego problems.

JOB EVALUATION

Job evaluation is the process of analyzing and assessing various jobs systematically in order
to get their relative worth in an organization.

 Jobs are evaluated on the basis of content and placed in order of importance.
 This establishes Job Hierarchies, which becomes the basis for satisfactory wage
differentials among various jobs. Jobs are ranked (not jobholders)
 The objective of job evaluation is to determine which jobs should get more pay than
others. Job evaluation forms the basis for wage and salary negotiations.
  Job evaluation is the output provided by job analysis.
 Job evaluation determines the value of job. Further the value of each of the aspects such
as skill and responsibility levels are also related and studied in connection with the job.
 Job evaluation helps the management to maintain high levels of employee productivity
and employee satisfaction.
In the words of Edwin B. Flippo."Job evaluation is a systematic and orderly process of
determining the worth of a job in relation to other jobs."

PROCESS OF JOB EVALUATION

JOB EVALUATION – TOWERS PERRIN MODEL OF TOTAL REWARD

Human Resource Planning:

Human Resource Planning is a systematic analysis of HR needs in order to ensure that correct
numbers of employees with the necessary skills are available when they are required.

Human Resource Planning (HRP) may be defined as strategy for acquisition, utilization,
improvement and preservation of the human resources of an enterprise.

E.W Vetter viewed human resource planning as a “Process by which an organization should
move from its current manpower position to its desired manpower position. It answers the
following questions

 How many numbers of staff does the Organization have?

 What type of employees as far as skills and abilities does the organization have?
 How should the Organization best utilize the available human resources?
 How can the organization keep its employees?

Obejectives of HRP :

 To recruit and retain the human resources of required quantity and quality.

 To forecast the employee turnover and make the arrangements for minimizing turnover and
filling up of consequent vacancies.
 To meet the needs of the programmes of expansion, diversification etc.
 To foresee the impact of technology on work, existing employees and future human resource
requirements
 To improve the standards, skills, knowledge, ability, discipline etc.
 To assess the surplus or storage of human resources and take measures accordingly.
 To maintain congenial industrial relations by maintaining optimum level and structure of
human resources,
 To minimize imbalances caused due to non-availability of human resources of right kind,
right number in right time at right place.
 To make the best use of its human resources and to estimate the cost of human resources.

PROBLEMS IN HRP PROCESS

The main problems in the process of HRP are as follows:

a) Inaccuracy:Human Resource Planning is entirely dependent on the HR forecasting and
supply, which cannot be a cent per cent accurate process.

b) Employee resistance:Employees and their unions feel that by Human Resource Planning,
their workload increases so they resist the process.

c) Uncertainties: Labour absenteeism, labour turnover, seasonal employment, technological

changes and market fluctuations are the uncertainties which Human Resource Planning process
might have to face.

d) Inefficient information system: In Indian industries, HRIS is not much strong. In the
absence of reliable data it is not possible to develop effective Human Resource Planning.

e) Time and expense: Human Resource Planning is time consuming and expensive exercise, so
industries avoid.

Recruitment and Selection:

Recruitment is the process of attracting prospective employees and stimulating them for
applying job in an organization.

Recruitment refers to the process of attracting, screening, and selecting qualified people for a
job.
Recruitment is the process of identifying and hiring the best-qualified candidate (from within or
outside of an organization) for a job vacancy, in a most timely and cost effective manner.

SOURCES OF RECRUITMENT

The different sources of recruitment are classified into two categories, viz.,

1. Internal : sources of recruitment are from within the organisation.

2. External : sources of recruitment are from outside the organisation.
Internal Sources of Recruitment

The internal sources of recruitment are:-

1. Promotions : Promotion means to give a higher position, status, salary and responsibility
to the employee. So, the vacancy can be filled by promoting a suitable candidate from the
same organisation.
2. Transfers : Transfer means a change in the place of employment without any change in
the position, status, salary and responsibility of the employee. So, the vacancy can be
filled by transferring a suitable candidate from the same organisation.
3. Internal Advertisements : Here, the vacancy is advertised within the organisation. The
existing employees are asked to apply for the vacancy. So, recruitment is done from
within the organisation.
4. Retired Managers : Sometimes, retired managers may be recalled for a short period.
This is done when the organisation cannot find a suitable candidate.
5. Recall from Long Leave : The organisation may recall a manager who has gone on a
long leave. This is done when the organisation faces a problem which can only be solved
by that particular manager. After he solves the problem, his leave is extended.

EXTERNAL SOURCES OF RECRUITMENT:The external sources of recruitment are:-

1. Management Consultants : Management consultants are used for selecting higher-level

staff. They act as a representative of the employer. They make all the necessary
arrangements for recruitment and selection. In return for their services, they take a
service charge or commission.
2. Public Advertisements : The Personnel department of a company advertises the vacancy
in newspapers, the internet, etc. This advertisement gives information about the company,
the job and the required qualities of the candidate. It invites applications from suitable
candidates. This source is the most popular source of recruitment. This is because it gives
a very wide choice. However, it is very costly and time consuming.
3. Campus Recruitment : The organisation conducts interviews in the campuses of
Management institutes and Engineering Colleges. Final year students, who're soon to get
graduate, are interviewed. Suitable candidates are selected by the organisation based on
their academic record, communication skills, intelligence, etc. This source is used for
recruiting qualified, trained but inexperienced candidates.
4. Recommendations : The organisation may also recruit candidates based on the
recommendations received from existing managers or from sister companies.
5. Deputation Personnel : The organisation may also recruit candidates who are sent on
deputation by the Government or Financial institutions or by holding or subsidiary
companies
 RECRUITMENT PROCESS

Identify vacancy

Prepare Job description and person specification.

Advertising the vacancy

Managing the response

Short listing

Arrange interviews

Conducting interview and decision making (selection)

DIFFERENCE BETWEEN RECRUITMENT AND SELECTION

RECRUITMENT
 Recruitment is the process of searching the  Selection involves the series of
candidates for employment and stimulating
them to apply for jobs in the organization
 The basic purpose of recruitments is to
create a talent pool of candidates to enable
the selection of best candidates for the
organization, by attracting more and more
employees to apply in the organisation
 Recruitment is a positive process i.e.
Encouraging more and more employees to
apply
 Recruitment is concerned with tapping the
sources of human resources
 There is no contract of recruitment
established in recruitment
SELECTION
steps by which the candidates are
screened for choosing the most
suitable persons for vacant posts.
 The basic purpose of selection
process is to choose the right
candidate to fill the various
positions in the organisation.
 Selection is a negative process as it
involves rejection of the unsuitable
candidates
 Selection is concerned with
selecting the most suitable
candidate through various
interviews and tests.
 Selection results in a contract of
service between the employer and
the selected employee.

SELECTION

Selection refers to offering jobs to one or more applications from the application
Selection is the process of interviewing and evaluating the candidates for a specific job and
selecting an individual for employment based on certain criteria (qualifications, skills and
Experience). Employee selection can range from a very simple process to a very complicated
process depending on the firm hiring and the position.
Selection is the process of putting right men on right job. It is a procedure of matching
organizational requirements with the skills and qualifications of people.

 Application Blanks Indicates applicants desired position, provides information

fro interview

 Initial screening Provides a quick evaluation of applicant’s suitability.

Interview
 Testing Measures applicant’s job skills and ability to learn on the job
 Reference checks Checks truthfulness of applicants resume or applications forms.

 Physical examination Ensures effective performance and fitness requirements. Checks

for major disease.
 Job offer decision Fills a job vacancy or position.

Employee selection Practical examples

Siemens India: It uses extensive psychometric instruments to evaluate short-listed candidates.

The company uses occupational personality questionnaire to understand the candidate’s personal
attributes and occupational testing to measure competencies.

LG Electronics India: LG Electronics uses 3 psychometric tests to measure a person’s ability as

a team player, to check personality types and to find a person’s responsiveness and assertiveness.

Arthur Anderson: while evaluating candidates, the company conducts critical behaviour
interviewing which evaluates the suitability of the candidate for the position, largely based on his
past experience and credentials

PepsiCo India: The Company uses India as a global recruitment resource. To select
professionals for global careers with it, the company uses a competency- based interviewing
technique that looks at the candidate’s abilities in terms of strategizing, lateral thinking, problem
solving, managing the environment. This apart, Pepsi insists that to succeed in a global posting,
these individuals possess strong functional knowledge and come from a cosmopolitan
background.
PLACEMENT (SHORT NOTES)

Placement is a process of assigning a specific job to each of the selected candidates. It involves
assigning a specific rank and responsibility to an individual. Placement is nothing but assigning
jobs to the selected candidates. It is the assignment or re- assignment of an employee to a new or
different job. Placement includes initial assignment of job to new employee and promotion,
demotions or transfer to present employees.

It implies matching the requirements of a job with the qualifications of the candidate.

The significances of placement are as follows: -

 It improves employee morale.

 It helps in reducing employee turnover.
 It helps in reducing absenteeism.
 It helps in reducing accident rates.

ORIENTATION OR INDUCTION (SHORT NOTES)

A good induction programme should cover the following:

1. The company, its history and products, process of production and major operations
involved in his job.
2. The significance of the job with all necessary information about it including job training
and job hazards.
3. Structure of the organization and the functions of various departments.
4. Employee’s own department and job, and how he fits into the organization.
5. Personnel policy and sources of information.
6. Company policies, practices, objectives and regulations.
7. Terms and conditions of service, amenities and welfare facilities.
8. Rules and regulations governing hours of work and over-time, safety and accident
prevention, holidays and vacations, methods of reporting, tardiness and, absenteeism.
9. Grievances procedure and discipline handling.
10. Social benefits and recreation services.
11. Opportunities, promotions, transfer, suggestion schemes and job satisfaction.
EMPLOYEE TESTING & SELECTION

Why careful selection is important:

 the importance of selecting the right employees

 organizational performance
 costs of recruitment and hiring
 legal obligations and liability

types of validity:

 criterion validity
 face validity
 content validity
Types of tests:

what test measures

 cognitive(mental) abilities
 motor and physical abilities
 personality and interest
 achievement

Interview Formats :
1. Behavioral Interview
2. Situational Interview
3. Structured Interview
4. Unstructured Interview
5. Semi-Structured Interview
6. Case Interview
7. Testing/Assessment

Interview Types
Screening Interview
This type of interview is generally conducted by larger companies when there is a large
applicant pool and is typically the first phase of selection. Screening interviews are used to
ensure that the candidates meet minimum requirements and are often conducted by a computer
 or by an interviewer from the human resources department who is skilled at determining
whether there is anything that might disqualify you from the position.

Tips:
 Highlight your qualifications and accomplishments using non-technical language - the
HR professional is not necessarily an expert in your field.

 Answer questions clearly and succinctly - personality is not as important at this stage
of the process.

 If asked about salary expectations, use a range – make sure you’ve done your
homework in this area.

 If conducted by phone, have your resume beside you to refer to for dates and names.

Telephone Interview
Telephone interviews are often used to screen candidates in order to narrow the pool of
applicants who will be invited for in-person interviews- and is a good way to minimize travel
expenses! They can be challenging because you aren’t able to rely on nonverbal communication
or body language. You should prepare for this type of interview just as you would for a regular
interview so, if you are not given any warning and are not ready for an interview when called,
politely request that the interviewer call back at another mutually convenient time. This will
allow you to refresh your memory on the organization and be better prepared.

Tips:
 Have your resume, organization information, points that you want to highlight, and
list of questions you may want to ask in front of you - and have a short list of your
accomplishments prepared to discuss.

 Although you’re not required to dress up, you may find that it’s easier to get into the
‘interview mindset’ and feel more confident when dressed professionally.

 Have a pen and paper handy to keep notes or write down any questions that come up;
keep a glass of water beside you.

 Close the door or ensure you are in a quiet setting to eliminate any potential
distractions.

 Speak slowly, enunciate clearly, and vary your voice tone, tempo, and pitch to keep
the interviewers attention.

 Provide short answers that make interchange easier on the phone; do not interrupt the
interviewer.

 Restate the question if you have not fully heard or understood it.

 Smile – even on the phone it will project a positive image.

Video Conferencing
Video conferencing is typically used to conduct interviews using video technology from a
distance. The same interview strategies you would use if you were meeting in person apply -
clothing, body language, and dialogue are important.

Tips:
 Depending on the sophistication of the technology, you may experience short
transmission delays so be sure to take that into account when you are interacting with
the interviewer.

 Make eye contact with the camera, which, to the employer, appears as direct “eye
contact.”

 Check the monitor periodically to observe the interviewer’s body language.

One-on-One Interview
The most common interview format is the one-on-one (or face-to-face). This interview is
traditionally conducted by a direct supervisor and if often the last step in a series of interviews.
The interviewer may or may not be experienced in conducting interviews and, depending on
personality and experience, the interview may be directive following a clear agenda, or non-
directive relying on you to lead the discussion as you answer open-ended questions.

Tips:
 You will likely be asked a variety of interview questions, so be familiar with all of the
different types of questions so that you can adjust your answers appropriately.

 It is important to be thoroughly prepared – know the job and know yourself.

Panel Interview
A panel interview is conducted by two or more interviewers and is designed to reduce
individual interviewer bias. It is very common for entrance into graduate and professional
schools. One member of the panel may ask all of the questions or individual panel member
may take turns.

Tips:
 Make eye contact with the person asking the questions, but also to give every member
on the panel your attention, regardless of if they ask any questions at all – treat them
all with equal importance.

 Be prepared to extend more energy in this setting, as you need to be alert and
responding to more people

Group Interview
A group interview occurs when several candidates for a position are interviewed
simultaneously. Group interviews offer employers a sense of your leadership potential and
 style, and provide a glimpse of what you may actually be like as an employee and how you
would fit into the team. Candidates may also be asked to solve a problem together which allows
interviewers to assess candidate’s skills in action (e.g. teamwork).

Tips:
 Be aware of the dynamics established by the interviewer, try to discover the “rules of
the game”.

 Regardless of how you may feel about any member of the group, treat everyone with
respect, and avoid power struggles which make you appear uncooperative.

 Give everyone a chance to speak and not monopolize the conversation.

 Be aware that all interactions are being observed; don’t let down your guard or lose
your perspective.

General Group Interview/Information Session

This approach is intended to save time and ensure applicants understand the basics of the job
and organization by providing large amounts of information. This process is usually followed
by an individual interview.

Tip:
 To stand out in a group setting, a well-timed and intelligent question may help the
employer remember you positively.

Sequential/Serial Interview
A sequential interview is conducted by two or more interviewers, separately or in sequence.
The candidate either moves from one location to another or stays in one room and while
different interviewers join them. Sequential interviews involve a number of ‘first impression’
opportunities so be aware of how you present yourself each time. At the end of the process, the
interviewers meet to evaluate each applicant and make their decision.

Tip:
 If you have difficulties remembering what you have already said to one person –
don’t be afraid to ask!

Interview Formats
Behavioural Interview
The Interviewer will ask for specific examples from your past experiences to determine if you
can provide evidence of your skills in a certain area – the best predictor of future behaviour is
past behaviour. Although the interviewer is having you recount stories from your past, they are
really trying to imagine how you would handle similar situations in the future.

When deciding what examples from your past to use, consider the following:
  The more recent the behaviour, the better its predictive power.

 The more long-lasting the behaviour, the better its predictive power.

 Prepare yourself for the probable skill areas the employer will be interested in and
will, therefore, likely be asked about in the interview. Determine this by reviewing
the job description.

Situational Interview
This format is highly structured in that hypothetical situations are described and applicants are
asked to explain what they would do in these situations. Interviewers may use a scoring guide
consisting of sample answers to evaluate and score each applicant’s answers.

Structured Interview
This format combines the situational interview with a variety of other types of interview
questions. Typically, each candidate is asked the same set of questions and their answers are
compared to a scoring guide and rated. The goal of this approach is to reduce interviewer bias
and to help make an objective decision about the best candidate.

Unstructured Interview
Questions here are based on the individual’s application documents such as their résumé and so
different variants of a question will be asked to each applicant. Without structured guidelines,
the conversation can be free-flowing, thus making this method of interviewing the most prone
to bias, but allowing the interviewer to get a more natural and perhaps more realistic sense of
who you are. Although this type of interview may seem more casual, and may even occur over
lunch or dinner, you must still be well-prepared and maintain a professional demeanor. Be
careful not to provide information you would not have communicated if the interview was more
structured.

Semi-Structured Interview
This format is a blend of structured and unstructured, where the interviewer will ask a small list
of similar questions to all candidates along with some questions pertaining to your resume.

Case Interview
The case interview format is popular among consulting firms. It gives the interviewer a good
idea of you ability to solve problems ‘on the spot’ – an important skill for any consultant. This
interview format is also designed to assess logical thought processes, quantitative skills,
business knowledge, general knowledge, creativity, and communication skills.

Testing/Assessment
It is common for employers to use standardized tests or work simulation exercises to assess a
candidates fit to the position or to test work-related competencies. Testing is usually done after
an initial screening process and can be a very costly process for the employer .
Common Interview Errors
Feelings
If you like a candidate, you may attach attributes to them that don't actually exist.
Gut-feeling

Mind Set
Being influenced by your background, attitudes, motives, values, aspirations, and biases.
Stereotyping
Focusing on the job rather than personal traits can offset a tendency to categorize candidates.

Negative Bent
Tendency to focus on information which will automatically disqualify a candidate, causing
you to
overlook his/her strengths.

Halo Effect
Tendency to generalize one outstanding feature of a candidate as representative of success in
any endeavor, no matter how unrelated.

Snap Judgments
Make quick decisions rather than gathering information during the interview and evaluating it
afterwards.

Missing Data
Applicants should be encouraged to fill in the gaps.

Bad Record-Keeping
Unless you carefully document the interview, valuable material will slip through the cracks;
avoid
recording inappropriate information (i.e., anything not related to the job) or statements based on
your own inferences.

Leading Questions
Ask questions that lead the applicant to the answer you are looking for. For example, “You are
computer-savvy, aren’t you?

ASSIGNMENT QUESTIONS:{Unit-2}
1.Define Job Analysis? What are the methods for collecting Job Analysis information?
2.Discuss about HRP.
3.Explain Recruitment and Selection process.
4.What are the basic types of interviews and what are the common interview errors?
 UNIT-III
I. INTRODUCTION

Performance appraisal has been synonymous with performance review, performance

evaluation, performance assessment, performance measurement, employee evaluation,
personnel review, staff assessment, service rating, etc. The development of performance
appraisal has four distinct phases. It is called TEAM (Technical, Extended, Appraisal and
Maintenance) approach. Performance Appraisal is reviewing past performance,
rewarding past performance, goal setting for future performance and employee
development . Employee’s appraisal system may be considered one of the indicators of
the quality of Human Resource Management in an organization. Properly designed and
realized process of employees‟ appraisal is not only the necessary basis of successful
employee performance management, but also provides valuable information for other
human resource management functions . Performance Appraisal is important because it
helps in Performance Feedback, Employee Training and Development Decisions,
Validation of Selection process, Promotions & Transfers, Layoff Decisions,
Compensation Decisions, Human Resource Planning (HRP), Career Development and
Develop Interpersonal Relationship. Some techniques that were used in the past are not
use during present time, like ranking, critical incident, narrative essays. In all the way of
work time, many of new advance roads have been suggested for performance appraisal
technique like MBO, Assessment Centers, BARS, Human Resource Accounting, 360
Degree and 720 Degree

DIFFERENT TECHNIQUES OF PERFORMANCE

APPRAISAL

There are two types of measures are used in performance appraisal: Objective measures
which are directly quantifiable and Subjective measures which are not directly
quantifiable. Performance Appraisal can be broadly classified into two categories:
Traditional Methods and Modern Methods. The performance appraisal methods are:

Traditional Methods

Traditional Methods are relatively older methods of performance appraisals. This method
is based on studying the personal qualities of the employees. It may include knowledge,
initiative, loyalty, leadership and judgment.
A. Ranking Method

According to Dessler et al. (2011), ranking method is ranking employees from best to
worst on a particular trait, choosing highest, then lowest, until all ranked .

B. Graphic Rating Scales

In 1922, Paterson working with the employees of the Scott Company developed a graphic
scale to provide the reliability, consistency over time, usefulness and practicality.
Bradshaw in 1931 discussed improvements to the graphic rating scale that included
“behaviorism” to anchor the scales and help better illustrate the trait . In 1972, Flynn told
that the five to nine scale points result in the highest quality of ratings. According to
Dessler et al. (2011), Graphic Rating Scale is a scale that lists a number of traits and a
range of performance for each. The employee is then rated by identifying the score that
best describes his or her level of performance for each trait .

C. Critical Incident Method

The technique was formally codified by the works of Fitts and Jones in 1947 for
classifying pilot error experiences in reading and interpreting aircraft instruments. Fitts
and Jones used the term “errors” rather than “critical incidents”. As opposed to Fitts and
Jones way of collecting data, data gathering during task performance is now considered a
defining criterion for critical incident methods. The work of John Flanagan in 1954
became the landmark critical incident technique, after his title entitled “The Critical
Incident Technique” appeared in the psychological bulletin. Flanagan (1954) defined the
critical incident technique as a set of procedures designed to describe human behavior by
collecting description of events having special significance and meeting systematically
defined criteria. Flanagan originally used trained observers to collect critical incident
identification. Identification of the critical incidents during task performance can be a
individual process or a mutual process between user and evaluator [9].According to
Dessler et. al.(2011),Critical Incident method is keeping a record of uncommonly good or
undesirable examples of an employee‟s work related behavior and reviewing it with the
employee at predetermined times .

D. Narrative Essays

Evaluator writes an explanation about employee‟s strength and weakness points, previous
performance, positional and suggestion for his (her) improvement at the end of evaluation
time. This technique mainly attempt to focus on behavior [7].

Modern Methods
Modern Methods were devised to improve the traditional methods. It attempted to
improve the shortcomings of the old methods such as biasness, subjectivity, etc.

E. Management by Objectives

In1954, Peter F. Drucker introduced “Management By Objective” in his book “The

Practice of Management”. It comprises of three building blocks: object formulation,
execution process and performance feedback [17]. In 2000,Weihrich suggested a new
model: the system approach to MBO(SAMBO).SAMBO comprises seven elements:
strategic planning and hierarchy of objects, setting objectives, planning for action,
implementation of MBO, control and appraisal, subsystems, and organizational and
management development.

F. Behaviorally Anchored Rating Scale (BARS)

BARS were introduced by Smith and Kendall in 1963 with the attention of researchers
concerned with the issue of reliability and validity of performance ratings. Behavioral
anchor scales are more informative than simple numbers. Behaviorally anchored
performance dimensions can be operationally and conceptually can be distinguished from
one another . Rater will act as observer not the judge.BARS help rater focus on specific
desirable and undesirable incidents of work behavior which can serve as examples in
discussing a rating. BARS use behavioral statements or concrete examples to illustrate
multiple levels of performance for each element of performance .

G. Humans Resource Accounting

The concept of human resource accounting was first developed by Sir William Petty in
1691.But research into true human resource accounting began in the 1960 by Rensi
Likert. Prof. Flamholtz defines human resource accounting for people as an
organizational resource. The main theory underlying the HRA is: The people are valuable
resources of an organization or enterprise, information on investment and value of human
resource is useful for decision making in the organization[15].This paper aims at
analyzing the application of human resource accounting in heav industries covering the
period from 2001-2010.In1965, both Cronbach & Glaser and Naylor & Shine developed
models for estimating the financial utility of personnel selection and used the concept of
„utility analysis‟. In 1966, Grojer and Johnson embrace both HRA and UA, suggest the
concept of human resource costing and accounting (HRCA). Another method of human
resource accounting is human resource value accounting (HRVA).

H. Assessment Centers

The assessment center method, in its modern form, came into existence as a result of AT
& T Management Progress Study by Bray, Campbell & Grant in 1974.Common job simulations
used in assessment centers are in basket exercises, group discussions, simulations of interviews
with “subordinates” or “clients”, fact finding exercises, analysis/decision making problems, oral
presentation exercises, written communication exercises[4].

I. 360 Degree

It is a popular performance appraisal technique that involves evaluation input from multiple
levels within the firm as well as external sources.360 Degree feedback relies on the input of an
employee‟s superior, colleagues, subordinates, sometimes customers, suppliers and/or
spouses[7].It provides people with information about the effect of their action on others
in the workplace. It provides a notion of behavioral change might be elicited through
process of enhanced self-awareness.

J. 720 Degree

Rick Gal breath became dissatisfied with 360 degre reviews. Gal breath started using the
720 degree and defined it as a more intense, personalized and above all greate review of
the upper level managers that brings in the perspective of their customers or investors, as
well as subordinates. 720 degree review focuses on what matter most, which is the
customer or investor perception of their work .720 degree approach gives people a very
differen view of themselves as leaders and growing individuals. 360 degree appraisal
method is practiced twice. When the 360- Degree appraisal is done, then the performance
of the employee is evaluated and having a good feedback mechanism, the boss sits down
with the employee again a second time and gives him feedback and tips on achieving the
set targets [14].

III. OTHER TECHNIQUES

There are many other techniques such as 90 degree,180 degree,270 degree, balanced
score card, mixed standard scale, human resource costing and accounting, paired
comparison, forced distribution method, behavioral observation scale, mixed standard
scale, electronic performance monitoring, confidential reports etc. are also used for
performance appraisal but not discussed in this paper. Table 1 represents the summary of
this paper.

IV. CONCLUSION

From this we conclude that there are many techniques that used for performance
appraisal. It is very difficult to say that which technique is better than other technique
because it depends upon the type and size of organization. Each Technique has its own
pros and cons.
 Performance Appraisal - Performance Appraisal is a systematic evaluation of present
potential capabilities of personnel. It is a process of collecting, analyzing and evaluating data
relative to job behavior and results of individuals.

1. Careeris a sequence of positions occupied by a person during the course of a life time.
Career planning and development are necessary to attract, engage and retain the best
professionals in the organization for its competitiveness. Best employees attach great value to
career for their personal and professional development.
A career is the pattern of work related experiences that span the course of a person’s life.
Each individual is ultimately responsible for his or her own career, which includes
developing a clear understanding of self and environment in order to establish career goals
and plans. Organizations can assist the individual by providing information, opportunities,
and assistance.
A career is a sequence of work-related positions occupied by a person during a lifetime.
That is career is a sequence of attitudes and behaviors associated with the series of job and
work related activities over a person’s lifetime.
Career path is a chart showing the possible directions and career opportunities available in
the organization; it presents the steps in a possible career and a plausible timetable for
accomplishing them.

Career planning is a process to gain insights into what a person is , where he is and where he
wants to go in his career. The process may include identifying what is important to him in
career, identifying what career path is best for him and skill building to improve his career
possibilities.
Career planning is a process of systematically matching career goals and individual
capabilities with opportunities for their fulfillment.
The career planning encourages individuals to explore and gather information, which enables
them to synthesize, gain competencies, makes decisions, set goals and take actions.
Career planning involves activities performed by an individual, often with assistance of
counselor and others, to assess his or her skills and abilities in order to establish a realistic
career plan.
Career planning is defined as “ a deliberate process of(i) becoming aware of self,
opportunities, constraints, choices, and consequences , (ii) identifying career related goals,
and (iii) programming work, education and related developmental experience to provide the
direction, timing and sequences of steps to attain a specific career goal.”
Career planning is a crucial phase of human resource development because career planning
provides employees to make strategy for work-life balance. Work-life balance refers to the
process by which people balance career demands with personal and family needs.
Progressive company/ organizations support a healthy work-life balance.
2. Career Planning– Career planning is a systematic process by which one selects career
goals and path to achieve these goals. Organizations must help the employees to plan their
career in terms of their capacities within the context of organization’s needs. Career planning
is necessary due to the following reasons
a) To attract competent persons and to retain them in the organizations.
b) To provide suitable promotional opportunities.
c) To enable the employees to develop and make them ready to meet the future
challenges.
d) To increase the utilization of managerial reserves within an organsiation.
e) To correct employee placement.
f) To reduce employee dissatisfaction and turnover.
g) To improve motivation and morale.

3. Career Development–
Career development involves tracking career paths. It focuses on assisting individuals to
identify their major career goals and to determine what they need to do to achieve these goals.
a) Ensure that needed talent is available in the organization.
b) Improves the organisation’s ability to attract and retain personnel of high talent.
c) Reduces the frustration amongst the employees.

GREENHAUS CAREER DEVELOPMENT MODEL

According to Greenhaus and Callanan (1994), there are five stages in career development.
They are:

1. Exploration – Exploration is a career stage that usually ends in one’s mid-twenties as one
makes the transaction from college to work. This stage has the least relevance from the
organizational point of view as it happens prior to employment.
2. Establishment – It is a career stage in which one begins to search for work. It includes getting
one’s first job. It takes many years to search for a right job. The problem of this stage
 includes making mistakes, learning from those mistakes and assuming increased
responsibilities.
3. Mid-career stage- This stage is marked by a continuous improvement in performance ,
leveling off in performance or the start of deterioration in performance. Remaining
productive at work is a major challenge of career at this stage. Some employees reach their
goals

TRAINING AND DEVELOPMENT:

Training of employees takes place after orientation takes place. Training is the process of
enhancing the skills, capabilities and knowledge of employees for doing a particular job.
Training process moulds the thinking of employees and leads to quality performance of
employees. It is continuous and never ending in nature.

IMPORTANCE OF TRAINING

Training is crucial for organizational development and success. It is fruitful to both employers
and employees of an organization. An employee will become more efficient and productive if he
is trained well. Training is given on four basic grounds:

1. New candidates who join an organization are given training. This training familiarize
them with the organizational mission, vision, rules and regulations and the working
conditions.
2. The existing employees are trained to refresh and enhance their knowledge.
3. If any updations and amendments take place in technology, training is given to cope up
with those changes. For instance, purchasing a new equipment, changes in technique of
production, computer impartment. The employees are trained about use of new
equipments and work methods.
4. When promotion and career growth becomes important. Training is given so that
employees are prepared to share the responsibilities of the higher level job.

THE BENEFITS OF TRAINING CAN BE SUMMED UP AS:

1. Improves morale of employees- Training helps the employee to get job security and job
satisfaction. The more satisfied the employee is and the greater is his morale, the more he
will contribute to organizational success and the lesser will be employee absenteeism and
turnover.
2. Less supervision- A well trained employee will be well acquainted with the job and will
need less of supervision. Thus, there will be less wastage of time and efforts.
 3. Fewer accidents- Errors are likely to occur if the employees lack knowledge and skills
required for doing a particular job. The more trained an employee is, the less are the
chances of committing accidents in job and the more proficient the employee becomes.
4. Chances of promotion- Employees acquire skills and efficiency during training. They
become more eligible for promotion. They become an asset for the organization.
5. Increased productivity- Training improves efficiency and productivity of employees.
Well trained employees show both quantity and quality performance. There is less
wastage of time, money and resources if employees are properly trained.

METHODS OF TRAINING

On-the-job Methods Off-the-job Methods

 Job Rotation  Classroom Lectures

 Coaching  Audio-Visual
 Job Instruction  Simulation
 Committee Assignments  Vestibule Training
 Apprenticeship  Case Studies
 Internship  Role Playing
 Programmed Instructions

The most well-known and used model for measuring the effectiveness of training programs was
developed by Donald Kirkpatrick in the late 1950s. It has since been adapted and modified by a
number of writers, however, the basic structure has well stood the test of time. The basic
structure of Kirkpatrick's four-level model is shown here.

Kirkpatrick Model for Evaluating Effectiveness of Training Programs

 Level 4 - Results
 Level 3 - Behavior
 Level 2 - Learning
 Level 1 – Reaction
Level 1: Reaction This level measures how the trainees (the people being trained), reacted to the
training. Obviously, trainer wants trainees to feel that the training was a valuable experience, and
to feel good about the instructor, the topic, the material, its presentation, and the venue.

It's important to measure reaction; because it helps a trainer to understand how well the training
was received by the audience. It also helps to improve the training for future trainees, including
identifying important areas or topics that are missing from the training.

Level 2: Learning At level 2, measure what trainees have learned. How much has their
knowledge increased as a result of the training?

When the trainer planned the training session, it should have hopefully started with a list of
specific learning objectives: these should be the starting point for measurement for training
effectiveness.

The trainer should keep the method to assessment of learning in different ways depending on
these objectives, and depending on whether you're interested in changes to knowledge, skills, or
attitude. It’s important to measure this, because knowing what trainees are learning and what
they aren't will help trainer improve future training.

Level 3: Behavior At this level, trainer evaluates how far the trainees have changed their
behavior, based on the training they received. Specifically, this looks at how trainees apply the
information.
It's important to realize that behavior can only change if conditions are favorable. However, just
because behavior hasn't changed, it doesn't mean that trainees haven't learned anything. Perhaps
their boss won't let them apply new knowledge. Or, maybe they've learned everything trainer
taught, but they have no desire to apply the knowledge themselves.

Level 4: Results At this level, the trainer analyze the final results of the training. This includes
outcomes that trainer or the organization have determined to be good for business, good for the
employees, or good for the bottom line.

Yield Ratio Analysis
The ratio between Number of applications received and
applications selected is called yield ratio of recruitment. A yield
ratio reflects the percentage of job candidates at the beginning of a
step in the recruitment/selection process who move on to the next
step in that process

Human Resource Development (HRD) is the framework for helping employees develops their
personal and organizational skills, knowledge, and abilities.

Human Resource Development includes such opportunities as employee training, employee

career development, performance management and development, coaching, mentoring,
succession planning, key employee identification, tuition assistance, and organization
development.

The focus of all aspects of Human Resource Development is on developing the most superior
workforce so that the organization and individual employees can accomplish their work goals in
service to customers

HRD concept was first introduced by Leonard Nadler in 1969 in a conference in US.
“He defined HRD as those learning experience which are organized, for a specific time, and
designed to bring about the possibility of behavioral change”.
 Human Resource Management Human Resource Department
• The human resource management is • Human resource development is
mainly maintenance oriented development oriented.

• Organisation structure in case of • Human resource development

human resources management is
independent
• Human resource management
mainly aims to improve the efficiency
of the employees
• Responsibility of human resource
development is given to the
personnel/human resource
management department and
specifically to personnel manager
creates a structure, which is inter-
dependent and inter-related.
• Aims at the development of the
employees as well as organisation as
a whole.
• Responsibility of HRD is given to all
managers at various levels of the
organisation.

• HRM motivates the employees by • Human resource development

giving them monetary incentives or stresses on motivating people by
rewards satisfying higher-order needs.

4. Careeris a sequence of positions occupied by a person during the course of a life time.
Career planning and development are necessary to attract, engage and retain the best
professionals in the organization for its competitiveness. Best employees attach great value to
career for their personal and professional development.
A career is the pattern of work related experiences that span the course of a person’s life.
Each individual is ultimately responsible for his or her own career, which includes
developing a clear understanding of self and environment in order to establish career goals
and plans. Organizations can assist the individual by providing information, opportunities,
and assistance.
A career is a sequence of work-related positions occupied by a person during a lifetime.
That is career is a sequence of attitudes and behaviors associated with the series of job and
work related activities over a person’s lifetime.
Career path is a chart showing the possible directions and career opportunities available in
the organization; it presents the steps in a possible career and a plausible timetable for
accomplishing them.
 Career planning is a process to gain insights into what a person is , where he is and where he
wants to go in his career. The process may include identifying what is important to him in
career, identifying what career path is best for him and skill building to improve his career
possibilities.
Career planning is a process of systematically matching career goals and individual
capabilities with opportunities for their fulfillment.
The career planning encourages individuals to explore and gather information, which enables
them to synthesize, gain competencies, makes decisions, set goals and take actions.
Career planning involves activities performed by an individual, often with assistance of
counselor and others, to assess his or her skills and abilities in order to establish a realistic
career plan.
Career planning is defined as “ a deliberate process of(i) becoming aware of self,
opportunities, constraints, choices, and consequences , (ii) identifying career related goals,
and (iii) programming work, education and related developmental experience to provide the
direction, timing and sequences of steps to attain a specific career goal.”
Career planning is a crucial phase of human resource development because career planning
provides employees to make strategy for work-life balance. Work-life balance refers to the
process by which people balance career demands with personal and family needs.
Progressive company/ organizations support a healthy work-life balance.

5. Career Planning– Career planning is a systematic process by which one selects career
goals and path to achieve these goals. Organizations must help the employees to plan their
career in terms of their capacities within the context of organization’s needs. Career planning
is necessary due to the following reasons
h) To attract competent persons and to retain them in the organizations.
i) To provide suitable promotional opportunities.
j) To enable the employees to develop and make them ready to meet the future
challenges.
k) To increase the utilization of managerial reserves within an organsiation.
l) To correct employee placement.
m) To reduce employee dissatisfaction and turnover.
n) To improve motivation and morale.

6. Career Development–
Career development involves tracking career paths. It focuses on assisting individuals to
identify their major career goals and to determine what they need to do to achieve these goals.
d) Ensure that needed talent is available in the organization.
e) Improves the organisation’s ability to attract and retain personnel of high talent.
f) Reduces the frustration amongst the employees.
 GREENHAUS CAREER DEVELOPMENT MODEL

According to Greenhaus and Callanan (1994), there are five stages in career development.
They are:

4. Exploration – Exploration is a career stage that usually ends in one’s mid-twenties as one
makes the transaction from college to work. This stage has the least relevance from the
organizational point of view as it happens prior to employment.
5. Establishment – It is a career stage in which one begins to search for work. It includes getting
one’s first job. It takes many years to search for a right job. The problem of this stage
includes making mistakes, learning from those mistakes and assuming increased
responsibilities.
6. Mid-career stage- This stage is marked by a continuous improvement in performance ,
leveling off in performance or the start of deterioration in performance. Remaining
productive at work is a major challenge of career at this stage. Some employees reach their
goals

Proteus was a character in Greek mythology who could change shapes in any way he wanted-
from fire to lion to dragon to tree. Douglas T. Hall has drawn on this mythological figure to coin
the term protean career. Protean career theory was first introduced by Douglas T. Hall in 1976
in his book Careers in Organizations The essence of this idea is that there is much more to a
career than just moving up the hierarchies of organizations:

The protean career is a process which the person, not the organization, is managing. It
consists of all of the person's varied experiences in education, training work in several
organizations, changes in occupational field, etc.
Characteristics of protean career is

a) Focus on psychological success rather than vertical success

b) Lifelong series of identity changes and continuous learning
c) Career age counts, not chronological age
d) Job security replaced by the goal of employability
e) Sources of development are work challenges and relationships, not necessarily training
and retraining programs
f) The new career contract is not a pact with the organization; rather, it is an agreement with
one’s self and one’s work
g) Focus on learning metaskills(learning how to learn), i.e., how to develop self-knowledge
(about one’s identity) and adaptability
h) Adaptability and identity learning is best accomplished through interactions with other
people (reflected in interdependence, mutuality, reciprocity, and learning from
differences)

The protean career is not what happens to the person in any one organization. The protean
person's own personal career choices and search for self-fulfillment are the unifying or
integrative elements in his or her life. The criterion of success is internal (psychological success),
not external.

Viewed in this light, a career is an ongoing sequence of events, some of which may have little or
nothing to do with money or prestige.
Also, according to this view, a career extends over the entire work life.
What happens in one year or in one corporation is just a small piece of the rich career mosaic.
Finally, determining whether or not a career is successful is up to the individual.
If people are happy with the way their careers turn out, how can anyone say that their careers are
failures?

ASSIGNMENT QUESTIONS:{Unit-3}

1.Define Performance appraisal. What are the methods of performance appraisal?

2.Discuss about Career Management & Talent management..
3. How to Analyze Training needs and Implement different training program?
4.Explain the concept of Performance Management Appraisal.
 UNIT –IV

COMPENSATION AT WORK

refers to all forms of pay or rewards going to employees and

arising from their employment.

Direct financial payments:

in the form of wages, salaries, incentives, bonuses,

Indirect payments:
in the form of financial benefits like employer
paid insurance and vacations

Basic factors in determining pay structure:

 Legal considerations in compensation

 Union influences on compensation decisions

 Compensation policies

 Equity and its impact on pay rates

 Direct financial payments

 Pay in the form of wages, salaries, incentives, commissions and bonuses.

 Indirect financial payments

 Pay in the form of financial benefits such as insurance.

 Employee compensation refers to all forms of pay going to employees and arising from
their employment. It has two main components, direct financial payments (wages,
salaries, incentives, commissions and bonuses). And indirect financial payments
(financial benefits like employer paid insurance and vacations).

 In turn, there are basically two ways to make direct financial payments to employees:
base them on increments of time, or on performance. Time based pay is still the
foundation of most employers’ pay plans. Blue collar and clerical workers get hourly or
daily wages for instance and others. Like managers or Web designers tend to be salaried
and paid by the week, month or year. The second direct payment option is to pay for
performance. Piecework is an example. It ties compensation to the amount of production
(or number of pieces) the worker turns out. For instance, you divide a worker’s target
 hourly wage by the standard number of units he or she is to produce in one hour. Then for
each unit wage he or she produces, the person earns the calculated rate per piece. Sales
commissions are another example of performance based (in this case, sales based)
compensation. Of course employers also devise pay plans in which employees receive
some combination of time based pay plus incentives.

 We explain how to formulate plans for paying employees a time based wage or salary;
subsequent chapters cover performance based financial incentives and bonuses and
employees benefits.

 Several factors determine the design of any pay plan: legal, union, company policy and
equity. We’ll start legal factors both in India and the United States.

 Legal considerations in Compensation

Employee compensation systems around the world operate within the framework of
legislations. Fair compensation for work is an integral component of decent work as
defined by the ILO. In India also various legislations influence the structure computation
and payment of compensation wages). Generally the non managerial level of employees
and a section of workers in the informal sector of economy are covered by wage
legislations. The important wage related legislations are the Minimum Wages Act of
1948, the Payment of Wages Act of 1936 and the Equal Remuneration Act of 1976.
Separate legislations have been enacted to cover bonus payment, retirement benefits, and
social security benefits to employees in the formal sector.

 Companies Act of 1956

The companies Act of 1956 sets the framework for remuneration of top management of
Indian companies.

Till 1991, an upper ceiling of Rs 15,000 per month existed for top managerial
remuneration. Similarly there were caps on profit sharing ad payable perquisites. The
limits were later relaxed. Under section 198 of the act, the total remuneration payable to
directors including managing directors (MDs) and whole time directors of publicly listed
companies in any financial year should not exceed 11% of the net profits of the company.
Further Section 309 (1) of the act requires the board of directors to fix the remuneration
of directors. The remuneration committee one of the subcommittees of the board of
directors of a firm, has the task of playing a key role in determining the salary structure of
full time directors and senior management.

 In the United States various laws specify things like minimum wages, overtime rates, and
benefits. For example, the 1931 Davis Bacon act allows the secretary of labor to set wage
rates for laborers and mechanics employed by contracts working for the federal
government. Amendments provide for paid employee benefits. The 1936 Walsh – Healey
public Contract Act sets basic labor standards for employees working on any government
contract that amounts to more than $10,000 . It contains minimum wage, maximum hour
 and safety and health provisions and time and a half pay for work over 40 hours a week.
Title VII of the 1964 Civil rights act makes it unlawful for employees to discriminate
against any individual with respect to hiring compensation terms conditions or privileges
of employment because of race, color, religion, sex or national origin.

Establishing pay rates :

Establishing pay rates involves five steps as follows:

1. Evaluating jobs

2. Developing pay grades

a) point method

b) Ranking method

c) Classification method

3. Conducting a salary survey

4. Price each pay grade using a wage curve

5. Fine tuning pay rates.

THE PROCESS OF ESTABLISHING PAY RATES

1. Conduct a salary survey of what other employers are paying for comparable jobs (to help
ensure external equity)
2. Determine the worth of each job in
the organization through job evaluation (to ensure internal equity)
3. Group similar jobs into pay grades
4. Price each pay grade by using wage curves
5. Pay rates

1. Conduct the salary survey

 formal or informal salary surveys

 Formal written questionnaire surveys are the most comprehensive (20% of large
employers use their own formal questionnaire to collect compensation information from
other employers).

 Informal telephone surveys and newspapers ads are also sources of information
 2. Determine the worth of each job: Job evaluation
Pricing managerial and professional jobs

Developing compensation plans for managers or professionals is similar in many respects to

developing plans for any employee. The basic aim is the same: to attract and keep good
employees. And job evaluation – classifying jobs, ranking them, or assigning points to them, for
instance is about as applicable to managerial and professional jobs as to production and clerical
ones.

There are some big differences though Managerial jobs tend to stress harder to quantify factors
like judgment and problem solving more than do production and clerical jobs. There is also more
emphasis on paying managers and professionals based on results based on their performance or
on what they can do rather than on the basis of static job demands like working conditions. And
there is also the considerable challenges of having to compete in the market place for executives
by some standards are paid like rock stars. So, job evaluation while still important usually plays a
secondary role to non salary issues like bonuses, incentive, market rates, and benefits

Compensating Executive and Managers

Compensation for a company’s top executives usually consists of four main elements; base pay,
short term incentives, long term incentive and executive benefits and perks. Base pay includes
the person’s fixed salary as well as, often guaranteed bonuses such as 10% of pay at the end of
the fourth fiscal quarter, regardless of whether or not the company makes a profit. Short term
incentives are usually cash or stock bonuses for achieving short terms goals, such as year to year
increase in sales revenue. Long term incentives aim to encourage the executive to take actions
that drive up the value of the company’s stock, and include things like stock options; these
generally give the executive the right to purchase stock at a specific price for a specific period.
Finally, executive benefits and perks might include supplemental executive retirement pension
plans, supplemental life insurance and health insurance without a deductible or coinsurance.
With so many complicated elements employers must also be alert to the tax and securities law
implications of their executive compensation decisions.

What determines executive pay?

The traditional wisdom is that company size and performance significantly affects top managers’
salaries. Studies show that company size and company performance explain only about 30% of
the variation in CEO pay. Instead each firm seems to take a unique approach: In reality CEO pay
is set by the board taking into account a variety of factors such as the business strategy, corporate
trends and most importantly where they want to be in a short and long term. Anther study
concluded that CEOs pay depends on the complexity and unpredictability of the decisions they
make. In this study, complexity was a function of such things as the number of businesses
controlled by the CEO’s firm, the number of corporate officers in each firm, and the level of
R&D and capital investment activity. In practice CEOs may have considerable influence over the
boards of directors who theoretically set their pay. So, while some CEOs may be paid like top
athletes their pay is sometimes not based on the arms length market based negotiation that the
athletes (or rock stars) are.

However we’ll see that shareholder activism has tightened the restrictions on what companies
pay top executives. For example, share holders in pharmaceuticals firm Glaxo Smithkline voted
to reject the board’s recommendation to pay its chief executive $35 million if he lost his job and
to enhance the pension plans of both him and his wife.

Elements of Executive Pay

Salary is traditionally the cornerstone of executive compensation it’s element on which

employers layer benefits, incentives and perquisites – all normally conferred in proportion to
base pay. Executive compensation emphasizes performance incentives more than do other
employees’ pay plans, since organizational results are likely to reflect executives’ contributions
more directly than lower echelon employees. Indeed boards are boosting the emphasis on
performance based pay (in part due to shareholder activism). The big issue here is identifying the
appropriate performance standards and then determining how to link these to pay. Typical short
term measures of share holder value include revenue growth and operating profit margin. Long
term shareholder value measures include rate of return above some predetermined base, and what
is known as economic value added.

Employee Benefits

Employee benefits typically refers to retirement plans, health life insurance, life insurance,
disability insurance, vacation, employee stock ownership plans, etc. Benefits are increasingly
expensive for businesses to provide to employees, so the range and options of benefits are
changing rapidly to include, for example, flexible benefit plans.
Benefits are forms of value, other than payment, that are provided to the employee in return for
their contribution to the organization, that is, for doing their job. Some benefits, such as
unemployment and worker's compensation, are federally required. (Worker's compensation is
really a worker's right, rather than a benefit.)

Prominent examples of benefits are insurance (medical, life, dental, disability, unemployment
and worker's compensation), vacation pay, holiday pay, and maternity leave, contribution to
retirement (pension pay), profit sharing, stock options, and bonuses. (Some people would
consider profit sharing, stock options and bonuses as forms of compensation.)

Employee Benefits
Benefits are all financial rewards that generally are not paid directly to an employee. Benefits
absorb social
costs for health care and retirement and can influence employee decisions about employers.

I.Benefits (Indirect Financial Compensation)

Most organizations recognize that they have a responsibility to provide their employees with
insurance and
other programs for their health, safety, security, and general welfare. These benefits include all
financial
rewards that generally are not paid directly to the employee.

II.Mandated Benefits (Legally Required)

Although most employee benefits are provided at the employer's discretion, others are required
by law.
Legally required benefits include Social Security, unemployment compensation, and workers'
compensation.
a) Social Security--It is a system of retirement benefits that provides benefits like disability
insurance, survivor's benefits, and, most recently, Medicare.
b) Unemployment Compensation--An individual laid off by an organization covered by the
Social
Security Act may receive unemployment compensation for up to 26 weeks. Although the federal
government provides certain guidelines, unemployment compensation programs are
administered
by the states, and the benefits vary state by state.
c) Workers' Compensation--Workers' compensation benefits provide a degree of financial
protection for employees who incur expenses resulting from job-related accidents or illnesses.

d) Family And Medical Leave Act Of 1993 (FMLA)--The Family and Medical Leave Act
applies
to private employers with 50 or more employees and to all governmental employers regardless of
the number of employees. The act provides for up to 12 workweeks of unpaid leave per year for
absences due to the employee's own serious health condition or the need to care for a newborn or
newly adopted child or a seriously ill child, parent, or spouse.
III.
Discretionary Benefits (Voluntary)
Organizations voluntarily provide numerous benefits. These benefits may be classified as (1)
payment for
time not worked, (2) health and security benefits, (3) employee services, and (4) premium pay.
Generally
speaking, such benefits are not legally required.
a) Payment For Time Not Worked--In providing payment for time not worked, employers
recognize that employees need time away from the job for many purposes, such as paid
vacations,
payment for holidays not worked, paid sick leave, jury duty, national guard or other military
reserve
duty, voting time, and bereavement time. Some payments are provided for time off taken during
work hours, such as rest periods, coffee breaks, lunch periods, cleanup time, and travel time.
· Paid Vacations: Payment for time not worked serves important compensation goals. Paid
vacations provide workers with an opportunity to rest, become rejuvenated, and hopefully,
become more productive.
· Sick Leave: Each year many firms allocate, to each employee, a certain number of days of
sick leave, which they can use when ill.
b) Health Benefits--Health benefits are often included as part of an employee's indirect financial
compensation. Specific areas include health, dental, and vision care.
·
Health care: Benefits for health care represent the most expensive and fastest-growing cost in
the
area of indirect financial compensation. Many factors have combined to create this situation: an
aging population, a growing demand for medical care, increasingly expensive medical
technology, a
lack of price controls, and inefficient administrative processes. In addition to self-insurance and
traditional commercial insurers, employers may utilize one of several options. Health
maintenance
organizations (HMOs) are one option in which all services are covered for a fixed fee; however,
employers control which doctors and health facilities may be used. Point-of-service (POS)
permits a
member to select a provider within the network, or, for a lower level of benefits, go outside the
network. Preferred provider organizations (PPOs) are a more flexible managed care system.
Although
incentives are provided to members to use services within such a system, out-of-network
providers
may be utilized at greater cost. Exclusive provider organizations (EPO) offer a smaller PPO
provider
network and usually provide little, if any, benefits when an out-of-network provider is used.
·
Capitation: Typically, the reimbursement method used by primary care physicians is an
approach
to health care where providers negotiate a rate for health care for a covered life over a period of
time. It presumes that doctors have an incentive to keep patients healthy and to avoid costly
procedures when they are paid per patient rather than per service.
·
Defined-Contribution health care system: Companies give each employee a set amount of
money
annually with which to purchase health care coverage.
·

Utilization Review: A process that scrutinizes medical diagnoses, hospitalization, surgery, and
other medical treatment and care prescribed by doctors.
·
The Health Insurance Portability and Accountability Act of 1996: Provides new protections
for approximately 25 million Americans who move from one job to another, who are self-
employed, or who have preexisting medical conditions.

Human Resource Management

·
Dental and Vision Care: Relative newcomers to the list of potential health benefits. Both types
of plans are typically paid for entirely by the employers.
c) Security Benefits--Security benefits include retirement plans, disability insurance, life
insurance,
and supplemental unemployment benefits.
·
Retirement Plans: Private retirement plans provide income for employees who retire after
reaching a certain age or having served the firm for a specific period of time. In a defined benefit
plan,
the employer agrees to provide a specific level of retirement income that is either a fixed dollar
amount or a percentage of earnings. A defined contribution plan is a retirement plan that requires
specific contributions by an employer to a retirement or savings fund established for the
employee.
A 401(k) plan is a defined contribution plan in which employees may defer income up to a
maximum amount allowed. An employee stock ownership plan (ESOP) is a defined contribution
plan in
which a firm makes a tax-deductible contribution of stock shares or cash to a trust.
·
Disability Protection: Workers' compensation protects employees from job-related accidents
and
illnesses. Some firms, however, provide additional protection that is more comprehensive.
·
Supplemental Unemployment Benefits (SUB): Supplemental unemployment benefits are
designed to provide additional income for employees receiving unemployment benefits.
·
Life Insurance: Group life insurance is a benefit commonly provided to protect the employee's
family in the event of his or her death. Although the cost of group life insurance is relatively low,
some plans call for the employee to pay part of the premium.
d) Employee Services--Organizations offer a variety of benefits that can be termed employee
services. These benefits encompass a number of areas including relocation benefits, child care,
educational assistance, food services/ subsidized cafeterias, and financial services.
·
Relocation Benefits: Include shipment of household goods and temporary living expenses,
covering all or a portion of the real estate costs associated with buying a new home and selling
the previously occupied home.
·

Child Care: Another benefit offered by some firms is subsidized child care. Here, the firm may
provide an on-site child care center, support an off-site center, or subsidize the costs of child
care.
·
Educational Assistance: According to a recent benefits survey, 81 percent have educational
benefits that reimburse employees for college tuition and books.
·
Food Services/ Subsidized Cafeterias: Most firms that offer free or subsidized lunches feel that
they get a high payback in terms of employee relations.
·
Financial Services: One financial benefit that is growing in popularity permits employees to
purchase different types of insurance policies through payroll deduction.
·
Unique Benefits: A tight labor market gives birth to creativity in providing benefits.
e) Premium Pay--Compensation paid to employees for working long periods of time or working
under dangerous or undesirable conditions.
·
Hazard pay: Additional pay provided to employees who work under extremely dangerous
conditions.
·
Shift differentials: Paid to employees for the inconvenience of working undesirable hours.
f) Benefits for Part-Time Employees--Recent studies indicate that employers are offering this
group more benefits than ever. Growth in the number of part-timers is due to the aging of the
workforce and also to an increased desire by more employees to balance their lives between
work
and home.
IV.
Other Benefit-Related Legislation

Human Resource Management

a) Employee Retirement Income Security Act Of 1974 (ERISA)--The Employee Retirement

Income Security Act of 1974 (ERISA) was passed to strengthen existing and future retirement
programs. Mismanagement of retirement funds was the primary factor in the need for this
legislation.
b) Older Workers Benefit Protection Act (OWBPA)--The Older Workers Benefit Protection
Act
(OWBPA) is a 1990 amendment to the ADEA and extends its coverage to all employee benefits.
The act has an equal benefit or equal cost principle.
V.
Communicating Information about the Benefits Package
Employee benefits can help a firm recruit and retain a quality workforce. Management depends
on an
upward flow of information from employees in order to know when benefit changes are needed,
and,
because employee awareness of benefits is often severely limited, the program information must
be
communicated downward.
vi.
Incentive Compensation
Compensation programs that relate pay to productivity.
a) Individual Incentive Plans--A specific form of performance-based pay is an individual
incentive
plan called piecework. In such a plan, employees are paid for each unit produced.
b) Team-Based Compensation Plans--Team performance consists of individual efforts.
Therefore,
individual employees should be recognized and rewarded for their contributions. However, if the
team is to function effectively, a reward based on the overall team performance should be
provided
as well.
c) Companywide Plans--Companywide plans offer a feasible alternative to the incentive plans
previously discussed. They may be based on the organization's productivity, cost savings, or
profitability.
·
Profit Sharing: A compensation plan that results in the distribution of a predetermined
percentage of the firm's profits to employees. There are several variations, but the three
basic forms are current, deferred, and combination. Current plans provide payment to
employees in cash or stock as soon as profits have been determined. Deferred plans involve
placing company contributions in an irrevocable trust to be credited to the account of
individual employees. The funds are normally invested in securities and become available
to the employee (or his/her survivors) at retirement, termination, or death. Combination
plans permit employees to receive payment of part of their share of profits on a current
basis, whereas payment of part of their share is deferred. Profit sharing tends to tie
employees to the economic success of the firm.
·
Employee Stock Option Plan (ESOP): A defined contribution plan in which a firm
contributes stock shares to a trust.
·
Gain Sharing: Plans that are designed to bind employees to the firm's performance by
providing an incentive payment based on improved company performance. The first gain
sharing plan was developed by Joseph Scanlon during the Great Depression, and it
continues to be a successful approach to group incentive, especially in smaller firms.
·
Scanlon Plan: Provides a financial reward to employees for savings in labor costs that
result from their suggestions.
Vii.
Non-financial Compensation
Compensation departments in organizations do not normally deal with non-financial factors.
However,
non-financial compensation can be a very powerful factor in the compensation equation.

Viii.
The job
Some jobs can be so exciting that the incumbent can hardly wait to get to work each day.
131

Human Resource Management

IX.
The Job as a Total Compensation Factor
The job itself is a central issue in many theories of motivation, and it is also a vital component of
a total
compensation program.
a) Skill Variety--The extent to which work requires a number of different activities for
successful
completion.
b) Task Identity--The extent to which the job includes an identifiable unit of work that is carried
out from start to finish.
c) Task Significance--The impact that the job has on other people.
d) Autonomy--The extents of individual freedom and discretion employees have in performing
their
jobs.
e) Feedback--The amount of information employees receive about how well they have
performed
the job.
f)
Cyber-work--A possibility of a never-ending workday created through the use of technology.
X.
The Job Environment as a Total Compensation Factor
Employees can draw satisfaction from their work through several non-financial factors.
a) Sound Policies--Human resource policies and practices reflecting management's concern for
its
employees can serve as positive rewards.
b) Competent Employees--Successful organizations emphasize continuous development and
assure
that competent managers and non-managers are employed.
c) Congenial Coworkers--Although the American culture has historically embraced
individualism,
most people possess, in varying degrees, a desire to be accepted by their work group.
d) Appropriate Status Symbols--Organizational rewards that take many forms such as office
size
and location, desk size and quality, private secretaries, floor covering, and title.
e) Working Conditions--The definition of working conditions has been broadened considerably
during
the past decade.

XI.
Workplace Flexibility
Flexible work arrangements do more than just assist new mothers' return to full-time work. They
comprise
an aspect of non-financial compensation that allows many families to manage a stressful
work/home
juggling act.
a) Flextime--The practice of permitting employees to choose, with certain limitations, their own
working hours.
b) Compressed Workweek--Any arrangement of work hours that permits employees to fulfill
their
work obligation in fewer days than the typical five-day workweek.
c) Job Sharing--An approach to work that is attractive to people who want to work fewer than
40
hours per week.
d) Flexible Compensation (Cafeteria Compensation)--Plans that permit employees to choose
from among many alternatives in deciding how their financial compensation will be allocated.
e) Telecommuting--Telecommuting is a work arrangement whereby employees are able to
remain
at home, or otherwise away from the office, and perform their work over telephone lines tied to a
computer.
f)
Part-Time Work--Use of part-time workers on a regular basis has begun to gain momentum in
the United States. This approach adds many highly qualified individuals to the labor market by
permitting both employment and family needs to be addressed.
g) Modified Retirement--An option that permits older employees to work fewer than regular
hours
132

Human Resource Management

for a certain period of time proceeding retirement. This option allows an employee to avoid an
abrupt change in lifestyle and more gracefully move into retirement.
XII.
Other Compensation Issues
Several issues that relate to compensation deserve mention. These issues include comparable
worth, pay
secrecy, and pay compression.
a) Severance Pay--Although some firms are trimming the amount of severance pay offered,
typically, one to two weeks of severance pay is given for every year of service, up to some
predetermined maximum. Severance pay is generally shaped according to the organizational
level of
 the employee.
b) Comparable Worth--Requires the value for dissimilar jobs, such as company nurse and
welder, to
be compared under some form of job evaluation and pay rates for both jobs to be assigned
according to their evaluated worth.
c) Pay Secrecy--Organizations tend to keep their pay rates secret for various reasons. If a firm's
compensation plan is illogical, secrecy may indeed be appropriate because only a well-designed
system can stand careful scrutiny. An open system would almost certainly require managers to
explain the rationale for pay decisions to subordinates.
d) Pay Compression--Occurs when workers perceive that the pay differential between their pay
and
that of employees in jobs above or below them is too smal

Retirement benefits
A retirement plan or a pension is an arrangement by an employer to provide their employees with
an income when they are no longer earning a regular income from working. Retirement plans
may be set up by in a variety of ways but typically will have a form of a guaranteed payment.
Often retirement plans require both the employer and employee to contribute money into a fund
while employed so that they will receive benefits upon retirement. Pension plans are considered
a form of delayed income.

Pension Plans
Pension plans are usually classified as either defined benefit or defined contribution according to
how the payments are determined.

 A defined benefit plan guarantees a predictable monthly payment at retirement, calculated by

using an established formula with some combination of the employee’s salary, years of service
and/or age.
 A defined contribution plan will provide a payment/payout at retirement that will be
determined by the amount of money contributed during the life of the plan and the
performance of the stock or investments used.
Registered Retirement Savings Plans
A Registered Retirement Savings Plan or RRSP is an account that provides tax benefits for
saving for retirement yet is not necessarily based on the employer/employee relationship. RRSPs
can provide ways to save money for retirement and defer and reduce taxes because:
 Contributions to RRSPs, up to established limits, may be deducted from income in pre-taxed
dollars.
 Income earned within the account is not taxed until money is withdrawn from the plan.
 RRSP accounts can be setup with as either:
  Individual RRSP
o An Individual RRSP is associated with only a single individual; only they
contribute money to their RRSP.
 Spousal RRSP
o The spouse of the contributor is actually the account holder. A spousal RRSP is a
means of splitting income in retirement.
 Group RRSP
o An employer can arrange for employees to make contributions through a schedule
of regular payroll deductions. In many organizations RRSP contributions can be
based on a “matching” program. This means that the employer will put in a
certain percentage or dollar amount based on the contributions the employee
makes
o The employee gets to receive the tax savings immediately at the time of deduction
instead of having to wait until the end of the tax year.
Phased Retirement
Today’s work place is challenged with having up to four different generations working side by
side. For most employers, designing a compensation and benefit structure that address the unique
needs of each demographic group, is a complex task. Added to that is the shift in pension
structures over the past few years. Some non-profit organizations provide their employees with a
pension fund; however most tend to offer only contributions to an RRSP. This leads to an
increasing number of employees not feeling able to retire.

It is important that organizations understand the details of their pension plan, whether it is a
defined benefit or contribution or simply an RRSP program before considering design changes.
For those not hindered by a design change, one option that is gaining in popularity, especially in
this sector, is providing a phased retirement program for older skilled employees.

For employees:
Components of the phased program are allowing employees who might be considering retiring to
delay their departure date, continue to earn a partial income that reduces the burden on their
pension income, they continue to receive benefit coverage and are able to acclimate gradually by
continuing to reduce their hours until they are prepared to leave.

For employers:
Employers are able to develop a timely and effective succession plan without losing critical skills
or intellectual capital. Organizations benefit by being able to tap into the most experienced staff
at a reduced salary, while transitioning to a new team or organizational design.

Hurdles:
Employees need to understand the impact continuing to work may have on pension or benefit
programs; also to be considered is the timing of starting your phased approach. If an employee
starts too soon, they might not have accumulated enough to compensate for the reduced salary.
Employers need to be sure that the phased retirement program is structured in a way that will not
diminish the work of the organization or the financial position of the employee.

Personal Services and Family friendly benefits

While time off, insurance, and retirement benefits account for the lion’s share of benefit costs,
most employers also provide various services, including personal services (such as legal and
personal counseling), job-related family friendly services (such as child care facilities)
educational subsidies, and executive perquisites (such as company cars and planes for its
executives).

Personal Services:

Many companies provide the sorts of personnel services that most employees need at one time or
another. These include credit unions, legal services, counseling, and social and recreational
opportunities.

Credit Unions:

Credit unions are usually separate businesses established with the employer’s assistance to help
employees with borrowing and savings needs. Employees usually become members by
purchasing a share of the credit union’s stock for $5 or $10. Members can deposit savings that
accrue interest at a rate determined by the credit union’s board of directors. Perhaps more
important to most employees, loan eligibility and the loan’s rate of interest are usually more
favorable than these of banks a finance companies. Many credit unions are large multi branch
operations. For example, Arrowhead Credit Union has 100,000 members and 17 branches, with
ATMs checking, and a full range of banking services.

Employee assistance programs EAPs provide counseling and advisory services, which might
include, for instance, personal legal and financial services, child and elder care referrals,
adoption assistance, mental health counseling and life event planning. EAPs are increasingly
popular, with more than 60% of larger firms offering such programs. The trend is towards
offering one-stop shopping EAP benefits from large off site providers. One study found that
personal mental health was the most common problem addressed by employee assistance
programs, followed by family problems.
For the company, programs like these produce advantages, not just costs. For example, sick
family members and health problems sc as depression account for many of the sick have day
employees take. These absences can be reduced what employee assistance programs that provide
advice on issues like elder care referrals and diseases management. Key steps for launching a
successful EAP program include:

1. Develop a policy statement: Define the program’s purpose, employee eligibility, the roles and
responsibilities of various personnel in the organization, and procedures for using the plan.
2. Ensure professional staffing: Consider the professional and state licensing requirements.
3. Maintaining confidential record keeping systems: Everyone involved with the EAP, including
supervisors, secretaries and support staff, must understand the importance of confidentiality
Also, ensure files are locked, access is limited and monitored information is minimized.
4. Be aware of legal issues: For example, in most states counselors must disclosure suspicious of
child abuse to an appropriate state agency. Get legal advice on establishing the EAP, carefully
screen the credentials of the EAP staff, and obtain professional liability insurance for the EAP.
Family Friendly Benefits:

Several tends are changing the landscape of benefits administration: there are more households
in which both adults work; more than one parent households; more women in the workforce;
more workers over 55. And there’s the time bind – people working harder and longer without the
time to do all they’d like to do.

The pressures of balancing work and family life have led many employers to bolster what they
call their family friendly benefits. While there is no single list of what does or does not constitute
a ‘family friendly benefit’, they generally include child care, elder care, fitness facilities, and
flexible work schedules that enable employees to better meet the demands of their family and
work lives.

On site child care, fitness and medical facilities, flexible work scheduling telecommuting,
occasional sabbaticals, loan programs for home computers, stock options, concierge services,
even insurance for the family pet all part of the compensation package in the new workplace.

Many more employers have therefore added these kinds of benefits. A survey by the Society for
Human resources Management (SHRM) found that about 29% of employers provided at least
some type of child care assistance in 2003, up from 23% in 1999. The SHRM survey also found
that, of the firms responding, 55% offer flextime, 31% offer compressed work weeks, and 34%
permit some telecommuting.

THE WORKMEN'S COMPENSATION ACT, 1923

The Objective:

To provide for the payment of compensation to the workmen for injury or accident.

This Act is one of the earliest Acts having come into force from 1st July, 1924. It extends to
whole of India.

The salient features the Act in brief are as under.

Employer's Liability for Compensation:

a) A workman is entitled to get compensation from his employer if he is injured while on duty
and
during the course of his employment with his employer.

b) If a workman dies due to the accident while of duty and during the course of his employment
with his
employer, his dependents are entitled to receive the amount of compensation from his
employer.

c) Occupational diseases: If a workman contacts occupational diseases enlisted in Schedule III

of
this Act, while on duty and during the course of his employment with his employer, the said
disease
shall be deemed to be an injury by accident. The workman or if dead, his dependents are
entitled to
receive the amount of compensation from his employer.

d) Amount of Compensation:

(1) Temporary Disablement:

Where the disablement is temporary i.e. workman not being able to attend to duty for more than
3 days on account of injury is entitle to get compensation at the rate of a half monthly payment
of the sum equivalent to twenty five percent of monthly wages of the workman. E.G. if
workman's wages are Rs.500/- per month he will receive Rs.125/- for a fortnight i.e. 15 days or
Rs. 8.33 p. per day and so on depending on his wages. If the disablement continues for more
than 28 days therefrom days to be counted from the date of injury.

(2) Permanent total disablement:

The permanent total disablement is listed in Schedule I of the Act. Where the disablement is
permanent and total the amount of compensation will be equivalent of fifty percent of the
monthly wages of the injured workman multiplied by the relevant factor or an amount of twenty
four thousand rupees
(Rs. 24,000/-) whichever is more.

(3) Death:

Where death results from an injury an amount equal to forty percent of the monthly wages of
the deceased workman multiplied by the relevant factor or an amount of twenty thousand
rupees
(Rs. 20,000/-) whichever is more.

NOTE:

1) For purpose of sub clause (2) & (3) above 'relevant factor' in relation to workman mean the
factor
specified in schedule IV of the Act against the age of the workman.

2) Where the monthly wages of a workman exceed Rs.1,000/- his monthly wages for the
purpose of
clause (2) & (3) shall be deemed to be Rs. 1,000/- only.

e) If Permanent partial disablement results from the injury :- such percentage of the
compensation which would have been payable in the case of permanent total disablement
after
determining the loss of earning capacity caused by that injury

Recovery of Compensation:

1. If the employer fails to pay the compensation to a workman of fails to deposit the amount of
compensation with the commissioner for Workmen's Compensation, or the Labour Court
concerned, them the injured workman, either himself or through his representative, should send a
notice of his claim or his employer mentioning therein the time, date, place and nature of
accident, wage rate of the workman and the amount of compensation. In case of death of a
workman , any of his dependents or his/her representative can send such notice with detailed
information. A copy of the same should be sent to the Commissioner for Workmen's
Compensation or the Labour Court concerned.
2. If the employer fails to settle the claim, the workman himself or any of the dependents of the
deceased workman should file the application before the concerned court having jurisdiction to
entertain the claim. This has to be done in form 'F' by the injured workman and in form 'G' by
the dependent of the daceased workman.

3. The court fee is @ Rs.1/- per every Rs. 500/- or less amount of claim and paise 50 for claim
of half monthly wages for temporary disablement.

4. Amount payable under this Act cannot be assigned or charged or be liable to attachment or be
passed to any person other than the workman by operation of law nor shall any claim be set-off
against the same. Only the amount which is paid towards half monthly wages during the period
of disablement can be deducted from the amount of final settlement of claim.

5. The Court has power to award interest on the amount of compensation, cost and penalty.

6. If the employer fails to pay or deposit the amount of compensation awarded by the Court or
admitted by the employer, them on application by the workman to the concerned court for
recovery of the same, the court shall write to the collector and the same will be recovered as
arrears of Land Revenue.

Contracting:

1) Where any person (referred to as the principal) in the course of or for the purpose of his trade
or business, contracts with any other person (referred to as the contractor) for execution by or
under the contractor of the whole or any part of any work which is ordinarily part of the trade or
business of the principal, the principal shall be liable to pay to any workman employed in the
execution of the work the compensation which he would have been liable to pay if that workman
had been immediately employed by him. And where compensation is claimed from the
principal, this Act shall apply as if references to the principal were substituted for references to
the employer except that the amount of compensation shall be calculated with reference to the
wages of the workman under the employer by whom he is immediately employed.

2) The workman is at liberty to recover compensation either from the contractor or the principal.

Transfer of Assets:

The Act specifies that compensation is the first charge on assets transferred by employer.

Limitation for Filing Claim:

The application for recovery of claim should be filed within two years from the date of accident.
However, the Court has power to condone the delay in filing an application.

Commissioners:
 Commissioners under the Act are appointed by the Government. They carry certain powers
relating to recording of evidence, registering of agreements etc.

Appeals:

Workman's appeal against the order of the Commissioner for Workmen's Compensation or by
the Presiding Officer of the Labour Court concerned lies to the High Court.

Where an employer makes an appeal, the Commissioner may and if so desired by the High
Court, shall, pending the decision of the appeal, withhold payment of any sum in deposit with
him.

The Commissioner may recover as arrears of land revenue, any amount payable by any person
under this Act, whether under an agreement for the payment of compensation or otherwise, and
the Commissioner shall be deemed to be a public officer within the meaning of the Revenue
Recovery Act, 1980.

Important features of the minimum wages act 1948

An Act to provide for fixing minimum rates of wages in certain employments.
WHEREAS it is expedient to provide for fixing minimum rates of wages in certain
employments;
An Act to provide for certain benefits to employees in case of sickness, maternity and
"employment injury" and to make provision for certain other matters in relation thereto
WHEREAS it is expedient to provide for certain benefits to employees in case of sickness,
maternity and employment injury and to make provision for certain other matters in relation
thereto

1) The act lays down for fixation of:

a) A minimum time rate of wages

b) A minimum piece rate

c) A guaranteed time rate and

d) An overtime rate

For different occupation, localities or classes of work and for adults, adolescents, children and
apprentices

2) The minimum rate of wages may consist of:

a) A basic rate of wages and a cost of living allowance or

b) A basic rate of wages with or without the cost of living allowance and the cash value of the
concessions in respect of essential commodities supplied at concessional rates.

c) The act lays down that wages shall be paid in cash although it empowers the appropriate
government to authorize the payment of minimum wages either wholly or partly in kind in
particular cases.

d) It provides that the cost of living allowance and cash value of the concessions in respect of
supplies of essential commodities at concessional rates shall be computed by component
authority at certain interval.

e) The act empowers the appropriate government to fix the number of hours of work per day, to
provide for a weekly holiday and the payment of overtime wages of which minimum rates of
wages have been fixed under the act.

f) The act lays down for appointment of inspectors and other authorities to hear and decide claims
arising out of payment of wages at less than the minimum rates of wages or remuneration for
days of rest of work done on such days or of overtime wages.

g) All establishments covered by the act are required to maintain registers and office records in the
prescribe manner

h) The act provides the procedure for dealing with complaints arising out of the violation of the
provisions of the act and for imposing penalties for offences under the act.

ASSIGNMENT QUESTIONS:{Unit-4}

1. Define Compensation .what are the special topics in Compensation?

2. What are the Employee Benefits and Employee Services?
3. What are the salient features of Workmen Compensation Act?
4. What are the Basic Factors in Determining Pay Structure?
UNIT-V

Employee relations is the one discipline within human resources that connects with every aspect
of employment. While employee relations is considered just one specific discipline, experts in
this area must be knowledgeable of all areas within human resources to be effective in handling
workplace matters. Compensation and benefits, workplace safety, recruitment and selection, and
performance management are other disciplines with the human resources field.

1. Definition of Employee Relations

o The basic purpose of an employee relations area within the human resources
department is to maintain solid working relationships between the employer and
employees. Strengthening the employer-employee relationship sounds like a tall
order; however, seasoned employee relations professionals are comfortable with
addressing issues in each of the human resources disciplines.

Employee Relations vs. Labor Relations

o The terms employee relations and labor relations are sometimes used
interchangeably; however, in large organizations that employ both union and non-
union workers, there is one primary difference between the two. Employee
relations specialists generally handle matters involving employees who are not
members of a bargaining unit. Labor relations specialists are responsible for
handling matters involving labor-management issues, such as union contract
negotiations, grievances, arbitration, work stoppages and strikes. Employee
relations specialists, on the other hand, manage employer responses to non-union
employee complaints, performance management and employee recognition.

labour movement

The labour movement or labor movement is a broad term for the development of a collective
organization of working people, to campaign for better working conditions and treatment from
their employers and governments, in particular through the implementation of labour and
employment law. Trade unions are collective organizations within societies, organized for the
purpose of representing the interests of workers and the working class. Many ruling class
individuals and political groups may also be active in and part of the labour movement.

In some countries, especially the United Kingdom and Australia the labour movement is
understood to encompass a formal "political wing", frequently known by the name labour party
or workers' party, which complements the aforementioned "industrial wing".
In Europe, the labour movement began during the industrial revolution, when agricultural jobs
declined and employment moved to more industrial areas. The idea met with great resistance. In
the 20th century and early 19th century, groups such as the Tolpuddle Martyrs of Dorset were
punished and transported for forming unions, which was against the laws of the time.

The labour movement was active in the early to mid 19th century and various labour parties and
trade unions were formed throughout the industrialised world. The International Workingmen's
Association, the first attempt at international coordination, was founded in London in 1864. The
key points were the right of the workers to organize themselves, the right to an 8 hour working
day etc. In 1871 the workers in France rebelled and the Paris Commune was formed. From the
mid-nineteenth century onward the labour movement become increasingly globalized. [2]

The movement gained major impetus in the late 19th and early 20th centuries from the Catholic
Social Teaching tradition which began in 1891 with the publication of Pope Leo XIII's
foundational document, Rerum Novarum, also known as "On the Condition of the Working
Classes," in which he advocated a series of reforms including limits on the length of the work
day, a living wage, the elimination of child labour, the rights of labour to organize, and the duty
of the state to regulate labor conditions.

Throughout the world, action by the labour movement has led to reforms and workers' rights,
such as the two-day weekend, minimum wage, paid holidays, and the achievement of the eight-
hour day for many workers. There have been many important labor activists in modern history
who have caused changes that were revolutionary at the time and are now regarded as basic. For
example, Mary Harris Jones, better known as "Mother Jones", and the National Catholic Welfare
Council were central in the campaign to end child labour in the United States during the early
20th century. An active and free labor movement is considered by many to be an important
element in maintaining democracy and for economic development.

Labour festivals have long been a part of the labour movement. Often held outdoors in the
summer, the music, talks, food, drink and film have attarcted hundreds of thousands attendees
each year.

Trade unions in India

In India the Trade Union movement is generally divided on political lines. According to
provisional statistics from the Ministry of Labour, trade unions had a combined membership of
24,601,589 in 2002. As of 2008, there are 14 Central Trade Union Organisations (CTUO)
recognised by the Ministry of Labour.

Collective bargaining

Meaning
The term collective bargaining is made up of two words, ‘collective’ – which means a ‘group
action’ through representation and ‘bargaining’, means ‘negotiating’, which involves proposals
and counter-proposals, offers and counter-offers. Thus it means collective negotiations between
the employer and the employee, relating to their work situations. The success of these
negotiations depends upon mutual understanding and give and take principles between the
employers and employees.

Definitions

The phrase collective bargaining is made up of two words collective which implies group action
through its representatives; and bargaining which suggests haggling and / or negotiating. The
phrase, therefore, implies collective negotiation of a contract between the management’s
representatives on one side and those of the workers on the other. Thus collective bargaining is
defined as a process of negotiation between the employer and the organized workers represented
by their union in order to determine the terms and conditions of employment.

Stevens: Collective Bargaining as a ‘social control technique for reflecting and transmitting the
basic power relationships which underlie the conflict of interest in an industrial relations system.’

Richardson says, “Collective bargaining takes place when a number of work people enter into
negotiation as a bargaining unit with an employer or a group of employers with the object of
reaching agreement on conditions of the employment of the work people”.

The collective bargaining process comprises of five core steps:

1. Prepare: This phase involves composition of a negotiation team. The negotiation team should
consist of representatives of both the parties with adequate knowledge and skills for negotiation.
In this phase both the employer’s representatives and the union examine their own situation in
order to develop the issues that they believe will be most important. The first thing to be done is
to determine whether there is actually any reason to negotiate at all. A correct understanding of
the main issues to be covered and intimate knowledge of operations, working conditions,
production norms and other relevant conditions is required.

2. Discuss: Here, the parties decide the ground rules that will guide the negotiations. A process
well begun is half done and this is no less true in case of collective bargaining. An environment
of mutual trust and understanding is also created so that the collective bargaining agreement
would be reached.

3. Propose: This phase involves the initial opening statements and the possible options that exist
to resolve them. In a word, this phase could be described as ‘brainstorming’. The exchange of
messages takes place and opinion of both the parties is sought.

4. Bargain: negotiations are easy if a problem solving attitude is adopted. This stage comprises
the time when ‘what ifs’ and ‘supposals’ are set forth and the drafting of agreements take place.

5.Settlement: Once the parties are through with the bargaining process, a consensual agreement
is reached upon wherein both the parties agree to a common decision regarding the problem or
the issue. This stage is described as consisting of effective joint implementation of the agreement
through shared visions, strategic planning and negotiated change.

Grievance Management
Unions and employers know that employee dissatisfaction is a potential source of trouble,
whether it is expressed or not. Hidden dissatisfaction grows and creates reactions that may be
completely out of proportion to the original concerns. Therefore, it is important that
dissatisfaction be given an outlet. A complaint, which is merely an indication of employee
dissatisfaction that has not been submitted in writing, is one outlet.

If the employee is represented by a union, and the employee says, “I should have received the
job transfer because I have more seniority, which is what the union contract states,” and she
submits it in writing, then that complaint is a grievance. A grievance is a complaint that has been
put in writing and thus made formal. Management should be concerned with both complaints and
grievances, because both may be important indicators of potential problems within the
workforce. Without a grievance procedure, management may be unable to respond to employee
concerns because managers are unaware of them. Therefore, a formal grievance procedure is a
valuable communication tool for the
organization.

Grievance Responsibilities
Table shows the typical division of responsibilities between the HR unit and line managers for
handling grievances. These responsibilities vary considerably from one organization to another,
even between unionized firms. But the HR unit usually has more general responsibilities.
Managers must accept the grievance procedure as a possible constraint on some of their
decisions. Management should recognize that a grievance is a behavioral expression of some
underlying problem. This statement does not mean that every grievance is a symptom of
something radically wrong. Employees do file grievances over petty matters as well as over
important concerns, and management must be able to differentiate between the two. However, to
ignore a repeated problem by taking a legalistic approach to grievance resolution is to miss much
of what the grievance
procedure can do for management.

HR Unit
• Assists in designing the grievance
procedure
• Monitors trends in grievance rates
for the organization
Managers
• Operate within provisions of the
grievance procedure
• Attempt to resolve grievances where
possible "closest to the problem'"

• May assist in preparing grievance • Document grievance cases for the

cases tor arbitration grievance procedure
 • May have responsibility for • Engage in grievance prevention
settling grievances efforts

Grievance Procedures
Grievance procedures are formal communications channels designed to settle a grievance as soon
as possible after the problem arises. First-line supervisors are usually closest to a problem;
however, the supervisor is concerned with many other matters besides one employee’s grievance,
and may even be the subject of an employee’s grievance.

Supervisory involvement presents some problems in solving a grievance at this level. For
example, William Dunn, a 27-year-old lathe operator at a machine shop, is approached by his
supervisor, Joe Bass, one Monday morning and told that his production is lower than his quota.
Bass advises Dunn to catch up. Dunn reports that a part of his lathe needs repair. Bass suggests
that Dunn should repair it himself to maintain his production because the mechanics are busy.
Dunn refuses, and a heated argument ensues; as a result, Bass orders Dunn to go home for the
day.

The illustration shows how easily an encounter between an employee and a supervisor can lead
to a breakdown in the relationship. This breakdown, or failure to communicate effectively, could
be costly to Dunn if he loses his job, a day’s wages, or his pride. It also could be costly to Bass,
who represents management, and to the owner of the machine shop if production is delayed or
halted. Grievance procedures can resolve such conflicts.

In this particular case, the machine shop has a contract with the International Brotherhood of
Lathe Operators, of which Dunn is a member. The contract specifically states that company plant
mechanics are to repair all manufacturing equipment. Therefore, Bass appears to have violated
the union contract. What is Dunn’s next step? He may use the grievance procedure provided for
him in the contract. The actual grievance procedure is different in each organization. It depends
on what the employer and the union have agreed on and what is written in the labor contract.

A unionized employee generally has a right to union representation if he or she is being

questioned by management and if discipline may result. If these socalled Weingarten rights
(named after the court case that established them) are violated and the employee is dismissed, he
or she usually will be reinstated with back pay.

STEPS IN A GRIEVANCE PROCEDURE

Grievance procedures can vary in the number of steps they include. Figure shows a typical
procedure, which includes the following steps:

1. The employee discusses the grievance with the union steward (the union’s representative
on the job) and the supervisor.
2. The union steward discusses the grievance with the supervisor’s manager.
3. The union grievance committee discusses the grievance with appropriate company
managers.
4. The representative of the national union discusses the grievance with designated
company executives.
5. The final step may be to use an impartial third party for ultimate disposition of the
grievance.

Steps in a Grievance Procedure

If the grievance remains unsettled, representatives for both sides would continue to meet
to resolve the conflict. On rare occasions, a representative from the national union might
join the process. Or, a corporate executive from headquarters (if the firm is a large
corporation) might be called in to help resolve the grievance.

If not solved at this stage, the grievance goes to arbitration.Arbitration is flexible and can
be applied to almost any kind of controversy except
those involving criminal matters. Advisory, or voluntary, arbitration may be used in
negotiating agreements or in interpreting clauses in existing agreements. Because labor
and management generally agree that disputes over the negotiation of a new contract
should not be arbitrated in the private sector, the most important role played by
arbitration in labor relations is as the final step in the grievance procedure.

Grievance arbitration is a means by which disputes arising from different interpretations of

a labor contract are settled by a third party. This should not be confused with contract or
issues arbitration, discussed earlier, when arbitration is used to determine how a contract will
be written.

Grievance arbitration presents several problems. It has been criticized as being too costly, too
legalistic, and too time-consuming. One study found that arbitrators generally treated women
more leniently than men in disciplinary grievance situations. In addition, many feel that there
are too few qualified and experienced arbitrators. Despite these problems, arbitration has
 been successful and is currently seen as a potentially superior solution to traditional
approaches to resolving union-management problems.

Managing Dismissal:
Involuntary termination of an employee’s employment with the firm
Dismissal is the most drastic disciplinary step the employer can take. Because of this, it requires
special care. There should be sufficient cause for dismissal should preferably occur only all
reasonable steps to rehabilitate or salvage the employee failed. However, there will undoubtedly
be times when dismissal is required perhaps at once.
The best way to handle a dismissal is to avoid it in the first place. Many dismissals start with bad
hiring decisions. Using effective selection practices including assessment tests, reference and
background checks, drug testing and clearly defined job descriptions can reduce the need for
many dismissals.
Wrongful discharge
A employee dismissal that does not comply with the law or does not comply with the contractual
arrangement stated or implied by the firm via its employment application forms, employee
manuals or other promises.
Three main protections against wrongful discharge have eroded the termination at will doctrine –
statutory exceptions, common law exceptions, and public exceptions.
First, in terms of statutory exceptions federal and state equal employment and workplace laws
prohibit specific types of dismissals. For example, Title VII of the Civil Rights Act of 1964
prohibits discharging employees based on race, color, religion, and sex or nationals origin. The
Age Discrimination in Employment Act prohibits discrimination against persons 40 years or
older. The Family and medical leave act provides employees with up to 12 weeks of protected
unpaid leave for things like serious health conditions Occupational safety laws prohibit firing
employees for reporting dangerous workplace conditions.
Second, numerous common law exceptions exist. For example, some state courts recognize the
concept of implied contracts in employment. Thus a court may decide that an employee hand
book promising termination only for just causes create an exception to the all will rule. Similarly
an employer may create an impression of secure employment by incorporating in its hand book
progressive discipline policies are series of procedures they will follow before taking adverse
employment actions. Torts are special protections created by the courts. One is against
intentional infliction of emotional distress Here a state court may deem an employer’s actions
toward the employer so extreme and outrageous that if overturns a dismissal.’
Finally, under the public policy exception, courts have held a discharge to be wrongful when it as
against an explicit well established public policy (for instance the employer fired the employee
for refusing to break the law).
Grounds for dismissal
There are four bases for dismissal unsatisfactory performance misconduct lack of qualifications
for the job and changed requirements of (or elimination of) the job. We’ll discuss each.
Unsatisfactory performance means persistent failure to perform assigned duties or to meet
prescribed job standards. Specific grounds include excessive absenteeism tardiness a persistent
failure to meet normal job requirements or an adverse attitude toward the company, supervisor or
fellow employees. Misconduct is deliberate and willful violation of the employer’s rules and may
include stealing rowdy behavior and insubordination. The Know Your employment law feature
discusses an extreme example given misconduct.
Lack of qualifications for the job is an employee inability to do the assigned work although he or
she is diligent. Because the employees my be trying to do this job, it is reasonable for the
employer to do what’s possible to salvage his or her – perhaps by assigning the person to another
job, or retaining the person. A changed requirement of the job refers to an employee’s inability to
do so the job after the employer changed the nature of the job. Again, the employee may be
industrious so it is reasonable to retain or transfer this person if possible.

The Workplace Safety & Health Act: What it coversThe Workplace Safety and Health Act
is an essential part of the new framework to cultivate good safety habits in all individuals so as to
engender a strong safety culture in our workplace.It requires stakeholders to take reasonably
practicable measures to ensure the safety and health of workers and other people that are affected
by the work being carried out.

The Workplace Safety & Health framework

The three guiding principles that underpin the Workplace Safety & Health framework are:

1. Reducing risks at source by requiring all stakeholders to eliminate or minimise the risks
they create;
2. Instilling greater ownership of safety and health outcomes by industry; and
3. Preventing accidents through higher penalties for poor safety management

About the Workplace Safety & Health Act

The Workplace Safety and Health Act has four key features:

1. it places the responsibility for workplace safety on all stakeholders along lines of control at
the workplace
2. it focuses on Workplace Safety & Health systems and outcomes, rather than merely on
compliance
3. it facilitates effective enforcement through the issuance of remedial orders
4. it imposes higher penalties for non-compliance and risky behaviour.

What the Act covers:

1.
A. All workplaces, unless exempted by the WSH Act
B. Responsibilities of stakeholders
 C. Hazardous substances
D. Machinery & equipment

A) All workplaces, unless exempted by the WSH Act

The Workplace Safety & Health Act covers all factories and workplaces of various risk levels
and industries.

A workplace is any premises where a person carries out work or is to work. Some of these
workplaces are further classified as a factory.

The following premises types are considered as factories:

1. Any premises using an assembly-line manufacturing process in connection with the

manufacturing, for the purposes of trade or gain, of any goods or products using mechanical
power, not being a restaurant or kitchen.
2. Any premises used for the manufacturing, for the purposes of trade or gain, of fabricated
metal products, machinery or equipment.
3. Any premises used for the manufacturing, for the purposes of trade or gain, of wood
products using mechanical power.
4. Any premises used for the production of gas for commercial sale.
5. Any premises used for the manufacture of pharmaceutical products or its intermediates.
6. any premises where the printing by letter press, offset, lithography, photogravure,
rotogravure or other similar process, or the binding of such printed materials, is carried out.
7. Any premises where mechanical power is used in connection with the sorting, packing,
handling or storing of articles.
8. Any premises used for the processing or manufacturing of flammable, corrosive or toxic
substances, including petroleum, petroleum products, petrochemical or petrochemical
products.
9. Any premises where the treatment, coating or electroplating of metal products involving the
use of flammable, corrosive or toxic substances is carried out.
10. Any premises where the washing or filling of bottles, containers or vessels that contains or
had contained flammable, corrosive or toxic substances is carried out, not being any
premises where the filling of fuel into vehicles for their propulsion is carried out as a
commercial undertaking.
11. any premises used for the storage of gas (including liquefied gas) in a container having a
storage capacity of not less than 140 cubic metres, not being any premises where the gas is
stored for filling of fuel into vehicles for their propulsion as a commercial undertaking.
 12. any premises used for the bulk storage of toxic or flammable liquid (excluding liquefied
gas) in a container, not being an underground container, that has a storage capacity of not
less than 5,000 cubic metres.
13. any yard (including any dock, wharf, jetty, quay and the precincts thereof) where the
construction, reconstruction, repair, refitting, finishing or breaking up of ships is carried out,
including the waters adjacent to any such yard where the construction, reconstruction,
repair, refitting, finishing or breaking up of ships is carried out by or on behalf of the
occupier of that yard.
14. any premises where the construction, reconstruction or repair of locomotives, aircraft,
vehicles or other plant for use for transport purposes is carried on as ancillary to a transport
undertaking or other industrial or commercial undertaking, not being any premises used for
the purpose of housing locomotives, aircraft or vehicles where only cleaning, washing,
running repairs or minor adjustments are carried out.
15. any premises where building operations or any work of engineering construction are carried
out.
16. any premises where articles are made or prepared incidentally to the carrying on of any
building operations or any work of engineering construction, not being premises in which
such operations or work are being carried out.
17. Any premises where work is carried out for or in connection with the generating of
electrical energy for supply by way of trade or for purposes of gain.
18. Any premises where mechanical power is used for the purposes of or in connection with a
water supply.
19. any sewage works where mechanical power is used and any pumping station used in
connection therewith.

B) Responsibilities of stakeholders

The Workplace Safety & Health Act defines the responsibilities for the following stakeholder
groups:

If you are an employer

You must, as far as reasonably practicable, protect the safety and health of employees or workers
working under your direct control, as well as all who may be affected by their work. Your duties
include:

 conducting risk assessments to remove or control risks to workers at the workplace

 maintaining safe work facilities and arrangements for the workers at work
 ensuring safety in machinery, equipment, plant, articles, substances and work processes at
the workplace;
  developing and implementing control measures for dealing with emergencies;
 providing workers with adequate instruction, information, training and supervision.

If you are a principal

You are required to take, so far as is reasonably practical, such measures as are necessary to
ensure that the contractor you engaged:

 has the competency to carry out the work you engaged them for;
 has taken adequate safety and health measures necessary in relation to any machinery,
equipment, plant, article or process used by the contractor or the contractor’s employees.
However, if you are involved in directing the work of your contractors or subcontractors you
hired, your duties are the same as that of an employer.

Note: A principal is any person or organization who engages another person or organization to
supply labour or perform work under a contract for service.

If you are an occupier

You must, as far as reasonably practicable, ensure that the workplace, all entrances to and exits
from the workplace, and all machinery, equipment, plants, articles and substances within are safe
and without risk to the health of any person within those premises, even if the person is not one
of your employees.

As an occupier, you may also be responsible for the common areas used by your employees and
contractors. Occupier of the common area is responsible for the following:

 electric generators and motors located in the common area

 hoists and lifts, lifting gear, lifting appliances and lifting machines located in the common
area
 means of entry into or exit from the common area
 any machinery or plant located in the common area

If you are a manufacturer or supplier

You must ensure that any machinery, equipment or substances you provide is safe for use. You
are required to:

 provide proper information on the safe use of the machinery, equipment or hazardous
substance
 ensure that the machinery, equipment or hazardous substance is safe for use
  ensure that the machinery, equipment or hazardous substance has been tested and examined
so that it is safe for use

If you are an installer or erector of machinery

You must ensure, as far as reasonably practicable, that all machinery and equipment erected,
installed or modified is safe and without health risks when properly used.

If you are an employee

 You must follow the safe working procedures and principles introduced at the workplace.
 You must not engage in any unsafe act that may endanger yourself or others working
around you.
 You must use, in proper manner, any personal protective equipment, devices, equipments or
other means provided to secure your safety, health and welfare while working. You must
not tamper or misuse such items provided.
 You must not engage in any negligent act that may endanger yourself or others working
around you.

If you are self-employed

Even though you are self-employed, you are still required to take measures, as far as reasonably
practicable, to ensure the safety and health of others, such as members of the public.

C) Hazardous substances

The following are classified as hazardous substances under the Workplace Safety and Health Act:

1.Carcinogens 10. Pyrophoric substances

2. Corrosive substances
3. Explosives
4. Flammable substances
5. Gases under pressure
6. Irritants
7. Mutagens
8. Organic peroxides
9. Oxidising substances
11. Self-heating substances
12. Self-reactive substances
13. Sensitisers
14. Substances hazardous to aquatic environment.
15. Substances which in contact with water, or emit flammable gases
16. Teratogens
17. Toxic substances
D) Machinery & equipment

Manufacturers and suppliers of the following machinery & equipment have the duty to ensure
they are safe for use:

1. Scaffolds and any materials or components used to erect them

2. Lifting equipment
3. Forklifts
4. Power presses
5. Bar-benders
6. Equipment or piping intended for operation under pressure, including all statutory pressure
vessels
7. Equipment or piping intended to contain corrosive, toxic or flammable substances
8. Welding equipment, including any accessory, apparatus or fitting necessary to enable its use
9. Materials or components used for the construction of support structures
10. Explosive powered tools
11. Equipment used for abrasive blasting, including any accessory, apparatus or fitting
necessary to enable its use and operation

Occupational Health and Safety (OH & S)

Health and safety of the employees is an important aspect of a company's smooth and successful
functioning. It is a decisive factor in organizational effectiveness. It ensures an accident-free
industrial environment. Companies must attach the same importance towards achieving high
OH&S performance as they do to the other key objectives of their business activities. This is
because, proper attention to the safety and welfare of the employees can yield valuable returns to
a company by improving employee morale, reducing absenteeism and enhancing productivity,
minimizing potential of work-related injuries and illnesses and increasing the quality of
manufactured products and/ or rendered services.

The Constitution of India has also specified provisions for ensuring occupational health and
safety for workers in the form of three Articles i.e. 24, 39(e and f) and 42. The regulation of
labour and safety in mines and oil fields is under the Union list. While the welfare of labour
including conditions of work, provident funds, employers' invalidity and old age pension and
maternity benefit are in the Concurrent list.
The Ministry of Labour , Government of India and Labour Departments of the States and
Union Territories are responsible for safety and health of workers. Directorate General of
Mines Safety (DGMS) and Directorate General Factory Advice Services & Labour
Institutes (DGFASLI) assist the Ministry in technical aspects of occupational safety and health
in mines and factories & ports sectors, respectively.

DGMS exercises preventive as well as educational influence over the mining industry. Its
mission is the reduction in risks of occupational diseases and casualty to persons employed in
mines, by drafting appropriate legislation and setting standards and through a variety of
promotional initiatives and awareness programmes. It undertakes inspection of mines,
investigation of all fatal accidents, grant of statutory permission, exemptions and relaxations in
respect of various mining operation, approval of mines safety equipment, appliances and
material, conduct examinations for grant of statutory competency certificate, safety promotional
incentives including organization of national awards and national safety conference, etc.

DGFASLI is an attached office to the Ministry of Labour and relates to factories and ports/docks.
It renders technical advice to the States/Union Territories in regard to administration and
enforcement of the Factories Act. It also undertakes support research facilities and carries out
promotional activities through education and training in mattersconcerning occupational safety
and health.

Major Initiatives undertaken by DGFASLI during the Xth Five Year Plan are:-

 Improvement and strengthening of enforcement system for safety and health of

dock workers in major ports.

 Development of safety and health information system and data bank.

 Establishment of Regional Labour Institute at Faridabad.

 Setting up of a National Board on occupational safety and health.

Legislations

The statutes relating to OH&S are broadly divided into three:-

 Statutes for safety at workplaces

  Statutes for safety of substances

 Statutes for safety of activities

At present, safety and health statutes for regulating OH&S of persons at work exist only in four
sectors:-

 Mining

 Factories

 Ports

 Construction

The major legislations are:-

The Factories Act, 1948

 It regulates health, safety, welfare and other working conditions of workers in factories.

 It is enforced by the State Governments through their factory inspectorates. The

Directorate General Factory Advice Service & Labour Institutes (DGFASLI) co-
ordinates matters concerning safety, health and welfare of workers in the factories with
the State Governments.

 DGFASLI conducts training, studies and surveys on various aspects relating to safety and
health of workers through the Central Labour Institute in Mumbai and three other
Regional Labour Institutes located at Kolkata, Chennai and Kanpur.

(For details on this Act, refer to Sub-Section "Laws relating to Working Hours,
Conditions of Service and Employment")

Mines Act, 1952

  It contains provisions for measures relating to the health, safety and welfare of workers in
the coal, metalliferous and oil mines.
 The Mines Act, 1952, prescribed duties of the owner (defined as the proprietor, lessee or
an agent) to manage mines and mining operation and the health and safety in mines. It
also prescribes the number of working hours in mines, the minimum wage rates, and
other related matters.
 Directorate General of Mines Safety conducts inspections and inquiries, issues
competency tests for the purpose of appointment to various posts in the mines, organises
seminars/conferences on various aspects of safety of workers.
 Courts of Inquiry are set up by the Central Government to investigate into the accidents,
which result in the death of 10 or above miners. Both penal and pecuniary punishments
are prescribed for contravention of obligation and duties under the Act.

Dock Workers (Safety, Health & Welfare) Act, 1986

 It contains provisions for the health, safety and welfare of workers working in
ports/docks.

 It is administered by Director General Factory Advice Service and Labour Institutes,

Directorate General FASLI as the Chief Inspector there are inspectorates of dock safety
at 10 major ports in India viz. Kolkata, Mumbai, Chennai, Visakhapatnam, Paradip,
Kandla, Mormugao, Tuticorin, Cochin and New Mangalore

 overall emphasis in the activities of the inspectorates is to contain the accident rates and
the number of accidents at the ports

Work Place Health Hazards Problems & Remedies –

Most workplace health hazards aren’t obvious ones like unguarded equipment of slippery floors.
Many are unseen hazards (like mold) that the company inadvertently produces as part of its
production processes. Other problems like drug abuse, the employees may create for themselves.
In either case, these health hazards are often as much or more dangerous to workers health and
safety than are obvious hazards like slippery floors. The manager must therefore address them.
Typical workplace exposure hazards may include:
1) Chemicals and other hazardous materials
2) Excessive noise and vibrations
3) Temperature extremes.
4) Biohazards including those that are normally occurring (such as mold) and man made (such as
anthrax).
5) Ergonomics hazards (such as poorly designed equipment that forces worker to do their jobs
while contorted in unnatural positions).
6) And, familiar safety related hazards such as slippery floors and blocked passageway.
OSHA standards list permissible exposure limits or about 600 chemicals.
Hazardous substances like these require air sampling and other preventive and precautionary
measures. They are also more widespread than most managers realize. For example, cadmium
pigments provide color to many paints and coatings and ethyl alcohol is often used as a solvent
in industrial processes.

The basic Industrial Hygiene Program:

Managing exposure to hazards like these comes under the category of industrial hygiene and
involves recognition, evaluation, and control. First the facility’s health and safety officers
(possibly working with teams of supervisors and employees) must recognize possible exposure
hazards. This typically involves conducing plant / facility around surveys, employee interviews,
records reviews and reviews of government and nongovernmental standards regarding various
exposure hazards.
Having identified a possible hazard the evaluation phase involves determining how severe the
hazards is. This requires measuring the exposure, comparing the measured exposure to some
benchmark and determining whether the risk is within tolerances.
Finally, the hazard control phase involves eliminating or reducing the hazard. Note that personal
protective gear such as face masks are generally the last option for dealing with such problems.
Before relying on these, the employer must install engineering controls (such as process
enclosures or ventilation) and administrative controls (including training and improved
housekeeping) this is mandatory under OSHA.
Asbestos Exposure at work:
There are four major sources of occupational respiratory diseases asbestos, silica, lead and
carbon dioxide. Of these asbestos has become a major concern, in part because of publicity
surrounding asbestos in building such as schools constructed before the mid 1970s. Major efforts
are still under way to rid these buildings of the substances.
OSHA standards require several actions with respect to asbestos. Companies must monitor the
air whenever an employer expects the level of asbestos to rise to one half of the allowable limits.
(You would therefore have to monitor if you expected asbestos levels of 0.1 fibers per cubic
centimeter) engineering controls – walls, special filters and so forth are required to maintain an
asbestos level that complies with OSHA standards. Only then can employees use respirators if
additional efforts are required to achieve compliance.
Improving Productivity through HRIS: Internet based safety improvement Solutions
In today’s business environment companies need to obtain efficiencies wherever they can, and
Internet based systems can help them manage their safety programs much more efficiently. For
example, any employees handling hazardous chemicals must be familiar with those chemical
material safety data sheets (MSDS). These sheets from OSHA describe the precautions
employees are to take when dealing with the chemicals and what to do if problems arise. In a dry
cleaning store, for instance the cleaner spotter is supposed to be knowledgeable about the MSDS
for chemicals like hydrofluorous acid (used for stain removal) and perchloroethylene (used for
cleaning)
Particularly for large firms, managing the MSDS can cost millions of dollars annually, The
employer needs to distribute the appropriate MSDS to each employee, ensure that the employees,
study and learn their contents and continually update the data sheets based on new OSHA
information. Many firms are therefore putting their MSDS programs online. The Web based
systems provide a platform upon which the employer can mount all its relevant MSDS, make
these available to the employees who need them, monitor and test employees on the sheets used
and update the MSDS as required. Systems like these provide an inexpensive way to boost the
productivity and effectiveness of one essential aspect of an employer’s safety and health
program.

ASSIGNMENT QUESTIONS:{Unit-5}

1. Explain Grievance Procedure?

2. Explain collective bargaining process?
3. What are the salient features of Industrial Disputes Act?
4. What are the problems and remedies of Work Place Health Hazards
 ST.MARTIN’S ENGINEERING COLLEGE
MBA - II Semester I Midterm Examination May – 2014
SUBJECT: Human Resource Management
Time: 2 Hours

Max. Marks: 40

PART – A
I Answer the following
4*4=16M
1 HR manager duties.
2 New approaches to organizing HR.
3 Basics of job analysis.
4 Types of interviews.
PART – B
II Answer any three of the following
3*8 = 24M
1 Define Human Resource Management? Explain HRM in India
2 Define Job Analysis? Explain techniques.
3 What are the sources of recruitment?
4 Explain methods of performance appraisal?
5 Discuss about career management.
 ST.MARTIN’S ENGINEERING COLLEGE
MBA - II Semester II Midterm Examination August – 2014
SUBJECT: Human Resource Management
Time: 2 Hours

Max. Marks: 40

PART – A
I. Answer the following
4*4=16M
1. Define Compensation and explain types of Compensation?
2. What are the Retirement Benefits?
3. What are the salient features of Industrial Disputes Act?
4. Explain Grievance procedure.
PART – B
II. Answer any three of the following
3*8=24M
1. Explain Training and Development stages.
2. Explain Establishing pay plans.
3. Explain Collective Bargaining Process.
4. What are the salient features of Workmen Compensation Act?
5. What are the Employee Benefits and Employee Services? Explain.