Transcript Document
Part 5 Staffing Activities: Employment Chapter 12: Final Match McGraw-Hill/Irwin Copyright © 2012 by The McGraw-Hill Companies, Inc. All rights reserved. Staffing Organizations Model Organization Mission Goals and Objectives Organization Strategy HR and Staffing Strategy Staffing Policies and Programs Support Activities Core Staffing Activities Legal compliance Planning Recruitment: Selection: External, internal Measurement, external, internal Job analysis Employment: Decision making, final match Staffing System and Retention Management 12-2 Chapter Outline Employment Contracts Requirements for Enforceable Contract Parties to Contract Form of Contract Disclaimers Contingencies Other Employment Contract Sources Unfulfilled Promises Strategic Approach to Job Offers Job Offer Content Formulation of Job Offer Presentation of Job Offer Timing of the Offer Job Offer Acceptance and Rejection Reneging New Employee Orientation & Socialization Job Offers Job Offer Process Orientation Socialization Examples of Programs Legal Issues Employment Eligibility Verification Negligent Hiring Employment-at-Will 12-3 Learning Objectives for This Chapter Learn about the requirements for an enforceable contract Recognize issues that might arise in the employment contract process Understand how to make strategic job offers Plan for the steps of formulating and presenting a job offer Know how to establish a formal employment relationship Develop effective plans for new employee orientation and socialization Recognize potential legal issues involving final matches 12-4 Discussion Questions for This Chapter If you were the HR staffing manager for an organization, what guidelines might you recommend regarding oral and written communication with job applicants by members of the organization? If the same job offer content is to be given to all offer receivers for a job, is there any need to use the strategic approach to job offers? Explain. What are the advantages and disadvantages to the sales approach in the presentation of the job offer? What are examples of orientation experiences you have had as a new hire that have been particularly effective (or ineffective) in helping to make the person/job match happen? What are the steps an employer should take to develop and implement its policy regarding employment-at-will? 12-5 Employment Contracts Requirements for enforceable contract Parties to contract Form of contract Disclaimers Contingencies Other employment contract sources Unfulfilled promises 12-6 Employment Contracts Requirements for enforceable contract Offer Acceptance Consideration Parties to contract Employee or independent contractor Third parties 12-7 Employment Contracts (continued) Form of contract Written contract Does the company mean to be held to this? Where appropriate, avoid using words that imply binding commitment. Make sure all related documents are consistent with one another. Always have a second person review what another has written. Look at the entire hiring procedure. Oral contract One-year rule Parole evidence Suggestions 12-8 Employment Contracts (continued) Disclaimers Oral or written statement explicitly limiting an employee right and reserving that right for employer Recommendations for enforcement Clearly stated and conspicuously placed in appropriate documents. Employee should acknowledge receipt and review of the document and the disclaimer. Should state that it may be modified only in writing and by whom. The terms and conditions of employment, including the disclaimer, as well as limits on their enforceability, should be reviewed with offer receivers and employees. 12-9 Employment Contracts (continued) Contingencies Extending a job offer contingent on certain conditions being fulfilled by offer receiver Other employment contract sources Employee handbooks Oral statements made by employer representatives 12-10 Employment Contracts (continued) Unfulfilled promises Organizational HR issues Do not make promises unwilling to keep Be sure promises made are kept Potential legal claims Breach of contract Promissory estoppel Fraud 12-11 Discussion questions If you were the HR staffing manager for an organization, what guidelines might you recommend regarding oral and written communication with job applicants by members of the organization? 12-12 Job Offers Strategic Job Approach to Job Offers offer content 12-13 Ex. 12.1: Strategic Approach to Job Offers 12-14 Job Offer Content Starting date Duration of contract Compensation Variable pay Flat vs. differential rates Exh. 12.2: Example of Starting Pay Policies Short term Long term Benefits - Ex. 12.3 Hours Special hiring inducements Starting pay Hiring bonuses Relocation assistance Hot skill premiums Severance packages Restrictions on employees Other terms and conditions Acceptance terms Sample job offer letterEx. 12.4 12-15 Job Offer Process Formulation of job offer Presentation Job of job offer offer acceptance and rejection Reneging 12-16 Formulation of Job Offer Knowledge of competitors Labor demand issues Who are the competitors? What terms and conditions are they offering for the job for which the hiring organization is staffing? Labor supply issues Offers need to attract number of staff required Offers need to consider KSAOs of each offer receiver and the worth of the KSAOs 12-17 Formulation of Job Offer (continued) Applicant truthfulness Minimal evidence exists on degree of applicant truthfulness To combat deceit, organizations are pursuing verification of all applicant information Likely reactions of offer receivers Approaches to assess reactions to offers Gather information about various preferences from offer receiver during recruitment/selection process Conduct research on why offer receivers accept or decline job offers 12-18 Formulation of Job Offer (continued) Policies on negotiations and initial offers Job offers occur for both external / internal staffing Consider costs of job offer being rejected by candidate Candidates may be receiving counteroffers from current employer Currently employed candidates incur costs for leaving and expect a “make whole” offer Candidates are sophisticated in presenting their demands 12-19 Formulation of Job Offer (continued) Strategies for presenting initial offer Lowball Competitive offering the lower bounds of terms and conditions to the receiver an offer that is “on the market,” neither too high nor too low Best shot gives a high offer, one right at the upper bounds of feasible terms and conditions 12-20 Presentation of Job Offer Two approaches Mechanical approach Sales approach 12-21 Job Offer Process: Acceptance, Rejection, Reneging Acceptance Rejection By organization By offer receiver Reneging 12-22 Discussion questions If the same job offer content is to be given to all offer receivers for a job, is there any need to use the strategic approach to job offers? Explain. What are the advantages and disadvantages to the sales approach in the presentation of the job offer? 12-23 New Employee Orientation and Socialization Orientation Exh. 12.8: New Employee Orientation Program Suggestions Socialization Content People Performance proficiency Organization goals and values Politics Language History Delivery 12-24 Discussion questions What are examples of orientation experiences you have had as a new hire that have been particularly effective (or ineffective) in helping to make the person/job match happen? 12-25 Legal Issues Employment Eligibility Verification Negligent hiring Under IRCA, company is prohibited from hiring or continuing to employ an alien not authorized to work in U.S. Workplace torts issue involving claims by an injured plaintiff that plaintiff was harmed by an unfit employee who was negligently hired by company Employment-at-will Involves right of either employer or employee to unilaterally terminate employment relationship 12-26 Discussion questions What are the steps an employer should take to develop and implement its policy regarding employment-at-will? 12-27 Ethical Issues Issue 1 A large financial services organization is thinking of adopting a new staffing strategy for entry into its management training program. The program will provide the trainees all the knowledge and skills they need for their initial job assignment after training. So the organization has decided to do college recruiting at the end of the recruiting season, hiring those who have not been fortunate enough to receive any job offers, paying them a salary of 10% below market, and providing no other inducements such as a hiring bonus or relocation assistance. The organization figures this strategy and employee value proposition will yield a higher percentage of offers accepted, low cost per hire, and considerable labor cost savings due to below market salaries. Evaluate this strategy from an ethical perspective. 12-28 Ethical Issues Issue 2 An organization has a staffing strategy in which it over-hires by 10% the number of employees it will actually need in any job category in order to ensure it meets its hiring needs. It reasons that some of the new hires will renege on the accepted offer, and that the organization can renege on some of its offers if need be to end up with the right number of new hires. Evaluate this strategy from an ethical perspective. 12-29