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Chapter7_EmployeeSelection2.pptx

Employee Selection

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Learning Outcomes

Explain two important qualities of selection predictors—reliability and validity

Discuss the steps of a typical selection process

Compare the value of different types of employment tests

Contrast several types of selection interviews and some key considerations in conducting these interviews

Specify how legal concerns affect background investigations of applicants and use of medical examinations in the selection process

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Selection

Process of choosing individuals who have relevant qualifications to fill existing or projected job openings

“Hire hard, manage easy.”

“Good training will not make up for bad selection.”

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Selection, Criteria, and Predictors

Best predictor of future behavior is past behavior

Selection criterion: Characteristic that a person must possess to successfully perform job duties

Predictors of selection criteria: Measurable or visible indicators of selection criteria

Job Performance, Selection Criteria, and Predictors

*Reliability and Validity

Reliability: Extent to which a test or measure repeatedly produces the same results over time

Validity: Extent to which a test measures what it claims to measure

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Selection tests should be validated to ensure that they measure the knowledge or skills that an applicant would need to perform the job.

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Reliability and Validity (continued)

Establishing criterion-related validity

Concurrent validity: Measured when an employer tests current employees and correlates the scores with their performance ratings

Predictive validity: Measured when applicants’ test results are compared with subsequent job performance

Concurrent and Predictive Validity

Correlation Scatterplots

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Legal Considerations in Selection Process

Concepts and practices that companies must follow

Job-relatedness: Qualification or requirement in selection is significantly related to successful performance of job duties

Business necessity: Practice that is necessary for safe and efficient operations

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Case: Gordon Food Service

Michigan-based Gordon Food Service administered a strength test using isokinetic testing technology and equipment to measure upper and lower body resistance. The test was intended to gauge an applicant’s ability to handle the physical demands of the job and determine the applicant’s risk of injury, according to the settlement.

Office of Federal Contract Compliance Programs investigators found that the test had a statistically significant adverse impact on female applicants, resulting in the hiring of only six females over a period when nearly 300 males were hired.

Moreover the test was “more stringent than the actual job requirements at Gordon Food,” and was not validated.

Gordon Food Service agreed to pay $1.85 million in back wages and benefits to 926 women, hire 37 of the female applicants, and stop using the strength test.

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job-related and consistent with business necessity

“Too often we find tests like the one used in this case that exclude workers from jobs that they can in fact perform,” said Patricia Shiu, director of the OFCCP, in a press release. The agency stated that the test was “more stringent than the actual job requirements at Gordon Food,” and was not validated.

Gordon Food Service agreed to pay $1.85 million in back wages and benefits to 926 women, hire 37 of the female applicants, and stop using the strength test. The company, which provides products to the U.S. Departments of Defense and Agriculture and to the Federal Prison System, did not admit liability.

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EEOC v. Dial Corp.

Women were disproportionately rejected for entry-level production jobs because of a strength test. The test had a significant adverse impact on women – prior to the use of the test, 46% of hires were women; after use of the test, only 15% of hires were women.

Dial defended the test by noting that it looked like the job and use of the test had resulted in fewer injuries to hired workers. The EEOC established through expert testimony, however, that the test was considerably more difficult than the job and that the reduction in injuries occurred two years before the test was implemented, most likely due to improved training and better job rotation procedures.

On appeal, the Eighth Circuit upheld the trial court’s finding that Dial’s use of the test violated Title VII under the disparate impact theory of discrimination.

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PRE-EMPLOYMENT TEST BY DIAL CORP. DISCRIMINATES AGAINST WOMEN, COURT RULES IN EEOC CASE https://www.eeoc.gov/eeoc/newsroom/release/2-8-05.cfm

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Selection Process Flowchart

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Application Forms

Application forms:

Basis for prescreening information

Are these questions found on application forms legal?

Marital status

Height/weight

Number and ages of dependents

Information on spouse

Date of high school graduation

Emergency contact information

Social Security number

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Record of the applicant’s desire to obtain a position

Applicant profile for the interviewer

Basic employee record for applicants hired

Research on the effectiveness of the selection process

Formal document on which applicant attests to truthful information

At-will employment: Indicates the right of the employer or the employee to terminate employment at any time with or without notice or cause (where applicable by state law)

Reference contacts: Requests permission to contact previous employers listed by the applicant on the application form or résumé

Employment testing: Notifies applicants of required drug tests, pencil-and-paper tests, physical exams, or electronic or other tests that will be used in the employment decision

Application time limit: Indicates how long application forms are active (typically six months) and that individuals must reapply or reactivate their applications after that period

Information falsification: Conveys to an applicant that falsification of application information can be grounds for serious reprimand or termination

Résumés as Applications

EEOC standards require that a résumé is treated as an application form

Application forms are better because the same information is furnished by all applicants

Résumés may embellish or omit negative information

 If an applicant voluntarily furnishes some information on a résumé that cannot be legally obtained, the employer should not use that information during the selection process. Some employers require those who submit résumés to complete an application form as well so that there is consistent information on every applicant and appropriate comparisons can be made.

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Ban-the-box Laws

The "box" refers to the question on job applications that asks applicants whether or not they have ever been convicted of a crime.

Ban-the-box does not mean there can never be a criminal background check

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However, most ban-the-box legislation places other restrictions and other requirements on employers. For instance, some states prohibit employers from inquiring about arrests, dismissed history, sealed records, or history in a diversion program. Some ban-the-box laws restrict employers from inquiring about criminal history until after the first interview or until a conditional offer of employment is made. Some jurisdictions require employers to consider other factors, such as, time-related restrictions or whether the criminal history is job-related.

https://www.backgroundchecks.com/banthebox

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Ban the Box Laws in California

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For a full list, please see Ban the Box Laws by State and Municipality from SHRM

Pre-employment Screening

Employers screen to determine if individuals meet minimum qualifications

Electronic assessment screening: Software used to review résumés and application forms received

Disqualification questions to understand individual KSAs

Assessment tests

Background, drug, and financial screening

Social network screening—controversial

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Electronic assessment screening: Software used to review résumés and application forms received

Disqualification questions to understand individual KSAs

Assessment tests and background, drug, and financial screening

Social network screening—controversial

A controversial trend is screening candidates based on information obtained from their social networking profiles. Doing so can have negative consequences for applicants and companies. The legality and appropriateness of such screening is highly questionable because most managers simply access available information without consistency or regard to job demands. The information found on Facebook or other online platforms can lead to discrimination against applicants due to their religion or sexual orientation. Although it may be tempting to just click on an applicant’s profile, top candidates may develop a negative opinion of the organization or, even worse, take legal action if they are not hired because of the information found on social networking sites. Companies must walk a fine line and realize that random, haphazard screening in this manner is likely to attract attention from lawmakers who will no doubt restrict the practice if it becomes too prevalent.

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Types of Tests

Sample Work Sample Tests

Clerical

■ Typing test.

■ Proofreading.

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Job knowledge tests

Designed to measure people’s level of understanding about a particular job

Work sample tests

Require an applicant to perform a simulated task that is a specified part of the target job

Psychomotor tests

Measure dexterity, hand–eye coordination, arm–hand steadiness, and other factors

Types of Tests

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Reduces the frequency of lying and theft on the job

Communicates to applicants that dishonesty will not be tolerated

The polygraph, more generally and incorrectly referred to as the

“lie detector,” is a mechanical device that measures a person’s galvanic skin

response, heart rate, and breathing rate.

Congress passed the Employee Polygraph Protection Act, which prohibits the use of

polygraphs for preemployment screening purposes by most

employers.

Federal, state, and local government agencies

are exempt from the act. Also exempted are certain private sector

employers such as security companies and pharmaceutical

companies.

The act does allow employers to use

polygraphs as part of internal investigations of thefts or

losses. But in those situations, the polygraph test should be

taken voluntarily, and the employee should be allowed to

end the test at any time.

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Cognitive ability tests

Measure an individual’s thinking, memory, reasoning, verbal, and mathematical abilities

Physical ability tests

Tests that measure an individual’s abilities such as strength, endurance, and muscular movement.

Types of Tests

Legal experts recommend that employers order such tests only after making a contingent offer of employment.

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The Employee Polygraph Protection Act of 1988 prohibits employers from requiring or requesting pre-employment polygraphs under most circumstances.

Federal, state, and local government agencies are exempt from the act.

The Drug-Free Workplace Act of 1988 (41 U.S.C. 81) is an act of the United States which requires some federal contractors and all federal grantees to agree that they will provide drug-free workplaces as a precondition of receiving a contract or grant from a Federal agency.

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Medical examinations

Ensure the health of an applicant is adequate to meet the job requirements

Drug tests

Right of an employer in accordance with Drug-Free Workplace Act of 1988

Polygraph tests (Lie detector)

Provides a diagnostic opinion about a candidate's honesty, but their validity has been called into question

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Personality Tests

Personality: Unique blend of individual characteristics that can affect how people interact with their work environment

Accepted approach: The “Big Five” personality framework

Free Personality Tests

Potential issues

Faking

Discrimination against individuals with disabilities

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Big Five Personality Characteristics

Emotional Intelligence Tests

Emotional intelligence: Ability to recognize and manage our own feelings and the feelings of others

Soft skills are critical for establishing good working relationships

Leaders with high emotional intelligence tend to be more creative and perform better on the job

More effective in teams and handle stress better

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Interview

Purposes

To obtain information about candidates

To provide information and reinforce the employer brand

In-depth selection interview

Initial screening interview

Assessing the qualifications of applicants

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Comparison of Structured and Unstructured Selection Interviews

Structured

Preplanned job-specific questions

Consistent questions for all candidates

Established scoring key

Trained interviewers

Acceptable reliability and validity

Unstructured

Ad lib generic questions

Different questions for each candidate

No established scoring key

Untrained interviewers

Low reliability and validity

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Ad libitum is Latin for "at one's pleasure" or "as you desire"; it is often shortened to "ad lib" or "ad-lib". The roughly synonymous phrase a bene placito is less common but, in its Italian form a piacere, entered the musical lingua franca. Wikipedia

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Types of Structured Interviews

Situational interview: Questions about how applicants might handle specific job situations

Behavioral interview: Applicants give specific examples of how they have performed a certain task

Example: “Tell me about a time when you initiated a project. What was the situation? What did you do? What were the results?”

Interview and Resume Tips from Starbucks

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A recent study showed that “past behavior”

interviews are better at identifying achievement at work than are situational

interviews, because they focus on what applicants have actually done in real

situations rather than on what they think they might do in hypothetical situations.

33 An example of a behavioral interview line of questioning might be:

“Tell me about a time when you initiated a project. What was the situation?

What did you do? What were the results?”

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Less-Structured Interviews

Unstructured interview

Interviewer improvises by asking questions that are not predetermined

Semistructured interview

Guided conversation in which broad questions are asked and new questions arise as a result of discussion

Group interview

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Nondirective interview

Uses questions developed from the answers to previous questions

im·pro·vise

/ˈimprəˌvīz/

Learn to pronounce

verb

3rd person present: improvises

create and perform (music, drama, or verse) spontaneously or without preparation.

"he was improvising to a backing of guitar chords"

synonyms:extemporize, ad lib, speak impromptu, make it up as one goes along, think on one's feet, take it as it comes; More

produce or make (something) from whatever is available.

"I improvised a costume for myself out of an old blue dress"

synonyms:contrive, devise, throw together, cobble together, concoct, rig, jury-rig, put together;More

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Effective Interviewing

Interviewing skills are developed through training and practice

Suggestions

Plan the interview

Control the interview

Use effective questioning techniques

Get a balanced view

Ross being interviewed by his girlfriend's boyfriend

Effective Interviewing: Questions to Avoid

Illegal questions

Questions that are not job related

Yes/no questions

Obvious questions

Questions that rarely produce a true answer

Leading questions

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Yes/no questions: Unless verifying specific information, the interviewer should avoid questions that can be answered “yes” or “no.” For example, “Did you have good attendance on your last job?” will probably be answered simply “yes.”

• Obvious questions: An obvious question is one for which the interviewer already has the answer and the applicant knows it.

• Questions that rarely produce a true answer: Avoid questions that prompt a less-than-honest response. An example is “How did you get along with your coworkers?” The likely answer is “Just fine.”

• Leading questions: A leading question is one to which the answer is obvious from the way the question is asked. For example, “How do you like working with other people?” suggests the answer “I like it.”

• Illegal questions: Questions that involve information such as race, age, gender, national origin, marital status, and number of children are illegal. They are just as inappropriate in the interview as on the application form.

• Questions that are not job related: All questions should be directly job related.

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Questions Commonly Asked in Selection Interviews

Background Investigations

Information can be obtained from:

Past job records

Testing records

Educational and certification records

Drug tests

Criminal history

Sex offender lists

Motor vehicle records

Credit history

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Background Investigations (continued 1)

Negligent hiring: Occurs when an employer fails to check an employee’s background and the employee injures someone on the job.

Negligent retention: Occurs when an employer becomes aware that an employee may be unfit for work but continues to employ the person, and the person injures someone

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Question: How would you conduct a complete background investigation on applicants for the job of school bus driver to minimize concerns about negligent hiring?

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Background Investigations (continued 2)

Employers that check applicants’ credit records must comply with federal laws

Employers must make sure that checks are performed consistently and fairly across different employees

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Companies should obtain a signed release from the applicant

The FCRA applies anytime an employer obtains a background check for employment purposes from a third party. These reports could include criminal history, employment and education verifications, motor vehicle reports, health care sanctions and professional licenses. It is important to note that while the word “credit” appears in the name of the law, it applies to background reports regardless of whether or not the report includes credit information.

Employers must make sure they disclose that they are going to conduct a background check and get written authorization. 

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Background Investigations (continued 3)

Fair Credit Reporting Act requires:

Disclosing that a credit check is being conducted

Obtaining written consent from the person being checked

Furnishing the applicant with a copy of the report

Credit checks should be for jobs in which use of, access to, or management of money is an essential job function

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Medical Examinations and Inquiries

Used to determine the physical and mental abilities to perform jobs

ADA prohibits:

Using pre-employment medical exams, except for drug tests, until a job has been conditionally offered

Rejecting an individual because of a disability

Asking job applicants any question related to current or past medical history until a conditional job offer has been made

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Medical Examinations and Inquiries (continued)

Drug testing - Accuracy of tests varies according to the type of test used and the quality of the laboratory where the test samples are sent

Safety-sensitive jobs may require more stringent screening

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Summarizing Information about Applicants

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Approaches for Combining Predictors

Compensatory Approach

Scores from individual predictors are added and combined into an overall score

Allows a higher score on one predictor to offset, or compensate for, a lower score on another

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Approaches for Combining Predictors (Continued)

Multiple hurdles model:

Minimum cutoff is set on each predictor

Each minimum level must be passed

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Making the Job Offer

General process

Offer given over the telephone

Formalized letter is then sent to the applicant

Offer document should be reviewed by legal counsel

Terms and conditions of employment should be clearly identified

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Making the Job Offer (continued)

Selected candidate should:

Sign an acceptance of the offer

Return the signed acceptance to the employer

Employer should place the job offer in the candidate’s personnel file

Selection Tests

The Uniform Guidelines on Employee Selection Procedures of 1978: 4/5ths rule

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Selection tests must be evaluated extensively before being utilized for hiring decisions. The development of test items should be linked to a thorough job analysis, which is covered in Chapter 4. Also, initial review of the items should include an evaluation by knowledge experts, and statistical and validity assessments of the items should be conducted.

Pre-employment testing is a selection tool that can provide valuable information to aid the selection process.

Pre-employment tests can add objectivity to the selection process if applicants for the same position take the same test under the same conditions and if the test accurately measures skills essential to job performance.

If the use of a particular selection procedure results in adverse impact, the employer can eliminate the use of the procedure, thus eliminating the adverse impact. Or, if the employer wishes to continue to use the procedure, it must then demonstrate the “business necessity” of the selection procedure– that is, demonstrate a clear relationship between the selection procedure and performance of the job. This process is known as validation.

Validation as used in personnel psychology is the establishment of a clear relationship between a selection procedure and the requirements of successful job performance. The Uniform Guidelines recognize three aspects of validity: content validity, criterion validity, and construct validity. The Uniform Guidelines outline technical standards and documentation requirements to justify each of these three aspects of validity.

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Title VII and Cognitive Tests: Less Discriminatory Alternative for Cognitive Test with Disparate Impact. 

EEOC v. Ford Motor Co. and United Automobile Workers of America, involved a court-approved settlement agreement on behalf of a nationwide class of African Americans who were rejected for an apprenticeship program after taking a cognitive test known as the Apprenticeship Training Selection System (ATSS). The ATSS was a written cognitive test that measured verbal, numerical, and spatial reasoning in order to evaluate mechanical aptitude.

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Title VII and Cognitive Tests (Continued 1)

Although it had been validated in 1991, the ATSS continued to have a statistically significant disparate impact by excluding African American applicants. Less discriminatory selection procedures were subsequently developed that would have served Ford’s needs, but Ford did not modify its procedures.

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Title VII and Cognitive Tests (Continued 2)

In the settlement agreement, Ford agreed to replace the ATSS with a selection procedure, to be designed by a jointly-selected industrial psychologist, that would predict job success and reduce adverse impact. Additionally, Ford paid $8.55 million in monetary relief.

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