Human Resource Management Week Four Signature Assignment

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HRM637PPTCh12.pptx

Staffing Organizations

Chapter 12:

Final Match

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Final Match 1

Employment Relationships

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Setting Expectations

Organizations should:

Clarity what job offer receivers can expect (or not expect)

Ensure promises or expectations are met

Clarify job tasks, expectations for performance, reporting relationships, compensation and benefits, and career paths

Sources of new hire expectations

Organization as a whole

Supervisors

Co-workers

Implications of violated expectations

Lower satisfaction

Job insecurity

Stress

Legal complications

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Parties to the Relationship

Employee or Independent Contractor

Be clear whether the relationship being sought is that of employer–employee or employer–independent contractor.

Department of Labor has been working to identify organizations that are misclassifying employees, resulting in large fines.

Third Parties

Employment agencies

Executive recruiters

Professional agent

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Disclaimers and Contingencies

Disclaimers

A statement (oral or written) that explicitly limits an employee’s right and reserves that right for the employer.

Employer explicitly makes no promise of any job security and reserves the right to terminate the employment relationship at its own will.

Disclaimers should be clearly stated and conspicuously placed in appropriate documents; employee should acknowledge receipt and review of the document and the disclaimer.

Contingencies

Examples include (1) passage of a particular test, (2) passage of a medical exam, including alcohol/drug screening tests, (3) satisfactory background and reference checks, and (4) proof of employability.

Contingencies to an employment contract may be made only within defined limits.

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Final Match 2

Job Offers

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Strategic Approach to Job Offers 1

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Strategic Approach to Job Offers 2

Employee Value Proposition

The total package of extrinsic and intrinsic rewards that the offered job will provide to the finalist if the job offer is accepted

Must present a package of rewards with the right combination of magnitude, mix, and distinctiveness to be compelling to the offer receiver.

Considerations in shaping job offer

Labor market: offers more generous is KSAOs are rare or labor market is tight

Timeline: short term versus long term relationship sought?

Unique preferences of applicant pool

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Elements of Job Offers

Compensation and benefits

Base pay

Variable pay

Benefits

Signing bonuses and relocation assistance

Onetime rewards to new hires

Immediate inducements for high-value employees

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Idiosyncratic Deals 1

Table divided into two columns summarizes elements and examples of idiosyncratic deals. The column headers are marked as: Category and examples.

Category Examples
Tasks and work responsibilities that are specially tailored to the employee's unique KSAOs An engineer in a technology firm with an interest and background in marketing will participate in marketing meetings A salesperson who is especially familiar with a certain product line will be given paid time to share expertise with other workers A customer service provider interested in management will be paid to attend skill development workshops

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Idiosyncratic Deals 2

Table divided into two columns summarizes elements and examples of idiosyncratic deals. The column headers are marked as: Category and examples.

Category Examples
Flexible schedules to accommodate individual employee needs An employee will be allowed to come in later in the day and leave later to accommodate childcare needs An employee whose spouse works a non-standard workweek will be given a Tuesday to Saturday schedule A non-exempt employee will have variable hours per week

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Idiosyncratic Deals 3

Table divided into two columns summarizes elements and examples of idiosyncratic deals. The column headers are marked as: Category and examples.

Category Examples
The ability to work outside of the main office   A virtual private network or cloud-based servers will be used to allow employees to access work data remotely Provide mobile devices like tablet computers or smartphones and pay for connectivity fees for an employee who travels frequently with her family

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Idiosyncratic Deals 4

Table divided into two columns summarizes elements and examples of idiosyncratic deals. The column headers are marked as: Category and examples.

Category Examples
Financial incentives that are particular to the employee and match his or her unique contribution to the organization Compensate an especially productive research developer based on patent applications Designate an employee with well-developed social networks a “rainmaker” and pay for each new client he brings in to other salespeople Pay a bonus to a manager with strong developmental skills for each person she successfully mentors

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Restrictions on Employees

Confidentiality agreement

Prohibit employees from disclosing information

Examples include trade secrets, customer lists, manufacturing processes, marketing plans, or business forecasts

Cannot violate labor law or prohibit employees from disclosing illegal behavior

Noncompete agreement

Restrict employees from taking a job with a competitor

Cannot prevent person from practicing their trade or profession

Arbitratrion agreement

Resolve disputes through arbitrator rather than courts

Payback agreement

Repay hiring bonuses, relocation assistance, tuition reimbursements, etc.

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Final Match 3

Job Offer Process

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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

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Formulation of Job Offer: Offer Receivers

Likely reactions of offer receivers

Gather information about various preferences from offer receiver during recruitment/selection process

Conduct research on why offer receivers accept or decline job offers

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

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Formulation of Job Offer: Initial Strategies

Lowball

offering the lower bounds of terms and conditions to the receiver

Market matching

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

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Presentation of Job Offer

Mechanical Approach

Little or no input about the content of the offer received from the person, and after the offer has been made, there is no further communication

Highly efficient and inexpensive; ensures that all applicants are treated in exactly the same manner

Sales Approach

Active interaction between the organization and the receiver as terms and conditions are developed

Organization continues to have active communication with the receiver.

Higher chance of the receiver accepting the offer; more likely to be employed for high-value employees who likely have more varied KSAO sets than entry-level employees.

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Negotiable Components of Job Offer

Table divided into two columns summarizes negotiable components of job offer. Column 1 notes very common, commonly, seldom, and very seldom negotiable. Column 2 notes components.

Very commonly negotiable Salary Signing bonus Relocation expenses Start date
Commonly negotiable Working from home Professional development opportunities Wellness benefits
Seldom negotiable Hours worked per week Work schedules
Very seldom negotiable Reporting relationships Core job responsibilities Severance packages Health insurance packages

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Job Offer Acceptance and Rejection

Acceptance

Rejection

By organization

By offer receiver

Revoking

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Final Match 4

New Employee Orientation and Socialization

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Key Elements in Socialization and Orientation

People: meeting and learning about coworkers; becoming accepted and respected

Performance proficiency: becoming very familiar with job requirements; acquiring necessary KSAOs

Organization goals and values—learning of the organization’s goals; learning about values and norms

Politics—becoming familiar with key players; networking

Language—special terms, buzzwords, acronyms, and jargon

History—origins and growth of the organization; customs, rituals, and special events

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Effective Socialization and Orientation

Providing realistic recruitment information about job requirements and rewards

Clarifying job requirements, knowledge, and skills to be acquired

Encouraging the newcomer to actively seek out information and build relationships

Ensuring that managers and coworkers provide assistance to the newcomer

Conducting active mentoring for the newcomer

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Final Match 5

Legal Issues

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Legal Issues

Employment Eligibility Verification

Under IRCA, company is prohibited from hiring or continuing to employ an alien not authorized to work in U.S.

Negligent hiring

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

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Ethical Issues in Staffing

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. The organization has therefore decided to do college recruiting at the end of the recruiting season. It will hire those who have not been fortunate enough to receive any job offers, pay them a salary 10% below market, and provide no other inducements such as a hiring bonus or relocation assistance. The organization figures this strategy and EVP will yield a high 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.

An organization has a staffing strategy in which it hires 10% more employees than it actually needs in any job category in order to ensure its hiring needs are met. It reasons that some of the new hires will renege on the accepted offer and that the organization can revoke some of its offers, if need be, in order to end up with the right number of new hires. Evaluate this strategy from an ethical perspective.

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