SECTION 2:PEOPLE IN BUSINESS 2.3 RECRUITMENT,SELECTION AND TRAINING OF EMPLOYEES The Work of Human Resources Department Training Programs Involves assessing and fulfilling the training needs of employees. This should be linked to future plans of the business. Recruitment and Selection Involves attracting and selecting the best candidates for vacancies that arise. Wages and Salaries These must attract and retain the right people and be sufficiently high to motivate employees. Industrial Relations There must be effective communication between representatives of the management and of the workforce. This may be reduce grievances and disputes but also to put forward ideas and suggestions for improvements. HUMAN RESOURCES DEPARTMENT Health and Safety The business needs to make sure that it complies with all the laws on health and safety. Redundancy (retrenchment) and dismissal This involves shielding employees either because the business changes in some way or because the employee is not satisfactory. The business must be sure to comply with all the laws on redundancy, dismissal and disciplinary matters. 1. Vacancy Arises When an employee leaves a job, when a new business is starting up or when a business is successful and wants to expand, the process of recruitment and selection starts. The business will first of all have to decide if the employee leaving the job needs to be replaced. The recruitment process also gives the business an opportunity to reassess the nature of people’s jobs and consider future requirements. In a large business, the process of recruitment and selecting staff is usually undertaken by the Human Resources department. Small businesses do not recruit enough people to make it worthwhile having a separate Human Resources department – often the managers who will be supervising the employee will deal with recruitment for their department. For example, on a hotel restaurant manager might recruit the waters and waitresses. The more important the job is to the business (the more technical and senior the position), the more careful and time-consuming the recruitment and selection process will be. The recruitment process is summarized in the diagram below. 2.Job Analysis The first stage of the recruitment process is to carry out a job analysis to study the tasks and activities to be carried out by the new employee. If the business is recruiting an employee to fill in an existing post, for example, if someone has left or been dismissed, an outline of the duties for the new employee will be relatively easy to draw up, and an outline of the duties for the new employee will be relatively easy to draw up, and may even already exist. If the new employee is needed due to the business expanding or because the business has identified skills that it needs but no one in the business has these skills, more thought will have to go into the analysis of the job. 3. Job Description Once all these details about the job have been gathered, a job description will be produced. A job description has several functions: • It is given to the candidates for the job so they know exactly what the job entails. • It will allow a job description to be drawn up, to see if the candidates ‘match up to the job’, so that people with the right skills will be employed. • Once someone has bene appointed, it will show whether they are carrying out the job effectively. If any disputes occur about what the employee is asked to do, it is something both the employee and the employer can refer to in order to settle any questions. Job descriptions sometimes also contain information about: • The conditions of employment – salary, hours of work, pension scheme and staff welfare • Training that will be offered • Opportunities for promotion 4.Job Specification Job Specification Once a job description has been drawn up, the qualifications and qualities necessary to undertake the job can be specified, This list of desirable and essential requirements for the job is called a job, or person, specification. The listed requirements will usually include: The level of educational qualifications The amount of experience and type if experience Special skills, knowledge or particular aptitude Job Specification Example Here is a job specification for a housekeeper in a hotel. Job Title Housekeeper Department: Housekeeping Responsible to: Hotel Manager Responsible for: Cleaners, room attendants Details of Job: Responsible for domestic services in the hotel, with an aim to keeping accommodation clean and maintained for the hotel guests. Responsible for the cleaners and room attendants. To take a supervisory role. Qualifications: Essential: 4 iGCSE’s (A-C) including Mathematics and English Skills: Ability to manage people Communicates effectively with people Physical Fitness: Fit, needs to be on feet all day Personal Characteristics: Honest and responsible Friendly, helpful, organised Recruitment Process - Internal Advertising the Vacancy The next stage is to decide how the post will be filled. Internal Recruitment The post could be filled from inside the company - Internal Recruitment. The vacancy may be advertised on a company noticeboard, email or, if the company is large, in a company newsletter. This would be suitable for an employee who seeks promotion within the business. Advantages for Internal Recruitment • It saves time and money, compared with recruiting someone from outside the business (advertising, interviewing, etc.) • The person is already known to the business and their reliability, ability and potential are known. • The person who knows the organisation’s way of working and what is expected from employees. • It can be very motivating for other employees to see their fellow workers being promoted – it makes them work harder. Disadvantages of Internal Recruitment • No new ideas or experience come into the business. Other companies may have different ways of working and these ways may be better in some respects, including making the business more efficient. Internal recruitment does not allow for these working practices to be spread. • There may be a jealousy and rivalry amongst existing employees. Recruitment Process - External Most vacancies are filled by external recruitment. This involves advertising the vacancy. There are several places the advertisement can be placed. • Local Newspapers – These will usually be for clerical (office) or manual (factory) positions. These types of jobs do not require a high level of skill and therefore it is likely that many people could fill these vacancies. • National Newspapers – These will normally be used for more senior positions where there may be a few, if any, local people who might have the experience, skills and qualifications to do the job. The national newspapers will be read by many people who live in different parts of the country or sometimes by people who live in different countries. • As the positions are senior, they will be highly paid and these people will be willing to move to another part of the country. Job vacancies in other countries are also sometimes advertised in national newspapers Recruitment Process - External • Recruitment Agencies – These are specialists in recruiting employees. They will advertise and interview people for particular types of jobs. They keep details of qualifies people on their ‘books’. When a suitable vacancy rises, they will put forward candidates to be interviewed for the job. • Agencies are also approached by companies who need to employ a particular type of skilled worker. The agency will send along those people who think will be suitable. This method is often used when temporary contracts need filling and where the vacancy is in another country. • The use of recruitment agencies has increased in recent years. Some businesses are happy to leave the recruitment process to someone else because they have a wide range of candidates on their register. However, the services of an agency are expansive – they charge a fee for recommending the applicant which is based on a percentage of the person’s salary, if the person is successfully appointed to the job. • Centres run by the government (Job Centres) – These are places where job vacancies can be advertised. Details of vacancies are given to interested people. The vacancies are usually for unskilled and semi-skilled workers. Method of Recruitment Internal: Noticeboard at the company or newsletter. External: Local Newspapers National Newspapers Specialist magazines Recruitment Agencies Government-run job centres. Advantages Disadvantages Examples of Jobs suitable for this method of recruitment 5. Job Advertisement After the business has decided to advertise externally, the next step is to draw up the advertisement. When drawing up a job advertisement the business will need to decide: • What should be included on the advert • Where it should be placed • How much the advertisement will cost and is it too expensive? (Can it be afforded) Answering the first After the business has decided to advertise externally, the next step is to draw up the advertisement. When drawing up a job advertisement the business will need to decide: • What should be included on the advert • Where it should be placed • How much the advertisement will cost and is it too expensive? (Can it be afforded) Answering the first question is straightforward – information about the job has to be included. This will usually be the duties involved, qualifications required, salary, conditions of employment, and information about the method of application (whether it is by letter if application of CV or should they request and fill in an application form from the business). Answers to other questions will depend on the vacancy being filled and whether it is a senior position or one which does not require qualifications. 6.Application Forms and CV’s Application Forms and CV’s A job advertisement will require the applicant to apply in writing. This can either be by requesting, and then filling in, an application form, or by writing a letter of application and enclosing a curriculum vitae (CV) or résumé. A CV or résumé is a summary of a person’s qualifications, experience and qualities, and is written in a standard format. A business will use the application forms, or letters and CV’s, to see which of the applicants match the job specification. The applicants who are closest match are the ones who will be invited for an interview – the selection stage. A shortlist will be drawn up. A curriculum vitae (CV) or résumé must be well laid out and clear. It should usually contain the following details: Name Address Telephone Number Date of Birth Positions of Responsibility Interests Nationality Work Experience Education and Qualifications Name and addresses of referees (for references) The letter of application should outline briefly: • Why the applicant wants the job • Why the applicant feels he/she would be suitable. Application forms are sometimes completed in place of the CV and usually ask for the same information. They may sometimes ask for other information that is specifically relevant to the job. 7.Interviews and Selections The applicants who are shortlisted and invited for interview will have provided the names and addresses of referees. These are people who will be asked to provide a reference (give their opinion of the applicant’s character, honesty, reliability and their suitability for the job). References are usually confidential, which means the applicant does not see what is written about hem. This should allow the person giving the reference to be honest in their opinions. Sometimes an ‘open’ reference or testimonial will be given. These are not confidential, indeed the applicant may bring these along themselves. If the applicant is a school leaver, it is normal to give their school as a referee. If the applicant is older. Usually a former employer will be used. Interviews are still the most widely used form of selection. However, interviews are not always the most reliable way of choosing the best person for the job. The main purposes of an interview are to assess, in the shortest time possible: • The applicant’s ability to do the job • Any personal qualities that are an advantage of disadvantage • The general character and personality of the applicant – will they fit in? 7.Interviews and Selections Interviews can be one-to-one, two-to-one or a panel of people to interview the applicant. Panel interviews are usually used for more senior positions. • Some businesses include tests in their selection process, e.g. • Skills Tests to show the ability of the candidate to carry out certain tasks. • Aptitude tests aim to show the candidate’s potential to gain additional skills. Either general intelligence tests or more specific tests are sued to assess the candidate’s ability to train for a particular job. • Personality tests are used if a particular type of person is required for the job, if the job requires the ability to work under stress or if the person will need to fit in as part of a team of people. • Group situation tests give tasks to applicants to complete in group situations and the group is observed. Each applicant will be assessed on the way they work as a member of the team and the way they tackle the tasks themselves. Again, a job that requires the applicant to work as part of a team, i.e. on projects, will often use this type of selection procedure during the selection process. REVISION SUMMARY OF THE RECRUITMENT PROCESS Contract of Employment In many countries of the world it is a legal requirement for employers to provide a new employee with a contract of employment to sign. It will set out the terms of the relationship between the employer and employee. It will usually be set out in writing and include the following: • Name of the employer and the name of the employee • Job title and hours to be worked • Date when employment is to begin • Rate of pay and any other benefits such as bonus, sick pay, pension. • When payment will be made • Holiday entitlement • Amount of notice to be given to terminate the employment that the employer or the employee must give to end the employment. Part-time and full-time (contract of employment) A part-time worker is someone who works fewer hours than a full-time worker. There is no specific number of hours that makes someone full-time or part-time, but a full-time worker will usually work 35 hours or more a week. The number of hours which workers usually work in a week will vary from one country to another. The contract of employment will give a different number of hours to show whether it is part or full-time job. Employers can benefit from employing workers on a part time contract rather than a full-time contract. Contract of Employment The advantages to the business of employing part-time workers are: • More flexible in the hours of work • Easier to ask employees just to work at busy times • Easier to extend business opening/operating hours by working evenings or at weekends • Fits in with looking after children and therefor employee is willing to accept lower pay • Less expensive than employing/paying a full-time worker. The disadvantages to the employer are: • Less likely to be trained because the workers see the job as temporary or the employers think the employees will leave or won’t want promotion. • Takes longer to recruit two part-time workers than one full-time worker • Can be less committed to the business / more likely to leave to get another job • Less likely to be promoted because they will not have gained the skills and experience as full-time employees. • More difficult to communicate because they will not have gained the skills and experience as full-time employees. The advantages and disadvantages of full-time workers us the opposite to part-time workers (that is, the advantages of part-time workers is the disadvantages of full-time workers and vice versa) Training There should be clear objectives for training employees. Training is important to a business to: • Introduce a new process or new equipment • Improve the efficiency of the workforce • Provide training for the unskilled workers to make them more valuable to the company • Decrease the supervision needed • Improve the opportunity for internal promotion • Decrease the chances of accidents Employees should be clear about the benefits of training or they will not work hard or take the training seriously. Training covers many different needs. Some may be short term, such as one day courses on how to operate a new machine safely. Others may last a few days and some may be long term where a program of management training is involved, such as an MBA (Masters degree in Business Administration) Training is usually trying to achieve one or more of the following: • Increase skills and knowledge • Change people’s attitudes / raise awareness. i.e. customer service There are 3 main types of training: • Induction training • On-the-job training • Off-the-job training Training - Induction This is carried out when an employee is new to the post. When a new employee starts at a company, they will not know where everything is or who people are or what is expected of them. The induction program will last sometimes for a day, sometimes for several days – it depends on the company and the particular job. When a person starts a new school, they are shown around, introduced to teachers and told about their lessons – this is the same type of information you would need to know if you had just joined a new company. The advantages of induction training are that it: • Helps new employees to settle into their job quickly • May be a legal requirement to give Health and Safety training at the start of a job • Means workers are less likely to make mistakes The disadvantages of induction training are that it: • Is time consuming • Wages are paid but no work is being done by the worker • Delays the start of the employee commencing their job. Induction Training Program Example 08 30 Introduction 08 45 Company History 09 00 Company Structure 09 30 Administration Details: • Company Regulations 10 30 Break 10 45 • • Health and Safety in the workplace Uniform Workplace: • Map of the premises – places of work • Staffroom • Staff Canteen • • • First aid Point Fire Exits Human Resources Managers Office 11 45 Conditions of Employment • Rate of Pay • Hours worked • Sickness and Holiday Pay • • • • Pensions Disciplinary Procedures Breaks Staff purchase / discounts 12 45 Training opportunities 13 00 Lunch 13 30 Job training • Customer Service • Stacking /Presentation of Shelves • Pricing Goods • • • • Using Bar Code reader Using Tills How to deal with difficult customers Security 17 00 Close Training – On-The-Job This is where a person is training by watching a more experienced worker doing the job. They are shown what to do. This method of training is only suitable for unskilled and does not need to be sent away (travel costs are expe semi-skilled jobs. The advantages of on-the-job training are that: • Individual tuition is given and it is in the workplace so the employee nsive) • It ensures there is some production from the worker whilst they are training • It usually costs less than off-the-job training • It is training to the specific needs of the business The disadvantages of on-the-job training are that: • The trainer will not be as productive as usual because they are showing the trainee what to do instead of getting on with their job • The trainer may have bad habits and they may pass these on to the trainee • It may not necessarily be recognized training qualifications outside the business Training – Off-The-Job This is where the worker goes away from the place where they work. This may be in a different part of the building or it may be a different place altogether, such as a college or specialist training centre. The techniques used to train workers are more varied and can involve more complex tasks. Off-the-job training often involved classroom learning, using lecture, role-play, case studies or computer simulations. This may be similar to how you are taught. The advantages of off-the-job training are that: • A broad range of skills can be taught using these techniques • If the courses are taught in the evening after work, they are cheaper for the business because the employee will still carry out their normal duties during the day • The business will only need to pay for the course and it will not also lose the output of the employee • Employees may be taught a variety of skills, they become multi-skilled and this makes them more versatile – they can be moved around the company when the need arises • It often uses expert trainers who have up-to-the-date knowledge of business practices. The disadvantages of off-the-job training are that: • Costs are high • It means wages are paid but no work is being done by the worker • The additional qualifications means it is easier for the employee to leave and find another job