CHAPTER 10
SPECIAL ISSUES IN TRAINING AND EMPLOYEE DEVELOPMENT
Chapter 10 highlights some current issues in the training and development arena. This is an
important body of information for the student taking an overview course in training and
development. First, legal issues from the external environment are discussed. It is critical to
know the major pieces of legislation, including the Civil Rights Act (1964, 1991), the Age
Discrimination in Employment Act (ADEA), and the Americans with Disabilities Act (ADA),
and the major requirements they define for employers. Further, the categories of legally
dangerous situations, e.g., an employee being injured during a training activity, are described.
Second, cross-cultural preparation is addressed, bringing to light the various types of expatriates;
dimensions of cultural differences; steps in the preparation, including the predeparture phase, the
on-site phase, and the repatriation phase; and training foreign employees. Third, the chapter
addresses the management of a diverse workforce, including the two basic designs of diversity
training programs and the characteristics of successful diversity initiatives. This is invaluable
information in today’s global culture. Fourth, school-to-work programs are described. Fifth,
training the hard-core unemployed and the implications are discussed. Sixth, internal needs of
the company related to training, including basic skills and the glass ceiling, are highlighted.
Seventh, joint union-management programs are addressed and, eighth, succession planning is
described. Ninth, is a discussion of dysfunctional behaviors among managers and how to address
them. And tenth, the notion of linking pay to training is highlighted. These are issues of which
all training and development students should be made aware.
Objectives
After reading and discussing this chapter, students should be able to
1.
2.
3.
4.
5.
Discuss the potential legal issues that relate to training.
Develop a program for effectively managing diversity.
Design a program for preparing employees for cross-cultural assignments.
Make recommendations on steps to take to “melt the glass ceiling.”
Discuss what a trainer needs to do to ensure that school-to-work and hard-core unemployed
training programs meet their objectives.
6. Describe the necessary steps in a program for helping dysfunctional managers.
7. Discuss the implications of a skill-based pay plan for training.
I. Introduction: This chapter covers current issues and environmental pressures, such as legal
issues, globalization, and workforce diversity that influence companies and training units.
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II. Training Issues Resulting from the External Environment
A. Legal issues (see Table 10-1, p. 359)
1. Failure to provide training. Employers may be required to provide certain types of
training or a certain number of hours of training for employees
2. Employee injury during a training activity. Many states require that employers be
responsible for paying employees their salary and/or paying them a financial
settlement for injuries received during any employment-related activity, including
training.
3. Employees or others injured outside a training session. The company is liable for
injuries or damages resulting from actions of poorly, incorrectly or incompletely
trained employees, even when training is conducted by an external vendor. Training
content and methods should be thoroughly documented.
4. Breach of confidentiality or defamation. Information placed in employees’ files
regarding training performance must be accurate; employees should be informed
when their training performance data will be used for any purpose or discussed with
anyone.
5. Reproducing and using copyrighted material in training sessions without
permission.
a. Copyrights protect the expression of an idea, but not the ideas the material
contains. They prohibit the creation of a product based on others’ original work
and from copying, broadcasting or publishing the product without permission.
b. The use of videos, manuals, handouts or any copyrighted material in training
without the owner’s permission is illegal.
5. Excluding women, minorities, and older employees from training programs.
a. Title VII of the Civil Rights Act (1964) makes it illegal to make employment
decisions on the bases of race, color, religion, gender or national origin.
b. The Age Discrimination in Employment Act (ADEA) prohibits discrimination
against individuals over the age of 40.
c. The Equal Employment Opportunity Commission (EEOC) enforces both the
Civil Rights Act and the ADEA.
d. Still, the US Dept. of Labor has found that training required for promotion has not
been as accessible to women and minorities.
6. Not ensuring equal treatment of all employees while in training. Opportunities
for practice, feedback, etc., should be equal for all employees; and trainers should
avoid offensive jokes, remarks, etc.
7. Requiring employees to attend programs that might be offensive to them, e.g.,
scientology principles woven into insurance agent training programs which some
trainees found offensive and counter to their religious beliefs.
8. Revealing discriminatory information during a training session. Notes taken
during a diversity training program at a supermarket chain were used as evidence of
discrimination.
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9. Not accommodating trainees with disabilities.
a. The Americans with Disabilities Act (ADA) of 1990 prohibits discrimination on
the basis of disability in employment practices, such as hiring, firing,
compensation, and training.
b. The ADA defines a disability as a physical or mental impairment that substantially
limits one or more major life activities, a record of having an impairment, or being
regarded as having such an impairment.
c. The ADA requires employers to make reasonable accommodation in facilities to
allow the disabled worker to perform effectively, unless that accommodation
would cause undue hardship on the company. Undue hardship means excessive
expense or loss of production, assessed by looking at percentage of profits.
d. The ADA is intentionally vague in its definitions of disabilities, reasonable
accommodation, and undue hardship to allow for full coverage of all impairments
and situations and for case by case interpretation.
10. Incorrectly reporting training as an expense or failing to report training
reimbursement as income.
III. Cross-Cultural Preparation involves educating employees (known as expatriates) and their
families for work and life in another country.
A. Types of employees in global companies include (see Table 10-2, p. 364):
1. Parent-country national, referring to an employee whose country of origin is where
the company is headquartered.
2. Host-country national, referring to an employee from the host country.
3. Third-country national, referring to an employee whose country of origin is
different from both the parent company and the host country.
B. Table 10-3 (p. 365) summarizes negative surprises facing the newly arrived Japanese
manager, impression shock, the Japanese perceptions of American ways, and integration
shock, the American responses to Japanese ways.
C. Dimensions of cultural differences that influence employee behavior:
1. A culture is the set of assumptions group members share about the world and how it
works and the ideals worth striving for. It influences the effectiveness of various
behaviors and management styles.
2. Cultures have five dimensions:
a. Individualism-collectivism is the dichotomy or degree to which people act as
individuals or as members of a group. In an individualistic culture like America,
we expect to be hired, evaluated and rewarded on the basis of individual
performance.
b. Uncertainty avoidance is the extent to which people prefer structured rather than
unstructured situations. A culture with a strong uncertainty orientation favors
structured situations.
c. Masculinity-femininity is the extent to which a culture values behavior
considered traditionally masculine or feminine. Masculine cultures include the
United States, Japan, and Germany.
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d. Power distance refers to expectations for the unequal distribution of power in a
hierarchy.
e. Time orientation is the degree to which a culture focuses on the future rather
than the past and present. The American culture has a short-term orientation and,
thus, emphasizes respect for tradition and social obligations. Cultures with longterm orientations, such as Japan and China, value thrift and persistence which pay
off in the long run.
D. Steps in cross-cultural preparation for expatriates.
1. To be effective in overseas assignments, expatriates need to be:
a. Competent in their area of expertise.
b. Able to communicate effectively both verbally and nonverbally in the host
country.
c. Flexible, tolerant of ambiguity, emotionally stable, outgoing and agreeable, and
sensitive to cultural differences.
d. Motivated for success, able to enjoy the challenges of a different culture, and
willing to learn about the host country’s culture, language and customs.
e. Supported by their families.
2. The three phases of foreign assignments, all of which present training needs, include:
a. Predeparture phase is the preparatory period before the expatriate leaves the
States. It is critical that expatriates and their families receive training in the host
country’s language and an orientation on the host country’s culture and customs.
Information regarding housing, schools, recreation, shopping, and healthcare in
the host country needs to be provided.
1.) Cross-cultural training methods used range from presentational methods, such
as lecture, to experiential exercises.
2.) The rigor of cross-cultural training needed depends on the degree of
difference between the United States and host country’s cultures (i.e., cultural
novelty); the amount of interaction with host country citizens and nationals
(i.e., interaction); and the familiarity of the job tasks and work environment
(i.e., job novelty). High levels of novelty call for experiential training
methods.
b. The on-site phase, when the expatriate and family are in the host country, should
involve continued orientation to the host country through formal training or
mentoring.
c. The repatriation phase is the time during which the expatriate prepares to return
to the parent company and country.
1.) To prepare to reenter the United States, expatriates and their families should
be brought up to speed on current national issues, politics, and news stories.
2.) Employees may have to adjust to a lower standard of living upon their return
to the U.S.
3. Virtual Expatriates have an assignment to manage an operation abroad without
being permanently located in that country.
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E. Training Foreign Employees
1. Expectations regarding instruction differ by culture.
2. Expectations regarding the learning environment also may differ by culture.
3. Language differences must be considered in preparing delivery and materials.
4. The needs assessment must include examining the cultural dimensions which need to
be considered in the development and delivery of training.
IV. Managing Work Force Diversity
A. The goals of diversity training are to
1. Eliminate values, stereotypes, biases, and managerial practices that inhibit employees’
development.
2. Allow employees to contribute to company goals regardless of their race, gender,
religion, sexual orientation, family status, or cultural background.
B. Managing diversity means creating an environment that allows all employees to
contribute to company goals and grow professionally.
C. Managing diversity has been linked to improved productivity, lower employee turnover,
and lower human resource costs in general.
D. To be effective work teams must capitalize on diversity, beyond racial, physical, and
ethnic differences to differences in communication style, problem solving style, and
expertise.
E. Managing diversity through adherence to legislation means adhering to affirmative action
policies and meeting equal employment opportunity legislated requirements.
1. This approach fails to change beliefs and behaviors that inhibit productivity and
development of individuals.
2. The Cycle of disillusionment shown in Figure 10-3, p. 376, illustrates the
disillusionment and frustration among women and minorities in particular resulting
from this approach to diversity. Women and minorities often leave this type of firm.
F. Managing diversity through diversity training comes from the need to move beyond
simply abiding by laws. Diversity training is designed to change employee attitudes
about others unlike themselves and/or developing the skills and behaviors necessary to
work effectively and appropriately in a diverse workforce.
1. To successfully manage a diverse workforce, companies need to ensure that:
a. Employees understand how their values, beliefs, and stereotypes affect their
behaviors toward others unlike themselves.
b. Employees gain an appreciation of differences.
c. Behaviors that isolate or intimidate minority group members are eliminated.
2. Attitude awareness and change programs focus on increasing employees’
awareness of differences in cultural and ethnic backgrounds, physical appearance, and
personal characteristics and how they respond to them.
a. The underlying assumption is that by raising awareness about biased beliefs and
stereotypes, this type of training leads employees to avoid those stereotypes in
their future interactions.
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b. There are several concerns:
1.) The approach will be misunderstood as reinforcing negative stereotypes.
2.) Encouraging employees to share their attitudes, feelings, and stereotypes
toward certain groups may leave employees feeling guilty, angry, resentful and
less likely to see similarities among people of different backgrounds, etc.
3. Behavior-based programs focus on changing the company’s policies and employee
behaviors that inhibit others’ growth and productivity.
a. One approach is to identify incidents that inhibit performance by asking
employees to describe situations in which they believe they were treated unfairly.
b. Another approach is to teach managers and employees basic behavioral rules for
the workplace, including teaching them what is inappropriate to do or say and
better alternatives.
c. A third approach is cultural immersion, in which employees are sent directly into
communities where they have to interact with persons from different cultures,
races, and/or nationalities.
d. Employees tend to react more favorably to this type of program.
G. Characteristics of successful diversity efforts
1. Increasing evidence suggests that attitude awareness and change-type programs are not
effective; nor are one-shot programs.
2. A survey of diversity training efforts indicates:
a. The most commonly addressed issue in diversity training programs is the
pervasiveness of stereotypes, assumptions, and biases.
b. Less than 1/3 of companies that do diversity training evaluate it or follow up.
Among those that do evaluate, the typical criteria were reduced grievances and
lawsuits, increased diversity in promotions and hiring, increased awareness of
biases, and increased attention given to diversity issues.
c. Most diversity training programs last a day or less.
d. Three fourths (75%) of respondents believed that employees leave diversity
training with positive attitudes toward diversity (short-term), but over 50% said the
programs have no long-term effects.
3. Table 10-6 (page 379) summarizes characteristics associated with diversity programs’
long term success:
a. Top management providing resources, showing support and creating a culture that
values diversity.
b. The diversity program being structured.
c. Making the valuing workforce diversity as a business objective.
d. Valuing diversity and capitalizing on it is seen as necessary to be profitable.
e. The diversity program being evaluated.
f. Manager being required to be involved.
g. The program being focused on a long-term culture change, not a one-shot
program.
h. Managers and particular demographic groups not being blamed for problems.
i. Teaching skills and behaviors needed to interact with others effectively.
j. Managers being rewarded on progress toward diversity goals.
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V. School-to-Work Transition Programs combine classroom instruction and work experiences
to prepare noncollege-bound high school graduates for employment.
A. The School-to-Work Opportunities Act of 1994 was designed to assist states in
developing school-to-work systems to prepare primary and secondary students for highskill, high-wage jobs or further education.
1. Such programs are time-consuming to implement, but both students and involved
companies stand to benefit.
2. The challenge is to make the program payoff for all parties: employers, educators,
and students.
VI. Trainings Role in Welfare-to-Work and Other Public-Private Sector Programs
A. The Personal Responsibility and Work Opportunity Act (The Welfare reform act of 1996)
increased pressure on welfare recipients to find jobs.
1. Under the law recipients have a five year limit on benefits and must find jobs within
two years.
2. Tax incentives are given to companies that hire welfare recipients.
B. There are two primary methods for training welfare recipients:
1. Government agencies can refer welfare recipients to a company-sponsored training
program that is subsidized with money and tax credits from the government.
2. State and local governments can provide work and life skills training to welfare
recipients directly.
C. The Workforce Investment Act of 1998 created a new comprehensive workforce
investment system.
1. The Cornerstone of the program is One-Stop service delivery, which unifies
numerous training, education, and employment programs into a single, customer
friendly system in each community.
2. O*NET, the occupational network, is a database of occupational information which
supports One-Stop service delivery.
VII. Training Issues Related to Internal Needs of the Company
A. Basic skills training, has become a necessity for many firms because they cannot find
enough individuals with the appropriate basic skills to hire.
B. Basic skills programs involve the following steps:
1. The necessary skill levels for effective performance must be identified.
2. Employees’ skill must be assessed.
3. Training is developed to address the gap between the skills needed and the skills
possessed by the individuals.
4. Basic skills training should be:
a. Highly applied and contextual so that their relationship to the job is clear and the
content is meaningful.
b. Offered at times when employees are able to attend (i.e., accommodating multiple
shifts, where necessary).
c. Participation needs to be as private as possible, since some find it embarrassing to
reveal that they have basic skill deficiencies.
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C. Melting the glass ceiling, or breaking the barrier for women and minorities to advance
into upper-level positions in the company.
1. The barrier may be the result of stereotypes or company systems that are biased
against women and minorities.
2. The ceiling is likely due to reduced access to training, developmental job experiences,
and/or mentoring. Assignments to training, to job experiences, and to mentoring
relationships should be equal for both genders and all races.
a. Men tend to receive more job assignments with high levels of responsibility than
women.
b. Women and minorities often have trouble finding mentors because they don’t
have access to the “old boys network;” mentoring programs can target mentoring
women and minorities to gain the skills and visibility to move into upper
management tiers.
VIII. Joint Union-Management Programs provide a wide range of services to help employees
learn job-related skills and “portable” skills that are valuable across employers.
A. Both employers and unions contribute resources to operate these training programs.
B. For example, the United Auto Workers-Ford Education Development and Training
Program includes:
1. A life/education planning program to look at career interests and needs.
2. An education and training assistance plan, providing tuition reimbursement and
assistance finding appropriate courses at colleges and universities.
3. A skills enhancement program involving basic adult education, English as a second
language, etc.
4. A college and university options program, making degree and non-degree college and
technical training more accessible to employees by providing workshops, on-site
registration, classes at convenient times, and college credit.
5. Targeted education, training, or counseling for particular segments of the workforce.
6. A retirement planning program providing preretirement planning.
7. A financial education program including skills-building in financial planning,
investing, insurance matters, wills and trusts.
IX. Succession Planning is the process of identifying and tracking high-potential employees,
whom the company believes would be successful in high-level managerial positions (see
Table 10-9, p. 391).
A. High potential employees are often placed in fast-track development programs involving
education, mentoring and coaching, and job rotation.
B. Objectives of a fast-track program include:
1. Developing future managers for mid- to upper-level management and executive
positions.
2. Enabling companies to competitively attract and recruit talented employees.
3. Helping companies to keep talented employees.
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C. The development of high-potential employees involves three stages:
1. Stage 1: High potential employees are selected—well-educated or high-performers
are identified.
2. Stage 2: High-potential employees engage in development activities. Those who
meet the expectations of the company at this stage advance to the next stage.
3. Stage 3: The CEO becomes actively involved in the development process, given that
the remaining employees are seen by top management as fitting the culture and having
what it takes to succeed. Reaching stage 3 may take 15 to 20 years.
X. Developing Managers with Dysfunctional Behaviors
A. Certain “dysfunctional” behaviors can cause an otherwise competent manager to be
ineffective:
1. Insensitivity or lack of empathy to others
2. Inability to be a team player
3. Arrogance and autocratic approach
4. Poor conflict-resolution skills
5. Inability to meet business objectives
6. Inability to change.
B. These managers stand to fail or “derail” because of these dysfunctional behaviors.
C. Assessment, training, and counseling can help managers change dysfunctional behaviors.
1. An example is the Individual Coaching for Effectiveness (ICE) program, which
includes diagnosis, coaching, and support activities.
a. The diagnosis phase involves gathering information about the manager’s skills,
personality, and interests through interviews and psychological tests. It is
determined if the behavior can be changed.
b. The coaching phase involves presenting the manager with information about the
targeted behavior and having the manager participate in behavior-modeling
training. Psychological counseling may also be involved.
c. The support phase involves creating conditions conducive to the use of new skills
and behaviors. Feedback is given and an action plan may be developed to outline
how and when the behaviors will be used.
d. Participation in such programs has been shown to result in skill improvement and
reduced chance of termination.
XI. Training and Pay Systems
A. Compensation is the pay and benefits a company gives to employees for the work they
perform.
B. Compensation systems are used to attract and retain employees and motivate them by
being competitive with other employers for similar jobs.
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C. Training is increasingly being tied to compensation by using skill-based or knowledgebased pay structures.
1. Skill-based or knowledge-based systems link employee pay to the knowledge and
skills they possess rather than on what their job requires of them, in order to motivate
them to learn.
2. Cross-training means training employees to learn the skills needed for more than one
job, which is especially useful in a work-team setting.
3. Multi-skilled employees give the company greater flexibility and the ability to adapt
to changes quickly.
4. Tying pay to training means spending more on training and offering more programs;
the training must be accessible to all employees.
5. A key issue is skill “perishability,” meaning that it is the key to monitor skills so that
they are still sharp when it comes time to use them. Refresher courses may be
required to keep skills from becoming obsolete.
CHAPTER 10 SUMMARY
This chapter is filled with valuable information about various issues that currently surround the
training and development function. Legal issues were addressed, as were the preparation of
expatriates for overseas assignments and the management of a diverse workforce. School-towork initiatives were also described, as were training the hard-core unemployed, basic skill
development, and overcoming the glass ceiling. Joint union-management training initiatives
were discussed, along with succession planning, and correcting dysfunctional behaviors among
managers. Finally, the important notion of basing pay on learning was addressed. This variety of
issues helps the student to see the many factors that come into play for the training function. A
basic understanding of these issues is essential.
Discussion Questions
1. What are some potential legal issues that a trainer should consider before deciding to run an
adventure learning program?
Answer:
The trainer would need to consider the potential risks of injury, as the trainer would be liable
for any injuries that take place during training. It is also important to get permission to use
any copyrighted materials before beginning the program. (p. 363)
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2. Discuss the steps in preparing a manager to go overseas.
Answer:
The manager must first receive language training and an orientation to the new country’s
culture and customs. The manager and his family needs to be informed about housing
schools, recreation, shopping, and health care facilities in the area where they will be living.
The manager must also be made aware of what position they will take on upon their return.
(p. 368)
3. List the five dimensions of culture. How does each of the dimensions affect employee
behavior?
Answer:
Employees with a high sense of individualism expect participation in exercises and
questioning to be determined by status in the company. Employees with high uncertainty
avoidance expect formal instructions and have less tolerance for impromptu style.
Employees from less masculine cultures value relationships with other employees, and will
have less resistance to female trainers. Employees from cultures with high power distance
expect trainers to be experts, and trainers are expected to be authoritarian and controlling of
training sessions. Employees with long-term time orientation are more likely to accept
development plans and assignments. (Table 10-4, p. 372)
4. What does the “rigor” of a cross-cultural training program refer to? What factors influence
the level of training rigor needed?
Answer:
Rigor refers to the degree to which the training program emphasizes knowledge about the
culture as well as behavior and skills needed to effectively live in the culture. The amount of
rigor required depends on the degree of difference between the United States and the host
country, the amount of interaction with host country citizens, and the familiarity with new job
tasks and work environment. (p. 369)
5. What are virtual expatriates? What are their advantages and disadvantages for the company
and the manager?
Answer:
Virtual expatriates have an assignment to manage an operation abroad without being
permanently located in that country. There is less of a feeling of culture shock for the
manager and his family, and there is less cost for the company with virtual expatriates,
however, there is the disadvantage that being in the host country only occasionally increases
the amount of time taken to solve problems because of the lack of a strong personal
relationship with local employees. (p. 371)
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6. The director of sales and marketing for a Warner Brothers theme park has been working in
Madrid. She is getting ready to return to the United States. What should Warner Brothers do
to ensure her successful repatriation?
Answer:
Warner Brothers must take her through a repatriation program. Repatriation will prepare her
for return to the U.S. from the foreign assignment. It is likely that she may experience high
levels of stress and anxiety on return because of the changes that have occurred since their
departure. In case she needs to get adjusted to a lower standard of living on her return,
Warner Brothers must work out the salary and other compensation arrangements well before
her return from the overseas assignment. (p. 370)
7. What does “managing diversity” mean to you? Assume you are in charge of developing a
diversity training program. Who would be involved? What would you include as the content
of the program?
Answer:
Managing diversity involves creating an environment that allows all employees to contribute
to organizational goals and experience personal growth. Answers may vary. (p. 373)
8. What are school-to-work transition programs? Why are they needed? How do they benefit
companies?
Answer:
School-to-work transition programs combine classroom experiences with work experiences
to prepare high school graduates for employment. This system is needed for training students
who do not attend college directly after high school, so that they join the workforce with a
useful skill base. (p. 381)
9. What are some potential advantages and disadvantages of attitude-awareness-based diversity
training programs?
Answer:
Attitude-awareness based programs are intended to eliminate negative stereotypes by
explaining similarities and differences between cultural groups, and examining different
attitudes about minorities. This type of program has been criticized for possibly
communicating that certain stereotypes are valid, and by getting employees to talk about their
attitudes and stereotypes toward certain groups, these programs may cause some employees
to feel discriminated against, and less likely to see similarities between cultures. (p. 377)
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10. Discuss the implications of a skill-based pay system for training practices.
Answer:
Skill based pay systems base employee pay on skills they possess. These systems are
designed to ensure that employees are learning and give the company flexibility in using
employees to provide products and services. (p. 394)
11. List and discuss the steps involved in developing a succession planning system. How might a
succession planning system differ between high-potential employees and employees with
mid-level managerial talent?
Answer:
A succession planning system first identifies the positions included in the plan, identifies the
employees included, develops the evaluation standards for positions and employees, develops
the succession planning review, links the succession planning system with other human
resource systems, and determines what feedback is provided to the employee. High-potential
employees typically complete individual development programs that involve education,
executive mentoring, coaching, job rotation, and special assignments, such as making
presentations, and serving on committees and task forces. Development exercises are used to
narrow down the pool of potential candidates. (Table 10.9, p. 391)
12. How can companies ensure that talented women have access to development programs?
Answer:
Companies need to consciously work toward melting the "glass-ceiling". Other aspects that
encourage women are: encouragement from peers and senior managers, managers must
consider whether gender biases or stereotypes are influencing the types of assignments given
to women versus men. They should also be provided access to mentoring programs to ensure
that women and minorities gain the skills and visibility needed to move into managerial
positions. (p. 386-388)
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