Fourth Edition
PART 3 . . . . . . . . . . . . . . . . . . . . . . . .
Understanding People in Organizations
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Chapter 9
Managing Human
Resources and Labor
Relations
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“Whenever you are asked if you
can do a job, tell 'em, ‘Certainly,
I can!’ Then get busy and find
out how to do it.”
~ Theodore Roosevelt
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Key Topics
Human resource management
Staffing, developing, and evaluating human
resources
Compensation packages
Legal issues in human resources
Changes in the contemporary workplace
Unionization and collective bargaining
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Human Resource Management
Attracting, developing, and maintaining an
effective workforce
A critical, bottom-line function!
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Human Resource Planning Process
Forecast
demand
for labor
Conduct analysis
Forecast
internal supply
of labor
Develop plan to
match demand
with supply
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Forecast
external
supply of
labor
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Job Analysis
Systematic Review of Jobs Within a Firm
Job Description
Responsibilities and working conditions, plus tools,
materials and equipment to perform the job
Job Specification
Skills, abilities, and credentials needed to perform
the job
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Forecasting Labor Supply
Internal Forecasting
Replacement Charts
Skills Inventories
External Forecasting
State Employment
Commissions
Government Reports
College Information
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Managing a Projected Shortfall
Hire new employees
Consider hiring temporary workers
Retrain and transfer current employees into
understaffed areas
Convince older workers not to retire
The creative solution: Develop and install
productivity enhancing systems
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Recruiting
Attracting Qualified Candidates to Apply for a Job
Internal Recruiting
Considering current
employees for new
positions
External Recruiting
Attracting outside
candidates to apply
for jobs
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What are the
strengths and
weaknesses of
each approach?
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Selecting Human Resources
Validity
The predictive value of a selection technique
Application Forms
Tests
Interviews
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Developing the Workforce
Training
On-the-job training
Off-the-job training
Vestibule training
Performance Appraisal
Evaluating job performance
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Compensation and Benefits
Wages
Money paid for time worked
Salary
Money paid for accomplishing a specific job
Incentives
Incentive Programs
Money linked specifically
to high performance
Bonuses
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Benefits
Compensation Other Than Wages and Salaries
Optional Benefits
Retirement plans
Health, life, & disability insurance
Vacations & holidays
Counseling services
Mandatory Benefits
Social security
Workers’ compensation
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Woman Managers
Earn Significantly Less Than Men
INDUSTRY
1995
2000
$ .86
Communications
$ .73
$ .82
$ .76
$ .83
Business & Repair Services
Entertainment & Recreational Services
$ .62
$ .88
$ .83
Other Professional Services
$ .69
$ .65
$ .76
$ .68
Retail Trade
Finance, Insurance & Real Estate
$ .90
$ .88
Professional Medical Services
0
Source: Appendix I: Congressional Briefing Slides:
Women in Management, Sept. 26, 2001, p. 19.
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$ .20
$ .40
$ .60
$ .80
$1.00
Full-time Female Earnings for Every $1.00
Earned by Full-time Male Managers
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Equal Opportunity
Unfair Discrimination Is Not Legal
Equal Opportunity Laws
Protect workers from discrimination based on prejudice
Protected Class
People with common characteristics as indicated by law
EEOC
Federal agency that enforces discrimination-related laws
Affirmative Action
Plan to hire and develop members of protected classes
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Contemporary Legal Issues in
Human Resource Management
Employee safety and health
AIDs in the workplace
Sexual harassment
Quid pro quo
Hostile work environment
Employment-at-will
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Managing Workforce Diversity
1986
1996
10.6%
11.0%
6.9%
79.8%
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11.7%
4.1%
75.3%
Hispanic
10.6%
9.5%
2.8%
Black
2006*
4.9%
72.7%
Asian & Other
White
*Projection
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Managing Knowledge Workers
Knowledge workers add value because of what
they know
Computer Scientists
Physical Scientists
Engineers
Hiring and retaining knowledge
workers is a critical HR challenge
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Contingent Workers
A Rapidly Growing Trend
Management challenges:
Careful
Planning
Understanding
Pros & Cons
Assessing
True Costs
Developing a
Management
Strategy
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Managing Organized Labor
Labor Union
People working together to achieve shared job-related
goals
Labor Relations
Managing unionized
employees
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Union Membership Has Declined Significantly
Percentage Unionized
25
20
15
10
1977
1980
1985
1990
1995
2000
Data for 1981 and 1982 were not available.
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Trends in Organized Labor
Union-Management
Relations
Bargaining
Perspectives
Future Outlook
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Collective Bargaining
Negotiating a Labor Contract
Union's
Demand
Union's
Expectation
Union's
Minimum
Limit
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Employer's
Maximum
Limit
BARGAINING
ZONE
Employer's
Expectation
Employer's
Desired
Result
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Contract Issues
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
Compensation

Benefits

Job Security

Other Union Issues

Management Rights
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When Bargaining Fails…
Union Tactics:
Management Tactics:
Strike
Lockouts
Picketing
Strikebreakers
Boycott
Work slowdown
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Resolving Disputes
Mediation
Voluntary Arbitration
Compulsory Arbitration
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Chapter Review
Define human resource management
Discuss staffing, developing human
resources, and evaluating performance
Describe the role of compensation in
attracting and keeping skilled workers
Identify the key legal issues surrounding
human resource management
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Chapter Review
Discuss important changes in the
contemporary workplace
Explain why workers unionize and discuss
the collective bargaining process
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