3) UNIT 2 - Contracts Of Employment

Question 1

what details should contracts of employment contain when given to new employees

Answer 1

• title of job
• hours of work
• holiday entitlement
• rate of pay / time of salary
• sickness pay and allowances
• pension scheme
• discipline/ grievance procedures
• notice required if employees intends to quit
• date employment begins

Question 2

name and describe the types of contracts and justify their use

Answer 2

• permanent - no end date, allows employees to have security in the organasation (stability and can retain good workers)
• fixed term - only for a specified amount of time (reduces financial responsibilities, ensures organisation has the right amount of staff at any given time e.g. peak times of activity)
• temporary - it will end but no end date has been specified (greater flexibility in managing staffing levels and costs of staff)

Question 3

Name and describe the 2 categories of people that make up the workforce

Answer 3

1) The core workforce:
•made up of people who are essential to the business
e.g skilled workers, managers etc
•as they are essential the organisation gives them good terms and conditions
e.g permanent contract and good pay to encourage them to stay

2) The flexible workforce:
•people who are employed part-time/temporarily and help out the core workforce
e.g help at peaks in activity for the organisation (restaurants)

Question 4

Give 4 advantages of the flexible labour force

Answer 4

• allows organization to respond directly to demand as it has flexibility
• less payment for sickness leave, pensions etc
• saves on salaries as they are often cheaper
• allows business to provide 24/7 service

Question 5

Give 3 disadvantages of the flexible labour force

Answer 5

• more money towards recruitment and selection
• employees less likely to be wholly committed so will not perform their best
• there is lack of continuity in personnel for clients, so don’t establish customer loyalty