3.5.3 Human Resources

Question 1

What is labour productivity

Answer 1

(Total output ( per period of time) / average number of employees ( per period of time))

Question 2

Labour turnover equation

Answer 2

Labour turnover = ( number of staff leaving over time period / average number of staff in post during the period ) x 100

Question 3

What is labour retention equation ?

Answer 3

Labour turnover = ( number of staff staying (over time period)/ average number of staff in post ((in the time the period) ) x 100

Question 4

Rate of absenteeism equation?

Answer 4

(Number of staff absent on a day / total number of staff employed) x 100

Question 5

What is labour productivity?

Answer 5

Output per worker in a given time period

Question 6

What is a labour retention

Answer 6

The number of employees that remain in a business over a period of time

Question 7

What is labour turnover

Answer 7

The rate at which staff leave a business.

Question 8

What is rate of absenteeism

Answer 8

The number of staff who are absent as a percentage of the total workforce. It can be calculated for different periods of time , e.g daily or annually p.

Question 9

Why is labour productivity important?

Answer 9

Liver productivity is important for measuring the efficiency of a workforce.

Question 10

Why might a business become less competitive despite increased workforce?

Answer 10

-Rival businesses may increase their productivity as an even faster rate.
-New rival businesses may set up which pay considerably lower wages.
- Other factors, apart from costs may change adversely for a business example, a rival business may bring out a far better new product.

Question 11

What causes relatively high labour turnover?

Answer 11

• relatively low pay leads to higher labour turnover as workers leave to get better paid jobs.
• relatively few training and promotion opportunities will encourage workers to leave their current jobs.
• poor working conditions, low job satisfaction, bullying and harassment in the workplace are other factors.

Question 12

Why is it a problem if a business has relatively high turnover?

Answer 12

• recruiting new staff can be costly
• it takes time for new staff to become familiar with their roles and the way in which the business operates.
• Larger companies may put on induction programmes which further adds to costs.

Question 13

How is labour turnover beneficial ?

Answer 13

• new staff can bring in fresh ideas and experience from their work with other businesses.
• some workers may be ineffective and need to be encouraged to leave. Getting rid of ineffective staff leads to labour turnover.
• If a business is shrinking in size, reducing the size of the workforce will lead to higher labour turnover.

Question 14

What is the problem with Absenteeism for business?

Answer 14

• Staff who are absent often claim to be ill. The business then, in most cases, has to pay sick pay.
• Absenteeism can demotivate staff left to cope with problems.

Question 15

What is the differences in rates of absenteeism?

Answer 15

• small businesses tend to have lower rates of absenteeism than larger businesses.
• health and safety is a factor. Businesses which have good health and safety procedures will tend to suffer less illness - related absenteeism than those with poor procedures.
• stress related illness is also more common where workers are oversupervised.

Question 16

What are the benefits of reducing staff turnover and absenteeism?

Answer 16

• If productivity rises , output per employee will be higher so there is more output to sell. This will raise revenue and profit
• if staff turnover can be reduced, money will be saved on recruitment , selection and training.

Question 17

What are consultation strategies?

Answer 17

• Pseudo - consultation
• Classical consultation
• integrative consultation

Question 18

Pseudo - consultation

Answer 18

Pseudo - consultation is where management makes a decision and informs employees of that decision through their representatives. Employees have no power to influence these decisions.

Question 19

Classical conditions

Answer 19

Classical conditions is a way of involving employees through their representatives in a discussion on matters that affect them.

Question 20

What is integrative consultation

Answer 20

Pseudo - and classical consultations do not directly Employees in decisions which affect them. Integrative consultation is more democratic method of decision-making. Arguably it is neither consultation no negotiation.
-Management and unions discuss and explore matters which are common concern such as ways of increasing increasing productivity of methods of changing work practices

Question 21

What empowerment strategies?

Answer 21

• Empowerment involves making better use of the knowledge, experience and creative talents of employees. It is achieved by granting employees more authority in the workplace.

Question 22

What are examples of empowerment strategies?

Answer 22

• Training
• Provide the necessary response
• Hand over authority
• Inspire confidence
• provide feedback