Business Operations

Question 1

Meaning of Recruitment

Answer 1

Recruitment is the process used by businesses to identify vacancies in the business and attract suitable candidates for it.
It aims at finding candidates who have the necessary knowledge/ experience/ qualification to fill the vacancy.
Businesses may choose to use an internal or external method of recruitment depending on the nature/ requirements of the vacancy.
It is an ongoing process as employees leave their jobs for other jobs/ get promoted/ retire/ as new technological skills are required.

Question 2

Recruitment Process

Answer 2

The HRM should evaluate the job/ prepare a job analysis, that includes the job specification/ job description/ in order to identify recruitment needs.
HRM should indicate the job specification to attract suitable candidates.
Choose the method of recruitment, e.g. internal OR external, to reach the suitable candidates.
If the external recruitment is chosen, the relevant recruitment method should be selected, e.g. recruitment agencies/ tertiary institutions/ newspapers.
Vacancies can be internally advertised via internal email/ word of mouth/ posters/ staff notices.

Question 3

Job Analysis

Answer 3

The human resource manager evaluates the job, that includes the drafting of the job specification/ job description/ in order to identify recruitment needs.
The job description and job specification are the TWO components of a job analysis.

Question 4

Positives of External Recruitment

Answer 4

New candidates brings new ideas/ talents/ experiences/ skills into the workplace.
A business has a larger pool of candidates to choose from.

Question 5

Negatives of External Recruitment

Answer 5

Information on CVs may not always be reliable.
Many unsuitable applications can slow down the selection process.

Question 6

Positives of Internal Recruitment

Answer 6

Cheaper/ quicker to fill the post.
Increase staff morale/ employees will be motivated which will lead to an increase in productivity.

Question 7

Negatives of Internal Recruitment

Answer 7

Number of applicants is limited to current staff only.
Current employees may not bring new ideas into the business.

Question 8

Sources of External Recruitment

Answer 8

Recruitment Agencies
Billboards
Networking
Printed Media

Question 9

Sources of Internal Recruitment

Answer 9

Emails
Posters
Staff Notices
Staff Meetings

Question 10

Selection Procedure

Answer 10

Determine fair assessment criteria on which selection will be based.
Receive application forms/ CV and certified copies of personal documents/ IDs/ proof of qualifications, etc.
Sort the received documents/ CVs according to the assessment/ selection criteria.
Screen/ Determine which applications meet the minimum job requirements and separate these from the rest.
Check information in the CVs and contact references.

Question 11

Meaning of Screening

Answer 11

Check application documents against the requirements of the job.
Candidates who meet the minimum requirements are separated from the others.
Do background/ reference checks of applicants who qualify for the job.
Prepare a shortlist of suitable candidates after screening.

Question 12

Purpose of an interview

Answer 12

To determine a candidate’s suitability for the job.
Matches information provided by the applicant to the job requirements.
Obtains more information from the candidate.
Evaluate the skills and personal characteristics of the applicant.

Question 13

Role of the interviewer while PREPARING for the interview

Answer 13

Book and prepare the venue for the interview.
Set the interview date and ensure that all interviews take place date, if possible.
Inform all shortlisted candidates about the date and place of the interview.
Notify all panel members about the date and place of the interview.

Question 14

Role of the interviewer DURING the interview

Answer 14

Allocate the same amount of time to each candidate.
Introduce members of the interviewing panel to each candidate.
Make the candidate feel at ease.
Avoid asking a female candidate about family planning/ having children.

Question 15

Role of the candidate/interviewee

Answer 15

Greet the interviewer with a solid handshake and friendly smile.
Listen carefully to the question before responding.
Make eye contact and have a good posture/ body language.
Thank the interviewer for the opportunity.

Question 16

Meaning of Employment Contract

Answer 16

Employment contract is an agreement between the employer and the employee and is legally binding.

Question 17

Contents of an Employment Contract

Answer 17

Personal details of the employee.
Probation Period.
Remuneration.
Job title.

Question 18

Legal Requirements of the Employment Contract

Answer 18

The employer and employee must both sign the contract.
Employer and employee must agree to any changes of the contract.
The employer must explain the terms and conditions of the contract to the employee.
It may not contain any requirements that are in conflict with the BCEA.

Question 19

Reasons for Termination of an Employment Contract

Answer 19

An employee may have reached the pre-determined age for retirement.
Incapacity to work due to illness/injuries.
The duration of the employment contract expires/ comes to an end.
By mutual agreement between the employer and employee.

Question 20

Meaning of Induction

Answer 20

New employees are familiarised with their new physical work environment/ organisational culture/ products and services.
New employees are informed about the processes/ procedures of the business.
New employees should have a basic knowledge of what is expected on the job/ Understand his/her roles and responsibilities in his/her job.
New employees must be well conversant with the business safety regulations and rules.

Question 21

Purpose of Induction

Answer 21

Give new employees a tour of the workplace/ building.
Create opportunities for new employees to explore different departments.
Make new employees feel welcome by introducing them to their physical workspace.
Introduce new employees to colleagues to establish relationships with fellow colleagues at different levels.

Question 22

Induction Programme

Answer 22

Overview of the business.
Tour of the premises.
Safety regulations and rules.
Discussion of the employment contract.

Question 23

Benefits of Induction

Answer 23

Allows new employees to settle in quickly and work effectively.
Ensures that new employees understand the rules in the business.
Make new employees feel at ease in the workspace, which reduces anxiety.
Increases quality of performance/ productivity.

Question 24

Meaning of Placement

Answer 24

A specific job is assigned to the selected candidate.
Selected candidates are placed where they will function optimally and add value to the business.
The qualifications/ skills/ personality of the selected candidate is matched with the requirements of the job.

Question 25

The Placement Procedure

Answer 25

Determine the relationship between the position and the competencies of the new candidate. Determine the successful candidate's strengths/ weaknesses/ interests/ skills by subjecting him/her to a range of psychometric tests. Businesses should outline the specific responsibilities of the new position, including the expectations/ skills required for this position.

Question 26

Training/Skills Development

Answer 26

Ensure training in the workplace is formalised/ structured. Use the NQF to assess the skills levels of employees. The business should contribute 1% of their salary bill to the Skills Development Levy. Appoint a full/ part time consultant as a Skills Development Facilitator.

Question 27

Salary Determination Methods.

Answer 27

In piecemeal salary the workers are paid according to the number of items/ units produced/ action performed whereas in Time-Related salary the workers are paid according to the amount of time/ hours spend at work/ on a task. Piecemeal is used in factories particularly in the textile/ technology industries whereas Time-Related is usually used in private and public sector businesses.

Question 28

Salary Determination vs. BCEA

Answer 28

The BCEA sets out conditions that ensure fair labour and human resource practices. According to the BCEA, businesses may use different remuneration methods to pay their employees. Payment of employees should be based on whether the employee is permanent or employed on a fixed contract. Businesses are supposed to deduct income tax (PAYE) from the employees taxable salaries.

Question 29

Pension

Answer 29

A fund that provides members with an income when they retire. The employer and employee both contribute to the employee's pension fund.

Question 30

Medical aid

Answer 30

Funds used by people for medical expenses. The employer and employee both contribute to the employee's medical fund.

Question 31

Provident fund

Answer 31

A fund similar to a pension fund, except that the entire amount is paid out when a member retires. The employer and employee both contribute to the employee's provident fund.

Question 32

Allowances

Answer 32

Car/ Travel/ Housing/ Cell phone

Question 33

Compulsory benefits

Answer 33

Employers must pay unemployment insurance contributions of 2% of the value of each worker's salary, per month, to the fund.

Question 34

UIF

Answer 34

Unemployment Insurance Fund (required by law)

Question 35

Positives of Fringe Benefits

Answer 35

Improves productivity resulting in higher profitability. A business saves more money as benefits are tax deductible.

Question 36

Negatives of Fringe Benefits

Answer 36

Fringe benefits are additional costs that may result in cash flow problems. Decreases business profits, as incentives/ remuneration costs are higher.

Question 37

Unemployment Insurance Fund (UIF)

Answer 37

The fund offers short-term financial assistance to workers when they become unemployed or are unable to work due to illness, maternity or adoption leave. Employees must pay unemployment insurance contributions of 2% of the value of each worker's salary per month. The employer and the worker each contribute 1%. Contributions are paid to the Unemployment Insurance Fund(UIF) or the South African Revenue Services (SARS).

Question 38

Labour Relations Act

Answer 38

Provides a framework where employees, trade unions and employers discuss matters relating to employment. The HRM should allow workers to form workplace forums/ trade unions to promote the interests of all employees. Promotes orderly negotiations and employee participation in decision making in the workplace. Protects the rights of employees and employers are outlined in the Constitution.

Question 39

Basic Conditions of Employment Contract

Answer 39

Overtime may exceed 10 hours per week. They must have a break of 60 minutes after 5 hours of work. Workers can take up to 6 weeks paid leave during a 36-month cycle. Businesses should not employ children under the age of 16.

Question 40

Employment Equity Act

Answer 40

Equal pay for work of equal value. HR manager must promote/ provide equal opportunities in the workplace. Ensure that affirmative action promotes diversity in the workplace. Compile employment equity plans that indicate how they will implement affirmative action.

Question 41

Skills Development Act

Answer 41

Ensure training in the workplace is structured/ formalised. Use the NQF to assess the skills levels of employees. The business should contribute 1% of their salary bill to the Skills Development Levy (SDL). Appoint a full/part time consultant as a Skills Development Facilitator.