Human Resources Content Flashcards
Define human resource management
Human Resource Management is the management of the total relationship between an employer and employee
Define employer
Employer is one who exercises control over employees, has responsibility for the payment of wages and/or salaries and has the power to dismiss employees
Define employee
Employee is a worker under the control of an employer. This control includes the workplace location, the way that the work is to be performed and the extent to which supervision will be exercised
Define outsourcing
Outsourcing is when business functions are contracted out to third-party specialist businesses; for example, recruitment firms. It aims to take advantage of the specialist skills provided by them and to achieve a reduction in labour costs
Discuss the advantages and disadvantages of outsourcing human resources
Advantages:
- The business can focus on and specialise in its main tasks
- Improve quality
- Foster innovation
- The HR expert/business can specialise
- Managers can be unwilling perform elements of the human resources, such as firing or making workers redundant
Disadvantages:
- Can be expensive
- May not suit the business
Define contractor
Contractor is an external provider of services to a business. It may be an individual or a business
Identify the types of contractors
Types of contractors:
- Domestic
- Global
Identify human resource functions
Human Resource Functions:
- recruitment
- induction
- training
- payroll
Discuss the advantages and disadvantages of using domestic contractors
Advantages:
- Less problematic
- Can be contacted easily (no timezone issues or language barriers)
Disadvantages:
- Expensive
- Poor quality work can cause PR problems
Discuss the advantages and disadvantages of using global contractors
Advantages:
- Extended capacity and flexibility
- Reduced costs
- Access to new networks
Disadvantages:
- Consultants may not understand corporate culture
- Less integrated organisations
True or False. Stakeholders, all with their own interests, conflict and cooperate with each other
True
Define employer association
Employer Association is an organisation that represents and assists employer groups. They are usually respondents to the awards covering the employees of their members, and covering employers in the same or related industry
Define log of claims
Log of Claims is a list of demands made by workers (often through their union) against their employers. These demands cover specific wages and conditions. Employers may also serve a counter-log of claims on the union
Identify the responsibilities of employer associations
Employers associations:
- provide advice (especially to small businesses) on such matters as awards, unfair dismissals and discrimination issues
- negotiate agreements
- lobby governments and other organisations with the views and interests of employers, industries and trade
Define trade union
Trade union is an organisation formed by employees in an industry, trade or occupation to represent them in efforts to improve wages and working conditions of their members
True or False. An increasing percentage of the workforce is unionised
False. Unionisation rates have fallen
Identify reasons for the decline in unionisation
Reasons for decline in union membership:
- Poor depiction of unions in the media
- Legislative changes reduced their power
- Collapse of centralised wage-fixing system
- Community attitudes favour individualism rather than a collective approach
Identify general workplace and economic trends
Workforce and economic changes:
- Decline in workforce size
- Decline in manufacturing employment due to technological and structural changes
- Growth of service industry
- Growth of casual/part-time hours
- Feminisation of workforce
Define centralised industrial relations systems
Centralised Industrial Relations System is a collectivist approach in which disputes are referred to industrial tribunals, such as the Fair Work Commission, for conciliation and arbitration
Define decentralised industrial relations systems
Decentralised Industrial Relations System is a system in which employers and employees negotiate wages and working conditions in the individual workplace, through collective or individual bargaining and without the involvement of tribunals
Define employment contract
Employment Contract is a legally binding, formal agreement between employer and employee
Contracts does not need to be written, but it is valid and legally enforceable when…
Contracts does not need to be written, but it is valid and legally enforceable when:
- the parties involved intend to create a legal relationship
- one party offers and the other accepts the offer
- both parties obtain a benefit
- both parties have the capacity to contract; for example, they are old enough to make the contract
- consent is genuine and not pressured
- the offer does not contravene any public interest
Define common law
Common Law is a law developed in courts and tribunals
Define statute law
Statute Law is a law passed in parliament
Identify the obligations of employers
Employers have an obligation to:
- Provide work
- Payment of income and expenses –> provide compensation for work injuries
- Ensure a safe working environment
Identify the rights of employers
Employers have a right to:
- Employees working with care and responsibility
- Employees carrying out their work according to their agreement/award,
Being notified according to agreement/award of an employee’s intention to:
- take their leave entitlements
- formally leave the business
Identify the obligation of employees
Employees have an obligation to:
- Exercise due care and competence
- Maintain confidentiality
- Account for money and property recieved
- Follow written and verbal procedures and policies
- Be honest, fair and work with integrity in all dealings
- Obey lawful commands that are considered reasonable
- Complete forms related to taxation and its deduction from income
- Give appropriate notice of termination of employment in accordance with the relevant award
Identify the rights of employees
Employees have a right to:
- being paid for all the time they work, including overtime
- receiving the minimum set out in the award or enterprise agreement
- having all pay recorded by the employer (some awards/agreements state that employees must receive a pay slip)
- receiving extra pay such as loading for casuals and penalty rates for work outside of usual hours
- access to paid and unpaid leave entitlements
Explain what are the National Employment Standards
The National Employment Standards are 10 minimum standards regarding the workplace
Define modern award
Modern Award is an industry or occupation-based award that covers all private sector employers and employees who perform work that falls within their scope. They replace all existing national system awards (except those applying to a single enterprise). They do not cover employees earning higher incomes
Define award simplification
Award Simplification is the process of reducing the number of matters in each award and eliminating inefficient work practices
Identify what modern awards concern
The Content of Modern Awards are:
- base pay rates
- conditions and requirements for different types of employment
- overtime and penalty rates
- allowances (such as travel allowances)
- leave and leave loading
- hours of work
- requirements for annual wage or salary arrangements
- superannuation entitlement
- conditions and procedures for consultation, representation and settling disputes
- outsourcers
- redundancy conditions
Define individual flexibility plan
Individual Flexibility Agreements (IFA) allow an employer and an employee to come to an agreement that varies the modern award or enterprise agreement to address their individual circumstances
Define enterprise agreement
Enterprise Agreement is a collective agreement made at a workplace level between an employer and a group of employees about terms and conditions of employment
Define collective agreement
Collective Agreement is an agreement made between a group of employees (or one or more unions representing employees) and an employer or group of employers
Define ‘better off overall test’
‘better off overall test’ (BOOT) requires that each of the employees to be covered by the agreement is better off overall than under the relevant modern award
Recall alternate terms for independent contractor
Independent contractors are often known as a consultant or freelancer
Define casual employee
Casual Employee is an employee in employment that is short term, irregular and uncertain; they are not entitled to paid holiday or sick leave
Define on-costs
On-costs are additional costs involved in hiring an employee, above the cost of their wages. These costs traditionally add around 25% of the cost of the wage and include sick leave, holiday leave, leave loading, superannuation, retirement and redundancy payments, and other costs
Distinguish between a part-time and full-time employee
A part-time and full-time employee has the same worker rights but the difference is work hours
Identify what laws SafeWorkNSW enforces
SafeWork NSW enforces:
- Work Health and Safety Act 2011
- Workers Compensation Act 1987
Define workers’ compensation
Workers’ Compensation is when a business provides a range of benefits to an employee suffering from an injury or disease related to their work. It is also provided to families of injured employees when the injury/disease was caused by, or related to, their work
Define equal employment opportunities
Equal Employment Opportunity (EEO) refers to equitable policies and practices in recruitment, selection, training and promotion
As technology improves, what alternations are made to the responsibilities of human resources
As technology improves, HR has to deal with:
- The decision of operations to replace workers with machinery
- The training decisions that need to be made for workers to use it
- The motivation of workers who are concerned about technological changes in the business
Define affirmative action
Affirmative Action are measures taken to eliminate direct and indirect discrimination, and for implementing positive steps to overcome the current and historical causes of lack of equal employment opportunity for women
Define discrimination
Discrimination is when a policy or a practice disadvantages a person or a group of people because of a personal characteristic that is irrelevant to the performance of the work
Define structural change
Structural Change is a change in the nature and pattern of production of goods and services within an economy. This includes a significant growth in the level of services in an economy compared to other sectors
Provide an example of structural change
Example of structural change – structural change in the Australian economy has resulted in rapid growth in the services sector
Identify changing work patterns
Work patterns:
- Increase in part time and casual workers (casualisation)
- Increase in female employment
- Increasing living standards raises workers’ expectations
Describe the economic cycle
The economic cycle:
- a naturally recurring changes in the level of business activity and economy
- dictates the demand for labour and products and therefore, the health of the economy
Provide a reason for the increase in part time and casual workers
The increase in part time and casual workers is caused by a desire for flexibility
Define unfair dismissal
Unfair Dismissal occurs when an employee is dismissed by their employer and they believe the action is harsh, unreasonable, or unjust
Define code of practice
Code of Practice is a statement of the principles used by a business in its operations. It generally refers to practices that are seen as ethical or socially responsible