Revision Flashcards
What is employee withdrawal (5 marks)
Employee withdrawal is a term that refers to the behaviour of employees who reduce their work involvement or detach themselves from their organizations. Employee withdrawal behaviours manifest within the workplace and may take wither a physical or psychological form such as absenteeism, turnover, reduce effort or lower performance. Some of the factors that can influence employee withdrawal are emotional labour job satisfaction, organizational commitment, and personal factors.
What is the physical withdrawal behaviour (10 marks)
Physical withdrawal refers to visible behaviours exhibited by employees that indicate a disengagement or lack of full participation in their work. These behaviours are tangible and can be observed by supervisors or colleagues. There are three main types of physical withdrawal.
Absenteeism:
Absenteeism is exhibited when an employee fails to report to work typically for an extended period, or for an excessive number of days that have not been excused. It may be due to reasons such as illness, personal issues, or dissatisfaction with the work environment. Absenteeism disrupts workflow and can lead to decreased productivity.
Lateness:
This involves employees consistently arriving late for work or meetings. It indicates a lack of punctuality and can disrupt schedules and affect team cohesion. Chronic lateness can also lead to resentment from colleagues who rely on timely attendance. Excessive tardiness can be a physical sign employee has disengaged from the company. It shows a lack of motivation to arrive to work.
Turnover:
Turnover happens when employees decide to leave the organization voluntarily. This could be for various reasons, including seeking better opportunities elsewhere, dissatisfaction with their current role or work environment, or personal reasons. High turnover rates can be costly for organizations due to recruitment and training expenses and can also result in a loss of institutional knowledge.
These actions show that employees may not be fully focused or committed to their work. It’s important for the company to fix these problems because they can cause disruptions and may be a sign of bigger issues. To improve the situation, the company can create a happy work atmosphere, ask employees for their opinions, and make sure employees feel supported and taken care of.
What are the psychological withdrawal behaviour
Feeling burnout
Presenteeism
What are the parts of reward policy (3 marks)
The parts of reward policy are the components that define how an organization rewards and recognizes its employee for their performance contribution and achievement.
Components of total rewards include benefit, recognition, wellbeing, and Flexibility.
Benefits: these are packages provided to employee to enhance their physical emotional and family safety.
Recognition: can take in the forms of award promotion and verbal appreciation in the presence of their peers or a simple thank you. Wellbeing: employee wellbeing has become more critical for employees to attract and retain employees.
Flexibility: this covers the options that employees have toa adjust their working hour’s location or arrangements to suit their personal need and preference such as optional remote work flexible hour’s part time work job sharing and career breaks.
What are the aims of a pay determination (4 marks)
Pay determination is the process of deciding on the level of pay for jobs or people. Aims of pay determination include:
- to be externally competitive to attract, engage and retain the people required by the organization.
Being externally competitive means giving employees pay and benefits that are as good as or a bit better than what other companies offer. This helps bring in and keep great workers, makes employees feel valued and motivated, and saves money by reducing turnover. It also makes the company look good to job seekers. In short, it’s about making sure employees feel they are treated well and appreciated for their hard work. - to be internally equitable in the sense that rates of pay correctly reflect the relativities between jobs.
Internal equity means making sure that employees are paid fairly for their jobs. It ensures that people doing similar work get similar pay, based on factors like skill level and how important the job is. This prevents unfair differences in pay and keeps employees happy. It also helps follow the rules and brings in and keeps good workers. Basically, it’s about making sure everyone is paid right for their job in the company.
What are the 3 most common components of employee engagement? (3 marks)
Employee engagement is a term that describes how much employees feel connected to their work, their team, and their organization. components of engagement include:
Commitment: This refers to the level of dedication and loyalty an employee feels towards their organization. Committed employees are more likely to stay with the company long-term and actively contribute to its success.
Motivation: Employee motivation is the drive and enthusiasm they have for their work. Motivated employees are eager to take on challenges, meet goals, and excel in their roles.
Organizational citizenship: This involves employees going above and beyond their basic job requirements. It includes behaviours like volunteering for additional tasks, helping colleagues, and actively contributing to the positive work environment.
Explain goal theory?
Goal theory, as formulated by Latham and Locke in 1979, emphasizes how setting specific goals can significantly impact performance outcomes.
This theory is based on four key mechanisms:
Directing Attention to Priorities:
Goals act as a focal point, guiding individuals’ attention, and efforts towards specific objectives. This helps employees prioritize their tasks and concentrate on what is most important for achieving desired outcomes.
Stimulating Effort:
When individuals are presented with clear and challenging goals, they tend to exert more effort to meet those objectives. The presence of a defined goal provides a motivational boost, encouraging individuals to work harder and persevere through challenges.
Challenging Individuals to Apply Knowledge and Skills:
Goals challenge individuals to leverage their existing knowledge and skills to increase their likelihood of success. This encourages employees to utilize their capabilities effectively and apply them in a way that aligns with the achievement of the goal.
Utilizing Full Repertoire of Skills with Increasing Challenge:
The level of challenge associated with a goal influences the extent to which individuals tap into their full range of skills and capabilities. More challenging goals prompt individuals to draw upon a wider set of abilities and expertise to overcome obstacles and attain the desired outcome.
Explain 5 potential factors that can affect the level of pay performance within an organization (10 marks)
Performance: Employee performance is a critical factor influencing pay levels. High-performing individuals are often rewarded with higher compensation to recognize and incentivize their contributions. Conversely, lower performance may result in lower pay increases or fewer bonuses. Example: Consider a sales team where top performers who consistently exceed their targets receive bonuses and commission incentives, while those who meet minimum requirements receive standard salary adjustments.
Experience: Experience is another significant determinant of pay. Employees with more years of experience in a role or industry generally command higher salaries due to their accumulated knowledge and skills. Example: In a manufacturing company, a senior technician with 10 years of experience may receive a higher salary than a new hire with only one year of experience, even if they hold the same position.
Technological Changes:
Advancements in technology can impact pay levels, especially when new skills or certifications become in-demand. Employees with expertise in emerging technologies may command higher salaries due to their specialized knowledge.
Example: In the IT sector, a software engineer proficient in a cutting-edge programming language may receive a higher salary compared to colleagues with expertise in older, less sought-after technologies.
Ability to Pay:
An organization’s financial health and profitability play a crucial role in determining pay levels. Companies that are more profitable and financially stable may have greater capacity to offer competitive compensation packages to attract and retain top talent.
Example: A successful and growing tech startup may offer generous salaries and benefits to attract experienced software developers, while a struggling company in a declining industry may have more limited resources for compensation.
Labor Market Laws and Regulations:
Legal and regulatory frameworks governing labour markets can impact pay levels. Minimum wage laws, industry-specific wage standards, and overtime regulations can influence how organizations structure their compensation packages.
Example: In a country with strict labour laws, an organization must ensure that its pay practices comply with statutory requirements, such as paying overtime rates for extended work hours.
Outline 5 objectives of conducting a job evaluation process?
Establishing a Rational Job Structure:
Conducting a job evaluation helps create a structured framework for organizing and categorizing different roles within the organization. This is done based on the perceived value and importance of each job to the overall functioning of the organization.
Ensuring Internal Equity:
Job evaluation assists in justifying and maintaining a pay structure that is internally equitable. It ensures that jobs of similar worth and responsibility are compensated at similar rates, promoting fairness and consistency in pay levels across the organization.
Maintaining External Competitiveness:
Job evaluation helps in setting pay rates that are competitive with those offered by other organizations for similar roles. This ensures that the organization can attract and retain top talent in the job market.
Facilitating Collective Bargaining:
Having a rational job evaluation system provides a basis for negotiating pay rates in situations where the organization bargains collectively with a recognized union. It establishes a fair and transparent framework for discussions on compensation.
Explain 4 methods of job evaluation that company can use?
Job Ranking: Job ranking involves arranging jobs in a hierarchy based on their perceived value or difficulty level. This method is straightforward and is suitable for smaller companies with fewer job roles (up to around 100). It can also be useful when the company needs to reduce positions, as similar roles can be compared and the more impactful one can be retained.
Example: In a small retail business, jobs can be ranked from cashier to store manager. The store manager would be ranked highest due to the level of responsibility and impact on the business.
Job Classification: Job classification involves categorizing roles into predefined groups or classes based on factors like skill level or complexity. This method often uses categories like executives, skilled workers, semiskilled workers, and unskilled workers. Each category then has an associated salary range.
Example: In a manufacturing company, roles could be classified as executives (managers), skilled workers (machine operators), semiskilled workers (assembly line workers), and unskilled workers (general laborers).
Point Factor: The point factor method assigns numerical values (points) to various aspects of a job, such as skills required or job responsibilities.
Each job is evaluated against these factors, and the total points determine the job’s value relative to others. It provides a systematic and detailed approach to job evaluation.
Example: For an IT company, a software developer role might be evaluated based on factors like programming languages known, years of experience, and complexity of projects handled. Each factor is assigned a point value, and the total points determine the job’s value.
Factor Comparison:
Explanation: The factor comparison method combines elements of both job ranking and point factor methods. It starts with ranking jobs based on specific factors (e.g., skills, knowledge). Then, each factor is assigned a numerical value (points), and the total points for each job determine its relative value.
Example: In a consulting firm, jobs could be ranked based on factors like client interaction, project complexity, and expertise required. Each factor is assigned a point value, and the job with the highest total points is considered the highest-ranked.
Outline 4 limitations of a job evaluation process (25 Marks)
Rapid Technological Changes and Skill Demand:
Rapid advancements in technology and shifts in the demand for specific
skills can pose challenges for job evaluation. It may be difficult to quickly adapt job evaluations to accommodate these changes, requiring further study and adjustment.
Financial Constraints on Implementing Changes:
When job evaluation leads to significant alterations in the existing wage structure, financial limitations within the organization may hinder the swift implementation of these changes. The firm may need to operate within specific budgetary constraints.
Difficulty in Maintaining Incentive Workers’ Earnings Structure:
In organizations with a substantial proportion of incentive-based workers, it can be challenging to maintain a reasonable and acceptable structure
of relative earnings. This is because incentive pay structures often differ from standard salary-based compensation models.
Inexact Nature of Job Rating:
Job rating, as a method of job evaluation, is not always precise. Some factors and degrees used in the process may not be easily or accurately measured. This can introduce subjectivity and potentially lead to inconsistencies in the evaluation outcomes.
These limitations highlight the practical challenges and potential drawbacks associated with implementing a job evaluation process within an organization. It’s important for companies to be aware of these limitations and consider them when utilizing job evaluation methods.
Examine and elaborate the difference between performance management and performance appraisal (25 marks)
Performance management is the key process through which work gets done. How organizations communicate expectations and drive behavior and How organizations identify ineffective performers for development.
Performance appraisal is Performance appraisal is a formalized process to review employee performance.
Difference
Performance management focuses on continuous improvement, employee development, and creating a positive work environment. While performance appraisal focuses on It primarily centre’s on assessing past performance, providing a summary judgment of achievements, and identifying areas for improvement.
Performance management Components: Includes goal setting, continuous feedback, coaching, development planning, and overall employee growth. While performance appraisal components Involves activities like setting performance standards, conducting evaluations, and delivering performance ratings.
Performance management Purpose: The primary purpose is to improve overall performance, contribute to organizational success, and foster professional development. While performance appraisal purpose is to make decisions about promotions, salary adjustments, and identify areas for employee development.
Discuss the principles that can be put in place to handle and manage the grievance at the earliest (15 marks)
Handling and managing grievances effectively are crucial for maintaining a healthy and productive work environment. Here are some principles that can be put in place to address grievances at the earliest:
- Fairness
Ensure that the grievance process is fair to all parties involved. Treat each complaint with impartiality, without favouring any specific individual or group. This includes giving both the complainant and the respondent an opportunity to present their case.
Example
Two employees, John and Mary, are vying for the same promotion. John believes that the promotion process was biased in Mary’s Favor.
Application of Fairness Principle:
The HR department ensures that both John and Mary are given a chance to provide evidence and state their case. They review performance records, interview feedback, and qualifications objectively. After a thorough assessment, the HR department determines whether the promotion decision was fair.
- Transparency
Maintain transparency throughout the grievance process. Clearly communicate the steps involved, the expected timelines, and the possible outcomes. This helps build trust and confidence in the process.
Example:
An employee, Sarah, files a complaint about alleged workplace harassment by a colleague.
Application of Transparency Principle:
The HR department informs Sarah about the steps involved in investigating the complaint, such as interviews with relevant parties and review of any available evidence. They provide Sarah with regular updates on the progress of the investigation.
- Consistency
Apply the grievance process consistently across all cases. This means using the same set of procedures and standards for similar types of complaints. Consistency ensures that employees perceive the process as reliable and unbiased.
Example: Two employees, Alex, and Taylor, have a disagreement about a project’s division of tasks.
Application of Consistency Principle:
The supervisor uses the same process and criteria to mediate the dispute between Alex and Taylor as they would for any other similar conflict. This ensures that employees perceive the process as reliable and unbiased.
- Representation
Provide an opportunity for employees to have representation during the grievance process. This could involve allowing them to bring a colleague or a representative from a recognized employee union to support them during discussions or hearings.
Example: An employee, Chris, believes they were unfairly passed over for a promotion.
Application of Representation Principle:
Chris is allowed to have a trusted colleague accompany them during discussions with the HR department. This representative supports Chris in presenting their case and ensures that their interests are adequately represented.
- Promptness
Address grievances in a timely manner. Delays can lead to frustration and may escalate the issue. Establish clear timelines for each step of the grievance process and adhere to them.
Example:
An employee, Jordan, reports a safety concern regarding faulty equipment in the workplace.
Application of Promptness Principle:
The safety team immediately investigates Jordan’s complaint, inspects the equipment, and takes necessary steps to rectify the issue. They provide Jordan with regular updates on the progress and ensure that the matter is resolved promptly.
By incorporating these five principles into the grievance handling process, organizations can create a system that is fair, transparent, consistent, representative, and prompt, leading to a more positive and productive work environment.
Outline five objectives of conducting a job evaluation process (5 marks)
- To ensure the fair and equitable compensation of employees in relation to their duties
- To comply with equal pay legislation and regulations determining pay differences according to job content.
- To justify an existing pay rate structure or to develop one that provides for internal equity.
- To develop a base for merit or pay-for-performance.
- To provide a rational basis for negotiating pay rates when bargaining collectively with a recognized union.
Explain four methods of job evaluation (25 marks)
- Job evaluation is a systematic and formal process for defining the relative worth or size of jobs within an organization to establish internal relativities.
- The goal is to establish a fair and internally equitable pay structure based on the inherent value of each job. Job evaluation helps organizations make informed decisions about compensation, promotions, and other HR-related matters.
JE is typically used when: - Determining pay grades in pay structures.
- Ensuring a fair pay system.
- Comparing pay rates against the internal or external job market.
- Job evaluation (JE) and market pricing assess the role, not the person doing it, and should be based on a fair, transparent system that is effectively communicated and understood by employees.
Methods of job evaluation
- Job Ranking
This method requires you to rank each role in a hierarchy based on the value they bring to the company or how difficult the role’s duties are. Job ranking is a good job evaluation method for smaller companies as it is simple, and you can consider up to 100 jobs. It is also a good method for reducing positions as you can pair similar roles together when ranking them and choose to keep the one that has the biggest impact on the company.
Advantages
Simplicity: Job ranking is a straightforward method that is easy to understand and implement. It doesn’t require complex calculations or extensive documentation.
Disadvantages:
Subjectivity: The method heavily relies on subjective judgment, which can introduce bias and lack objectivity. Differing opinions among evaluators can lead to inconsistencies.
- Job Classification
The job classification method first requires developing a grading system or classification method to help sort roles. For example, the following four categories: executives, skilled workers, semiskilled workers, and unskilled workers.
Then, sort each role into a category, helping to determine the salary for each position in that category. This method is also subjective, and it can be hard to fit every unique role into a category.
Advantages:
Clear Career Paths: The graded structure allows employees to see a clear career path within the organization as they move from one grade to another.
Disadvantages: Job classification relies on having accurate and current job descriptions. If the job descriptions are wrong or outdated, it can mess up the process of assigning jobs to the right categories.
- Point Factor
With the point factor method, evaluate jobs by assigning each role points and then rank them.
Start by developing a detailed point system. For example, every skill a position requires could be a point, or each job responsibility could be a point. Once you have your point system, you can go through each role and assign it a total number of points. Then, rank the jobs from the highest number of points to the lowest to help you determine their salaries.
Advantages
Flexibility: The method is flexible and can adapt to changes in job roles and organizational structures.
Disadvantages:
Deciding how important each factor is (weighting) in the point system can be influenced by personal opinions, which might not be completely fair.
- Factor Comparison
The factor comparison method is a combination of the job ranking and point factor methods. Start by ranking each job based on certain factors, such as the number of skills each role requires, or the knowledge candidates need to have. Then, assign these factors points. The total number of points each role has determines the job’s ranking.
Advantages
Flexibility: Offers flexibility to adapt to changes in job roles and organizational needs.
Disadvantages:
Deciding how much money to assign to different aspects of a job and comparing jobs can be hard and needs people who know what they’re doing.
