2.3 Recruitment, Selection and Training of Workers
1. Methods of Recruiting and Selecting
Recruitment
✏ The process from identifying that the business needs to employ someone up to the point where applications for the job has arrived.
Recruitment Process
❌Vacancy arises
⤵Job analysis
⤵Job description
⤵Job specification
⤵Job advertisement
⤵Application forms + short-listing
⤵Interviews + selection
⤵Vacancy filled
✏ Identifies and records the responsibilities and tasks relating to a job.
✏ Outlines responsibilities and duties to be carried out by someone employed to do a specific job.
✏ A document which outlines the requirements, qualifications, physical characteristics, skills etc. for a specified job.
Job Analysis
Job Description
Job Specification
Internal Recruitment
Advantages
- Saves more time and money than external recruitment
- Person is familiar to the business (reliability, strengths + weaknesses are already known).
- The person already knows the business and how it operates
- Can be motivating as workers may want to be promoted
Disadvantages
- No new ideas or experience comes into the business
- There may be Jealousy and rivalry amongst existing employees
- Limits number of potential candidates
- Creates another vacancy which needs to be filled
External Recruitment
✏ When a vacancy is filled by someone who is an existing employee of the business.
Advantages + Disadvantages are the opposites of Internal Recruitment
Ways to advertise the Vacancy
❌ Local Newspapers
❌ National Newspapers
❌ Specialist Magazines/Journals
❌ Recruitment agencies
❌ The internet
❌ Job Centres
✏ When a vacancy is filled by someone who is not an existing employee and will be new to the business.
Job Advertisements include:
❌ Details about the business
❌ Job Title + Description
❌ Salary (on some occasions)
❌ Job/person specifications (requirements)
❌ Rewards
❌ How to apply
Short-listing
Interviews Assess:
❌ The applicant's ability to do the job
❌ Personal qualities that are an adv or disadv
❌ General character and personality of the applicant
✏ Candidates selected from the long-list for the interview.
Part-time Workers
✏ Employment often between 30-35 hours a week.
Advantages
- More flexible in the hours of work
- Easier to ask employees to work at specific times
- More workers --> More skills
- Less expensive than paying a full-time worker
- Extend opening hours
Full Time Workers
Advantages
- Fewer staff needed
- Lower training/ recruitment costs
- Easier to manage
- More security + motivation for workers
- More likely be trained
- More committed to the business
- Easy to communicate as they work more.
✏ Employment often working more than 35 hours a week.
Contract of Employment
✏ Sets out the terms of the relationship between the employee + employer
Why?
- Job Security
- Legal Requirement (in most countries)
- Protects interests of employees + employers
- Avoids misunderstandings
- Both parties knows terms + conditions
Can include:
❌ Name of employee + employer
❌ Job title
❌ Date when employment begins
❌ Hours to be worked
❌ Pay + Fringe benefits
❌ Working hours
❌ Terms + Conditions
2. Training
Important as it can be used to
❌ Introduce a new process/ new equipment
❌ Improve efficiency of the workforce
❌ Provide training for unskilled workers
❌ Decrease supervision needed
❌ Increase opportunities for promotion
❌ Decrease chances of accidents
Induction Training
On-the-job Training
Off-the-job Training
✏ An introduction given to a new employee, explaining the firm's activities, customs and procedures and introducing them to their co-workers.
✏ Occurs by watching a more experienced worker doing the job.
✏ Involves being trained away from the workplace, usually by specialist trainers.
Advantages
- Helps employees to settle in faster
- May be a legal requirement for health and safety training
- Workers are less likely to make mistakes in the future
Disadvantages
- Time consuming
- Wages are paid but they aren't being productive
- Delays the employee starting their job
Advantages
- Done in the workplace (not travel costs)
- There is still some production while training
- Costs less than off-the-job training
- Training is specific to the needs of the business
- More efficient than off-the-job training
Disadvantages
- Trainer won't be as productive
- Bad habits from the trainer can be passed to trainee
- May not be recognised as training qualification externally
Advantages
- Broad range of skills being taught
- If trained after work, it may be cheaper (still productive at work)
- Variety of skills taught --> multi skilled --> can move around the company if there's a problem
- Done by expert trainers with up-to-date knowledge
Disadvantages
- Costs are high
- Additional qualifications makes it more likely for employee to leave and find another job easily
- If done during working hours, employee will be paid for no productivity
3. Reducing the Size of a Workforce
Workforce Planning
Training Advantages
Management
- Greater flexibility of the labour force (Multi-skilled)
- Greater motivation and commitment of the employees
- Increased productivity
- Improved quality of output
- Improved customer service
- Ability to use new technology
Employee
- May get increased pay
- Improved chance of promotion
- Easier to apply for jobs at other businesses
Training Disadvantages
Management
- Loss of output while training
- May raise expectations for promotion
- Cost of training
- Employee may leave after training and other businesses may benefit from the training
Employee
- May be asked to undertake additional duties
- May have to work differently
- May be moved to a different job
✏ Establishing the workforce needed by the business for the future in terms of the number and skills of employees required.
Why?
❌ Introduction of automation
❌ Falling demand for their products
❌ Factory/Shop/Office closure
❌ Relocation
❌ Business has merged or been taken over
Dismissal
Redundancy
✏ When a worker is told to leave their job because their work or behaviour is unsatisfactory.
e.g. Constantly late despite warnings, stealing, not meeting deadlines
✏ When a worker is no longer needed and so loses their job. It is not due to any aspect of their work being unsatisfactory.
e.g. Falling sales, economic recession
Who to make redundant?
- Volunteers
- Length of Service
- Level of skill
- Work ethic/ history e.g. attendance, attitude, punctuality
- Expense
- Importance of job/role
4. Legal Controls over Employment Issues
Workers need Protection for...
❌ Unfair discrimination
❌ Health and Safety
❌ Unfair dismissal
❌ Wage protection
Businesses have to...
- Be careful when wording an advertisement
- Treat all applicants equally when recruiting
- Recruit and promote staff on merit alone
Health and Safety
There are now laws that make sure all employers...
- Protect workers from dangerous machinery
- Provide safety equipment and clothing
- Maintain reasonable workplace temperatures
- Provide hygienic conditions and washing facilities
- Don't insist on long working hours
- Provide breaks
Why?
- Workers cost a lot to recruit and train --> it's worthwhile keeping them safe and healthy
- Likely to be more motivated
- Employees may work more efficiently
- Workers may stay with the firm for a longer time
✏ A decision taken by a manager or a company because of the moral code observed by the firm.
Unfair Dismissal
Unfair Dismissal examples
❌ For joining a Trade Union
❌ For being pregnant
❌ When no warnings are given before dismissal
Industrial Tribunal
✏ A legal meeting which considers workers' complaints of unfair dismissal or discrimination at work.
Ethical Decision
Wage Protection
✏ A legal agreement between employer and employee listing the rights and responsibilities of workers.
Contract of Employment
The Contract may include...
❌ Wage rate
❌ How frequently wages are paid
❌ Deductions made from wages (e.g. income tax)
Minimum Wage Advantages
- Prevents employers from exploiting unskilled workers
- As workers are receiving higher wages, it may encourage training so they'll be more productive
- Encourages more people to seek work --> fewer shortages of workers
- Low-paid workers will be paid more --> can spend more
Minimum Wage Disadvantages
- Increases business costs, forcing them to increase prices
- Employers may not be able to afford the wage rates --> making workers redundant --> rise in unemployment
- Workers receiving above min. wage may ask for higher wages--> increases business costs