Key definitions
Redundancy — an employee being let go due to uncontrollable circumstances and a lack of need for the worker.
Dismissal — the letting go of an employee due to inappropriate behaviour and violation of policies.
Internal vs external recruitment
- Internal recruitment — promoting or relocating a worker already existing in a firm.
- External recruitment — hiring a brand new employee.
Internal recruitment
| Advantages | Disadvantages |
|---|
| Training is not as necessary as the employee is familiar with the firm | New ideas and skills are not introduced into the firm |
| The employee's skills are already recognised | Other employees may get jealous |
| Other workers get motivated by the chance at promotion | |
| It is cheaper | |
External recruitment
| Advantages | Disadvantages |
|---|
| New ideas and skills are introduced | It is more expensive to train a new worker |
| Another worker does not need to be hired to fill the vacancy produced by the promoted employee | It is time consuming to find and review candidates |
Stages of recruitment and selection of employees
- Job analysis — looking at the job and identifying its role and the qualifications needed. This also includes identifying the right job benefits.
- Job description — a document containing detailed information about the job responsibilities, pay and working hours, based on the previous job analysis.
- Person specification — a document containing the qualities that are necessary in a candidate for the job, also based on the job analysis. This includes the experience and skills of the candidate.
- Job advertisement — the method used to attract potential candidates. The advertisement should include the job description, salary and how to apply.
- CV or application form — the document submitted by the candidate to the company.
- Interview — candidates are shortlisted by suitability for the job and are interviewed. This is to find out more about the candidate's work ethics and their personality.
- Selection — interviewers narrow down to the candidate they think is most suited for the job.
- Check references — this is done to ensure the validity of the CV/resume.
- Employment contract — a legal document detailing the duties of a worker and the policies of the job. This includes hours worked, pay and date of job commencement.
Where to advertise the job
- Internal recruitment — email, newsletter and noticeboards.
- External recruitment — job recruitment websites and social media.
Part-time vs full-time employees (for the business)
Part-time
- They have flexible work hours and can fill in for an absent full-time worker.
- They can be paid less.
- High level of labour turnover due to a lack of sense of belonging.
- They are less likely to be trained.
Full-time
- Recruiting a full-time worker may be cheaper than recruiting two part-time workers (less administrative cost).
- They are more motivated due to a sense of responsibility.
- They require a higher pay.
- They require more training.
Importance of training
To the business
- Motivated workers will be more productive.
- Wastage due to mistakes is reduced, which will minimise costs.
- Better worker skills will result in higher quality products.
To the employees
- Higher value of skills, which can help apply for better jobs.
- Job satisfaction.
- Less likely for injuries to occur.
- Motivation.
Types of training
- Induction training — welcome training for new employees, introducing the company procedures and other employees.
- On-the-job training — an experienced worker is tasked with teaching the new employee.
- Off-the-job training — training outside the workplace conducted by a specialist.
Induction training
| Advantages | Disadvantages |
|---|
| The employee can familiarise themselves with the workplace | It is time consuming |
| It might be a legal requirement | Wages are paid despite no work being done |
On-the-job training
| Advantages | Disadvantages |
|---|
| Work is done during the training | It may disrupt the work of the trainer |
| It is job specific | Bad habits may be passed down from the trainer to the employee |
| It is cheap | |
Off-the-job training
| Advantages | Disadvantages |
|---|
| The training done is effective as the trainers are qualified | It is not specific to the job |
| The training is done outside of work hours | It is expensive |
Why a workforce is downsized
- Closure of shops.
- Automation (introduction of machinery).
- A decrease in demand.
- Relocation of a business.
Legal controls over employment issues
Factors that an employee is legally protected from:
- Unfair dismissal
- Discrimination
- Health and safety
- Legal minimum wage