Chapter 23Managing Human Resources1

Chapter 23Managing Human Resources

©2008 Thomson/South-Western

Chapter 23Managing Human Resources2

Lesson 23.1 Human Resources in Business

Goals Identify the reasons human resources

management is important to businesses and employees.

Identify and describe each of the major human resources activities.

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Human Resources Management

Human resources management (HRM, also called personnel management) — all activities involved with acquiring, developing, and compensating the people who do the company’s work

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Human Resources Activities

Employment Wages and benefits Performance improvement Employee relations Health and safety Performance management Employee assistance programs Employment planning and research

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Lesson 23.2 The Employment Process

Goals Describe the steps a business should follow

to hire an employee. Discuss effective procedures for promoting,

transferring, and discharging employees.

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Selecting Personnel

Establishing a need– Job description– Job specifications

Recruiting applicants– Current employees– Unsolicited applications– Employment agencies– Other sources

Processing applications

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Promoting and Transferring Employees

Promotion — advancement of an employee within a company to a position of more authority and responsibility

Transfer — assignment of an employee to another job in the company that generally involves the same level of responsibility and authority as the person’s current work

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Releasing Employees

Discharge — release of an employee from the company due to inappropriate behavior

Layoff — temporary or permanent reduction in the number of employees because of a change in business conditions

Employee turnover — rate at which people enter and leave employment in a business during a year

Exit interview — formal interview with an employee leaving the company to determine his/her attitudes about the company and suggestions for improvement

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Calculating the Rate of Employee Turnover

Number of employees who have terminated employment with the business + average number

of employees = % of employee turnover

Number of employees hired to replace employeeswho have terminated employment with thebusiness + average number of employees

= % of employee turnover

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Lesson 23.3 Employment Law

Goals Describe several ways that employees are

protected through federal and state employment legislation.

Discuss the steps that government and businesses have taken to remove discrimination in employment opportunities.

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Laws that Regulate Employment Conditions and Benefits

Fair Labor Standards Act (FLSA) Occupational Safety and Health Act (OSHA) Social Security and Medicare Workers’ Compensation and Unemployment

Insurance Family and Medical Leave Act

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Laws that Expand Employment Opportunities

Civil Rights Act Equal Pay Act Age Discrimination in Employment Act Immigration Reform and Control Act Americans with Disabilities Act