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Chapter 16 Human Resources Management. After Reading and Studying This Chapter, You Should Be Able to:. Explain the importance of job descriptions Give an example of how productivity standards are determined Name and describe the employment related laws
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After Reading and Studying This Chapter, You Should Be Able to: • Explain the importance of job descriptions • Give an example of how productivity standards are determined • Name and describe the employment related laws • Discuss how to select, recruit and orientate employees • Identify methods of employee appraisal and compensation • Describe Employee Assistance Programs (EAPs)
Changing Demographics • Baby boomers reaching retirement age • Cultural mix • Hispanic and African American populations contributing to population growth • Turnover in the hospitality industry is a huge challenge
Job Descriptions • Based on task analysis • Listing of the activities and outcomes expected of a person performing a job • Can be used as a legal document • Lists specific knowledge, qualifications and skills
Productivity Standards • Sales divided by labor costs • Example • Sales of $55,000 • Labor costs of $11,000 • Productivity equals 5 • For every dollar in labor, $5 in sales was generated
Employment Law • Title VII of the Civil Rights Act of 1964 • Created the EEOC • Equal Pay Act of 1963 • Age Discrimination in Employment Act of 1967 • The Immigration Reform and Control Act of 1986 • Americans with Disabilities Act • Fair Labor Standards Act
Recruitment and Selection • Internal promotion • Employee referrals • Applicant files • Transfers within the company • Advertising • Colleges and Universities • Government-sponsored employment services
Selection • Several interviews • Testing • References • Medical examination • Drug screening test
Orientation • Corporation’s history • Benefits • Safety and fire prevention • Introduction of organizational chart • Rules and procedures
Training • Apprentice training • Simulation training • Certification training • On-the-job training • Off-the-job training
Employee Development • Enhancing existing skills • Motivators for mid-level managers • Non-technical training • Effective communication • Team-building • Motivation • Leadership
Performance Appraisal • Comparison of employee’s work with standards • Positive attributes • Feedback to employees • Use as personal development plan • Establishing rationale for promotion/raise • Helping establish objectives for training
Performance Appraisal • Common distortions • Recent behavior influence • Halo effect • Like-me syndrome
Compensation • Total reward system including wages and benefits • Wages = hourly workers • Salaries = management/supervisor positions • Fair Labor Standards Act (FLSA)
Employee Assistance Programs (EAPs) • Offer confidential and professional counseling and referral services to employees • Emphasis on prevention and intervention • Typical assistance areas: • Drug/alcohol problems • Personal finance • Marital, career, job and legal issues
Benefits • Makes up the largest percentage of payroll expenditures • Law mandates some benefits: • Social security • Worker’s compensation • Unemployment compensation • Not mandated • Pension • Health/dental • ESOP • Tuition reimbursement • Pay for time not worked (vacation, sick leave, jury duty)
Employee Retention • Turnover equals the number of workers replaced in a given time period by the average number of employees needed to run the business • Replacement costs = $2,000-$5,000 per person • Industry turnover is better than 100% per year
Harassment • Employers are responsible for maintaining a workplace free from harassment • Sexual harassment • Vague definition • Burden is on company to show they did not know or could not have known the behavior existed • Action must be taken • Policy • React to complaint • Confidentiality • Documentation
Coaching and Counseling • Encourage employees to succeed • Mentoring • Coaches establish achievable goals and monitor progress • Counseling is the process of communicating with an employee a problem or a concern and letting them participate in the resolution of the issue
Trends • Increased diversity • Critical labor shortage • Increased focus on employee retention • Increased use of flextime • Difficulty in filling F&B positions • Decrease of people in the labor pool with basic reading/writing and math skills • Increasing concerns of legal issues