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  • This chapter explores the dual challenges of separating and retaining employees. Topics include distinguishing involuntary and voluntary turnover, separation process, including ways to manage this process fairly and measures the organization can take to encourage employees to stay.
  • After reading and discussing this chapter, you should be able to:
  • This chapter explores the dual challenges of separating and retaining employees. Organizations have to act when an employee’s performance consistently falls short. Sometimes terminating a poor performer is the only way to show fairness, ensure quality, and maintain customer satisfaction.
  • Research indicates that retaining employees helps retain customers and investors. Organizations with low turnover and satisfied employees tend to perform better. What was the primary reason you ’ve ever quit a job? Didn ’t like my boss I wasn ’t a fit with the company culture Better pay somewhere else More interesting or challenging work somewhere else I ’ve never quit a job Other Ask students to comment on their answers. Link these comments to the concepts of voluntary and involuntary turnover from the employee ’s perspective and functional vs. dysfunctional turnover from the employer’s perspective.
  • Organizations must try to ensure that good performers want to stay with the organization and that employees whose performance is chronically low are encouraged – or forced – to leave. Both of these challenges involve employee turnover - employees leaving the organization.
  • In general, organizations try to avoid the need for involuntary turnover and to minimize voluntary turnover, especially among top performers. Both kinds of turnover are costly, as summarized in Table 10.1 . Replacing workers is expensive, and new employees need time to learn their jobs and build teamwork skills. Effective HRM can help the organization minimize both kinds of turnover, as well as carry it out effectively when necessary. Despite a company’s best efforts at personnel selection, training, and compensation, some employees will fail to meet performance requirements or will violate company policies.
  • True (A) or False (B) A manager who decides to fire an employee should quietly take action alone and then let others know afterwards. Separating employees has financial and personal risks. Answers: 1. B, 2. A. Because of the critical financial and personal risks associated with employee dismissal, organizations must develop a standardized, systematic approach to discipline and discharge. These decisions should not be left solely to the discretion of individual managers and supervisors. Policies that can lead to employee separation should be based on the principles of justice and law and should allow for various ways to intervene.
  • Because of the critical financial and personal risks associated with employee dismissal, it is easy to see why organizations must develop a standardized, systematic approach to discipline and discharge.
  • Three principles about the system’s fairness based on the system’s outcomes and procedures and the way managers treat employees when carrying out those procedures include outcome fairness, procedural justice and interactional justice.
  • The sensitivity of a system for disciplining and possibly terminating employees is obvious, and it is critical that the system be seen as fair. Employees form conclusions about the system ’s fairness based on the system’s outcomes and procedures and the way managers treat employees when carrying out those procedures Figure 10.1 summarizes these principles as: Outcome fairness Procedural justice Interactional justice
  • A company whose earnings are very low has to reduce the amount given in raises to avoid laying people off. The amount of the raise for each employee is determined based on their performance. An employee working for this company will most likely feel ____________ and _________________. High outcome fairness; high interactional injustice Low outcome fairness; high procedural justice Low interactional justice, high outcome fairness Low outcome fairness, low procedural justice Answer: B It is possible to be unhappy with the outcome but not feel that it is unfair. For example, a company whose earnings are very low and has to reduce raises to avoid laying people off, the employee may not be happy with the low raise but will not perceive it as unfair because they realize the same is happening to everyone else and there is a good reason – poor performance of the company.
  • The law gives employers wide latitude in hiring and firing, but employers must meet certain requirements. They must avoid wrongful discharge and illegal discrimination. They also must meet standards related to employees ’ privacy and adequate notice of layoffs. These considerations are discussed on this and the next slide.
  • Searches and surveillance should be for a legitimate business purpose, and employees should know about and consent to them.
  • No matter how sensitively the organization gathers information leading to disciplinary actions, it should also consider privacy issues when deciding who will see the information. Table 10.2 summarizes the measures for protecting employees ’ privacy.
  • Read the following passage to the class: Pam Jones worked for 41 years at the same company and had positive performance ratings and personnel records. She needed a calculator for work which she purchased with her own money but was not reimbursed because she lost the receipt. Later, a security guard stopped her as she was leaving work and discovered the calculator in her belongings. After an brief internal investigation, she was fired and it was announced through internal notices that she had committed a theft. The employee sued for libel, saying the company used her as an example to prevent other thefts. What are the key issues in the case? Employee privacy, why were they searching employees on the way out? Could be indicator of poor, distrustful culture. As the HR Director, how would you resolve this case? Student ’s answers will vary but should indicate a sense of due process for the employee and sensitivity around publicizing this event internally. This is based on an actual case where the plaintiff one millions from the company.
  • Sometimes terminations are necessary not because of individuals’ misdeeds, but because the organization determines that for economic reasons it must close a facility. An organization that plans such broad-scale layoffs may be subject to the Workers’ Adjustment Retraining and Notification Act. This federal law requires that organizations with more than 100 employees give 60 days’ notice before any closing or layoff that will affect at least 50 full-time employees. Seek legal advice before implementing a plant closing
  • After hiring Bob for a newly created marketing specialist position, his boss assures him that he will be secure in the job until he retires. A year later, that department is eliminated. Bob complains he was guaranteed employment until retirement. Is he right? No, an employer can hire or fire someone whenever they want. No, there was no written contract. Yes, he was given a verbal contract. Answer C, verbal contracts such as this have held up in courts in some states. Employers have to be careful how they frame the positions to employees. They don ’t want to overemphasize the fact employment is at will but they also don’t want to make any guarantees they can’t fulfill.
  • Organizations look for methods of handling problem behavior that are fair, legal, and effective. A popular principle for responding effectively is the hot-stove rule . The principles of justice suggest that the organization prepare for problems by establishing a formal discipline process in which the consequences become more serious if the employee repeats the offense. Such a system is called progressive discipline .
  • A typical progressive discipline system identifies and communicates unacceptable behaviors and responds to a series of offenses with the actions shown in Figure 10.2 – spoken and then written warnings, temporary suspension, and finally, termination.
  • Creating a formal discipline process is a primary responsibility of the human resource department. For each infraction, the HR professional would identify a series of responses, such as those in Figure 10.2 . In addition, the organization must communicate these rules and consequences in writing to every employee.
  • If employees understand what is expected of them, the company can fairly discipline them for not meeting the standards. Never favor one employee over another in choosing complaints to investigate. Issues that require investigation are allegations that an employee violated a work rule, is not meeting performance standards, did something that could have harmed the employee or others, or engaged in incidents that disrupted the work environment. Research on team performance found a performance decline of 30 % or more when the team included just one person who slacked off or was anxious and irritable. If any of the issues could lead to a lawsuit, consider having a company lawyer present, which may protect the confidentiality of the statement. When the issue involves a violation of company rules, the statement should specify the rule and indicate that the behavior was a violation of that rule. If an employee is confused about whether or not rules were actually broken or what standards of performance are necessary, the employee could conclude that the supervisor won’t actually follow through with discipline or that disciplinary measures result from discrimination.
  • Sometimes problems are easier to solve when an impartial person helps to create the solution. ADR methods of solving a problem by bringing in an impartial outsider but not using the court system. Generally, a system for alternative dispute resolution proceeds through the four stages shown in Figure 10.3 . They are briefly summarized on the next two slides.
  • Organizations also may resolve problems through alternative dispute resolution, including an open-door policy, peer review, mediation, and arbitration.
  • Typically, an organization’s ADR process begins with an open-door policy, which is the simplest, most direct, and least expensive way to settle a dispute. When the parties to a dispute cannot resolve it themselves, the organization can move the dispute to peer review, mediation, or arbitration. At some organizations, if mediation fails, the process moves to arbitration as a third and final option. Although arbitration is a formal process involving an outsider, it tends to be much faster, simpler, and more private than a lawsuit.
  • While ADR is effective in dealing with problems related to performance and disputes between people at work, many of the problems that lead an organization to want to terminate an employee involve drug or alcohol abuse. In these cases, the organization ’s discipline program should also incorporate an employee assistance program (EAP) .
  • An employee who has been discharged is likely to feel angry and confused about what to do next. If the person feels that there is nothing to lose and nowhere else to turn, the potential for violence or a lawsuit is greater than most organizations are willing to tolerate. This concern is one reason many organizations provide outplacement counseling .
  • Organizations need employees who are fully engaged and committed to their work. Therefore, retaining employees goes beyond preventing them from quitting. The organization needs to prevent a broader negative condition, called job withdrawal .
  • Some survey results suggest that less than one-third of employees consider themselves as engaged. Still, some companies have managed to sustain and improve engagement levels during the recession by systematically gathering feedback from employees, analyzing their responses, and implementing changes. In these companies, engagement measures are considered as important as customer service or financial data.
  • As shown in Figure 10.4, job dissatisfaction produces job withdrawal. Job withdrawal may take the form of: Behavior change Physical job withdrawal Psychological job withdrawal
  • Many aspects of people and organizations can cause job dissatisfaction, and managers and HR professionals need to be aware of them because correcting them can increase job satisfaction and prevent job withdrawal. employees want regular performance feedback from their supervisors and want their ideas to be heard. They also have expectations from seniors, including honest communication and a workplace that enables high performance. Interestingly, employees are more engaged when their supervisors give negative feedback, focused on their weaknesses, than when supervisors give no feedback Ideally, managers should catch and correct job dissatisfaction early, because there is evidence linking changes in satisfaction levels to turnover: when satisfaction is falling, employees are far more likely to quit.
  • The driving force behind job withdrawal is dissatisfaction. Most employers would prefer to avoid lawsuits and whistle-blowing. Keeping employees satisfied is one way to do this. Behavior change Change the condition – use the internal system for making complaints or the grievance process is there isn ’t one or if the employee’s actions are ignored they may resort to… Whistle-blowing – going outside the organization to authorities or regulatory agencies describing the actions of their employer Lawsuits – filing suit against an employer for unfair treatment or discrimination Physical job withdrawal: Arriving late Calling in sick Requesting a transfer Leaving the organization Psychological Withdrawal: Decrease in job involvement – the degree to which people identify themselves with their jobs. Decrease in organizational commitment – the degree to which an employee identifies with the organization and is willing to put forth effort on its behalf.
  • Office workers who were asked which aspect of their job contributes most to their satisfaction were almost equally split in picking worklife balance or learning opportunities. This study by OfficeTeam did not offer “meaningful work” as one of the choices. In a separate, international study by Mercer, company representatives said the top three factors that keep their employees engaged are respectful treatment, work-life balance, and the type of work they do.
  • Organizations want to prevent withdrawal behaviors. To prevent job withdrawal, organizations need to promote job satisfaction .
  • As shown in Figure 10.5 , organizations can contribute to job satisfaction by addressing the four sources of job dissatisfaction: Personal dispositions Job tasks and roles Supervisors and coworkers Pay and benefits. . Sometimes personal qualities of the employee, such as negative affectivity and negative core self-evaluation, are associated with job dissatisfaction. This linkage suggests employee selection in the first instance plays a role in raising overall levels of employee satisfaction. Interviews should explore employees’ satisfaction with past jobs. If an applicant says he was dissatisfied with his past six jobs, what makes the employer think the person won’t be dissatisfied with the organization’s vacant position? Employers should recognize that dissatisfaction with other facets of life can spill over into the workplace. A worker who is having problems with a family member may attribute some of the negative feelings to the job or organization.
  • Role analysis technique : A process of formally identifying expectations associated with a role. Because role problems rank just behind job problems in creating job dissatisfaction, some interventions aim directly at role elements. Figure 10.6 shows the steps involved in the role analysis technique .
  • Also, when employees are satisfied with their jobs and want to stay with the organization, they tend to make ethical decisions to a greater degree than employees who are not satisfied. The satisfied employees also tend to be more cooperative and more inclined to help out their coworkers.
  • Ask students: “Would a strong sense of teamwork and friendship help you enjoy your work more?”
  • Serena feels her job processing payroll checks is boring and uninteresting. Which intervention would be most appropriate to retain Serena? Communicating the companies values Increasing her pay Expanding her job Hiring someone she can chat with during the day Answer: C , students answers may vary and can generate a discussion of processes used to ascertain the root cause of problems.
  • More organizations are analyzing basic HR data to look for patterns in employee retention and turnover. The results may confirm expectations or generate surprises that merit further investigation. Either way, they can help HR departments and managers determine which efforts deliver the best return.
  • A widely used measure of job satisfaction is the Job Descriptive Index (JDI). Figure 10.7 shows several items from the JDI scale.
  • Some job satisfaction scales avoid language altogether, relying on pictures. The faces scale in Figure 10.8 is an example of this type of measure.
  • In spite of surveys and other efforts to retain employees, some employees inevitably will leave the organization. This presents another opportunity to gather information for retaining employees: the exit interview.
  • Both are costly because of the need to recruit, hire, and train replacements. Involuntary turnover can also result in lawsuits and even violence.
  • Discipline should respect individual employees’ privacy. Searches and surveillance should be for a legitimate business purpose, and employees should know about and consent to them. Reasons behind disciplinary actions should be shared only with those who need to know them. When termination is part of a plant closing, employees should receive the legally required notice, if applicable.
  • Usually, consequences range from a spoken warning through written warnings, suspension, and termination. These actions should be documented in writing. Organizations also may resolve problems through alternative dispute resolution, including an open-door policy, peer review, mediation, and arbitration. When performance problems seem to result from substance abuse or mental illness, the manager may refer the employee to an employee assistance program. When a manager terminates an employee or encourages an employee to leave, outplacement counseling may smooth the process.
  • Job withdrawal may include behavior change, as employees try to bring about changes in policy and personnel through inside action or through whistle-blowing or lawsuits. Physical job withdrawal may range from tardiness and absenteeism to job transfer or leaving the organization altogether. Especially when employees cannot find another job, they may psychologically withdraw by displaying low levels of job involvement. and organizational commitment.
  • Chapter 10 powerpoint

    1. 1. Copyright © 2014 by the McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin CHAPTER 10 SEPARATING AND RETAINING EM PLO YEES FUNDAM ENTALS O F HUM AN RESO URCE M ANAG EM ENT 5 TH EDITIO N BY R.A. NO E, J.R. HO LLENBECK, B. G ERHART, AND P.M . W RIG HT
    2. 2. Need to Know 1. Difference between involuntary and voluntary turnover, and their effects on an organization. 2. How employees determine whether the organization treats them fairly. 3. Legal requirements for employee discipline. 4. Ways to fairly discipline employees. 5. How dissatisfaction affects employee behavior. 6. How organizations contribute to employees’ job satisfaction and retain key employees. 1. Difference between involuntary and voluntary turnover, and their effects on an organization. 2. How employees determine whether the organization treats them fairly. 3. Legal requirements for employee discipline. 4. Ways to fairly discipline employees. 5. How dissatisfaction affects employee behavior. 6. How organizations contribute to employees’ job satisfaction and retain key employees. 10-2
    3. 3. Introduction • Every organization recognizes that it needs satisfied, loyal customers. • In addition, success requires satisfied, loyal employees. • Retaining employees helps retain customers and increase sales. • Organizations with low turnover and satisfied employees tend to perform better. • Every organization recognizes that it needs satisfied, loyal customers. • In addition, success requires satisfied, loyal employees. • Retaining employees helps retain customers and increase sales. • Organizations with low turnover and satisfied employees tend to perform better. 10-3
    4. 4. Managing Turnover  What was the primary reason you’ve ever quit a job? a) I Didn’t like my boss or coworkers b) I wasn’t a fit with the company culture c) Better pay somewhere else d) More interesting or challenging work somewhere else e) I was fired or laid off f) Other  What was the primary reason you’ve ever quit a job? a) I Didn’t like my boss or coworkers b) I wasn’t a fit with the company culture c) Better pay somewhere else d) More interesting or challenging work somewhere else e) I was fired or laid off f) Other 10-4
    5. 5. Managing Voluntary and Involuntary Turnover •Turnover initiated by an employer. •Often with employees who would prefer to stay. •Turnover initiated by an employer. •Often with employees who would prefer to stay. •Turnover initiated by employees. •Often when the organization would prefer to keep them. •Turnover initiated by employees. •Often when the organization would prefer to keep them. Involuntary Turnover Voluntary Turnover 10-5
    6. 6. Table 10.1: Costs Associated with Turnover 10-6
    7. 7. Test Your Knowledge True (A) or False (B) 1. A manager who decides to fire an employee should quietly take action alone and then let others know afterwards. 2. Separating employees has financial and personal risks. True (A) or False (B) 1. A manager who decides to fire an employee should quietly take action alone and then let others know afterwards. 2. Separating employees has financial and personal risks. 10-7
    8. 8. Employee Separation • Organizations must develop a standardized, systematic approach to discipline and discharge. • These decisions should not be left solely to the discretion of individual managers or supervisors. • Policies should be based on principle s o f justice and law. • Policies should allow for various ways to intervene. • Organizations must develop a standardized, systematic approach to discipline and discharge. • These decisions should not be left solely to the discretion of individual managers or supervisors. • Policies should be based on principle s o f justice and law. • Policies should allow for various ways to intervene. 10-8
    9. 9. Principles of Justice 10-9
    10. 10. Figure 10.1: Principles of Justice 10-10
    11. 11. Test Your Knowledge  A company whose earnings are very low has to reduce the amount given in raises to avoid laying people off. The amount of the raise for each employee is determined objectively based on their performance. An employee working for this company will most likely feel ____________ and _________________. a) High outcome fairness; high interactional injustice b) Low outcome fairness; high procedural justice c) Low interactional justice, high outcome fairness d) Low outcome fairness, low procedural justice  A company whose earnings are very low has to reduce the amount given in raises to avoid laying people off. The amount of the raise for each employee is determined objectively based on their performance. An employee working for this company will most likely feel ____________ and _________________. a) High outcome fairness; high interactional injustice b) Low outcome fairness; high procedural justice c) Low interactional justice, high outcome fairness d) Low outcome fairness, low procedural justice 10-11
    12. 12. Legal Requirements •Discharge may not violate an im plie d ag re e m e nt. – e.g., employer had promised job security – e.g. action inconsistent with company rules •Discharge may not violate public po licy. – e.g., terminating employee for refusing to do something illegal or unsafe. •Discharge may not violate an im plie d ag re e m e nt. – e.g., employer had promised job security – e.g. action inconsistent with company rules •Discharge may not violate public po licy. – e.g., terminating employee for refusing to do something illegal or unsafe. • Employers must make discipline decisions without regard to a person’s age, sex, race, or other protected status. • Evenhanded, carefully documented discipline can avoid such claims. • Employers must make discipline decisions without regard to a person’s age, sex, race, or other protected status. • Evenhanded, carefully documented discipline can avoid such claims. Wrongful Discharge Discrimination 10-12
    13. 13. Legal Requirements  Employees’ Privacy: • Employers need to ensure that the information they gather and use for discipline is relevant. • Privacy issues also concern the employer’s wish to search or monitor employees. • Employers must be prudent in deciding who will see the information.  Employees’ Privacy: • Employers need to ensure that the information they gather and use for discipline is relevant. • Privacy issues also concern the employer’s wish to search or monitor employees. • Employers must be prudent in deciding who will see the information. 10-13
    14. 14. Table 10.2: Measures for Protecting Employees’ Privacy 10-14
    15. 15. Test Your Knowledge Pam Jones worked for 41 years at the same company and had positive performance ratings and personnel records. She needed a calculator for work which she purchased with her own money but was not reimbursed because she lost the receipt. Later, a security guard stopped her as she was leaving work and discovered the calculator in her belongings. After a brief internal investigation, she was fired and it was announced through internal notices that she had committed a theft. The employee sued for libel, saying the company used her as an example to prevent other thefts. Pam Jones worked for 41 years at the same company and had positive performance ratings and personnel records. She needed a calculator for work which she purchased with her own money but was not reimbursed because she lost the receipt. Later, a security guard stopped her as she was leaving work and discovered the calculator in her belongings. After a brief internal investigation, she was fired and it was announced through internal notices that she had committed a theft. The employee sued for libel, saying the company used her as an example to prevent other thefts. 10-15
    16. 16. Legal Requirements  Notification of Layoffs: • Organizations that plan broad-scale layoffs may be subject to the Workers’ Adjustment, Retraining and Notification Act (WARN). • Employers covered by the law are required to give notice before any closing or layoff.  Notification of Layoffs: • Organizations that plan broad-scale layoffs may be subject to the Workers’ Adjustment, Retraining and Notification Act (WARN). • Employers covered by the law are required to give notice before any closing or layoff. 10-16
    17. 17. Test Your Knowledge  After hiring Bob for a newly created marketing specialist position, his boss assures him that he will be secure in the job until he retires. A year later, that department is eliminated. Bob complains he was guaranteed employment until retirement. Is he right? a) No, an employer can hire or fire someone whenever they want. b) No, there was no written contract. c) Yes, he was given a verbal contract.  After hiring Bob for a newly created marketing specialist position, his boss assures him that he will be secure in the job until he retires. A year later, that department is eliminated. Bob complains he was guaranteed employment until retirement. Is he right? a) No, an employer can hire or fire someone whenever they want. b) No, there was no written contract. c) Yes, he was given a verbal contract. 10-17
    18. 18. Progressive Discipline •Principle of discipline that says discipline should be like a hot stove, giving clear warning and following up with consistent, objective, and immediate consequences. •Principle of discipline that says discipline should be like a hot stove, giving clear warning and following up with consistent, objective, and immediate consequences. •A formal discipline process in which the consequences become more serious if the employee repeats the offense. •A formal discipline process in which the consequences become more serious if the employee repeats the offense. Hot-Stove Rule Progressive Discipline 10-18
    19. 19. Figure 10.2: Progressive Discipline Responses 10-19
    20. 20. Progressive Discipline Rules of behavior should cover disciplinary problems such as: •Tardiness •Absenteeism •Unsafe work practices •Poor quantity or quality of work •Sexual harassment Rules of behavior should cover disciplinary problems such as: •Tardiness •Absenteeism •Unsafe work practices •Poor quantity or quality of work •Sexual harassment • Coming to work impaired by alcohol or drugs • Theft of company property • Cyberslacking • Coming to work impaired by alcohol or drugs • Theft of company property • Cyberslacking 10-20
    21. 21. Guidelines to Respond to Misconduct 1. Be clear about performance standards. 2. Be consistent. 3. Don’t ignore the problem behavior. 4. Investigate complaints ASAP. 5. Record statements in writing, with signatures & dates. 6. Focus on behaviors not personalities 7. Documentation should be clear and complete. 8. Be honest. 1. Be clear about performance standards. 2. Be consistent. 3. Don’t ignore the problem behavior. 4. Investigate complaints ASAP. 5. Record statements in writing, with signatures & dates. 6. Focus on behaviors not personalities 7. Documentation should be clear and complete. 8. Be honest. 10-21
    22. 22. Figure 10.3: Options for Alternative Dispute Resolution 10-22
    23. 23. Alternative Dispute Resolution An organization’s policy of making managers available to hear complaints. An organization’s policy of making managers available to hear complaints. •Process for resolving disputes by taking them to a panel composed of representatives from the organization at same levels as the people in the dispute. •Process for resolving disputes by taking them to a panel composed of representatives from the organization at same levels as the people in the dispute. Open-Door Policy Peer Review 10-23
    24. 24. Alternative Dispute Resolution •Nonbinding process in which a neutral party from outside the organization hears the case and tries to help the people in a conflict arrive at a settlement. •Nonbinding process in which a neutral party from outside the organization hears the case and tries to help the people in a conflict arrive at a settlement. •Binding process in which a professional arbitrator from outside the organization (usually a lawyer or judge) hears the case and resolves it by making a decision. •Binding process in which a professional arbitrator from outside the organization (usually a lawyer or judge) hears the case and resolves it by making a decision. Mediation Arbitration 10-24
    25. 25. Employee Assistance Programs  Employee assistance program (EAP) – a referral service that employees can use to seek professional treatment for emotional problems or substance abuse. • Many EAPs are fully integrated into employers’ overall health benefits plans.  Employee assistance program (EAP) – a referral service that employees can use to seek professional treatment for emotional problems or substance abuse. • Many EAPs are fully integrated into employers’ overall health benefits plans. 10-25
    26. 26. Outplacement Counseling  Outplacement counseling – a service in which professionals try to help dismissed employees manage the transition from one job to another. • Goals for outplacement counseling are to help former employee address psychological issues associated with losing a job while helping them find a new job.  Outplacement counseling – a service in which professionals try to help dismissed employees manage the transition from one job to another. • Goals for outplacement counseling are to help former employee address psychological issues associated with losing a job while helping them find a new job. 10-26
    27. 27. Job Withdrawal  Job Withdrawal – a set of behaviors with which employees try to avoid the work situation physically, mentally, or emotionally. • Job withdrawal results when circumstances such as the nature of the job, supervisors and coworkers, pay levels, or the employee’s own disposition cause the employee to become dissatisfied with the job.  Job Withdrawal – a set of behaviors with which employees try to avoid the work situation physically, mentally, or emotionally. • Job withdrawal results when circumstances such as the nature of the job, supervisors and coworkers, pay levels, or the employee’s own disposition cause the employee to become dissatisfied with the job. 10-27
    28. 28. Employee Engagement Employee engagement is the degree to which employees are fully involved in their work and the strength of their commitment to their job and company. •Employees who are engaged and provide a clear competitive advantage to that firm, including higher productivity, better customer service, and lower turnover. Employee engagement is the degree to which employees are fully involved in their work and the strength of their commitment to their job and company. •Employees who are engaged and provide a clear competitive advantage to that firm, including higher productivity, better customer service, and lower turnover. 10-28
    29. 29. Figure 10.4: Job Withdrawal Process 10-29
    30. 30. Causes of Job Dissatisfaction 10-30
    31. 31. Military reservists who are sent overseas often experience role conflict among three roles: • soldier • family member • civilian employee Overseas assignments often intensify role conflicts. 10-31
    32. 32. Actions Employees Take When Dissatisfied • Behavior changes – Change the condition – Whistle-blowing – Bring a lawsuit – Lodge complaints • Physical job withdrawal • Psychological withdrawal – Decrease in job involvement – Decrease in organizational commitment • Behavior changes – Change the condition – Whistle-blowing – Bring a lawsuit – Lodge complaints • Physical job withdrawal • Psychological withdrawal – Decrease in job involvement – Decrease in organizational commitment 10-32
    33. 33. Office Workers Appreciate Help Balancing Roles and Learning New Skills 10-33
    34. 34. Job Satisfaction  Job satisfaction – a pleasant feeling resulting from the perception that one’s job fulfills or allows for the fulfillment of one’s important job values.  3 components of job satisfaction are: 1. Values 2. Perceptions 3. Ideas of what is important  People will be satisfied with their jobs as long as they perceive that their jobs meet their important values.  Job satisfaction – a pleasant feeling resulting from the perception that one’s job fulfills or allows for the fulfillment of one’s important job values.  3 components of job satisfaction are: 1. Values 2. Perceptions 3. Ideas of what is important  People will be satisfied with their jobs as long as they perceive that their jobs meet their important values. 10-34
    35. 35. Figure 10.5: Increasing Job Satisfaction 10-35
    36. 36. Figure 10.6 Steps in the Role Analysis Technique 10-36
    37. 37. Job Satisfaction: Supervisors and Co-workers Co -wo rke rs and supe rviso rs affect job satisfaction. • A person may be satisfied with them because they 1. share same values, attitudes, and philosophies. 2. provide social support, meaning they are sympathetic and caring. 3. help the person attain some valued outcome. Co -wo rke rs and supe rviso rs affect job satisfaction. • A person may be satisfied with them because they 1. share same values, attitudes, and philosophies. 2. provide social support, meaning they are sympathetic and caring. 3. help the person attain some valued outcome. 10-37
    38. 38. Co-worker relationships can contribute to job satisfaction, and organizations therefore try to provide opportunities to build positive relationships. 10-38
    39. 39. Test Your Knowledge • Serena feels her job processing payroll checks is boring and uninteresting. Which intervention would be most appropriate to retain Serena? a) Communicating the companies values b) Increasing her pay c) Expanding her job d) Hiring someone she can chat with during the day • Serena feels her job processing payroll checks is boring and uninteresting. Which intervention would be most appropriate to retain Serena? a) Communicating the companies values b) Increasing her pay c) Expanding her job d) Hiring someone she can chat with during the day 10-39
    40. 40. Monitoring Job Satisfaction • Employers can better retain employees if they are aware of satisfaction levels, so they can make changes if employees are dissatisfied. • Usual way to measure job satisfaction is to survey. • A systematic, ongoing program of employee surveys should be part of the organization’s HR strategy to monitor trends and prevent voluntary turnover. • Employers can better retain employees if they are aware of satisfaction levels, so they can make changes if employees are dissatisfied. • Usual way to measure job satisfaction is to survey. • A systematic, ongoing program of employee surveys should be part of the organization’s HR strategy to monitor trends and prevent voluntary turnover. 10-40
    41. 41. Figure 10.7: Example of Job Descriptive Index (JDI) 10-41
    42. 42. Figure 10.8: Example of a Simplified, Nonverbal Measure of Job Satisfaction 10-42
    43. 43. Exit Interview • Exit interview: a meeting of a departing employee with the employee’s supervisor and/or a human resource specialist to discuss the employee’s reasons for leaving. • A well-conducted exit interview can uncover reasons why employees leave. • When several exiting employees give similar reasons for leaving, management should consider whether this indicates a need for change. • Exit interview: a meeting of a departing employee with the employee’s supervisor and/or a human resource specialist to discuss the employee’s reasons for leaving. • A well-conducted exit interview can uncover reasons why employees leave. • When several exiting employees give similar reasons for leaving, management should consider whether this indicates a need for change. 10-43
    44. 44. Summary • Involuntary turnover occurs when the organization requires employees to leave, often when they would prefer to stay. • Voluntary turnover occurs when employees initiate the turnover, often when the organization would prefer to keep them. • Involuntary turnover occurs when the organization requires employees to leave, often when they would prefer to stay. • Voluntary turnover occurs when employees initiate the turnover, often when the organization would prefer to keep them. 10-44
    45. 45. Summary • Employees draw conclusions based on outcomes of decisions regarding them, procedures applied, and way managers treat employees when carrying out those procedures. • Employee discipline should not result in wrongful discharge, such as a termination that violates an implied contract or public policy. • Discipline should be administered evenhandedly, without discrimination. • Employees draw conclusions based on outcomes of decisions regarding them, procedures applied, and way managers treat employees when carrying out those procedures. • Employee discipline should not result in wrongful discharge, such as a termination that violates an implied contract or public policy. • Discipline should be administered evenhandedly, without discrimination. 10-45
    46. 46. Summary • Discipline should follow principles of the hot- stove rule, meaning discipline should give warning and have consequences that are consistent, objective, and immediate. • A system that can meet these requirements is progressive discipline, in which rules are established and communicated, and increasingly severe consequences follow each violation of the rules. • Organizations may also resolve problems through alternative dispute resolution. • Discipline should follow principles of the hot- stove rule, meaning discipline should give warning and have consequences that are consistent, objective, and immediate. • A system that can meet these requirements is progressive discipline, in which rules are established and communicated, and increasingly severe consequences follow each violation of the rules. • Organizations may also resolve problems through alternative dispute resolution. 10-46
    47. 47. Summary • Circumstances involving the nature of a job, supervisors and coworkers, pay levels, or employee’s own disposition may produce job dissatisfaction. When employees become dissatisfied, they may engage in job withdrawal. • To prevent job withdrawal, organizations need to promote job satisfaction which is related to a person’s values and based on perception.  Different employees have different views of which values are important. • Circumstances involving the nature of a job, supervisors and coworkers, pay levels, or employee’s own disposition may produce job dissatisfaction. When employees become dissatisfied, they may engage in job withdrawal. • To prevent job withdrawal, organizations need to promote job satisfaction which is related to a person’s values and based on perception.  Different employees have different views of which values are important. 10-47

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