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Unit 3 HRM - Elaki Page 1
Retirement:
Termination of service of an employee, The period of a person's life during which he/she is no
Longer working or the commencement of that period. The standard age for retirement in the India is
Considered 65, although many individuals choose to retire earlier or later due to personal or financial
Reasons.
What is an Exit Interview?
In human resource terms, an exit interview is a survey that is conducted with an employee when
he or she Leaves the company. The information from each survey is used to provide feedback on why
employees are leaving, what they liked about their employment and what areas of the company need
improvement. Exit interviews are most effective when the data is compiled and tracked over time.
How are Exit Interviews conducted?
The exit interview may be conducted through a variety of methods. Some of the methods include:
In-person, over the telephone, on paper, and through the Internet.
Method of Exit Interview
• In-Person Exit Interviews
• Telephone Exit Interviews
• Paper and Pencil Exit Interviews
• Online Exit Interview Management Systems
Retirement benefits:
Retirement benefits are financial instruments designed to help individuals after they stop
working. Individuals typically receive retirement benefits in the form of regular cash installments or as
protection in the form of insurance coverage. By Chris Joseph
Advantages of Retirement:
• Stress Reduction
• Health Benefits
• Philanthropy
• Family Involvement
• A New Lifestyle
Retirement and Separation:
Unit 3 HRM - Elaki Page 2
SUPERANNUATION
 Superannuation means attainment of such age by the employee as is fixed in the contract or
conditions of service as the age on attainment of which he has to leave the employment where
there is no such provision, then attainment of the age of 58 years by the employee.
- B. D. Singh
RETIREMENT
Termination of a service of an employee other than on superannuation.
Types of retirement
Forced Retirement
Premature Retirement
Compulsory Retirement
Voluntary Retirement
1. FORCED RETIREMENT
Employee violate rules of organisation as mentioned in the standing orders such employees are
forced to retire from their services before the age of superannuation.
2. PREMATURE RETIREMENT
Employee become disable due to disease, illness, accident. Due to personal problem – employee does
not perform job. Management may give him the option of retirement. Also, some organisations give
this option when employee complete 15-20 years of service
3. COMPULSARY RETIREMENT
This include the inclusions of terms of termination of employment in the contract. E.g. Defence –
after 15 yrs of service, person has to retire from his post.
3. VOLUNTARY RETIREMENT
GOLDEN HANDSHAKE SCHEME
Voluntary separation of an employee completing criteria
Employee age – 40+ yrs
Employee service – min 10 yrs
Company has to take prior permission of government before offering GHS.
Management has right to accept or reject the application for VRS.
Reasons for VRS
o Reduce burden of unproductive employees.
o Downsizing.
Unit 3 HRM - Elaki Page 3
o Change in technology
o Recession
o Takeover, Merger, Joint Venture.
RESIGNATION
Employee’s initiative to leave the job.
Types of resignation:
Voluntary Resignation
An employee may decide to quit an organisation voluntarily on personal or professional grounds
such as getting a better job, changing careers, wanting to spend more time with family, or leisure
activities.
Alternatively, reason could be employee’s displeasure with the current job, pay, working conditions
or colleagues.
Non-Voluntary Resignation
Employee is forced to resign from his job due to negligence of duties, misuse of organisation’s
resources, etc.
If employee refuses to quit, he may face disciplinary action.
Advantage to employee – no legal action, no bad image among people.
DISCHARGE
Management initiative to separate an employee, but not necessarily a punishment.
Reasons for discharge:
Alcoholism
Wilful violation of rules
Carelessness
Physical disability
Dishonesty
Violent acts
Inefficiency
Unauthorised absence from duty.
It should be undertaken in exceptional cases.
Employee should be given a opportunity to defend himself.
Employee is entitled to - Contributions to PF, Bonus, Gratuity.
Unit 3 HRM - Elaki Page 4
Final separation of an employee.
DISMISSAL
Employee separation is result of punishment for a misconduct.
Extreme action.
End of employee-employer relationship.
Employee is given an opportunity to defend himself.
Employee has less opportunity to get work elsewhere.
Contributions to PF, Bonus, Gratuity are withheld by the employer –used to make up loses.
Employee can be reinstated and get the salary arrears if he is not found guilty.
SUSPENSION
Prohibiting an employee from attending work and to perform normal duties assigned to him.
Employee is suspended only after proper enquiry.
Suspension is only for investigation period.
Obvious motive is to prevent suspended employee from interfering the concerned matter, from making
any changes in the document or influencing the witness.
Disciplinary Procedure
PROCEDURE
1. Establishment of Facts
o Before counselling a Staff Member the Supervisor should establish the facts and consult with the
appropriate Divisional/Portfolio/Unit Human Resources Representative for advice and support
during the process.
o As part of the process to establish the fact
o Once sufficient information has been collected the Supervisor should meet with the Staff Member
concerned.
2. Informal Counselling
a) Informal counselling of a Staff Member will normally occur when, in the Supervisor’s opinion, the
Staff Member’s behaviour is such that formal disciplinary action is not appropriate.
b) A
provide the Staff Member with an opportunity to respond to the concern and to raise any other matters
that the Staff Member considers relevant; and
c) if the Supervisor is satisfied that the concern can be substantiated, identify any improvement in
behaviour that may be required and assistance/support to be provided (if relevant).
Unit 3 HRM - Elaki Page 5
appropriate, plan a subsequent discussion with the Staff Member to review their behaviour.
3. Formal Counselling
bee
Member’s behaviour is such that, in the opinion of the Supervisor after consulting the appropriate
Divisional/Portfolio/Unit Human Resources Representative, formal counselling is appropriate.
provide the Staff Member with an opportunity to respond to the concern and to raise any other matters
that the Staff Member considers relevant.
c) After the formal counselling the Supervisor will prepare a written record of the meeting and, if
– o the behaviour of concern; o
any assistance/support to be provided (if relevant); o that failure to address the behaviour of concern
review their behaviour.
4. Formal Warning
a) A formal warning will
performance remains unacceptable following a reasonable period of performance impro
Staff Member’s behaviour is such that, in the opinion of the Supervisor after consulting the appropriate
Divisional/Portfolio/Unit Human Resources Representative, formal counselling is appropriate.
b) Prior to conducting a meeting at which a formal warning may be given, the Supervisor will advise the
to be discussed.
performance or behaviour of concern and
advise the Staff Member that failure to address the concern may result in termination of employment; and
plan a subsequent discussion with the Staff Member to review their behaviour or performance.
d) After the meeting the Supervisor will prepare a written record of the meeting and, if satisfied that the
– o the behaviour of concern; o any
assistance/support to be provided (if relevant); o that failure to address the behaviour of concern may
result in terminat
that they acknowledge receipt of the record by signing and returning it.
5. Process for Termination
If after stage 4 of this procedure and within a reasonable period of time there is still no or insufficient
improvement in the Staff Member’s performance, the Supervisor should contact the
Divisional/Portfolio/Unit Human Resources Representative to discuss the processes undertaken in stages
Unit 3 HRM - Elaki Page 6
1 – 4 (as appropriate) prior to any further action. If the Supervisor considers that the staff member’s
employment should be terminated, the following process will be implemented:
i) The Staff Member shall be advised of, and given an opportunity to respond to any adverse material
which the University may consider in a decision to terminate employment.
ii) The Supervisor recommends to the Head of School/Director of Research Institute/Director of
Unit/Division Manager/Director or Director: Centre for Regional Engagement that the employment of
the Staff Member be terminated. The Supervisor will be required to provide a written report to support
their recommendation for termination.
iii) If the case is supported by the Head of School/Director of Research Institute/Director of Unit/Division
Manager/Director or Director: Centre for Regional Engagement they will make a written
recommendation to the Pro Vice
Chancellor/Executive Director that the employment of the staff member be terminated.
iv) The Pro Vice Chancellor/Executive Director will consult with the Director: Human Resources about
the recommendation to terminate employment.
v) If the case is supported by the Director: Human Resources, the Pro Vice Chancellor/Executive
Director will make a written recommendation to the Vice Chancellor through the Director: Human
Resources that the staff member’s employment be terminated.
vi) If termination of employment is approved, the Staff Member will be provided with a written
communication confirming the termination of their employment allowing for a notice period and/or
compensation as required by the Fair Work Act 2009 as amended.
Grievance:
If any dissatisfaction or feeling of injustice in connection with ones employment situation that is
brought to the notice of the management.
Or
(A) Dissatisfaction is any state or feeling of discontent.
(B) Dissatisfaction orally made known by one employee to another is a complaint.
(C) A complaint becomes a grievance when brought to the notice of the management.
STEPS IN HANDLING GRIEVANCES
1. Receive and define the nature of dissatisfaction.
(a) Manner and attitude when complaint is received
(b) Assessment must be made that the complaint is presented fairly.
(c) Statement and issues must not be pre-judged.
(d) Proper time and attention is given.
2. Get the facts
(a) Facts be separated from impressions and opinions.
(b) Consult the policies.
(c) Consult the records.
Unit 3 HRM - Elaki Page 7
3. Analyze and decide.
4. Apply the answer.
5. Follow-up
DO’S IN HANDLING GRIEVANCES
1. Investigate and handle each case carefully
2. Talk to the employee.
3. Enforce the time limit.
4. Visit the work area or place of grievance.
5. Determine witnesses.
6. Examine records.
7. Examine witnesses.
8. Evaluate grievance.
9. Permit full hearing.
10. Identify the relief an employee is expecting.
11. Command the respect of all.
12. All discussions privately.
13. Keep superiors informed.
14. Ensure proper productivity.
15. Stick to labor agreements.
Performance Management
Performance management is an ongoing process of communication between a supervisor and an
employee that occurs throughout the year, in support of accomplishing the strategic objectives of the
organization.
The communication process includes:
• Setting Objectives
• Discussing Expectations and Performance Standards
Unit 3 HRM - Elaki Page 8
• Identifying Goals
• Providing Feedback
• Evaluating Results
Developing Performance Goals/Objectives
Definitions of Performance Expectations
Performance expectations should be clear, brief, attainable, and measurable, and can be expressed in
terms of:
1. Quality
2. Quantity
3. Timeliness
4. Effective use of Resources
5. Manner of Performance
6. Method of Performing
Methods of Verifying Performance
Determined at the start of the evaluation period and discussed with the staff member.
1. Direct observation
2. Reports of others' observations
3. Written records such as attendance, financial, assignment logs, and status reports
4. Results in the form of tangible products
Performance Appraisal
1. A formal performance review must be conducted each year consisting of discussions
between the supervisor and the staff member and a written record of the appraisal.
2. Discussions should occur more frequently if needed, such as when new objectives are
developed, or if the staff member requires a more structured approach in order to
encourage improved performance.
Promotion:
promotion may be defined as an upward movement of an employee’s position in the
enterprise. An employee who has been promoted moves to a higher level job that gives higher salary,
greater authority and accountability as well.
Unit 3 HRM - Elaki Page 9
Criteria for promotion
Basically two criteria are used for the purpose of employee promotion. They are:
1. Seniority
2.Merit
Transfer:
Transfer of an employee takes place when he is shifted:
1.From one section to another
2.From one department to another
3.From one branch to another
4.From one town to another
5.From one state to another
6.From one country to another
Employee Attrition:
A process where by employees leave their jobs for reasons such as retirement, resignation, transfer etc .
Employee Retention:
Process in which the Employees are encouraged to remain with the organization for the maximum period
of time.
Unit 3 HRM - Elaki Page 10

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Human resource management

  • 1. Unit 3 HRM - Elaki Page 1 Retirement: Termination of service of an employee, The period of a person's life during which he/she is no Longer working or the commencement of that period. The standard age for retirement in the India is Considered 65, although many individuals choose to retire earlier or later due to personal or financial Reasons. What is an Exit Interview? In human resource terms, an exit interview is a survey that is conducted with an employee when he or she Leaves the company. The information from each survey is used to provide feedback on why employees are leaving, what they liked about their employment and what areas of the company need improvement. Exit interviews are most effective when the data is compiled and tracked over time. How are Exit Interviews conducted? The exit interview may be conducted through a variety of methods. Some of the methods include: In-person, over the telephone, on paper, and through the Internet. Method of Exit Interview • In-Person Exit Interviews • Telephone Exit Interviews • Paper and Pencil Exit Interviews • Online Exit Interview Management Systems Retirement benefits: Retirement benefits are financial instruments designed to help individuals after they stop working. Individuals typically receive retirement benefits in the form of regular cash installments or as protection in the form of insurance coverage. By Chris Joseph Advantages of Retirement: • Stress Reduction • Health Benefits • Philanthropy • Family Involvement • A New Lifestyle Retirement and Separation:
  • 2. Unit 3 HRM - Elaki Page 2 SUPERANNUATION  Superannuation means attainment of such age by the employee as is fixed in the contract or conditions of service as the age on attainment of which he has to leave the employment where there is no such provision, then attainment of the age of 58 years by the employee. - B. D. Singh RETIREMENT Termination of a service of an employee other than on superannuation. Types of retirement Forced Retirement Premature Retirement Compulsory Retirement Voluntary Retirement 1. FORCED RETIREMENT Employee violate rules of organisation as mentioned in the standing orders such employees are forced to retire from their services before the age of superannuation. 2. PREMATURE RETIREMENT Employee become disable due to disease, illness, accident. Due to personal problem – employee does not perform job. Management may give him the option of retirement. Also, some organisations give this option when employee complete 15-20 years of service 3. COMPULSARY RETIREMENT This include the inclusions of terms of termination of employment in the contract. E.g. Defence – after 15 yrs of service, person has to retire from his post. 3. VOLUNTARY RETIREMENT GOLDEN HANDSHAKE SCHEME Voluntary separation of an employee completing criteria Employee age – 40+ yrs Employee service – min 10 yrs Company has to take prior permission of government before offering GHS. Management has right to accept or reject the application for VRS. Reasons for VRS o Reduce burden of unproductive employees. o Downsizing.
  • 3. Unit 3 HRM - Elaki Page 3 o Change in technology o Recession o Takeover, Merger, Joint Venture. RESIGNATION Employee’s initiative to leave the job. Types of resignation: Voluntary Resignation An employee may decide to quit an organisation voluntarily on personal or professional grounds such as getting a better job, changing careers, wanting to spend more time with family, or leisure activities. Alternatively, reason could be employee’s displeasure with the current job, pay, working conditions or colleagues. Non-Voluntary Resignation Employee is forced to resign from his job due to negligence of duties, misuse of organisation’s resources, etc. If employee refuses to quit, he may face disciplinary action. Advantage to employee – no legal action, no bad image among people. DISCHARGE Management initiative to separate an employee, but not necessarily a punishment. Reasons for discharge: Alcoholism Wilful violation of rules Carelessness Physical disability Dishonesty Violent acts Inefficiency Unauthorised absence from duty. It should be undertaken in exceptional cases. Employee should be given a opportunity to defend himself. Employee is entitled to - Contributions to PF, Bonus, Gratuity.
  • 4. Unit 3 HRM - Elaki Page 4 Final separation of an employee. DISMISSAL Employee separation is result of punishment for a misconduct. Extreme action. End of employee-employer relationship. Employee is given an opportunity to defend himself. Employee has less opportunity to get work elsewhere. Contributions to PF, Bonus, Gratuity are withheld by the employer –used to make up loses. Employee can be reinstated and get the salary arrears if he is not found guilty. SUSPENSION Prohibiting an employee from attending work and to perform normal duties assigned to him. Employee is suspended only after proper enquiry. Suspension is only for investigation period. Obvious motive is to prevent suspended employee from interfering the concerned matter, from making any changes in the document or influencing the witness. Disciplinary Procedure PROCEDURE 1. Establishment of Facts o Before counselling a Staff Member the Supervisor should establish the facts and consult with the appropriate Divisional/Portfolio/Unit Human Resources Representative for advice and support during the process. o As part of the process to establish the fact o Once sufficient information has been collected the Supervisor should meet with the Staff Member concerned. 2. Informal Counselling a) Informal counselling of a Staff Member will normally occur when, in the Supervisor’s opinion, the Staff Member’s behaviour is such that formal disciplinary action is not appropriate. b) A provide the Staff Member with an opportunity to respond to the concern and to raise any other matters that the Staff Member considers relevant; and c) if the Supervisor is satisfied that the concern can be substantiated, identify any improvement in behaviour that may be required and assistance/support to be provided (if relevant).
  • 5. Unit 3 HRM - Elaki Page 5 appropriate, plan a subsequent discussion with the Staff Member to review their behaviour. 3. Formal Counselling bee Member’s behaviour is such that, in the opinion of the Supervisor after consulting the appropriate Divisional/Portfolio/Unit Human Resources Representative, formal counselling is appropriate. provide the Staff Member with an opportunity to respond to the concern and to raise any other matters that the Staff Member considers relevant. c) After the formal counselling the Supervisor will prepare a written record of the meeting and, if – o the behaviour of concern; o any assistance/support to be provided (if relevant); o that failure to address the behaviour of concern review their behaviour. 4. Formal Warning a) A formal warning will performance remains unacceptable following a reasonable period of performance impro Staff Member’s behaviour is such that, in the opinion of the Supervisor after consulting the appropriate Divisional/Portfolio/Unit Human Resources Representative, formal counselling is appropriate. b) Prior to conducting a meeting at which a formal warning may be given, the Supervisor will advise the to be discussed. performance or behaviour of concern and advise the Staff Member that failure to address the concern may result in termination of employment; and plan a subsequent discussion with the Staff Member to review their behaviour or performance. d) After the meeting the Supervisor will prepare a written record of the meeting and, if satisfied that the – o the behaviour of concern; o any assistance/support to be provided (if relevant); o that failure to address the behaviour of concern may result in terminat that they acknowledge receipt of the record by signing and returning it. 5. Process for Termination If after stage 4 of this procedure and within a reasonable period of time there is still no or insufficient improvement in the Staff Member’s performance, the Supervisor should contact the Divisional/Portfolio/Unit Human Resources Representative to discuss the processes undertaken in stages
  • 6. Unit 3 HRM - Elaki Page 6 1 – 4 (as appropriate) prior to any further action. If the Supervisor considers that the staff member’s employment should be terminated, the following process will be implemented: i) The Staff Member shall be advised of, and given an opportunity to respond to any adverse material which the University may consider in a decision to terminate employment. ii) The Supervisor recommends to the Head of School/Director of Research Institute/Director of Unit/Division Manager/Director or Director: Centre for Regional Engagement that the employment of the Staff Member be terminated. The Supervisor will be required to provide a written report to support their recommendation for termination. iii) If the case is supported by the Head of School/Director of Research Institute/Director of Unit/Division Manager/Director or Director: Centre for Regional Engagement they will make a written recommendation to the Pro Vice Chancellor/Executive Director that the employment of the staff member be terminated. iv) The Pro Vice Chancellor/Executive Director will consult with the Director: Human Resources about the recommendation to terminate employment. v) If the case is supported by the Director: Human Resources, the Pro Vice Chancellor/Executive Director will make a written recommendation to the Vice Chancellor through the Director: Human Resources that the staff member’s employment be terminated. vi) If termination of employment is approved, the Staff Member will be provided with a written communication confirming the termination of their employment allowing for a notice period and/or compensation as required by the Fair Work Act 2009 as amended. Grievance: If any dissatisfaction or feeling of injustice in connection with ones employment situation that is brought to the notice of the management. Or (A) Dissatisfaction is any state or feeling of discontent. (B) Dissatisfaction orally made known by one employee to another is a complaint. (C) A complaint becomes a grievance when brought to the notice of the management. STEPS IN HANDLING GRIEVANCES 1. Receive and define the nature of dissatisfaction. (a) Manner and attitude when complaint is received (b) Assessment must be made that the complaint is presented fairly. (c) Statement and issues must not be pre-judged. (d) Proper time and attention is given. 2. Get the facts (a) Facts be separated from impressions and opinions. (b) Consult the policies. (c) Consult the records.
  • 7. Unit 3 HRM - Elaki Page 7 3. Analyze and decide. 4. Apply the answer. 5. Follow-up DO’S IN HANDLING GRIEVANCES 1. Investigate and handle each case carefully 2. Talk to the employee. 3. Enforce the time limit. 4. Visit the work area or place of grievance. 5. Determine witnesses. 6. Examine records. 7. Examine witnesses. 8. Evaluate grievance. 9. Permit full hearing. 10. Identify the relief an employee is expecting. 11. Command the respect of all. 12. All discussions privately. 13. Keep superiors informed. 14. Ensure proper productivity. 15. Stick to labor agreements. Performance Management Performance management is an ongoing process of communication between a supervisor and an employee that occurs throughout the year, in support of accomplishing the strategic objectives of the organization. The communication process includes: • Setting Objectives • Discussing Expectations and Performance Standards
  • 8. Unit 3 HRM - Elaki Page 8 • Identifying Goals • Providing Feedback • Evaluating Results Developing Performance Goals/Objectives Definitions of Performance Expectations Performance expectations should be clear, brief, attainable, and measurable, and can be expressed in terms of: 1. Quality 2. Quantity 3. Timeliness 4. Effective use of Resources 5. Manner of Performance 6. Method of Performing Methods of Verifying Performance Determined at the start of the evaluation period and discussed with the staff member. 1. Direct observation 2. Reports of others' observations 3. Written records such as attendance, financial, assignment logs, and status reports 4. Results in the form of tangible products Performance Appraisal 1. A formal performance review must be conducted each year consisting of discussions between the supervisor and the staff member and a written record of the appraisal. 2. Discussions should occur more frequently if needed, such as when new objectives are developed, or if the staff member requires a more structured approach in order to encourage improved performance. Promotion: promotion may be defined as an upward movement of an employee’s position in the enterprise. An employee who has been promoted moves to a higher level job that gives higher salary, greater authority and accountability as well.
  • 9. Unit 3 HRM - Elaki Page 9 Criteria for promotion Basically two criteria are used for the purpose of employee promotion. They are: 1. Seniority 2.Merit Transfer: Transfer of an employee takes place when he is shifted: 1.From one section to another 2.From one department to another 3.From one branch to another 4.From one town to another 5.From one state to another 6.From one country to another Employee Attrition: A process where by employees leave their jobs for reasons such as retirement, resignation, transfer etc . Employee Retention: Process in which the Employees are encouraged to remain with the organization for the maximum period of time.
  • 10. Unit 3 HRM - Elaki Page 10