Week 11 Hiring Keynote


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  • Week 11 Hiring Keynote

    1. 1. Hiring Employees Laws, Job Descriptions, Interviewing, Compensation & Benefit Plans
    2. 2. Hiring Laws
    3. 3. Job Discrimination Laws Title VII of the Civil Rights Act of 1964 (Title VII), which prohibits employment discrimination based on race, color, religion, sex, or national origin. The Equal Pay Act of 1963 (EPA), which protects men and women who perform substantially equal work in the same establishment from sex-based wage discrimination. The Age Discrimination in Employment Act of 1967 (ADEA), which protects individuals who are 40 years of age or older. Title I and Title V of the Americans with Disabilities Act of 1990 (ADA), which prohibit employment discrimination against qualified individuals with disabilities in the private sector, and in state and local governments. Sections 501 and 505 of the Rehabilitation Act of 1973, which prohibit discrimination against qualified individuals with disabilities who work in the federal government. The Civil Rights Act of 1991, which, among other things, provides monetary damages in cases of intentional employment discrimination. (THE U.S. EQUAL EMPLOYMENT OPPORTUNITY COMMISSION, 2004)
    4. 4. Employment Laws Uniform Guidelines on Employee Selection Procedures “The guidelines are designed to aid in the achievement of our nation's goal of equal employment opportunity without discrimination on the grounds of race, color, sex, religion or national origin. The Federal agencies have adopted the Guidelines to provide a uniform set of principles governing use of employee selection procedures which is consistent with applicable legal standards and validation standards generally accepted by the psychological profession and which the Government will apply in the discharge of its responsibilities.” (Uniform Guidelines c/o Biddle Consulting Group) (UNIFORM GUIDELINES C/O BIDDLE CONSULTING GROUP, N.D.)
    5. 5. Hiring Job Task Analysis and Job Descriptions
    6. 6. Job Task Analysis (JTA) Job Task Analysis (JTA) is the process of analyzing a job to come up with a description of common duties on the job, as well as descriptions of knowledge, skills and abilities required to perform those tasks. For newly created positions, individuals who will be affected by the work of the new employee should be consulted. (HR-GUIDE.COM, 2001)
    7. 7. Job Analysis - Data Collection Duties and Tasks The basic unit of a job is the performance of specific tasks and duties. Information to be Tools and Equipment collected about these items may include: frequency, duration, effort, skill, complexity, equipment, standards, etc. Some duties and tasks are performed using specific equipment and tools. Equipment may include protective clothing. Environment Requirements This may have a significant impact on the physical requirements to be able to perform a job. The work environment may include The knowledges, skills, and abilities (KSA's) unpleasant conditions such as offensive odors required to perform the job. While an incumbent may have higher KSA's than those and temperature extremes. required for the job, a Job Analysis typically only states the minimum requirements to Relationships perform the job. Supervision given and received. Relationships with internal or external people. (HR-GUIDE.COM, 2001)
    8. 8. Job Analysis The results of a job analysis may include: Major job functions or duties Work experience requirements Common personal interactions Decision making authority Work tasks Education requirements Skills or competencies Typical-day descriptions Critical situations faced by incumbents Training requirements Work related knowledge Certification requirements Performance standards and rating scales Determining hiring criteria Physical abilities Defining new positions Identifying training content needs Communicating job responsibilities Restructuring jobs and businesses Determining appropriate measures for Work environment factors performance appraisals (HR-GUIDE.COM, 2001)
    9. 9. Job Descriptions A job is a collection of tasks and responsibilities to be performed by an individual in an organization. A task is a unit of work that is performed to produce a desired result. Job Descriptions contain a general list of tasks or functions and responsibilities for a particular employee. Job descriptions often include a list of superiors, qualifications of the person holding the position, skills desired, salary range, etc. (HR-GUIDE.COM, 2001)
    11. 11. Hiring Interviewing
    12. 12. Interviewing Potential Candidates An interview is a selection procedure that is designed to predict future job performance on the basis of applicants’ oral responses to oral inquiries. Advantages Disadvantages • Useful for determining if the applicant has requisite communicative or social skills which may be necessary for • Subjective evaluations are made. the job. • Decisions tend to be made within the first few minutes of • Interviewer can obtain supplementary information. the interview with the remainder of the interview used to validate or justify the original decision • Used to appraise candidates’ verbal fluency. • Interviewers form stereotypes concerning the characteristics required for success on the job. • Can assess the applicant’s job knowledge. • Negative information seems to be given more weight. • Can be used for selection among equally qualified applicants. • Not much evidence of validity of the selection procedure. • Enables the supervisors and/or co-workers to determine if there is a compatibility between applicant and employees. • Not as reliable as tests. • Allows the applicant to ask questions that may reveal additional information useful for making a selection decision. (HR-GUIDE.COM, 2001)
    13. 13. Interview Types Unstructured Interview - Involves a procedure where different questions may be asked of different applicants. Situational Interview - Candidates are interviewed about what actions they would take in various job-related situations. The job-related situations are usually identified using the critical incidents job analysis technique. The interviews are then scored using a scoring guide constructed by job experts. Behavior Description Interviews - Candidates are asked what actions they have taken in prior job situations that are similar to situations they may encounter on the job. The interviews are then scored using a scoring guide constructed by job experts. (HR-GUIDE.COM, 2001)
    14. 14. Interview Types Comprehensive Structured Interviews - Candidates are asked questions pertaining to how they would handle job- related situations, job knowledge, worker requirements, and how the candidate would perform various job simulations. Interviews tapping job knowledge offer a way to assess a candidate's current level of knowledge related to relevant implicit dimensions of job performance. Structured Behavioral Interview - This technique involves asking all interviewees standardized questions about how they handled past situations that were similar to situations they may encounter on the job. The interviewer may also ask discretionary probing questions for details of the situations, the interviewee's behavior in the situation and the outcome. The interviewee's responses are then scored with behaviorally anchored rating scales. (HR-GUIDE.COM, 2001)
    15. 15. Interview Tips for the Employer Minimize stereotypes Keep it Job Related To minimize the influence of Try to make the interview questions stereotypes in the interview process, job related. If the questions are not provide interviewers with a job related to the job, then the validity of description and specification of the the interview procedure may be lower. requirements for the position. Interviewers with little information about the job may be more likely to make stereotypical judgments about the suitability of candidates than are interviewers with detailed information about the job. (HR-GUIDE.COM, 2001)
    16. 16. Interview Tips for the Employer Train Interviewers Interviewers should be trained to: Improve the interpersonal skills of • avoid asking questions unrelated to the job the interviewer and the interviewer's ability to make decisions without • avoid making quick decisions about an influence from non-job related applicant information. • avoid stereotyping applicants • avoid giving too much weight to a few characteristics. • try to put the applicant at ease during the interview • communicate clearly with the applicant • maintain consistency in the questions asked (HR-GUIDE.COM, 2001)
    17. 17. Hiring Compensation
    18. 18. Compensation When hiring a new employee, giving time to compensation is very important. This compensation will guide the salary structure of this employee for their tenure with the company. It will also guide the salary structures of other employees with similar skill sets in related positions. (NFIB, 2002)
    19. 19. Determining Compensation 1. Search salary surveys by various trade organizations and the U.S. Department of Labor for similar positions and locations. 2. Network with owners and managers in your industry to compare salaries offered by similar companies. 3. Find out salary history of potential employee. This will create a guideline. If unsure of what to offer, begin with a 5-10% increase over previous salary. 4. It is best to offer a salary based on skill and knowledge of the employee rather than salary history. 5. Make sure to keep an eye on what all other employees are making. This will help to assure employees that no one is being undervalued financially. 6. Definitely consider offering incentive payments such as year-end bonuses or profit sharing. If you are unable to offer a high salary up front, these added incentives may often entice the employee to join your company. Make sure to offer these incentive plans to each employee and create eligibility requirements. (NFIB, 2002)
    20. 20. Hiring Benefits
    21. 21. Benefits Benefits are items such as health insurance, dental insurance, disability insurance, retirement plans, etc. They are often offered in addition to a base salary package. Benefits are often a necessity when trying to hire the best employees for your company. Their skill sets and knowledge most likely make them a highly, sought- after individual. For small businesses, offering benefits can be an issue. Adding benefits to a compensation package will increase payroll costs for the employer. It is recommended that small business owners and managers seek out a local broker for these insurance and benefit options. As with any “purchase” be weary of inherent conflicts of interest by the benefits brokers. (FARRELL, 2006)
    22. 22. Types of Benefits • Health Care • Specialty Items • Health Insurance • Life Insurance • Dental Insurance • Vision Plans • Retirement Plans • Disability Insurance • Pension Plans • Etc. • Contribution Plans - 401(k) ON AVERAGE, A DECENT BENEFITS PACKAGE WITH HEALTH CARE PLAN, A RETIREMENT PLAN AND A FEW EXTRA PERKS WILL COST ABOUT 30-45% OF TOTAL PAYROLL EXPENSES. (FARRELL, 2006)
    23. 23. Benefits - Health Care To remain competitive and attractive to perspective employees, small business owners should at least consider health insurance. According to Bureau of Labor Statistics’ 2006 National Compensation Survey, 60% of firms with less than 100 workers offered health benefits. Small business owners should keep in mind that health insurance programs can represent 10-15% of total payroll costs. (FARRELL, 2006)
    24. 24. Benefits - Retirement Plans Often, seasoned employees will be looking for a retirement plan to accompany their compensation plan. Companies can offer a pension plan or a contribution plan, such as a 401(k) plan. A pension plan is when a company agrees to pay a certain dollar amount to an employee every year during retirement. With higher job turnover and less employees staying with the same company until retirement, this option is less utilized than a contribution plan. A contribution plan, like a 401(k) allows the employee to invest their money in a variety of investments, like mutual funds. The employee can put this money into their 401(k) for retirement every payroll period. The employer can, but is not required to, match a certain percentage of the investment by the employee. The employer should be sure to set eligibility requirements. Typically, an employer will match part of the contribution after one year of service at the company. (FARRELL, 2006)
    25. 25. Benefits - Specialty Items Specialty options are added bonuses to compensation plans. These include disability insurance, life insurance, dental insurance and vision plans. Disability insurance would provide a percentage of an employee’s salary if they were to get injured and could not return to work for a determined amount of time. Life Insurance would provide a determined amount of money to an employee’s beneficiary in the case of death. Small companies that are offering health insurance normally offer vision and dental insurance although these are not part of health insurance plans. (FARRELL, 2006)
    26. 26. Hiring Resources
    27. 27. Resources Appendix B: sample job descriptions. (2004, January). Technology Coordinator's Handbook, Retrieved October 7, 2008, from Education Research Complete database. Farrell, M. (2006, October 6). The Best Benefits Package For Small Biz . Retrieved October 2, 2008, from Forbes.com: http://www.forbes.com/entrepreneurs/2006/10/06/aetna-unitedhealth-retirement- ent-hr-cx_mf_1006benefits.html Hr-Guide.com. (2001, 12 31). Hr-Guide.com. Retrieved October 1, 2008, from HR-Guide.com: http:// www.hr-guide.com Jerabek, A. (2003). Job Descriptions - Don't Hire Without Them. Journal of Interlibrary Loan, Document Delivery & Information Supply , 13 (3), 113-126. NFIB. (2002, April 9). Five Tips on Determining New-Employee Compensation. Retrieved October 2, 2008, from Tools, Tips and Practical Management Advice: http://www.nfib.com/object/ 1584049.html The U.S. Equal Employment Opportunity Commission. (2004, April 20). Overviews-Laws. Retrieved October 2, 2008, from The U.S. Equal Employment Opportunity Commission: http://www.eeoc.gov/ abouteeo/overview_laws.html
    28. 28. Next: Hiring: Employee Agreements