This document discusses the purpose and legal context of human resource management. It aims to attract, develop, and maintain a talented workforce while aligning human capital with organizational strategies. Government legislation protects against discrimination in employment based on attributes unrelated to job performance. The document also outlines essential HR practices including recruitment, selection, training, performance management, and retention to match individuals' skills and values with job and organizational requirements. Current issues addressed include work-life balance, flexible workforce trends, compensation planning, benefits, and labor relations.

1. HUMAN RESOURCE MANAGEMENT
Chapter 10

2. WHAT ARE THE PURPOSE AND LEGAL
CONTEXT OF HUMAN RESOURCE
MANAGEMENT?
 Human resource management attracts, develops
and maintains a talented workforce

3.  Strategic human resource management aligns human
capital with organizational strategies
 Human capital – the economic value of people with job-
relevant abilities, knowledge, ideas, energies and
commitments.
 Government legislation protects against employment
discrimination
 Job discrimination – someone is denied a job or job
assignment for non-job relevant reasons

4.  Equal Employment Opportunity (EEO) – the right to
employment advancement without regard to race, sex,
religion, color or national origin.
 Affirmative action – an effort to give preference in
employment to women and minority group members
 Bona fide occupational qualifications – employment
criteria justified by capacity to perform a job

6.  Laws can’t guarantee that employee discrimination won’t
happen
 Employee privacy – right to privacy on and off the job
 Pay discrimination – occurs when women and men are
paid differently for doing equal work
 Pregnancy discrimination – penalizes a woman on the
job or as a job applicant for being pregnant
 Age discrimination – penalizes an employee in a job or
as a job applicant for being over the age of 40

7. WHAT ARE THE ESSENTIAL HUMAN RESOURCE
MANAGEMENT PRACTICES?
 Person-job fit – match of individual skills, interests
an personal characteristics with the job
 Person-organization fit – is the match of individual
values, interests and behavior with the
organizational culture

8.  Recruitment attracts qualified job applicants
 Recruitment – a set of activities designed to attracts
a qualified pool of applicants
 Realistic job previews – provide job candidates with
all pertinent information about a job and
organization

9.  Selection makes decisions to hire qualified job applicants
 Selection – choosing whom to hire from a pool of
qualified job applicants
 Reliability – a selection device gives consistent results
over repeated measures
 Validity – the scores on a selection device have
demonstrated links on job performance
 Assessment center – examines how job candidates
handle simulated work situations
 Work sampling – evaluates applicants as they perform
actual work talents

11.  Socialization and organization integrate new
employees into the organization
 Socialization – systematically influences the
expectations, behavior and attitudes of new
employees
 Orientation – familiarizes new employees with jobs,
co-workers and organizational policies and services

12.  Training continually develops employee skills and
capabilities
 Coaching – occurs as an experienced person offers
performance advice to a less experienced person
 Mentoring – assigns early-career employees as protégés
to more senior ones
 Reverse Mentoring – younger and newly-hired
employees mentor senior executives often on latest
developments with digital technologies

13.  Performance management appraises and rewards
accomplishments
 Performance appraisal – process of formally evaluating
performance and providing feedback to a job holder
 Graphic rating scale – uses a checklist of traits or
characteristics to evaluate performance
 Behavior-anchored rating scale (BARS) – uses specific
descriptions of actual behaviors to rate various levels of
performance

15.  Critical-incident technique – keeps a log of someone’s
effective and ineffective job behaviors
 360⁰ feedback – includes superiors, subordinates, peers
and even customers in the appraisal process
 Multiperson comparison – compares one person’s
performance with that of others

16.  Retention and career development provide career
paths
 Career development – process of managing how a
person grows and progresses in a career
 Career planning – process of matching career goals
and individual capabilities with opportunities for
their fulfillment

17. WHAT ARE THE CURRENT ISSUES IN HUMAN
RESOURCE MANAGEMENT?
 Today’s lifestyle increases demands for flexibly and
work-life balance
 Work-life balance - involves balancing career
demands with personal and family needs
 Organizations are using more independent
contractors and party-time workers
 Independent contractors – hired on temporary
contracts and are not part of the organization’s
permanent workforce

18.  Contingency workers – work as needed and part-time,
often on a longer-time basis
 Compensation plans influence employee recruitment and
retention
 Merit pay – awards pay increases in proportion to
performance contributions
 Bonus pay – plans provide one-time payments based on
performance accomplishments

19.  Profit-sharing – distributes to employees a proportion of
net profits earned by the organization
 Gain sharing – allows employees to share in cost savings
or productivity gains realized by their efforts
 Stock options – give the right to purchase shares at a
fixed price in the future

20.  Fringe Benefits are an important part of employee
compensation packages
 Fringe benefits – non-monetary forms of compensation such
as health insurance and retirement plans
 Family-friendly benefits – help employees achieve better work-
life balance
 Flexible benefits – programs allow choice to personalize
benefits within a set dollar allowance
 Employee assistance programs – helps employees cope with
personal stresses and problems

21.  Labor relations and collective bargaining are closely governed
by law
 Labor union – an organization that deals with employers on
the workers’ collective behalf
 Labor contract – formal agreement between a union and an
employer about the terms of work for union members
 Collective bargaining – the process of negotiating,
administering and interpreting a labor contract
 Two-tie wager systems – pay new hires less than the workers
already doing the same jobs with more seniority