The document defines key terms related to people management in areas of leadership and management styles, types of employee remuneration, recruitment and human resources practices, and motivation theories. It provides definitions for terms like authoritarian, democratic and laissez-faire leadership styles, as well as compensation methods including salary, wages, bonuses and commissions. Recruitment and HR terms covered are equal opportunities, job descriptions, redundancy, grievances, and unemployment. Motivation theories of Herzberg, Maslow, McGregor and Taylor are also mentioned.

1. People Key Terms
Leadership & Management
• Authoritarian Leadership: This style of management means that one person makes the decisions.
• Democratic Leadership: This style of management allows employees to take part in decision making.
• Laissez Faire Leadership: Employees are left to make many of the decisions rather than receiving clear
instructions.
• Delegation: Giving others the authority to undertake a task.
• Hierarchy: An organisation in which power and responsibility are built up in layers with the most powerful
at the top.
• Line Manager: A worker’s immediate superior.
• Span of Control: The number of people or departments that a person has under their command.
Remuneration
• Bonuses: Additional amounts of money above normal pay as a reward for good work.
• Commission: Payment relating to the number of sales made, often calculated as a percentage value of sales.
• Fringe Benefits: Non monetary rewards given as incentives to employees. (perks)
• Minimum Wage: The lowest sum an employer can legally pay an employee.
• Performance Related Pay: Pay related to the effectiveness of the employee.
• Salary: A system of pay based on an annual income, paid monthly or weekly, that may not lay down the num-
ber of hours to be worked.
• Wage: Payment for work usually paid weekly.
People Key Terms
Leadership & Management
• Authoritarian Leadership: This style of management means that one person makes the decisions.
• Democratic Leadership: This style of management allows employees to take part in decision making.
• Laissez Faire Leadership: Employees are left to make many of the decisions rather than receiving clear
instructions.
• Delegation: Giving others the authority to undertake a task.
• Hierarchy: An organisation in which power and responsibility are built up in layers with the most powerful
at the top.
• Line Manager: A worker’s immediate superior.
• Span of Control: The number of people or departments that a person has under their command.
Remuneration
• Bonuses: Additional amounts of money above normal pay as a reward for good work.
• Commission: Payment relating to the number of sales made, often calculated as a percentage value of sales.
• Fringe Benefits: Non monetary rewards given as incentives to employees. (perks)
• Minimum Wage: The lowest sum an employer can legally pay an employee.
• Performance Related Pay: Pay related to the effectiveness of the employee.
• Salary: A system of pay based on an annual income, paid monthly or weekly, that may not lay down the num-
ber of hours to be worked.
• Wage: Payment for work usually paid weekly.

2. People Key Terms
Recruitment & Human Resources
• Equal Opportunities: Treating all employees equally regardless of race, gender or disability.
• Job Description: A document which outlines the responsibilities and duties expected of an employee.
• Job Specification: Document which outlines the requirements, qualifications and expertise required from
a person to do a specific job.
• Labour Turnover: The number of employees leaving a firm over a period of time.
• Recruitment: An attempt to increase the number of employees.
• Redundancy: When an employee loses their job because they are no longer needed.
• Selection: A process of choosing the best person for a job.
• Grievance: Possible disputes caused by workers having a grievance with the firm.
• Health and Safety: Regulations to ensure the health and safety of employees.
• Industrial Action: The action taken by employees to slow down or halt the production of goods or services.
• Picketing: Employees support industrial action by protesting outside their work place.
• Strikes: Industrial action where employees refuse to work.
• Trade Union: A group of workers who join together to ensure that their interests are protected.
• Training: The teaching of skills and the application of knowledge for work.
• Unemployment: People who are willing and able to work but cannot find a job.
• Working Practices: The expected way for workers to carry out a job, possibly written down in formal rules
and regulations.
Motivation Theory
• Herzberg’s Theory: Motivation of employees through pay and hygiene factors.
• Maslow’s Theory: The motivation of employees through the hierarchy of needs.
• McGregor’s Theory: The theory of management in which workers are defined as theory X or theory Y.
• Taylor’s Theory: The time and motion study. Employees are treated like machines.
• Job Satisfaction: Enjoyment from completing a job.
People Key Terms
Recruitment & Human Resources
• Equal Opportunities: Treating all employees equally regardless of race, gender or disability.
• Job Description: A document which outlines the responsibilities and duties expected of an employee.
• Job Specification: Document which outlines the requirements, qualifications and expertise required from
a person to do a specific job.
• Labour Turnover: The number of employees leaving a firm over a period of time.
• Recruitment: An attempt to increase the number of employees.
• Redundancy: When an employee loses their job because they are no longer needed.
• Selection: A process of choosing the best person for a job.
• Grievance: Possible disputes caused by workers having a grievance with the firm.
• Health and Safety: Regulations to ensure the health and safety of employees.
• Industrial Action: The action taken by employees to slow down or halt the production of goods or services.
• Picketing: Employees support industrial action by protesting outside their work place.
• Strikes: Industrial action where employees refuse to work.
• Trade Union: A group of workers who join together to ensure that their interests are protected.
• Training: The teaching of skills and the application of knowledge for work.
• Unemployment: People who are willing and able to work but cannot find a job.
• Working Practices: The expected way for workers to carry out a job, possibly written down in formal rules
and regulations.
Motivation Theory
• Herzberg’s Theory: Motivation of employees through pay and hygiene factors.
• Maslow’s Theory: The motivation of employees through the hierarchy of needs.
• McGregor’s Theory: The theory of management in which workers are defined as theory X or theory Y.
• Taylor’s Theory: The time and motion study. Employees are treated like machines.
• Job Satisfaction: Enjoyment from completing a job.