2. DEMOTION
• Demotion refers to the lowering down of the
status, salary and responsibility of an
employee.
• Demotion is just opposite to promotion.
• “Demotion is a shift to a position in which
responsibilities are decreased. Promotion is,
in a sense, an increase in rank and demotion is
decrease in rank”
KAMAKSH 2
3. Factors of Demotion:
Adverse conditions
Due to recession & other crises, an enterprise
may have to combine departments & eliminate
jobs
Incompetence
Some of the employees promoted on the basis of
seniority & past performance may fail to met the
requirements of higher level jobs. Thus,
Demotions help to correct errors in promotion
KAMAKSH 3
4. Technological changes
On account of changes in technology & work methods,
some employees may be unable to handle their jobs or
adjust to new technology. These employees may have
to be demoted
Disciplinary measures
It may be used as a tool of disciplinary action against
erring employees . It should not be used as a penalty
for poor attendance record, violation of rules of
conduct b/c such action produces defensive behavior
without any improvement in behavior or performance.
KAMAKSH 4
5. Demotion policy
• The circumstances under which employees can be
demoted (reduction in operations, serious indiscipline
etc.) should be clearly specified and made known to
employees.
• Any violation of established rules & regulations should
be competently investigated.
• Once violations are proved there should be consistent
& equitable application of the policy.
• The policy should be fair & impartial.
• The lines of demotion should be specified.
KAMAKSH 5
6. • In case of demotions caused by adverse economic
conditions & technological changes, the basis for
demotion (seniority or merit) should be specified
• Nature of demotion (Permanent or Temporary)
should be formulated.
• A promotion should be made for appeal & review
of every demotion.
• It should be an open rather than a closed policy.
KAMAKSH 6
7. • Inadequacy on the part of the employees in term of
job performance attitude and capability.
• If there is mistake in staffing i.e. a person is
promoted wrongly.
• When, because of a change in technology, method
and practices, old hands are unable to adjust or
when employees because of ill health or personal
reasons, cannot do their job properly.
KAMAKSH 7
8. Training
Training is basically a systematic
procedure for transferring technical
know-how to the employees so as to
increase their knowledge and skills for
doing particular jobs.
KAMAKSH 8
10. Develpoment
It refers broadly to the nature and
direction of change induced in
employees, through the process of
training and educative process.
KAMAKSH 10
11. TRANING & DEVELPOMENT :A COMPARISON
Training
short term
for a definite purpose.
Development
long term educational
for general purpose
KAMAKSH 11
12. ROLE OF TRAINING &DEVELPOMENT
Increase in Efficiency.
Increase in Morale of Employees.
Better Human Relations.
Reduced Supervision.
Increased Organisational Viability and Flexibility
KAMAKSH 12
13. Importance of training
• Trained workers can work more efficiently.
• There will be fewer accidents. as training improves the
knowledge of employees regarding the use of machines
and equipments.
• Wastage is eliminated to a large extent as they use tools,
machines in a proper way.
KAMAKSH 13
14. • Training can contribute to higher production, fewer
mistakes, greater job satisfaction and lower labor
turnover.
• It makes the relationship between management and
employee cordial.
• It helps in introducing and adopting latest technology in
order to absorb change.
KAMAKSH 14
15. Training vs Development
TRANINNG
• Content- technical skills and knowledge, application
oriented
• Purpose- specific job related, narrow perspective
• Duration-short term
• For Whom- mostly technical & non-managerial personnel
• By whom- trainer
KAMAKSH 15
16. DEVELOPMENT
• Managerial & behavioral skills & knowledge &
attitudes
• Conceptual & GK. Learning opportunities
designed to help employees grow, broad
perspective.
• Long term
• Mostly for managerial personnel
• Self motivated
KAMAKSH 16
17. EMPLOYEE SEPARATION
• An employee separation occurs when an
employee ceases to be a member of an
organization. The rate of employee
separations in an organization (the
turnover rate) is a measure of the rate at
which employees leave the firm.
• The termination of an employee’s
membership in an organization.
KAMAKSH 17
18. The costs of employee separations
• There are always costs associated with employee
separations. The cost may be more or less, depending on
whether managers intend to eliminate the position or to
replace the departing employee. Costs included in
separations include: recruitment costs, selection costs,
training costs, and separation costs.
• 1. Recruitment costs.
• 2. Selection costs.
• 3. Training costs.
• 4. Separation costs
KAMAKSH 18
19. The Benefits of Employee Separations
• While many people understand the costs of employee
separations, there are benefits as well. Some of the
benefits of separations include: reduced labor costs,
replacement of poor performers, increased innovation, and
the opportunity for greater diversity.
• 1. Reduced labor costs.
• 2. Replacement of poor performers.
• 3. Increased innovation.
• 4. Opportunity for greater diversity.
KAMAKSH 19
20. Types of Employee Separations
• Employee separations can be divided into two categories
based on who initiates the termination of the
employment relationship. Voluntary separations (quits
and retirements) are initiated by the employee.
Involuntary separations (discharges and layoffs) are
initiated by the employer.
• A. Voluntary Separations : – A separation that occurs
when an employee decides, for personal or professional
reasons, to end the relationship with the employer.
– Quits
– Retirements
KAMAKSH 20
21. • B. Involuntary Separations: Involuntary separations occur
when management decides to terminate its relationship
with an employee due to economic necessity or a poor fit
between the employee and the organization.
• 1. Discharges.
• 2. Layoffs.
• 3. Downsizing and rightsizing.
KAMAKSH 21
