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Work Work and and workers workers Employment Employment and and labour labour markets markets Lesson

WorkWork andand workersworkers EmploymentEmployment andand labourlabour marketsmarkets

LessonLesson Plan:Plan:

StudentsStudents shouldshould bebe ableable toto tracetrace thethe developmentdevelopment ofof modernmodern HRHR managementmanagement fromfrom thethe earliestearliest daysdays ofof thethe IndustrialIndustrial Revolution;Revolution;

identifyidentify thethe

historicalhistorical andand organisationalorganisational

antecedentsantecedents ofof personnelpersonnel managementmanagement andand humanhuman resourcesresources management;management;

DescribeDescribe thethe developmentdevelopment ofof personnelpersonnel managementmanagement andand HRHR managementmanagement inin NewNew Zealand.Zealand.

WORK AND LIFE The nature of work is changing, we are entering a new revolution.
WORK AND LIFE
The nature of work is changing, we are
entering a new revolution.
It’s too easy to say that we all look at
work differently. But each of us inevitably
brings our own perceptions, expectation,
values, and motivations to the subject of
work.
WORKWORK ANDAND LIFELIFE Our different approaches to work are influenced by many things, including the
WORKWORK ANDAND LIFELIFE
Our different approaches to work are
influenced by many things, including
the nature of the job, the quality of
management, the rewards we gain
from work, the organisation’s culture,
its mission and ownership.
WORKWORK ANDAND LIFELIFE The work that people do reveals much about them and their society.
WORKWORK ANDAND LIFELIFE
The work that people do reveals much
about them and their society. Work is a
central activity in the lives of most people. It
is a major mechanism for positioning
people in society and for allocating social
status and power. Jobs largely determine
how and where we live, who our friends are,
the kinds of education out children receive,
and how we define our relationships to one
another.
DEFINITIONDEFINITION OFOF WORKWORK Work is any activity which is directed towards the production of goods
DEFINITIONDEFINITION OFOF WORKWORK
Work is any activity which is
directed towards the production
of goods and services which
typically have a value in
exchange, and which is carried
out for a valuable consideration.
People who have traditionally seen’work’ in terms of their own paid employment are treating unpaid
People who have traditionally seen’work’ in
terms of their own paid employment are
treating unpaid work as a source of personal
satisfaction and development.
ASSUMPTIONS ABOUT WORK
AND WORKERS
Rational-economic.
Social.
Self-actualisation.
Complex.
Psychological.
There is a belief that our orientations to work are largely formed outside the workplace,
There is a belief that our orientations to work are
largely formed outside the workplace, influenced
by family, community and social class.
Another belief is that people’s desires and
expectations are formed by many influences –
including past experiences of work and life,
current work and home situations, personality,
skills and abilities.
Employee attitudes are one outcome of work orientations. When economic conditions are good, people tend
Employee attitudes are one outcome of work
orientations. When economic conditions are good,
people tend to choose their workplace according
to their orientations – leading to largely self-
selected workplaces with shared expectations.
And they feel controlled when adverse labour
market conditions reduce their choices. Schein
categorizes the arrangement of people’s
orientation to work in three main groups:
Instrumental or economic orientation – concerned with money, material goods and security; Relational or social
Instrumental or economic orientation
– concerned with money, material goods
and security;
Relational or social orientation –
concerned with relationships, friendship
and other people.
Personal or psychological orientation
– concerned with job interest, job
satisfaction and personal growth.
WORK BELIEFS - Work ethic - Organisational belief system - Marxist-related beliefs - Humanistic belief
WORK BELIEFS
- Work ethic
- Organisational belief system
- Marxist-related beliefs
- Humanistic belief system
- Leisure ethic.
ATTITUDES TO WORK Ancient times Greeks’ attitudes Hebrew belief system Protestants thought that serving to
ATTITUDES TO WORK
Ancient times
Greeks’ attitudes
Hebrew belief system
Protestants thought that serving to
God should be done through work.
Modern era
TRENDS IN WORK AND EMPLOYMENT Contemporary trends in work and employment are driven by various
TRENDS IN WORK AND
EMPLOYMENT
Contemporary trends in work and
employment are driven by various
influences, including globalisation,
competitive pressures, ‘new right’,
economic and political ideologies,
information and communication
technologies, the biological and genetic
revolutions, demographic changes, and
the increased participation of women in
the workplace.
RISING UNEMPLOYMENT Unemployment and under-employment have been growing steadily, at least in developed countries,
RISING UNEMPLOYMENT
Unemployment and under-employment
have been growing steadily, at least in developed
countries, since the end of the Second World War.
There are both macro and micro-economic causes.
- Demography;
- Employment quality (many jobs are casual
or contingent);
Aging people have difficulties to find new
jobs or retaining current ones.
-
GROWTH IN NON-STANDARD EMPLOYMENT There is a steady increase in non-standard employment – which includes
GROWTH IN NON-STANDARD EMPLOYMENT
There is a steady increase in non-standard
employment – which includes part-time work,
short-term or casual employment, contracting,
self-employment and temporary or agency
work. Non-standard employment offers
flexibility to both employers and employees
and reduction of labour costs for employers.
CHANGES IN SKILLS AND SECTORS Industry and organisational changes have produced a matrix of shifts
CHANGES IN SKILLS AND SECTORS
Industry and organisational changes
have produced a matrix of shifts – from the
productive sector to service-based industries,
from ‘blue-collar’ to ‘white-collar’ occupations,
and from unskilled and semi-skilled roles to
technical, professional and managerial
positions. These shifts bring an obviious need
for different and higher skills.
STATIC EARNINGS AND A GROWING GAP There is a growing gap in earning income between
STATIC EARNINGS AND A GROWING GAP
There is a growing gap in earning
income between people are able to move with
the times and those who are unable to
respond, as well as most people in non-
standard forms of employment.
THREE SCENARIOS THE PESSIMISTIC LOOK THE OPTIMISTIC VIEW BUSINESS AS USUAL?
THREE SCENARIOS
THE PESSIMISTIC LOOK
THE OPTIMISTIC VIEW
BUSINESS AS USUAL?
THE CHANGING WORKFORCE Demographic trends. Workforce trends. Economic trends. Work/ life trends.
THE CHANGING WORKFORCE
Demographic trends.
Workforce trends.
Economic trends.
Work/ life trends.
DEMOGRAPHIC TRENDS IN NEW ZEALAND The population growth rate is slowing The population is ageing
DEMOGRAPHIC TRENDS IN NEW ZEALAND
The population growth rate is slowing
The population is ageing (therefore the
workforce is ageing)
The workforce is more female
The workforce is more ethnically diverse
A more educated workforce
THE NEW WORKER Economic and social changes, and the demographic trends that accompany them, will
THE NEW WORKER
Economic and social changes, and the
demographic trends that accompany them, will
determine the future composition and nature of
the workplace.
- Workers of the future should have good
education;
- People’s life styles and life circumstances are
changing. People want to work to live not live to
work. People will work less;
- Females work more but they might have children,
so their work will be constructed around them
and their responsibilities.
KNOWLEDGE WORKERS Knowledge workers rely on knowledge rather than skills to perform their jobs. Scientists,
KNOWLEDGE WORKERS
Knowledge workers rely on knowledge
rather than skills to perform their jobs.
Scientists, engineers, public relations
executives, bankers, lawyers, real estate
developers, consultants, strategic planners,
systems analysts, architects, cinematographers,
publishers, writers, musicians and university
professors.
KNOWLEDGEKNOWLEDGE WORKERSWORKERS (Characteristics)(Characteristics) - They rarely come into direct contact with the
KNOWLEDGEKNOWLEDGE WORKERSWORKERS (Characteristics)(Characteristics)
-
They rarely come into direct contact with the ultimate
beneficiaries of their work.
-
They often have partners or associates rather than
bosses or supervisors.
-
Their income may vary from time to time, and are not
directly related to how much time they put in or work they
put out, but rather to the quality and originality with which
they identify, solve or broker new problems.
- Their careers are not linear or hierarchical.
- They often work alone or in small teams.
- They spend long hours at computers, in meetings and on
the telephone, and in places and hotels – advising, making
presentations, giving briefings, doing deals.
-
They usually have post-graduate degrees.
MANAGING THE KNOWLEDGE WORKER These people are: - Less responsive to formal authority, more responsive
MANAGING THE KNOWLEDGE WORKER
These people are:
- Less responsive to formal authority, more
responsive to the authority of knowledge and
skill;
- More concerned about self and total life style
than about specific career issues;
- Likely to be involved id dual career situation
and, therefore, less mobile geographically.
- More motivated by project and job challenge
than by organisation, Less loyal to organisaion.
- More motivated by continuous growth and
learning.
There is DEMAND and SUPPLY for and of workforce on the market and the condition
There is DEMAND and SUPPLY for and of workforce on
the market and the condition of the labour market defines the
requirements for specific occupations.
THREE TYPES OF LABOUR MARKET
Geographical labour market (where the work is situated and
how far is it to get to it?)
Job market (the area in which people move as they follow their
employment career).
Wage market (the area in which a particular wage or level of
remuneration is paid for a particular kind of work).
WORKERS COMPETITION It makes people search for job differently, be a better employee (commitment), constantly
WORKERS COMPETITION
It makes people search for job differently, be a
better employee (commitment), constantly
educate yourself in order to stay competitive, etc.
What would you do to stay competitive?
STRUCTURE IN LABOUR MARKETS Consistency in recruitment, selection, remuneration and other employment activities state
STRUCTURE IN LABOUR MARKETS
Consistency in recruitment, selection,
remuneration and other employment activities
state that these practices
Are established by law, by negotiation and
contract, by custom, and by organisational
policies or management decision
Establish the rights and privileges of employees
Introduce certainty and consistency to the
management of people in the organisation, and
Have the effect of limiting managerial discretion.
LABOUR MARKET AND ORGANISATIONAL SIZE Large organisations are more likely to pay close attention to
LABOUR MARKET AND
ORGANISATIONAL SIZE
Large organisations are more likely to pay close
attention to the detailed requirements of legislation, and
more likely to attract the interest of union officials and
government inspectors if they do not.
The general state of employer-employee relations is
often affected by organisational size. Smaller
organisations boast ‘a family atmosphere’ and ‘a
personal approach’, while larger organisations usually
have more formalised procedures. The bigger the
company the less chance that the top management
knows every employee in person. This role is given to
managers now. So…
Size is significant for the nature of personal relationships in the organisation and for the
Size is significant for the
nature of personal
relationships in the
organisation and for the
formality of the employer-
employee relationship.
Constraints on managerial freedom The traditional bureaucratic model has ‘administration’ rather than
Constraints on managerial
freedom
The traditional bureaucratic model has
‘administration’ rather than ‘management’ as its
central feature and it prescribes detailed rules
for the behaviour and employment of public
servants. It relies heavily of rules. Moreover, the
shift towards performance seems more as a
mechanism for control than an encouragement
for flexibility and entrepreneurism.
-Government have frequently seen public-sector employment, which they can control directly, as a testing ground
-Government have frequently seen public-sector
employment, which they can control directly, as
a testing ground for new labour market policies.
E.g. equal pay was introduced by legislation to
NZ’s government sector more than a decade
before the Equal Pay Act 1972 was enacted to
cover other employers.
IMPACT OF MANAGEMENT - There is still a tendency to look overseas for models and
IMPACT OF MANAGEMENT
-
There is still a tendency to look overseas for
models and to transplant them directly into the
new environment.
The importance of systematic approaches to all
aspects of HR management has been
increasingly recognised in the past three or four
decades, leading to greater professionalism
through networking contacts and organisations
like the Human Resources Institute of New
Zealand.
Added structure in labour markets Labour markets operate no more perfectly than other markets, and
Added structure in labour markets
Labour markets operate no more perfectly
than other markets, and their behaviour cannot be
explained simply in terms of supplky and demand.
Labour market participants – employers, workers,
governments – do not always behave rationally, ,
i.e. in accordance with theoretical models. E.g. an
individual may stay in a job for reasons of
sentiment, familiarity, convenience or inertia –
even though a higher paying job is available with
a competitor employer. This means that we must
identify the causes of ‘added structure’ in labour
markets.
LABOUR MARKET FLEXIBILITY Attempts to manipulate labour markets to aid economic growth are a constant
LABOUR MARKET FLEXIBILITY
Attempts to manipulate labour markets to aid economic
growth are a constant theme in liberal market economics.
The importance of flexible labour markets.
For human resources to be used most efficiently, it is
important that labour markets be as flexible as possible.
Where there is a high degree of freedom to contract between
employer and employee, skill acquisition will be encouraged,
virtually all workers genuinely seeking jobs will soon find
them, abour will tend to flow to those areas of the economy
where it is most needed, and there will be strong incentives
for employers and employees to strike deals that maximise
productivity.
LabourLabour flexibilityflexibility Functional and skills flexibility – employees’ job assignments are changed
LabourLabour flexibilityflexibility
Functional and skills flexibility – employees’ job
assignments are changed according to needs and
circumstances. Employees must be willing to
adopt new work practices and to move freely
between different work tasks.
Numerical flexibility – employers adjust employee
numbers to meet changing demands and
economic conditions.
Flexible work patterns – employees numbers are
not changed, but their working hours are adjusted
to meet the organisation’s production or service
needs.
Wage flexibility – the employer’s ability to adjust wages, and thus labour costs, is subject
Wage flexibility – the employer’s ability to adjust
wages, and thus labour costs, is subject to both
legislative and negotiated constraints in New
Zealand, and in most other countries.
Externalisation – part of an organisation’s work is
carried out by enterprises or individuals outside the
organisation. The work maybe outsourced or
performed on-site by contractors.
Geographical mobility – the ability of workers to move
freely between different regions, and even different
countries, may be less relevant to labour flexibility in
an isolated country like New Zealand that it is in EU.
Types of unemployment Cyclical unemployment – which increases when there is economic recession and falls
Types of unemployment
Cyclical unemployment – which increases when there is economic
recession and falls in times of prosperity, but has recently shown
signs of becoming ‘uncoupled’ from the cycles of economic
activity.
Seasonal unemployment – which occurs, for example, when fruit
pickers are laid off at the end of the harvest, or building and
construction activity is lower during winter.
Frictional unemployment – which counts people who are ‘between
jobs’ and thus reflects the fact that people are constantly
changing jobs, employers and locations.
Structural unemployment – which is influenced by general
economic activity, but results more directly from a reduced
demand for particular labour and skills as a result of new
technological and processes, and changes in customer’s needs
and preferences.
LabourLabour forceforce participationparticipation The size of the labour force is determined by the number of
LabourLabour forceforce participationparticipation
The size of the labour force is
determined by the number of
people of working age, who are
available for work and wanting
employment.
ImplicationsImplications forfor HRHR managementmanagement (in(in timestimes ofof improvingimproving
ImplicationsImplications forfor HRHR managementmanagement
(in(in timestimes ofof improvingimproving
communication)communication)
- Improved employee
communications
- New training needs
- Legal questions
- Ethical dilemmas
- Fear of change.
InfluencesInfluences onon jobjob designdesign Scientific management Human relations school Sociotechnical systems
InfluencesInfluences onon jobjob designdesign
Scientific management
Human relations school
Sociotechnical systems
Work reform
JobJob designdesign methodsmethods Job rotation Job enlargement Job enrichment Socio-technical systems Team work
JobJob designdesign methodsmethods
Job rotation
Job enlargement
Job enrichment
Socio-technical systems
Team work
Work reform
JobJob designdesign andand motivationmotivation Cooper Turner & Lawrence Variety Discretion Goals
JobJob designdesign andand motivationmotivation
Cooper
Turner & Lawrence
Variety
Discretion
Goals
Contribution
Variety
Autonomy
Interactions
Knowledge and
skills
Responsibility
JobJob characteristicscharacteristics modelmodel Skill variety Task identity Task significance Autonomy Task
JobJob characteristicscharacteristics modelmodel
Skill variety
Task identity
Task significance
Autonomy
Task feedback
- Hackman and Oldham
JobJob analysisanalysis Process of gathering, assessing and recording information Focus on the job, not the
JobJob analysisanalysis
Process of gathering, assessing
and recording information
Focus on the job, not the job
holder
Foundation for most HR activities
JobJob analysisanalysis methodsmethods Interviews Standard Form Questionnaire Position Analysis Questionnaire
JobJob analysisanalysis methodsmethods
Interviews
Standard Form Questionnaire
Position Analysis Questionnaire
Functional Job Analysis
JobJob analysisanalysis methodsmethods Other Methods Checklists Observation Group Interviews Technical
JobJob analysisanalysis methodsmethods
Other Methods
Checklists
Observation
Group Interviews
Technical Conferences
Diary Method
Work participation
Critical Incidents
Essays
Computer ‘interviews”
JobJob analysisanalysis Many uses HR planning, job and work design, recruitment and selection, performance planning
JobJob analysisanalysis
Many uses
HR planning, job and work design,
recruitment and selection, performance
planning and review, training and
development, job evaluation and
remuneration
Many methods
Interview, questionnaire, functional
analysis, checklists, observation
ContemporaryContemporary issuesissues Accurate only while job unchanged Unable to cope with changes in nature of
ContemporaryContemporary issuesissues
Accurate only while job unchanged
Unable to cope with changes in
nature of work
Forces boundaries to be drawn
Assumptions of job analysis no
longer appropriate
But what are the alternatives?
JobJob descriptionsdescriptions Describe the work that is actually done and the reasons for doing it
JobJob descriptionsdescriptions
Describe the work that is actually
done and the reasons for doing it
Describe relationships between
positions
Can outline expected contributions
to achievement of work or
organisation goals
JobJob descriptiondescription difficultiesdifficulties Quality, style and coverage may vary widely within organisation
JobJob descriptiondescription difficultiesdifficulties
Quality, style and coverage may
vary widely within organisation
Have to describe dynamic and
changing situations in static form
Usefulness not recognised by
potential users
EffectiveEffective jobjob descriptionsdescriptions Keep language simple and clear Do not overstate or exaggerate Do
EffectiveEffective jobjob descriptionsdescriptions
Keep language simple and clear
Do not overstate or exaggerate
Do not confuse with person profiles
Produce jointly and agree contents
JobJob descriptiondescription contentscontents Job title Job purpose Reporting relationships Administrative
JobJob descriptiondescription contentscontents
Job title
Job purpose
Reporting relationships
Administrative information
Authorities
Key results areas
PersonPerson profilesprofiles Set out skills, knowledge and other personal characteristics required for acceptable job
PersonPerson profilesprofiles
Set out skills, knowledge and other
personal characteristics required
for acceptable job performance
PersonPerson profileprofile contentscontents Education Training Skills and experience Personality Working
PersonPerson profileprofile contentscontents
Education
Training
Skills and experience
Personality
Working environment
Physical demands