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Human Resources Management
HRM 200
Katrina Di Gravio

CHAPTER 13: EPLOYEE BENEFITS & SERVICES Employee Benefits  indirect financial payments given to employees  may include supplementary health and life insurance, vacation, pension, education plans, and discounts on company products Government-Sponsored Benefits  Employment Insurance (EI) = a federal program that provides income benefits if a person is unable to work through no fault of his or her own  Canada/Quebec Pension Plan (C/QPP): o programs that provide three types of benefits:  retirement income  survivor or death benefits payable to the employee’s dependants regardless of age at time of death  disability benefits payable to employees with disabilities and their dependants o benefits are payable only to those individuals who make contributions to the plans and/or available to their family members  Workers’ Compensation = provides income and medical benefits to victims of work related accidents or illnesses and/or their dependants, regardless of fault  Vacations and Holidays: o labour/employment standards legislation sets out a minimum amount of paid vacation that must be provided to employees, usually two weeks per year, but the requirements vary by jurisdiction o paid time for vacation and statutory holidays  Leaves of Absence (unpaid): o specified in employment standards legislation o maternity/parental leave o adoption leave o bereavement leave o compassionate care leave  Pay on Termination of Employment o specified in employment standards legislation o pay in lieu of notice o severance pay o pay for mass layoffs Voluntary Employer-Sponsored Benefits  life insurance  supplementary health care/medical insurance  short-term disability and sick leave  long term disability  additional leaves of absence  additional paid vacations and holidays  retirement benefits The Top Challenges in Improving How Mental Health Issues Are Addressed in the Workplace Employee Services  personal services: o credit unions o counseling services o employee assistance programs (EAPs) o other (social and recreational)  job related services: o subsidized childcare o eldercare o subsidized employee transportation o food services o educational subsidies o family-friendly benefits  executive perquisites (perks): o management loans o salary guarantees (golden parachutes) o financial counseling o relocation benefits o outplacement assistance o company cars, chauffeured limousines o concierge service Flexible Benefit Programs = individualized benefit plans to accommodate employee needs and preferences Advantages  employees choose packages that best satisfy their unique needs  help firms meet the changing needs of a changing workforce  increased involvement of employees and families improves understanding of benefits  flexible plans make introduction of new benefits less costly  cost containment—the organization sets the dollar maximum Disadvantages  employees make bad choices and find themselves not covered for predictable emergencies  administrative burdens and expenses increase  adverse selection—employees pick only benefits they will use, increasing cost Benefits Administration:  Use of Software  Outsourcing  Benefits Communication CHAPTER 14: OCCUPATIONAL HEALTH & SAFETY Strategic Importance of Occupational Health and Safety:  investment in disability management and proactive wellness programs create measurable bottom-line returns  according to the Association of Workers’ Compensation Boards of Canada, in 2007 there were 1055 deaths and 317 524 injuries resulting from accidents at work  on April 28 each year, a day of mourning is observed for Canadian workers killed or injured on the job  workplace accidents can be prevented Basic Facts About OHS Legislation  OHS Legislation: o laws intended to protect the health and safety of workers by minimizing work-related accidents and illnesses  Purpose: o general health and safety rules o rules for specific industries (e.g. mining) o rules related to specific hazards (e.g. asbestos)  Responsibilities and Rights of Employers and Employees: o Due Diligence - employers are responsible for taking every reasonable precaution to ensure the health and safety of their workers o Specific duties of the employer include:  filing government accident reports  maintaining records  ensuring that safety rules are enforced  posting safety notices and legislative information o Employees are responsible for taking reasonable care to protect their own health and safety and, in most cases, that of their co-workers o Specific requirements include wearing protective clothing and equipment and reporting any contravention of the law or regulations o Employees have three basic rights:  the right to know about workplace safety hazards  the right to participate in the OHS process  the right to refuse unsafe work  Joint Health and Safety Committees (JHSC): o the JHSC provides a nonadversarial atmosphere where management and labour can work together to ensure a safe and healthy workplace o committees are usually required to consist of between 2 and 12 members, at least half of whom must represent workers o in small workplaces, one health and safety representative may be required o JHSC is responsible for:  inspecting the workplace in order to identify potential health and safety hazards  evaluating the hazards  implementing solutions  investigating employee complaints  investigating accidents  promoting measures to protect health and safety  disseminating information about health and safety laws and regulations  Enforcement of OHS Laws: o in all Canadian jurisdictions, occupational health and safety law provides for government inspectors to periodically carry out safety inspections of workplace o penalties consist of fines and/or jail terms o the Criminal Code includes a criminal offence commonly known as “corporate killing,” which imposes criminal liability on “all persons” who direct the work of other employees and fail to ensure an appropriate level of safety in the workplace  Control of Toxic Substances: o Workplace Hazardous Materials Information System (WHMIS) legislation has three components:  labelling of hazardous material containers  material safety data sheets (MSDS)  employee training  OHS and Other Legislation: o health and safety, human rights, labour relations, and employment standards laws are in force in every jurisdiction in Canada in an interlaced web of legislation o situations arise in which it is difficult to know which law is applicable, or which one takes precedence over another o for example:  are the human rights of one employee to wear a ceremonial knife related to a religion more important than the safety of other employees?  is sexual harassment a safety hazard?  Supervisor’s Role in Safety: o most jurisdictions impose a personal duty on supervisors to ensure that workers comply with occupational health and safety regulations o specific obligation on supervisors to advise and instruct workers about safety, to ensure that all reasonable precautions have been taken to provide for the safety of all employees, and to minimize risk of injuries or illness o safety-minded managers must aim to instill in their workers the desire to work safely Three Basic Causes of Accidents  Chance Occurrences (beyond control): o contribute to accidents but are more or less beyond management’s control o e.g. walking past a plate-glass window just as someone hits a ball through it  Unsafe Conditions: o improperly guarded equipment o defective equipment o hazardous procedures o unsafe storage o improper illumination o improper ventilation  Unsafe Acts (by employees): o throwing materials o operating or working at unsafe speeds o rendering safety devices inoperative o using unsafe equipment or using equipment unsafely o taking unsafe positions under suspended loads o lifting improperly o distracting, teasing, abusing, startling, horseplay, quarrelling Personal Characteristics How to Prevent Accidents  reduce unsafe conditions  reduce unsafe acts o selection testing o top-management commitment o training and education o positive reinforcement Three Other Work-Related Accident Factors  Job (some inherently dangerous)  Work Schedule (fatigue)  Psychological Climate (stress) Controlling Workers’ Compensation Costs  Before the accident o accident prevention measures  After the accident o provide first aid and ensure medical attention o commitment to keeping in touch with the worker and ensuring his or her return to work o collaboration among the parties involved, including medical, family, and workers’ compensation o creativity in focusing on how to use the worker’s remaining abilities on the job Employee Wellness Programs  proactive approach to employee health and well being  management strategy to achieve measurable outcomes related to productivity, cost reduction, recruitment/retention, and profit  wellness initiatives often include: o stress management o nutrition and weight management o smoking cessation programs o tai chi o heart health o physical fitness programs o ergonomics Benefits for Employers from Action on the Determinants of Health Occupational Health Issues and Challenges  Substance abuse: o alcohol/drug abuse considered a disability (human rights law) vs. employers’ due diligence requirement (OHS law) o substance abuse testing only legal if:  test is rationally connected to performance of the job  test is adopted in honest and good-faith belief that it is necessary for fulfillment of work- related purpose  test is reasonably necessary to the accomplishment of the work-related purpose Substance Abuse Testing: o random substance abuse testing is illegal o employers can:  forbid drugs/alcohol in workplace  require random drug testing only for “safety-sensitive” jobs  require mandatory drug testing “for cause” or “post-incident” in certain circumstances o positive test results must result in accommodation of the employee’s disability o immediate termination is not generally justifiable Traditional Techniques for Dealing with Substance Abuse: o Discipline o Discharge o In house counselling o Referral to outside agency  Job stress: o Human Consequences of Job Stress include:  anxiety  depression  anger  various physical consequences (e.g. cardiovascular disease, headaches, and accidents) o mental health issues are the leading cause of both short and long-term disability claims Job Stress: Sources o Environmental Factors  high demand job  high levels of mental and physical effort o Personal Factors  Type A personalities  patience  tolerance for ambiguity  self-esteem  health and exercise  work and sleep patterns  non-job-related problems like divorce, depression, work/family time conflict Reducing Job Stress: o Employee Can:  get more sleep, eat better, take vacation, meditate, find a more suitable job, get counselling, organize each day’s activities o Employer/Supervisor Can:  offer a EAP  monitor each employee’s performance to identify symptoms of stress and then inform the person of organizational remedies  ensure fair treatment  permit employee to have more control over his or her job o HR executives must become advocates for employee mental health within the senior management team Burnout: o the total depletion of physical and mental resources caused by excessive striving to reach an unrealistic work-related goal o Avoiding Burnout:  break patterns  get away from it all periodically  reassess goals  think about work  reduce stress Workers’ Compensation and Stress-Related Disability Claims: o all Canadian jurisdictions provide benefits for post-traumatic stress caused by a specific and sudden workplace incident o however, when it comes to chronic stress, there is very limited or no coverage, depending on the jurisdiction o the rationale is that stress has multiple causes, including family situations and personal disposition  Repetitive strain injuries: o activity-related soft-tissue injuries of the neck, shoulders, arms, wrists, hands, back and legs o employers must advise and train workers about the risk of RSIs from workplace activity, identify and assess job-related RSI risk factors, encourage workers to report RSI symptoms early, and use ergonomic interventions o ergonomics refers to the art of fitting the workstation and work tools to the individual  Workplace toxins: o leading cause of work-related deaths around the world is cancer o in addition to known carcinogens, such as asbestos and benzene, new chemicals and substances are constantly being introduced into the workplace without adequate testing o workers’ compensation laws in several provinces have been amended to provide benefits to firefighters who develop specific job related cancers  Workplace smoking: o most Canadian jurisdictions have banned smoking in workplaces o Health Canada is urging employers to implement smoking cessation programs for employees to achieve:  better health for employees  better business results  legislative compliance  increased employee satisfaction (especially for the 80 percent of Canadians who do not smoke)  avoidance of litigation  Influenza pandemic o the first organizational impact of a pandemic will be absenteeism, estimated at 35 percent in the influenza plan for the Government of Canada o HR will be a key player in responding to a pandemic as most employers are planning to continue their business operations using the existing workforce—in other words, with substantially fewer employees o business leaders are well advised to prepare their organizations  Violence at work: o most Canadian jurisdictions now have workplace violence legislation in place covering physical violence, and some include psychological/emotional violence o human rights laws across the country prohibit various forms of harassment and bullying o employers may be found liable for violent acts of their employees on the basis that the employer negligently hired or negligently retained someone whom the employer should reasonably have known could cause the violent act o employers may also be found liable when they are aware of violent incidents and fail to respond Job Characteristics That Increase the Risk of Workplace Violence Prevention and Control of Workplace Violence o identify jobs with high risk of violence o institute workplace violence policy o create a healthy work environment o heighten security measures o provide workplace violence training o improve employee screening BILL 168 Violence at Work  most Canadian jurisdictions now have workplace violence legislation in place covering physical violence, and some include psychological/emotional violence  human rights laws across the country prohibit various forms of harassment and bullying  employers may be found liable for violent acts of their employees on the basis that the employer negligently hired or negligently retained someone whom the employer should reasonably have known could cause the violent act  employers may also be found liable when they are aware of violent incidents and fail to respond Domestic Violence  Employers who are aware, or ought reasonably to be aware, that domestic violence may occur in the workplace must take every precaution reasonable in the circumstances to protect a worker at risk of physical injury. Workplace Harassment  Engaging in a course of vexatious comment or conduct against a worker in a workplace this is know or out reasonably to be known to be unwelcome.  Workplace harassment may include bullying, teasing, intimidating or offensive jokes or innuendos, displaying or circulating offensive pictures or materials or offensive or intimidating phone calls Job Characteristics That Increase the Risk of Workplace Violence Prevention and Control of Workplace Violence o identify jobs with high risk of violence o institute workplace violence policy o create a healthy work environment o heighten security measures o provide workplace violence training o improve employee screening CHAPTER 15: FAIR TREATMENT: FOUNDATION OF EFFECTIVE EMPLOYEE RELATIONS Strategic Importance of Effective Employee Relations  for competitive advantage, employees must be motivated and engaged in pursuing organizational goals  ensure employees are treated ethically, fairly, and legally  Distributive Justice o fairness of a decision outcome  Procedural Justice o fairness of the process used to make a decision  Interactional Justice o fairness in interpersonal interactions by treating others with dignity and respect Employee Engagement  a positive, fulfilling, work-related state of mind characterized by vigour, dedication, and absorption Top Drivers of Attraction, Retention, and Engagement in Canada Outcomes of Engagement  employees’ highest productivity  best ideas  genuine commitment to the success of the organization  improvements in service quality, customer satisfaction, and long-term financial results  serves the individual, fulfilling a basic human need to be connected to worthwhile endeavours and make a significant contribution  engagement is good for the company and good for the employee Effective Employee Communication  suggestion programs  employee opinion surveys  communication from management Respecting Employee Privacy  employees are concerned with privacy—their control over information about themselves and their freedom from unjustifiable interference in their personal life  Personal Information Protection and Electronic Documents Act (PIPEDA) governs the collection, use, and disclosure of personal information across Canada, including employers’ collection and dissemination of personal information about employees  employers must obtain consent from employees whenever personal information is collected, used, or disclosed  some employers have resorted to electronic monitoring (video surveillance) Video Surveillance  some employers install video surveillance of employees to prevent theft and vandalism and to monitor productivity  employees must be made aware of the surveillance Video Surveillance Guidelines Preserving Dignity in the Retirement Process  by 2025, more than 20 percent of the Canadian population will be over age 65, and the labour force will shrink dramatically  for many years, the trend has been toward earlier retirement—the average retirement age dropped from 65 in 1979 to 61 in 2005  at any age, retirement for most employees is bittersweet  pre-retirement counselling refers to counselling provided to employees some months (or even years) before retirement, which covers such matters as benefits advice, second careers, and so on  there are major changes expected in the management of the retirement process Managing Retirement As Baby Boomers retire, it is expected that:  longstanding trend to early retirement will change  late retirement will be promoted to help ease labour shortage  joint retirement issues for dual-career couples will increase  flexibility in retirement arrangements will increase dramatically Fair Treatment in Layoffs and Downsizing  layoff refers to the temporary withdrawal of employment to workers for economic or business reasons  there are several alternatives to layoffs  downsizing refers to the process of reducing, usually dramatically, the number of people employed by the firm  group termination laws refer to laws that require an employer to notify employees in the event that an employer decides to terminate a group of employees Fairness in Discipline and Dismissals  Discipline o a procedure intended to correct an employee’s behaviour because a rule or procedure has been violated  Dismissal o involuntary termination of an employee’s employment  Insubordination o wilful disregard or disobedience of the boss’s authority or legitimate orders Employee Discipline  A procedure intended to correct an employee’s behaviour because a rule or procedure has been violated  3 foundations for a fair and just disciplinary process o Rules and regulations o System of progressive penalties o Appeals process Question to ask: Why Discipline? The purpose of discipline is to encourage employees to adhere to rules and regulations. Courts have repeatedly articulated the rights of employees to fair treatment not only during the term of employment, but also during the discipline and termination process. A fair and just discipline process is based on three foundations: rules and regulations which address things like theft, drinking on the job, and insubordination; a system of progressive penalties which includes steps such as verbal warnings, written warnings, suspension, and discharge; and an appeals process to ensure that discipline is meted out fairly and equitably. Discipline Without Punishment (positive discipline) 1. Issue oral reminder 2. Issue formal written reminder 3. Provide one-day paid decision leave 4. Purge suspension from file if no further incidents for one year  Dismissal if behaviour is repeated Employee is involved in making the changes necessary – a discussion should take place Non-punitive Discipline Disciplinary Discussion  Counselling approach to the problem  Positive non-verbal demeanour  Employee has some control over both process and outcome  Clear explanation of the problem behaviour  Discussion occurs in private  Discipline is consistent with other similar situations Research has shown that there are six general components of fairness relating to a disciplinary discussion between a manager and an employee. Managers should: 1. Take a counselling approach to the problem. 2. Exhibit a positive non-verbal demeanour. 3. Provide the employee with some control over both process and outcome. 4. Provide a clear explanation of the problem behaviour. 5. Ensure that the discussion occurs in private. 6. Ensure that the discipline is consistent with other similar situations. Progressive Discipline  Violation of rules or regulations  Verbal warning  Review the nature of the problem  Consequences of not correcting the behaviour  Written warning  Suspension Dictated fr
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