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Chapter 21

Managing Separations and Right Sizing

Human Resource Management, 5E


causes. purposes and principles of promotion. 5E 2 . • Understand the nature. • Understand the nature.Learning Objectives • Understand types of separations and how to manage them. Human Resource Management. and principles of transfers.

Principles of Promotion • • • • • • New hires or internal promotions Seniority or merit Promotion to vacancies or no vacancies Promotion chart Frequent promotions not advisable Preceded by job analysis and performance appraisal • Policy to be discussed with unions Human Resource Management. 5E 3 .

Types of Promotion • Horizontal • Vertical • Dry Human Resource Management. 5E 4 .

• The criteria for entertaining transfers need to be laid down and strictly adhered to. are subjected to transfer once in three years.Principles of Transfers • The frequency of transfers and the minimum period between transfers need to be decided upon and made known to all the employees. • The authority which would handle transfers is to be decided upon. The usual practice is that transfers in each department are handled by the person in charge of that department. for example. The employees in these establishments know when they are due for a transfer and are prepared for it. Defence personnel and government employees. Human Resource Management. The best course is to centralise the authority handling transfers. 5E 5 . and make the HR department responsible for them.

Human Resource Management. Similarly. • he performance of the employee needs to be assessed before transferring him or her to a different job. 5E 6 . • Transfers should be clearly defined as permanent or temporary.) • The area of the organisation over which transfers can be made need to be defined.Principles (contd. Job description and employee assessment enable the management to know whether the individual fits the new job or whether he or she needs training before taking up the new assignment.. • The interests of the organisation are not be forgotten in framing a policy of transfers. the job itself must be properly described. • The effect of the transfer on the pay and seniority of the transferred employee may be clearly evaluated.

Types of Transfers • • • • • Production Replacement Versatility Shift Remedial Human Resource Management. 5E 7 .

Separations • • • • • Lay-off Resignation Dismissal Retrenchment VRS Human Resource Management. 5E 8 .

5E 9 .Guidelines to Manage Downsizing • • • • • • • • • • • Consider the human element Make “who goes and who stays” decisions judiciously Delay any pay hikes Freeze hiring Restrict overtime Retrain or redeploy employees Engage part-time employees Switch to job-sharing Restore to across-the-board pay cuts Implement early retirement programmes Attend to morale of serving employees Human Resource Management.