2.

1 Motivating Workers
People Working
● To earn money
○ To eat and buy what they need
○ More factors to work
■ Wide range of motivations
● Can increase productivity
○ Making new friends
○ Job security
○ Sense of achievement/ importance

Job Satisfaction
● Good wages and benefits
● Reasonable working hours
● Holidays
● Safe and clean workspace
● Interesting job
● Training
● Promotion opportunities
● Responsibilities
● Feedback on work
● Job status
● Good social relationships
● Teamwork

Motivation
● Reason why employees want to work hard
○ Work effectively for the business

Motivational Theories
● People working for themselves
○ Work hard and efficiently
■ See the direct benefits
● People working for someone else
○ May not work as hard or effectively as a result
■ Not seeing their benefits
● F.W. Taylor
○ Started as a factory labourer
■ In America
● 1880s
■ Rose to chief engineer
 ● Conducted experiments on how labour productivity can be
increased
○ Ideas and findings published in 1911
○ Assumptions
■ “All individuals are motivated by personal gain”
○ Stated
■ If paid more
● Workers work more effectively
○ Experiment
■ Broke down work in simple processes
● Calculated output
● Target output
○ Target reached = individuals paid more
● Workers as machines
○ Work hard
○ Productivity high
○ Lower labour costs
○ Results
■ Ideas brought
● Big productivity gains
○ Other companies accepted his ideas
○ Criticism
■ Too simplistic
■ Employees motivated in other ways
■ Unfulfilling work
● No increase in
effectiveness or
productivity
■ Difficulty in measuring
employee output
● Maslow
○ An American psychologist
○ Studied employee motivation
○ Proposed the hierarchy of needs
■ Ideas published in 1954
● Douglas McGregor
○ Management professor
○ Identified 2 types of managers
■ Theory x
■ Theory y
■ Research findings published in 1960
 ○ Theory x
■ Willingness to work is influenced by external factors
● Pay schemes tied to output produces
■ Naturally lazy
■ Need to be motivated
■ Pushed and urged to work
○ Theory y
■ Motivation is influenced by internal factors
● Good day’s work
● Favorable/ satisfiable working working
environment
● Introduce incentive programs
● Provide supervision
● Not frustrated
● Take interest in their work
● Herzberg
○ Said that “It isn’t simply that people motivated by certain
things”
■ Without certain things in being place
● Eg- without safe working conditions
○ ‘motivating factors’ won’t work
○ Two factors
■ Motivators
● Sources of satisfaction
○ Intrinsic factors
■ Achievement
■ Recognition
■ Challenging, varied or interesting work
■ Responsibility
■ Advancement
■ Hygiene factors
● Sources of dissatisfaction
○ Extrinsic factors
■ Company policy and administration
■ Unhappy relationship with employee’s supervisor
■ Poor interpersonal relations with one’s peers
■ Poor working conditions
● Motivators
○ Intrinsic motivator
■ A person's internal desire to do something
● Interest
 ● Challenge
● Personal satisfaction
○ Extrinsic motivators
■ Motivation that comes from outside the person
● Pay
● Bonuses
● Tangible awards

2.2.1 Organisation Structure

Sets out
● Who specialises in what task?
● Who is in charge of what people?
○ Need to know who responds to who
● Who is responsible for making decisions?
● Who is responsible for carrying out these decisions?
● How are decisions and other decisions communicated?

Organisational charts
● Different layers of management
○ Hierarchy
● How many layers of management a person has authority over
○ Chain of command
■ Ms.Aida’s chain of command is everyone under her, students, teachers etc.
■ Not Ms.BB, not Mr.Reid, not Ms.Bentin
● Number of employees a manager is responsible for
○ Span of control
■ Direct span of control
● The people who respond directly to a manager
○ The deputy principals respond to Ms.Bentin directly
○ Indirect span of control
■ Everyone under the manager, not just the people that only respond to her
● Everyone under Ms.Bentin is her span of control- students,
teachers etc.
● Delegation of tasks from senior management to junior employees
○ Passing on responsibility

How companies are organised

● Goal of the organisation is to find the structure that works best for the company
● Many companies group people that do the same job into the same place
○ Departments
■ Functional structure
● Based on what people do
○ Working with people that do the same job
■ Easier to communicate
● Agreeing on actions
● Monitor objectives etc.

Types of structure
● based on different things
○ Key functions- production, sales
○ Product groups- cars, trucks
○ Customers- economy, business
○ Location- North America, Asia, Europe

Roles and responsibilities

● Directors
 ○ Elected by shareholders to run the company on their behalf
■ Usually with a specific responsibility like finance or production
● Managers
○ Hired by directors to supervise or manage activities
■ People or resources of the business
● Supervisor
○ First management grade
■ Junior managers
● Employees
○ General workers given specific tasks that are managed or supervised by others
within the company
● Advantages
○ Clear management structure
○ Individual roles and responsibilities are clear
○ Senior managers can make all major decisions and control the firm
● Disadvantages
○ Communication up ad down can slow down information
○ Managers may not fully understand the roles of workers beneath them
○ Junior managers may feel isolated form decision making
■ Restricts output

External Directors
● Responsibility to shareholders
○ Often under law to
■ Set business objectives
● Long term plans and policies
■ Monitor business performance
● control activities
■ Oversee financial decisions
● Safeguard shareholder funds
● Prepare and publish accounts
■ Decide on distribution of profits to shareholders
■ Protect the firm from fraud and efficiency

Directors
● Large companies usually appoint a managing director (CEO) with different duties
○ Appoint senior manager to help run the business
○ Devise and implement company policies
○ Negotiate on behalf of the company with unions, suppliers

Managers
● Responsible for:
○ Carrying out the instruction of directors
○ Setting out objectives and allocating tasks to staff
○ Motivating staff to increase productivity
○ Monitor performance and appraise staff
○ Identify training needs for staff
○ Liaise with staff to discuss work related issues
○ Manage budgets given by the finance departments
○ Writing reports for directors

Supervisors and employees

● Supervisors
○ Identifies and promoted from within the company
■ Due to their initiative and leadership qualities
○ Work with a small group of employees to provide;
■ Guidance
■ Training
■ Discipline
● Employees
○ Supervised and managed by others to perform
■ Essential for the company
○ Can be skilled, semi-skilled or unskilled

Structure
● Tall structure
○ Long chain of command
○ Short span of control
■ A supervisor is in charge of few people
○ Disadvantages
■ More managers= more cost
■ Communication may be
slow or difficult
■ Decision making may be
slow
● Large number of
layers that
information needs to
pass through
○ Advantages
■ Managers have fewer subordinates
● Find it easier to guide and control
 ■ Managers and workers can specialise in their roles
● Fewer different responsibilities
● Wide/ flat structure
○ Short chain of command
○ Wide span of control
■ One person responsible for many people
○ Advantages
■ Quicker communication as there are fewer layers
■ Fewer managers=less cost
■ Senior managers are closer to employees and their problems
■ Wider roles=more freedom to make decisions
● Maybe more motivates
○ Disadvantages
■ Senior managers may have less direct control over their subordinates
■ Managers may have too many subordinates reporting to them to manage
efficiently
● Flatter structure/delayering
○ More companies are choosing to widen their structure by cutting down on their
layers
■ Middle management
■ Bureaucracy
● Excessively complicated administrative procedure
● Meaningless layers of paperwork
○ Saves cost and makes the remaining employees feel more in control of their work
● More motivated
2.2.2

Management Functions - POCCC

Exams always ask 2 things a manager does- learn 2 well
● Planning
○ Setting objectives
○ Devising strategies
○ Ensuring the correct resources
○ Training are available
● Organising
○ Identify what jobs need to be done and who shall do them
■ Before delegating the jobs to workers
● Coordinating
○ Ensuing all involved workers and departments work together
■ To effectively achieve the goal
● Commanding
 ○ Having the authority
■ To give instructions
● Controlling
○ Measuring and assessing performance of all workers
■ To ensure meeting to the task requirements

What makes a good manager?

● Effective communication skills
○ They can clearly explain what needs to be done
○ How it is expected to be carried out
● Enthusiasm and initiative
○ To demonstrate a level of working standards for others to follow
● Good analytical skills
○ To understand complex problems and offer good solutions
● Leadership and influencing skills
○ To maintain motivation to meet goals

Leadership Styles- 3 mains styles

● Autocratic
○ Managers tell workers what to do without seeking any input from them
■ May work well in an emergency
■ May demotivate workers who feel not valued

● Democratic
○ Managers consult employees to involve them in decision- making
■ Allows two- way communication
● Can slow down decision making
● Makes workers feel valued
● Laissez-faire
○ Managers communicate objectives
■ Let workers decide best way to achieve it
○ Encourages creativity
■ May need more support
■ May lead to confusion

Delegation and Control

● Delegation
○ The assignment of any responsibility or authority to another person to carry out
specific activities
■ Usually from a manager to a subordinate
○ One of the core concepts of management leadership
 Business Who owns the business Who controls the business

Sole Trader The single owner The owner

Partnership Partners Senior partners have more control than junior

partners

Limited Company Shareholders Boards of directors and senior managers

Franchise The franchisee The franchisor controls many aspects of the

business

“The divorce of ownership from control”

● When a business starts
○ Owners usually control it as it is relatively small
● When the business grows
○ May come a point where no single or group of owners can manage all aspects of
the firm
■ Hire professional managers to run the business (delegation)
● Directors
● CEO
○ They separate ownership from day-to-day running
■ Must allow these managers the authority to make decisions on their behalf
● Risks
○ Managers may put their wants above what the owners want

Authority, accountability and responsibility in a chain of command

● Manager
○ Has authority over more junior managers & employees
○ Can delegate tasks and authority to more junior managers to carry out
■ Juniors are accountable (answerable) to their more senior manager
● Senior manager is responsible for the actions of the junior manager
○ Senior managers are ultimately responsible for the work
junior managers does

Delegation Needs
● Can only delegate
○ When the junior has the correct skills and motivation to be able to complete the
task
● If junior don’t have skills
○ They must be given training
 ■ Before the task can be passed on
● Senior managers needs to make sure
○ That everyone is clear of what the objective is
● Must monitor the performance
○ Offer regular, helpful feedback

Delegation for managers

● Benefits
○ Frees up time to spend on more imp tasks
○ Can make the best use of different employee skills
○ Can easily monitor the performance against agreed tasks
○ Can help train future managers
● Limitations
○ May fear losing control over some decisions
○ Must able to clearly communicate their aims
○ Junior managers may make poor decisions due to lack of experience or skills
○ Ultimately responsible for any poor decision by their junior

2.2.4 Trade Unions

What is a Trade union

● Organisations that promote and protect the interests of their members (employees)
○ Improving working conditions
○ Increasing wages
● When you are employed
○ Can join an union
■ Represents type of workers you are
● You pay a monthly fee
● Monthly fee of all union members is used to fun the union when it negotiates on behalf of
its member
● Trade union movement worldwide has helped
○ Fight and bring to an end child labour in many countries
○ Improve worker safety
○ Increase wages for all
○ Improve education or many poor and working class families
● Different types of unions

Aim of unions
● Negotiating improvements
○ Wages and non-wage benefits
● Defending employees’ rights and jobs
● Improving working conditions
○ Securing better hours of work
○ Better health and safety policies
● Improving pay
○ Other benefits
■ Holiday entitlement
■ Sick pay
■ Pensions

Collective bargaining
● Negotiation take place between trade unions and employers
● Improvements in wages & non- wage benefits for employees
● Negotiating yourself with limited information
○ Union appoints someone well qualified in negotiating
■ Speaks on behalf of all the members of the union
○ Union members should get a better deal
■ Negotiate as a lot of people > arguing on your own

Union bargaining
● Strength
○ The union represents most or all of the workers in the firm or industry
○ Union members provide essential services
■ Health care
■ Electricity
○ The union is able to support its members financially during strike action
● Weakness
○ Many workers in the firm or industry do not belong to a union
○ Union members provide non- essential goods or services
■ Many close substitutes
○ Lacks financial resources
○ Laws outlaw
■ Severely restrict union activity

Forms of Industrial Action

● Overtime ban
○ Workers refuse to work more than their normal hours
● Work to rule
○ Workers deliberately slow down production
■ By complying rigidly with every rule and regulation
● Go- slow
 ○ Workers carry out tasks deliberately slowly to reduce production
● Strike
○ Refuse to work and may also protest or picket
■ Outside their workplace to stop deliveries
● Prevents non- unionized workers from entering

Implications of Industrial Action

● Consumers
○ May be unable to buy goods and services they need
■ May have to pay a higher prices if firms have to pass on higher
costs
● Economy
○ Reputation of a country may suffer
■ If investors think it has frequent and widespread industrial action
● Leading firms to look for alternative places to set up
● Production leading to possible unemployment
● Businesses
○ Suffer higher costs
○ Lose output, revenue and profit
■ Cause long term harm
● Union members
○ Not paid wages during a strike
■ Some may receive money from a unions strike fund
○ May lose their jobs if the firm is harmed during the strike and they cut
back on labour

What if negotiations fail?

● Arbitration
○ May be necessary to settle industrial disputes
■ Involves employers and union agreeing to an independant referee
● Often senior government official or lawyer
○ Help them settle their industrial dispute
 2.3.1- Recruitment and Training of workers

Functions of a human resources department

● Planning future workforce needs
● Advertising job vacancies
○ Recruitment and selection of best candidates
● Identify training requirements
● Manage staff promotions and transfers
● Write and give new employees working contract
● Devise financial and non financial reward system
● Ensure compliance with laws and health and safety requirements
● Manage communications between senior management and workers
● Resolve professional disputes
● Manage redundancies, dismissals and disciplinary matters

Process of Recruitment and Selection

● Identify job vacancy
○ Do I really need to hire somebody?
○ Is this job essential?
○ Maybe we don’t need that job anymore?
● Job analysis/ description
○ What does the actual job entail?
○ If i need somebody to apply for it, how do i tell the person what they are going to
do?
○ How do i break it down to explain the job to someone?
○ Parts of a job description
■ The job title
■ The main purpose of the job
 ■ Position in organisational structure
■ Which department it is in
■ Who job holder is responsible to and for
■ Main tasks and responsibilities
■ Working conditions, hours, salary
■ Name and location of the business
● Write a person specification
○ Who would be a perfect candidate?
○ Parts of a person specification
■ Skills, training and experience required
■ Educational qualifications needed
■ Personal qualities
● Team worker
● motivated
■ Professional qualifications or memberships
■ Special skills or aptitudes
■ Special circumstances such as travel
● Advertise the job and send out application forms
● Compare candidates
○ Shortlist the best
● Invite the best candidates for an interview
○ Think about the things you’re looking for
● Prepare and conduct interviews
○ The beginning of the interview is most important
■ First impressions
● Select the best and make an offer
○ Somebody makes the hiring decision
○ Make sure the candidate who gets the job signs
■ Tell the other candidates that they didn’t get the job
● Draw up a contract of employment
○ Both parties have to follow the contract
■ If both of them want to change the contract
● Then it can happen

Internal Recruitment
Hiring someone who already works for the company
● Advantages
○ Saves time and money
○ Rewards existing employees and motivates
○ Workers already know the business
○ Allows you to retain your best staff
● Disadvantages
○ Creates other vacancies in the business
○ Prevents new people with new ideas from joining the company
○ May create jealousy in those not promoted
○ Groupthink
■ People in the group are so similar
● They start to have the same response
○ Nobody has a different viewpoint, training

External Recruitment
Look outside and advertise the position
● Advantages
○ Can get a better qualified candidate
○ New ideas to the business
■ More people to choose from

● Disadvantages
○ Time consuming
○ Expensive
■ New candidates need training in the ways of the firm

Advertising Job Vacancies

● Job advertisement must attract the right people
○ Quickly and cost effectively
■ Clear
■ Accurate
■ Legal information
● Key details to include:
○ Job title, purpose and main tasks
○ Experience, skills and qualification required
○ Pay and working conditions
○ Brief details about the organisation and location
○ How to apply
● The right place to advertise
○ Type of job vacancy
○ How many vacancies exist
○ Cost of advertising
○ If the number of vacancies is large
■ National media
● TV or national newspaper
■ Specialist websites
 ● Linkedin
● Check the effectiveness of the ad
○ How many people applied?
○ What quality were they?
○ Based on the answers
■ Refine future advertising for applicants

Sources of potential new employees

● Some employers go direct to educational institutions
○ Universities for highly educated candidates
● Professional organisations for professions like teachers
○ May have access to people with particular skill or qualification
● Recruitment agencies
○ Matching job seekers with employers for a fee
■ Can be specialized but also may be expensive
● Government employment agencies
○ Job centres
■ Help match the unemployed with employers
● Headhunters
○ Specialist recruiters which potential recruits working within competitors firms
● Newspapers, magazines, online
● Specialist magazines and websites
○ For those who have an interest or in a particular field

Application Forms
● Employers may ask applicants
○ Personal details like name, address, contact numbers, dob
○ Title of job applied for
○ Schools, colleges and universities attended with dates
○ Educational qualifications and grades (even IGCSE)
○ Work experience, employers, tasks and responsibilities
○ Interest or hobbies
○ Referees contact - at least two people that know you that can say whether they
think you are worthy of employment

CV, Resume
● A CV is a 2 page document that contains much the same details as an application
○ In your own order
● CV’s offer the opportunity to prioritise the information
○ Add additional details that application may ask for
● Application forms help the employer sift through the applications
 ○ In the same format
■ Easier to compare employees

Letter of Application
● Separate letters in which the candidate is allowed to express the suitability for the role
they have applied for
● Important
○ Allow the candidate to demonstrate skills
■ Organisation
■ Presentation
■ Insight into the personality of the applicant
● Reason why the applicant wants the job and thinks they would be
suitable citing skills, experience and attitude
● Details of relevant experience with the space to explain why this
supports their application
● Any dates they couldn’t attend an interview

Shortlisting
● Usually too many applicants for every position advertised
○ All candidates will be compared against the person specification of the job
● Not a good match
○ Sent a rejection letter
■ Thanking them for the application
● The best matches will then have their references and referees contacted to ensure the
information is accurate
○ Importantly the referee needs to be someone of authority that knows you well
● Final shortlist
○ Invited for an interview

Interviewing and Selection

● Interviews will help the employer confirm
○ Factual information provided by the candidate
○ Assess the interpersonal and communication skills
○ Identify potential strengths and weaknesses
○ Assess suitability of the candidate for the organisation
● Once this is completed
○ Best candidate will then be chosen to be offered the job
● 3 main types
○ One-to-one
 ■ Between the job candidate and an interviewer
● Usually manager or HR person
○ Panel
■ Several interviews usually including the manager the applicant would
work for
■ More people reduces the risk of bias
● Or claims of bias by the applicants
○ Board interview
■ Larger still and contains senior and other managers
● Used when hiring very senior personnel who will hold a lot of
responsibility

● Possible questions
○ Why have you applied for the advertised job?
○ Why do you think you are suitable for this job?
○ What are your key skills and qualities?
○ What do you know about this organisation?
○ Different jobs may have extra tests
■ Typing tests
■ Speaking another language
● Ethical and legal obligations
○ Recruitment and selection depends on both the employer and applicant being fair
and honest
○ Applicants must be honest with the information they give
■ If they lie and it is found out
● Will invalidate any contract of employment they signed
○ Usually results in their dismissal
○ Employers need to comply with any employment laws
■ Illegal to restrict employment based on their sex, religion etc.
● Employers can express a preference for one type of person only if
it is a genuine need

Contract for Successful Applicant

● Successful candidate will:
○ Be telephoned
■ In writing to say they have been offered the job
● An appointment letter will then be written including title, wages, hours of work and start
date for new role
● If accepted then an employment contract must be signed stating terms of employment
○ Agreed upon by both parties
● Most contracts have a performance measurement included
 ○ Employee knows how their work will be judged over time
Hour of work
● Full time (over 35 hours a week)
○ Advantage to employer
■ Predictable & fixed work hours
■ Workers are more likely to be loyal
■ Only source of income
● Would focus on it
■ Can operate in the absence of the owner
○ Advantage to employee
■ Fixed and predictable work hours
■ Wages per hour
● Usually higher than part- time workers
■ Sick leave, holidays, health insurance more likely
■ More chance of career progression
○ Disadvantage to employer
■ Workers may not want to work extended hours
■ Overtime, weekend or night- time
■ Annual leave and other costly benefits
● Doesn’t result in productive work
○ Disadvantage to the employee
■ Less time available for leisure, friends and family
■ May be compelled to work overtime
■ Work may be boring and lack variety
● Part time (less than 35 hours a week)
○ Advantage to employer
■ Flexible and low cost for new or expanding businesses
■ Can vary the number and hours of work based on what they need
■ May not qualify for the same employment benefits
● Cheaper to hire
○ Advantage to employee
■ People who couldn’t work full time can apply
■ Often require more variety of work
■ Can open the door to full-time employment later
○ Disadvantage to employer
■ May not be sole job
● Worker won’t be as loyal or focussed
■ Turnover higher than full-time
● More recruitment costs
■ Worker may not be as skilled hard to remain in contact
● With workers due to irregular working patterns
○ Disadvantage to employee
■ May be lower than full- time for the same job
■ May not get the same employment benefits
■ Less training
● May not feel that are worth the investment
■ Less likely to be promoted
■ May miss meetings

2.3.2- Training of Staff

Training
● Providing skills for the worker to obtain the job
○ General objectives
■ Enhance efficiency and effectiveness
■ Improve quality of work
■ Facilitate career and personal development
■ Develop a multi- skilled and productive workforce
● In the event of an emergency work can continue
● People won’t depend on each other
■ To help staff to adapt to change

○ Positives
■ better skilled and more flexible workforce capable of meeting goals
■ Improve competence and reduced mistakes
■ Higher morale and motivation
● Amongst the workforce
■ Better reputation
● Leads to gaining and retaining the best staff
○ Negatives
■ Cost and time
● Takes time to see the impact of the training
● If utilised effectively and in a justified way
○ Usually beneficial to most organisations

Types of Trainings
● On-the job training
○ Takes place at the workplace
■ Trainees learn by being guided by a skilled colleague
○ Advantages
■ Relatively cheap as current employees do the training
● Directly relates to the work done
● Fewer disruptions to the working day
● Better teamwork
● Convenient for the workers
○ Disadvantages
■ Bad habits may be passed on
■ Internal trainers may not have the most up-to-date experience and skills
■ Takes productive time away from trainers
■ Less and not very well planned
● Not professional
● Might not be very good
● On-the job training (Induction)
 ○ Aimed at new employees to help them settle in
■ Avoid costly mistakes and understand responsibilities better
○ Advantages
■ Establish clear expectations
● Good working habits
■ Explains corporate culture to new employee
■ Speeds up contribution of the new workers
■ Boost morale
● Inductee feels part of an inclusive helpful team
○ Disadvantages
■ Time consuming
■ Key staff must be absent from their job
■ May be too overwhelmed
● Too much information
■ Length of induction can be very long
● Larger companies
● Off-the job training
○ Carried off site
○ Sometimes lead by an internal employee conducted by external
■ Qualified trainers
● Using specialised and equipment
○ Can be cascaded back to the workplace
○ Advantages
■ Access to experts that may not be available in the company
■ Wider range of training
■ Conducted without distraction from work not done during work hours
■ Allow networking between attendees and meet new people
○ Disadvantages
■ Loss of output trainee away
■ Can be expensive
■ Often the training may not be fully the same as the working environment
● May not teach what the firm wants them to learn
■ Challenging to find time and resources
● Pass information on return to work
2.3.3 Reducing the size of the workforce

“Rightsizing” a workforce
● People employed by a firm
○ Workforce
● Deciding on how many people and what skills they need
○ Workforce planning
● Different times
○ Firms will need to change the makeup of their workforce
■ To be able to meet their current needs
○ Process is called “Rightsizing”
● Wants fewer employees
○ Because downturn in business or automation of jobs
■ “Downsizing”

Redundancy
● Reduce the number of employees
○ not replacing the workers who retire due to ill health or age
○ not replacing who leave to join other employers
○ Dismissing poor performing workers (firing- the person)
○ By making workers redundant
■ No need for the job they perform to be done
● Two types
○ Voluntary
■ Worker agrees to leave in return for some cash
○ Compulsory
■ Worker is forced to leave
● Still gets some cash
○ Who stays?
■ Most skilled or productive
■ Longest serving
● Experience
■ Longest serving
● Most expensive to make redundant
○ Have to give more cash
○ Who goes?
■ No longer needed
● Automated job
● Department closed
■ Least skilled or productive
■ Anyone with employment problems
■ Newly arrived
● Cheapest to make redundant
○ “Last in, first out”

Dismissal
● If an employee doesn’t follow the agreed rule- behavior
○ An employer has the right to implement
 ■ Follow the disciplinary procedures set in place
○ Nearly the same as the disciplinary procedure as a school
■ Starts with a mild warning
● Reaches being expelled if behaviour doesn’t change
■ Has to be informed in advance and part of the contract
● Student- contract signed by our parents
● Most countries have laws that govern what is a fair reasons
○ Protecting the rights of employees
○ Reasons By supervisor
■ Gross misconduct Inf
or manager
● Drunken behaviour, If theor
breaking the law etc. offence
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2.3.4- Legal Employment Controls over employment issues

Employment Laws
● Amount of protection given to employees
○ Varies by country but often includes the employees rights;
■ Written statement of employment
● Terms and conditions
○ Protection from unfair dismissal
○ Protection from discrimination
○ A safe and healthy working environment
○ Wage protection
■ Sometimes including a guarantee of minimum wage
■ Can’t ask someone to work
● Not pay them
 Employment Contracts
● Legal document that lists agreed terms and conditions
○ Can be made up of;
■ Expressed terms
● Fully written out
■ Implied terms
● Not explained
○ Assumed to be agreed- part of the contract
■ Different types of contracts
● Full time (>35 hours)
● Part time (<35 hours)
■ Contract should contain
● Wage rate or salary
● Frequency of payment
● How/when wages will be reviewed

Unfair Dismissal
● In many countries
○ Considered unfair for a business to fire a worker due to:
■ Race, religion, sex, age, disability
■ Become pregnant or ill
■ Join a trade union
○ If worker feel their employer has dismissed their unfairly
■ Can appeal to an employment tribunal
● Will decide if they were treated legally
○ May punish employer if they weren’t

Discrimination
● Laws are laid to protect employees from discrimination from the workplace
○ Ensure everyone who applies for a job are given an equal job
■ Workers are all treated equally
● Direct discrimination
○ When a person is treated unfavorably than another
○ Because of sex, age, race, religion, etc
● Indirect discrimination
○ When business doesn’t treat applicants equally
■ Inventing unreasonable conditions
● (all applicants must be blue-eyed)
○ Nothing to do with the job
● Victimization
○ When a worker is treated unfairly
■ After complaining of previous unfair treatment

Health and Safety in the workplace

● Legal measures to make the workplace safer, healthier and more pleasant
○ Mandatory protective clothing such as goggles, helmets
○ Guards and signs
■ Hazardous machines and substances
○ Ensuring access and maintenance to fire and safety equipment
○ Hygienic and washing facilities, etc
● These laws cover both sides
○ Employee must show they took good care when they are doing their job
 ● Firms risk their reputation
○ If they are found to have not taken care of their workers
■ May be fined or closed

Minimum Wages
Wage protection laws
○ Make it illegal for employer to take money back from employees unless
■ They are statutory (for the government)
● Income tax
■ They are voluntary
● Agreed by the employee like union membership
○ Some countries also set minimum legal wages
■ Lowest payment per hour and employer can offer to employee
● Advantages
○ Protects young and unskilled workers from very low wages
○ Can motivate to be more productive
○ Encourage people to work
● Disadvantages
○ Increases business costs and reduces profits
○ Firms can’t afford to employ
■ Many people push up higher wages
● Firms will pass on the higher costs onto
consumer
2.4 Internal and External Communication

Who do businesses need to communicate with?

● Communication is when the message passed from one organisation to another
○ Customers
■ To keep customers, firms need to be able to communicate with them
clearly
■ Visa advertising
■ Informing
■ Taking orders
■ arranging delivery
■ Dealing with complaints
○ Other organisations
■ Suppliers
■ Government
■ Lenders
■ Shareholders
○ Employees
■ Good internal communication is
vital
● Ensure everyone knows what they are doing
○ Via employee feedback
○ Wage negotiations
○ Internal job advertisements
● One or two way communication
A transmitter The person who wants to send the message

A transmission The message to be sent

A medium The method used to communicate

A receiver The person for whom the message was sent to

Feedback Indication sent back to the sender that the message has been received and understood

Types of communication
● Formal communication
○ Structured message
■ Imp for the organisation to operate effectively
● Informal communication
○ Less important discussion between work colleagues
● Open communication
○ Public notices available for anyone to hear
● Restricted communication
○ When a message is only intended for a specific person or group to receive

Methods of communication
● Verbal communication
○ Can Include
■ One-to-one meetings
■ Business meetings
■ Telephone conversations
■ Video conferencing
○ Advantages
■ Can communicate quickly and to many people
■ Reinforced ny facial expressions and body language
■ Followed up by other forms of communications
■ Can generate immediate feedback
○ Disadvantages
■ Can’t be sure if people are listening
■ Need good infrastructure for telephones and video conferencing
● Written communication
○ Can Include
■ Reports/ Memos
■ Minutes (records of meetings)
■ Notices/ Faxes
■ Press releases
■ Emails/ texts/ letters
○ Advantages
■ Creates a record that can be referred back to
■ Useful to communicate complicated information
■ Can be stored and can be cheap when using the internet
○ Disadvantages
■ Still don’t know if reader understands
■ Immediate feedback may not be possible
■ Restricted communication may be read
● By someone who wasn’t supposed to see it
● Visual communication
○ Can Include
 ■ Posters/ charts/ diagrams
■ Photographs/ Cartoons/ Presentations
■ Films/ videos
○ Advantages
■ Can be used to reinforce points made verbally and written
communications
■ More attractive
■ More interesting to a large number of receivers
○ Disadvantages
■ Hard to know if the message is understood
■ Can be difficult to include complicated technical information
■ Can be expensive to produce
Considerations for choosing which method
● Will it meet the business requirements?
● Who is the target audience?
○ Who are you trying to contact?
● How much will it cost?
● How quickly does the message need to be transmitted?
● Do we need a record?
● Does staff need to be trained?

Communication breakdowns
● When messages are misunderstood
○ Often due to barriers
■ Language issues
■ Too technical
■ Too lengthy
■ Get kost
■ Need to be adapted
■ Reach the wrong receiver
■ Ineffective
■ Misunderstood

Overcoming breakdowns
● By:
○ Training staff in communication
○ Ensuring messages are short, free, jargon free
○ Understanding your target audience
■ Who they are and what they need
○ Choosing the right method
○ Asks for feedback for understanding
○ Keeping records
○ Using alternative methods to ensure messages get through