Great Land College

Department of MBA
Individual Assignment of: Human Resources and Diversity Management (MBA 682)

Submitted to Dr. Zelalem

Name: Elfinesh Alemayehu

ID: GLC/0395/12

June 2020
 1. Promotion and Transfer
Promotion

A promotion is the advancement of an employee's rank or position in an organizational hierarchy

system. Promotion may be an employee's reward for good performance, i.e., positive appraisal.
Before a company promotes an employee to a particular position it ensures that the person is
able to handle the added responsibilities by screening the employee with interviews and tests
and giving them training or on-the-job experience. A promotion can involve advancement in
terms of designation, salary and benefits, and in some organizations the type of job activities
may change a great deal. The opposite of a promotion is a demotion.
Promotion is advancement of an employee to a better job- better in terms of greater responsibility,
more prestige or status, greater skills and especially increased rate of pay or salary. The upward
reassignment of an individual in an organizational hierarchy, accompanied by increased
responsibilities, enhanced status and usually with increased income though not always so.
Promotion is the reassignment of a higher level job to an internal employee with delegation of
responsibilities and authority required to perform that higher job and normally with higher pay. Thus,
the main conditions of promotion are:-
Promotion may be temporary or permanent depending upon the organizational needs and employee
performance.
Reasons for promotion
The main reasons for promoting the employees are as follows:
a. Promotion is the stepping up of an employee to a position in which he can render greater
service to the company.
b. Promotions from within the company are not so apt to be mistaken as are selections from
without.
c. The knowledge that deserved promotions are being made increases the interest of other
employees in the company and the desire to serve the interests of the company.
d. Such knowledge causes other employees to believe that their turn will come and so they
remain with the company and reduce the labor turnover.
e. It creates a feeling of contentment with the present conditions and encourages ambition to
succeed within the company.
f. It increases interest in training and in self-development as necessary preparation for
promotion.
Benefit of promotion:-
 Promotion places the employees in a position where an employee’s skills and knowledge can
be better utilized.
 It creates and increases the interest of the other employees in the company as they believe that
they will also get their turn.
 It creates among employees a feeling of content with the existing conditions of work and
employment.
 It increases interest in acquiring higher qualifications, in training and in self-development with
a view to meet the requirement of promotion
 Promotion improves employee morale and job satisfaction.
 Ultimately it improves organizational health.
Types of Promotion
a) Horizontal Promotion:
In this type of promotion, the position of the employee concerned has been upgraded with some pay
increase but the nature of his job remains the same. This is known as up gradation of an employee.
However, there is no up gradation to a higher rant status and responsibility the job classification
remains the same. For example, a lower-division clerk is promoted as higher-division clerk.
b) Vertical Promotion:
Most of the time, the term promotion, refers to vertical promotion. In vertical promotion, there is a
change in the status, responsibilities, job classification and pay. Sometimes, this type of promotion
changes the nature of job completely, e.g., a functional head is promoted as chief executive of the
organization. The jobs involved at these two positions are completely different.
c) Dry Promotion:
An increase in responsibilities and status without any increase in pay or other financial benefits is
termed as dry promotion. For example, a professor in a university becomes Head of the Department. It
is just an elevation of the professor without any increase in monetary benefits.
d) Open Versus Closed Promotion:
An open promotion system is the system where it is willing to consider all individuals within its
organization as potential candidates and also announces internally such position openings.
On the other hand, where an organization does not so announce vacancies or where the candidacy is
restricted and is not open for all individuals within the organization for the promotion openings, the
company is said to have a closed promotion system. In general course a companies have a combination
of these two concepts.
Transfer
One of the internal mobility of the employee is transfer. It is lateral movement of employee in an
organization by the employee. A transfer involves the shifting of an employee from one job to another
without changing the responsibilities or compensation.
Transfers of employees are quite common in all organizations. This can also be defined as a change in
job within the organization where the new job is substantially equal to the old in terms of pay, status
and responsibilities. Transfers of employees can possible from one department to another from one
plant to another. Transfer may be initiated by the organization or by the employees with the approval
of the organization. It can be also due to changes in organizational structure or change in volume of
work, it is also necessary due to variety of reasons. But broadly can be done either to suit the
conveniences of organization and to suit the convenience of employees.
Reasons for employee transfers
 To avoid favoritism and nepotism. 
 To avoid gaining capacity of influencing and egocentrism. 
 To avoid monotony in the work of an employee. 
 Makes an employee accountable to his seat, so as not to find mistake by his successor. 
 So as to avoid excess dependency on particular employee, otherwise may affect the purpose of
hierarchy and lose control over subordinates. 
 To create transparency among the employees and their work. 
 It limits taking advantage and sole control over the seat or section. 
 To avoid unnecessary influence on others for their own advantage. 
 To make conversant of different seats work. 
 To maintain healthy relationship in between all the staff members to retain harmonious
environment to avoid unnecessary disputes.
Types of Transfer
a. Production Transfer:
Employees are posted in different departments, based on their interests and qualifications. This also
depends on the work load that a department possesses. However, this load keeps fluctuating, and the
demand for manpower keeps changing with time.
b. Replacement Transfer:
When an employee leaves a department for a particular reason, the department needs a replacement. In
such scenarios, especially in demanding situations, a senior employee might have to function in place
of the junior employee, till the time a replacement is found. Senior employees are required to work in
place of junior employees even in situations of declining production. Thus, replacement transfer also
helps in reducing the organizational need for lay-off; particularly for long-service employee.
c. Versatility Transfer:
Some organizations believe that the workforce needs to have multiple skills capable to perform
multiple tasks. People can achieve multiple skills only by working in different departments. In
learning organizations such as ordnance factories, banks, and many private companies, people get the
scope of working in different departments and can learn different systems, procedures, and rules and
regulations.
d. Shift Transfer:
In order to enhance capacity utilization, industrial organizations, operate in multiple shifts-generally
morning, evening, and night shifts. Some organizations allot employees to staggered shifts as well.
Employees are engaged in all the shifts on a rotational basis. Requests of employees for transfers on a
particularly shift are also entertained, considering the importance of ground of requests. However,
conformance to law and administrative procedures are essential requirements to avoid employee
unrest.
e. Remedial Transfer:
After induction, employees are placed in a department and jobs are assigned to him/ her, and their
performance and behavioural dispositions are recorded. Some employees may emerge as good
performers, while many others may emerge as underperformers. In course of time, an employee’s
inclination to work is also observed. The objective of remedial transfer is therapeutic in nature, that is,
to rectify the wrong placement.
2. Equal Employment Opportunity
Equal Employment Opportunity (EEO) is the principle that everyone can have equal access to
employment opportunities based on merit, without fear of discrimination or harassment.
Employers who hire, manage or dismiss employees are not allowed to discriminate based on race,
ethnicity, color, sex, sexual orientation, gender identity, relationship status, family or career
responsibilities, pregnancy, mental or physical disability, religion, political opinion or age.
It's also illegal to discriminate against someone for complaining about discrimination or suing over
discrimination. Discrimination includes not just hiring and firing but promotion, harassment, getting
training, and receiving wages and benefits.
 Equal Access
The concept of equal access to employment under EEO applies to job applicants. Employers are not
allowed to give preference to candidates based on the eight characteristics for which EEO prohibits
discrimination. Equal access means that neither the search for candidates nor the evaluation criteria
can favor particular groups. If an employer claims to satisfy EEO, but maintains a work force that does
not reflect the diverse population at large, he might have to demonstrate that his employment
application procedures are not discriminatory.
 Equal Benefits
Once business has accepted an applicant for employment, it cannot use any of the eight non-
discrimination characteristics to award higher pay or other benefits to employees. All employees must
be treated equally. Companies can only award promotion, benefits and pay raises based on neutral
factors such as performance, successful collaboration with other workers, or on-time completion of
projects. Companies must evaluate their criteria for awarding benefits and be able to demonstrate that
they don't discriminate.
 Equal Treatment
Companies must ensure that all employees receive equal treatment independently of the characteristics
for which discrimination is prohibited. This includes fair evaluation procedures, equal disciplinary
policies and non-discriminatory guidelines for operations. The company must produce documentation
that it has followed non-discriminatory guidelines. In addition, it must ensure all staff adheres to the
guidelines. When results indicate that a particular group is an unfair target, the company must adjust
its documentation and practices.
 Responsibility
It is the responsibility of the company to ensure the application of equal employment opportunity
procedures throughout its operations. Some companies try to avoid some aspects of discrimination by
not asking for, or including, information about certain applicant characteristics in job applications.
Other companies aim for non-discriminatory results by seeking applicants that reflect the diversity of
the population from which they come. If their work force is not diverse or if compensation, discipline
or other factors hint at possible discrimination- it is the responsibility of the company to demonstrate
that it does not in fact discriminate.
 3. Sexual Harassment at work place
As a definition, sexual harassment is an unwelcome attention of a sexual nature that makes a person
feels uncomfortable. It includes a range of behaviors from mild transgressions and annoyances to
serious abuses, which can involve forced sexual activity. Sexual harassment is considered as a form of
illegal discrimination as well as a type of psychological and sexual abuse.
To be sexually harassed is to be the victim of any situation stated in the aforementioned definitions.
Each organization and/or each community has its own socio-cultural agenda whereby the terms and
conditions show what can be considered as sexual harassment.
 Verbal - Sexual innuendoes, suggestive comments, jokes of a sexual nature, sexual
propositions or sexual threats.
 Non-Verbal - Sexual suggestive objects or pictures, graphic commentaries, suggestive or
insulting sounds, leering, whistling or obscene gestures.
 Physical - Unwanted physical contact, including touching, pinching, brushing the body,
coerced sexual intercourse or assault
Effects of Sexual Harassment
Sexual harassment can affect everyone because it creates an environment that makes it harder for
employees to succeed. The possible effects of sexual harassment in the workplace include:
Emotional and Physical Issues
Victims of sexual harassment often suffer emotional and psychological harm, including stress,
depression, and anxiety. They often experience decreased confidence and self-esteem. Physical health
problems may arise such as loss of sleep and appetite, weight fluctuations, nausea, and headaches.
Professional and Financial Problems
Sexual harassment can also wreak havoc on a victim’s job performance and career trajectory. Fear and
decreased confidence can cause some people to withdraw from the workplace and disengage from co-
workers. They are more likely to be tardy, absent, distracted, and neglect duties.
If victims of sexual harassment report the harassment, they may suffer advancement setbacks such as
being passed over for promotions, being left out of keys meetings, retaliation, and being labeled a
troublemaker. Financial problems like lost wages and unpaid leave are also possible.
Decreased Company Productivity
Sexual harassment is also damaging to an organization. When a workplace is infected with
discrimination and harassment, everyone suffers. The hostility created by harassment causes
absenteeism, low morale, gossip, animosity, stress, and anxiety among staff. Low productivity is more
common in environments with high rates of sexual harassment.
Victims and witnesses of sexual harassments are more likely to quit, leading to high employee
turnover and related hiring and training cost increases. A toxic environment will also make recruiting
top talent more difficult.
Lawsuits and Reputation
A company’s failure to adequately prevent and handle sexual harassment can result in expensive
lawsuits. In the past decade, we have seen some eye-popping jury awards in sexual harassment cases. 
Remedies for Sexual Harassment
Every employer, regardless of size, must take all reasonable steps to prevent sexual harassment in the
workplace to avoid liability. This means that employers must actively implement precautionary
measures to minimize the risk of sexual harassment occurring and to respond appropriately
when harassment does occur. In short, there are two main actions that employers must take to avoid
liability for sexual harassment: Take all reasonable steps to prevent sexual harassment from occurring
and if sexual harassment does occur, take appropriate remedial action.
To prevent sexual harassment, an employer should have a sexual harassment policy, implement
it as fully as possible, and monitor its effectiveness. Moreover, in order to remedy sexual harassment,
an employer should have appropriate procedures set up for dealing with complaints once they are
made.
Steps to eradicate sexual harassment
o Develop and clearly communicate a sexual harassment policy endorsed by top management.
o Use a fair complaint procedure to investigate charges of sexual harassment.
o When it has been determined that sexual harassment has taken place, take corrective actions as
soon as possible.
o Provide sexual harassment education and training to organizational members, including
managers.