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Quiz1

T Personnel or Human Resource Management i F Busting, breaking and driving the labor
is a relatively new field in the Philippines. unions out are just one of the roles of the
personnel or human resource manager.

F The top management is aware that there is


always a need for personnel management in He delegates some of his functions to his
the company. subordinates but checks on them through
follow-ups. Supervisor

F Industrious and hardworking personnel are


already suitable qualifications in becoming a He brings into action all activities and
personnel or human resource manager. harmonizes the work of various personnel in
his department and related functis in other
departments. Coordinator
T The Personnel Management Association of
the Philippines or PMAP is a national
organization of all human resource He conducts or administers the company’s
practitioners which was established to uphold training program and is involved in the
the profession to the fullest. development of each employee. Educator

T The variety of operations at work and the He serves as a guide and confident to
increase in size of personnel management in management supervisors and employees. He
the Philippines. must be well-informed about employee
attitudes and behavior which may affect the
company. Adviser
F The Industrial Peace Act of 1983 is also
known as the Magna Carta of Labor. .
He represents the mangement in negotiating
labor contracts or attends negotiations with
F The company program concerning employee unions in an advisory capacity.Negotiator
benefits remain the same throughout the years
and that makes their administration easy to
handle. He deals with the general public, which
includes the employees, the unions
and the community. Public Relations Man
T Personnel Management is an art because
personnel managers make decisions ‘at the
right time with the objective of achieving
He provides services to all employees and
desired results.
helps them obtain facilities with goverment
agencies like SSS, Philhealth that makes
employment more. Provider of Service .
T A personnel manager should also establish
good relationship between the management
and employees by keeping the lines of
communication open.
He helps the company project a favorable and T The final component to the strategic
positive nage to the community. He must be management process is that of Strategy
well informed of the activities and evaluation and control.
developmentsin the environment. Promoter of
Community
F Intended strategies consist of strategies that
evolve from the grassroots of the organization
He sees to it that labor laws and government and can be thought of 2a what the
regulations are properly complied with. He organizations actually do.
should also know how a policy is made and
administered. Administrative Officer
F Emergent strategies are the results of the
rational decision making by top management
He counsels employees from his knowledge as they develop strategic plans.
and training in human relations and the
behavioral sciences because of his familiarity
with company operations. Counselor T Routine reports are human resource date
summarized on a schedule basis like current
Quiz#2
manpower status, regular employees,
T Strategic planning is the determination of the contractual employees, supervisors and
overall organization purpose and goals and managenal employees on a regular payroll.
how they are to be achieved.

T On demand reports are reports for analysis.


T Human resource planning is the process of This may pertain to Productivity index,
systematically reviewing human resource individual performance records and other
requirements to ensure that the number of information that may lead to downsizing and
employers match the required skills. other personnel actions.

F The two tmportant components of human It is the process of systematically reviewing


resource planning are requirement and human resource requirements; ensure that the
forecasting number of employees match the required skills.
human resource planning

F Long term forecasting refers to reasonable


predictable movements that occur over a The determination of the overall organization
period of one year or more. purpose and goals and how they are to be
achieved. strategic planning

T Random variation is an occasion where is no


special pattern and is quite difficult to predict or A planning technique approach which involves
determine. the listing of all the skill, possessed by the
workforce which are made to relate to the
requirements o the organization. skill
inventory
This is a technique wherein the personnel who A method of external recruitment in whicha
are promotable to the higher position are company places an advertisement of the
identified together with their backup or vacant position in the appropriate media (e.g.,
understudy. ratio analysis newspaper, magazine, television or radio).
advertising media

A plan is likely to fail through an inherent


weakness of having covered too many aspects The news about the hiring of new personnel for
of personnel management at the very early a vacant position is spread from one person to
stage of Human Resource Planning in the firm another through oral . communication. word-
or government office. over-planning of-mouth

The use of so many techniques sometimes The linking of the recruiting activities to the
leads to the gathering of so much information. organization’s strategic objectives. career
Then the techniques do not get to be applied development system
effectively. This makes the techniques serve as
the trap rather than the means for action.
technique over-load The information regarding the personal details,
qualifications and work history of each
employee are stored in the computer that
It is the process of combining the factors for allows the HR manager to quickly locate
attaining a changed situation in the potential candidates within the organization’s
establishment of condition in the physical or work force. computerized record system
social environment. organizing

Advertising of job openings to current


An aspect of Human Resource Planning which employees via bulletin boards, newsletters,
states the basis of business ons and forecasts; personal letters or computerized posting
manpower needs are planned and monitored programs. job posting
closely.Systematic Forecasting of Manpower
Needs
The applicants approach the HR department
seeking a job . without an appointment or they
An aspect of Human Resource Planning of submit a written application a letter or resumé,
analyzing, improving and montoring the or inquiring about the job without reference to
performance of each employee and of the an advertisement. Applicants are often called
organization as a whole.Performance the “write ins” and “walk ins”. unsolicited
Management application

An aspect of Human Resource Planning of Thecompany’s recruiters visit prestigious


assessing and determining the development college/ university
needs of managers for future succession
requirements. Management Development
Quiz#3
campuses to attract the best talent for positions
requiring a college degree. campus/university
F The “walk in” and “write in” applicants have
recuitment
always great chances to behired.

Placement offices of some local government


F Recruitments from ,the universities that
units providing possible employment for their
produce quality graduates require no planning
constituents. Government Agencies
at all. .

Privately run agencies that for a fee provide


F Applicants with strong recommendations
companiegwith clerical blue-collar, sales and
from politicians must be hired even if they fail
technical personnel. Private employement
to meet the standard requirements.
agencies

F Both government and private sectors have


The company organizational representatives
lots of jobs to offer to new graduates based on
gather to meet the potential employees and
the courses they have taken.
vice versa over a period of one or two days
over some specified field. job fair/open house Quiz#4
T Personal traits and qualities are the common
focus of Preliminary Screening.
T The hiring from outside is the management
‘option if he thinks no one from within is
qualified.
F The interview is the most objective
instrument in the Selection Procedure.
T The recruitment within the company will
create the vacancy that could be sourced out
from the external source. F A probationary employee is hired for a
particular work that is seasonal in nature.

T The success of job posting depends largely


on how well it. is designed and monitored. F Work Reference check must be in the form of
an essay to secure detailed information about
the applicant.
T Pulling of strings and the “padrino” system
may discriminate against other applicants who
may be more qualified. T Graphology is the art and science of the
analysis of a person’s characteristics through
his handwriting.
T The time of the year affectsthe applicants’
response to the advertisement.
T The person’s motivation, goals, objectives
and work attitude can be revealed by his value
system.
F Use blind ads to encourage numerous
applicants for the “hard-to-fill positions”. : :
F The final decision to hire is commonly made These are directive interviews that promote
by the HRM head based on the results of the equal opportunity for all applicants. structured
Selection Procedure. interview

T Selection is deciding which applicant has the It determines the selction procedure on how to
personal qualities that match the job hire the most qualified applicant for the specific
requirements. job. HRD

T Effective Testing secures the use of validated It assesses the personal traits such as the
testing materials, proper administration, physical appearance, groonung and quahties
checking and interpretation made by credible, Ike trainings and educational background of the
individuals. applicant. preliminary screening

T The use of language, gestures and voice It screens physical capabilities of the
inflection are taken into consideration during Executive/Manager — applicants in performing
interviews. These could be contributory factors the job. physical examination
to fully assess the individual's fitness to the job.

This measures the individual's capacity to


Its task is the final acceptance to hire an acquire a given work if given adequate training.
employee. Operating department aptitude test

The most important part of the Selection QUIZ #5


Process. All information and results of the tests
1. Training has to be continuously offered
of the applicant is assessed in this stage. in-
to keep employees updated and
depth interview
effective. TRUE
2. The cost of training is greater than the
cost of gaining experience. FALSE
This commonly reveals the applicant's 3. The element of predictability is far
emotional maturity and — other personal greater when compared to the outcome
characteristics. personality test of a well-conceived and conducted
training program. FALSE*
4. Employees with effective orientation
In this stage the applicant is finally offered the programs tends to stay longer with the
job and _ formally introduced to the group, company. TRUE
undergoes orientation and induction programs. 5. Development is used to gain a
placement competitive advantage and viewed
broadly as to create an intellectual
capital. FALSE
6. The success of any training program
This is the development and famtharization of
can be gauged by the amount of
the required skills for a particular type of work.
observation and practice that occurred
apprenticeship
and is transferred to the job. FALSE
7. Supervisor determine the need for 22. The growing capabilities that go beyond
training and specify the training those required by the current job.
objectives and the training efforts. DEVELOPMENT
FALSE 23. Practical application of what was
8. Only internal forces that can influence learned in the program. TRANSFER OF
training must be considered when doing TRAINING
organizational analysis. FALSE 24. Degree of the employee’s desire to learn
9. The use of Job Description Data in the cognitive ability, reading and writing
making this individual analysis is the skills and other technology changes
most common approach. FALSE necessary in the work environment.
10. An employee’s potential may mean BASIC SKILLS
further training to assume a higher 25. The planned introduction of new
position in the future. TRUE employees to their jobs, co-workers, and
11. Negative tone attitude toward training the organization. ORIENTATION
that must be cultivated and made an 26. It makes management alert to
integral requirement before the inefficiency, provides better products
employee sets foot in the training and services and keeps costs down.
program. FALSE TRAINING.
12. Training involves a permanent change in 27. How management gives the new
behavior. FALSE employees information about the details
13. Self-efficacy is the most important of his/her work. THROUGH INDUCTION
aspect of training administration. FALSE 28. Learning while actually working in the
14. The immediate and special needs of a job. ON-THE-JOB TRAINIG
company are determining factors in the 29. An objective in training to make the
selection of the training courses and employees do his job more efficiently.
materials. FALSE PRODUCTIVITY
15. Learning has a major impact on the 30. These skills are needed to perform
delivery of training programs. FALSE one’s job effectively. BASIC SKILLS
16. This technique can be effective because
the individuals are given the opportunity
to get away from the job and QUIZ #6
concentrate solely on what is to be
learned. OFF-SITE/OUTSIDE 1. Analysis of the Organizational Structure
DEVELOPMENT INTERVENTION is the vertical interconnections among
17. It determine employees development jobs. FALSE
potentials and needs. 2. The type of Organizational Structure has
PSYCHOLOGICAL TESTING no implication in the design of the jobs.
18. The process of shifting employees from FALSE
one job to another. JOB ROTATION 3. There is a best method in job analysis.
19. Adding challenges and new FALSE
responsibilities to the employees current 4. The smaller the company, the simpler
job. JOB ENLARGEMENT the job evaluation method used. TRUE
20. Emloyees interacting with more 5. Similar jobs performing similar duties
experienced organization members. and responsibilities must have the same
MENTORING job title. TRUE
21. Group of employees who work together 6. Job titles must not reflect the major job
to learn from each other and develop a functions. FALSE
common understanding on how to get 7. Job analysis focuses only in one
the work done. COMMUNITY OF important data that managers must have
PRACTICE
the right information about the nature of jobs in the organization. JOB
the employees. FALSE EVALUATION
8. The accuracy of job information is 21. It is more complex method, and it
necessary to Job Analysis. TRUE involves a monetary scale instead of a
9. Job analysis is considered as the point scale. FACTOR COMPARISON
building block of anything that human METHOD
resource manager does. TRUE 22. From the foundation of any human
10. The type of organizational structure has resource process from recruitment and
implication on the design of the jobs. selection of performance management,
TRUE compensation and career development.
11. In a divisional structure, jobs need HUMAN RESOURCE PROGRAM
specialization and the responsibility is 23. One who studies the duties,
focused on specialized skills hence responsibilities, and the specification
supervision and decision-making requirements of the job. JOB ANALYST
become minimal. FALSE 24. A written statement of the essential
12. The correct title of a particular job is very characteristics of a job including the
important in the organization. TRUE necessary qualifications, duties,
13. The result of any job analysis program is responsibilities and degree of authority
the writing of the Job Title and Job of job. JOB DESCRIPTION
Specification. FALSE 25. This method is commonly use for blue-
14. Job Analysis is the sole responsibility of collar, as the employee may not be able
the HRD. FALSE to answer the question. THE
15. A HR Manager requires knowing the INTERVIEW METHOD
different jobs in the company. TRUE 26. It contains information about the
16. It is an improvement of the ranking employee’s qualifications and traits
system. POINT RATING METHOD required in the effective performance of
17. The ff are uses of job description: the work assigned. JOB
● It helps identify and distinguish SPECIFICATION
one job from other jobs 27. The simplest and oldest method and the
● It is used as a tool in the proper least often used, it usually based on
employee recruitment, selection overall difficulty rather than on a number
and training of compensable factors. RANKING
● It helps establish job relationships METHOD
within the salary bracket 28. It shows clearly the area of job activity
● It serves as a guide in structural and must show its relationships with the
departmentalization other jobs in the unit or department.
● It could be used as a guide in the JOB TITLE
horizontal and vertical promotion 29. The process of getting detailed
of employee’s thereby developing information about the tasks, duties and
and promoting morale. responsibilities of the job as seen in the
18. The process of getting detailed organizational structure. JOB
information about the task, duties, and ANALYSIS
responsibilities of the job as seen in the 30. It evaluates selected job factors, which
organizational structure. JOB are regarded as important for the
ANALYSIS effective performance of the job,
19. It identifies what work must be according to one several alternative
performed and who will perform it. JOB methods. JOB EVALUATION
INFORMATION
20. It is the systematic determination of the
value of each job or relations to other QUIZ #7
1. HRD function in a company is usually 17. This theory gives weight to the merit of
the Wage and Salary Administration. work. LABOR THEORY OF VALUE
FALSE 18. Advantages of Wage and Salary
2. The level of pay must impair profits. Structure:
FALSE ● It affects the worker’s earning and
3. There are set of rules for making standard of living
decisions in conducting Salary Wage ● It eases the recruitment and
Survey. FALSE maintenance of an effective labor
4. In deciding whether to match a survey force
trend line, management faces a conflict ● It develops employee morale and
between the law and economic forces. increases work efficiency
FALSE ● It represents cost and competitive
5. The design and operation of wage and advantage in the industry
salary structure is the concern of ● It helps in preparing budgetary
management alone. FALSE allocations and eases
6. Jobs are ranked in ascending to computation of salary
descending order according to their adjustments and as an aid in
importance. TRUE short-term and long-range plans
7. The design of the Wage and Salary ● It eliminates pay distortions and
Structure is the establishment of the job inequities in employee
classes and rate ranges. TRUE compensation
8. The number of pay ranges in pay ● It establishes an equitable salary
range for various jobs
structure does not depends on the
19. Characteristics of Wage and Salary
company and on the number of such
structures in the company. FALSE Policies:
9. The same could be said for the width of ● The wage and salary plan must
be easily understood
the salary grade, there is standard guide
● Salaries in the wage plan should
as to the spread of pay grades. FALSE
10. Once the pay structure has been be easily computed
● Salaries must be made relevant
determined, the next step is to assign
with efforts
employees to their proper job
● Incentive wage plans should
classifications. TRUE
provide payments for incentive
11. When employees salaries fall below the
earnings to employees soon after
minimum of the pay grade for the job, they have been earned for the
then it is called green circle rate. TRUE efforts exerted to reach the
12. To remain competitive, a salary structure standards
should be reviewed every four (4) years ● The method of payment should
depending on the inflation rate prevailing be stable and unvarying
in the country brought by economic 20. This theory of wages is expounded by
factors and internal factors. FALSE John Stuart Mill. WAGE FUND THEORY
13. The Bargaining Theory is brought about 21. This theory is the basis in the
by the organization of minimum wage implementation of minimum wage laws.
laws. FALSE THE JUST WAGE THEORY OF ST.
14. Presentation of the surveys result is THOMAS AQUINAS
optional in conducting wage and salary 22. This theory proposes that labor is a
survey. FALSE commodity like anything that could be
15. Skills is much more important that brought at a price by the user.
integrity. FALSE BARGAINING THEORY OF JOHN
16. The elite of the labor grades. DAVIDSON
PROFESSIONALS
23. It tries to establish the relationship PERSONNEL MANAGEMENT ASSOCIATION
between wages and the level of OF THE PHILIPPINES (PMAP) – a nationwide
economic activity. THE PURCHASING organization of all personnel managers and
POWER THEORY human resource practitioners in the country.
24. This theory, if applies will be in favor for
the labor force, but is counterproductive. ACTIVITIES OF PMAP
THE STANDARD OF LIVING THEORY 1. Training and developing
25. “The more money I have, the more
personnel administration through
clothes I can buy” is a statement that
characterizes what theory of wages? seminars, lectures, workshop,
PURCHASING POWER THEORY meetings, national conferences and
26. Who propounded the labor theory of holding tripartite conference.
value? KARL MARX 2. Participation in public hearings to
27. This method of wage payment is often voice support of, opposition to,
used in paying wages for factory proposed legislation affecting business
workers. DAY WOR METHOD** and industry;
28. This type of theory gives weight to the
3. Dissemination of information to
merit of work. LABOR THEORY OF
upgrade personnel management,
VALUE
29. This technique is the least scientific and offering technical advice through its
reliable as this does not require scientific special committees and library facilities;
computation. EYE INSPECTION and
30. This theory offers the best explanation 4. Establishment of public relations
of wages in modern industry. program aimed at informing the public
MARGINAL PRODUCTIVITY THEORY about the nature of personnel work.

• DOLE, Employees compensation


HUMAN RESOURCE MANAGEMENT commission, SSS, TESDA & etc., usually
consult with the association before taking a
HRM IN THE PHILIPPINES stand on matters affecting employer-employee
relations.
Early in 1950’s
THE CHALLENGES OF HUMAN RESOURCE
For it to gained acceptance and recognition, MANAGEMENT
three conditions need to exist:
1. Top management must be 1. The challenge of the global community –
convinced that personnel must compete with organizations not only in
management is needed in the place of operation but the global
business operation; community; global markets.
2. Qualified personnel
administration must be available; 2. The stockholders challenge – The
3. Personnel administrators companies are challenged to reach financial
must demonstrate their capacity objectives through meeting customers and
to contribute to the company’s employee’s needs.
objectives and goals.
3. The challenge of productivity – The HR
Lack of understanding of what personnel work became more “smart workers” with the aid of
is. computer-aided machines, internets and expert
system.
THE LINKS OF HIGH PRODUCTIVITY ARE The facilities of the personnel department are
here again utilized to handle such programs.
a) Human resources and capabilities THE DEFINITION OF HRM

b) New technology and opportunities · function. of management, concerned with


promoting and enhancing the development of
c) Efficient work structure and company
work effectiveness and advancement of the
policies allow employees and technology to
human resources in the organization.
interact.
· These are accomplished through proper
CONTRIBUTING GROWTH FACTORS
planning, organizing, directing, coordination
1. Increasing complexity of business and controlling of activities related to
operations – the post-war period saw the birth procurement, development, motivation and
of big corporations where the volume and compensation of employees to achieve the
variety of Operations and the size of the labor goals of the enterprise.
force demanded specialization in management.
The personnel specialist was called upon to HRM AS SCIENCE AND ART (IMAGINATION
formulate and carry out the organization's AND INTELLIGENCE)
personnel policies and programs.
SCIENCE – personnel management is a
2. Government regularizations and labor
laws promulgated in recent years – In order to science because itinvolves the systematic
safeguard the workers, the government gathering of data derived from surveys,
deemed it Wise to enact a number of labor statistics, interviews, and observations.
laws and government regulationssuch laws are
the Woman and Child Labor Law, the Minimum ART - Art is proficiency in the practical
Wage Law, the Eight-hour Labor Law, the application of knowledge acquired through
Industrial Peace Act of 1953, and several other study, experience or observation and formulate
labor and social laws which are embodied in a good solution; it involves making of sound
the labor code of the Philippines (November 1,
decisions.
1974)

3. Growth of Labor Unions – The passage PERSONNEL/HRM – is a member of top


of the Industrial Peace Act of 1953, otherwise executive group and responsible of personnel
known as the Magna Carta of Labor, triggered policies and programs.
the organization of labor unions and the
strengthening of the workers' bargaining PROBLEMS AND DIFFICULTIES OF THE
power: Collective bargaining negotiations and PERSONNEL/HRM
the administration of union contracts may best 1. Common misconception about
be handled with the technical resources of a his role and functions – “simple clerk”
personnel department. whose job is to keep employee records.
"power behind the throne'" has full control
4. Influx of new concepts in management – of the workers and who can do just about
The employee welfare concept is not new; but anything he wishes to make them happy
and to solve all problems involving
its nature has changed from one of paternalism personnel.
to that of employee's rights through practices
that have become institutionalized, Employee 2. Inadequate recognition by
management of the proper role of the
benefits have become varied and HR raging, personnel manager in the organization –
making their administration a complex function. Some top management executives are
unwillingly togivethe personnel manager
the corresponding authority and Ø Companies now look at HR practices as a
responsibility for thejob. There is mean to profitability, quality, and other business
hesitance on the part of business
executives to let the personnel goals.
-manager participate in personnel
policy-making decisions. THE ROLE OF HR IN THE NEW MILLENNIUM
ORGANIZATION
3. In the area of labor relations –
Some employers expect the personnel
manager to keep the labor unions out or · Out-placement, labor law compliance,
if there is one, to break or bust it. The record keeping, testing, compensation and
personnel manager who is aconformist some aspects of benefits administration.
becomes unstable and insecure in his
position because of lack of the · Collaborate with company executives on
necessary strength of personality and
knowledge of his job. employment interviewing, performance
management, employee discipline and efforts
4. Jealousy of the other executives
to improve quality and productivity.
regarding the personnel manager’s duty
and authority – These problems can be THE ROLE INCLUDES THE FOLLOWING
avoided if top management defines
clearly the extent and limits of authority 1. Recruitment and Employment
and responsibility of the personnel
manager and enjoins the line executives 2. Interviewing, testing, recruiting and
and supervisors to cooperate with him. temporary employment

THE PAST AND PRESENT ROLE OF HUMAN 3. Labor coordination


RESOURCES
4. Training and Development
THE TRADITIONAL PERSONNEL IMAGE · Orientation of new and
temporary employees
Historically, personnel managers and their · performance management
departments suffered from very low perceived training
position due to the following factors: · Productivity enhancement

1. Disrespect for the position and those 5. Wage and salary management
who perform it; · Job evaluation
· Wage and salary survey
2. The low position in the organization; · Executive compensation

3. Lack of expertise in performing their 6. Benefits Administration


functions · Vacation and Sick 'leaves
administration
THE CHANGING IMAGE OF THE HR
· Insurance
FUNCTIONS
· Stock plans
Ø Organization now recognized the important · Pension plan
role played by human resources in the · Retirement plan assistance
company’s profit index. programs

7. Employee Service and Recreations


· Bus service
· Canteens 5. Negotiator – representative of the
· Athletics management in negotiating labor contracts or
· Housing and Relocation to attend negotiations with unions in an
advisory capacity.
8. Community Relations
· Publication 6. Educator – He conducts or administers
· Community project and company’s training program; employees’
relation development.

9. Record management 7. Provider of services – facilitate with


· Employment record government agencies like SSS, Medicare etc.,
· Information system which can make their employment more
· Performance record satisfying.

8. Employee counselor – His knowledge


and training in human relations and the
10. Health and safety behavioral sciences plus his familiarity with
· Training, safety inspection, company operations.
dental and medical services and
drug testing 9. Promoter of community relations – He is
called by the management in helping the
11. Strategic management company project favorable and positive image
· Collaborative planning to the community; must aware in the
· Out-sourcing manpower environment where the enterprise operates.
research
· Organizational Planning 10. Public Relations man – His require him to
deal with the general public, which includes the
ROLES OF HR MANAGER employees, the unions, and the community.
PERSONAL QUALITIES OF THE
1. Supervisor – plans, organizes, directs,
PERSONNEL MANAGER
controls, and coordinates the activities of his
1. Can communicate effectively,
department. Manage and trains employee.
both orally and writing.
2. Administrative official – He or his staff 2. Possesses an above-average
conducts or directs certain personnel activities intelligence.
as provided or in the policies and programs 3. Enjoys working with people
entrusted to the department. 4. Grasps the implication of a given
situation, understand individual
3. Adviser – serves as counselor, guide attitudes and the problem of
and confidante to management supervision employees/employer.
and employees; informed about employees’ 5. Aggressive, mature and capable
attitude and behavior. in giving advice on the
employer/employees.
4. Coordinator – He brings into action, 6. Possesses the integrity, industry
regulates and combines diverse efforts into and courage to earn respect of the
harmonious whole. employees/employer.
7. Possesses pleasing personality PERSONNEL MANAGER “JACK OF ALL
and personal warmth and TRADES”
approachable.
1. College professor
THE SKILLS NEEDED BY TODAY’S HR
PROFESSIONALS 2. Vice president of the company

1. Higher degree of knowledge on 3. Chief of executive officer (CEO)


management and processes.
4. Politician
2. He must possess a high human and
5. Entrepreneur
public relations.
6. Businessman
3. A great knowledge of human psychology
and social relations. THE CARREER PATH TO HR MANAGER
4. A working knowledge of labor laws and 1. Entrance level – a new college graduate
regulations. may start as personnel assistant in a medium
size organization. The ff skills are necessary:
5. A thorough knowledge of management
a. Assisting in interviewing
and its relations to effective organization is a
applicants
must for all HR managers to plan out strategic
b. Giving tests and scoring
approaches to problems and their solutions.
test results
6. A community relations officer. The HR c. Assisting in employee
manager develops greater linkage with orientation and training program
government and other stakeholders. d. Record keeping

REWARDS AND BENEFITS FOR THE 2. Supervisory level – higher level depends
PERSONNEL MANAGER on the ability and capability of the personnel
assistant. The traits/skills are:
1. Car plan or free use company a. Skills in writing job
transportation description, job analysis, & job
evaluations.
2. Unlimited/limited use of gasoline and b. Knowledge of employee
free maintenance check-up benefit programs related to
vacation, sick leaves, pension
3. Company cellular phone
etc.
4. Representation Allowance/Meal c. Skills in interviewing
allowance applicants and counselling
employees.
5. Education Scholarship/Attending d. Skills in testing and
conventions and seminars interpreting test results and
making recommendations.
CAREER ADVANCEMENT/ OTHER e. Job evaluation and wage
PROFESSIONNAL OPTIONS FOR administration skills and relating
pay to the differences in job technology without which competitive
requirements. advantage could hardly be possible.
f. Skills in determining training
needs; develop training module · Employees need to be trained and
g. Skills in basic research developed and we need to dismantle the
related to man power planning. bureaucratic structures that limit employee’s
ability to innovate and be creative.

· Employees should be empowered towards


3. The managerial level – acquired the productive endeavor and be guided according
above skills. The concentration of the HR is the to the need for competitive advantage if the
effective management of the different areas. economic development of this country is to be
a. Leadership and conceptual attained.
ideas visioning – HR manager
are part of the strategic · We need to give credit for productivity but
management team that productivity cannot be attained with hungry
participates in organization stomach.
strategies planning; improves
CHAPTER 2
products and services,
productivity, technology HUMAN RESOURCE PLANNING (HRP) –
enhancement. process of systematically reviewing human
b. Analytical of the facts as resource requirements to ensure that the
basis for decision making – His number employees matches the required skills.
main concern is how HR assets Matching internal & external supplies.
could be turned into productive
investments through a proper STRATEGIC PLANNING – is the determination
compensation and benefits of the overall organizational purpose and goals
program. and how they are to be achieved.
c. Compliance administration
and control – include labors laws, 2 IMPORTANT COMPONENTS OF HRP
environmental regulations, safety
1. Requirement – determining the number
and security employee services;
and types of employees needed.
recreation
a. Internal resources – refer
d. Interpersonal team work –
to existing manpower that could
team building and organizational
be re-assigned to new positions
interventions are needed to
or be promoted to higher vacant
develop greater team work.
position.
b. External resources – refer
to positions that are not available
THE CHANGING LANDSCAPE IN HR inside the organization and need
MANAGER to be sourced out.

· The change in personnel values and 2. Availability – determines whether there


orientation should match the changes in is a surplus or shortage in manpower.
ASPECTS OF HRP a. Business development and
assumptions
1. Systematic forecasting of manpower b. Corporate planning
needs – on the basis of business conditions c. Economic forecasts
and forecasts, manpower needs are planned d. Changes in plans and
and monitored closely. products
e. New product lines
2. Performance management – analyzing,
f. Mergers and consolidations
improving and monitoring the performance of
each employee and the organization as a 2. Studying the jobs in the company and
whole. writing job description and job specifications

3. Career management – determining, 3. Forecasting of manpower needs


planning and monitoring of each employee and a. Determination of the
developed them for improved productivity. number and skills of people
required for the work.
4. Management development – assessing
b. Forecasting, knows as the
and determining the developmental needs of
planned and logical method of
managers for future succession requirements.
determining both quantitatively
ADVANTAGES IN USING THE ELEMENTS OF and qualitatively.
HRP
4. Inventory of manpower
1. Through a systematic planning of The net result of this operations is that
human resources, a company can be better you either find:
assisted in attaining its goals and objectives. a. Enough man power
b. Excess in the number of
2. It helps the company determine its available manpower, but lacking
manpower needs and provides a method of the skills required.
meeting them. c. The number of available
manpower is insufficient, and the
3. It can be an effective means of planning skills are also inadequate to meet
the development and growth of the employees. the needs of work inputs.

4. It can assist in placing the employees 5. Improvement plans


properly in jobs where they can maximize the
use of their skills and potentials. PLANNING TECHNIQUES IN HR
MANAGEMENT
5. It can assist the company to attract and
retain better qualified employees. 1. Skills inventory – listing of all the skills
possessed by the workforce and they are made
5 STEPS IN HRP to relate to the requirements of the
organization.
1. Determining the workload inputs based
on the corporate goals and objectives 2. Ratio Analysis –this is a technique
Several factors that should be wherein the personnel who are promotable to
considered in determining work inputs: the higher positions are identified together with
heir backup or understudy.
3. Cascade approach – under this 6. Lack of line supervisor’s inputs – any
approach the setting of objectives flows from plan to develop the personnel and to improve
the top to bottom in the organization. the conditions of work must use the feedbacks
from the supervisors, since they are the ones
4. Replacement approach – under this who are handling the personnel in the org.
approach, HRP is done to have a body of
manpower in the organization that is ready to 4 BASICS TERMS OF MANPOWER
take over existing jobs on a one-to-one basis FORECASTING
within organization. 1. Long term trend – is usually done
for a period of 5 years or more.
5. Commitment planning approach – this 2. Cyclical variations – this refers to
technique involves supervisors and personnel reasonable and predictable movement
in every component of the organization on the that occur over a period of one year or
identification of manpower needs. more.
3. Seasonal Variations – This covers
6. Successor planning approach – takes
firms who manufacture seasonal
into consideration the different components of
products and hire temporary workers for
the old plan and increase them.
temporary increase in demand.
COMMON WEAKNESS IN HRP 4. Random variations – This is one
occasion where there is no special
1. Over-planning – a plan is likely to fail pattern and it is quite difficult to predict
through an inherent weakness of having or determine.
covered too many aspects.
HUMANRESOURCE FORECASTING
2. Technique overload – the use of so TECHNIQUES
many techniques sometimes leads to the 1. The zero-base forecasting
gathering so much information. This makes approach – It uses the organizations
techniques serve as a trap rather than a means current level of employment as the
for action. starting point for determining future
staffing needs.
3. Bias for the quantitative – emphasizing 2. The bottom-up approach – This
the quantitative aspects of personnel forecast uses the progression upward
management to the neglect of the qualitative methods from the lower organization
side. units to ultimately provide the aggregate
forecast of employment needs.
4. Isolation of the planners – top
3. Use of predictor variables – This
management give a little encouragement to
method uses the past employment
HRP activities, ignore the plan and withdrawn
levels to predict future requirements.
support for plan implementation.
4. Simulation – It is a technique for
5. Isolation from organizational objectives the testing of alternatives on
– when HRP is pursued for its own sake or for mathematical models representing the
narrow viewpoint of concentrating on HRD, the real-world situation.
effort leads to the formulation of a plan that
THE IMPORTANT ELEMENTS IN STRATEGIC
does not interphase with organizational
HUMAN RESOURCE PLANNING
development.
1. Organizational goals – The hrp process designed to provide information that is –
should be tied up with the organizational SMART.
strategic goals. 1. Systematic – information must be
systematically arranged and contain the
2. Human Resource forecast –forecasting needed data.
of hr needs based on business strategies, 2. Management oriented – the
production plans and the various indicators of information are essential tools for
change in technology and the organization’s effective manpower planning, retention,
operating methods. development, and separation of
employees.
3. Employee information – the third
3. Applicable –data and information
element in the planning process is maintaining
must applicable in making hr decisions.
accurate information concerning the
‘accuracy’
composition, assignments, and capabilities of
4. Result oriented – the end result
the current workforce.
must contribute to greater company
4. Human resource availability projections productivity and employee’s
– estimating the number of current employees satisfaction.
and those that could be available in the future. 5. Time bound – relevant
information for effective decision-
5. Analyzing and evaluating human making.
resource gaps – comparing what is need with
what is available in terms of numbers, mix, IMPORTANT REPORTS (HRIS)
skills, and technologies.
1. Routine reports – these are hr data
STRATEGY EVALUATION AND CONTROL –it summarized on scheduled bases, like current
is extremely important for the company to manpower status, regular employees, etc.
constantly monitor the effectiveness of both the
2. Exception reports - this information may
strategy and implementation process. contain confidential data that are available only
for managerial decision-making and needs
HUMAN RESOURCE ROLE IN PROVIDING immediate attention.
COMPETITIVE ADVANTAGE
3. On demand reports - management may
1. Emergent strategies – consist of demand some reports for analysis. This may
strategies that evolves from the grassroots of pertain to productivity index, individual
the organization and can be thought of as what performance records, and other personnel
the organizations actually do. actions.

2. Intended strategies – are the results of 4. Manpower forecast - applies to


the rational decision-making by the top predictive models based on specific situations.
management as they develop strategic plans.
SOFTWARE APPLICATION FOR HRM
HUMAN RESOURCE INFORMATION
SYSTEM (HRIS) – is any organized approach 1. Staffing applications - common
to obtaining relevant and timely information on applications used in the area of staffing include
which to base human resource decision. It is the ff.
a. Applicant recruiting and courses to attend, certified skills,
tracking and educational qualifications.
b. DOLE reporting f. Compensation and benefits
requirements applications - these includes
c. Developing a master payroll, job evaluation, salary
employee data base planning and analysis of
d. Staffing applications for executive compensation planning
decision-making and management benefits.

2. Human resource planning applications - CHAPTER 3


this involves company specific applications in
determining future employee turnover, growth MEETING NEEDS OF HR
rate and promotion patterns and other
· Recruitment is the process of attracting the
personnel movement.
best individuals to join the company on a timely
a. Work force profile analysis
basis in a sufficient number and meeting the
- it refers to work-force labor
qualifications requirements.
supply and demand analysis or
work force profile analysis review. · The process starts as soon as the need for
b. Work-force dynamic additional personnel is identified is ideally the
analysis - number new hires, result of good human resource planning.
transfer and promotions, number
still needed in the future and TWO MAJORS SOURCES OF CANDIFATES
those employees who are TO FILL THE VANCANT POSITION
available to fill up job openings in
the future. 1. The internal source –these are qualified
c. Human resource planning candidates from the company and within the
ranks of its present employees.
for decision-making - this
application pertains to information 2. The external source – hiring from the
about employees who are about outside source is a management option.
to retire, job classification of
employees for promotions and DIFFERENT METHODS OF HR
those departments that lack basic RECRUITMENT
skills for the job.
d. Performance Management 1. JOB POSTING – this is the process by
applications - employee which internal recruitment is accomplished.
performance ratings, disciplinary Every time a position becomes available it is
actions, work-rule violations and posted in the company bulletin board for the
the daily productivity index could information of all interested parties.
now be stored in computer
PROMOTING OR TRANSFERRING
database as bases for
EMPLOYEES FROM WITHIN OFFERS THE
management decisions.
FF ADVANTAGES:
e. Training and development
a. It creates an opening for a lower
applications - these are used
easy-tofill position.
primarily to track down the need
b. The morale of the employee is
for employees training programs,
boosted.
c. Hidden talent maybe uncovered 2.THE WORD-OF-MOUTH SYSTEM –This
and utilized. method of recruitment is found to be effective
d. It saves considerable time and in local situations. It is one of the least
money. expensive recruitment systems.
e. Employees are already familiar
with the company policy and the job itself 3. ADVERTISING MEDIA – one popular and
and therefore less adjustment is often effective means soliciting applicants is
necessary. advertising it through media, like newspaper,
SOME COMPANIES WOULD NOT LIKE TO magazines, radio, or television.
RESORT TO JOB POSTING FOR THE
FOLLOWING REASONS:
THE ADVERTISEMENT SHOULD REACH
a. Supervisors and managers want to
THE TARGET CLIENTELE AND IT SHOULD
promote someone from their department whom
BE DESIGNED ACCORDING TO FF
they have groomed for the positions.
SITUATIONS:
b. Some management members may be a) For special skills, the ad must
upset with employees who apply job outside clearly stipulate the skills required.
their department and tend to take such a move b) In scouting for talent, the wording
personally. of the ad should be specific
c) For applicants who want to know
c. Losing employees to job posting may all about specifics, the ad must contain
mean having to wait for replacement that may the duties and responsibilities of the
not be as good. positions.
d) Include the details where the
d. Some companies believe that it is better applicant should send the resume or bio-
to bring new blood rather than recycling data
existing ones. e) Be direct and straight forward in
wording the ad.
THE SUCCESS OF JOB POSTING DEPENDS
f) Avoid cute and unprofessional
LARGELY ON HOW WELL IT IS DESIGNED
phrases.
AND MONITORED. THE FF GUIDELINES
g) Hire an advertising agency if you
MAY HELP IN ITS SUCCESSFUL
are not sure what to put in the ad.
IMPLEMENTATION:
h) For hiring executive positions, the
a. The employee must have been with the services of a consultancy agency may be
company for at least one year and must be in employed.
the current position for at least 6 months.
BLIND ADS – these are ads that do not reveal
b. The employee must have a rating of the identity of the company.
very satisfactory before he can apply for the
The following are disadvantages:
posted vacant position.
a) There might be a limited number of
c. The employee can only apply for not
applicants for the “hand to fill positions” where
more than three times in one year.
you want to interested applicants to
immediately get in touch with you.
b) Blind ads discourage some applicants to even tempt other applicants who are not
apply. actually looking for jobs.

c) Some applicants may have applied for THINGS TO CONSIDER:


the same position not too long ago and it is
waste of time. a) It is very costly

4.WALK INS AND UNSOLICTED b) The message must be convincing and


APPLICANTS – these unsolicited applicants should be done by a professional.
could be a possible source of outstanding
c) The message on the radio and television
employees.
should be sincere and pleasing.
THE FF GUIDELINES MAY BE PUT INTO
d) The name of the company must be
ADVANTAGES FOR WALK IN OR CALL IN
repeated including the telephone number.
APPLICANTS
9.THE INTERNET – company profiles and job
a) Applications should be categorized into
placement could eventually come into the
different skills or qualifications.
internet.
b) A day of the week must be scheduled for
THE FF ADVANTAGES ARE:
the interview of the applicants.
a) Applications letters or resume could
c) Unsolicited applications can also be
immediately be sent to the company.
reviewed with the list of opening in mind.
b) Immediate answers could be available
5.CAMPUS OR UNIVERSITY RECRUITMENT
through e-mail.
– colleges are undisputable sources of the
talent for an organization to tap. Recent c) Other necessary information could be
graduates are considered highly desirable for available from the applicants.
companies to select, groom and develop
recruits from top schools in the country. d) Immediate needs of the company on
manpower requirements could be answered in
6. JOB FAIR AND OPEN HOUSE – the a short time.
organizational representatives of the company
gather and interview several applicants over a e) They are less costly and get immediate
period of one to two days in some specified response.
fields.
CHAPTER 4
7. GOVERNMENT AGENCIES - some local
government units have their placement offices SELECTION –tries to match the personal
look for possible employments for their qualities of the applicants with the job
constituents. requirements. Begin with evaluation of the
applicant; strength & weaknesses.
8. Radio and television – since the coverage of
the advertisement is of great magnitude, more SELECTION PROCESS
qualified applicants can be reached and could a. Preliminary screening – Initial
interview; voice, physical appearance,
personal grooming, educational
background, professional training and d. In-depth interview – after passing all
experience that need to be assessed. tests required, the applicant is now ready to
STYLES OF INTERVIEW formally enter into the selection process.
a. Structured interview – follows a set of
procedures and the interviewer sets the 3 IMPORTANT CHARACTERISTICS THAT
leads. THE INTERVIEWER MUST POSSESS
b. Unstructured interview – is where the
1. KNOWLEDGE – better understanding of
applicant takes lead.
the psychology of the person is an important
c. Panel or round table interview – is
factor in the interview.
usually done for managerial and
supervisory employees. 2. EMPHATY – the interviewer must be
b. THE APPLICATION FORM – the able to discover the inner behavior of the
company’s application forms contain more individual by understanding his own personality
information that the company may need in and relate this with the feelings of the
MIS files or some information may be applicant.
required during the in-depth interview.
GRAPHOLOGY – the applicant requires to 3. Communication skills – this refers to the
write not less than 200 words with his work use of language, gestures, and voice infection.
or life experiences.
c. TESTING AND EVALUATION OF 5.EVALUATING REFERENCES – references
RESULTS – commonly associated with the to be credible must be checked with utmost
prediction and selection of subsequent confidentiality if one would like to get a true
performance on the job. picture of the individual who would like to join
TESTS CAN BE CLASSIFIED ON THE the organization.
BASE OF PERSONAL
3 KINDS OF REFERENCES
CHARACTERISTICS SOUGHT FROM THE
APPLICNAT. THEY ARE THE FF: 1. Academic references – this may be
a. Intelligence test – it is widely requested from applicants who are new
used to measure mental ability or graduates; academic performance, TOR
general learning ability.
b. Aptitude test – it measures the 2. Character references – this reference
person’s capacity to learn a given job, may come from some persons in the
provided there is adequate training. community that are familiar with the individual
c. Interest test – it is derived from in their place of residence; Barangay
hereditary and environmental factors. clearance.
It tries to predict the success in the job
if the person’s interest and the job are 3. Work or Experience reference – to get
properly matched. most valid information about the applicant, the
d. Personality test – it is considered work reference check must be mailed to the
as an important instrument to test the previous employer stating the confidentiality of
personality of the applicant especially the information.
for supervisory and managerial. 6. PHYSICAL EXAMINATION – this may
e. Achievement or proficiency test – be the last hurdle in the selection process.
it tries to measure the applicant’s MEDICAL EXAMINATION ARE
knowledge of a given job. IMPORTANT FOR THE FF REASONS:
a. To screen out those physically The beginning of training can be traced
incapable of doing job. to the Stone Age when people started
b. To prevent employment of those
transferring knowledge through signs and
with high incidence of absenteeism due
to illness or accidents. deeds to others. Vocational training started
c. To prevent hiring of people with during the Industrial Revolution when
communicable diseases or who are
apprentices were provided direct instructions in
influenced by drugs.
d. Ward off unwanted claims with the operation of machines. Training and
worker’s compensation laws, SSS, development are increasingly recognized now
medical care and suits for damages.
as the most important organizational activity.
7. PLACEMENTS – the applicant who is
cleared in all requirements is finally offered Rapid technological changes require newer
the job. Approval; manager or supervisor of skills and knowledge in many areas. Training
the department. must be continuously offered to keep
TYPES OF EMPLOYEES employees updated and effective.

1. Probationary – an employee is hired for Some believe that training has


regular position based on an organizational unnecessarily been given undue importance
staffing pattern.
and
2. Regular or permanent employee – an
employee who passed the probationary period that the experience on-the-job is good enough
and is performing a regular activity in the to develop the necessary skills and
business of the company.
efficiency to perform the job. Training cannot
3. Contractual employee – the employees entirely substitute for experience, but it has
is hired for a fixed period or specific project of
certain definite advantages over it.
the company.

4. Casual or seasonal employee – an I. Training, unlike experience can shorten the


employee is hired for a particular work or time required to reach maximum efficiency.
service that is seasonal in nature.
2. Cost of training is much less than the cost of
5. Apprenticeship – is the development of gaining experience, particularly if one is dealing
the required skills for a particular type of work.
with expensive equipment.

3. The results of experience can sometimes be


accidental particularly when experience
CHAPTER 5: TRAINING AND
depends solely on trial and error.
DEVELOPMENT OF HUMAN RESOURCES
4. The element of predictability is far less when
compared to the outcome of a
The Beginning of Training
well-conceived and conducted training in, time out policies related to employee
program. discipline and behavior while at work and other
important company regulations.

Training 2. Corporate Mission and Vision, company

Training is the process where people officers and corporate goals and

acquire capabilities to aid in the achievement of objectives, its product and services and other

organizational goals. It is a planned effort of the important clienteles.

company to facilitate learning on the job-related


competencies. These competencies include 3. Explain company pay system, benefits, and

knowledge, skills or behavior that are critical for other services available to employees and their

successful job performance. The goal of families.

training IS for employees to master the


knowledge, skills and behaviors emphasized in 4. Provide overview of job setting and work

training programs and to apply them in day-to- rules.

day activities.
5. Introduce the employee to co-workers and
the company working environment.
Orientation: Training of new employees
6. Safety rules and health programs.
Orientation is the planned introduction of
new employees to their jobs, coworkers, and
The purpose of orientation of new
the organization. Ihe employees need to know
employees — The overall goal of orientation is
the company policies, rules and regulations
to help new employees learn about the
and the company direction in order to adapt to
organization as soon as possible so that they
the new working environment. The systematic
can begin contributing to the company's goals
approach to orientation requires attention to
and objectives. From the perspective of the
Attitudes’ behaviors and information that new
employers and the employees, the orientation
employees need.
process has the following purposes.
Orientation to be meaningful, requires
cooperation among individuals in the HR and
I. Productivity enhancement — Both the
other managers and supervisors. The HRD has
employer and employee want to start right and
to design the orientation topics:
become productive as soon as possible.
1. Company policies, rules, and regulations —
These coyer reporting for work time
2. Turnover’s reduction — Employees with
effective orientation programs tend to stay 3. Understanding of the Customer Needs —
longer with the company. Fast employee's The global market is quality competitive.
turnover rate affects productivity and efficiency.
One of the key characteristics of
3. Organization effectiveness - Well-oriented training system that contribute to
employees can immediately competitiveness is that they are designed
contribute to the goals and objectives of the according to the instructional design process. It
organization. refers the systematic approach for the
development of training programs. The
4. Favorable employee impression — A good following steps are integral instructional
orientation program creates a processes:
favorable impression of the organization and its 1. Conducting needs assessment
work. a. Organizational analysis
b. Person Analysis
5. Enhancement interpersonal acceptance - c. Task Analysis
It tries to ease the employee's entry in the work 2. Ensuring employee's readiness for
group. Employees often of concerned about training
meeting new people in the work force. a. Attitude and motivation
b. Basic skills
A Systematic Approach to Training 3. Creating the learning environment
a. Identification of training objectives
Training is moving its focus to teaching and training outcome
employees specific skills to a broader focus of b. Meaningful material?
creating knowledge. Training is used to gain a c. Practice
competitive advantage and viewed broadly as d. Feedbacks
to create an intellectual capital. The e. Observation of others
development of intellectual capital includes the f. Administering and coordinating
following: programs
4. Ensuring transfer of training
1. Basic skills — Skills needed to perform a. Self-management strategies
one's job effectively. b. Peer and manager support
5. Selecting training methods
2. Advanced skills — The use of technology a. Presentational methods
to share with other employees. b. Hands-on methods
c. Group methods a. Organizational Analysis — the
6. Evaluating training programs specific source of information and
a. Identification of training outcome operational measures or an
and evaluation designs organization level needs analysis,
b. Cost-benefit analysis which include the following:
● Grievances
The success of any training program ● Accident record
can be gauged by the amount of learning ● Observations
occurred and is transferred to the job. Training ● Exit interview.
and learning will take place through the ● Customer’s complaints
informal work groups whether an organization ● Equipment utilization and
has a coordinated effort or not, because breakdown
employees learn from other employees. While ● Material wastage, scraps, and
this may be true to a certain extent, a well- quality control data
designed training program can give better ● Training committee, observation
results because what may be learned may not and need assessment data.
be the best for the organization.
b. Task Analysis - the job description
1. Assessment Phase and the job specifications provide
Training is designed to help the information on the performance
organization accomplish its objective. Planners expected and the skills necessary for
determine the need for training and specify the employees, to accomplish the
training objectives and the training efforts. An required work. Changes in the work
important part of the company's strategic environment due to the introduction
human resource planning is the identification of of new technology or machinery
the knowledge, skills, abilities that will be require changes in the task
needed by the employees in the future as both requirements of the position.
jobs and the organization change. Both internal c.Individual Analysis - The use of
and external forces that will influence training performance appraisal data in
must be considered when doing organizational making this individual analysis is the
analysis. The problem posed by the technical most common approach. A
obsolescence of current employees and an performance review reveals the
insufficiently educated labor pool from which to employee's inadequacy to perform
draw new workers should be confronted before certain types of task, and this will
those training needs become critical.
reveal what necessary training is work easier and is needed due to
needed to correct the weaknesses. change in work technology.
An employee's potential may mean c.Awareness of Training Needs,
further training to assume a higher Career Interest and Goals —The
position in the future. employee must be given the choice
2. Employees Readiness for Training of what training program he would
The employees must set a positive like to attend. This should be related
tone for training. That attitude toward training to his needs, career interest and
must be cultivated and made an integral personal goals in the organization as
requirement before the employee sets foot in discussed with his immediate
the training room. A positive attitude is the superior.
desire of the trainee to learn the content of the d. Basic Skills —This refers to the
training program. Motivation is related to degree of the employee's desire to
knowledge gain behavior change or skill learn the cognitive ability, reading
acquisition in the training. It is the role of the and writing skills and other
manager and the supervisor to assure that the technology changes necessary in the
employee has the highest degree of learning work environment.
before he is sent to the program. 3. The Learning Environment - Learning
involves a permanent change in
The following factors influence the behavior. For employees to acquire
motivation to learn: knowledge• and skill' in the training
a. Self-efficacy- It is the employee's program and apply the information in
belief that he can successfully learn their job, the training program needs to
the content of the training. The include specific learning principles.
employee must understand that the a. Employees need to know why they
training is for his advantage and should learn —They must
learning gain could be an asset for understand why they have to attend
the future advancement. the training program. The objective
b. Understanding the Benefits or and purpose must be made clear to
Consequences of Training — The the employees.
employee must understand that the b. Employees need to use their own
training is related to his job, personal experiences as bases for learning
and career benefits as it may include - Training could be meaningful if it is
process or procedures to make his linked to their current job
experiences and tasks. The lessons
should be presented on the level of not be readily established, as many other
employees' understanding. factors must be considered such as the liability
c.Employees need to have the and experience of the learner and the
opportunity to practice —The complexity of the things to be learned. The
opportunity to practice the learning personnel manager, with the cooperation of the
should be provided in the program. line supervisors is in the best position to
Practice makes perfect as the saying establish what and how much training is
goes. needed.
d. Employees need feedback — The
employees need to know how they The need for training is usually indicated in
are meeting the training objectives. the following instances:
Feedback should focus on specific 1. When required skill is not possessed
behavior and should be immediately by anyone in the work force.
communicated to the employee. 2. When an employee's performance is
e. Employees learn by observing and below standard, but he has the
interacting with others — potential to improve the productivity;
Community of practice refers to a 3. When morale or production is low;
group of employees who work 4. When there is a fast turnover of the
together to learn from each other and personnel;
develop a common understanding on 5. When the rate of absenteeism or
how to get the work done. accident is high;
f. Employees need training programs 6. When restiveness or dissatisfaction
to be properly coordinated and mounts;
arranged. Coordination is the most 7. When supervision is lax;
important aspect of training 8. When new technology is introduced.
administration. It means coordinating
activities before, during and after the Training needs may be ascertained by
program. considering the following questions:
1. Is there a problem to be solved?
Analyzing Training Needs 2. Where does it exist (which
The immediate and specific needs of a department)?
company are determining factors in the 3. Who need' the training?
selection of the training courses and materials. 4. What is the nature of the training?
Standard as to the amount of training that (remedial or improvement required
should be provided for each type of job may by the situation)
philosophies and alternative solutions or
The subject matter is best determined processes.
by a survey of company heeds with the help of b. Hands-on Training—This refers to
a questionnaire and job analysis and by the training method that require on-the- job
examining various records pertaining to cost, training, simulation, business games, case
labor turnover, absenteeism, and other relevant studies, behavior modeling, interactive videos,
factors in the Organization. The cooperation of and web-based training.
line supervisors in determining needs and c. Group Building Method — It helps
priorities will be necessary. trainees share ideas and experiences, build
group or team identity, understand the
4. Transfer of Training dynamics of interpersonal relationship, and get
Transfer of training is the practical application to know their own strengths and weaknesses
of what was learned in the program. Immediate and those of their co-workers. Various training
supervisors and peers support opportunity to techniques are available to improve workgroup
practice what was learned the technology in or team performance to establish new teams
the work area and self-management skills and to improve interactions among different
influence the climate of transfer. The teams. All involve examinations of feelings,
environment is the laboratory for the transfer of perceptions, and beliefs about the function of
learning. the team. This develops discussions and
5. Selecting the Training Methods - A development of plans to apply what was
number of different methods can be used to learned that will improve team performance on
help employees acquire new knowledge, skills the job.
and behavior. Technology has a major impact 6. Evaluating the Training Program -
on the delivery of training programs. New Evaluation of training compares the post-
technology allows trainees to see, feel and training results to the objectives expected by
hear how equipment and other persons the management, trainers, and the trainees.
respond to their behavior. The multimedia has Training is Often done without any thought of
greatly changed the training landscape and measuring, evaluating, and seeing how well it
training now could be less costly. works after. Training is both time-consuming
a. Presentation Method — is the and costly and therefore evaluation must be
passive receipt of information that includes the done. Training assessment will measure the
traditional instructions, distance learning and benefits derived from the activity• What the
audiovisual techniques. These are ideal for employees learn is directly related to what they
presenting new facts, information, different earn; hence, evaluation of training is put into
practice.
One way to evaluate training is to and after the training can do the
examine the cost associated with the training evaluation.
and the benefits received through cost-benefit
analysis. The best way is to measure the value Criteria for Evaluation, of Training
of the output before and after the training. Any Training effectiveness should be
increase represents the benefits resulting from assessed on the basis of solid grounds.
training. Sometimes trainers and managers rely on
a. Learning — It represent the level of superficial employee reactions. If trainees
how well the trainees have learned applaud the resource person, the lecture or
facts, ideas, concepts, theories, and demonstration, it is a success. If they are
attitudes. Tests on training materials happy to have -taken the course that is
are commonly used for evaluating enough. If notices that on the first day back on
learning and can be given before and the job they seem to be using the skills
after training to compare results. learned, one may conclude that the training
b. Behavior—There must be a change money was well spent. Those conclusions are
in the work attitude and behavior of entirely wrong. One should look at long-term
the trainee after the training. performance, not immediate superficial results.
Observable behavior must be
measured in terms of work Training programs are usually evaluated on
improvement, increased work output, the basis of their intended objectives. Five
and work effectiveness. The trainee steps to a meaningful evaluation:
must be able to display a better look 1. Determine what to Measure. Decide
at the work environment and before you begin training what you want
increased productivity must be to change. The number of customer
observed. Management should complaints? The rate of scrap? The
observe performance as a gauge to number of employee grievances? The
effectiveness of training. number of quality defects?
c. Results —Employer evaluate results 2. Establish the Base line. Make sure you
by measuring effects of training on know the level of performance before
the achievement of organizational training begins. This allows you to make
objectives. Because results such as a legitimate comparison to determine
productivity, turnover, quality, time, training effects.
sales volume, and cost are relatively 3. Isolate Variables. One variable is the
concrete, comparing records before Hawthorne Effect, named after a
General Electric plant, that was studied
in landmark performance experiment
several years ago. The effect: Planning and Choosing a Development
Employees improved their performance Approach
simply because of the attention of the While training considers analysis as
research study — not because of any an important component of any training
changes in their working condition. program development needs analysis because
4. Measure Attitudes. This goes back to it is necessary to identify strengths and
the problem of measuring initial weaknesses of those that will be given these
reactions, but it is valuable in the overall organizational interventions. Assessment
evaluation. Did the trainees like the involves collecting information and providing
training? Did they think it was valuable? feedback on employee's behavior,
Often, they can provide valuable communication style or skills or leadership
feedback and suggestions in improving potentials as preparation for formal induction to
training techniques. the development program.
5. Measure and see what the results of the
training are in terms of the criteria you The following processes are used in the
have established. Track performance assessment:
over a long period of time so you can be 1. Assessment Centers — Employees
sure the improvement is established. are sent to assessment centers to take
examination covering personality tests,
Human Resource Development communication skills, personal inventory
Development refers to formal assessments, benchmarking, and other
education, job experiences, relationships, and examinations. The center is manned by
assessments of personality and abilities that a group of teams that assesses the
employees prepare for the future. Development individual potential for leadership and
can be thought of as the growing capabilities other capabilities or qualities that may
that go beyond those required by the current be used by the organization in its future
job. It represents the employee's ability to operations.
handle variety of assignments. Development 2. Psychological Testing — Pencil and
helps the employee prepare for other positions paper tests have been used for years to
and increase their ability to move into other determine employees' development
jobs that may be available in the future. It also potentials and needs. Intelligence test*
prepares the employee for changes in current verbal and mechanical reasoning tests
jobs due to changes in technology, work design can furnish useful information about
or new products or new type of market. factors of motivation, reasoning,
abilities, leadership styles, interpersonal committee’s cap give the employees a
response traits and job preferences. broadening exercise and can help them
3. Performance Appraisal —Performance to understand the personalities, issues
appraisal that measures the employee’s and processes governing the
potential when done properly could be a organization.
good source of development 3. Job Rotation— this is the process of
information. Observable and shifting employees from one job to
measurable Output, attitude and another. A substantial managerial time is
behavior, data on productivity, employee needed when trainees change positions.
relations, job knowledge and leadership The trainees must be acquainted with
behavior are important source of different people and techniques in each
employee information. These are usually new unit.
available in the personnel file. 4. Assistant-to-the Position —This is the
assignment of an assistant to the
Human Resources Development position who works directly under the
Approaches manager. He is given the opportunity to
In - House or on Company Site - The deal with challenging and interesting
planned activities that could be developed tasks. Studies and other tasks are
within the company or while the employee is at assigned for analysis before they are
work are those activities that will enhance given to the head for final
employees' potential to assume other jobs that implementation.
the company needs in its operation. It is 5. Job Enlargement — refers to adding
imperative that managers and supervisors plan challenges or new responsibilities to the
coordinate development efforts so that the employee's current job. This could
desired developments actually occur. The include such activities as special
following are the In-House Approaches: projects assignments, switching roles
1. Management Coaching — The within a work team or research activities.
immediate supervisor coaches he 6. Mentoring —Employees can also
subordinates employee in performing develop skills and increase their
certain functions that are necessary for knowledge about the company and its
its advancement. It combines operation by interacting with more
observations and suggestions. This is experienced organization members.
best when involves good relationships. Mentoring helps new members bring
2. Committee Assignments — Assigning together successful senior employees
promising employees to important with less experienced members.
management behavior concepts and
Off-site or Outside Development analysis. Cases are either through the
Interventions use of multi-media or case problems
This technique can be effective that are developed similar to those
because the individuals are given the pasting in the work environment. Group
opportunity to get away from the job and case analysis and presentations are
concentrate solely on what is to be learned. made, and discussions facilitate the
These interventions are usually held outside at learning experience.
the company's expense and will serve as a 4. Role Playing — Role-playing is a
break from the office monotony. development technique requiring the
The following are some of the development trainee to assumes a role in a given
programs: situation and act the behavior
1. Formal Education — the company associated with it. The facilitators
sends the employee to formal seminars, provide the script and the group
workshops and other training programs evaluate the performance. The other
offered by training consultants and participants provide comments and
agencies. Some companies send their suggestions after each performance.
employee to take advanced studies in 5. Simulation —These are business
the graduate programs in exclusive games developed by human resource
schools or take courses in foreign experts that require the participants to
countries. The condition is usually that analyze a situation and decide the best
an employee is tied to a country to serve course of action based to the given data.
the company for a number of years for
every year of outside training.
CHAPTER 6: JOB EVALUATION AND WORK
2. Team Building — These organizational
FLOW ANALYSIS
interventions are usually conducted
away from work about three to four
days. The employees are organized into A sound human resource management
team and solve common problems program requires knowing the different jobs in
related to relationships. The focus is on the company. The manager and supervisor
human relation issues and poor must get a comprehensive picture of each job
teamwork. in his organization. This involves — what each
3. Case Studies — This is a classroom worker does, how he does it, why he does it
type of training techniques that provides and under what conditions he performs his job
a medium through the application of
and what special qualifications each worker The following are the uses of job
must possess to perform his job satisfactory. analysis:
Analysis of the organizational structure is the
1. To specify he duties and
vertical and horizontal interconnections among
responsibilities of the position. It examines
jobs. We must have a thorough understanding
what the employee will perform, what skills are
of how one job relates to those above the
needed the condition which work shall be done
organization and those down the line of the
and the range of difficulty or complexity of the
organization and those at the same level of the
action.
functional areas. Analysis of the organization
structure can be a leverage to gain a 2. To provide job-oriented recruitment

competitive advantage for the company, but and selection guides. Those in the recruitment

how one does this depends on the firm's and election of employees must be familiar with

strategy and its competitive environment. A the duties and responsibilities of the vacant

major quality program is the need to identify position. To identify which applicant is most

clearly the output requirement for a particular qualified, it is necessary to determine the tasks

type of job. To design work systems that are that will be performed by the individual hired as

maximally efficient, a manager needs to to skills, knowledge and abilities.

understand the processes required in the 3. To provide guides in operation-based


development of the products for their work compensation determination—the process of
units. Without a clear understanding of the job evaluation involves the relative peso value
tasks necessary to the production of the of each job to the organization to set up
desired output, it would be difficult to determine equitable pay structures. To get the peso value
whether the work is under-staff or over-staff. on jobs, is necessary to get information about

The Rationale for Job Analysis different jobs, which job deserves higher pay
than others.
The conduct of job analysis has behind
it several reasons that are vital to human 4. To provide information and tools for

resource management and the supervision of career planning and counselling. Career

the work to be done by the workers in the shop planning entails matching individual skills and

or the office. It is considered as the building aspirations that are or may become available in

block of anything that human resource the organization. This matching process

management does, as any personnel action requires that those in charge of career planning

requires information that is gleaned from job know the skill requirements of the various jobs.

analysis. This allows them to guide individuals into job


that will fit into their qualifications and where
they will be happy and satisfied. Counselling more extensive than others. Job analysis
refers to the giving of advice and problems that provides the required information to ensure that
the employees meet in the performance of their the training program will prepare the individual
tasks and duties in the positions where they to perform the job effectively.
are assigned.
9. To assist supervisor in the supervision
5. To have a guide in the construction of of the employees. Supervisors are provided
performance evaluation criteria. Performance with precise and detailed description of the jobs
criteria deals with getting information about under their respective areas or departments,
how well each employee is performing his job and they can make this serve as bases for
in order to reward those who effective. The judging their performance.
information generated by job analysis unveils
10. To provide the conceptual basis for
the aspect of the jobs that are measurable and
position classifications to the employee who
should logically be evaluated in the
will occupy the position. The bases of any
performance appraisal of the employee.
position 'title are the tasks, duties and
6. To serve as guide in methods responsibilities of the job. Managers without
improvement. Job designs consist of different proper job analysis might assign position titles
steps or processes. Job analysis provides the that are not related to the functions of the
information to design the work process most position:
effective in carrying out the tasks. This involves
The Job Analysis Program and
improving methods and developing more
Organizational Structure
efficient systems at work.
Job analysis starts with a careful study
7. To obtain background information
of organizational structure. This would reveal
about working conditions. The environment of
the relationships of jobs within the organization.
work positively affects the productivity and
Organizational structure is often seen in
morale of the workers. This information is
organizational charts that convey the vertical
available in job analysis and could be used by
and horizontal relationship of the two. The type
management in positively identifying the
of organizational structure has implications on
hazards and other conditions that affect job
the design of the jobs. A functional structure
performance.
needs specialization and the responsibility is
8. To serve as guide in the development focused on specialized skills hence supervision
of training programs. Almost all employees and decision-making become minimal. In a
hired by an organization will require training in divisional structure, jobs are holistic and people
their jobs. Some training programs may be
are working in teams that tend to have greater persons who are jobholders of the position.
decision-making and authority. The supervisor or manager must immediately
inform the HRD of any changes in the duties
Job analysis is the process of getting
and responsibilities of the position due to the
detailed information about the tasks, duties and
introduction of new technology or changes in
responsibilities of the job as seen in the
the production process that improve production
organizational structure. For the company to
efficiency. This will entail job redesigning or
succeed, it must have detailed information
reclassifying of the position that may involve a
about the requirements of the jobs through
total change in pay structure due to increased
careful job analysis program. It must ensure
responsibility or, exposure to elements of
that a match exist between job requirements
hazard or working conditions.
and the individual aptitudes and qualities to fit
into the position in the organization. Some companies get the services of
Management must understand that it is great management consultants to conduct a job
importance for an organization to match job analysis program to be more objective.
requirements and people to achieve high- Management consultant is more objective as
quality performance to be more competitive in they have more experience in conducting the
today's global marketplace. Job analysis is a job analysis program due to their exposure to
continuing program. Organizational structure different organizational systems. Another
changes do to the introduction of new reason is that there are managers who try to
technology in order to be competitive in the overstate the functions and duties of the
global economy. Any changes in structure carry different positions, as they know that they have
additional duties and responsibilities or great implications in the company's pay scale.
simplifications of functions. These changes The other reason is that some HR practitioners
need job redesigning to conform to are not very much knowledgeable in
organizational needs for greater efficiency and conducting job analysis as this is a more
productivity. specialized activity that involves careful study.

The Role of Human Resources in Job The Gathering of Job Information


Evaluation
Job Analyst
Job analysis is not the sole responsibility
The study of jobs is the responsibility of
of the Human Resource Department but a
the personnel department thru the job analyst
cooperative effort of all operating departments.
who is trained to conduct the job evaluation
While it is more of personnel functions, the
program. The job analyst studies the duties,
greater bulk of information must come from the
responsibilities, and the specification
requirements of the job. This involves careful involved in doing the job and other minor duties
understanding of the conditions around the required of the job.
functions and tasks of the positions.
2. How effectively does the employee
A good job analyst must have the perform his assigned duties and
following qualifications: responsibilities? This involves the detail on how
the workers perform the assigned tasks, the
1. Good knowledge of organizational
materials and essential tools and equipment
system.
required to do the job, the skills required, and
2. Good intelligence and analytical skills. the methods and procedures involved in doing

3. Good judgment and acumen. the work.

4. Clarity and facility of language. 3. Why should the worker do the job?
This covers the reason why the employee has
5. Familiarity with organizational and
to do the tasks assigned to him and the
company policies.
purpose of the job in relation with those of
6. Good personality and good other.jobs in the organization. The tasks should
relationships with others in the organization. justify its contributions to the effective and
efficient functions in the organizational work
7. Tact and diplomacy in getting along
systems.
with others.
4 Supervision required in the job. The
details in supervision requires the amount of
Getting Process in job information
supervision involved or the assistance needed
Job analysis starts with a careful in carrying out the job, the extent of employee's
understanding of the relationship of the jobs in authority in carrying out the functions and the
the organizational structure. This relationship is extent of relationships of the job with those
concerned with the details of the job rather others in the organizational setup.
than with the worker who is assigned to do the
5. Working environmental conditions.
job.
This deals with the conditions prevailing in the
The following factors are important workplace, like exposure to hazards, heat, or
considerations in job analysis: other elements that affect the performance of
the job. This may involve in the conditions of
1. What the job requires the employee to
comfort or discomfort while the employee is
do. Job requirements involves the activities that
performing the tasks assigned to him.
workers have to do the importance of the
duties or activities. The amount of time that is
The Importance of a Job Title Job analysis focuses on the two
important data or information that managers
The correct title of a particular job is very
must have the right information about the
important in the organization. Similar jobs
nature of the employees' job. This information
performing similar duties and responsibilities
is reflective of what the employee does daily,
must have the same job titles. The title of the
weekly, monthly or annually. It also reflects the
job must clearly show the area of job activity
conditions or the working environment in the
and must show its relationships with the other
organization. These two important factors are:
jobs in the unit or department. The job
relationships will provide better job placements
in the organizational ladder thereby job
inconsistencies can be avoided. The specific
titles will clarify the employees' line of 1. The Job Description

movement in the organizational structure, and The result of any job analysis program is
they should be grouped in job families in the the writing of job description. The job
line and staff organization. Job titles must description contains the tasks, duties, and
reflect the major job functions. The company responsibilities that the job entails. This
must prepare a list, of titles of all jobs and it information is derived from the job analysis
must use standard terms for easy identification. report.

The following are suggested guidelines The following are the uses of job
in job title selection: descriptions:

1. The title must be standard used in the a. It helps identify and distinguish one
industry. job from other jobs.

2. It must be suggestive of the nature b. It is used as a tool in the proper


and function of the jobs. employee recruitment, selection and training.

3. It must be different from other jobs c. It helps establish job relationships


based on major duties of employees who hold within the salary bracket.
the position.
d. It serves as a guide in structural
4. The job titles must be brief but departmentalization.
suggestive of its functions.
e. It could be used as a guide in the
horizontal and vertical promotion of employee's

The Nature of Job Analysis thereby developing and promoting morale.

Information
training, benefits administration, performance
appraisal and other related duties inherent in
2. Job Specification
the function of the department.
The job specification contains
information about the employee's qualifications
and traits required in the effective performance Specific Duties and Responsibilities
of the work assigned. It specifies the
1. Assists in the processing of
qualifications as to education, training,
application by conducting preliminary
experience and the statement as to the nature
interviews to applicants to determine their initial
of the environment where the employee is
qualification for the position being applied.
assigned.
2. Determines the qualification
This information could be used in the
requirement for the positions and makes
following personnel activities:
reports to the immediate supervisor for the
a. It serves as a guide in interviewing applicants that meet the initial evaluation.
applicants.
3. Assist in the giving of examination to
b. It is a guide in the proper selection of applicants to determine their suitability to the
the employee as to his qualifications for the position being applied for and makes reports of
proposed vacant positions. the results.

c It is used in the assessment of 4. Assist in the orientation program to


employees for training and development. ascertain that the new employees are properly
oriented with company rules and regulations
and other company policies.
JOB DESCRIPTION
5. Prepare reports to the Social Security
Position Title - Human Resource Assistant System, Pag-Ibig Fund, Philhealth and other
Department- Human Resources government instrumentalities to comply with

Job Code - HR 002 government requirements as directed by the

Salary Grade - Pay grade 5 immediate superior.

6. Assist in the periodic Performance


Evaluation of employees and makes records in
Job Summary
their HIRS or 201 file for references in terms of
Under the direct supervision of the salary adjustments or promotion.
Human Resource Manager assist in the
general functions in the recruitment, selection,
7. Assist in Job Evaluation program The accuracy of job information is
conducted by the department through the necessary. The job analyst prepares the
distribution and retrieval of questionnaires for questionnaire based on the purpose of the job
further analysis of the Job Analyst. analysis. The form to be used is carefully
prepared based on the simple understanding of
8. Coordinates with other department on
the employees who will answer them. The set
employees' requirements such as leave of
of questions contains information as to its
absence, sick leave notices, maternity leave
purpose, clear-cut instructions and the
and other benefits. 9. Does other related duties
procedure on how to accomplish the
and assignments that may be required from
questionnaire. The questionnaire is distributed
time to time.
to the supervisor who will then require the
employee concerned to answer it, the

JOB SPECIFICATIONS supervisor then reviews the information as to


its accuracy. He talks with the employee
1. Education - College Graduate Major
concerned with the information which he thinks
in Human Resource or Psychology
does not conform to his judgment. The
2. Training - On the Job training at the corrected questionnaire is then forwarded to
HRD for at least 500 hours the HRD for finalization of the job description.
The study of the job information should be
3. Job Location - HRD at usually in air-
continuing process. The duties and
conditioned room
responsibilities change due to changes in
4. Assignments - May be assigned to
technology and other needs of the
liaison work with government offices and may
organization. Job descriptions should be
be exposed to traffic and dust
reviewed annually.

2. The Interview Method


Job Analysis Methods
The interview method is commonly used
There is no best method in job analysis. for blue-collar jobs, as the employee may not
The method to use depends upon the purpose be able to answer the questionnaire. The job
of the analysis, the time element devoted to it analyst gets the information by interviewing the
and the amount of money that the company employee about his job or the immediate
would like to spend for the activity. supervisor. To get the more specific data the
analyst is guided by a set of facts about the job
1. The Job Questionnaire Method
and records or take notes in the information
given by the employee. The analyst gathers
information and acquires a personal impression
about the job and later these will contribute to
CHAPTER 7 – WAGE AND SALARY
the accuracy of his job description. A well-
ADMINISTRATION
trained job analyst gives the feeling that the job
is properly evaluated, and the employee is
satisfied. The Role of Human Resources in the

3.The Combination of Interview and Payment of Salaries

Questionnaire Methods One of the most important functions of

Under this method, the job analyst gives the Human Resources is the payment of the

the questionnaire and then conducts interview proper salaries and wages to all company

later. The analyst verifies the information from employees. The pay that the employees

the employees' immediate supervisor thru a receive from their employer is very reason for

structural interview. To verify further their being in the job. The pay provides them

information, the analyst interviews the with strong incentive to do their jobs well and

employee concerned. The contents of the the rate of pay indicates their status in the

questionnaire and the verified information are company. The pay determines the standard of

the bases for the writing of the job description. living and their positions in the community that
they live. It must be commensurate with their
4. Observation and Interview Method
efforts and contributions to the company’s'
This method is involved in the profitability index. The determination of the
observation of the worker at the job site and in proper level of pay is the foundation effective
their station. The observation is noted while the employee and employer relationship as a
employee is performing the tasks assigned to satisfied worker will stay longer in the company
him. Oftentimes, time and motion study is and develop a working team that could be
involved in this activity. After the observation beneficial to both parties. One way to retain
the job analyst interviews both the worker and competent employees and keep their morale
the supervisor to verify the information high is to plan salary levels so as to establish
gathered through observation and the results of uniformity of pay in relation to the job in the
the time and motion study. The results of the company and those in other business
interview, observation and time motion study establishments in the community.
are the bases of the written job description,
The function of the payroll in a company
which will be sent to the supervisor and the
is usually the wage and salary administration
employee concerned for final review and final
and it is carried out by the Human Resource
printing.
Department. The most important duty of the
Human Resource Department is to set wage condition of laborers is most wretched. When
scales high enough to attract better employees this happens, the laborers could be deprived of
and contribute to the level of profitability that those comforts which customs render as
will sustain continuous profitable operations. absolute necessities.
The level of pay must not impair profits,
however.
2. The Just Wage Theory of St.
Theories of Wages
Thomas Aquinas
Wage theories deal with the payment of
A just wage is described as wage which
labor employed in competitive enterprises.
permits the recipient worker to live in a manner
Wages represent the payment of one factor of
in keeping with his position in society. This
production that is manpower. Profits and capital
doctrine is related to social organization based
could not be attained without the manpower
on the individual in the social organization;
that has to be paid according to their
According to this theory, the workers' cost of
contribution for the acquisition of enough
living should be considered first in the cost of
capital to attain the desired profits. Wages are
production. Wages are responsible for
the contributions or are the shares paid for the
allocating labor to various occupations. This
value of land, capital and profits.
theory is the basis in the implementation of
1. Classical Wage Theory minimum wage laws. While it could not be
consistent with the minimum requirements for a
This theory is based upon the
decent living in the social organization, it
fundamental concept that labor is a commodity,
responds to the basic requirements for
and we have to pay the price according to
subsistence living. The creation of the Tri-
supply and demand. When the labor supply is
partite Board composed of Labor, Management
greater than the demand, the lower is the price
and the Department of Labor is the answer to
and when there is greater demand the higher is
the study of the implementation of just wages.
the price. The price of labor, which is called
wages, is necessary to keep the laborers to 3. The Wage Fund Theory
subsist and perpetuate their race. Wages
The wage fund theory expounded by
should not fall below subsistence level. When
John Stuart Mill and his followers is based on
the supply of labor reaches below the industrial
the Malthusian theory of population and the law
requirement, there will be a competitive bidding
of diminishing returns. This theory holds the
among employers and therefore there will be a
idea that the working capital of the nation
consequent rise in wages. When the price of
provides a fund from which wages can be paid.
the labor is below the natural price, the
The fund is to be divided by. all the workers
proportionately. When a certain group gets a bargaining theory brings about the organization
greater share of the total fund, the rest in the of labor unions. These unions bargain with
group will have less to share: An increase in management for their services. The
the wages of some through collective management then sets the discounted value of
bargaining or any other pressures will labor based on the value of output in question;
adversely affect the wages of others. Under while labor demands the living wages that they
this theory it would appear that it is futile to think is enough to sustain a decent living
attempt to increase wages. It would appear that condition. When management sets a rigid limit
when you increase the wages of other workers on the funds available for labor as it affects
in the company, it would redound to decrease operating cost and profitability; on the other
the wages of the other sectors, because the hand, labor insists on living wages for their
portion of the corporate wage fund goes to the effort. The resultant condition is either a strike
selected sectors in the organization. A or a lockout.
comment under this theory is that the fund
5. The Marginal Productivity Theory
should be elastic for all the other factors of
production such as capital, maintenance, The marginal productivity theory offers

materials and labor. It should be elastic enough the best economy explanation of the wages in

to meet the economic conditions prevailing modern industry. The supply of labor in any

conditions prevailing at the time and the given economy overall depends upon the total

conditions of the corporate economy. number of individuals available for work.


Worker's mobility, which is the transfer from
4. Bargaining Theory of John
one company to another due to opportunities in
Davidson
the other company: affects the structure of
The bargaining theory proposes that wages in the industry. It is not only the
labor is a commodity like anything that could be difference in wages that makes the employee
bought at a price by the user. As a commodity, transfer to another company. Better
it carries with it a price that is determined by opportunities for advancement, more benefits,
the bargaining process between the buyer and better working environment, or even the
seller. The sellers of labor are the workers, and corporate atmosphere are other factors that
the buyers are the users or the industries that affect mobility. In this juncture, it may be
utilize their services. The labor sets the limit of surmised that mobility is not judged by the
the value of their services as conditioned by amount of movement but the degree to which
the utility of reward. Such reward is conditioned existing job differences call for worker
by what their money can buy with the wages in movement. The hiring of added labor force, or
the light of their actual standard of living. The the transfer of one employee to another
company at a particular wage is based on the could be traced back to the participation of the
assumption of the company that the added worker and, therefore, labor must get the
labor will contribute to the increase in greater share of the profit. This is the
production output or increase in the quality of philosophy of some organized labor groups
the product. While such assumptions may have who are more active in the greater share of the
bearing to a certain extent, any increase in profits of the company operations. These labor
manpower tends to decrease the value of the unions have the notion that profits are the
marginal product as the number of workers- surpluses of the other factors of production,
increases. In our developing economy where and are pocketed by the capitalist
manpower is in great supply against demand, businessman making them amass wealth.
competition in the labor market is seldom felt
Profits should be shared with labor as
by the industry, except in some critical
they create the goods that generate capital by
positions where specialization is in great
the surplus incomes. Economic activity is
demand.
created by these surplus profits that create
6. The Purchasing Power Theory investments. When employer's contentions run
counter to the activists' group of labor unions,
The purchasing power theory tries to
this can create labor unrest detrimental to both
establish the relationship between wages and
labor and management and even to economic
the level of economic activity. The level of
growth.
economic growth is dependent upon the
savings generated because the increase in 8. The Standard of Living Theory of
wages creates a surplus that propels growth. Wages
The more income the worker gets, the bigger
A recent development in labor market is
the purchasing power of the workers, then this
the theory of living wages that means that
increases consumption of goods and services.
wages should be based on the cost of living.
Increased consumption of goods generates
The cost of living is dependent upon the
employment opportunities.
economic needs of the family for the
7. Labor Theory of Value necessities of life for food clothing and shelter.
While the philosophy is economically sound for
Karl Marx propounds this theory of labor.
the improvement of the living conditions of the
This gives credence to the value of labor. It
labor force, it is counterproductive due to the
emphasizes that labor is the source of all
forces of global economic activity. Our
product and that without this important
productivity index has to cope with increased
component, there could be no goods for human
consumption. Every good that is produced
competition in the global market and our of questionnaires incorporating common jobs
products must be paired in quality and price. present in the company and is comparable with
other jobs in other industries.
Any increase in economic growth would
redound to increased wages. Nevertheless, an
increase in income would mean more
Procedure in Conducting Wage and Salary
consumption. More consumption increases the
Surveys
prices of goods and thus living wages also
need to be increased proportionately. There Before embarking on a wage and salary

could be no end to this argument. It is the survey, the Human Resources Department

government, labor and management that must should study the wage and salary data that are

sit together to determine the level of living already available. In any request for survey

wages if possible, by industry and by region. data, it could be recognized that job title alone
is not good enough for matching jobs. Each job
title should be accompanied with one
Wage and Salary Surveys paragraph job description so that it is possible
to accurately compare jobs. In addition to the
Once the worth of a job has been
base salary, the information should include
established using one of the job rating
data on shift premiums, overtime payment
systems, the actual salary to be paid for each
practices and methods of wage payment.
job must be determined. A major factor in
Some surveys also include questions on paid
making the determination is the wage survey.
holidays, vacation policies, pension benefits,
Since salaries paid by other companies have
group health cards and life insurances and
an effect on employment, morale and turnover
additional leave pays. These data are needed
rate, close attention is paid to the salary that is
for more analysis of the total pay structure and
prevailing in the community and industry for
its relation to other company benefits.
specific jobs.

Most companies participate in wage


and salary surveys or they conduct their own Defining the Labor Market > List of Key Job
surveys. Informal surveys may be conducted Positions > Detailed Description of Jobs >
through telephones and informal interviews. Collection of Salary Data > Compilation of
Formal salary and wage surveys are Salary Data > Results of Survey
questionnaires based on benchmark jobs that
The following are the steps in conducting the
are also present in other companies and
survey:
industries. In the formal survey method, the
Human Resource Department prepares a set
1. Defining the labor market. Establishing the range or rate paid and the supplementary wage
boundaries of the pertinent labor market is the data.
most critical step in the survey procedure. It
6. Presentation of the results of the survey .
involves the selection of the industry, the region
The results are properly evaluated and HRD
or area or the firm to be included in the survey.
prepares the corresponding recommendations
2. List of key jobs and positions common to to the management of the most appropriate
most firms in the survey. This will ensure a action to take relative to the revision of the
representative sampling of the jobs that will be current wage structure. Participating
selected as universal for a particular wage or companies are also provided with the summary
salary survey. of the findings to foster continuous cooperation.

3. A detailed description of the key jobs and After the organization completes the salary
positions that are to be included in the survey and finds out what he prevailing salaries
survey and that is common to most firm or are in the community for comparable jobs, it
industries. Key jobs are labor grades that are must then make several decisions:
comparatively stable in duties and
1. Whether the company should pay salaries
responsibilities. These are occupations that are
above, below or at the same level, as the
common in most industries and scattered
others in the same industry in the community
through the ladder of labor classification and
are paying for the same jobs.
commonly familiar to most people in the
industry. 2. Whether the company should pay a single
rate for each job, or slot the jobs into ranges or
4. Collection of accurate wage and salary
grades which would provide room for merit
data. This may be done through a set of
increases.
questionnaires and supplemented by
interviews to get the accurate information. The 3. How many pay grades or salary ranges to

information must be able to pinpoint the use, and how wide each pay grade should be

problem area that has to be addressed by the (from the minimum of the grade to the

compensation level, compensation structure maximum).

and the terms of payment plan. 4. What is the range of the amount in terms of

5. A compilation of the wage and salary data money value that should be allotted for each

for each job. The data gathered will provide salary grade levels?

management with the opportunity of arriving at Although there are no set rules for
the arithmetical average, the median and the making these decisions, one tool that is often
used to simplify the process is the use of two-
dimensional graphs, also known as data trend is used, the rank number or grade can be
graph. When the graph is used with the point substituted for points on the horizontal of the
system, the values of the points for key jobs in graph.
the industry are plotted with the lowest pay at
A similar graph should then be drawn to
the bottom. The survey data for any job is then
reflect the relationship between internal
plotted according to the evaluation points and
existing rates and job rating points. A trend line
grades. Eventually all the pay survey data
should be established and drawn. This trend
should be plotted.
line should be compared with the outside-
An examination of the graph will indicate survey trend line. In this way, management can
the trend of the data plotted. A line is drawn to see how salaries compare with those outside
indicate this trend, using one of the following the company. Then the decision will have to be
techniques: made whether to pay below the survey trend
line, meet it or pay above it.
1. Eye Inspection - The line is drawn freehand
so that about the same number of data points In deciding whether to match a survey
fall above the line. It follows the general trend trend line, management faces a conflict
of the data. This technique is the least scientific between personnel and economic forces. If the
and reliable as this does not require scientific company pays above the survey trend line, its
computations. It is more of a judgmental ability to compete may be endangered as the
analysis that is used only by experts in the field labor cost will be higher than the same
of job evaluation. industry, thereby added cost of production will
be added to the cost of the product. If the
2. The Least Squares — This uses the
company pays below the trend line, its ability to
statistical formula; the trend line will normally
hire capable employees may be affected or this
follow a straight path. It presents more
will cause personnel turnover. To reconcile
accurately the relationships between the peso
these two conflicting forces, management may
or money value and the points for the key jobs.
decide its own slope line that should be about
3.The Second-Degree Curve - Using another the same as the result of the survey.
statistical formula; the trend line will normally
Another important decision is whether
take the form of a curve and may more
hourly paid occupations should be assigned a
accurately indicate the trend of the data.
single rate or a range of rates. For production
The trend line should correctly reflect or maintenance workers, most organization
the trend of the data collected so the pays one standard rate for all jobs in the same
competitive pay rates and ranges will hold grade. That is especially true when an
throughout the structure. If the ranking method
operation is so standardized that it is difficult to and as an aid in short term and long-range
determine accurately the contribution of plans.
workers. A single rate for each job has the
6.
advantage of eliminating favoritism.
7. It establishes an equitable salary range for
The Development of Wage and Salary
various jobs.
Structure
Wage Structure Design
The design and operation of wage and
salary structure is the concern of management The design of the wage and salary

and employees. Wage and salary structure is structure is' the establishment of the job

the hierarchy of jobs to where the pay rate is classes and rate ranges. All jobs within a class

attached. The positions are allocated in pay are treated in the same way for purpose of

grades according to the job evaluation results economical administration. Pay structure

and its relations with the pay system derived ranges should be used in developing a

from the results of the salary survey. The jobs schedule for both rank-and-file employees,

are ranked in ascending to descending order technical and managerial positions. In some

according to their importance and based on the companies, they have a separate structure for

points or ranked earned in the job evaluation hourly and daily paid employees and separate

program conducted by the HRD and the salary structure for regular monthly paid jobs.

committee created for the development of a The managerial pay systems are separated,

more responsive pay system. based on rank depending on their assignments


and contributions to the company’s' profitability
The following are the advantages of the
index.
wage and salary structure:
The number of pay ranges in pay
1. It affects the workers' earning and standard
structure depends on the company and on the
of living.
number such structures in the company. If a
2. It eases the recruitment and maintenance of company has a single salary structure then,
an effective labor force. there should be many pay grades. If the
organization has one wage structure for hourly
3. It develops employee morale and increases
workers, another for office regular workers and
work efficiency.
still another for supervisors and managerial
4. It represents cost and competitive advantage employees, then there should be a moderate
in the industry. number of pay grades in each structure. There

5. It helps in preparing budgetary allocations is no standard number of pay grades per

and eases computation of salary adjustment structure for any industry or company. This
depends on the number of job classes and the SALARY RANGE
number of employees in the company. The
It is the range of the salary that is paid to
greater the differences in job classes the
an employee doing similar functions that has a
greater the number of pay grades in the salary
minimum and maximum pay and a series of
structure to give credence to differences in
step adjustments. It is to provide adjustment in
duties, responsibilities and other factors of
pay for performance evaluation without
variances as determined by the job evaluation
distorting the salary pay plan.
program.
It provides adjustments within the pay
The same could be said for the width of
grade of about 3% between each step. It is
the salary grade. There is no standard guide as
determined by the industry rate and the
to the spread of pay grades. For hourly jobs,
prevailing wages adjustments by the Tripartite
the spread from the minimum to maximum may
Board and the Department of Labor and
vary from ten percent (10%) to twenty (20%),
Employment. An example is provided below,
while for salaried jobs, the spread may vary
from 15% to 75%. The typical spread of Sample of Wage Plan for Small and Medium

salaried jobs is 3% from the minimum to the Enterprises

next to step. (See Sample computation) Salary Adjustments with High Seniority

Once the pay structure has been Another reverse situation is when the
determined, the next step is to assign employee with high seniority, is either so
employees to their proper job classifications. If competent or has received so many increases
the jobs are properly evaluated and were that his salary is above the maximum of the
developed before the implementation of any pay grade. This is called red circle rate, which
structure, most existing salaries should fall can be handled in two ways:
within the salary range established for their
1. Review the performance of the
jobs. When employees' salaries fall below the
employee. If the employee is doing superior
minimum of the pay grade for the job, then it is
work and is capable of performing higher tasks
called green circle rate. When that occurs, the
or responsibilities and has displayed potentials
decision to bring salaries to the minimum of the
for promotion, then he has to be promoted and
grade should be based on the employees'
given the salary grade corresponding to the
performance. If the employees are on training
new assignment. He should be under probation
stage, their salaries should perhaps be below
in the new assignment for at least 3 months
the minimum of the grade until they can fully
before he assigned to the new pay grade.
meet the requirements then they are brought
up to at least the minimum of the pay grade.
2. If the performance review reveals basis plus piecework There are two methods of
that the employee is not worthy to be paying salaries:
promoted and such salary increase was
1. By the Time Worked - earnings do
discreetly earned for some obvious
not fluctuate with the amount of work
reasons, then the employee will not get
performed or with the quality of output. In this
normal merit increase due to the
method, wages are computed in terms of unit
implementation of the new structure. As the
of time. It is common to pay workers by the day
range moves up due to cost-of-living index and
and the term day-work was adopted. Day-work
the salary plan is revised accordingly, then his
methods of pay usually include weekly, or
salary probably will still fall within the range and
biweekly or monthly bases. Paying by the time
then he could be entitled to future adjustments
worked is called Non-incentive wage plan
if deemed necessary.
because the method of calculations will not
In order to remain competitive, a salary immediately result in more money. No matter
structure should be reviewed every two or how hard an employee works during an hour,
three years depending on the inflation rate the pay will be computed by the hourly rate and
prevailing in the country brought by economic no more. Wages under this plan are computed
factors or internal factors such as improved by multiplying the number of hours worked by
productivity and profitability. the rate per hour, as follows:

Methods of Wage Payment HxR=W

The main purpose of a formal wage and In which H - Hours actually worked R - Rate
salary management plan is to have a per hour in pesos W - Total wages earned
systematic method of payment to ensure that
employees receive a fair wage and salary for
the work they perform. Up to this point, we Payment on the basis of time worked is

have examined how these wages are more satisfactory factory under the following:

determined or how much the employees should 1. Employees have little or no control over how
be paid for the work they perform. Now we will much work they produce.
examine the methods of determining how
2. There is no clear-cut relationship between
salaries are paid. Two organizations may have
the effort made to produce the work and the
similar salary structures for their jobs yet may
amount of work produced.
use different methods in computing the
employees' salaries. Salaries may be the 3. Work delays occur often and are beyond the
same, but one company may pay on hourly employees' control.
4. Quality of work is very important. Guaranteed piecework occurs when
employees are paid their days' — work when
5. Units of work produced cannot be
the work distortion is not caused by the
distinguished and cannot be measured.
employees' lack of power or some other factors
beyond the control of the workers.

2.By the Amount of Work Produced Payment by piecework is satisfactory under the
— earnings depend on how much work the following conditions:
employee completes or on a related factor,
1. When a unit of completed work can be
such as the quality of work. This method of
measured easily;
paying wages is called an incentive wage plan.
The most common of incentive plan is called 2. When there is a clear relationship between a
piecework. Piecework salaries are determined workers' effort and the results of his efforts;
by the number of pieces produced or
3. When the quality of work is less important
completed and each piece is assigned a piece
than quantity or when quality standards are
value that is called piece rate. Time study sets
uniform and measurable;
the acceptable number of pieces an employee
can produce at a given time taking into 4 When the flow of work is regular, breakdowns

consideration the acceptable quality of work are few and jobs follow a standard procedure,

performance. An industrial engineer studies with few interruptions.

jobs and he is tasked to develop methods of Wage and Salary Policies


performance revising the flow of work,
The company or any organization must
changing materials and equipment so that
have a clear-cut wage and salary policy. These
better work systems are developed.
policy guidelines will help the organization have
There are times that rates are based on past better relationships with employees and
experiences on similar jobs or on guesswork. develop a more comprehensive employee
The formula for computing salaries under financial planning program. The wage and
piecework is as follows: salary must appeal to all employees and

NxU=W stimulate them to greater efforts.

In which N = Number of units produced These characteristics include the following:

U = Rate per unit in pesos 1. The wage and salary plan must be easily
understood. Every worker wants to know how
W = Wages earned per day or
his company wage plan works. To keep
per week
employees in the dark as to how their earnings
are determined could lead to distrust on the 5. The method of payment should be stable
management and fear that they are not getting and unvarying. Frequent changes in wage
paid for what they have earned. payment plan may lead worker to think that
management is trying to confuse and or even
2. Salaries in the wage plan should be
cheat them. It is important to choose a plan
easily computed. Most employees like to
that will fit the needs of the organization so that
compute from to time what they are earning
the necessity of frequent subsequent changes
and to make sure that the salaries are correct.
eliminated.
Therefore, a wage payment plan should be
simple enough to allow quick calculations. The Morale Renewal in the Workplace
method of wage payment must be explained
1. Know that leaders have limitations.
during the orientation program and employees
must be made to understand that wages are Steve Berglas of the Harvard Medical School

related to employees' effort and productivity believes that "people who achieve great

and based on a wage plan that relates to duties heights but lack the bedrock character to

and responsibilities of the positions and other sustain them through the stress are headed for

factors considered in the job evaluation disaster." He predicts that one or more of the

program. four could result when a leader does not have


the requisite character = arrogance, aloneness,
3. Salaries must be made relevant with
adventure-seeking er adultery.
efforts. Standards should be set and can be
reached by good workers. Standards should be 2. Choose character.

set so as to challenge a worker making him John C. Maxwell is right in his observation that,
reach the extra effort. Once he has achieved "We have no-control over a lot of things in life.
the standard, he should be rewarded for his We don't get to choose our parents. We don't
effort with increased earnings. select the location or circumstances of our birth

4. Incentive, wage plans should provide and upbringing. We don't get to pick our talents

payment for incentive earnings to and IQ. But we do choose our character. In

employees soon after they have been fact, we create it every time we make choices."

earned for efforts exerted to reach the In the workplace, you can create your own

standards. In this way, the reward or penalty is character. Do you want easy money or work for

fixed in their minds in relation to the work they it? Do you keep the right company? Do you

do. Obviously, it would be too costly and stand by your principles? You can, if you

unwieldy to prepare a payroll every day. A choose to.

weekly payment of wages is most reasonable. 3. Walk the talk.


Integrity is important in the workplace. In fact, If you want honest and concerned leaders, you
many employers prefer to have employees with might just have to show them the mirror too.
integrity first, then skills second. Skills can be Some of them have blind spots and can’t see
taught but integrity is innate in ones' character. their mistakes, shortcomings and
transgression.
4. Avoid compromising.
Remember that tyrants happen only when the
While life is not black or white but shades of
led blindly accept tyranny or do not do anything
gray, there are instances when you have to
about it. To make leaders honest, they must
choose between right or wrong. A wrong can
know that they are also being watched and
never be right even if a compromise is
evaluated and that positions and possession
reached. If workers really want straight leaders,
are only temporal and ephemeral.
they must be vigilant and uncompromising in
asserting their rights as. well as in performing 8. Don't just admit mistakes; correct
their responsibilities. When compromises are them.
made, the rest of the organization, the buying
People who do not know that they are wrong
public and the society are affected.
cannot be corrected. The first step towards any
5. Use the same measures on yourself. form of renewal is admission that there is a
need for correction.
You want a leader who is not immoral, corrupt,
or incompetent. Exact the same measure or Humility to admit mistakes is great but not
standards on yourself. Be as harsh on yourself enough. There must be correction. Even the
as you are in judging others. That you are just Bible mains stiff-necked after many rebukes
a follower is never an excuse for being la* will suddenly be destroyed — without remedy.
incompetent or immoral.
9. Have an improvement plan.
6. Face the mirror.
Do not leave matter of improving yourself.
If you want one less scalawag in the Moral renewal does not happen by accident.
workplace, reform yourself. Look for areas for You must exert deliberate effort to mend the
improvement in your character. If you have the crack in your character. Task yourself to show
guts, ask somebody you trust to tell you what is improvement. Have reasonable milestones that
wrong in your character. Take the feedback you must monitor and check regularly, then
positively as a gift for you. improvement. Don't celebrate your little victories. But do not boast
rationalize but instead work at developing a about your achievement if humility is a virtue
better you are trying to instill in yourself.

7. Show the mirror to your leaders. 10. Rebuild and do not slide back.
Set your mind toward the future. Stop going Today we classify our work roles into
back to your past, except to see how much you three categories called labor grades. These
have progressed. Let your guideposts be labor grades are described below:
milestones in the future and not how you were
Skilled Labor - these are workers who
before. If you have improved in a facet of your
have received specialized training to do their
character, make sure that you don't slide back.
jobs. They have developed and honed a
Be not like the dog that eats his own vomit.
special skill and may or may not need to be
Never underestimate what ordinary people can
licensed or certified by the state. The examples
do, especially when they heed the call of one
of skilled laborers are carpenters, plumbers,
leader who was killed in Dallas, almost our
electricians, business executives and
decades ago," ...ask not what your country can
managers, artisans, accountants, engineers,
do for you; ask what you can do to your
police, mechanics; etc. These may be blue- or
country."
white-collar workers.
Other Information Related to Wages
Unskilled Labor - These are workers
Labor and Wages who have received no specialized training
technological one, the members of this group
The type of job one does and the
have developed and have few specific skills. As
financial compensation he or she receives are
our society has grown into an increasingly'
very important in our society. Job type is linked
developed more and more skills. A mechanic
to status as is wealth. While the type of job one
for example, used to be considered unskilled
performs is arguably more important status
labor. Today, that is no longer the case.
wise then wealth, both are. important to
Mechanics require a great deal of skill and
Americans.
training to w today's modern engines.
In the past we used to use other Examples of unskilled laborer sanitation and
descriptions to classify workers. The terms blue custodial workers, painters, factory assembly
collar or white-collar employees were used to line workers, etc. These are blue collar
describe the type of vocation. workers.

Blue Collar — Manual laborer Professionals - Arguably the elite of the

White Collar — Office workers secretarial, etc. labor grades, these are those workers who
need an advanced degree to do their jobs. The
Pink Collar — Job associated with women like
three primary groups of professionals are
nursing, secretarial, etc. This, being a rather
doctors, lawyers, and teachers. These are
sexist term, is no longer used.
white collar workers.
These labor grades are often said to be 11. Negative tone attitude toward training
non-competing labor grades because workers that must be cultivated and made an
integral requirement before the
rarely move from one grade td another and do employee sets foot in the training
not compete salary wise with each other. There program. FALSE
12. Training involves a permanent change in
are reasons why they do not compete with behavior. FALSE
each other. The cost of education and training 13. Self-efficacy is the most important
aspect of training administration. FALSE
may be a significant obstacle. They might lack 14. The immediate and special needs of a
the opportunity to make such a move and they company are determining factors in the
selection of the training courses and
might also have a lack of initiative. materials. FALSE
15. Learning has a major impact on the
HR QUIZZEZ delivery of training programs. FALSE
16. This technique can be effective because
QUIZ #1 the individuals are given the opportunity
1. Training has to be continuously offered to get away from the job and
to keep employees updated and concentrate solely on what is to be
effective. TRUE learned. OFF-SITE/OUTSIDE
2. The cost of training is greater than the DEVELOPMENT INTERVENTION
cost of gaining experience. FALSE 17. It determines employee’s development
3. The element of predictability is far potentials and needs.
greater when compared to the outcome PYSCHOLOGICAL TESTING
of a well-conceived and conducted 18. The process of shifting employees from
training program. FALSE* one job to another. JOB ROTATION
4. Employees with effective orientation 19. Adding challenges and new
programs tends to stay longer with the responsibilities to the employee’s
company. TRUE current job. JOB ENLARGEMENT
5. Development is used to gain a 20. Employees interacting with more
competitive advantage and viewed experienced organization members.
broadly as to create an intellectual MENTORING
capital. FALSE 21. Group of employees who work together
6. The success of any training program to learn from each other and develop a
can be gauged by the amount of common understanding on how to get
observation and practice that occurred the work done. COMMUNITY OF
and is transferred to the job. FALSE PRACTICE
7. Supervisors determine the need for 22. The growing capabilities that go beyond
training and specify the training those required by the current job.
objectives and the training efforts. DEVELOPMENT
FALSE 23. Practical application of what was
8. Only internal forces that can influence learned in the program. TRANSFER OF
training must be considered when doing TRAINING
organizational analysis. FALSE 24. Degree of the employee’s desire to learn
9. The use of Job Description Data in the cognitive ability, reading and writing
making this individual analysis is the skills and other technology changes
most common approach. FALSE necessary in the work environment.
10. An employee’s potential may mean BASIC SKILLS
further training to assume a higher
position in the future. TRUE
25. The planned introduction of new supervision and decision-making
employees to their jobs, co-workers, and become minimal. FALSE
the organization. ORIENTATION 12. The correct title of a particular job is very
26. It makes management alert to important in the organization. TRUE
inefficiency, provides better products, 13. The result of any job analysis program is
and services and keeps costs down. the writing of the Job Title and Job
TRAINING. Specification. FALSE
27. How management gives the new 14. Job Analysis is the sole responsibility of
employees information about the details the HRD. FALSE
of his/her work. THROUGH INDUCTION 15. A HR Manager requires knowing the
28. Learning while working in the job. ON- different jobs in the company. TRUE
THE-JOB TRAINIG 16. It is an improvement of the ranking
29. An objective in training to make the system. POINT RATING METHOD
employees do his job more efficiently. 17. The ff are uses of job description:
PRODUCTIVITY ● It helps identify and distinguish
30. These skills are needed to perform one job from other jobs.
one’s job effectively. BASIC SKILLS ● It is used as a tool in the proper
employee recruitment, selection
and training.
QUIZ #2 ● It helps establish job relationships
1. Analysis of the Organizational Structure within the salary bracket.
is the vertical interconnections among ● It serves as a guide in structural
jobs. FALSE departmentalization.
2. The type of Organizational Structure has ● It could be used as a guide in the
no implication in the design of the jobs. horizontal and vertical promotion
FALSE of employee’s thereby developing
3. There is a best method in job analysis. and promoting morale.
1. The process of getting detailed
FALSE
4. The smaller the company, the simpler information about the task, duties, and
responsibilities of the job as seen in the
the job evaluation method used. TRUE
organizational structure. JOB ANALYSIS
5. Similar jobs performing similar duties
1. It identifies what work must be
and responsibilities must have the same
performed and who will perform it. JOB
job title. TRUE
INFORMATION
6. Job titles must not reflect the major job
1. It is the systematic determination of the
functions. FALSE
value of each job or relations to other jobs in
7. Job analysis focuses only in one
the organization. JOB EVALUATION
important data that managers must have
1. It is more complex method, and it
the right information about the nature of
involves a monetary scale instead of a point
the employees. FALSE
scale. FACTOR COMPARISON METHOD
8. The accuracy of job information is
1. From the foundation of any human
necessary to Job Analysis. TRUE
resource process from recruitment and
9. Job analysis is considered as the
selection of performance management,
building block of anything that human
compensation, and career development.
resource manager does. TRUE
HUMAN RESOURCE PROGRAM
10. The type of organizational structure has
1. One who studies the duties,
implication on the design of the jobs.
responsibilities, and the specification
TRUE
requirements of the job. JOB ANALYST
11. In a divisional structure, jobs need
1. A written statement of the essential
specialization, and the responsibility is
characteristics of a job including the necessary
focused on specialized skills hence
qualifications, duties, responsibilities, and 8. The number of pay ranges in pay
degree of authority of job. JOB DESCRIPTION structure does not depends on the
1. This method is commonly used for blue- company and on the number of such
collar, as the employee may not be able to structures in the company. FALSE
answer the question. THE INTERVIEW 9. The same could be said for the width of
METHOD the salary grade, there is standard guide
1. It contains information about the as to the spread of pay grades. FALSE
employee’s qualifications and traits required in 10. Once the pay structure has been
the effective performance of the work assigned. determined, the next step is to assign
JOB SPECIFICATION employees to their proper job
1. The simplest and oldest method and the classifications. TRUE
least often used, it usually based on overall 11. When employees’ salaries fall below the
difficulty rather than on a number of minimum of the pay grade for the job,
compensable factors. RANKING METHOD then it is called green circle rate. TRUE
1. It clearly shows the area of job activity 12. To remain competitive, a salary structure
and must show its relationships with the other should be reviewed every four (4) years
jobs in the unit or department. JOB TITLE depending on the inflation rate prevailing
1. The process of getting detailed in the country brought by economic
information about the tasks, duties and factors and internal factors. FALSE
responsibilities of the job as seen in the 13. The Bargaining Theory is brought about
organizational structure. JOB ANALYSIS by the organization of minimum wage
1. It evaluates selected job factors, which laws. FALSE
are regarded as important for the effective 14. Presentation of the surveys result is
performance of the job, according to one optional in conducting wage and salary
several alternative methods. JOB survey. FALSE
EVALUATION 15. Skills is much more important that
integrity. FALSE
QUIZ #3 16. The elite of the labor grades.
PROFESSIONALS
1. HRD function in a company is usually 17. This theory gives weight to the merit of
the Wage and Salary Administration. work. LABOR THEORY OF VALUE
FALSE 18. Advantages of Wage and Salary
2. The level of pay must impair profits. Structure:
FALSE ● It affects the worker’s earning and
3. There are set of rules for making standard of living.
decisions in conducting Salary Wage ● It eases the recruitment and
Survey. FALSE maintenance of an effective labor
4. In deciding whether to match a survey force.
trend line, management faces a conflict ● It develops employee morale and
between the law and economic forces. increases work efficiency
FALSE ● It represents cost and competitive
5. The design and operation of wage and advantage in the industry
salary structure is the concern of ● It helps in preparing budgetary
management alone. FALSE allocations and eases
6. Jobs are ranked in ascending to computation of salary
descending order according to their adjustments and as an aid in
importance. TRUE short-term and long-range plans
7. The design of the Wage and Salary ● It eliminates pay distortions and
Structure is the establishment of the job inequities in employee
classes and rate ranges. TRUE compensation
● It establishes an equitable salary 1. This theory offers the best explanation
range for various jobs of wages in modern industry. MARGINAL
1. Characteristics of Wage and Salary PRODUCTIVITY THEORY
Policies:
● The wage and salary plan must
be easily understood
● Salaries in the wage plan should
be easily computed
● Salaries must be made relevant
with efforts
● Incentive wage plans should
provide payments for incentive
earnings to employees soon after
they have been earned for the
efforts exerted to reach the
standards
● The method of payment should
be stable and unvarying
1. This theory of wages is expounded by
John Stuart Mill. WAGE FUND THEORY
1. This theory is the basis in the
implementation of minimum wage laws. THE
JUST WAGE THEORY OF ST. THOMAS
AQUINAS
1. This theory proposes that labor is a
commodity like anything that could be brought
at a price by the user. BARGAINING THEORY
OF JOHN DAVIDSON
1. It tries to establish the relationship
between wages and the level of economic
activity. THE PURCHASING POWER THEORY
1. This theory, if applies will be in favor for
the labor force but is counterproductive. THE
STANDARD OF LIVING THEORY
1. “The more money I have, the more
clothes I can buy” is a statement that
characterizes what theory of wages?
PURCHASING POWER THEORY
1. Who propounded the labor theory of
value? KARL MARX
1. This method of wage payment is often
used in paying wages for factory workers. DAY
WOR METHOD**
1. This type of theory gives weight to the
merit of work. LABOR THEORY OF VALUE
1. This technique is the least scientific and
reliable as this does not require scientific
computation. EYE INSPECTION

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