Human Resource Management (MGT-515)

BIIT

Lesson 05

HRM in Modern Day

Role of HRM in Modern day business

HRM is all about managing the people effectively to achieve the best outcome. HR
management provides a great working environment in organization and it helps to treat
each other with respect and dignity. Organization only gains its competitive advantage
by using its people effectively. The growth of technology and changes in the business
environment has increased the importance of human resources. The focus of the
modern organization is on the competitive growth, bringing innovative products and
being top company in the industry.

Human Resource Functions in the modern world.

 Recruitment and Selection process
 Training and Development
 Policies formulation and Implementation
 Orientation programs
 Job analysis and Design
 HR planning
 Compensation management
 Welfare and Health safety measures and
 Job safety measures

An organization’s HR function focuses on the people side of management. It consists

of practices that help the organization to deal effectively with its people, during the
various phases of the employment cycle, including pre-hire, hire and post-hire.
The major HRM activities in the pre-hire are human resource planning and job
analysis. This involves job description and determining appropriate advertising open
positions. Once right candidates are identified, human resource manager will conduct
interviews conduct background checks, pre-employment test and make hiring
recommendations. During the hiring phase, the organization hires employees. HR
managers are responsible for conducting orientation in this phase.

In the post-hire phase the organization develops human resource management

practices for effectively managing people. This helps to maximize the performance of
employees, by providing them with the necessary knowledge and skills to do their job.

Today the role of HR in the modern organization is purely strategic. The HR

Professionals focus on the strategic plan of the company. They monitor the market and
brings best practices in the area of human capital management. HR focus on
employee’s quality and invests in their continuous development. If human resources
are not well equipped with latest technology and techniques, modern business cannot
work effectively. It is the responsibility of the HR department to give proper training
to the workforce, to achieve the competitive advantages of business.

Equal Employment Opportunity

Among the most significant efforts to regulate human resource management are those
aimed at achieving equal employment opportunity (EEO) —the condition in which
all individuals have an equal chance for employment, regardless of their race, color,
religion, sex, age, disability, or national origin. The federal government’s efforts to
create equal employment opportunity include constitutional amendments, legislation,
and executive orders, as well as court decisions that interpret the laws.
Legislation on Equal Employment

Equal Pay Act of 1963

Under the Equal Pay Act of 1963, if men and women in an organization are doing
equal work, the employer must pay them equally. If the pay differences result from
differences in seniority, merit, quantity or quality of production, or any factor other
than sex (such as participating in a training program or working the night shift), then
the differences are legal.

Title VII of the Civil Rights Act of 1964

Title VII directly resulted from the civil rights movement of the early 1960s. This law
was to ensure that employment opportunities would be based on character or ability
rather than on race, Congress wrote and passed Title VII, in 1964.

Title VII prohibits employers from discriminating against individuals because

of their race, color, religion, sex, or national origin. An employer may not use these
characteristics as the basis for not hiring someone, for firing someone, or for
discriminating against them in the terms of their pay, conditions of employment, or
privileges of employment.

Age Discrimination in Employment Act 1967 (ADEA)

Older workers sometimes are concerned that they will be the targets of discrimination,
especially when a company is downsizing. Older workers tend to be paid more, so a
company that wants to cut labor costs may save by lying off its oldest workers.

To counter such discrimination, Congress in 1967 passed the Age

Discrimination in Employment Act
 (ADEA), which prohibits discrimination against workers who are over the age
of 40. Similar to Title VII, the ADEA outlaws hiring, firing, setting compensation
rates, or other employment decisions based on a person’s age being over 40.

Vocational Rehabilitation Act of 1973

In 1973, Congress passed the Vocational Rehabilitation Act to enhance employment

opportunity for individuals with disabilities. This act covers executive agencies and
contractors and subcontractors that receive more than $2,500 annually from the federal
government.

Pregnancy Discrimination Act of 1978

An amendment to Title VII of the Civil Rights Act of 1964, the Pregnancy
Discrimination Act of 1978 defines discrimination on the basis of pregnancy,
childbirth, or related medical conditions to be a form of illegal sex discrimination. For
example, an employer may not refuse to hire a woman because she is pregnant.
Decisions about work absences or accommodations must be based on the same
policies as the organization uses for other disabilities.
Human Resource Management (MGT-515)
BIIT

Lesson 06

EEO

Civil Rights Act of 1991

One major change in EEO law under CRA 1991 is of compensatory and punitive
damages in cases of discrimination.
CRA 1991 allows judges to award compensatory and punitive damages when the
plaintiff proves the discrimination was intentional or reckless. Compensatory
damages include such things as future monetary loss, emotional pain, suffering, and
loss of enjoyment of life. Punitive damages are a punishment; by requiring violators
to pay the plaintiff an amount beyond the actual losses suffered, the courts try to
discourage employers from discriminating.

Genetic Information Nondiscrimination Act of 2008 (GINA)

While learning that you are at risk of, say, colon cancer may be a useful motivator to
take precautions, the information opens up some risks as well. For example, what if
companies began using genetic screening to identify and avoid hiring job candidates
who are at risk of developing costly diseases? In order to deal with Concerns such as
this caused government to pass the Genetic Information Nondiscrimination Act
(GINA) of 2008.

Equal Employment Opportunity Commission

(EEOC)
The Equal Employment Opportunity Commission (EEOC) is responsible for enforcing
most of the EEO laws, including Title VII, the Equal Pay Act, and with Disabilities
Act. The EEOC investigates and resolves complaints about discrimination, gathers
information, and issues guidelines.
Preventing Sexual Harassment
Based on Title VII’s prohibition of sex discrimination, the EEOC defines sexual
harassment of employees as unlawful employment discrimination. Sexual harassment
refers to UN welcomed sexual advances, requests for sexual favors, and other verbal or
physical contact of a sexual nature constitute sexual harassment.

 Quid Pro Quo

It means something that is given to you or done for you in return for something you
have given to or done for someone else.
Quid Pro Quo sexual harassment is the more obvious form of harassment, wherein
sexual conduct becomes the basis an employment decision, i.e. a supervisor says,
“Have illegal relation with me and
I’ll give you the job, or the promotion, or a raise,” or conversely, “If you don’t do so,
I’ll fire you.”

 Hostile environment

Hostile work environment creates the context of illegal discrimination based on race,
gender, age, or other.”
Though many people don’t know it, legally speaking, a “hostile work environment” can
only arise in the context of illegal discrimination, when one or more persons act in a
hostile or abusive fashion against one or more other people due to the latter’s race,
gender, age, national origin, religion, disability, or membership in some other protected
category.

Discriminatory Employment Practices Terms:

1. Gender Identity Discrimination

It is unlawful to discriminate against any employee or applicant for employment based

on an individual having or being perceived as having a gender-related self-identity,
self-image, appearance, expression.

2. Disability

An individual with a disability is a person who has a physical or mental impairment that
substantially limits one or more major life activities and has a record of such
impairment or is regarded as having such impairment; as defined in the Americans with
Disabilities Act.

3. National Origin Discrimination

In this term, treating someone less favorably because she/he comes from a particular
place, his/her ethnicity, his/her accent, or because it is believed that s/he has a particular
ethnic background. It also includes treating someone less favorable because of marriage
or association with someone of a particular nationality.

4. Color Discrimination

It is unlawful to discriminate against any employee or applicant for employment based

on stereotypes and beliefs about abilities, traits, or performance of individuals of a
certain racial group.

5. Sex Discrimination

It is unlawful to discriminate against any employee or applicant for employment

because of his/her sex in decisions involving hire, termination, promotion, job training,
compensation, or any other term, condition, or privilege of employment.
6. Religious Discrimination

Employers may not treat an employee or an applicant less, or more, favorably because
of his/her religious beliefs or practices.

Equal Opportunity Employer and its Importance

The EEO Acts protects applicants or employees from discrimination in hiring, pay,
promotion, transfer, termination, training and other aspects of employment, on the
basis of race, color, age, religion and national origin. It develops a better workplace
culture where all employees are treated with respect and dignity.

EEO policy is beneficial to both individuals and companies. It will make the
best use of whole workforce. An equal opportunity policy helps staff to understand
their rights and responsibilities. It also helps them to feel they are being treated fairly
and equally, which will increase an individual level of commitment, satisfaction and
loyalty to their employer. It create a better understanding of each other. Thus,
employees are more motivated and they will work harder to achieve organizational
goals. EEO practices are a powerful way to increase the organization efficiency and
profitability.

Benefits of becoming an EEO employer

 Achieve high level of employee satisfaction and morale.

 Create a safe working environment.
 Better customer service.
 Retain skilled and efficient staff.
 Reduced absenteeism.
 Enhanced company reputation.
 Great business productivity.