INTRODUCTION TO HUMAN RESOURCE
Improving the job performance of
MANAGEMENT
What is HRM?
Management process
• The five basic functions of
planning, organizing, staffing,
leading, and controlling.
• The policies and practices
involved in carrying out the
“people” or human resource
aspects of a management
position, including recruiting,
screening, training, rewarding,
and appraising.
Personnel Aspects of A Manager’s Job
-Conducting job analyses (determining the
nature of each employee’s job)
-Planning labor needs and recruiting job
candidates
-Selecting job candidates
-Orienting and training new employees
-Managing wages and salaries
(compensating employees)
-Providing incentives and benefits
-Appraising performance
-Communicating (interviewing, counseling,
disciplining)
-Training and developing managers
-Building employee commitment
Why is HRM important
-Hire the wrong person for the job
-Experience high turnover
-Have your people not doing their best
-Waste time with useless interviews
-Have your company in court because of
discriminatory actions
-Have your company cited by OSHA for
unsafe practices
-Have some employees think their salaries
are unfair and inequitable relative to others
in the organization
-Allow a lack of training to undermine your
department’s effectiveness
-Commit any unfair labor practices
Basic HR Concept
Getting results
▪ The bottom line of managing
▪ HR creates value by engaging
in activities that produce
the employee behaviors
the company needs to
achieve its strategic
goals.
Line and Staff Aspects of HRM
Line manager
A manager who is authorized to
direct the work of subordinates
and is responsible for
accomplishing the organization’s
tasks.
Staff manager
A manager who assists and
advises line managers.
Line Managers’ HRM Responsibilities
1. Placing the right person on the
right job
2. Starting new employees in the
organization (orientation)
3. Training employees for jobs new
to them
4.
each person
5. Gaining creative cooperation and
developing smooth working
relationships
6. Interpreting the firm’s policies and
procedures
7. Controlling labor costs
8. Developing the abilities of each
person
9. Creating and maintaining
department morale
10. Protecting employees’ health and
physical condition
HR and Authority
Authority
The right to make decisions,
direct others’ work, and give
orders.
Staff authority
Advisory relationship
• Innovator role
• Employee advocacy role
Line authority
Supervisor-subordinate
relationship
Functional authority
Authority as coordinator of
personnel
Functions of the HR Manager
A line function
• The HR manager directs the
activities of the people in his or
her own department and in
related service areas (like the
plant cafeteria).
A coordinative function
• HR managers also coordinate
personnel activities, a duty often
referred to as functional control.
Staff (assist and advise) functions
• Assisting and advising line
managers is the heart of the HR
manager’s job.
Examples of HR Job Duties
Recruiters
Search for qualified job
applicants.
Equal employment opportunity (EEO)
coordinators
Investigate and resolve EEO
grievances, examine
organizational practices for
potential violations, and compile
and submit EEO reports.
Job analysts
Collect and examine information
about jobs to prepare job
descriptions.
Compensation managers
Develop compensation plans and
handle the employee benefits
program.
Training specialists
Plan, organize, and direct training
activities.
Labor relations specialists
Advise management on all
aspects of union–management
relations.
Approaches to organize HR
Transactional HR
Carrying day to day transactions
Corporate HR
Helping top management
Embedded HR
Helps departments like sales
Centers of expertise HR
Specialized consulting within
companies
Cooperative Line and Staff HR
Management
1. The line manager’s responsibility
is to specify the qualifications
employees need to fill specific
positions.
2. HR staff then develops sources
of qualified applicants and
conduct initial screening
interviews
3. HR administers the appropriate
tests and refers the best
applicants to the supervisor (line
manager), who interviews and
selects the ones he or she wants.
The Changing Environment Of
HR Management
HR’s changing role:
• Took over hiring and firing from
supervisors, payroll, and benefit
plans administration.
• Protecting the firm in its
interaction with unions (labor
relations).
• Assumed organizational
responsibilities for equal
employment and affirmative
action.
TRENDS SHAPING HRM
Globalization
• Sales, ownership, manufacturing
in new markets
• More pressure
• Lower cost
• Less secure jobs (off shoring)
• Partnerships
Indebtedness (leverage)
• Spending more and earning less
Technological trends
• PDAs to communicate
• Telecommuting
• Virtual on line communities
Trends in nature of work
• High tech jobs
• Service jobs
• Knowledge work and human
capital
Workforce and demographic trends
• Demographic trends
• Nontraditional workers
• Retirees
• Generation Y
Economic challenges and trends
• Boom
• Recession

TRENDS In HRM
The new HR manager
• Focus on big picture issues
• New ways to provide
transactional services
• Have new proficiencies
• The Need to “Know Employment
Law”
Equal employment
laws
Occupational safety
and health laws
Labor laws
TRENDS In HRM cont.
High performance work systems
• Generate more job applicants
• Screen candidates more
effectively
• Provide more and better training
• Link pay more explicitly to
performance
• Provide a safer work environment
• Produce more qualified
applicants per position
• More employees are hired based
on validated selection tests
• Provide more hours of training for
new employees
• organized and unorganized, and promote
Higher percentages of employees
receiving regular performance
appraisals.
Strategic HRM
Evidence based HRM
HR Professional Certification
• HR is becoming more
professionalized.
Managing ethics
• Discrimination
• Harassment
• Glass ceiling
• Employee surveillance
• Employee safety
Measuring HR contributions
Strategy
• The company’s long-term plan for
how it will balance its internal
strengths and weaknesses with
its external opportunities and
threats to maintain a competitive
advantage.
• HR managers today are more
involved in partnering with their
top managers in both designing
and implementing their
companies’ strategies.
• Top management wants to see,
precisely, how the HR manager’s
plans will make the company
more valuable.
Topic 2: CONSTITUTIONAL AND LEGAL
FRAMEWORK
“Managing human resources is oftentimes
fraught with legal implications.”
COST ACCOUNTING
• LABOR
• MATERIALS
• FACTORY OVERHEAD
Implication of Lawsuits
• Legal Costs
• Company Name’s Reputation
• Management’s Reputation
Ignorance of the law excuses no one.
An ounce of prevention is better than a
pound of cure.
THE CONSTITUTIONAL BASIS
The Philippine Constitution
- laid the basis for protecting the
rights and welfare of employees
- provides:
“The state affirms labor as a primary socio-
economic force. It shall protect the right of
workers and promote their welfare.”
- protects the right of employees
to form unions, association or societies for
purposes not contrary to law.
Declaration of Principles
Article XIII, Section 3
The State shall afford full
protection to labor, local and overseas,
full employment and equality of
employment opportunities to all.
• Self-organization
• Collective Bargaining
• Strikes
• Security of Tenure, Humane
Conditions of Work and Living
Wage
• Participation in Policy and
Decision Making
• Shared Responsibility Between
Workers and Employers
• Just Share in the Fruits of
Production
LABOR CODE OF THE PHILIPPINES
- was enacted during the Martial Law
- was approved May 1, 1974
- took effect on November 1, 1974
Labor Code of the Philippines
Book 1: Pre-Employment
Book 2: Human Resources Development
Program
Book 3: Conditions of Employment
Book 4: Health, Safety and Social
Welfare Benefits
Book 5: Labor Relations
Book 6: Post-Employment
Employer
- Includes any person acting in the interest
of the employer
Employee
- Includes any person in the employ of an
employer
Kinds of Employees
Managerial Employee
- one vested with powers or
prerogatives to lay down and execute
management policies
Supervisory Employee
- one who, in the interest of the
employer, effectively recommends such
managerial actions
Rank and File Employee
- one not falling under any of the
preceding definitions
Types of Employee
(in terms of tenure)
• Regular
• Project
• Casual
• Probationary
• Fixed Contract
HEALTH, SAFETY & SOCIAL WELFARE
PROVISIONS
• First Aid Kit & First Aiders
• 50 employees but not more than
200
• Registered Nurse
• 200 employees but not more than
300
• Full time registered nurse
• Part-Time Physician
• Dentist
• Emergency Clinic
• Exceeds 300 employees
• Full Time Physician
• Dentist
• Full Time Registered Nurse
• Dental Clinic
• Infirmary/Emergency Hospital
• Physicians, nurses & dentists
employed shall have necessary
training in industrial medicine and
occupational safety and health.
• Employer’s duty to provide all
necessary assistance
LABOR RELATIONS
Labor Relations
- refer to the relationship between
the employers and employees in industry,
and the political decisions and laws that
affect it.
Sources of Conflicts in Labor Relations
• Manners by which hierarchical
demands are made or executed
• Clash between Management
Prerogatives and Labor Rights
• Just share in the fruits of
production
• Fair return in investment,
expansion and growth
UNFAIR LABOR PRACTICE (ULP)
Concepts of Unfair Labor Practice
• Violates constitutional rights of
workers to self-organization
• Is inimical (causes damage) to
the legitimate interests of both
labor and management and
labor’s right to bargain
collectively with freedom and
mutual respect
 • Disrupts industrial peace
• Hinders promotion of healthy
labor-management relations
• Is a criminal offense
STRIKE
• Grounds
• Deadlock in Collective
Bargaining Negotiations
• Unfair Labor Practice (ULP)
• Conditions
• Notice filed with DOLE
• 30 days with
deadlock
• 15 days with ULP
• Approved through secret balloting
THE LAW ON TERMINATIONS
Just Causes
• Serious misconduct or willful
disobedience by the employee
• Gross and habitual neglect by the
employee of his duties
• Fraud or willful breach by the
employee of the trust reposed on
him
• Commission of a crime or offense
by the employee against the
person of his employer or any
immediate member of his family
or his duly authorized
representative
• Other causes analogous to the
foregoing
Authorized Causes
• Installation of labor-saving
devices
• Redundancy
• Retrenchment or downsizing
• Closure or cessation of operation
• Disease
Due Process Requirement
“Twin Notice”
• A notice served on the employee
specifying the particular acts or
omissions
• A notice of termination served
upon the employee
Endo Contractualization
(Despite the controversy it is still regularly
employed by major companies in the
Philippines to cheapen labor fees.)
Endo refers to a short-term employment
practice in the Philippines.
Workers temporary employment that last
them less than six months and then
terminating their employment just short of
being regularized in order to skirt on the
fees which come with regularization.
X Employer & employee relationship
X SSS
X Philhealth
X Pag-ibig housing fund contribution
X 13th Month Pay, etc
OVERVIEW
The word Endo is derived from an abridged
version of the phrase "end of contract".
Endo is also sometimes referred to "5-5-5",
referring to the number of months until a
non-regular employee's termination or end
of contract. Under the Labor Code of the
Philippines (PD 442), employers may
employ people under a probationary status
of not exceeding six months. Under this
system, the worker's employment contract
ends before the six month by their
employer. After the six-month period,
employees then become regular workers,
entitled to several health, security, and
insurance benefits prescribed by law.
Contractualization
- is one of the most controversial labor
practices in the Philippines. Since its
adoption in 1974, the Labor Code has been
amended and attached with several
implementing texts. As of June 2016, there
are an estimated 356,000 probationary
workers in the Philippines.
LAW, RULES & JURISPRUDENCE ON
SECURITY OF TENURE
RIGHT TO SECURITY OF TENURE
• 1987 Constitution
Article XIII, Section 3
• Labor Code
Article 295 & 296 (regular/
probationary employment)
Article 297 (Just Cause) and 298
(Authorized Causes)
Article 299 (Disease)
Article 300 (Resignation)
Article 302 (Retirement)
DO 147-15
EMPLOYMENT
Four Fold Test
• Selection and Placement
• Payment of Wages
• Power of Dismissal
• Power of Control
Means and Methods
Economic Dependence Test
• Dependent on employer for
continued employment
TYPES OF EMPLOYMENT
PROBATIONARY
- 6 Months
- Standards must be made known
at the start of employment
- Evaluation completed before 6th
months
REGULAR
- Usually necessary or desirable
in the usual business or trade of the
employer
- Employed more than a year
CASUAL
• Less than a year
PROJECT
- Specific project or undertaking
- Completion or termination has
been determined at the time of the
engagement
SEASONAL
- Work or services to be
performed is seasonal in nature
- The employment is for the
duration of the season
FIXED TERM CONTRACT
- Stipulated in contract
- Voluntary, Equal Footing
(strictly contrued)
JUST CAUSES
-Serious misconduct
-Willful disobedience
-Gross and habitual negligence
-Fraud
-Loss of trust and confidence
-Commission of a crime or offense; and
-Other causes analogous to the
foregoing
➢ SERIOUS MISCONDUCT
- Misconduct
Forbidden act
Dereliction of duly
- It is grave and aggravated character
- Relate to performance of EE’s duties
- EE becomes unfit to continue working for
ER
➢ WILLFUL DISOBEDIENCE
- Disobedience or insurbordination
- Willful or intentional
- Order is reasonable, lawful and make
known to the EE
-In connection with the duties of the
employee
➢ ANALOGOUS
- Act or omission similar to those specified
just cause
- Caused by the voluntary and/ or willful act
or omission of the EE
- Rationale for dismissing an employee
based on the four (4) foregoing causes also
applies to analogous case.
➢ OTHER GROUNDS
- Reasonable and lawful grounds specified
under company policies (Sec. 6 DO 147-15)
- Universal Canning Inc. vs. CA, GR No.
215047, November 23, 2016
- Employee found positive for drug use
(Sec. 6, DO 147-15)
- Sexual Harassment (Sec. 6, DO 147-15)
- Grounds provided under the CBA (Sec 7,
DO 147-15)
PROCEDURE: JUST CAUSE
• Notice to Explain
• Opportunity to be heard
• Administrative hearing
• Notice of Decision
 AUTHORIZED CAUSES
- Installation of Labor Saving Devices
- Redundancy
- Retrenchment to prevent losses
- Closure of Business
- Temporary Lay-off
➢ REDUNDANCY
- Superfluous positions or services
- Positions or services are in excess of what
is reasonably demanded by the actual
requirements of the enterprise to operate in
an economical and efficient manner
- Good faith in abolishing positions
- Fair and reasonable criteria (performance,
status & seniority) Adequate proof of
redundancy
- Payment of separation pay of one month
for every year of service
PROCEDURE: AUTHORIZED CAUSE
➢ Notice to Employee
➢ Notice to DOLE
➢ Period:
- 30 days prior to dismissal
- Payment of separation pay is
not in lieu of 30 day notice.
➢ DISEASE
- Suffering from Disease
- Continued employment prohibited by law
or prejudicial to his health
- Must be certified by public health authority
- Separation pay: half month pay for every
year of service
- Procedure
➢ RESIGNATION
- Must be given 30 days before intended
date
- Exception:
Serious insult on person or honor
Inhuman and intolerance treatment
Commission of crime
Analogous cause
RETIREMENT
- Covered: 60 to 65 years old with 5 years
of service
- Amount: Half month for every year of
service
22.5 days (15 days + 5 days SIL
+ 2.5 days (13th month)
Half a million workers have been
regularized since Labor Day last year when
President Rodrigo Duterte signed an
executive order to protect the workers’ right
to security of tenure, according to the
Department of Labor and Employment
(Dole).
But what will likely happen when endo
ends?
- The Philippine job market could be less
competitive
- Endo is primarily a loophole exploited by
employers looking for a low-cost workforce.
This is a part of why the Philippines is such
an attractive job market
- More people may be unemployed and
unemployable
The Bottomline for Endo
- By giving benefits, businesses can be
assured of a more productive workforce.
- A success person who has job security
will be more dedicated to than someone
who dreads the day the contract ends.
Incentives can also be used to drive
productivity and motivation, bringing forth a
more active workforce.
Meeting Needs of human resources
Recruitment is the process of
attracting the best individuals to join the
company on a timely basis in sufficient
numbers and meeting the qualification
requirements, thereby encouraging them to
apply for the job in organization.
Recruitment needs are of three types:
Planned:
Arises from changes
organization and retirement policy.
Unexpected:
Arises during resignations,
deaths, accidents and illness.
Anticipated:
Refers to those movements in
personnel which an organization can predict
by studying trends in the internal and
external environments.
Goals of recruitment
- Recruiting provides information that will
attract a significant pool of qualified
candidates and discourage unqualified
ones from applying
- Recruiters promote the organization to
prospective applicants
- Minimize costs of processing unqualified
candidates
RECRUITMENT IS A TWO WAY STREET
Recruitment
Sources and Methods
Recruitment sources:
- Place where qualified individuals
are found
Recruitment methods:
- Means by which potential
employees can be attracted to
the firm
INTERNAL SOURCES
Transfers & Promotions:
Transfers implies shifting of an
employee from one job to another
without any shift in change of
responsibilities, and on the other hand
promotion refers to shifting of an
employee to a higher position carrying
higher status, responsibilities and pay.
- Retired and retrenched employees who
want to return to company may be hired.
- Dependents and relatives of deceased
and disabled employees.
INTERNAL SOURCES
Advantages
- Morale and motivation of employees
improves.
- Promotes loyalty and commitment
amongst employees due to sense of job
security and advancements.
- High chances of proper selection
- Present employees familiar with
organization surroundings.
- Time and expenditure for recruitment
reduced
Disadvantages
- Fails to bring in fresh blood into
organization.
- Promotion based on seniority.
- Choice in selection is restricted.
- All vacancies cannot be filled from within
organization.
- Not available to newly established
enterprise.
EXTERNAL SOURCES
A) Educational Institutions:
Sometimes recruiters are sent to
in educational institutions where they meet the
members of the faculty and persons in
charge of placement services who
recommend suitable candidates.
B) Recruitment Agencies:
These are outside firms who go
and find candidates for employers.
C) Employment exchanges:
It is an office set up by the
government for bringing together as quickly
as possible those men who are in search of
employment and those employers who are
looking for men.
D) Casual callers:
The casual callers, also called as
unsolicited applications are the job seekers
who come to the well-renowned
organizations casually and either mail or
drop in their job applications seeking the job
opportunity.
E) Gate recruitment:
In this method a notice on the
notice board of the company specifying job
details of job vacancies can be put. This
method is also called direct recruitment
F) Media Advertisement
The advertisement is the most
common and preferred source of external
recruiting. The ads in newspapers,
professional journals, give a comprehensive
detail about the organization, type, and
nature of job position, skills required,
qualification and experience expected, etc.
EXTERNAL SOURCES
Advantages
- People having requisite skill, education
and straining can be recruited.
- Best selection made irrespective of cast,
creed, religion, sex.
- Helps to bring new blood
- Expertise and experience from other
organization can be bought.
- “never dries up”.
- Applicable to new firms as well.
Disadvantages
- Time consuming and expensive
- Employees unfamiliar with organization
and its orientation.
- If higher level jobs are filled from external
sources, motivation and loyalty of existing
staff affected.
METHODS OF HUMAN RESOURCE
RECRUITMENT
1. JOB POSTING
A job posting is an advertisement
created by an employer, his administrative
or human resources staff, or a recruiter that
alerts current employees or the public of an
immediate or future job opening within a
company.
The standard time for job posting
is period of one week to two weeks.
THE WORD-OF-MOUTH SYSTEM
This method of recruitment is
found to be effective in local situations. It is
one of the least expensive recruitment
systems. As soon as people learn that
there’s a job opening, the word spread
around.
3. ADVERTISING MEDIA
One popular and often effective
means of soliciting applicants is advertising
it through the media, like newspapers,
magazines, radio or television.
What are blind ads?
These are ads that do not reveal
the identity of the company, instead they
give a box number where the resume’ or
pertinent papers will be forwarded.
4. WALK-INS AND UNSOLICITED
APPLICANTS
These unsolicited applicants
could be a possible source of outstanding
employees.
5. CAMPUS OR UNIVERSITY
RECRUITMENT
Recent graduates are considered
highly desirable for companies to select,
groom and develop recruits from top
schools in the Country
6. JOB FAIR AND OPEN HOUSE
An advertisement announcing the
location of the job fair is posted at least one
week ahead of schedule to attract more
applicants.
7. GOVERNMENT AGENCIES
Some local government units
have their placement offices look for
possible employment for their constituents.
8. RADIO AND TELEVISION
Radio and television are now
used as mediums for manpower
recruitment.
9. THE INTERNET
The internet could become
another source of employment
opportunities. Company profiles and job
placements could eventually come into the
internet.
RECRUITMENT PROCESS WHY ARE EMPLOYERS USING
1 .Recruitment Planning: PERSONALITY TEST?
The recruitment process begins PERSONALITY TEST:
with the planning where in the vacant job - Cultural fit
positions are analyzed and then the - Role & Team fit
comprehensive job draft is prepared that - Communication style &
includes: job specifications and its nature,
Preference
skills, qualifications, experience needed for
the job, etc.
BASIC TESTING CONCEPTS
2. Strategy Development: ➢ RELIABILITY
Once the comprehensive job
draft is prepared, and the type and the Consistency of scores obtained by the
number of recruits required are decided same person when retested with identical
upon; the next step is to decide a strategy or equivalent test.
that is adopted while recruiting the
prospective candidates in the organization Are test results stable over time?
➢ VALIDITY
3. Searching the Right Candidates Indicates whether a test is measuring what
Searching is the process of
it is supposed to be measuring.
recruitment where the resources are
sourced depending upon the requirement of
the job. After the recruitment strategy is Does the test actually measure what it is
done, the searching of candidates will be intended to measure?
initialized. This process consists of two steps
− TEST VALIDITY
Source activation − Once the line manager • CRITERION VALIDITY
verifies and permits the existence of the • FACE VALIDITY
vacancy, the search for candidates starts. • CONTENT VALIDITY
Selling − Here, the organization selects the
media through which the communication of
HOW TO VALIDATE A TEST?
vacancies reaches the prospective
candidates.
Step 1: Analyze the job: predictors
4. Screening / Shortlisting and criteria
Screening starts after completion Step 2: Choose the tests: test battery or
of the process of sourcing the candidates. single test
Screening is the process of filtering the Step 3: Administer the tests:
applications of the candidates for further concurrent or predictive validation
selection process. Step 4: Relate your test scores and criteria:
Screening is an integral part of scores versus actual performance
recruitment process that helps in removing Step 5: Cross-validate and revalidate:
unqualified or irrelevant candidates, which repeat steps 3 and 4 with a different sample
were received through sourcing
BEST TAKER’S INDIVIDUAL RIGHTS
5. Evaluation and Control
AND TEST SECURITY
This is the last stage in the
process of recruitment. In this process, the UNDER THE APA’S STANDARD FOR
effectiveness and the validity of the process EDUCATIONAL TESTS, TEST TAKERS
and methods are assessed. Recruitment is a HAVE THE RIGHT;
costly process, hence it is important that the
performance of the recruitment process is - To privacy and information
thoroughly evaluated. - To the confidentially of test results
- To informed consent regarding use of
these results
- To expect that only people qualified to
interpret the scores will have access to
HRM Topic 5: EMPLOYEE TESTING AND them
SELECTION
- To expect the test is fair to all
WHAT IS EMPLOYEE TESTING AND
USING TESTS AT WORK
SELECTION?
Major types of tests
Knowledge:
• Employers often use tests and • Basic Skill Test
other selection procedures to • Job Skill Tests
screen applicants for hire and • Psychological Test
Why use Testing?
employees for promotion.
• Increase work demands – more
• The use of tests and other
selection procedures can be a testing
very effective means of • Screen out bad or dishonest
determining which applicants or employees
employees are most qualified for • Reduce turnover by personality
a particular job. profiling
COMPUTERIZED AND ONLINE TESTING
• Telephone Prescreening
• Offline Computer Tests
• Virtual “Inbox” Tests
• Online Problem Solving Test
Type of Tests
• Specialized work sample tests
• Numerically ability tests
• Ready comprehension tests
• Clerical comparing and checking
tests
WHAT TESTS MEASURE?
• Cognitive Mental Abilities
• Motor and Physical Abilities
• Personality and interests
• Achievement
• the physical requirements of the
WHAT TRAITS TO MEASURE?
“The Big Five”
• Extraversion
• Emotional Stability / Neuroticism
• Openness to experience
• Conscientiousness
• Agreeableness
BACKGROUND INVESTIGATIONS AND
REFERENCE CHECKS
INVESTIGATIONS AND CHECKS
➢ Reference checks
➢ Background employment checks
➢ Criminal records
➢ Driving records
➢ Credit records
WHY?
➢ To verify factual information
provided
by applicants.
➢ To uncover damaging information
LEGAL PRIVACY ISSUES
AVOIDING EMPLOYEE DEFAMATION
SUITS
➢ Train supervisors regarding the
importance of employee identity
➢ Adopt a “need to know” policy.
➢ Disclose procedures impacting
confidentially of information to
employees
DEFAMATION
➢ Libeling or slandering of
employees or former employees
by an employer.
Source of Information
• Former Employees
• Current Employees
• Commercial credit rating
companies
• Written references
• Social network sites
LIMITATIONS ON BACKGROUND
INVESTIGATIONS AND REFERENCE
LINKS
BACKGROUND INVESTIGATIONS AND
REFERENCE CHECKS
• LEGAL ISSUES: DEFAMATION
• LEGAL ISSUES: PRIVACY
• EMPLOYER GUIDELINES
• and psychological tests
SUPERVISOR RELUCTANCE
MAKING BACKGROUND
CHECKS MORE USEFUL
• Include on the application form a
statement for applicants to sign
explicitly authorizing a
background check
• Use telephone references if
possible
• Be persistent in obtaining
information
• Use references provided by the
candidate as a source for other
references
• Ask open-ended questions to
elicit more information from
references
USING PREEMPLOYMENT
INFORMATION SERVICES
ACQUISITION AND USE OF
BACKGROUND INFORMATION
STEP 1: Disclosure to and authorization by
applicant/employee
STEP 2: Employer certification to reporting
agency
STEP 3: Providing copies of reports to
applicant/employee
STEP 4: Notice of adverse action to
applicant/employee
THE POLYGRAPH AND HONESTY
TESTING
EMPLOYEE POLYGRAPH PROTECTION
ACT OF 1988
- Generally, prohibits polygraph
examinations by all private employers
unless:
• The employer has suffered an
economic loss or injury.
• The employee in question had
access to the property.
• There is a reasonable prior
suspicion.
• The employee is told the details
of the investigation, as well as
questions to be asked on the
polygraph test itself
Exceptions
• Private Security employees
• Employees with access to drugs
• National defense and security
(FBI, DOE, DOJ)
HONESTY TESTING PROGRAMS: WHAT
EMPLOYERS CAN DO?
ANTI-THEFT SCREENING PROCEDURE:
Stage 1: Ask blunt questions
Step 2: Listen, rather than talk
Step 3: Do a credit check
Step 4: Check all employment and personal
references
Step 5: Use paper and pencil honesty test
Step 6: Test for drugs
Stage 7: Establish a search and seizure
policy and conduct searches
PHYSICAL EXAMINATION: REASONS
FOR PREEMPLOYMENT MEDICAL
EXAMINATIONS:
• To verify that the applicant meets
position.
• To discover any medical
limitations to be taken into
account in placing the applicant
• To establish a record and
baseline of the applicant’s health
for future insurance or
compensation claims
• To reduce absenteeism and
accidents
• To detect communicable
diseases that may be unknown to
the applicant
SUBSTANCE ABUSE SCREENING
Type of Screening
• After a work accident
• Presence of obvious behavioral
symptoms
• Random periodic basis
• Transfer or promotion to new
position
• Before formal hiring
Type of Test
• Urinalysis
• Hair follicle testing
Ethical and Legal Issues
• Safety Impairment vs Presence
• Recreation use vs Addiction
• Intrusiveness of Procedures
• Accuracy of test
• Drug free workplace act of 1988
• Americans with disabilities act
BENEFITS OF APPLICANT TRACKING
SYSTEMS
• “Knock out” applicants who do
not meet job requirements
• Allow employers to extensively
test and screen applicants online
• Can match “hidden talents” of
applicants to available openings
WHAT IS EMPLOYEE SELECTION
PROCESS?
➢ Is the process of putting right
men on right job. It is a procedure
of matching organizational
 requirements with the skills and
qualifications of people.

IMPORTANCE OF SELECTING THE

RIGHT EMPLOYEES
• Organizational performance
• Cost or Recruiting and Hiring
• Legal Obligations and Liabilities