INTERNAL EMPLOYEE RELATIONS

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Chapter Objectives

Discuss the case for and against downsizing Explain discipline and disciplinary action Describe internal employee relations Explain how grievance handling is typically

conducted Describe how termination conditions may

differ with regard to non-managerial employees, executives, managers, and professionals

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Chapter Objectives (Continued)

Explain the concept of employment at will Discuss layoffs in today’s workforce Describe transfers, promotions, resignations,

and retirements as factors involved in internal employee relations

Discuss exit interviews and its purpose Discuss layoffs in today’s workforce

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Downsizing

What does it mean?

Why do organizations downsize?

What are possible outcomes?

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Downsizing Outcomes Creates low morale Can create a plateau environment Employees start seeking better

opportunities Employee trust is reduced Corporate culture suffers Remaining employees are required to

do more

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Internal Employees Relations

Human Resource activities associated with movement of employees within the organization

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Discipline and Disciplinary Action

Discipline - State of employee self-control and orderly conduct

Disciplinary action -Invokes a penalty against an employee who fails to meet established standards

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The Disciplinary Action Process

Consider internal and external environment

Organizational goals and values Establish rules/policies Communicate rules to employees Observe performance Compare performance with

rules/policies Take appropriate disciplinary action

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Suggested Guidelines for Disciplinary Action

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Offenses Requiring First, an Oral Warning; Second, a Written Warning; and Third, Termination

Negligence in the performance of duties Unauthorized absence from job Inefficiency in the performance of job

Offenses Requiring a Written Warning; and Then Termination

Sleeping on the job Failure to report to work one of two days in a row without notification Negligent use of property

Offenses Requiring Immediate Termination

Theft Fighting on the job Falsifying time cards Failure to report to work three days in a row without notification

Approaches to Disciplinary Action

Hot stove rule Progressive disciplinary

action Disciplinary action

without punishment

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Hot Stove Rule

Burns immediately Provides warning Gives consistent

punishment Burns impersonally

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The Progressive Disciplinary Approach

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Improper Behavior

Does this violation warrant disciplinary actions?

Does this violation warrant more than an oral warning?

Does this violation warrant more than a written warning?

Does this violation warrant more than a suspension?

Termination

Yes

Yes

Yes

Yes

Yes

No Disciplinary Action

Oral Warning

Written Warning

Suspension

No

No

No

No

Problems in the Administration of Disciplinary Action

Lack of training Fear Guilt Loss of friendship Time loss Loss of temper Rationalization

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Grievance and The Procedure

An employee’s dissatisfaction related to his or her employment

Process for employees to communicate a formal complaint

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Termination Most severe penalty; should be

most carefully considered Termination of non managerial

employees Termination of executives Termination of middle- and lower-

level managers and professionals

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Demotion as Alternative to Termination

Demotions used as alternative to discharge

Demotion is process of moving worker to lower level of duties and responsibilities, usually involving a reduction in pay

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Employment at Will

Unwritten contract created when employee agrees to work for employer

No agreement as to how long parties expect the employment to last

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Layoffs in Today’s Environment

Layoff/recall procedures

Outplacement

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Layoff/Recall Procedures

Carefully constructed procedures should be developed

When unionized, procedures are stated clearly in labor-management agreement

Agreement may have bumping procedure

Recall procedures also stated in agreement – seniority

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Outplacement

Laid-off employees given assistance finding employment elsewhere

Career Management Career Coaching Retooling of ones

background

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Employee Relations

Transfers Promotions Resignations – Exit

Interview Retirements

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