CHPT 10 STUDENT (1).ppt

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    Chapter 10

    Employee Separation and Retention

    Copyright 2015 McGraw-Hill Education. All rights resered. !o reproduction or distri"ution without the prior written consent o# McGraw-Hill Education.

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    Learning Objectives

    1. Distinguish between involuntary and voluntaryturnover and discuss how each can be leveragedfor competitive advantage.

    2. ist and apply ma!or elements that contribute to

    the perception of !ustice to discipline and dismissal.

    ". Specify the relationship between !ob satisfactionand !ob withdrawal and identify sources of !obsatisfaction.

    #. $nderstand the process of using survey feedbac%to promote retention of %ey personnel.

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    Introduction

    To compete, organizations must ensure: &ood performers are motivated to stay.

    Chronically low performers are allowed' encouraged

    or if necessary' forced to leave.

    2 Types of Turnover: Involuntary turnover(initiated by the

    organi)ation

    *often among those who would prefer to stay+. Voluntary turnover(initiated by employee

    *often those the company would prefer to %eep+.

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    Turnover

    mployment!at!"ill doctrine ! in theabsence of a speci,c contract' either anemployer or employee could sever theemployment relationship at any time.

    Violence in t#e "or$place caused byinvoluntary turnover has become a ma!ororgani)ational problem.

    - standardi)ed' systematic approach todiscipline and discharge is necessary.

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    10-5

    %rongful &isc#arge

    ' "rongful disc#arge suit attempts toestablis# t#at t#e disc#arge eit#er

    ()* violated an implied contract or covenant(t#at is, t#e employer acted unfairly* or

    (2* violated public policy (t#at is, t#e employee"as terminatedbecause #e or s#e refused to do somet#ingillegal, unet#ical, or unsafe*+

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    rinciples of -ustice

    Outcome fairness ! the !udgement thatpeople ma%e regarding outcomes receivedrelative to outcomes received by otherswith whom they identify.

    rocedural justice ! focuses on methodsused to determine the outcomes received.

    Interactional justice ! the interpersonal

    nature of how the outcomes wereimplemented.

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    10-'

    .i/ &eterminants ofrocedural -usticeTable )0+)

    *1+ 1onsistency+he procedures are applied consistentlyacross time and other persons.

    *2+ ias suppression+he procedures are applied by aperson who has no vested interest in the outcome and noprior pre!udices regarding the individual.

    *"+ Information accuracy+he procedure is based oninformation that is perceived to be true.

    *#+ 1orrectability+he procedure has built/in safeguardsthat allow one to appeal mista%es or bad decisions

    *+ 3epresentativeness+he procedure is informed by theconcerns of all groups or sta%eholders *co/wor%ers'customers' owners+ aected by the decision' includingthe individual being dismissed.

    *+ t#icality+he procedure is consistent with prevailing

    moral standards as they pertain to issues li%e invasion ofprivacy or deception.

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    10-(

    e erm nan s oInteractional -ustice

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    rogressive &iscipline

    10-)

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    10-10

    /ample of rogressive &isciplinerogram Table )0+5

    O667.638971 O3;'7I

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    rograms

    's attempt to help wor%ers who aredrug dependent' alcoholic' orpsychologically troubled.

    'sare usually identi,ed in o3cialdocuments published by the employer.

    mployee "ellness programs ta%e aproactive and preemptive focus on trying to

    prevent health/related problems in the ,rstplace.

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    1ounseling

    4elps displaced employees managethe transition from one !ob to another.

    Services such as !ob search support'r5sum5 criti6ues' !ob interviewingtraining and networ%ing opportunitiesmay be provided in/house or throughan outside source.

    -imed at helping people reali)e thatother opportunities e7ist.

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    10-1$

    Voluntary Turnover

    %#y do people leave

    organizationsA

    McGraw-Hill/Irwin 2014 The McGraw-Hill Companies, All Righs Reser!e"

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    10-1%

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    Managing Voluntary TurnoverB -ob %it#dra"al

    rogression of %it#dra"al T#eory!dissatis,ed individuals enact a set ofbehaviors in succession to avoid theirwor% situation.

    5 categories:1. behavior change

    2. physical !ob withdraw". psychological !ob withdraw

    %it#dra"al be#aviors are related toone another' and partially caused by !obdissatisfaction.

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    e#avior 1#ange

    -n employee8s ,rst response todissatisfaction would be to try to changeconditions that generate dissatisfaction.

    9hen employees are unioni)ed'dissatisfaction leads to increased grievances.

    Employees sometimes initiate changethrough"#istle!blo"ing!ma%ing grievances

    public by going to the media or government.

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    #ysical %it#dra"al

    # ways a dissatis,ed wor%er can p#ysically"it#dra"from the organi)ation:

    1. eave the !ob

    2. ;nternal transfer". -bsenteeism

    #. ardiness

    Companies spend 1 < of payroll costs toma%e up for absent wor%ers on average+

    10-1'

    - b . ti f ti d - b

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    -ob .atisfaction and -ob%it#dra"al

    -ob satisfaction is a pleasurable feeling thatresults from the perception that one8s !obful,lls one8s important !ob values. hreeaspects of !ob satisfaction

    )+ Values

    2+ erceptions

    5+ Importance

    - frame of reference is a standard pointthat serves as a comparison for other pointsand thus provides meaning.

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    -ob&issatisfaction

    .ources

    -ob nric#ment-ob 3otation

    10-1)

    nsa e or ng

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    nsa e or ng1onditions

    Each employee has a right to safe wor%ingconditions under the Occupational .afeand Cealt# 'ct of )DE0 (O.C'*+

    =inancial bonuses lin%ed to speci,c safetyrelated goals help %eep employees focusedand pay for themselves over time.

    =irms that emphasi)e safety send wor%ers aclear signal that they care about them.

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    &issatisfaction

    ersonal &ispositions 7egative a=ectivityis a dispositional

    dimension that re>ects pervasiveindividual dierences in satisfaction

    with any and all aspects of life. Tas$s and 3oles he nature of t#e tas$ itself is the

    %ey predictor of !ob dissatisfaction. -ob 3otation ro!social Motivation

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    .atisfaction

    .upervisors and 1o"or$ers - person may be satis,ed with his or her

    supervisor and cowor%ers due to:

    shared values' attitudes' and philosophies'

    strong social support

    ay and ene?ts

    ?ay is a re>ection of self/worth' so pay

    satisfaction is signi,cant when it comes toretention.

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    Measuring and Monitoring -ob

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    Measuring and Monitoring -ob.atisfaction

    .urveys: emphasi)e overall satisfaction.

    assess the impact of policy changes.

    allow the company to benchmar%best practices+

    ;f people fail to see timely actions ta%enon matters identi,ed as problems in thesurvey' satisfaction is li%ely to be lowerthan it would be in the absence of asurvey.

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    .ummary

    Involuntary turnover re>ects a separation

    initiated by the organi)ation.

    Voluntary turnover re>ects a separationinitiated by the individual. ;t can be minimi)edby measuring' monitoring and surveying' then

    addressing problems found in the surveys.@rgani)ations can gain competitive advantage by

    strategically managing the separation process.

    Retaliatory reactions to organi)ational discipline

    and dismissal decisions can be minimi)ed.

    10-2%