Human resource management deals not only with recruitment, training, and motivation. But, it also deals with disconnections such as:
- Dismissal
- Redundancy
- Resignation
- Retirement
Dismissal
Dismissal is when a company requests or allows an employee to leave work due to a violation. It must be done with care and supported by legal reasons.
Companies cannot fire employees carelessly. There must be legal reasons so as not to lead to unfair dismissal.
For example, when an employee is incompetent, the company might issue a verbal warning and a warning letter. In addition, management may provide counseling for improvement. The process may also involve dialogue about the worst possible consequences if he does not improve his performance.
The termination decision is taken only when all other options have been exhausted and the employee’s behavior or performance still does not meet the required standards. Employers must follow proper procedures and give employees a fair opportunity to develop before terminating.
In addition, it is also important to ensure that dismissal is not discriminatory or violates labor laws. Responsible companies handle terminations with care and sensitivity while protecting business interests.
The company must have a valid reason to fire the employee. Otherwise, it may lead to lawsuits against the company. Legitimate grounds include the employee being incompetent, committing an intolerable error, violating the law, or breaching the employment contract.
Reasons for dismissal
There are several reasons for employees being fired, including consistent and egregious misconduct or an inability to perform job duties despite reasonable accommodations and efforts to improve performance. However, this is a final decision made by the company after careful consideration and due process, ensuring they have followed all legal and contractual requirements.
Following are the reasons employees were fired:
- Incompetent or negligent in carrying out work and duties, even after sufficient training has been provided
- Committing repeated offenses, for example, unexplained absences
- Committing serious or legal violations, such as theft of company property
- Bullying other employees and damaging the work environment
- Deliberately destroying company property
Dismissal will revoke rights as an employee, including not getting financial support such as salary. In addition, they are likely to lose their retirement benefits.
Common steps in the dismissal process
Companies must have strong evidence related to the reasons for dismissal. In addition, they usually carry out procedures and processes before dismissal.
In addition, companies must follow legal requirements before terminating an employee. Otherwise, they could be accused of unfair dismissal and could face prosecution.
If the employee can prove unfair dismissal, they are entitled to financial compensation or their job back.
Dismissal procedures and processes may vary between companies. When it comes to terminating an employee, there are some common steps companies usually take. First, it is important to thoroughly investigate the reasons for giving the rating. This may involve gathering evidence, speaking with witnesses, and reviewing company policies and procedures.
Management must gather evidence and communicate messages effectively to avoid spreading rumors. For example, after an investigation is completed, the manager gives a verbal reprimand by meeting with the employee to discuss the situation and present evidence. It’s important to approach these meetings with empathy and understanding while being transparent and honest about the reasons for the offense.
Furthermore, suppose they are ignored or still make mistakes. In that case, the manager will issue a formal written warning, which may involve a first, second, and so on. Lastly, if it doesn’t work, dismissal is final.
Before providing written confirmation of dismissal, the manager may hold a meeting with the employee and explain and be honest about the reasons for the dismissal.
After the meeting, the manager must provide written confirmation of the dismissal to the employee, including the reasons for the decision and relevant details regarding compensation or benefits. It is also important to revoke employee access to company systems and information.
Finally, employers should consider any legal or regulatory requirements that may apply to the termination process, such as providing a notice period or offering a severance package. By following these general steps, they can ensure the dismissal process is handled fairly, with dignity, and by applicable laws and regulations.
Unfair dismissal
Unfair dismissal is termination without a valid reason or allowing the employee to defend himself. The grounds for dismissal are considered unfair by law.
Unfair dismissal is a serious problem and can negatively affect employers and employees. Employees have the right to take their cases to industrial courts. If the dismissal is considered unfair, the employee can receive compensation from the company.
In addition to creating feelings of injustice, unfair dismissal can damage the company’s reputation. Therefore, companies need to follow proper dismissal procedures and treat their employees with respect and fairness.
Unfair dismissal may involve the following circumstances:
- Pregnancy or illness, so unable to work for some time
- Discriminatory reasons, for example, based on religion, race, and gender
- Without going through valid procedures and processes, such as not giving the first or second warning.
- Workers become union members, which managers don’t like
Redundancy
Redundancy is when a job is no longer needed due to changing business requirements or the employer’s operations. This can happen when a company downsizes, restructures, or moves to another location.
Thus, the employees doing the work become redundant because the business no longer needs the work completed. So, in contrast to unfair dismissals, redundancies are unrelated to employee performance or behavior.
Several reasons explain why the job is no longer needed, including:
- Organizational structure changes and downsizing
- Permanent decline in demand for their products
- Merger or takeover
- Automation by replacing human power with machines and robotics
- Operation relocation
Because the job is no longer needed, the employee in question is usually the first option for termination when a company needs to reduce its staff.
Companies will usually ask employees to voluntarily resign. Often, companies offer them incentives or redundancy packages.
In addition, employees have legal protection against redundancies. Thus, if they are terminated, they are entitled to redundancy payments.
Redundancy packages are usually based on length of service and salary level. Employees can use the money during unemployment before finding a new job. Or they use it to start a business.
Changes in work patterns, practices, and preferences
Work patterns, practices, and preferences change over time. Several reasons explain that, including changes in information and communication technology. In addition, shifts in attitudes towards work-life balance also had an effect. These factors then gave rise to teleworking, portfolio working, and flexitime.
Meanwhile, companies are increasingly required to improve their competitiveness. They must lower their human resource costs without compromising their competitive advantage. This condition then directs them to rethink how they should manage human resources.
Competitiveness demands have made companies open to trends such as:
- Workforce downsizing
- Outsourcing
- Project-based management
- Team working
- Flexible workforce
Teleworking
Teleworking is a work practice where employees carry out their tasks and work from locations other than the office, such as home (home working) or cafes. Even though they are outside the office, they are still connected to colleagues and the office information center by utilizing information technology.
Usually, employees work a certain number of hours in the office. The rest they can work from home or a place they like. How many hours you have to work in the office varies between companies, depending on their respective policies.
Teleworking is becoming more and more popular these days because it offers several advantages to companies and employees. On the one hand, it gives both employees better time flexibility. On the other hand, companies can reduce expenses such as utilities and office rent.
Flexitime
Flexitime is a work practice in which the employee can choose the start and finish time provided that the total number corresponds to the normal hours the employer allows. Variations between companies may involve differences in flexible working hours, job-sharing arrangements, work breaks, and annualized hours.
Flexitime provides opportunities for companies for flexible work arrangements. They adapt their employees to fluctuating demands. They can initiate various schedules to provide services to their customers.
Flexitime is among the types of flexible work arrangements. Others include:
- Annualized hours
- Working from home
- Job sharing
- Part-time
- Compressed hours
- Staggered hours
- Phased retirement
The need to lead to flexible work arrangements has increased recently. Companies start with:
- Increase part-time work
- Reducing permanent employees
- Hire contractors and consultants
- Increase the temporary contract
- Outsource non-core work
Advantages of flexible working:
- More productive workers
- Better work-life balance
- Supporting companies to be more adaptive quickly and effectively to changes in the external environment
Disadvantages of flexible work:
- Impeded communication effectiveness
- Difficulties in team building due to lack of direct interaction
- Coordination and consistency problems
- Lower control over employee work practices
Portfolio working
Portfolio working is when someone has multiple jobs or income streams at the same time. This approach to work can provide greater flexibility and variety in one’s career. They can take on several different jobs simultaneously, usually part-time or temporarily.
Portfolio working has become increasingly popular as the gig economy has grown, where freelance and part-time jobs have become increasingly popular. People increasingly prefer to work part-time and work wherever they like. They don’t have to sit at the office desk for hours.
In addition, working portfolios provide more flexibility with regard to how much they receive. They are not dependent on one employer. Instead, they can offer their skills or services to different clients.
Part-time job
A part-time job is when someone works less than normal hours. The normal number of hours can vary, for example, eight hours a day.
Part-time work provides more flexibility for employers and workers. Employers can save costs because they do not have to incur expenses such as insurance and retirement benefits. They can also save on office and utility space rent.
Meanwhile, workers do not have to serve one company. They can take on several jobs at once to get paid. In addition, they can finish their work in their favorite place, for example, at home or in a cafe. Long story short, part-time workers have more flexibility in their personal lives.
Project-based working
Project-based working is when someone takes work on a particular project for some time until the project is completed. It involves taking on short-term contracts or freelance projects rather than being hired full-time by one company.
Project-based work is common for part-time workers. They took projects from different companies. Often, the job does not require it to be done in the employer’s office. Instead, they can do it anywhere.
Employers usually require workers to sign and agree to the contract terms before starting work. And for this reason, it’s often called contractual working.
On the one hand, this approach offers greater control over one’s schedule and workload and the opportunity to work on multiple projects. However, it also requires strong time management and financial planning skills, as income may be less stable than in traditional jobs.
Migration for work
Migration for work is when people move to another country to work. The driving factors include seeking better job opportunities and higher salaries. The opportunity to support higher education is also another reason. Lastly, working abroad allows them to better use their professionalism which is underappreciated in their home country.
Migration for work is influenced by geographic mobility, such as between countries. Mobility describes how easily workers can move between countries. It is more difficult than geographic mobility between regions within a country because it is affected by differences in geography, infrastructure, administration, and economic policies.
In the simplest example, working abroad requires a visa. Meanwhile, working in other locations within the country can be done without a visa.
Labor mobility relates to how easily workers move between jobs or between regions. It is divided into two:
- Occupational labor mobility
- Geographical labor mobility
Occupational labor mobility is how easily workers move between jobs. Different jobs will require different skills. The higher the mobility, the more flexible the workforce.
In economics, flexible labor is important for achieving economic efficiency. Those who are unemployed can easily find new jobs. Thus, the economy can use human resources more optimally because there is less time to become unemployed.
Meanwhile, geographic labor mobility relates to how easily workers move between different geographic areas. It can involve other areas within one country and between countries.
Working abroad allows people to improve their living standards by earning higher wages. They may send money to their families in the country for a better life. Finally, it supports household finances, which ultimately positively impacts the economy.
However, if more and more professionals work abroad, it could cause problems – we call it brain drain. Domestic economies are losing their superior human capital. As a result, economic productivity can decrease because only less productive labor is available.
