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2. Discuss the role of ethics in human resource decision making
Describe the concept of rightsizing and identify organizational strategies for rightsizing
Describe how to manage termination and retention
Describe the elements of voluntary turnover
Discuss the key human resource issues during mergers and acquisitions

3. Ethics and Human Resource Management
Ethics: Individual’s beliefs about what is right and wrong and what is good and bad
Formed by the societal context in which people and organizations function
Different countries and different cultures have different values and norms

4. Rightsizing the Organizations
Process of monitoring and adjusting the composition of the organization’s workforce to its optimal size
Managing the size of the workforce involves:
Layoffs or early retirement programs to reduce the size of workforce
Retention programs to maintain the size of the workforce
Using temporary workers as a bridge between the current state of affairs

5. Dealing with Increased Demand for Employees
Easiest way to deal with a temporary increase in demand for employees is to offer overtime opportunities
Overtime: Hours worked above the normal 40-hour workweek, for which there is usually a pay premium
Other alternatives are employee leasing and part-time workers

6. Dealing with a Declining Need for Employees
Cut back on the contingent workforce and retain only permanent members
Early retirement and natural attrition
Provide incentives for other employees to retire early
Not replacing workers who leave voluntarily

7. Strategies for Layoffs
When notified of a layoff, some employees decide to sue the organization for wrongful termination
Critical determinant of an employee’s reaction to being laid off is his or her perceptions of the justice involved in the layoff process

8. Types of Justice Distributive
Perceptions that the outcomes a person faces are fair when compared to the outcomes faced by others
Distributive
Perceptions used to determine the outcomes were fair
Procedural
Quality of the interpersonal treatment people receive when a decision is implemented
Interactional

9. 6.1 Critical Dimensions of Procedural Justice

10. Managing Terminations and Retention
Managing involuntary turnover
Involuntary turnover: Terminating employees whose services are no longer desired
Before terminating an employee, managers should always start with an effort to rectify the problem
Employee assistance program (EAP) help employees and reduce the costs associated with lost workdays and poor productivity

11. Managing Terminations and Retention
Progressive discipline
Designed to try to improve performance through the use of punishment
Progressive disciplinary plans
Verbal warning
Written warnings
Suspension
Termination

12. Managing Terminations and Retention
Employment at will
Employer can terminate any employee, at any time, for any reason
Employee retention
Ways of reducing the voluntary turnover of desired employees

13. 6.1 A Model of the Turnover Process

14. Managing Voluntary Turnover
Causes of job dissatisfaction
Nature of the work
Pay and benefits
Supervisors and co-workers
The effects of job dissatisfaction
Organizational commitment
Organizational citizenship behaviors (OCBs)

15. Managing Voluntary Turnover
Measuring and monitoring job satisfaction
Through attitude surveys
Job descriptive index (JDI) - Assesses satisfaction with specific job aspects
Retention strategies
Job enrichment - Making work more meaningful and granting more autonomy and opportunity to use skills
Realistic job previews: Pre-employment previews that provide accurate and realistic information to the job applicant

16. Managing Human Resources During Mergers and Acquisitions
Employees in merged firms are concerned about the jobs
Important to build employee identification with the new corporate identity

17. Ethics refers to an individual’s beliefs about what is right and wrong and what is good and bad
Number of an organization’s employees must be adjusted to fit the changing needs of the business
Mergers and acquisitions cost most stress to employees due to imminent layoffs

18. Organizational commitment Overtime Part-time workers
Discipline
Distributive justice
Employee leasing
Employment at will
Ethics
Interactional justice
Involuntary turnover
Job dissatisfaction
Job embeddedness
Organizational citizenship behaviors (OCBs)
Organizational commitment
Overtime
Part-time workers
Procedural justice
Progressive disciplinary plans
Punishment

19. Realistic job previews (RJPs)
Rightsizing
Stock Options
Suspension
Termination
Verbal warnings
Written warnings