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Second Pass
F I F T H C A N A D I A N E D I T I O N
Brief Contents
Preface xv
PART 4
Compensating and Rewarding
PART 1 Human Resources 195
The Human Resource CHAPTER 8
Environment 1 Total Rewards 196
CHAPTER 1
Strategies, Trends, and Opportunities for
Human Resource Management 2
PART 5
Meeting Other HR Goals 229
CHAPTER 2
The Legal Context for HRM and Creating Safe CHAPTER 9
and Healthy Workplaces 32 Labour Relations 230
CHAPTER 10
PART 2 Managing Human Resources Globally 254
Preparing for and Acquiring CHAPTER 11
Human Resources 61 Creating and Sustaining High-Performance
Organizations 281
CHAPTER 3
Analyzing Work and Designing Jobs 62
Notes EN-1
CHAPTER 4 Glossary GL-1
Planning for and Recruiting Human
Resources 83 Index IN-1
CHAPTER 5
Selecting Employees 108
PART 3
Talent Management 133
CHAPTER 6
Training, Learning, and Development 134
CHAPTER 7
Managing Employees’ Performance 168
Contents
Preface xv What Are the HR Responsibilities of Supervisors and
Managers? 19
How Is the Labour Force Changing? 19
PART 1 Aging of the Workforce 20
A Multi-generational Workforce 21
The Human Resource A Diverse Workforce 21
Shift to Knowledge Workers 22
Environment 1 Increasing Levels of Education 23
x Contents
Summary 57 CHAPTER 4
Critical Thinking Questions 57 Planning for and Recruiting
Experiencing HR 58 Human Resources 83
Case Study 2.1 58 Balancing Labour Demand and Supply: Uber and Lyft 84
Case Study 2.2 59 Introduction 84
Workforce Planning—Why, What, and How? 84
PART 2 Forecasting 84
Goal Setting and Strategic Planning 87
Preparing for and Acquiring Implementing and Evaluating the Workforce Plan 91
Talent 61 Applying Workforce Planning to
Employment Equity 92
CHAPTER 3 Succession Planning: A Type of Workforce
Planning 93
Analyzing Work and Designing Jobs 62
Recruiting Human Resources 93
Exceptionally Interesting Jobs in STEM? 63 Human Resource Policies 93
Introduction 63
Work Flow in Organizations 63 HR How-To The Process of Developing a
Succession Plan 94
Work Flow Analysis 63
How Does the Work Fit with the Organization’s Recruitment Sources 95
Structure? 63 Internal Sources 95
Contents xi
Did You KNOW? Four in Ten Positions Are Filled with Interviews 123
Insiders 96 Interviewing Techniques 123
External Sources 98 Advantages and Disadvantages of Traditional
Interviewing 125
HR Oops! Can Job Ads Perpetuate Gender Bias? 100 Preparing to Interview 125
Evaluating Recruitment Sources 101
HR Oops! Red Flags During Job Interviews 126
Recruiter Traits and Behaviours 101
Recruiters’ Functional Area and Traits 102 Selection Decisions 126
Recruiters’ Realism 102 How Organizations Select Employees 126
Enhancing Recruiter Impact 103 Communicating the Decision 127
Thinking ETHICALLY Mindsets Shift on Boomerang Thinking ETHICALLY What Is an Employer’s Ethical Duty to
Employees 103 Check Facts? 128
CHAPTER 5 PART 3
Selecting Employees 108
Valuing Workers with Autism 109
Talent Management 133
Introduction 109
CHAPTER 6
What Are the Steps in the Selection Process? 109
Training, Learning, and Development 134
The Candidate Experience 110
What Are the Legal Standards for Selection? 111 The Blanket Exercise—An Indigenous Learning
Experience 135
HR How-To Using Data Analytics to Support Fair Hiring Introduction 135
Decisions 113
Training, Learning, and Development Linked to
What Are the Criteria for Evaluating Selection Organizational Needs and Strategy 136
Methods? 113
Did You KNOW? More Learning Time in Companies
Reliability 113
Exhibiting a Strong Learning Culture 137
Validity 114
Ability to Generalize 115 Needs Assessment 137
Practical Value 115 Person Analysis 138
Task Analysis 139
Did You KNOW? Consequences of a Bad Hire Affect the
Readiness for Learning 139
Bottom Line 116
Employee Readiness Characteristics 140
Job Applications and Résumés 116 Work Environment 140
Applications 117 How to Plan and Design the Training
Résumés 117 Program 140
References 117 Objectives of the Program 140
Background Checks 118 In-House or Contracted Out? 141
Employment Tests and Work Samples 119 Selecting Training Methods 141
Physical Ability Tests 119 Presentation Methods 141
Cognitive Ability Tests 120 Hands-on Methods 143
Job Performance Tests and Work Samples 120
Personality Inventories 121 HR How-To Using Wearable Technology to Support
Honesty and Drug and Alcohol Tests 122 Training 146
Medical Examinations 123 Group- or Team-building Methods 147
xii Contents
Contents xiii
Did You KNOW? Awarding Spot Bonuses 209 Did You KNOW? Differences Among the
Pay for Team Performance 210 Sexes—Unionization Rate 236
Pay for Organizational Performance 211 Impact of Unions on Company Performance 236
What Is the Role of Employee Benefits? 212 Goals of Management, Unions, and Society 237
Management Goals 237
HR How-To Rewarding Workers When Raises Are Not
Union Goals 238
an Option 213
What Benefits Are Required by Law? 214 HR Oops! Public Service Union Says It’s Owed $10 Million
Due to Payroll Fiasco 239
What Optional Benefits Do Some Employers
Provide? 214 Society’s Goals 240
Paid Leave 215 Laws and Regulations Affecting Labour Relations 240
Group Insurance and Benefits 215
Retirement Plans 216 HR How-To Avoiding Unfair Labour Practices 241
Family-friendly Benefits and Services 218 Prevention of Unfair Labour Practices 241
Other Benefits 218 What Is the Union Organizing Process? 241
Selecting Employee Benefits 219 The Process of Organizing 241
An Organization’s Objectives 219 Management Strategies 241
Can a Union be Decertified? 242
HR Oops! Protests at Tim Hortons after Cuts to Employee
Benefits 219 Collective Bargaining 243
Bargaining over New Collective Agreements 244
Employees’ Expectations and Values 220
What Happens When Bargaining Breaks Down? 246
Flexible Benefits 220
Collective Agreement Administration 247
Communicating Total Rewards to Employees 220
Labour–Management Cooperation and
Did You KNOW? Benefits Are Important to Collaboration 249
Employees 221
Thinking ETHICALLY Is the Seniority System Fair? 250
Executive Compensation and Rewards 221
Summary 251
Pay for Executives 221
Critical Thinking Questions 251
Executive Incentives and Benefits 222
Performance Measures for Executives 223 Experiencing HR 252
Case Study 9.1 252
Thinking ETHICALLY Volkswagen Changes How It Pays 224 Case Study 9.2 253
Summary 224
Critical Thinking Questions 225 CHAPTER 10
Experiencing HR 226 Managing Human Resources Globally 254
Case Study 8.1 226 Tim Hortons’ Launch into China 255
Case Study 8.2 226 Introduction 255
HRM in a Global Environment 255
Employees in an International Workforce 256
PART 5 Employers in the Global Marketplace 257
What Factors Affect HRM in International
Meeting Other HR Goals 229 Markets? 259
Culture 259
CHAPTER 9
Labour Relations 230 HR Oops! Cross-Cultural Management Blunders 260
xiv Contents
Education and Skill Levels 262 Conditions That Contribute to High Performance 285
Economic System 262 Employee Experience 285
Political–Legal System 263
Did You KNOW? Empowerment Associated with Positive
Workforce Planning in a Global Economy 263
Employee Experience 286
Selecting Employees in a Global Labour Market 264
Selecting Expatriate Managers 265
HR Oops! Employees Say Anything to Stay Away from
HR How-To Meeting the Need for Leadership Talent 266 Work 291
Training and Developing a Global Workforce 266 How Is Employee Experience Assessed? 292
Training Programs for an International Workforce 268 HRM’s Contribution to High Performance 294
Training and Development for Global Relocation 268 Job Design 295
Performance Management across National Recruitment and Selection 295
Boundaries 269 Training, Learning, and Development 295
Managing Expatriates’ Performance 269 Performance Management 295
Compensating and Rewarding an International Compensation and Rewards 297
Workforce 269 Managing Voluntary and Involuntary Turnover 297
Handling Employee Discipline Appropriately 300
Did You KNOW? The 10 Most Expensive Cities Are Effectiveness and Impact of Human Resource
Located on Three Continents 270 Management 301
Pay Structure 270 Human Resource Management Audits 301
Incentive Pay 273 Analyzing the Effect and Impact of HRM
Employee Benefits and Services 273 Programs 303
International Labour Relations 273 Improving HRM Effectiveness and Impact through
Preparing and Managing Expatriates 275 Technology 304
Global Relocation Success Factors 275 Human Resource Management Online: E-HRM 304
Helping Expatriates Return and Minimizing Turnover 276 HRM Information Systems 304
Thinking ETHICALLY How Can Employers Support HR How-To HR Services Go Mobile 305
LGBTQ2+ Employees in Expat Assignments? 277
The Future for HR Professionals 306
Summary 278 The Role of the Chief Human Resources Officer 307
Critical Thinking Questions 278
Thinking ETHICALLY How Should Employers Protect Their
Experiencing HR 279
Data on Employee Devices? 308
Case Study 10.1 279
Case Study 10.2 280 Summary 308
Critical Thinking Questions 309
CHAPTER 11 Experiencing HR 310
Creating and Sustaining High-Performance Case Study 11.1 310
Organizations 281 Case Study 11.2 310
EllisDon Builds a High-Performance Culture 282
Notes EN-1
Introduction 282
What Is a High-Performance Work System? 282 Glossary GL-1
Elements of a High-Performance Work System 282
Outcomes of a High-Performance Work System 284 Index IN-1
Preface
Welcome to the Fifth Canadian edition of Human Resource Management. This book was created to provide you with a
focused introduction to HRM in Canada that is rich in content and relevant in its strategic application. The 11 chapters
balance theory and practical application, and present the material in a manner that is intended to be engaging as well as
thought provoking.
Whether you are a current or future employee, supervisor, manager, entrepreneur, executive, or HR professional, this
Fifth edition is even more focused on supporting your need for foundational Human Resource Management thought lead-
ership and applied insight necessary to perform and thrive in organizations today.
New to this edition are additional resources designed to bring real-world relevance to the study of human resource
management. New Evidence-based HRM and HRM Social Case Studies in each chapter encourage students to explore
real-world HR applications in both individual and group settings. Most chapters also provide specific Indigenous content
intended to open important and elevating conversations. Additionally, this edition was crafted to be necessarily inclusive
with respect to the stories told and images shared.
xvi Preface
their jobs, prepare for future jobs, and help establish career paths that take into account work interests, goals,
values, and other career considerations. Chapter 7 describes the various requirements associated with managing
performance, including establishing performance expectations, coaching, and providing feedback.
• An important element of attracting, retaining, and engaging human resources is rewarding employees for the
work performed and accomplishments achieved. Part 4, Compensating and Rewarding Human Resources
(Chapter 8) addresses several topics related to compensation and rewards. Chapter 8 explores decisions related to
the organization’s overall pay structure, discusses ways organizations can use pay to recognize individual and group
contributions to the organization’s performance, considers benefits and services—forms of total compensation other
than pay—and looks at how to create a total rewards culture.
• Part 5, Meeting Other HR Goals (Chapters 9–11) addresses a number of important HR topics. Chapter 9
discusses human resource management in organizations where employees have or are seeking union representation.
Chapter 10 focuses on HR activities in global contexts. And Chapter 11, the last chapter, addresses HR’s role in
creating and maintaining high-performance organizations.
Connect Insight®
Connect Insight is Connect’s one-of-a-kind visual analytics dashboard—now available for instructors—that provides at-a-
glance information regarding student performance, which is immediately actionable. By presenting assignment, assess-
ment, and topical performance results together with a time metric that is easily visible for aggregate or individual results,
Connect Insight gives instructors the ability to take a just-in-time approach to teaching and learning, which was never
before available. Connect Insight presents data that helps instructors improve class performance in a way that is efficient
and effective.
Preface xvii
Smart Grading
When it comes to studying, time is precious. Connect helps students learn more efficiently by providing feedback and
practice material when they need it, where they need it.
• Automatically score assignments, giving students immediate feedback on their work and comparisons with correct
answers.
• Access and review each response; manually change grades or leave comments for students to review.
• Track individual student performance—by question, assignment, or in relation to the class overall—with detailed
grade reports.
• Reinforce classroom concepts with practice tests and instant quizzes.
• Integrate grade reports easily with Learning Management Systems including Blackboard, D2L, and Moodle.
Mobile Access
Connect makes it easy for students to read and learn using their smartphones and tablets. With the mobile app, students
can study on the go—including reading and listening using the audio functionality—without constant need for Internet
access.
Instructor Library
The Connect Instructor Library is a repository for additional resources to improve student engagement in and out of the
class. It provides all the critical resources instructors need to build their course.
• Access Instructor resources.
• View assignments and resources created for past sections.
• Post your own resources for students to use.
Instructors’ Resources
To ensure maximum consistency with the text material, all of the instructor resources have been prepared by the lead text
author, Sandra Steen, making Connect a one-stop shop for quality instructor resources, including:
• Instructor’s Manual: The Instructor’s Manual accurately represents the text’s content and supports instructors’
needs. Each chapter includes the learning objectives, glossary of key terms, a chapter synopsis, complete lecture
outline, and solutions to the end-of-chapter critical thinking questions, cases, and other exercises.
• Computerized Test Bank: This flexible and easy-to-use electronic testing program allows instructors to create
tests from book-specific items. The Test Bank contains a broad selection of multiple-choice, true/false, and essay
questions, and instructors may add their own questions as well. Each question identifies the relevant page reference
and difficulty level. Multiple versions of the test can be created and printed.
• Microsoft PowerPoint ®
Presentations: These robust presentations offer high-quality visuals from the text and
highlight key concepts from each chapter to bring key HR concepts to life.
• Videos: This video package contains exclusive videos from Canadian HR Reporter. It is an excellent supplement
to lectures and useful for generating in-class discussion. Video summary information and teaching notes have been
prepared to accompany the video package and that can be integrated with course planning using the Instructor’s
Manual.
OPTIONAL SUPPLEMENTS
THE MANAGER’S HOTSEAT VIDEOS
The Manager’s HotSeat is a resource that allows students to watch real managers apply their years of experience to con-
fronting certain management and organizational behaviour issues. Students assume the role of the manager as they watch
the video and answer multiple-choice questions that pop up during the segment, forcing them to make decisions on the
spot. Students learn from the managers’ unscripted mistakes and successes, and then create a report critiquing the manag-
ers’ approach by defending their reasoning. The Manager’s HotSeat is ideal for group or classroom discussions.
xviii Preface
APPLICATION-BASED ACTIVITIES
The Connect Application-based Activities are highly interactive and automatically graded application- and analysis-based
exercises wherein students immerse themselves in a business environment, analyze the situation, and apply their knowl-
edge of management strategies to real-world situations. Students progress from understanding basic concepts to using
their own knowledge to analyze complex scenarios and solve problems.
The Connect Application-based Activities provide students valuable practise using problem-solving skills to apply
their knowledge to realistic real-world situations. Students progress from understanding basic concepts to using their
knowledge to analyze complex scenarios and solve problems.
Acknowledgments
The Fifth Canadian edition of Human Resource Management represents the efforts of an extraordinary publishing team
at McGraw-Hill Ryerson. Amy Clarke-Spencley and Kevin O’Hearn, our group portfolio managers, guided the vision
for the book, put the team and resources in place, and navigated all the strategic considerations in concert with Veronica
Saroli and Lindsay Macdonald, content developers. We also appreciate the expertise and collaboration with Indu Arora
throughout the photo research and permissions process. We would also like to thank Karen Rolfe, copy editor, for her
excellent work. Thank you to Dianne Reynolds for composing a compelling and crisp design for the book. Thank you to
Emily Park, marketing manager, for all of her great work to keep us current and connected to the higher education and
learning community. For this edition, we are also very grateful for the contributions of Jack Whelan and Jessica Barnoski,
supervising editors, who guided the production process.
We would also like to extend our sincere appreciation to all of the professors and students who shared their experi-
ences and perspectives. Through focus groups, informal reviews, and conversations, their suggestions, insights, and com-
ments helped us develop and shape this new edition.
Each of these features has been designed to take human resource management into the real world—with either a practical
exercise, a visit to a website or publication, a connection to quantitative data, an application of ethical insight, innovation,
or even an awkward situation in the workplace. CHAPTER 1
• Learning objectives open each chapter. After reading this chapter, you should be able to:
LO1 Define human resource management and explain how HRM contributes to and
HR Oops!
“Neglecting Remote
change, operate Workers,” anddiverse “Red Flags
people on During
leave them out and even mistreat them. For remote workers focused and high-performing? “We’re Shopify. Our mission is to make commerce better for everyone—but we’re not the workplace for
example, 84 percent of remote workers report 2. What can remote workers do to maintain everyone. We thrive on on trust, and leverage the perspectives of
that when they experience routine workplace our team in everything we do. We solve problems at a rapid pace. In short, we get shit done.” In 2004,
Hiring
Shopify Interviews.”
strong connections to their organizations?
consisted of two people working from a coffee shop; today, Shopify has more than 3,000 employees
Source: Michael Ferguson, “Stop Neglecting Remote Workers,” Harvard Business Review, January 17, 2018, https://hbr.org; 1
serving 600,000 merchants around the world and has been rated as Canada’s Best Place to Work.
John Dujay, “Remote workers feeling excluded: Study,” Canadian HR Reporter, 30 (21), December 11, 2017, p. 3, 10; Joseph
Grenny and David Maxfield, “A Study of 1,100 Employees Found That Remote Workers Feel Shunned and Left Out,” Harvard
Business Review, November 2, 2017, https://hbr.org; Annamarie Mann, “3 Ways You Are Failing Your Remote Workers,” Gallup
News, August 1, 2017, http://news.gallup.com, accessed February 1, 2018.
Telework and Remote Work vehicle. Remote work and telework is easiest to implement
Flexibility can extend to work locations as well as work for people in managerial, professional, office, or sales jobs.
schedules. Before the Industrial Revolution, most people A remote arrangement is generally difficult to set up for man-
ufacturing workers and has become a hot topic in tech com- First Pass
worked either close to or inside their own homes. Mass
production technologies changed all this, separating work panies. For example, IBM, once a “remote-work pioneer”
life from home life, as people began to travel to centrally with 40 percent of its 386,000 global employees working
located factories and offices. Escalating prices for office remotely, recently informed 2,600 remote employees that the
space, combined with drastically reduced prices for com- company would be calling them back to state-of-the art office ste54931_ch01_001-031.indd 2 01/03/19 03:31 PM
puters and communication technologies, are forces work- spaces to inspire collaboration, innovation, and team work.27 286 PART 5 Meeting Other HR Goals
ing to reverse this trend. The broad term for doing one’s Leslie Sarauer, senior vice-president of human
work away from a centrally located office is remote work, resources at Waterloo, Ontario–based OpenText, explains
telework, or telecommuting; however, it was been sug- that “when it comes to tech developers and engineering
gested that remote workers work solely from home,whereas teams, it’s helpful to have those teams working together as Did You KNOW?
telecommuters work from home an average of 1–3 days per opposed to remotely.”28
week.24 Wayne Berger, executive vice-president of Regus
Canada, a flexible workplace provider based in Toronto, Designing Ergonomically Empowerment Associated with Positive Employee Experience
describes remote work/telework being at the highest level
ever with 47 percent of Canadians working “outside the
Correct Jobs In a recent survey, “employees who feel their 34 percent). A similar pattern emerged among
ideas and suggestions matter are more than employees who have the freedom to decide how
office for half the week or more.”25 The way people use their bodies when they work—whether
twice as likely to report a positive employee to do their work (79 percent vs. 42 percent).”
For employers, advantages of remote work include lifting heavy furniture into a moving truck or sitting qui-
Sources: “The Employee Experience Index,” IBM Smarter Workforce Institute, September 2016, p. 8, http://www.globoforce
.com/wp-content/uploads/2016/10/The_Employee_Experience_Index.pdf. Used with permission. Industrial-organizational
psychologists and experts in HR consulting from both the IBM Smarter Workforce Institute and the Globoforce WorkHuman
Analytics and Research Institute undertook a large-scale research project to understand and measure what makes an optimal
working experience for employees. This research resulted in the creation of the Employee Experience Index (EXI) that measures
employees’ personal experiences at work in terms of belonging, purpose, achievement, happiness, and vigor. The IBM and
Globoforce research found that employee experience is positively associated with employee work performance, discretionary
effort, and turnover intention.
for satisfying customers better and operating more effi- be trained to link employees to resources within and out-
ciently and safely. This is empowering when management side the organization, such as customers, and co-workers
listens to the ideas, implements valuable ones, and rewards in other departments, with needed information. Managers
employees for their innovations. must also encourage employees to interact with colleagues
As illustrated in the Did You Know? box, employ- throughout the organization, ensure that employees have
ees are more than twice as likely to report a positive work access to the resources they need, and reward collabora-
experience when they have the “freedom to decide how tion. Employee empowerment shifts the recruiting focus
to do their work” and when “their ideas and suggestions away from technical skills and toward general cognitive
matter.” and interpersonal skills. Employees who have accountabil-
HRM practices such as performance management, ity for a final product or service must be able to listen to
training, work design, and compensation are important customers, adapt to changing needs, and creatively solve a
for ensuring the success of employee empowerment. Jobs variety of problems.
must be designed to give employees the necessary latitude
for making a variety of decisions. Employees must be prop-
erly trained to exert their wider authority and use informa- Teamwork
ste54931_fm_i-xxii.indd xix tion resources and communication tools. Employees also 01/16/19
Modern technology places the information 06:18
that employees PM
need feedback to help evaluate their successes. Pay and need for improving quality and providing customer service
other rewards should reflect employees’ authority and be right at the point of sale or production. As a result, the
Second Pass
They Have ’High-Potential’?,” “Is the Seniority System it comes to sensitive topics such as employment
law and data privacy rights.”
professionals, to look for patterns in the context
of the work environments that would account
Strategies, Trends, and Opportunities heart monitors, and calorie counters.” Data that collected this type of information?
collection is “mostly limited to the tried-and- 2. Why is it important to not rely exclusively on
true,” and qualitative approaches are integrated quantitative data when making decisions
for Human Resource Management with survey and existing data to use analytics about people?
Sources: Rachel Ramosa, “Confused by analytics? Take Pfizer’s prescription,” HR Tech News, May 18, 2018, www.
hrtechnologynews.com, accessed June 20, 2018, “25 Truths about Talent Management: Insights from The 2018 Talent
Management Strategies Conference,” The Conference Board, (2017), pp. 1-21; Patti P. Phillips, and Rebecca L. Ray, “Human
Capital Analytics @ Work Volume 2, The Conference Board,. (2017), pp. 1-56.
WHAT DO I NEED TO KNOW?
After reading this chapter, you should be able to:
LO1 Define human resource management and explain how HRM contributes to and gone wrong and invite you to find better alternatives. “HR
supports an organization’s strategies and performance. How Is This Book Organized? How-To” boxes provide details about how to carry out
This chapter has provided an overview of human resource a practice in each HR area. “Did You Know?” boxes are
LO2 Summarize competencies, careers, professional accreditation, and ethics in management as well as a summary of trends and oppor- snapshots of interesting statistics related to chapter topics.
human resource management. tunities impacting employees, managers and supervisors, “Thinking Ethically” at the end of each chapter demonstrates
HR professionals, and organizations. In this book, the top- ethical issues in managing human resources. “Experiencing
LO3 Explain the role of supervisors and managers in human resource management. ics are organized according to the broad areas of human HR” are experiential exercises that encourage exploration
resource management shown in Table 1.7. The numbers in of real-word HR topics and situations in both individual
LO4 Describe trends in the composition and expectations of the labour force.
the table refer to the part and chapter numbers. and group settings. New to this edition are Evidence-based
LO5 Discuss how technology is impacting human resource management. Along with examples highlighting how HRM helps
a company maintain high performance, the chapters offer
Chapter 1 Strategies, Trends, and Opportunities for Human Re
HRM and HRM Social chapter-ending case studies. These
case studies provide stories that illustrate how evidence-
various other features to help you connect the principles to based HRM and social media is integrated in the context of
real-world situations. “HR Oops!” boxes identify situations human resource management.
CHAPTER-OPENING
the organization. No two human resource departments projects. HR also encour
have precisely the same roles, because of differences in the communities where A
VIGNETTES
organization size and characteristics of the workforce, four hours a month of
Eachthechapter
industry, andwith
opens management’s values.andInpeople
a look at events some in as by participating in la
organizations, the HR department handles all
real organizations to encourage reflection and application the outreach centre or cook
activities listed in Table 1.1. In others, it may share the families.18
to the chapter content.
roles and duties with managers and supervisors of other Let’s take an overvie
Carlos Osorio/Toronto Star via Getty Images. departments such as finance, operations, or information of the options available
technology. In some companies, the HR department resource management i
“We’re Shopify. Our mission is to make commerce better for everyone—but we’re not the workplace for
everyone. We thrive on change, operate on trust, and leverage the diverse perspectives of people on
our team in everything we do. We solve problems at a rapid pace. In short, we get shit done.” In 2004,
Shopify consisted of two people working from a coffee shop; today, Shopify has more than 3,000 employees
serving 600,000 merchants around the world and has been rated as Canada’s Best Place to Work.1
actively advises top management. In others, the which options to use and
department responds to top-level management decisions mentation. Later chapter
and implements staffing, training, and rewards activities greater detail.
in light of company strategy and policies. And, in a
recent trend, some companies are doing away with their
HR departments altogether, preferring to flatten their Analyzing and
organizational structure and to encourage departmental
ste54931_ch01_001-031.indd 2 01/03/19 03:31 PM
To produce their given p
managers and other employees to handle HR issues as
ucts or services), compan
they arise.15
be performed. The tasks
The structure and responsibil-
employee nations to form jobs. I
ities of HR departments are likely experience tasks should be groupe
KEY TERMS to continue to change in the future
to ensure that they remain strate-
Set of perceptions
that employees
that help the organizatio
Key terms and definitions appear in the text, so terms are ate efficiently and to obt
gic. Many companies, including have about their
highlighted where they are discussed for easy review and experiences with the right qualificat
Airbnb, are beginning to recognize
in order to introduce the language of HRM. at work in the jobs well. This functio
that providing a positive employee response to their the activities of job an
experience is critical for keeping interactions with
job design. Job analysis
employees engaged and committed the organization.
cess of getting detailed i
to the company. Employee expe-
about jobs. Job design
rience refers to the “set of perceptions that employees
cess of defining the way
have about their experiences at work in response to their
be performed and the ta
interactions with the organization.”16 This encompasses
given job requires.
all of the elements that influence an employee’s percep-
tion of the work environment and becomes an import-
ant focus for the employee’s entire “journey”—from
the person’s very first contact with a potential employer
Workforce Pla
through retirement and even beyond. Organizational Workforce planning,
culture is a vital part of the employee experience that the numbers and types of
ste54931_fm_i-xxii.indd xx is evidenced through HR functions and how01/16/19 they 06:18
are PM the organization will requ
carried out.17 to meet its objectives, is a
Second Pass
HR HOW-TO HR How-To
Specific steps and methods to implement HRM initiatives. Using Wearable Technology to Support Training
This feature provides the context for understanding typical As soon as wearable technologies like fitness
trackers and smart watches and eyeglasses
valuable information for improving perfor-
mance. They also might feel like an intrusion
responsibilities of managers and/or human resources pro- became available, businesses envisioned ways
to use them. More recent developments include
into the learner’s privacy. Employers should
prepare for these concerns by ensuring
fessionals. Examples include “The Process of Developing electronic sensing badges, which can track
employees’ interaction patterns in the work-
that employees know what data is being
collected and consent to having their data
6. Training, Learning, and Development Sources: Patty Gaul, “Big Data: Using People Analytics to improve Leadership Development,” TD, March 2018, pp. 29-33;
7. Managing Employees’ Performance Alex Moore, “Learning Meets the Internet of Things,” TD, December 2017, pp. 18-20; Lorri Freifeld, “Wearables at Work,”
Training, September/October 2015, pp. 18–21; Christopher Pappas, “Seven Ways Wearable Technology Could Be Used
Part 4: Compensating and Rewarding Human Resources in Corporate Training,” eLearning Industry, August 25, 2015, http://elearningindustry.com; Kate Everson, “Learning Is All in
the Wrist,” Chief Learning Officer, April 2015, pp. 18–21; Bill Barlow, “Wear It Well,” Training, November 14, 2014, https://
8. Total Rewards trainingmag.com.
9. Labour Relations
A learning management system (LMS) refers to a popular for several reasons. An LMS can help companies
10. Managing Human Resources Globally
11. Creating and Sustaining High-Performance Organizations technology platform that can be used to automate the reduce travel and other costs related to training, reduce time
administration, development, and delivery of all of a com- for program completion, increase employees’ accessibility
pany’s training programs. An LMS can provide employees, to training across the business, and provide administrative
managers, and instructors with the ability to manage, capabilities to track program completion and course enrol-
deliver, and track learning activities.46 LMSs have become ments. For example, an organization’s LMS can serve as a
LO1 Define human resource management and explain specialized work in fields such as talent acquisition, total
how HRM contributes to and supports an organization’s rewards, or labour relations—or work as generalists, per-
strategies and performance. forming a full range of HR accountabilities. Provincial/
territorial associations
Chaptermanage
9 Labour the Relations
certification process
251 ste54931_ch06_133-167.indd 146 01/11/19 02:49 PM
Human resource management consists of an organization’s and award professional designations. Work is underway
“people practices”—the policies, practices, and systems throughout Canada to move HR from an unregulated to
year-long consultative
that influence process
employees’ that generated
behaviours, attitudes,almost
and aservice: “A world-class
self-regulated public
profession. Human service representative
resources of
profession-
12,000 responses
performance.
forums with more
organization
tions
HRM to aninfluences
and the
are intended tohuman
The organization’s
online survey
thanexperience
whoandworks
500 participants.
employees
provideresources
a criticalhave
step to
22 discussion
The have
for the
recommenda-
at work.
theachieving
potentialthe
to
Canada’s
als
welcoming,
duties
population,
are required
to theinclusive
with Canada’s
individuals
defined
to uphold highbyethical
its diverse
and supportive
public, profession,
evolving
in the
workforce
standards
workplace,
clients
and
including
that aligns
and employers,
human rights context and that is
workplace.
and CHAPTER SUMMARIES
stated Task Force’s
be a source diversity
of sustainable inclusion vision
competitive for theAs
advantage. public
part committed to innovation and achieving results.”53
of its strategic role, HR can demonstrate the impact of
human resource practices on company results by engaging
LO3 Explain the role of supervisors and managers in
human resource management.
Recap the “What Do I Need to Know?” objectives from the
beginning of each chapter with brief summary discussions.
in evidence-based HRM. Sustainability, organizational
agility, and diversity characterize successful organizations. Supervisors and managers must be familiar with their
The organizational context is increasingly globalized and own important role in managing human resources and
SUMMARY
rapidly changing, requiring relevant and agile approaches
to all HR functions and processes.
implementing HR processes. Supervisors and managers
are likely to analyze work, interview job candidates, par-
ticipate in selection decisions, provide training, set goals,
LO1 Define unions and labour relations and their role LO4 Describe
provide coachingthe union organizing
and feedback, process.
provide performance
LO2
in Summarize competencies, careers, professional
organizations.
accreditation, and ethics in human resource management. feedback,
Organizingand recommend
begins when payunionincreases. On a day-to-day
representatives contact
A union is an organization formed for the purpose of repre- basis, supervisors
employees andthem
and invite managers
to signrepresent the company
a membership appli-
Human resources
senting its membersprofessionals require with
in resolving conflicts substantial and
employers. to
cation. When the required numbers of employeesrole
their employees, so they also play an important in
have
varied relations
Labour competencies. Careers in specialty
is the management HRM may involve
emphasizing employee and labourapplications,
signed membership relations. the union will apply to
skills that managers and union leaders can use to minimize the appropriate labour relations board for certification.
costly forms of conflict and to seek win–win solutions to Requirements for certification differ among federal, prov- Second Pass
disagreements. incial, and territorial jurisdictions.
LO2 Identify the labour relations goals of manage- LO5 Explain how management and unions negotiate
ment, unions, and society. and administer collective agreements.
ste54931_ch01_001-031.indd 28 01/03/19 03:31 PM
Management have goals to increase the organization’s Negotiations take place between representatives of the 226 PART 4 Compensating and Rewarding Human Resources
profits and/or productivity. Managers generally expect that union and the management bargaining unit. The process
unions will make these goals harder to achieve. Unions begins with preparation, including research into the other
have the goal of obtaining pay and working conditions
that satisfy their members. Society’s values have included
side’s strengths and demands. If bargaining breaks down,
the impasse may be broken with a strike, lockout, media-
EXPERIENCING HR—HOW TO ASSESS ROI OF A
EXPERIENCING HR
the view that the existence of unions will replace conflict
or violence between workers and employers with fruitful
negotiation.
tion, conciliation, or arbitration.
Collective agreement administration is a daily activity
under the collective agreement. It includes carrying out
WELLNESS PROGRAM
Form groups of four or five. (Alternatively, your instructor
may ask students to complete the research independently
publications (e.g., Benefits Canada) and credible websites
(e.g., the website for the Canadian Centre for Occupa-
the terms of the agreement and resolving conflicts over
LO3 Summarize laws and regulations that affect
These experiential exercises encourage students to explore
and discuss their findings in class.) You have been asked tional Health and Safety. Discuss your findings about how
interpretation or violation of the agreement.
labour relations. by your manager to be part of a workplace task force that to determine the ROI of a corporate wellness program.
LO6 Describe more cooperative and collaborative will examine how to assess the return on investment (ROI) Write a one-page report or make a brief class presentation
real-world
agement, unions,HR topics
achieve theirindividually or in teams.
Laws and regulations affect the degree to which man-
approaches to labour–management relations. of a corporate wellness program. summarizing your findings.
and society varied goals.
Conduct research using recent academic (e.g.,
Canada’s overall labour relations legal framework is decen- In contrast to the traditional view that labour and man- ACSM’s Health & Fitness Journal) and HR practitioner
tralized with responsibility for labour relations shared agement are adversaries, some organizations and unions
among the federal, provincial, and territorial governments. work more cooperatively and collaboratively. This rela-
A common core of labour legislation exists that includes tionship may feature employee involvement in decision
prohibiting unfair labour practices by management and making, self-managing employee teams, joint labour– CASE STUDY: EVIDENCE-BASED HRM
labour. Labour relations boards or similar quasi-judicial management committees, broadly defined jobs, and
tribunals exist within each jurisdiction to administer and sharing of financial gains and business information with
Improving the Quality and Reducing the Cost of Employee Health Benefits
enforce labour laws. employees. The new Health Transformation Alliance, a collabo- for caution as most pain medication is legally prescribed
ration of 38 companies employing 6 million workers and control of pain is critical. At the same time, use of
CONFIDENTIAL CRITICISM.
The parlor of the clubhouse was well filled when Robert Ashley
exposed the trophy, which had been placed on the table in the
centre of the room and covered with a flag.
First Mr. Ashley made a short speech, in which he explained his
object in offering such an award. In substance it was for the purpose
of arousing greater interest in cross-country races and thus to
develop in American athletes that stamina and endurance essential
in the modern man of business.
“American runners are better known for flashing brilliancy than for
dogged determination,” he said. “In the great race of life, endurance
wins far more often than brilliancy, which is not infrequently allied
with weakness. But the runner must have a strong heart, else he
may become discouraged by the apparent success of some
competitor who flashes past him at the start. If he persists doggedly,
determinedly, gauging himself properly and making the best of his
powers, he may have the satisfaction of passing the brilliant starter,
leaving him winded and spent and floundering helplessly in some
morass of business or thicket of commerce.”
There was a breathless hush when Ashley had finished. Then a
signal was given and the flag lifted.
All leaned forward and stared.
Then followed a murmur of admiration and a burst of applause.
It was a statue, the lifelike and natural representation of a
diminutive, lithe-limbed runner, being about eight inches in height
and molded from a fine quality of gold. The base on which it stood
was also of gold.
But the admiration of the beholders was aroused not merely on
account of the material from which the trophy had been made and
its evident great value; the figure was splendidly and scientifically
molded, being so natural in its every pose, resting on the toes of the
right foot, with the left leg thrown forward in a fine stride, the knee
bent, the naked left arm swung backward on a line and the right
arm forward, the hands closed, the head setting perfectly on a
slender yet full neck, the face firm and determined, every line from
toe to topknot denoting vigorous and easy action—so natural was it
that it must have created a sensation even though formed of lead.
Those present crowded about the table. After a little they began
to comment wonderingly, not so much on the costliness of the
trophy, as on its value as a work of art. There was no one present
who did not realize that it must have cost a great sum of money, and
was something that the fortunate winner could display throughout
the remainder of his life with the utmost pride.
After they had discussed it for a time, Mr. Ashley spoke:
“Gentlemen,” he said, “it may seem strange to you that I have not
up to the present time made known the exact nature of the trophy I
intended to offer. I will explain. It is my belief that the cleanest and
most commendable sports are those in which the contestants
participate without covetousness or hope of reward other than the
glory that comes to the victor. In the glorious days of Greece the
victor was rewarded with a wreath of laurel. I believed it was
possible to bring together for this event the leading long-distance
runners of this country, without arousing their greed by advertising
the real worth of the trophy, and the result has justified my
judgment. Only those who have already entered or to-day announce
their intention to enter and make proper application will be
accepted. Already the leading amateurs of the United States, with
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