Employee well-Being

Figure 1: Employee well-being (Source: DENT Benefits Consulting , 2020).

Employee wellbeing refers to the physical, mental, and emotional health of the employee in the workplace, outside of the workplace, and how wellbeing is affected by relationships, communication, tasks, expectations, and the work environment.

Why Employee Wellbeing Is More Important 

“employee well-being has an impact on employees’ decisions, like the decision to quit or stay in the current job. It also exerts its influence on job satisfaction” (Pradhan, et al., 2017).

Employee well-being affects many aspects of the organization. For example, according to (Witters, 2020) enjoying work and having meaningful relationships are two of the five elements that can help a person achieve overall well-being. The five elements are professional, social, financial, physical and community well-being.

People who appreciate the balance in these five elements are likely to increase their participation in work, collaborate more, enjoy learning new things and be innovative.

Figure 2: Worker Well-being (Source: safetyandhealth, 2018).

Employers can help attend to these few elements of employee wellbeing.

·         Social - Facilitate meaningful relationships in the workplace. The social aspect of the workplace should be encouraged. Even when working remotely, you can schedule social interactions, give employees a way to send congratulations to others, or organize virtual social gatherings.

·         Career - Support the employee's career goals, promote learning and development, establish a succession planning program and, most importantly, support the harmony between professional and personal life.

·         Physical - Create comprehensive programs to meet the employee where they are, whether sleep, nutrition, physical or mental wellbeing programs and resources.

·         Community - Create a sense of belonging at work. Allow for networking within common interest groups. Create Employee Resource Groups.

“Employee well-being is not only important for individuals but also plays a crucial role in organizational success. It is found that the organizations which focus on employee well-being are able to develop competitive advantage in the long run” (Wright, 2006). There are multiple benefits of employee well-being to both individual and organizations as described below.

ü  More productivity: Employee wellbeing boosts productivity and performance. When feeling well, employees display healthier behaviors and better decision-making.

ü  Higher employee morale: Employees feel more competent and valued when their needs are met at all levels, including physical, mental, and financial.

ü  Better talent: When your company has a good reputation in the market as an employer who respects and supports work-life balance, you’re more likely to attract skilled candidates and retain your existing employees for longer periods.

ü  Improved CRM: Happy employees are your best brand ambassadors. If you treat them well, that positive energy will pass on to your customers. Those employees will be motivated to understand how your products and services will best serve customer needs.

 

Conclusion

The overall health and well-being of employees is more than the medical health of people. It also includes their mental state, work environment, the balance between work and personal life. It is important for employers to improve employee health and well-being and to make them happy and motivated at work. After all, when an employee is happy, he is much more productive, efficient, and busy.

 

 

References

DENT Benefits Consulting , 2020. DENT BENEFITS CONSULTING. [Online]
Available at: http://dentbenefits.ca/growing-employee-well-focus-group-benefit-plans-post-pandemic/
[Accessed 18 December 2021].

Pradhan, R. K., Dash, S. & Jena, L. K., 2017. Do HR Practices Influence Job Satisfaction? Examining the Mediating Role of Employee Engagement in Indian Public Sector Undertakings. Global Business Review, 20(1), pp. 1-14.

safetyandhealth, 2018. Safety+Health. [Online]
Available at: https://www.safetyandhealthmagazine.com/articles/17331-a-fuller-picture-researchers-develop-framework-for-measuring-worker-well-being
[Accessed 18 December 2021].

Witters, D., 2020. GALLUP. [Online]
Available at: https://www.gallup.com/workplace/320108/ways-leaders-improve-engagement-wellbeing.aspx
[Accessed 19 December 2021].

Wright, T. A., 2006. To Be Or Not To Be [Happy]: The Role of Employee Well-Being. Academy of Management Perspectives, 20(3), pp. 118-125.

 

 

 

Flexibility in the Workplace

Figure 1:Workplace flexibility (Source: dreamstime, 2021).

Workplace flexibility allows employers and employees to enter into agreements about the working conditions that suit them. This helps employees maintain work-life balance and can help employers improve the productivity and efficiency of their business.

Flexible work emphasizes the employer's willingness to adapt to the changing needs of employees, particularly when it comes to how, when and where they work.

There are two formal ways employers and employees can make their workplace more flexible-

1. Flexible working arrangements - certain employees have the right to request flexible working arrangements.

2. Individual flexibility arrangements - employers and employees can negotiate to change how certain terms in an award, enterprise agreement or other registered agreement apply to them.

 

Flexible working arrangements?

Flexible working arrangements, known as flexible working hours, refer to the working environment and timetables that do not impose normal restrictions on the traditional workplace. this arrangement takes into account individual's personal needs and allow employees to better sync their work hours with their personal responsibilities.

 

Figure 2: Flexible work arrangements (Source: Khidhir, 2018).

Benefits of flexible work arrangements

Flexible working arrangements benefit both the employee and the employer. Employees can achieve a better work-life balance, less absenteeism and lower levels of stress. It is particularly useful for parents, students, those with a second job or those with other important commitments in life.

Employers benefit from increased motivation and productivity, lower overall costs, improved confidence and the employer-employee relationship (TalentLyft, 2021).

Five important benefits of flexible working

The fact that so many workers believe that "normal" hours are no longer suitable for their role should encourage more workers to adopt flexible working methods. But what benefits can flexible work bring?

Here are five important benefits that no employer can afford to overlook.

1.      A better work-life balance

There is no dispute about the desirability of work-life balance. Without it, health and relationships suffer, stress levels soar, and work productivity falters.

Flexible working patterns enable employees to adapt their working hours to fit their lifestyles including family needs, personal obligations and life responsibilities.

2.       Less stressful commutes

Some employers make homeworking part of their flexible working strategy. Having the freedom to work when and where you want eliminates stressful, time-consuming and expensive commutes.

Transport related problems such as traffic jams, strikes or roadworks cause some of the most frequent working day interruptions. Working flexible hours or at a location closer to home can help to minimize these disruptions, enabling employees to focus on the job in hand.

3.      Fewer childcare costs

The spiraling cost of childcare requires special attention. Without having to pay child-minders to be involved in certain activities such as the school run, flexible work legislation means childcare hours and costs are reduced.

4.      A feeling of being in control

Having greater freedom to choose their hours and where they work, flexible working can increase feelings of personal control among employees.

5.      Less stress and burnout

Stress is an insidious enemy affecting sufferers with a range of problems from sleepless nights to more serious conditions such as high blood pressure, heart conditions, diabetes, asthma and skin ailments. But it’s not just employees who suffer – stress can also affect a company’s bottom-line.

Although the workplace can be a key source of stress it is also the place where important stress-busting changes can be made. By allowing workers the freedom to manage their own working hours or location, businesses can relieve worker stress but also take an active part in making the working environment more family friendly (Talented Ladies Club, 2021).

References

dreamstime, 2021. dreamstime. [Online]
Available at: https://www.dreamstime.com/workplace-flexibility-concept-gearwheels-d-rendering-isolated-white-workplace-flexibility-gearwheels-image111310066
[Accessed 18 December 2021].

Khidhir, S., 2018. THE ASEAN POST. [Online]
Available at: https://theaseanpost.com/article/looking-flexible-work-arrangements
[Accessed 18 December 2021].

Talented Ladies Club, 2021. TALENTED LADIES CLUB. [Online]
Available at: https://www.talentedladiesclub.com/articles/five-important-benefits-of-flexible-working/
[Accessed 18 December 2021].

TalentLyft, 2021. TalentLyft. [Online]
Available at: https://www.talentlyft.com/en/resources/what-is-flexible-work-arrangements
[Accessed 18 December 2021].

 

 

 

Employee Rewards

Figure 1: Rewarding Employees (source: Singh, 2021).

Reward is a motivational plan aimed at enhancing the behavior required of employees or employers in exchange for their service to the organization. Rewards are an important tool for improving employee performance in Every organization. Management uses rewards to motivate employees. Therefore, we can say that an effective reward system attracts new employees to the organization and motivates existing employees to perform at a high level. Employee’s good work is necessary to achieve the specific goals. Employees give their good efforts for achieving goals and good effort depends on rewards. In other words, we can say that good rewards are the most important way to involve staff in their work and in their organization. In other words, good rewards make employees more involved in their work and with their company.

“Rewards systems are often implemented within organizations as a key management tool that can contribute to a firm’s effectiveness by influencing individual behavior and motivating employees at work” (Lawler & Cohen, 1992). Lack of rewards will create an unpleasant environment, thus reduce Employee's work effort and can be obtained to leave their jobs. For these reasons, rewards are becoming increasingly important.

Types of Employee rewards

ü  Intrinsic and Extrinsic Rewards:

Intrinsic relates to nonfinancial or non-cash rewards like achievement, accomplishment feelings, recognition, job satisfaction and growth and extrinsic rewards relates to financial rewards or cash related like formal recognition, fringe benefits, incentive type payments, pay, promotion (Bajracharya, 2018).

ü  Financial and Non-Financial Rewards:

Financial reward mostly consists on pay for performance such as job promotion, bonus, commission, gifts etc. and non-financial rewards are non-monetary/non cash and it is a social recognition such as acknowledgement, certificate, and genuine appreciation etc (Medhi, 2021).

ü  Performance-based and Membership-based rewards:

Performance-based rewards are awarded based on the performance of the employee in the company. Performance-based rewards are provided in compensation plans, incentive plans, group bonuses or commissions and Membership-based rewards are given in the form of benefits and services provided to the company's employees. For example, it might be in the form of the annual Christmas bonus, company retreat, upgraded office furnishing, etc (Medhi, 2021).

 

Reward strategy

Reward strategy involves designing and implementing reward policies and practices support your organization’s objectives, delivering a motivated and effective workforce.

Figure 2:Rewards strategy (Source: Worldatwork, 2021).

What are the Benefits of Rewarding Employees?

·         Happiness in the Workplace.

·         Increased Productivity.

·         Attract potential applicants.

·         Better employee retention.

·         An additional tool to boost health.

·         Create a Team Culture.

Conclusion

The reward is more important of any nature of business very beneficial for the employee’s job performance, as better performance is compared to absent of reward Compensation. It’s motivates employees to do their job as perfectly as possible and will be loyal to the organization. 

 

References

Bajracharya, S., 2018. businesstopia. [Online]
Available at: https://www.businesstopia.net/human-resource/intrinsic-and-extrinsic-rewards
[Accessed 18 December 2021].

Lawler, E. E. & Cohen, S. G., 1992. Designing pay systems for teams, Los Angeles, CA: CEO Publication.

Medhi, B., 2021. VANTAGE CIRCLE. [Online]
Available at: https://blog.vantagecircle.com/types-of-rewards/#:~:text=Membership%20versus%20Performance-based%20Rewards%20Performance-based%20rewards%20are%20allocated,benefits%20and%20services%20provided%20to%20the%20company%27s%20employees.
[Accessed 18 December 2021].

Singh, R., 2021. NextBee. [Online]
Available at: https://blog.nextbee.com/2018/10/15/the-importance-of-rewarding-employees/#sthash.7kPtRFqP.dpbs
[Accessed 18 December 2021].

Worldatwork, 2021. Worldatwork. [Online]
Available at: https://worldatwork.org/total-rewards
[Accessed 18 December 2021].

 

 

 

Employee Turnover

Figure 1: Employee turnover (source: Wiggan, 2021).

Employee turnover refer to employees who leaving voluntarily or involuntarily from the company, which companies often calculate to gauge if they are at a sustainable level.

In terms of human resources, employee turnover is a measure of how long employees stay in your company and how often you have to replace them. Every time an employee leaves the company, for whatever reason, it is a Turnover or separation. There are advantages and disadvantages for employee turnover. On the one hand, Low-quality staff can be replaced; creativity, flexibility and adaptability can be improved for the organization. On the other hand, the cost of leaving will increase, with costs including express costs (recruitment and training,

Loss of productivity, etc.), hidden costs (low morale, reduced company reputation, deteriorating chain of positions, loss of positions opportunity, etc.) (Zhang, 2016).

 Staff turnover is often costly for all levels of the organization, regardless of nature. In addition, it always has a negative impact on productivity and quality Organization products or services (Ali, 2008). Employee Turnover It has a significant impact on both direct and indirect costs, which can Damage organizations. Direct costs relate to costs such as costs incurred during recruitment, selection, training and Registration of new staff (Staw, 1980).

Types of employee turnover are as follows:

·         Voluntary - refers to decision mainly made by employees leaving the company, including all resignation forms.

·         Involuntary - refers to the decision of turnover mainly made by the enterprise, including fire, dismiss and other forms.

  

What causes employee turnover?

·         Job related stress.

·         Lack of commitment in the organization.

·         Job dissatisfaction.

·         Lack of role clarity.

·         extensive job pressures.

·         Poor employee selection.

·         Poor management.

·         Lack of advancement opportunities.

·         Lack of recognition.

Why is it important to calculate turnover rates?

To reduce employee turnover, you should first focus on understanding how often employees leave the company by calculating turnover rates. Calculating turnover rates in your organization can provide valuable information about your company's overall management, procedures and culture. It can also show you how much money you spend on hiring and training new employees because of the turnover of employees.

The formula for the employee turnover rate as follows:

Figure 2: Employee Turnover rate formula (source: Hagley, 2020).

 How to reduce employee turnover?

Reducing employee turnover begins with the recruitment process. By setting realistic expectations, starting with job description, conducting effective job interviews and providing the right level of support and independence once you hire an employee, you can reduce employee turnover.

Here are few steps to follow to reduce turnover:

ü  Hire the people who good fit for your organization.

ü  Offer a competitive salary & benefits.

ü  Provide a healthy work-life balance.

ü  Provide a career path.

ü  Train your Managers /supervisors.

ü  Recognize top performer.

“pay and pay-related variables have a great effect on employee turnover. Management must compensate employees adequately. They should pay employees based on their performance and in addition they should give employees incentives like individual bonus, lump sum bonus, sharing of profits and other benefits. Hence, if these are put in place they would minimize employee turnover” (Griffeth, et al., 2000).

 

 

References

Ali, N., 2008. Factors Affecting Overall Job Satisfaction and Turnover Intention. Journal of Managerial Sciences, 2(2), pp. 239-252.

Griffeth, R. W., Hom, P. & Gaertner, S., 2000. A meta-analysis of antecedents and correlates of employee turnover: Update, moderator tests, and research implications for the next millennium. Journal of Management, 26(3), pp. 463-488.

Hagley, A., 2020. goverb. [Online]
Available at: https://goverb.com/employee-retention-guide/
[Accessed 17 December 2021].

Staw, B. M., 1980. The consequences of turnover. Journal of occupational Behaviour, pp. 253-273.

Wiggan, N., 2021. dreamstime. [Online]
Available at: https://www.dreamstime.com/conceptual-display-employee-turnover-word-number-percentage-workers-who-leave-organization-typing-business-image236933322
[Accessed 17 December 2021].

Zhang, Y., 2016. A Review of Employee Turnover Influence Factor and Countermeasure. Journal of Human Resource and Sustainability Studies, Volume 4, pp. 85-91.

 

 

Recruitment and Selection Process

Figure 1: recruitment and selection process (Source: Doherty, 2021).

What is the Recruitment & Selection Process?

Recruitment and selection is part of a multi-layered process. Recruitment involves actively seeking and advertising potential candidates and earning their interest in the position. Selection refers to the process of determining the best candidate from the pool of applicants.

Here are some reasons why a company would open the process of recruitment:

·         Fill a temporary absence within the team (maternity leave, medical leave, etc.)

·         Replace a staff member who has retired.

·         Assist with an increased workload.

·         Get the company started with a new venture.

·         Cover a newly created position.

Before searching for the ideal candidate, the recruiter should consider several factors.  These include the characteristics of the role, the number of vacancies they will be covering, and the profile type of the desired candidate.  Next, recruiters should lay out a plan of action to carry out the hiring process.

Finally, the company must calculate the cost of the entire process of recruitment and selection.  This will determine whether or not it is viable for them to proceed.

Importance of Finding the Right Candidate

Investing in human resources and the process of recruitment is a must! But hiring someone that doesn’t fit the bill could substantially increase the company’s recruitment expenses. A poor recruitment strategy costs time and money. Not to mention, the overall productivity is at risk if the wrong person is brought into the team.

Recruiting and selecting the wrong candidates who are not capable come with a huge negative cost which businesses cannot afford. Thus, the overall aim of recruitment and selection within the organization is to obtain the number and quality of employees that are required to satisfy the strategic objectives of the organization, at minimal cost (Ofori & Aryeetey, 2011).

Recruitment Process: Talent Acquisition & Selection   

The process of selecting the right candidate involves planning and strategic action. While hiring new talent, the following components should be considered.

·         Job Description Offer

A clear and detailed job description is crucial in finding the ideal candidate for the vacancy. The job description needs to be crystal clear in what the role entails. When writing the perfect job description, you should indicate the abilities, knowledge, and necessary experience required.

·         Advertising the Offer

One of the first hiring steps to finding candidates who fit the bill is to advertise the offer in the correct place. Some companies find specialized job boards to be the best place to connect with job seekers. Others choose to communicate their offer through their website or by advertising on posters, newspapers, or radio.

In addition, social media is a great resource to use when advertising your job postings. If you are on the fence about whether to hire interns, check out the benefits of hiring interns first.

·         CV (resume) Selection

After gathering all of the resumes, you must narrow down the selection. Following this, it’s time to screen candidates who fit the requirements of the role.

·         Conducting Personal Interviews

This is the best way to know the potential employees better and gain an understanding of whether they would be a good match in the company. Also, phone interviews are beneficial for recruiters to narrow down the candidates. 

·         Trial Period 

You can choose to carry out tests (i.e. psychological or role-specific tests), to make sure the candidates meet the requirements of the position. For instance, you may have candidates answer a series of questions that help the recruiter get to know them better. These tests may involve an analysis of a candidate’s problem-solving abilities. 

·         Assessment & Selection of Top Candidates

Assessing interviews and tests allows you to narrow down your search and find the ideal candidate for the role. Using an applicant tracking system, such as the one Factorial offers, can keep you on track and help streamline the process of recruiting staff.

 Conclusion

The recruitment and selection process is a very important human resources practice in selecting the right employees for the organization. By selecting effective employee recruits, your organization can achieve your company's goals and a strong internal job market.

References

Doherty, L., 2021. Recommendations to do a recruitment and selection process. [Online]
Available at: https://connectresources.ae/recommendations-to-do-a-recruitment-and-selection-process/
[Accessed 16 December 2021].

Ofori, D. & Aryeetey, M., 2011. Recruitment and Selection Practices in Small and Medium Enterprises: Perspectives from Ghana. International Journal of Business Administration, 2(3), pp. 45-60.

 

 

The Psychological contract

The psychological contract refers to the unspoken, often informal and mutual obligation expected between an employer and employee. The psychological contract is based on mutual fairness, trust and the belief that each party will honor said contract. As defined by Rousseau & Schalk (2000), “The psychological contract is individual beliefs, shaped by the organization, regarding terms of an exchange arrangement between the individual and their organization.”

Figure 1:The Psychological Contract iceberg diagram (source: (BUSINESSBALLS, 2021).

So what happens when our psychological contract gets damaged? When we feel that the balance has swung too far to the employer's side and we start to feel used?

Remember that the employer is unlikely to agree with our opinion; or to be able to see the breaches of our psychological contract from their perspective. Repeated violations will mean we trust our employer less, our job satisfaction will erode, and our performance will drop. This can turn into a vicious cycle, where both parties end up relying clause by clause on the IEA.

Gottschalk (2013), feels that when this happens, it is important to look at "the underlying dynamic[s]" of the situation. She suggests that we - the employee and the employer - need to evaluate:

·            The value of the rewards from the employee's perspective

·         The health of the communication channels to discuss the psychological contract. If          there are no mechanisms for psychological contract conversations, create them

·         Inter-party trust levels on "career support, behavioral consistency and integrity"

·         The expertise in creating employment relationship transparency

·         Performance feedback systems for both organizational and individual goals

·         If staff are encouraged to work to their strengths

It is rare that breaches are purposely caused or are driven by malice. In general, it is created by the employer by not being able to put himself in the place of the employee; and from there it feeds on a lack, and sometimes a deliberate lack, of shared understanding of each other's position.

 If organizations can make employment a conversation with employees, everyone benefits. And each of us must remember that our own leadership acts have an impact on our psychological well-being and that of others.

References

BUSINESSBALLS, 2021. BUSINESSBALLS. [Online]
Available at: https://www.businessballs.com/building-relationships/the-psychological-contract/
[Accessed 16 December 2021].

Gottschalk, M., 2013. Mending the Psychological Contract at Work. [Online]
Available at: https://www.linkedin.com/pulse/20130815133307-128811924-mending-the-psychological-contract-at-work
[Accessed 16 December 2021].

Rousseau , D. & Schalk, R., 2000. Psychological Contracts in Employment Cross-National Perspectives. California: SAGE Publications.