The Working Poor Project
This report was commissioned to review low-income wage earners at age care centre employees, New Zealand. Age centre is dedicated to supporting the ageing people in the society with the aim of making it the best place for the employees to experience better working conditions. Consequently, better working conditions lead to employees working under less or no supervision. However, this has not been the case. The number of staff working at Age care centre work overtime hours but rarely are they in a position to meet the current cost of living. As per (Anderson and Hussey 191-203) the cost of living in New Zealand is aggregated to be 8.91% higher than that of United States. As a result, this proves why the workers adopt working on an overtime basis but still cannot meet the cost of living. Developed countries with better infrastructures regarding technology and transport have a higher cost of living as per the case in New Zealand.
As per this context, it is evident that the wage for the workers does not reflect the amount of work they handle. Bearing in mind that the employees got to the extent of working overtime but still cannot afford the cost of living sends the notion that there are poor working conditions. Age care organisations aim at improving employees relations hence cash out a substantial amount of salary to staff. However, the case at the age care centre, New Zealand is different. Employees are underpaid hence rarely meet the cost of living. I, a human resource manager consultant have been commissioned to address the situation at the Age Care Center in New Zealand by recommending various ways to the human resource manager. Therefore, this will help the situation solve the situation at hand.
Some rules govern the labour department as far as working overtime hours. Workers who make less than $23,660 in a period of on year are entitled to working on an overtime basis. However, the labour departments propose that employees making less than $50,440 should be eligible for working overtime (Guthrie, 2001). The current law exposes some workers to abuse at work since a number will work extra hours but no relative pay.
Poor pay for employees leads to some issues in the setting and operations of an organisation as explained below:
- Low Morale
The primary cause of low morale in employees is mainly as a result of poor management. Consider a situation where employees complain to each other of the working conditions, handle most of their work with less effort hence end up in a position that they are unable to finish their work tasks as per the designated time. Such occurrences are a proof of lack of motivation from a manager who rarely improves his relations with the staff. In this case, better wages plays as the motivating factor to help employees work better under less supervision.
- Reduced Productivity
Productivity involves generating revenues for the organization. According to (Jayachandran, 2006) productivity works in line with the process of attaining a set of objectives that help the organization accomplish its vision. As per this context, Age care team will experience less productivity regarding money and profits generated as compared to previous times. A number of activities will significantly change as a result of reduced wages which leads to lack of employee satisfaction. In the long run, a decrease in the number of aged people enrolled in the organization will reduce. Consequently, enough revenue will not be generated regarding the organization’s activities’ which include buying of necessary items and even paying its workers.
It is the high time. Age care tackled the issue of the working poor who at the end of the day see no difference in their lives despite the heavy workload of working extra shifts. As mentioned earlier, the situation of poor pay can cause substantial implications as far as the human resource department is concerned. Various processes should be adopted as explained below.
The human resource department in each and every organization solely deals with the employees. It aims at strengthening the relationship between an employer and employee. The department of human resource is run by a manager whose duties include compensations, salaries and remunerations, recruitment and selection. However, in order to achieve the various functions associated with a human resource manager, some processes are involved as explained below.
- Human resource planning
Human resource allocation involves finding the right number of people, for the good specified job in any given organization (Hoch, & Dulebohn, 2013). The process wholly relies on a set of factors such as time factor in the sense of the supply and demand of the organization shortly.
The are four key steps that work hand in hand to achieve a successful human resources planning. They include,
- Analyzing the current labor supply,
- Forecasting the demand for labor shortly
- Balancing the right demand of labor with the sufficient supply
- Supporting organizational goals
Analyzing Present Conditions
Analyzing current conditions as the first step involved in human resource planning involves identifying various strengths and weaknesses of the current labour force in the company (Storey, 2014). IT calls for the company to perform an audit which involves the skills of the various employees such as qualifications and experience of every work in different fields. Statistics collected in the review help the human resource manager evaluate the position of the organisation regarding does the company need a change in the workforce by acquiring a new staff?
According to (Armstrong & Taylor,2014). Human Resource Manager forecasts demand by focusing on the various strategic goals of the company uses to realise progress. Forecasting demand by human resource managers involves examining past and present market trends as well as the various invention and improvements in the technology sector. Forecasting also includes job positions like retirements of employees. A number of factors such as considering replacements for the post which the first worker is on retirement help in assessing the future by helping to predict and choose who should replace the position. Forecasting involves taking a look at the future regarding the employees. Does the company need more employees on a part-time or a full-time basis?
Striking a Balance
The third step involves creating a balance between supply and demand. The human resource manager is solely responsible for this process. The process involves adopting a gap analysis where specific needs are set to help narrow the supply of the organization’s labor versus the future demand (Sparrow, Brewster, & Chung, 2016). Striking a balance involves finding out if the employees should acquire nay new skills or need more managers.
Integrating the Plan
The answers generated as a result of the planning process are an essential. It involves adopting various practical steps to incorporate the program in the organization of the company. The human resources manager department needs a budget to integrate and implement the different programs. Goals and strategies of a company change from time to time hence the human resource department needs to work with other departments to achieve its goals of planning (Cook, 2016).
The age care centre in New Zealand should adopt human resource allocation to help plan for the present and future of the company as far as the employees are concerned. Human resource allocation will contribute to determining if the employees need the training to achieve excellent skills. Acquiring good skills will increase the productivity of the care centre which in turn great revenues will be gained to help raise the salary for the workers. Consequently, the worker will be in a position to afford the cost of living.
Human resource recruitment and selection
Also referred to as recruitment and staffing, the above process aims to add the value of the human resource by selecting and recruiting of new employees (Bamberger, Biron, & Meshoulam, 2014). The recruitment process involves the extent to which an organization goes ahead to select new hires for various posts. Consequently, this helps in steering the organization by way of improving the quality of labor in the company. The recruitment process acts as a driver that helps an organization achieve an entire force of energy that is equipped with the necessary skills.
The primary goal of the recruitment and selection involves identifying various sources to find the best talents available in the job market arena (Wilton, 2016). As a result, this helps to introduce a competitive nature with other rivals of the organization by acquiring a quality and productive labor force. The recruitment and selection process involves managing big number and counts of application resumes. The process requires skills and the ability to select the right candidates suited for the openings while introducing them into the organization to hasten the rate of productivity.
The recruitment process works in line with a recruitment software solution which needs a tangible support. Support includes various department heads being part of the recruitment and selection process. It needs a strong support by the dedicated recruitment software solution. However, the recruitment software can be used externally or internally. A number of vendors deal with the software in that a company has to choose the right solution to meet its various needs as far as recruitment and selection are concerned.
Below are some of the factors that should be put in place while adopting recruitment process.
- Selection Criteria
The selection process is one of the vital processes in recruitment and selection hence needs various screening tools. The selection criteria target hiring a candidate who is the best match as per the job description (Marler & Fisher, 2013). Job description involves the various duties and responsibilities involved in an individual post. The best match includes the candidate who has skills matching the description I term of education qualifications or experience in the related field. The selected employees should hence adopt the culture of the organisation. The way to interview questions can choose the best match as a screening tool. The age care centre should hence look for the best candidate regarding qualifications and experience in the hospitality introduce.
Given the situation at the age care centre where employees are working more for much less pay, the management should review its policies as per the human resources department. The systems include different wages for different positions. Provisions such as compensation or extra working shifts for people with a low salary should be introduced in place. Such moves will act as a source of motivation for the employees (Ekwoaba, Ikeije, & Ufoma, 2015). As per our current context, the age care centre should consider the equilibrium wage.
The pay of any employee States the least amount a worker should get paid for his work on a daily basis. If the equilibrium wage is at $7 per hour, not any organization is bound to pay the least of its workers below the set figure. The equilibrium wage is usually set according to the economy of a country. The higher the cost of living, the higher the minimum wage of the employee’s reason being able to help the workers afford the basic needs for survival; food, shelter and health.
If at all the employees in the age care centre can barely afford the cost of living even when working an overtime basis, illustrates that the organization does not meet the necessary standard to employ workers. In a bid to solve this issue, age care centre might choose to staff its employees by firing some while retaining those equipped with necessary skills. A big number of employees are a major hinder to raising the employee’s wages as a source of motivation. Maintaining of a good manageable number of employees assists good governance
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