1. Why should a department manager be thoroughly familiar with pay scales appropriate to department personnel but refrain from making specific pay offers to potential employees? Discuss one potential legal issue with discussing an employee's wage with an unauthorized individual.
Pay scales have a direct influence on productivity among employees. The department managers ought to possess enough information on the pay scales of all employees in all departments. Very low pay hinder the organization from attracting qualified talents in the organization. Payscale determination is essential in encouraging productivity and saving an organization's operational costs (Smith-Doerr et al., 2019). Discussing employee's wages with unauthorized people is a criminal offense. Pay is confidential. Exposing an individual's pay can have detrimental impacts on an employee's security. Discussing an employees pay with unauthorized people is likely to cause financial losses to an individual. The exposed information can be used to bully the employee or access their financial statements.
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2. What role should a department manager have in controlling the cost of unemployment compensation? Include the details of at least one best practice and a reference for the source used.
Control of the cost of unemployment compensation is an essential activity. Department managers have a role to play in reducing the costs of operations in their respective departments by encouraging unemployment insurance best practices. Unemployment insurance is comprised of a federal-state program that started during the great depression (Johansson & Kristrom, 2020). Details of unemployed insurance are provided by federal law. States are provided with the capability to offer higher employer contributions to employees in their various states. Unemployment insurance plays an essential role in reducing payroll expenses by addressing tax rates and other related costs. The approach is applicable to both non-profit and profit organizations.
3. Provide an example within the past 5 years where an employment issue occurred due to a lack of employment vetting, reference checking, and credential verification. Why would it be important that employment vetting, reference checking, and credential verification be handled at one point?
Vetting is a critical activity in the hiring process. Many governments and organizations acknowledge the importance of vetting in the hiring process (Raymond, 2019). The vetting process helps establish the levels of education, skills, and competence possessed by an employee before taking over sensitive positions.
4. How is it possible that employee referral programs, which often include the payment of signing bonuses and finder's fees, can often generate the lowest cost-per-hire of all recruiting practices? Does your organization or one that you are interested in use a referral program? Why or why not?
Referral programs comprise of a strategy of recruiting employees in an organization through encouraging the existing employees via rewards to refer candidates they find suitable to the organization. Referral programs help to save high costs for organizations (Hong, 2017). The formal hiring process involves high costs in disseminating job advertisements. Organizations incur high costs advertising for vacant positions. Some eventually fail to acquire the most suitable employees. The organization I am interested in does not apply to referral programs. The belief is that this strategy is likely to attract employees' families and friends into the organization while locking out creativity and innovation.
Reference
Smith-Doerr, L., Tomaskovic-Devey, D., Alegria, S., Husbands Fealing, K., & Fitzpatrick, D. (2019). Gender pay gaps in US federal science agencies: An organizational approach. American Journal of Sociology , 125 (2), 534-576.
Johansson, P. O., & Kriström, B. (2020). On the social opportunity cost of unemployment. Journal of Economic Policy Reform , 1-11.
Raymond, L. C. (2019). Bias During Cyber-Vetting Using Social Media and Online Searches (Doctoral dissertation, Robert Morris University).
Hong, Z. (2017). The impact of employee referral programs on referral likelihood and customer purchase intention (Doctoral dissertation, Rutgers University-Graduate School-Newark).
