CHAPTER 4 – LABOUR MARKETS EXTERNAL LABOUR MARKETS: the labor market outside the organization Transnational NationalSectoral (Regional)INTERNAL LABOUR MARKETS - Functional Flexibility - means of enhancing competitiveness and adapting to change in the business environmento Core employees- permanent, usually full time, viewed as a valuable resourceo Peripheral employees - part time, little employment security, fewer skillso Functional: employers ability to deploy employees, core employees drawn from the primary labor market e.g. multi-skilling, horizontal job enlargement, vertical job enlargement, up and down, job rotation- Numerical Flexibility: capacity of employers to adjust labor supply to fluctuations in business demand which may equal less job security e.g. part time, temporary, casual and job sharingo Temporal - e.g. annual hours contract, zero hours contracto Distancing/contracting out - e.g. agency staff, subcontracting, home working, government subsidized treaties CONSIDERATIONS WHEN EXAMINING LABOUR MARKET: ALL AFFECT THE SUPPLY- Birth Rate- Longevity- Role of female workers- Growth of underrepresented groups- Examining migrant workersHistorically people have been willing to move to find work or better paying jobs:- Agrarian society- Industrial society (came with technological changes)- Service society- Information societyMIGRANT WORKERS- Rural to urban migration- Transnational (external)- Migration from Eastern European Countries to the UKTHE UK’S POINTS-BASED SYSTEM APPROACH TO IMMIGRATION – THE FIVE TIERS- Tier 1 - highly skilled workers - exceptional talent, who won “international recognition”- Tier 2 - skilled workers - migrants require a certificate of sponsorship from a licensed sponsor. Very few people outside the EU are able to work in skilled professions under Tier 2, split between those who qualify under the resident labor market test (RLMT)- Tier 3 – Low Skill - Depending on the job, we attract low skill - Tier 4 – Students - Tier 5 – Temporary/ExchangeEuropean social model vs. American free market model - Britain’s 3rd way - Parental leave – 52 weeks - Part time employees – in the middle- Temporary workers – protection in discrimination, victimization and union membersLABOUR MARKET IN HOSPITALITY AND TOURISM- Large number of individual units of varying size and many different types - Many units operate 24 hours, 7 days, 365 days a year- High fixed costs + fixed rate of supply, fluctuating, seasonal and often unpredictable demand- Production and service industries- Wide variety of customers, needs and expectations- Service supplied directly to the customer- Managers expected to demonstrate proficiency in technical and craft skills as well as in management area- Services- variable, intangible, inseparable, perishable SUMMARY- Many different skills required but relatively large number of semi skilled and unskilled staff- Low paid- Long unsociable hours- High proportion of female, part time, casual and migrant labor- Generally trade unions membership is low- High labor mobility within industry and high turnover - Industry is labor intensiveQUIZ Q&A1) Aspects that are likely to impact labor supply include?- All of the above2) Among the A8 Accession states that provided a major supply of migrant labor to the UK are?- Hungary3) Tier 2 refers to non-EU immigrants who are?- Skilled Workers4) Regarding the national labor market, the European Social approach can be characterized as?- An attempt to balance the interests of capital and labor5) Regarding the national labor market, recent directives from the EU have covered which of the following aspects?- All of the above6) Reconsidering skill needed for the hospitality industry, emotional and aesthetic labor is examples of soft skills- True7) According the utilization of flexible labor, which researcher is associated with the “flexible firm” model?- Atkinson8) Functional Flexibility is most associated with which concept?- Multi Skilled Employees 9) Numerical Flexibility can be associated with both external and internal means.- True10) Internal Numerical Flexibility is largely concerned with which concept?- Shift WorkingCHAPTER 5 – RECRUITMENT AND SELECTIONTWO IMPORTANT TASKS IN THE HOSPITALITY INDUSTRY:1) Securing and keeping an adequate customer base2) Securing and keeping an adequate number of qualified employees tRECRUITMENT AND SELECTION DEFINITIONS - Heery and NoonRecruitment: What employees and how do we go about it (the strategy), how they decide to find peopleSelection: Start talking about interviews (the work)*Selection and Recruitment are 2 different things but intertwined*“Hire for attitude (mindset) and we will train you with skills”FACTORS THAT AFFECT RECRUITING METHODS: Recruitment and Selection Constraints- Legal- Economic- Industry (when you are looking for a certain skilled person)- Organizational- Position HOW ARE FUTURE EMPLOYEE NEEDS DETERMINED?Forecast supply of employee’s - strategic direction of the organization - forecast demand for employees3 DIFFERENT AREAS YOU NEED TO TAKE INTO CONSIDERATION:Job Analysis- Armstrong - the process of collecting, analyzing, and setting out information about the contents of jobs in order to provide the basis for a job description and data for recruitment, training, job evaluation and performance management. It concentrates on what jobholders are expected to do.Job Description – Heery and Noon - A document that outlines the purposes of the job, the task involved, the duties and responsibilities, the performance of objectives, and the reporting relationships. It will give details of the terms and conditions, including the remuneration package and hours of work. Person Specification - Beardwell and Holden – “While the job description considers the ‘what’ aspects of the job, the person specification is concerned with the ‘who’. In this way the person specification should aim to provide a profile of the ‘ideal’ person of the job. In reality, the ‘ideal’ person for the job.”THE PERSON SPECIFICATION IS BASED ON EITHER:1. Rodgers 7 Point Plan (like the resume) 1957- Physical Characteristics: the ability to lift heavy loads, appearance, speech and manner- Attainments: education/professional qualification; work experience considered necessary for job- General Intelligence: the ability to define and solve problems- Special Aptitudes: skills, attributes or competencies relevant to the job-