Sara Miller McCune founded SAGE Publishing in 1965 to support the dissemination of usable knowledge and educate a global community SAGE publishes more than 1000 journals and over 800 new books each year, spanning a wide range of subject areas Our growing selection of library products includes archives, data, case studies and video SAGE remains majority owned by our founder and after her lifetime will become owned by a charitable trust that secures the company’s continued independence Los Angeles | London | New Delhi | Singapore | Washington DC | Melbourne Human Resource Management Third edition SAGE PUBLISHING: OUR STORY We believe in creating fresh, cutting-edge content that helps you prepare your students to make an impact in today’s ever-changing business world Founded in 1965 by 24-year-old entrepreneur Sara Miller McCune, SAGE continues its legacy of equipping instructors with the tools and resources necessary to develop the next generation of business leaders We invest in the right authors who distill the best available research into practical applications We offer intuitive digital solutions at student-friendly prices We remain permanently independent and fiercely committed to quality, innovation, and learning Human Resource Management Functions, Applications, and Skill Development Third edition Robert N Lussier Springfield College John R Hendon University of Arkansas at Little Rock Los Angeles London New Delhi Singapore Washington DC Melbourne Copyright © 2019 by SAGE Publications, Inc All rights reserved No part of this book may be reproduced or utilized in any form or by any means, electronic or mechanical, including photocopying, recording, or by any information storage and retrieval system, without permission in writing from the publisher FOR INFORMATION: SAGE Publications, Inc 2455 Teller Road Thousand Oaks, California 91320 E-mail: order@sagepub.com SAGE Publications Ltd Oliver’s Yard 55 City Road London, EC1Y 1SP United Kingdom SAGE Publications India Pvt Ltd B 1/I Mohan Cooperative Industrial Area Mathura Road, New Delhi 110 044 India SAGE Publications Asia-Pacific Pte Ltd Church Street #10-04 Samsung Hub Singapore 049483 Library of Congress Cataloging-in-Publication Data Names: Lussier, Robert N., author | Hendon, John R., author Title: Human resource management : functions, applications, and skill development / Robert N Lussier, Springfield College, USA, John Hendon Description: Third Edition | Thousand Oaks : SAGE Publications, [2018] | Revised edition of the authors’ Human resource management, [2016] | 10 Recognition, 437–439, 438 (model) Recruiter–candidate interaction, 170–171 Recruiting: alternatives to, 159–160 cases, 178–181 (case) challenges and constraints, 168–172 closed, 163 defined, 156 employee benefits and, 501–502 (case) evaluation of, 172–174, 172 (exhibit) external, 164–168, 168 (exhibit), 178–179 (case) global issues, 590 goal of, 156 internal, 162–164, 168 (exhibit) job analysis and, 118 open, 162 policies, 159 practitioner’s perspective, 155 process, 155–158 reach of, 160 social media, influence of, 13 social media and, 160–162 targeted, 162–163 timing of, 159 trends and issues, 174–176 See also Selection Red-circle rates, 412 Reference checks, 194 (exhibit), 210–211 Regression analysis, 136 (exhibit), 137 Regulatory Flexibility Act, 44 Rehabilitation Act, 95 Reinforcement, 235 (exhibit), 236, 393, 432 Relativism, 546 Relaxation, 524–525, 525 (exhibit) Relevant others, in equity theory, 392 Reliability, 135, 191–192 Religion, pre-employment inquiries about, 194 (exhibit) Religious discrimination, 102, 109–110 (case) Relocation costs, 590 Remediation, 228–229 Repatriation after foreign assignments, 593 Repeated violations of OSH Act, 514 1905 Repetitive stress injury, 520 Replacement workers, 366 Reshoring, 589 Resistance to change, 97, 231, 331–333 Resource inputs, 117–118 Responsibility, 549–550, 550–551 See also Corporate social responsibility Restaurants, fast-food, 399–400 Results, 274 Results appraisals, 274–275 Results evaluations, 245, 246 Résumés, 193 Retained search firms, 166 Retaliation, 92–93 Retirement, 141–142, 469–470, 470 (exhibit) Retirement benefits, 487–490, 596 Retraining, 141, 144 Return on investment (ROI), 62–63, 231, 245, 246, 247 Revenue centers, Reverse discrimination, 79 Rewards, 277–278, 332, 445 Rights: cases, 337–339 (case) change, 329–333, 331 (exhibit) coaching, 312–313, 312 (model) counseling, 313–315, 314 (exhibit) defined, 304 discipline, 315–320, 317 (exhibit), 319 (model) due process, 306 employee, 304–307, 305 (exhibit) free consent, 305–306 free speech, 307 freedom of conscience, 306 global differences, 322–323 leadership, 323–324 life and safety, 306 management, 307–311, 309 (exhibit), 310 (photo) practitioner’s perspective, 303 privacy, 307 privileges versus, 304–305 situational management, 324, 325–327 (box), 326–329, 328 (model) teams, 329, 330 1906 termination, 320–322 trends and issues, 333–334 Right-to-sue, 92 Right-to-work laws, 356 RJP See Realistic job preview RLA See Railway Labor Act ROI See Return on investment Roth IRAs, 489 Routines, 332 Rule violations, 319, 320 Russia, 590 Safety, workplace See Workplace safety Safety Data Sheets, 514, 515 (exhibit) Salary, 389 Samples, work, 200 Satisfaction: customer, 247 employee, 247 job, 350–353, 351 (exhibit), 352 (exhibit), 353 (box) “Say on pay” provision, 451 Secondary boycotts, 356 Secrecy, pay, 397–398 Section 503 of the Rehabilitation Act, 95 Security, workplace See Workplace security Security rule, 480 Selection: applications and preliminary screening, 192–195, 194 (exhibit) background checks, 208–212, 532 cases, 218–221 (case) defined, 186 “fit,” looking for, 189–190 global issues, 590 importance of, 186–187 job analysis and, 118 practitioner’s perspective, 185 process, 186–188, 188 (exhibit) selecting candidate and offering job, 213–214 social media and, 13 testing and legal issues, 195–203, 197 (exhibit), 518 (exhibit) trends and issues, 214–215 Uniform Guidelines on Employee Selection Procedures, 190–192 1907 workplace security and, 532 See also Recruiting; Selection interviews Selection interviews: about, 203–204 conducting, 207–208, 207 (model) interviewing, 204 preparing for, 206–207, 207 (model) question types, 204–206, 205 (exhibit) self-assessment, 209 (box) types, 204, 205 (exhibit) validity, 203–204 Self-assessments: career development, 171 (box) compensation management satisfaction, 414 (box) compensation options, 442 (box) employee benefits, 494 (box) job satisfaction, 353 (box) learning styles, 238 (box) listening skills, 348 (box) organizational structure and job design, 127 (box) performance management and appraisal, 284 planning, level of, 43 (box) selection interviews, 209 (box) situational management, 325–327 (box) stress, 522 (box) women and minorities, attitudes about, 98 (box) Self-concept, 545 Self-directed learning, 243 Self-efficacy, 232 Self-managed work teams, 132–133 Semistructured interviews, 204 SEP plans See Simplified employee pension plans Serious health condition, 475 Serious misconduct, 320–321 Serious violations of OSH Act, 514 Services, employee, 492–493 Severity error, 287 Sex, pre-employment inquiries about, 194 (exhibit) Sexual harassment, 99–102, 101 (exhibit) Sexual orientation discrimination, 103 Shaping behavior, 235–237, 235 (exhibit) Shareholders, 42, 451 1908 Short-term disability insurance, 492 Short-term versus long-term orientation, 584 (exhibit) SHRM Competency Model, 14–16 Sick leave, 490–491 Significant others, 495 Similarity error, 213, 287 Simplified employee pension (SEP) plans, 489 Simulations, 200, 243, 244 (exhibit) Singapore shopping center, 602–603 (case) Sitting, 519–520 Situation analysis, 51–52 Situational approach to corporate social responsibility, 558 Situational management, 324, 325–327 (box), 326–329, 328 (model) Situational questions, 206 Skill variety, 129, 130 Skill-based pay, 395–396 Skills: business, 15–16 conceptual and design, 15 global manager, 586–587 human resource management, 14–16, 14 (exhibit) interpersonal, 14–15 listening, 170, 346–347, 348 (box), 349 technical, 14 Skills tests, 197–198 Sleep, 524–525 Slogans, 57 SMART objectives, 277, 278 (model), 447 Smartphones: case, 569 (case) health care apps, 497 stress and, 523, 524–525, 526 SME panels See Subject matter expert panels Social audits, 554, 555 Social capital, 574 Social contract model, 554 Social environment, 158 Social learning, 234–235, 393, 427 Social loafers, 429 Social media: background searches using, 211–212 organizational culture and, 58–59 1909 recruiting and, 160–162 for social learning, 235 trends and issues, 334 workplace security and, 531–532 Social Security, 468–471, 470 (exhibit), 492 Social Security Act, 468–469, 473 Societal collectivism, 585 (exhibit) Society, 43 Spatial differentiation, 54 Specialist jobs, 17 Split-pay approach, 594–595 Staff managers, 16 Staffing: global issues, 580, 585–589, 588 (exhibit) job analysis and, 118 See also Recruiting; Selection; Workforce planning Stages of the change process, 330 Stakeholders, 547–548, 555–557 Standard hour plans, 435–437, 437 (exhibit) Statutory benefits: about, 465–466, 493 (exhibit) Family and Medical Leave Act, 474–476 Medicare, 471 Old-Age, Survivors and Disability Insurance, 468–471, 470 (exhibit), 492 Patient Protection and Affordable Care Act, 476–478, 477 (exhibit) Social Security, 468–471, 470 (exhibit), 492 Unemployment Insurance, 473–474 workers’ compensation, 471–473 See also Voluntary benefits Stereotyping, 213, 286 Stock incentives, 442–443, 452–453 Stored Communications Act, 212 Stories and storytelling, 39, 57 Straight piece-rate plans, 435, 436 (exhibit) Strategic analysis, 49–51, 50 (exhibit), 51 (exhibit) Strategic congruence, 231 Strategic vision and mission, 44–47 Strategy: creating, 52 defined, 45 designing, 51–53 HR promotion of, 53 1910 questions about, 45–46 Strategy-driven human resource management: about, 40–41, 41 (exhibit), 43 (box) cases, 68–70 (case) data analytics and HR technology, 59–61 external environment, 41–44, 42 (exhibit) human resource management systems, 61–62 internal environment, 44–59 measurement tools for strategic HRM, 62–63 organizational culture, 56–59, 57 (exhibit) organizational structure, 53–56 strategic analysis, 49–51, 50 (exhibit), 51 (exhibit) strategic vision and mission, 44–47 strategy, designing, 51–53 strategy, effects on HRM, 48–49 strategy, HR promotion of, 53 strategy, types of, 47–48 trends and issues, 64–65 variable pay and, 445–446 See also Human resource management Stress: acute, 521 causes, 522–523 defined, 521 dysfunctional, 521–522 eustress, 521 functional, 521 managing, 523–526, 525 (exhibit) self-assessment, 522 (box) stress tug-of-war, 526, 527 (exhibit) See also Employee health Stress management, 523–526, 525 (exhibit) Stressors, 521 Strictness error, 287 Strikes, 354, 356, 366, 380–381 (case) Structure, organizational, 53–56, 64, 126, 127 (box) Structured interviews, 204 Subject matter expert (SME) panels, 122 Subordinate reviews, 283 Substance abuse testing, 201–202, 311, 532, 533–534 Substantial evidence, 316–317 Substitute products and services, 49 1911 Succession planning, 138–139 Supervisor evaluations, 282 Suppliers, 42, 50 Support networks, 526 Supportive behavior, 324, 327 Suspension, disciplinary, 318–319 Sustainability: about, 558–559 benefits, sustainability-based, 562–563 defined, 22, 558 green companies, 559–560 Internet resources, 563 (exhibit) management commitment, need for, 560 sustainable organizations, 561–562 training, 560–561 trends and issues, 562–563 See also Corporate social responsibility Sustainable competitive advantage, 13 SWOT analysis, 50–51, 51 (exhibit) Symbolic communication, 592 Symbols, 57 Synchronous distance learning, 242 Tactile learners, 239 Taft-Hartley Act, 354 (exhibit), 356 Talent management and development: career development, reasons for, 248–249 career development consequences model, 251–253, 251 (exhibit), 253 (exhibit) careers, 247–248 employee assessment, 250–251 experience, 250 formal education, 249–250 outsourcing employee development, 249 Targeted recruiting, 162–163 Tariffs, 575–576 Task identity, 129, 130 Task significance, 129, 130 Task-based job analysis, 124 Tasks, 118 Tax issues, 465–466 (exhibit), 590 Taylor plan, 435 Teams and teamwork, 132–133, 134 (exhibit), 329, 330, 429 1912 Technical conference method, 122 Technical skills, 14 Technology: efficiency and, 8–9 equal opportunity, diversity management and, 103 as external environment factor, 43 human resource management, 60–61 labor shortages and, 144 organizational structure, organizational culture, and, 64 trends and issues, 64, 103, 146 use of, 10 Telecommuting, 133 Temporary employment agencies, 166, 168 (exhibit) Temporary workers, 29, 143–144, 145–146, 165, 413–416 Termination, 319, 320–322 Tests and testing: about, 195 cognitive ability, 198–199 deciding about, 202–203 drug, 201–202, 311, 532, 533–534 duties, 400, 401–402 (exhibit) Equal Employment Opportunity Commission, 195–196 fitness-for-duty, 202 four-way, 547 genetic, 80 (exhibit), 89, 197, 520 honesty, 199 integrity, 199 interest, 198 personality, 198 physical, 199–202 physical skills, 199–200 polygraph, 196–197, 197 (exhibit), 518 (exhibit) trends and issues, 214–215 Uniform Guidelines on Employee Selection Procedures, 190–191 written, 197–199 See also OUCH test Texas, 472 Thinking: divergent, 96 positive, 526, 529 Third-country nationals, 588, 588 (exhibit) 360-degree evaluations, 285 1913 Time management, 524 Time required to hire, 172 (exhibit), 173 Title II of Genetic Information Nondiscrimination Act, 80 (exhibit), 89, 197, 520 Title VII of Civil Rights Act of 1964, 80–84, 80 (exhibit), 82 (exhibit), 99, 102 Toxicity, 528 Trade barriers, 575–576 Trade blocs, 576–577 Traditional health care plans, 483 Training: challenges, 231–232 classroom, 241, 242 (exhibit) communication, 591–592 cultural, 591, 592 (exhibit) defined, 227 diversity, 564 employee readiness for, 232–233 expatriate, 590–593, 592 (exhibit) global issues, 580 job analysis and, 118 needs assessment, 230–231 process, 229–230, 230 (exhibit) rater, 289–290 rater error, 289–290 safety and health, 521 sustainability, 560–561 See also Learning and development Trait appraisals, 272–273, 289 Traits, 272 Transfers, 141, 319 Transnational stage of corporate globalization, 579 (exhibit) Transnationally competent managers, 579 (exhibit) Trans-Pacific Partnership, 577 Trend analysis, 136–137, 136 (exhibit), 150 (case) Trends and issues: automation at work, 146 compensation management, 413–416 diversity training, 564 drug testing, post-accident, 533–534 electronic performance monitoring, 293–294 employee and labor relations, 375–376 employee benefits, 496–498 employee engagement, 28 1914 employee health, 534 employer/employee relationship, 375–376 feedback, 333–334 gamification, 254 gender–wage gap, 416 global issues, 596–597 grit, 175–176 independent contractors, 413–416 learning and development, 254–255 legal environment, 102–104 performance management, 292–294 recruiting, 174–176 rights and employee management, 333–334 selection, 214–215 sexual orientation and gender identity discrimination, 103 social media, 334 strategy-driven human resource management, 64–65 sustainability, 562–563 variable pay, 453–454 workplace safety, 533–534 Trust, 332, 344–345, 548 Tuition assistance, 492 Turnover: annual voluntary, 247 as critical dependent variable, 11 defined, 11 employee wellness programs and, 520 measuring, 138, 138 (exhibit) new hire, 172 (exhibit), 173 reducing, 145 variable pay and, 453 Type A personality, 522–523, 522 (box) Type B personality, 522–523, 522 (box) UGESP See Uniform Guidelines on Employee Selection Procedures UI See Unemployment Insurance Uncertainty avoidance, 584 (exhibit), 585 (exhibit) Understanding, 346, 349, 447 Undue hardship, 87 Unemployment Insurance (UI), 473–474 Unemployment rate, 157 Unethical behavior, 543, 545–546 1915 See also Ethics Unfair union/labor practices, 356, 366 Uniform Guidelines on Employee Selection Procedures (UGESP), 190–192, 195, 214 Uniformed Services Employment and Reemployment Rights Act (USERRA), 80 (exhibit), 88, 517 (exhibit) Union shops, 356 Unions: avoidance/suppression policies, 376 employee benefits and, 467 grievances, 364, 364 (model) labor relations and collective bargaining, 364 membership in, 361–362 organizing, 362–363, 363 (exhibit), 365 trends and issues, 376 unfair practices, 356, 366 United Nations Global Compact, 563 (exhibit) United States national culture, 583 Unstructured interviews, 204 Urgency, 333 USERRA See Uniformed Services Employment and Reemployment Rights Act Utilization analysis, 486 Vacation, 490 Valence, 390 Validity, 135, 191, 192, 203–204 Value communication, 495–496 Values, 57, 548 Variable pay: about, 389, 425 cases, 457–460 (case) challenges, 444–445 defined, 426 executive incentives, 452–453 failures, 443–444 group incentives, about, 429–431, 429 (exhibit) group incentives, options for, 431 (exhibit), 439–443 guidelines, 445–449, 446 (exhibit) individual incentives, about, 427–428, 428 (exhibit) individual incentives, options for, 431–439, 431 (exhibit), 436 (exhibit), 437 (exhibit), 438 (model), 448–449, 457–459 (case) longevity pay versus, 394–395 1916 practitioner’s perspective, 425 reasons for using, 426–427 trends and issues, 453–454 See also Group incentives; individual incentives VBIA See Veterans Benefits Improvement Act Verbal communication, 591 Vertical differentiation, 54 Vesting, 480–481 Veterans Benefits Improvement Act (VBIA), 80 (exhibit), 88 Vietnam Era Veterans Readjustment Assistance Act (VEVRA), 80 (exhibit), 84 Violence, workplace, 528–531 Virtual teams, global, 330 Visas, 90, 215 Visible level of organizational culture, 57 Vision, 46–47 Visual learners, 239 Voice, employee, 391 Voluntary benefits: employee services, 492–493 group health insurance, 482–487, 497–498 insurance, other, 491–492 paid time off, 490–491 retirement benefits, 487–490, 596 statutory requirements when providing, 478–482 See also Statutory benefits Wage and salary add-ons, 389 Wage compression, 396–397 Wages, 389 Wagner Act, 354 (exhibit), 355–356, 362–363, 366, 405 Walk-ins, 164–165, 168 (exhibit) Wall Street Journal, 167 WARN Act See Worker Adjustment and Retraining Notification Act Warnings, 318 Warrants, inspection, 512–513 Weight, pre-employment inquiries about, 194 (exhibit) Whistle-blowers, 359, 545 Whistle-blowing, 22 Whole life insurance, 491–492 Wildcat strikes, 356 Willful violations, 380 (case), 511, 514 Win-win situations, 333 1917 Women, 98 (box), 259–260 (case), 518, 556 Work hours, 133, 133 (exhibit) Work samples, 200 Work sharing, 133, 141 Work teams, 132–133, 134 (exhibit) Worker Adjustment and Retraining Notification Act (WARN Act), 354 (exhibit), 357 Workers’ compensation, 471–473 Work–family benefits, 519 Workflow analysis, 116–118, 117 (exhibit) Workforce planning: cases, 150–152 (case) HR forecasting, 135–139, 136 (exhibit), 138, 138 (exhibit) job analysis, 118–126, 125–126 (exhibit) job design/redesign, 126–134, 127 (box), 129 (exhibit), 133 (exhibit), 134 (exhibit) labor supply and demand, reconciling internal, 139–145 practitioner’s perspective, 115 trends and issues, 145–146 workflow analysis, 116–118, 117 (exhibit) Workforce science, 61 Work–life balance, 516, 518–519 Workplace monitoring, 310, 310 (photo) Workplace safety: case, 538–539 (case) defined, 510 Hazard Communication Standards, 514, 515 (exhibit) job analysis and, 119 line manager responsibilities, 17 National Institute of Occupational Safety and Health, 515–516 Occupational Safety and Health Act, 510–511, 515, 520 Occupational Safety and Health Administration, 511–514, 512 (exhibit), 515 (exhibit), 520 posting requirements, 516, 517–518 (exhibit) trends and issues, 533–534 See also Workplace security Workplace security: cyber security, 527–528 defined, 527 employee selection and screening, 532 line manager responsibilities, 17 policies, 532–533 1918 social media and, 531–532 workplace violence, 528–531 See also Workplace safety Workplace violence, 528–531 Workplace wellness programs (WWPs), 519–520, 523 Workweek, compressed, 134 WorldatWork, 24 Written testing, 197–199 Written warnings, 318 Wrongful discharge, 361 WWPs See Workplace wellness programs Yield ratio, 172–173, 172 (exhibit) Youth@Work website, 79 Yowan Yang v ActioNet, Inc., 538 (case) Zero-sum game, 371 1919 ... Century Human Resource Management Strategic Planning and Legal Issues The New Human Resource Management Process Strategy-Driven Human Resource Management The Legal Environment and Diversity Management. .. Century Human Resource Management Strategic Planning and Legal Issues The New Human Resource Management Process Strategy-Driven Human Resource Management The Legal Environment and Diversity Management. .. Century Human Resource Management Strategic Planning and Legal Issues The New Human Resource Management Process Practitioner’s Perspective Why Study Human Resource Management (HRM)? HRM Past and