BSBHRM506 Readings

Overview

In this chapter we examine the important role of recruitment and selection within the process of leading, managing and developing people. Recruitment and selection is pivotal in this regard in certain important respects. At the most basic level our focus in this book is on people management within the employment relationship. Those charged with recruiting people to posts in work organisations take a crucial ‘gatekeeper’ role; only those people selected for employment can be led, managed and developed. So in the most fundamental sense the decision to employ (or not) underpins the whole area of managing people. Issues associated with exclusion from the workplace also highlight the need for professionalism, fairness and ethical behaviour on the part of those engaged in this activity.

Recruitment and selection also has an important role to play in ensuring worker performance and positive organisational outcomes. It is often claimed that selection of workers occurs not just to replace departing employees or add to a workforce but rather aims to put in place workers who can perform at a high level and demonstrate commitment (Ballantyne, 2009). We will elaborate on the sometimes complex linkages between recruitment and selection and performance later in this chapter.

Recruitment and selection is characterised finally by potential difficulties and it is necessary to keep abreast of developments in research in the field. Research from the CIPD (2009a), for example, concluded that organisations should increasingly be inclusive in their employment offering as younger generations have grown up with the notion of flexible working, while older people have an interest in flexible working as an alternative to retirement. This is just one example of how current research can inform practice and also shows the critical importance of the social context in which recruitment and selection takes place.

Introduction

Recruitment and selection forms a core part of the central activities underlying human resource management: namely, the aquisition, development and reward of workers. It frequently forms an important part of the work of human resource managers - or designated specialists within work organisations. However, and importantly; recruitment and selection decisions are often for good reason taken by non-specialists, by the line managers. There is, therefore, an important sense in which it is the responsibility of all managers, and where human resource departments exist, it may be that HR managers play more of a supporting advisory role to those people who will supervise or in other ways work with the new employee.

As Mullins (2010, P 485) notes: ‘If the HRM function is to remain effective, there must be consistently good levels of teamwork, plus ongoing co-operation and consultation between line managers and the HR manager.’ This is most definitely the case in recruitment and selection as specialist HR managers (or even external consultants) can be an important repository of up-to-date knowledge and skills, for example on the important legal dimensions of this area.

Recruitment and selection is often presented as a planned rational activity, comprising certain sequentially-linked phases within a process of employee resourcing, which itself may be located within a wider HR management strategy. Bratton and Gold (2007, p 239) differentiate the two terms while establishing a clear link between them in the following way:

‘Recruitment is the process of generating a pool of capable people to apply for employment to an organisation. Selection is the process by which managers and others use specific instruments to choose from a pool of applicants a person or persons more likely to succeed in the job(s), given management goals and legal requirements.’

In setting out a similar distinction in which recruitment activities provide a pool of people eligible for selection, Foot and Hook (2005, p 63) suggest that:

Recruitment and selection, as defined here, can play a pivotally important role in shaping an organisations effectiveness and performance, if work organisations are able to acquire workers who already possess relevant knowledge, skills and aptitudes and are also able to make an accurate prediction regarding their future abilities. If we accept this premise (which will be questioned to some extent in this chapter), recruiting and selecting staff in an effective manner can both avoid undesirable costs – for example those associated with high staff turnover, poor performance and dissatisfied customer’ – and engender a mutually beneficial employment relationship characterised, wherever possible, by high commitment on both sides.

A Topical and Relevant Area

Recruitment and selection is a topical area. While it has always had the capacity to form a key part of the process of managing and leading people as a routine part of organisational life, it is suggested here that recruitment and selection has become ever more important as organisations increasingly regard their workforce as a source of competitive advantage. Of course, not all employers engage with this proposition even at the rhetorical level. However, here is evidence of increased interest in the utilisation of employee selection methods which are valid, reliable and fair. For example, it has been noted that ‘over several decades, work psychology has had a significant influence on the way people are recruited into jobs, through rigorous development and evaluation of personnel selection procedures’ (Arnold et al, 2005, p 135). In this chapter we will examine several contemporary themes in recruitment and selection including what is human as the competency approach and online recruitment.

Recruitment and selection does not operate in a vacuum, insulated from wider social trends, so it is very important to keep abreast of current research. A CIPD annual survey report, Recruitment, Retention and Turnover (2009d), showed how the financial crisis was biting in the field of HRM. The survey concluded that half of the companies surveyed claimed that the recession was having a negative impact on their employee resourcing budgets and activities. 56 per cent of organisations were focusing more on retaining than recruiting talent, while four out often said that they would recruit fewer people in the forthcoming year. Interestingly, 72 per cent of respondents thought that employers would ‘use the downturn’ as an opportunity to get rid of poor performers and bring about culture change. These specific findings epitomise the very close link between recruitment and selection and the wider social and economic context.

This aspect of employee resourcing is characterised, however, by potential difficulties. Many widely-used selection methods – for example, interviewing are generally perceived to be unreliable as a predictor of jobholders’ performance in reality. Thus it is critically important to obtain a realistic evaluation of the process from all concerned, including both successful and unsuccessful candidates. There are ethical issues around selecting ‘appropriate’, and by implication rejecting ‘inappropriate’, candidates for employment. Many organisations seek to employ people who will ‘fit in’ with their organisation’s culture (French et al, 2008) – see also the lKEA case study below. This may be perfectly understandable. However, it carries important ethical overtones – for example, whether an employing organisation should be involved in shaping an individual’s identity. We put forward the view in this chapter that, notwithstanding the moral issues and practical difficulties outlined here, recruitment and selection is one area where it is possible to distinguish policies and practices associated with critical success factors and performance differentiators which, in turn, impact on organisational effectiveness in significant ways.

What work at IKEA?

The following extracts are taken from the IKEA Group corporate website ‘Why work at IKEA?’ section.

Because of our values, our culture and the endless opportunities, we believe that it’s important to attract, develop and inspire our people. We are continuously investing in our co-workers and give them sufficient opportunities and responsibility to develop.

What would It be like to work at Ikea?

You’d be working for a growing global company that shares a well-defined and well-communicated vision and business idea.

You’d be able to develop your skills in many different ways, becoming an expert at your daily work, by taking new directions in other parts of the company, or by taking on greater responsibility, perhaps even in another country.

Human values and team spirit are part of the work environment. You’d not only have fun at work, you’d be able to contribute to the development of others.

At IKEA you’d be rewarded for making positive contributions.

You’d have the chance to grow and develop together with the company.

Values at the heart of our culture

The people and the values of IKEA create a culture of informality, respect, diversity and real opportunities for growth. These values include:

Togetherness and enthusiasm

This means we respect our colleagues and help each other in difficult times. We look for people who are supportive, work well in teams and are open with each other in the way they talk, interact and connect. IKEA supports this attitude with open-plan offices and by laying out clear goals that co-workers can stand behind.

Humbleness

More than anything this means respect. We are humble towards our competitors, respecting their proficiency, and realising that we constantly have to be better than they are to keep our market share. It also means that we respect our co-workers and their views, and have respect for the task we have set ourselves.

Willpower

Willpower means first agreeing on mutual objectives and then not letting anything actually stand in the way of actually achieving them. In other words, it means we know exactly what we want, and our desire to get it should be irrepressible.

Simplicity

Behind this value are ideas like efficiency, common-sense and avoiding complicated solutions. Simple habits, simple actions and a healthy aversion to status symbols are part of IKEA.

Source: www.ikea.com. Used with the kind permission of IKEA.

Questions

1. In what ways could an employer seek to asses qualities of togetherness, humbleness, willpower and simplicity among candidates in the course of a recruitment and selection process? How accurate do you think judgements made along these lines are likely to be?
2. What selection methods could IKEA employ to assess whether potential workers can ‘develop skills’ and ‘take on new directions and responsibilities’?
3. To what extent should an organisation like IKEA attempt to recruit and select workers who embody their organisational culture? Give reasons for your answer. Identify some possible negative outcomes of aligning selection with organisational culture.

Effective Recruitment and Selection

We have already referred to the potential importance of recruitment and selection as an activity. Pilbeam and Corbridge (2006, p 142) provide a useful overview of potential positive and negative aspects noting that: ‘The recruitment and selection of employees is fundamental to the functioning of an organisation, and there are compelling reasons for getting it right. Inappropriate selection decisions reduce organisational effectiveness, invalidate reward and development strategies, are frequently unfair on the individual recruit and can be distressing for managers who have to deal with unsuitable employees.’

Reflective Activity

Getting it wrong

In an attempt to check the robustness of security procedures at British airports, Anthony France, a reporter for The Sun newspaper, obtained a job as a baggage handler with a contractor subsequently named by the newspaper In the course of his selection, France gave bogus references, and provided a fake home address and bank details Throughout the selection process he lied about his past while details of his work as an undercover journalist were available on the Internet.

France then proceeded to take fake explosive material onto a holiday jet airliner at Birmingham International Airport.

This case provides a good, albeit extreme, example of the possible consequences of flawed selection procedures, or as happened here, when agreed practices, such as checking personal details, are not put into effect. Such consequences are potentially wide-ranging and veer from the trivial and comic to possibly tragic outcomes. One can certainly reasonably anticipate many of the negative outcomes listed below to follow when the predictions made about a candidate for employment fail to be borne out.

It is undoubtedly true that recruitment and selection strategies and practices have important consequences for all concerned, so what are the keys to maximising the chances of effective recruitment and selection? Some important factors are listed below.

Recognizing the Power of Perception

Perception is defined as the process by which humans receive, organise and make sense of the information they receive from the outside world (Buchanan and Huczynski, 2007; French et al, 2008; and Rollinson, 2008). The quality or accuracy of our perceptions will have a major impact on our response to a situation. There is much data suggesting that when we perceive other people particularly in an artificial and time-constrained situation like a job interview we can make key mistakes, sometimes at a subliminal level. One key to enhancing effectiveness in recruitment and selection, therefore, lies in an appreciation of some core principles of interpersonal perception and, in particular, of some common potential mistakes in this regard.

• Selective perception. Our brains cannot process all of the information which our senses pick up so we instead select particular objects – or aspects of people for attention. We furthermore attribute positive or negative characteristics to the stimuli: known as the ‘halo’ and ‘horns’ effect respectively. For example, an interviewee who has a large coffee stain on their clothing, but is otherwise well-presented, may have difficulty creating a positive overall impression despite the fact that it might be that their desire for the new job that resulted in nervousness and clumsiness.
• Self-centred bias. A recruiter should avoid evaluating a candidate by reference to himself or herself because this may be irrelevant to the post in question and run the risks of a ‘clone effect’ in a changing business environment. The sentence ‘I was like you 15 years ago’ may be damaging in a number of respects and should not be the basis for employment in most situations.
• Early information bias. We often hear apocryphal stories of interview panels making very early decisions on candidates’ suitability and spending the remaining time confirming that decision. Mythical though some of these tales may be, there is a danger of over-prioritising early events - a candidate who trips over when entering an interview room may thus genuinely be putting themselves at a disadvantage.
• Stereotyping. This is a common short cut to understanding an individual’s attributes, which is a difficult and time-consuming process, because we are all unique and complex beings. The logic of stereotyping attributes individuals’ characteristics to those of a group they belong to - for example, the view that because Italians are considered to be emotional, an individual Italian citizen will be too. Stereotypes might contain elements of truth; on the other hand they may be entirely false since we are all unique. Everyone is different from everyone else. Stereotyping may well be irrelevant, therefore, and if acted on, also discriminatory.

It should be stressed that these, and other, perceptual errors are not inevitable and can be overcome. Many HR professionals study subjects like organisational behaviour as part of their career qualifications in which they are made aware of the dangers of inaccurate perception. Nonetheless, it remains the case that an understanding of this subject area is an important building block to effective recruitment and selection.

Taking a Staged Approach

Much prescriptive writing on recruitment and selection advocates viewing the process as sequential with distinct and inter-linked stages. This model is referred to as the resourcing cycle. The resourcing cycle begins with the identification of a vacancy and ends when the successful candidate is performing the job to an acceptable standard: ie post-selection. It is a two-way process. Organisations are evaluating candidates for a vacancy, but candidates also observe the organisation as a prospective employer. Conducting the process in a professional and timely manner is necessary for normal effectiveness in helping to ensure that not only is the ‘best’ candidate attracted to apply and subsequently accepts the post, but also that unsuccessful candidates can respect the decision made and possibly apply for future vacancies, along with other suitable candidates.

The first step in the recruitment process is to decide that there is a vacancy to be filled. Increasingly a more strategic and questioning approach may be taken. If, for example, the vacancy arises because an employee has left, managers may take the opportunity to review the work itself and consider whether it could be undertaken in an alternative way. For example, could the work be done on a part-time, job-share or flexi-time basis? Alternatively, could the job could be automated? The financial services sector in the UK provides one example of where technological developments have resulted in both significant job losses and changed patterns of work since 1990.

On the assumption that a post does need to be filled it will be necessary to devise specifications. Whether a competency-based approach (this concept will be defined later in the chapter) or the more traditional method of formal job descriptions and person specifications is chosen, a CIPD report (2007c) notes that specifications need to reflect the duties and requirements of the job along with the skills, aptitudes, knowledge, experience, qualifications and personal qualities that are necessary to perform the job effectively. Consideration should also be given to how the recruiter intends to measure and elicit information regarding those skills. Are they essential to job performance or merely desirable, and can they be objectively measured?

Attracting Candidates

The next stage in the recruitment cycle is the attraction of candidates, as one important objective of a recruitment method is to produce an appropriate number of suitable candidates within reasonable cost constraints. Pilbeam and Corbridge (2006, p 151) note that ‘There is no ideal number of applications and no intrinsic value in attracting a high volume of candidates.’ Neither is there a single best way to recruit applicants. Rather the chosen recruitment medium needs to ensure that there are a sufficient number of suitably qualified candidates from which to make a selection without being overwhelmed with large numbers of unsuitable applications. Using a recruitment agency to find a small number of suitable candidates, particularly for senior or specialised posts, may prove a significantly more cost-effective and efficient method than a major advertising campaign which generates a large response from unsuitable candidates. The choice of method will also be influenced by the availability of candidates – that is, is there likely to be a shortage or surplus of candidates? For example, in the period around 2005 there was a large pool of Polish migrant workers wanting to work in Britain, but within four or five years this had significantly diminished as employers found some applicants were being more selective, while other potential Polish workers had returned home after the financial and economic crisis took hold in the UK after 2008.

 Reflective Activity

Look at the recruitment section of your local newspaper. What sort of vacancies are typically advertised here? Compare and contrast these with the types of vacancies advertised in broadsheet newspapers such as The Times or Daily Telegraph. What indicators are there in the wording of advertisements as to whether there is a surplus or shortage of candidates?

Which method of recruitment should be adopted? There is no single best way, and a contingency approach involving an analysis of what might be effective in particular circumstances is advocated: ie ‘it all depends’.

Some organisations, for example in the local government sector, will always advertise all vacancies to ensure equality of opportunity whilst manufacturing organisations tend to rely on recruitment agencies (CIPD, 2007c). Human resources professionals should carefully consider and review which methods have been most effective in the past and which method or methods would be most appropriate for the current vacancy. They should also, critically, keep new methods under review, including, for example, the growing trend towards Internet-based recruitment.

Selection

One of the last stages in recruitment and selection is selection itself, which includes the choice of methods by which an employer reduces a short-listed group following the recruitment stage, leading to an employment decision. For most people, this is the only visible stage of the resourcing cycle because their experience of it is likely to be as a subject – or candidate – rather than involvement in planning the entire process. While recruitment can be perceived as a positive activity generating an optimum number of job-seekers, selection is inherently negative in that it will probably involve rejection of applicants.

It would be prudent to argue that selection decisions should be based on a range of selection tools as some have poor predictive job ability. While it is almost inconceivable that employment would be offered or accepted without a face-to-face encounter, many organisations still rely almost exclusively on the outcome of interviews to make selection decisions.

To have any value, interviews should be conducted or supervised by trained individuals, be structured to follow a previously agreed set of questions mirroring the person specification or job profile, and allow candidates the opportunity to ask questions. The interview is more than a selection device. It is a mechanism that is capable of communicating information about the job and the organisation to the candidate, with the aim of giving a realistic job preview, providing information about the process, and thus can minimise the risk of job offers being rejected. Organisations seeking high performance in their selection processes should therefore give considerable attention to maximising the uses of the interview and, ideally, combine this method with other psychometric measures where appropriate.

Validity of Selection Methods

It may appear self-evident that organisational decision-makers will wish to ensure that their recruitment (and in this case) selection methods are effective. We have already suggested, however, that making judgements on an individual’s personal characteristics and suitability for future employment is inherently problematic and that many ‘normal’ selection methods contain significant flaws. There is also the question of what is meant by the terms ‘reliability’ and ‘validity’ when applied to recruitment and selection.

Reliability in the context of workforce selection can refer to the following issues:

• Temporal or ‘re-test’ stability where the effectiveness of a selection tool is assessed by consistency of results obtained over time. An individual could for example complete a personality inventory or intelligence test at different times over a period of several years, although in the latter case it would be important to isolate the impact of repeated practice on results.
• Consistency – that is, does the test measure what it sets out to? Some elements of IQ tests have for example been criticised for emphasising a person’s vocabulary which might in turn be influenced by their education and general background rather than by their innate intelligence.

Validity in this area is typically subdivided into the following aspects:

• Face validity has an emphasis on the acceptability of the selection measure, including to the candidate himself or herself. For example, it is possible (although extremely unlikely) that there is a correlation between a person’s hat size and his/her job competence. However, you would be reluctant to measure candidates’ heads as part of their selection due to their probable scepticism at the use of this measure.
• Content validity refers to the nature of the measure and in particular its adequacy as a tool. For example, the UK driving test could be criticised for not assessing ability in either night driving or travelling on motorways.
• Predictive validity centres on linkages between results or scores on a selection measure and subsequent outcome – most commonly, job performance at a future point. Here it is important to identify when the comparison will be made – ie immediately in the case of a simple job requiring little training, or more commonly, at an intermediate point, possibly after a suitable probationary period.

We argue here that validity, along with fairness, should be the overriding indicator of a selection method for high performance organisations and that it is important to obtain sophisticated data on validity in all its forms. Pilbeam and Corbridge (2006, p 173) provide a summary of the predictive validity of selection methods based on the findings of various research studies.

1.0	Certain prediction
0.9
0.8
0.7	Assessment centres for development
0.6	Skilful and structured interviews
0.5	Work sampling Ability tests
0.4	Assessment centres for job performance Biodata Personality assessment
0.3	Unstructured interviews
0.2
0.1	References
1.1	Graphology Astrology

However, they suggest that these validity measures should be treated with caution because they can be affected by the performance indicators used, and by the way the tools were applied. They indicate nonetheless both variability between measures and some overall degree of uncertainty when predicting future work performance during the selection process.

While it is recommended that validity should be the prime factor in choosing selection tools, it would be naïve not to recognise that other factors such as cost and applicability may be relevant. How practical, therefore, is it to conduct any particular measure? As indicated earlier, an organisation aiming for high performance is recommended to adopt valid measures as opposed to merely practical or less costly ones. Again, one should recognise that recruitment and selection is contingent upon other factors such as the work itself. A ‘high performance’ organisation in the fast-food industry may legitimately decide not to adopt some relatively valid but expensive methods when selecting fast-food operatives. It should be noted that the oft-derided method of interviewing can in reality be a relatively valid method if conducted skilfully and structured.

Recruitment and Selection: Art or Science?

Systematic models of recruitment and selection based on a resourcing cycle should not necessarily imply that this process is underpinned by scientific reasoning and method. As we have seen, Pilbeam and Corbridge note that even the most valid methods fall some way short of complete predictive validity. Thompson and McHugh (2009) go further, taking a critical view on the general use and, in particular, the validity of employee selection methods. In commenting on the use of personality tests in selection, these authors state that in utilising such tests employers are essentially ‘clutching at straws’ and on this basis will probably use anything that will help them make some kind of systematic decision. These authors identify now discredited selection methods, such as the use of polygraphs to detect lying and other methods such as astrology, which are deemed more appropriate in some cultures than in others. It is indeed important to keep in mind that today’s received wisdom in the area of recruitment and selection, just as in the management canon more generally, may be criticised and even widely rejected in the future.

The process of recruitment and selection continues nonetheless to be viewed as best carried out via sequential but linked stages of first gathering a pool of applicants, a screening-out process, followed by the positive step of actual selection. This apparently logical ordering of the activities is largely viewed as essential to achieve minimum thresholds of effectiveness.

Induction and Transition

It is not always the case that selected employees are immediately capable of performing to the maximum level on their allotted job(s): important stages in the resourcing cycle occur post-selection. Many organisations when selecting are making a longer-term prediction of a new employee’s capability. This accounts for many organisations’ imposing a probationary period in which employees’ performance and future potential can be assessed in the work setting. The resourcing cycle extends into this post-selection phase and the induction period and early phases of employment constitute a critically important part of both successful integration into the workplace culture and development as a fully functioning worker. The final stage of the resourcing cycle involves evaluation of the process and reflection on lessons learned from the process and their implications for the future.

Recruitment Costs

A concern with effectiveness in recruitment and selection becomes all the more important when one considers the costs of getting things wrong. We begin with apparent costs, which centre on the direct costs of recruitment procedures, but one might also consider the so-called opportunity costs of engaging in repeated recruitment and selection when workers leave an organisation. An excessive preoccupation with recruitment and selection will divert a manager from other activites he or she could usefully be engaged in. It is also useful to consider the ‘investment’, including training resources, lost to the employer when a worker leaves prematurely. The CIPD survey report Recruitment, Retention and Turnover (2009d) estimates the average direct cost of recruitment per individual in the UK in 2009 as £4,000 – increasing to £6,125 when organisations are also calculating the associated labour turnover costs. For workers in the managerial and professional category, these costs were considerably higher: £7,750, rising to £11,000.

Implicit costs are less quantifiable and include the following categories:

• Poor performance
• Reduced productivity
• Low-quality products or services
• Dissatisfied customers or other stakeholders
• Low employee morale.

The implicit costs mentioned here are, in themselves, clearly undesirable outcomes in all organisations. In high-performing organisations ‘average’ or ‘adequate’ performance may also be insufficient and recruitment and selection may be deemed to have failed unless workers have become ‘thinking performers’.

Contemporary Themes in the Recruitment and Selection

The Competency Approach

Typically decisions on selecting a potential worker are made primarily with a view to taking on the most appropriate person to do a particular job in terms of their current or, more commonly, potential competencies. In recent years this concept has been extended to search for workers who are ‘flexible’ and able to contribute to additional and/or changing job roles. This approach contrasts with a more traditional model which involves first compiling a wide-ranging job description for the post in question, followed by the use of a person specification, which in effect forms a checklist along which candidates can be evaluated on criteria such as knowledge, skills and personal qualities. This traditional approach, in essence, involves matching characteristics of an 'ideal' person to fill a defined job. There is a seductive logic in this apparently rational approach. However, there are in-built problems in its application if judgements of an individual’s personality are inherently subjective and open to error and, furthermore, if these personal characteristics are suited to present rather than changing circumstances.

The competencies model in contrast, seeks to identify abilities needed to perform a job well rather than focusing on personal characteristics such as politeness or assertiveness. Torrington et al (2008, p 170) identify some potentially important advantages of referring to competencies in this area noting that:

‘they can be used in an integrated way for selection, development, appraisal and reward activities; and also that from them behavioural indicators can be derived against which assessment can take place.’

Competency-based models are becoming increasingly popular in graduate recruitment where organisations are making decisions on future potential. Farnham and Stevens (2000) found that managers in the public sector increasingly viewed traditional job descriptions and person specifications as archaic, rigid and rarely an accurate reflection of the requirements of the job. There is increasing evidence that this popularity is more widespread. A CIPD report (2007c) found that 86 per cent of organisations surveyed were now using competency-based interviews in some way; and in another survey, over half of employers polled had started using them in the past year (William, 2008). It is suggested that the competency-based model may be a more meaningful way of underpinning recruitment and selection in the current fast-moving world of work and can accordingly contribute more effectively to securing high performance.

Flexibility and Teamwork

Many commentators refer to significant changes in the world of work and the implications these have for the recruitment and selection of a workforce.

Searle (2003, p 276) notes that:

‘Increasingly employees are working in self-organised teams in which it is difficult to determine the boundaries between different jobholders’ responsibilities. The team undertakes the task and members co-operate and work together to achieve it. Recruitment and selection practices focus on identifying a suitable person for the job, but ... isolating a job’s roles and responsibilities may be difficult to do in fast-changing and team-based situations.’

There is here an implication both that teamworking skills could usefully be made part of employee selection and also that an individual’s job specification should increasingly be designed and interpreted flexibly. It can plausibly be posited that we now inhabit a world of work in which unforeseen problems are thrown up routinely and on an ongoing basis and where there is seldom time to respond to them in a measured fashion (Linstead et al, 2009). In this type of business environment, decisions made can be ‘rational’ in terms of past practice and events but may in fact be revealed to be flawed or even obsolete when they are made in the new context.

If we accept this analysis of work in the 21st century, there is therefore an implication that organisations aiming for high performance may need to use selection methods which assess qualities of flexibility and creative thinking (irrespective of whether they are using a traditional or competency recruitment and selection model). Of course, many jobs may still require task-holders to work in a predictable and standardised way, so one should exercise caution when examining this rhetoric. Interestingly, however, recruitment and selection practices should themselves be kept under constant review if we accept the reality of a business world characterised by discontinuous, rather than incremental, change.

Case Study

An Alternative Approach: "Talent Puddles" at Nestlé

Many organisations are faced with the problem of how to create a pool of talent from which to select candidates. Jobs requiring specialist skills and knowledge can often take several months and considerable costs to fill, yet often suitable candidates have slipped through the organisations net because there wasn’t a vacancy at that particular time. Creating ‘talent pools’ or databases of good applicants is one way organisations have tried to keep potential candidates interested but in many cases this has been no more than keeping CVs on file which are never referred to or seen again. Nestlé, the large global food and beverage manufacturer, has taken a more radical approach to managing talent by creating ‘talent puddles’. Whilst these are similar to talent pools, Nestlé’s approach has focused on creating a talent bank in specific areas of the business where there is a shortage of skilled applicants. Talent puddles focus on ‘talent gaps’ – specific jobs and difficult-to-fill roles – by creating a small puddle of talent that can be readily brought into the business, thus reducing the costs and speeding up the recruitment process.

The initiative began with the supply chain function which now contains 120 shortlisted candidates and has placed eight people but has since been extended to other areas of the business. This approach to resourcing has also changed the recruiters’ role. A significant portion of their time is now spent calling people and sifting through CVs from the talent puddle. When people apply, recruiters look at the quality of the applications and assess what level/grade they are operating at, ranking and recording them accordingly. Candidates are met and interviewed by the recruitment team and line managers before being placed in the talent puddle. One could argue that in effect the organisation has created its own internal recruitment agency and there is no doubt that this approach has significantly reduced the company’s reliance on recruitment agencies over the past five years. However, just like recruitment agencies, one could also question how you keep 120 highly skilled potential candidates interested if you don’t have an actual vacancy.

Adapted from CIPD Annual Survey Report 2007(c) Recruitment, Retention and Turnover, p 10. London: CIPD.

Recruiting in the Virtual World

The rise in the use of the Internet is probably the most significant development in the recruitment field in the early 21st century. Various surveys (CIPD, 2007c; IRS, 2008) now suggest that this is fast becoming employers’ preferred way of attracting applicants. For example, 75 per cent of companies are now using their corporate website as their most common method (along with local newspaper advertising) of attracting candidates (CIPD, 2007). There is, however, little evidence that the Internet produces better-quality candidates, but it does deliver more of them and more employers report that online recruitment made it easier to find the right candidate (Crail, 2007). Candidates themselves are increasingly choosing this medium to search for jobs, with 89 per cent of graduates only searching online for jobs (Reed Employment, reported in People Management, 20 March 2008).

The benefits of online recruitment to employers include the speed, reduced administrative burden and costs, and no geographical limits. The benefits to applicants are that it is easier, faster and more convenient to post a CV or search a job site online than to read a selection of printed media (Whitford, 2003). his is all very well if you have skills that are highly in demand, but if employers are tending to post vacancies on their own websites, candidates still have to trawl the web in order to find vacancies and even ‘web savvy’ applicants may be deterred by the perceived impersonal nature of online recruitment. Also there are still some people who are either not comfortable using the Internet or do not have ready access to a computer. Thus there is still a role then for conventional advertising (IDS, 2006).

Whatever the pros and cons, online recruitment continues to expand and employers are now combining more traditional methods with online recruitment by using printed adverts to refer jobseekers to an Internet vacancy (Murphy, 2008). Other employers such as Microsoft are enhancing its brand visibility and credibility by having a wider Internet recruitment presence. Microsoft uses its online tools to impact and influence its public image and reach a broader audience and thus create a diverse workplace with varied skills and talents. One initiative is the introduction of ‘corporate recruitment blogs’. The idea is that potential job candidates may be attracted to the company through what they see on the blog and make contact through the specific blogger who will initiate the recruitment process on behalf of the company (Hasson, 2007). See also the Cadbury Schweppes example below.

Reflective Activity

Is online chat the way forward with recruitment?

Graduates today have a higher expectation of being able to use social networking as a primary source of information and communication. In response to this Cadbury Schweppes launched its 2008 UK graduate recruitment campaign with a new online chatroom to give potential applicants the chance to interact with the company’s current graduates The confectionary giant has created an easy-to-use site that allows potential graduates the opportunity to chat online and put questions to its graduate recruitment team. The site builds on the success the company had with its graduate blogs in 2005 and MP3 downloads in 2006. Chatroom sessions are advertised on the firm’s graduate recruitment calendar and the team have about eight hours of online dedicated chat to interested graduates (Berry, 2007). Would you use an employer’s chatroom?

Fairness in Recruitment and Selection

One factor shared by both traditional and competence models of recruitment and selection is that both are framed by an imperative to take on the most appropriate person in terms of their contribution to organisational performance. This is, of course, unsurprising given the preoccupation of organisations in all sectors with meeting objectives and targets. However, when we consider what is meant by making appropriate selection decisions, other factors, including fairness, can also be seen to be important.

Decisions made in the course of a recruitment and selection process should be perceived as essentially fair and admissible to all parties, including people who have been rejected. There is evidence to support the view that applicants are concerned with both procedural justice - that is, how far they felt that selection methods were related to a job and the extent to which procedures were explained to them – and distributive justice, where their concern shifts to how equitably they felt they were treated and whether the outcome of selection was perceived to be fair (see Gilliland, 1993).

Fairness in this regard can be linked to the actual selection methods used. Anderson et al (2001) found that interviews, resumes, and work samples were well-regarded methods, while handwriting tests (graphology) were held in low regard. Personality and ability tests received an ‘intermediate’ evaluation. This is linked to the concept of face validity: how plausible and valid does the method used appear to the candidate under scrutiny? It is reasonable to suggest that employers should take care in choosing selection methods in order to maintain credibility among applicants as well, of course, as assessing the predictive value of the methods.

Fairness in selection also extends to the area of discrimination and equal opportunities, as we saw in Chapter 4. In the UK, for example, current legislation is intended to make unlawful discrimination on the grounds of age, race, nationality or ethnic origin, disability, sex, marital status and sexual orientation. The law identifies both direct discrimination, where an individual is treated less favourably on the sole grounds of their membership of a group covered in the relevant legislation, and indirect discrimination which occurs when a provision applied to both groups disproportionately affects one in reality. The Equality and Human Rights Commission highlights headhunting as one area in which indirect discrimination may occur. Headhunters may, in approaching individuals already in jobs, contravene this aspect of the law if existing jobs are dominated by one sex or ethnic group, for example. Compliance with equal opportunities legislation provides one example of performance infrastructure and would, it is surmised, reap business benefits - ie recruiting from the truly qualified labour pool and avoiding negative outcomes such as costly and reputation-damaging legal processes.

High-performance organisations may seek to go beyond the compliance approach and work towards a policy or even strategy of managing diversity (see also Chapter 11). As defined by the CIPD (2006) a managing diversity approach:

It is thus important to ensure such a policy is operationalised in the field of recruitment and selection because staff involved in this activity can be said to act as ‘gatekeepers’ of an organisation.

Case Study

Opportunities for All At ASDA

The following statement is an extract from the ‘Opportunities for All’ section of Asda’s corporate website, accessed September 2004.

At ASDA we endeavour to discriminate only on ability and we recognise that our organisation can be effective if we have diverse colleague base, representing every section of society.

We want to recruit colleagues and managers who represent the communities in which we operate and the customers we serve.

Ethnic minorities

We have been working at all levels to make sure that ethnic minorities are represented across all levels of our business and we operate a policy of Religious Festival Leave so that any colleague can apply to take up to two days unpaid leave to attend their Religious Festival.

Women

We recognise that there are mutual benefits in making sure we employ women in our workplace. Besides our equal opportunities recruitment policy we have a number of other initiatives which support our commitment, particularly our flexible working practices which include job shares and part time working at all levels, parental leave, shift swaps and career breaks.

Disability

It is our aim to make sure that our stores are accessible for disabled people to both work and shop in. As a company we have been awarded the Two Tick symbol and we have a good working partnership with Remploy and we work together to help disabled people get back into the work place. We offer people with disabilities a working environment which is supportive and we operate an equal opportunities policy on promotion.

If, due to your disability, you need some help whether completing your application form or during the interview process, please contact the people manager in your local store or depot who will be pleased to help.

Age

The proportion of older people in the population is steadily Increasing and we’re seeing this reflected in the age profile of our workforce. We want to encourage the recruitment and retention of older, experienced colleagues, many of whom welcome the opportunity to work beyond the traditional retirement age, to work flexibly and enjoy a phased retirement.

We’ve been encouraging stores and depots to recruit more mature colleagues or ‘Goldies’ and in one new store in Broadstairs we opened with over 40 per cent of our colleagues aged so or over. And we have seen a reduction in both labour turnover and absence well below average in the store.

To further reinforce our commitment we also offer a number of flexible working schemes such as Benidorm Leave where older colleagues can take three months unpaid leave between January and March, or grandparents leave where colleagues who are grandparents take up to a week off unpaid to look after a new arrival.

Used with the kind permission of ASDA Ltd.

Questions

1. To what extent does this statement from Asda’s website indicate that his organisation has a strategy fur diversity management? What has led you to your conclusion?
2. How do Asda seek to safeguard their ‘Opportunities for All’ policy the area of recruitment and selection?
3. Produce a statement for use by companies setting out employment policy in the area of age discrimination and indicate how this could take effect in the recruitment and selection of workers.

The Extent of Professional Practice

Small and Medium-Sized Enterprises

There is evidence to suggest that many human resources management (HRM) practices often prescribed in the academic literature are more common in some sectors of business than others, and that the small and medium-sized enterprises (SME) group, in particular, are less likely to have in-house HR expertise and sophisticated systems in place (Cully et al, 1999). A study carried out by Cassell et al (2002) in SMEs in the north of England focused on both the use and perceived value (by employers) of a range of HRM procedures. In the area of recruitment and selection, only 31 per cent of firms in the sample used wide-ranging employee development and recruitment and selection procedures. Interestingly, 38 per cent of the sample questioned said that they did not use recruitment and selection procedures at all. In the companies that did make use of them, 50 per cent found that the procedures helped ‘entirely’ or ‘a lot’ in over half of the instances in which they are used. This is some way from the picture of widespread use and the assumed universal benefits conveyed in some sources.

The reality of the context faced by managers of SMEs will cause them to frame their responses in an entirely understandable way, and prescriptive ‘textbook style’ approaches may be viewed as inappropriate. It would, of course, be as damaging for SMEs as for any other organisation if a lack of ‘high-quality’ practices in recruitment and selection were seen to inhibit performance and, indeed, SMEs have often been criticised for the lack of a proactive and integrated approach to managing people. However, any assumption that universally applicable approaches to recruitment and selection are needed may ignore the distinctive processes and practices faced by particular organisations.

Reflective Activity

Lack of skill a major factor in UK recruitment and selection difficulties

A CIPD survey (2008c) reported that 86 per cent of British organisations were having difficulty filling vacancies in spite of the financial and economic crisis which hit I that year. In part, this was the result of a ‘skills crunch’ with 70 per cent of the research sample citing a lack of necessary candidate skills as the main reason for recruitment difficulties. However, only half of the surveyed companies had a formal resourcing strategy to counter the skills-gap problem and struggles to recruit top talent.

Deborah Femon of the CIPD also pointed to the importance of the retention of talented workers, noting that ‘Organisations should have a look at their learning and development strategies which can help met the business demands in two ways. Firstly, those employers who have development opportunities are more likely to stay, which reduces turnover. Secondly, a good learning and development culture will foster a strong employer brand, helping to attract key talent.’

This research highlights the importance of referring to contemporary evidence when analysing recruitment and selection in general terms, and also points to the importance of the post-selection phase in retaining staff.

Recruitment and Selection: A Contingency Approach

The underlying principle that organisational policies and practices need to be shaped within a particular context is often referred to as the contingency approach. The argument put forward within this viewpoint is that successful policies and strategies are those which apply principles within the particular context faced by the unique organisation.

One example of a ‘contingent factor’ which can impact upon recruitment and selection is national culture. French (2010) draws attention to important cross-cultural differences in the area. For example, different cultures emphasise different attributes when approaching the recruitment and selection of employees. It is also the case that particular selection methods are used more or less frequently in different societies – see also Perkins and Shortland (2006). So in individualistic cultures such as the USA’s and UK’s, there is a preoccupation with selection methods which emphasise individual differences. Many psychometric tests can indeed be seen to originate from the USA. Furthermore, in a society which emphasises individual achievement as opposed to ascribed status (eg through age or gender), one might expect a raft of legislation prohibiting discrimination against particular groups. Here the expectation is that selection should be on the basis of individual personal characteristics or qualifications. This may contrast with more collectivist societies, for example China, where personal connections may assume a more prominent role. Bjorkman and Yuan (1999) conducted one of several studies which reached this overall conclusion. It may also be true that selection methods are given varying degrees of face validity in different societies. A CIPD survey (2004c) on graphology discovered that while relatively few companies in the UK used graphology as a trusted method of selecting employees, its adoption was far more widespread, common and therefore accepted in other countries, including France.

In summary, the contingency approach with the underlying message that managing people successfully depends on contextual factors – ‘it all depends’ can readily be applied to the area of recruitment and selection. The increasingly large number of organisations operating across national boundaries, or who employ workers from different cultural backgrounds, can benefit from formulating policies within an awareness of cultural difference.

Recruitment and Selection and Organizational Culture

It is unsurprising that the culture of a particular work organisation will influence selection decisions, with recruiters both consciously and unconsciously selecting those individuals who will ‘best fit’ that culture. In some organisations recruitment policy and practice is derived from their overall strategy which disseminates values into the recruitment and selection process. Mullins (2007, p 727) provides the example of Garden Festival Wales, an organisation created to run for a designated and short time-period. This organisation’s managers were particularly concerned to create a culture via recruitment of suitable employees. This is an interesting example because this organisation had no prior history and it indicates the power of recruitment and selection in inculcating particular cultural norms.

Other research has demonstrated that individuals as well as organisations seek this ‘best fit’, providing evidence that many individuals prefer to work in organisations that reflect their personal values. Judge and Cable (1997) and Backhaus (2003) found that job-seekers may actively seek a good ‘person-organisation fit’ when considering prospective employers. This, of course, provides further support for the processual two-way model of recruitment and selection. However, justifying selection decisions on the basis of ‘cultural fit’ means that there are ethical issues to consider in terms of reasons for rejection: are organisations justified in determining who does and does not ‘fit’? It may be that practical concerns also emerge – for example, in the danger of maintaining organisations in the image of current role models – which may be inappropriate in the future. Psychologists have also long recognised the threat posed by ‘groupthink’ where innovation is suppressed by a dominant group and an ‘emperor’s new clothes’ syndrome develops, with individuals reluctant to voice objections to bad group decisions.

Reflective Activity

Return to the IKEA case study at the start of this chapter.

IKEA put great stress upon recruiting employees who will complement their organisational culture.

• What are the potential benefits of selecting a workforce in terms of an organisation’s culture?
• What are the philosophical and practical arguments against selection based on values and work culture?

Conclusion

This chapter indicates the key importance of recruitment and selection in successful people management and leadership. An awareness of issues and concepts within this area is an important tool for all those involved with leading, managing and developing people – even if they are not human resource managers per se. A recognition of the importance of this aspect of people management is not new, and ‘success’ in this field has often been linked with the avoidance of critical failure factors including undesirable levels of staff turnover and claims of discrimination from unsuccessful job applicants.

It has been argued here that it is also possible to identify aspects of recruitment and selection which link with critical success factors in the 21st century context, differentiating organisational performance and going some way to delivering employees who can act as ‘thinking performers’. It is proposed, for example, that a competencies approach focusing on abilities needed to perform a job well may be preferable to the use of a more traditional matching of job and person specifications. In addition, many organisations may increasingly wish to identify qualities of flexibility and creative thinking among potential employees, although this may not always be the case; many contemporary jobs do not require such competencies on the part of jobholders. It is also the case that organisations should be preoccupied with the question of validity of selection methods, ideally combining methods which are strong on practicality and cost, such as interviewing, with other measures which are more effective predictors of performance. It is maintained, finally; that a managing diversity approach, welcoming individual difference, may enhance organisational performance and create a climate in which thinking performers can emerge and flourish.

However, it is maintained that a contingency approach to recruitment and selection, recognising that organisational policies and practices are shaped by contextual factors, remains valid, and that ‘effectiveness’ in recruitment and selection may vary according to particular situational factors. In this regard it is noted that cultural differences could be an important factor in predicting the relative success of recruitment and selection measures.

Key Learning Points

• Managers involved in the recruitment and selection of workers have a key ‘gatekeeper’ role in giving or denying access to work.
• Effective recruitment and selection is characterised by a knowledge of social science topics such as perception.
• A stage logical approach to recruitment and selection, seeing it as a process, is recommended.
• We should examine the validity of different selection methods.
• Fairness is a fundamentally important principle reflecting the ethnically loaded nature of activity.

Review Questions

1. Indicate with examples three ways in which recruitment and selection policies and practices can be used by an organisation aiming to develop staff as part of a talent management strategy.
2. Evaluate the evidence regarding the potential validity of biodata and personality assessment as tools for selecting employees.
3. What do you understand by the contingency approach to recruitment and selection? Provide two examples, from academic sources or your own experience, to illustrate this approach.

Explore Further

• Gilmore, S. and Williams, S. (2009) Human Resource Management. Oxford: Oxford University Press. Chapter 5 takes a themed approach to the topic of employee selection.
• Thompson, P. and McHugh, D. (2009) Work Organisations: A critical approach, 4th ed. Basingstoke: Palgrave Macmillan. In Chapter 19 entitled ‘Masks for Tasks’, the authors take a critical perspective on the topics of how we assess others’ attributes and how such perceptions are used in employee selection.
• Arnold, J. et al (2005) Work Psychology: Understanding human behaviour in the workplace 4th ed. Harlow: FT Prentice Hall. Chapter 5 provides a clear and interesting discussion of different selection techniques and their validity.

Benefits of having workplace policies

Well-written workplace policies:

• are consistent with the values of the organisation
• comply with employment and other associated legislation
• demonstrate that the organisation is being operated in an efficient and businesslike manner
• ensure uniformity and consistency in decision-making and operational procedures
• add strength to the position of staff when possible legal actions arise
• save time when a new problem can be handled quickly and effectively through an existing policy
• foster stability and continuity
• maintain the direction of the organisation even during periods of change
• provide the framework for business planning
• assist in assessing performance and establishing accountability
• clarify functions and responsibilities.

Developing and introducing workplace policies

Step 1 – Management Support

It is crucial to have senior management support for the implementation or modification of a policy, especially where policies relate to employee behaviour. The endorsement and modelling of the behaviour by senior managers and supervisors will encourage staff to take the policies seriously. While management support for a policy is an important first step before actively seeking employee feedback on a proposed policy, the idea for the policy and some of its details may in fact come from staff.

Step 2 - Consult with staff

Involve staff in developing and implementing workplace policies to promote stronger awareness, understanding and ownership of the outcome. Staff involvement also helps to determine how and when the policies might apply, and can assist in identifying possible unintentional outcomes of the policy.

Step 3 - Define the terms of the policy

Be explicit. Define key terms used in the policy at the beginning so that employees understand what is meant. The policy should explain what is acceptable and unacceptable behaviour in the workplace. You may wish to include specific examples to illustrate problem areas or unacceptable types of behaviours. For example:

An individual shall be deemed to be under the influence of alcohol if he/she exceeds a blood alcohol level of 0.05% (0.02% for heavy vehicle drivers).

Be clear about who the policy applies to. For example, does it only apply to employees of the company or to contractors and sub-contractors engaged to perform work on business premises? This is particularly important, for example, with occupational health and safety which covers everyone in the workplace.

The policy may also need to contain information about what to do if it is not possible to follow the policy. For example, if you have a policy relating to punctuality, you may need to include a procedure outlining what to do if the employee is going to be late.

The policy should also contain procedures to support the policy in its operation, such as the implications for not complying with the policy.

Example 1: Occupational health and safety

No employee is to commence work, or return to work while under the influence of alcohol or drugs. A breach of this policy is grounds for disciplinary action, up to and including termination of employment.

Example 2: Email policy

Using the organisation's computer resources to seek out, access or send any material of an offensive, obscene or defamatory nature is prohibited and may result in disciplinary action.

Step 4 - Put the policies in writing and publicise them

To be effective, policies need to be publicised and provided to all existing and new employees. This includes casual, part-time and full-time employees and those on maternity leave or career breaks.

Policies should be written in plain English and easily understood by all employees. Consider translating the policies into the appropriate languages for employees whose first language is not English.

Ensure all staff understand what the policies mean. Explain how to comply with the policies and the implications of not complying.

Step 5 - Training and regular referral

The policies may be explained to staff through information and/or training sessions, at staff meetings and during induction sessions for new staff. They should also be reiterated and discussed with staff regularly at staff meetings to ensure they remain relevant.

Copies of policies should be easily accessible. Copies may be kept in folders in a central location or staff areas, in staff manuals and available on the organisation's intranet system.

Step 6 – Implementation

It is important that policies are applied consistently throughout the organisation. A breach of a policy should be dealt with promptly and according to the procedures set out in the policy. The consequence of the breach should also suit the severity of the breach – whether it be a warning, disciplinary action or dismissal.

Step 7 - Evaluate and review

Review policies regularly to ensure they are current and in line with any changes within the organisation. Where policies are significantly changed they should be re-issued to all staff and the changes explained to them to ensure they understand the organisation's new directions. These changes should also be widely publicised.

Policy checklist

A workplace policy should:

• set out the aim of the policy
• explain why the policy was developed
• list who the policy applies to
• set out what is acceptable or unacceptable behaviour
• set out the consequences of not complying with the policy
• provide a date when the policy was developed or updated.

Policies also need to be reviewed on a regular basis and updated where necessary. For example, if there is a change in equipment or workplace procedures you may need to amend your current policy or develop a new one.

Employment law changes, changes to your award or agreement may also require a review of your policies and procedures. Stay up to date with relevant changes by regularly checking Fair Work Online [Fair Work Ombudsman]

Types of workplace policies

Here are some examples of common workplace policies that could assist your workplace:

• code of conduct
• recruitment policy
• internet and email policy
• mobile phone policy
• non-smoking policy
• drug and alcohol policy
• health and safety policy
• anti-discrimination and harassment policy
• grievance handling policy
• discipline and termination policy
• using social media.

The selection decision should be based on objective information gathered from the candidate’s application, any interviews and testing conducted as well as any reference and/or background checks

Candidate Selection, Decision and Offer

The selection decision

Once the selection processes are complete it is advisable to move quickly on the selection decision. Lengthy processes can result in candidates accepting other roles or losing interest in the role you are recruiting for.

There are two approaches that can be taken in making the final selection decision. You can reserve the decision until all selection processes are complete and look at each candidate’s performance and assessment in each of the processes. Alternatively, you can take a cumulative approach where decision are made at the completion of each individual selection process, gradually narrowing down the pool of candidates and selecting who to appoint from those who have survived all of the selection processes.

The selection decision should be based on objective information gathered from the candidate’s application, the interviews, any testing conducted and reference and background checks. The candidate that best addresses the selection criteria should be offered the position.

It is important to make the selection decision as soon as possible after the selection process has been completed. Do not allow the decision making process to drag out as, in a strong job market, high quality candidates may be in a position where they have more than one role offered to them.

The job offer

The initial job offer should be verbal and must be followed immediately by written confirmation of the job offer and the proposed terms of employment i.e. position title, salary, commencement date, any terms or conditions particular to the position. A full employment contract should then follow. For more information on how to develop contracts, please see our contract builder, in the Contracts section.

Unsuccessful candidates

All candidates for the role should be informed of the outcome of their application regardless of the stage in the selection process they reached. Any candidates who were spoken to on the phone or who attended an interview should be advised by phone so that feedback can be provided verbally. All other applicants can be e-mailed with a covering statement regarding the calibre of the candidates and details of the selection process undertaken.

For example:

“Thank you for your application for the receptionist role. A large number of high calibre applications were received for this position. The successful candidate was selected due to their extensive experience in similar roles within the industry. Thank you for taking the time to apply and we wish you well in your job search.”

Do not inform other preferred candidates that they have been unsuccessful in obtaining the role until the first preferred candidate has accepted the job offer. If the first preferred candidate does not accept the job offer, then the selectors can still consider other preferred candidates for the position.

Developing HR policies and procedures

Policies and procedures should be lawful and reasonable directions from you to your employees. Remember to tailor the policies and procedures to your workplace. This will ensure you and your business are better protected.

Develop a policy in 5 steps

• Identify the need—what is the policy addressing?
• Gather information—read about the legal responsibilities relating to the topic and search online for free templates or examples
• Draft the policy—it should consider everyone who will use the policy and be
  • Clear
  • Concise
  • Specific
  • Simple enough for all involved to understand.
• Consult with employees—give employees the opportunity to consider and discuss the implications of the policy and to give their feedback.
• Review and finalise.

The most important HR policies

Where relevant, develop and implement policies to cover the following aspects of employment:

• Conduct (see guidelines below)
• Equal employment opportunity, discrimination, bullying and harassment
• Alcohol and other drugs
• Workplace health and safety
• Grievances or complaints
• Internet and email use
• Leave, including parental leave
• Performance counselling and discipline
• Privacy
• Social media (see our social media workplace guidelines template)
• Use of motor vehicles
• Working from home/telecommuting.

Establishing a code of conduct

A code of conduct is an important HR policy that outlines the standards of behaviour expected by your business of every employee. The code of conduct should be written down to give clear instructions about what employees can and can't do in the workplace.

Common topics to cover in a code of conduct include:

• Ethical principles—includes guidelines for appropriate and respectful workplace behaviour
• Values—refers to what is held as important, for example, an honest, fair and inclusive work environment
• Accountability—focuses on taking responsibility for one's actions, using information appropriately, being diligent, meeting duty-of-care obligations and avoiding conflicts of interest
• Standard of conduct—includes complying with the job description, commitment to the organisation and acceptable computer, internet and email usage
• Standard of practice—includes current policies and procedures and business operational manual
• Disciplinary actions—includes complaints handling and specific penalties for any violation of the code.

Customise the topics in your code of conduct for your business. When writing or reviewing your code of conduct, remember to consult with your employees and stakeholders for their input.

Equal Employment Opportunity Policy
Policy Number	<Insert Number>	Version	<Insert Name>
Drafted By	<Insert Name>	Approved by Board on	<Insert Date>
Responsible Person	<Insert Name>	Scheduled Review Date	<Insert Date>

Introduction

[Name of Organisation] recognises that Equal Employment Opportunity is a matter of employment obligation, social justice and legal responsibility. It also recognises that prohibiting discriminatory policies and procedures is sound management practice.

This policy has been designed to facilitate the creation of a workplace culture that maximises organisational performance through employment decisions. These decisions will be based on real business needs without regard to non-relevant criteria or distinctions, and will ensure that all decisions relating to employment issues are based on merit.

Purpose

This policy is designed to ensure that [Name of Organisation] complies with all of its obligations under the relevant legislation.

Definitions

Discrimination consists of treating an individual with a particular attribute less favourably than an individual without that attribute or with a different attribute under similar circumstances. It can also involve seeking to impose a condition or requirement on a person with an attribute who does not or cannot comply, while people without that attribute do or can comply.

Equal Employment Opportunity consists of ensuring that all employees are given equal access to training, promotion, appointment or any other employment related issue without regard to any factor not related to their competency and ability to perform their duties.

Victimisation happens where an employee is treated harshly or subjected to any detriment because they have made a complaint of discrimination or harassment. Victimisation will also happen if a person is subjected to a detriment because they have furnished any information or evidence in connection with a discrimination complaint.

Policy

[Name of Organisation] is an equal opportunity employer and will provide equality in employment for all people employed or seeking employment.

Every person will be given a fair and equitable chance to compete for appointment, promotion or transfer, and to pursue their career as effectively as others.

Consistent with this, [Name of Organisation] will not condone, and regards as unfair, all forms of unlawful discrimination or vilification, including that which relates to:

• Gender;
• Pregnancy;
• Potential pregnancy;
• Marital/domestic status;
• Disability;
• Race, colour, national extraction, social origin, descent, and ethnic, ethno-religious or national origin;
• Age;
• Family responsibilities, family status, status as a parent or carer;
• Racial classification;
• Sexuality;
• HIV/AIDS vilification;
• Religious belief or activity;
• Political belief or activity;
• Industrial activity;
• Employer association activity;
• Trade union activity;
• Physical features;
• Breastfeeding;
• Transsexuality;
• Transgender;
• Profession, trade, occupation or calling;
• Medical record; and
• Criminal record.

In all cases no factors other than performance and competence are to be used as the basis for performance assessment, training and development opportunities and promotions.

This policy is to be used in conjunction with the Discrimination, Harassment and Affirmative Action policies.

Authorisation

<Signature of Board Secretary>
<Date of approval by the Board>
[Name of Organisation]

Equal Employment Opportunity Policy
Procedures Number	<Insert Number>	Version	<Insert Name>
Drafted By	<Insert Name>	Approved by CEO on	<Insert Date>
Responsible Person	<Insert Name>	Scheduled Review Date	<Insert Date>

Responsibilities

It is the responsibility of the CEO to ensure that:

• All managers understand and are committed to the principles and legislation relating to equal opportunity;
• These principles and that legislation are applied in the workplace;
• All decisions relating to appointment, promotion and career development are made without regard to any matters other than the individual’s inherent ability to carry out the job;
• The organisation provides an environment which encourages equal employment opportunity and sets an example by their own behaviour.

It is the responsibility of the [Human Resource Department] to ensure that:

• All managers, supervisors and staff are aware of their obligations, responsibilities and rights in relation to equal employment opportunity;
• Any matter which does not comply with the principles of equal employment opportunity are identified and addressed as promptly and sensitively as possible;
• Ongoing support and guidance is provided to all employees in relation to equal employment opportunity principles and practice.

It is the responsibility of all employees, contractors and volunteers to ensure that:

• They treat all colleagues and customers with respect and professionalism without regard to non-relevant criteria or distinctions.

Procedures

Managers must make all decisions relating to appointment, promotion and career development without regard to any matters, other than the individual’s inherent ability to carry out the position. Any concerns or queries should be directed to the Human Resources Department.

Employees who believe they are being treated unfairly as a result of discrimination should notify their manager or the Human Resources Department.

Related Documents

• Affirmative Action Policy
• Discrimination and Harassment Policy
• Sexual Harassment Policy
• Bullying Policy

Authorisation

<Signature of CEO>
<Name of CEO>
<Date>

Introduction

Introduction Recruitment is the process of finding and engaging the people the organization needs. Selection is that part of the recruitment process concerned with deciding which applicants or candidates should be appointed to jobs. Recruitment can be costly. The 2013 CIPD survey of resourcing and talent planning found that the average recruitment cost of filling a vacancy for a director or senior manager was £8,000 while for other employees it was £3,000.

The recruitment and selection process

The stages of recruitment and selection are:

1. Defining requirements.
2. Attracting candidates.
3. Sifting applications.
4. Interviewing.
5. Testing.
6. Assessing candidates.
7. Obtaining references.
8. Checking applications.
9. Offering employment.
10. Following up.

Defining requirements

The number and categories of people required may be set out in formal workforce plans from which are derived detailed recruitment plans. More typically, requirements are expressed as ad hoc demands for people because of the creation of new posts, expansion into new activities or areas, or the need for a replacement. These short-term demands may put HR under pressure to deliver candidates quickly. Requirements are set out in the form of role profiles and person specifications. These provide the information required to post vacancies on the company’s website or the internet, draft advertisements, brief agencies or recruitment consultants and assess candidates by means of interviews and selection tests.

Role profiles

Role profiles define the overall purpose of the role, its reporting relationships and the key result areas. For recruiting purposes, the profile is extended to include information on terms and conditions (pay, benefits and hours of work); special requirements such as mobility, travelling or unsocial hours; and learning, development and career opportunities. The recruitment role profile provides the basis for a person specification.

Person specification

A person specification, also known as a recruitment or job specification, defines the knowledge, skills and abilities (KSAs) required to carry out the role, the types of behaviour expected from role holders (behavioural competencies) and the education, qualifications, training and experience needed to acquire the necessary KSAs. The specification is set out under the following headings:

Knowledge – what the individual needs to know to carry out the role.

• Skills and abilities – what the individual has to be able to do to carry out the role.
• Behavioural competencies – the types of behaviour required for successful performance of the role. These should be role-specific, ideally based on an analysis of employees who are carrying out their roles effectively. The behaviours should also be linked to the core values and competency framework of the organization to help in ensuring that candidates will fit and support the organization’s culture.
• Qualifications and training – the professional, technical or academic qualifications required or the training that the candidate should have undertaken.
• Experience – the types of achievements and activities that would be likely to predict success.
• Specific demands – anything that the role holder will be expected to achieve in specified areas, eg develop new markets or products; improve sales, productivity or levels of customer service; introduce new systems or processes.
• Special requirements – travelling, unsocial hours, mobility, etc.

It is advisable not to overstate the requirements. Perhaps it is natural to go for the best, but setting an unrealistically high level for candidates increases the problems of attracting applicants and results in dissatisfaction among recruits when they find their talents are not being used. Understating requirements can, of course, be equally dangerous, but it happens less frequently.

The KSAs and competencies defined in the role profile form a fundamental feature of the selection process, which becomes more of a person-based than a job-based approach. They are used as the basis for structured interviews and provide guidance on which selection techniques, such as psychological testing or assessment centres, are most likely to be useful. The following is an example of the key KSA and competencies parts of a person specification for an HR recruitment adviser.

KSA and competency requirements for a recruitment adviser

1. Knowledge of:
   • All aspects of recruitment
   • Sources of recruits
   • Different media for use in recruiting
   • Relevant test instruments (OPQ qualified)
2. Skills and abilities in:
   • Interviewing techniques
   • Test administration
   • Role analysis
3. Behavioural competencies:
   • Able to relate well to others and use interpersonal skills to achieve desired objectives
   • Able to influence the behaviour and decisions of people in matters concerning recruitment and other HR or individual issues
   • Able to cope with change, to be flexible and to handle uncertainty
   • Able to make sense of issues, identity and solve problems and 'think on one's feet'
   • Focus on achieving results
   • Able to maintain appropriately directed energy and stamina, to exercise self-control and to learn new behaviours
   • Able to communicate well, oraly and on paper

Attracting candidates

The following steps are required when planning how to attract candidates:

1. Analyse recruitment strengths and weaknesses to develop an employee value proposition and employer brand.
2. Analyse the requirement to establish what sort of person is needed.
3. Identify potential sources of candidates.

Analyse recruitment strengths and weaknesses

Attracting candidates is primarily a matter of identifying, evaluating and using the most appropriate sources of applicants. However, in cases where difficulties in attracting or retaining candidates are being met or anticipated, it may be necessary to carry out a study of the factors that are likely to attract or deter candidates – the strengths and weaknesses of the organization as an employer. The study could make use of an attitude survey to obtain the views of existing employees. The analysis should cover such matters as the national or local reputation of the organization, pay, employee benefits and working conditions, the intrinsic interest of the job, security of employment, opportunities for education and training, career prospects, and the location of the office or plant.

Candidates are, in a sense, selling themselves, but they are also buying what the organization has to offer. If, in the latter sense, the labour market is a buyer’s market, then the company selling itself to candidates must study their wants and needs in relation to what it can provide. The study can be used to develop an employee value proposition (what an organization has to offer that prospective or existing employees would value and that would help to persuade them to join the business) and an employee brand (the image presented by an organization as a good employer) incorporating the features set out above. They can contribute to the recruitment material used on corporate websites and in advertisements and brochures to help make the organization ‘an employer of choice’.

Analyse the requirement

First it is necessary to establish what jobs have to be filled and by when. Then turn to an existing role profile and person specification or, if not available or out of date, draw up new ones that set out information on responsibilities and competency requirements. This information can be analysed to determine the required education, qualifications and experience.

The next step is to consider where suitable candidates are likely to come from: within the organization, from other organizations or from education establishments, and the parts of the country where they can be found. Next, define the terms and conditions of the job (pay and benefits).

Finally, refer to the analysis of strengths and weaknesses to assess what it is about the job or the organization that is likely to attract good candidates, so that the most can be made of these factors when advertising the vacancy or reaching potential applicants in other ways. Consider also what might put them off, for example the location of the job, so that objections can be anticipated. Analyse previous successes or failures to establish what does or does not work.

Identify sources of candidates

First consideration should be given to internal candidates. In addition, it is always worth trying to persuade former employees to return to the organization or obtain suggestions from existing employees (referrals). Talent banks that record candidate details electronically can be maintained and referred to at this stage.

If these approaches do not work, the sources of candidates are online recruiting, social media, advertising, recruitment agencies, job centres, consultants, recruitment process outsourcing providers and direct approaches to educational establishments. The main sources used by employers, as established by the 2013 CIPD survey, were:

• Own corporate website – 62 per cent
• Recruitment agencies – 49 per cent
• Employee referral scheme – 33 per cent
• Professional networking, eg LinkedIn – 32 per cent
• Commercial job boards – 32 per cent
• Local newspaper advertisements – 29 per cent
• Specialist journals – 24 per cent
• Jobcentre Plus – 19 per cent
• Search consultants – 17 per cent
• Links with educational establishments – 14 per cent
• National newspaper advertisements – 12 per cent
• Social networking sites – 9 per cent

Note the predominance of corporate websites and local agencies as sources of candidates. It is also interesting to note that referrals are the third most popular method.

There is usually a choice between different methods or combinations of them. The criteria to use when making the choice are:

1. The likelihood that it will produce good candidates
2. The speed with which the choice enables recruitment to be completed
3. The costs involved, bearing in mind that there may be direct advertising costs or consultants’ fees.

Online recruitment

Online or e-recruitment uses the internet to advertise or ‘post’ vacancies, provides information about jobs and the organization and enables e-mail communications to take place between employers and candidates. The latter can apply for jobs online and can e-mail application forms and CVs to employers or agencies. Tests can be completed online. The main types of online recruitment sites are corporate websites, commercial job boards and agency sites. Social media as described below is also used extensively.

The advantages of online recruiting are that it can reach a wider range of possible applicants. It is quicker and cheaper than traditional methods of advertising, more details of jobs and firms can be supplied on the site, and CVs can be matched and applications can be submitted electronically. More than four-fifths of respondents to the CIPD’s 2013 survey reported that it helped them to increase the strength of their employer brand. The disadvantages are that it may produce too many irrelevant or poor applications and it is still not the first choice of many job seekers. Consider using it in conjunction with other recruitment methods to maximize response.

Corporate websites may simply list vacancies and contact details. A more elaborate approach would consist of a dedicated website area that gives details of vacancies, person specifications, benefits and how to apply for jobs, for example by completing online application forms and tests. Such areas may be linked directly to an organization’s home page so that general browsers can access them. An intranet link may be available to enable internal staff to access the website. Some organizations are building their own professional communities or talent networks. The management of websites can be outsourced to recruitment consultants or specialized web agencies. The following are guidelines on the use of websites:

• Keep the content of the site up to date.
• Ensure the site is accessible directly or
• Through search engines.
• Provide contact numbers for those with
• Technical problems.
• Take care over the wording of online copy –
• The criteria for good copy in conventional
• Advertisements apply.

Commercial job boards are operated by specialized firms such as Monster.co.uk and Fish4jobs.com and consist of large databanks of vacancies. Companies pay to have their jobs listed on the sites. Information about vacancies may reproduce an advertisement so that the site is simply an additional form of communication, but some vacancies are only found online. Links may be provided to the organization’s website. As recommended by Syedain (2012):

• Go for specialized sites rather than generalist.
• Stick to one or two sites rather than spreading your vacancy everywhere.
• If you are unsure about the best site, Google the job and browse the sites that come up in order to see which is most authoritative.
• Pay to obtain a prominent site.
• Bear in mind that people who look at the site are seeking a job. Job sites are not like print advertisements, which have to attract casual readers.
• Ensure that the information you provide is clear about what you are offering and the achievements, qualifications and experience you are looking for.

Agency sites are run by established recruitment agencies. Candidates register online but may be expected to discuss their details in person before these are forwarded to a prospective employer.

Social Media

The use of social media means applying Web 2.0 technologies to search for recruits and find out more about them online on sites such as LinkedIn and Facebook. Potential recruits sometimes provide blogs from existing employees covering their experiences in working for the organization.

The 2013 survey of the Forum for In-House Recruitment Managers (FIRM), whose members tend to be bigger employers, established that 94 per cent used LinkedIn for attracting and recruiting candidates and the remaining 6 per cent intend to do so. LinkedIn recruiter tools enable employers to see how the online population views their employer brand, search the world by sector, job level, specialism and geography and directly approach strangers. Syedain (2013) recommends that to make the most of LinkedIn it is necessary to:

• Build and prime a personal network before you recruit
• Set aside time to seek out and engage relevant and promising talent
• Obtain advice or training in how to use LinkedIn as a recruiting tool
• Get buy-in from the top – encourage senior managers to keep their own profiles up to date
• Build the employer brand by encouraging to post information on their status updates that give a sense of the organization
• Talk to managers about who they know or can get introduced to online
• Create an employer page and keep it updated
• Personalize your direct approaches, whether InMails or invitations to connect
• Be selective about the number and type of jobs you publicize – it is easy to overwhelm people’s feeds and inboxes.

As reported by Anna Cook (2012), head of CERN’s recruitment unit, CERN, the world’s largest particle physics laboratory, has successfully made use of social media. All job vacancies are advertised on LinkedIn, Facebook and Twitter. These networks provide much more than simple job boards in that they are used as communication tools to interact with the audience, with candidates and with people who are not necessarily candidates but may know people who may want to apply. Appropriate use is made of each medium. For example, Facebook is used to host a weekly question and answer session between one of CERN’s recruiters and anyone who wants to submit a question, whereas the professional network LinkedIn provides a forum for more specialized discussions.

T-Mobile International has created a Facebook site for graduate recruitment. Potential graduate recruits established an individual presence on this invitation-only site. The site was used to provide information on selection procedures and processes, for example criteria and timetables and to allow the potential recruits to communicate with each other. As well as T-Mobile’s IT department, an internal ‘brand ambassador’ was involved in design throughout.

Advertising

Advertising has traditionally been the most obvious method of attracting candidates and it is still fairly important, especially at local level and in specialized journals. However, as the CIPD 2013 survey revealed, many organizations now prefer to use online recruitment, agencies or consultants. A conventional advertisement will have the following aims:

• Generate candidates – attract a sufficient number of good candidates at minimum cost.
• Attract attention – it must compete for the attention of potential candidates against other employees.
• Create and maintain interest – it has to communicate, in an attractive and interesting way, information about the job, the company and the terms and conditions of employment.
• Stimulate action – the message needs to be conveyed in a way that will prompt a sufficient number of replies from candidates with the right qualifications for the job.

To achieve these aims, it is necessary to carry out the actions set out below. A recruitment advertisement should start with a compelling headline and then contain information on the following:

• The organization
• The job
• The person required – qualifications, experience, etc
• The pay and benefits offered
• The location
• The action to be taken.

The headline is all important. The simplest and most obvious approach is to set out the job title in bold type. To gain attention, it is advisable to quote the rate of pay and key benefits such as a company car. Applicants are suspicious of clauses such as ‘salary will be commensurate with age and experience’ or ‘salary negotiable’. This often means either that the salary is so low that the company is afraid to reveal it, or that pay policies are so incoherent that the company has no idea what to offer until someone tells them what he or she wants.

The name of the company should be given. Do not use box numbers – if you want to be anonymous, use a consultant. Add any selling points, such as growth or diversification, and any other areas of interest to potential candidates, such as career prospects. The essential features of the job should be conveyed by giving a brief description of what the job holder will do and, as far as space permits, the scope and scale of activities. Create interest in the job but do not oversell it.

The job but do not oversell it. The qualifications and experience required should be stated as factually as possible. There is no point in overstating requirements and seldom any point in specifying exactly how much experience is wanted. Be careful about including a string of personal qualities such as drive, determination and initiative. These have no real meaning to candidates. Phrases such as ‘proven track record’ and ‘successful experience’ are equally meaningless. No one will admit to not having either of them.

The advertisement should end with information on how the candidate should apply. ‘Brief but comprehensive details’ is a good phrase. Candidates can be asked to write or e-mail their response, but useful alternatives are to ask them to telephone or to come along for an informal chat at a suitable venue.

Remember the anti-discrimination legislation set out in the Equality Act (2010). This makes it unlawful to discriminate in an advertisement by favouring either sex, the only exceptions being a few jobs that can be done only by one sex. Advertisements must therefore avoid sexist job titles such as ‘salesman’ or ‘stewardess’. They must refer to a neutral title such as ‘sales representative’, or amplify the description to cover both sexes by stating ‘steward or stewardess’. Potential respondents should be referred to only as the ‘candidate’ or the ‘applicant’, otherwise you must specify ‘man or woman’ or ‘he or she’. It is accepted, however, that certain job titles are unisex and therefore non-discriminatory, including director, manager, executive and officer.

It is also unlawful to place an advertisement that discriminates against any particular race. As long as race is never mentioned or even implied in an advertisement, you should have no problem in keeping within the law. The Equality Act also makes it unlawful to discriminate against employees on account of their age. Age limits should therefore not be included in advertisements and the wording should not indicate that people below or above a certain age are not wanted.

It is essential to measure the response to advertisements to provide guidance on the relative cost effectiveness of different media. Cost per reply is the best ratio.

Recruitment agencies

Most recruitment agencies deal with secretarial and office staff who are registered with them. They are usually quick and effective but quite expensive. Agencies can charge a fee for finding someone of 15 per cent or more of the first year’s salary. It can be cheaper to advertise or use the internet, especially when the company is in a buyer’s market. Shop around to find the agency that suits the organization’s needs at a reasonable cost.

Agencies should be briefed carefully on what is wanted. They can produce unsuitable candidates but the risk is reduced if they are clear about the requirements.

Jobcentre Plus

The jobcentres operated by the government are mainly useful for manual and clerical workers and sales or call centre assistants.

Recruitment consultants

Recruitment consultants advertise, interview and produce a shortlist. They provide expertise and reduce workload. The organization can be anonymous if it wishes. Most recruitment consultants charge a fee based on a percentage of the basic salary for the job, usually ranging from 15 to 20 per cent. When choosing a recruitment consultant check their reputation and expertise, compare fees and meet the person who will work on the assignment to assess his or her quality. To use them effectively:

• Agree terms of reference.
• Brief them on the organization, where the job fits in, why the appointment is to be made, terms and conditions and any special requirements.
• Give them every assistance in defining the job and the person specification – they will do much better if they have comprehensive knowledge of what is required and what type of person is most likely to fit into the organization well.
• Check carefully the proposed programme and the draft text of the advertisement.
• Clarify the arrangements for interviewing and shortlisting.
• Clarify the basis upon which fees and expenses will be charged.
• Ensure that arrangements are made to deal directly with the consultant who will handle the assignment.

Executive search consultants

Use an executive search consultant or ‘headhunter’ for senior jobs where there is only a limited number of suitable people and a direct lead to them is wanted. Headhunters are not cheap. They charge a fee of 30 to 50 per cent or so of the first year’s salary, but they can be quite cost-effective.

Executive search consultants first approach their own contacts in the industry or profession concerned. The good ones have an extensive range of contacts and their own data bank. They will also have researchers who will identify suitable people who may fit the specification or can provide a lead to someone else who may be suitable. The more numerous the contacts, the better the executive search consultant. When a number of potentially suitable and interested people have been assembled, a fairly relaxed and informal meeting takes place and the consultant forwards a shortlist to the client with full reports on candidates.

There are some good and some not so good executive search consultants. Do not use one unless a reliable recommendation is obtained.

Educational and training establishments

Many jobs can, of course, be filled by school leavers. For some organizations the main source of recruits for training schemes will be universities and colleges as well as schools. Graduate recruitment is a major annual exercise for some companies, which go to great efforts to produce glossy brochures, visit campuses on the ‘milk run’ and use elaborate sifting and selection procedures to vet candidates, including ‘biodata’ and assessment centres.

Recruitment process outsourcing

Recruitment process outsourcing (RPO) is the term used when an organization commissions a provider to take responsibility for the end-to-end delivery of the recruitment process, covering all vacancies or a selection of them. This involves liaising with hiring managers to define requirements and specifications, deciding on the best ways to attract candidates, processing applications, and setting up and facilitating interviews. Some companies do not hand over all recruitment, using RPO only for high-volume vacancies. They may retain responsibility for senior and specialist jobs.

The advantage of RPO is that it can save time, bring outside expertise to bear on recruitment problems and free up HR for more value-adding activities. The disadvantage is the perception by some HR people and line managers that the provider is too remote to deal with the real issues and that there is a danger of losing control.

Comparison of sources

A summary of sources and an analysis of their advantages and disadvantages is given in Table 18.1.

Dealing with applications

If recruitment agencies or consultants are used they will deliver their client a shortlist of candidates for interview. If not, the organization has to sift the applications itself. This means examining the information supplied by applicants, sorting them and drawing up a shortlist of applicants to be interviewed.

Examining information from candidates

Candidates may respond to an online notice or an advertisement with a formal application (by e-mail or letter), usually supported by a CV. Applicants may be asked to provide information about their education, qualifications, training and experience in a standardized format to provide a structured basis for drawing up shortlists, the interview itself and for the subsequent actions in offering an appointment and in setting up records. This ensures that all applicants are considered on the same basis against the person specification.

An application form, as illustrated in Figure 18.1, which sets out the information required, can be completed online (preferable if an online application has been made) or on paper. The following suggestions have been made by Pioro and Baum (2005) on how to use application forms more effectively:

• Decide what the criteria for selection are and how these will be assessed by use of the application form.
• Keep questions clear, relevant and nondiscriminatory.
• Ask for only the bare minimum of personal details.
• Widen your pool of applicants by offering different options and guidance for completing and viewing application forms.
• Employers may also refer for further information to social networks or the candidate’s own blog.

However, to save time and trouble, recruiters may prefer to make a decision on the details provided in the initial application where it is clear that an applicant meets or does not meet the specification.

Summary of Sources of Candidates
Source	Description	Advantages	Disadvantages
Online Recruitments	Company websites, job boards, social media	Generally, can reach a wider range of possible applicants, and it is quicker and cheaper than traditional methods of advertising. More details of jobs and firms can be supplied on the site and CVs can be matched and applications can be submitted electronically. Websites can use an organization’s brand to attract candidates. Job boards are keyword searchable. Job details can be changed and CVs manage electronically. Social media are good for reach - LinkedIn currently has 100 million member nation wide.	Generally, may produce too many irrelevant or four applications and it is still not the first choice of many job seekers. Websites are expensive and still need other video to drive traffic to the site. Job boards are bad for "passive seekers". Social media-employer/recruiter has to manage own profile.
Advertising	Display or classified advertisements in national or local newspapers or journals.	Attract "passing trade"-people who are not actively looking for a job.	Soon become irrelevant.
Recruitment Agencies	Mainly recruit office and sales staff who are registered with them.	Convenient, save time and trouble, drawl on an established pool of candidates.	Can produce unsuitable candidates. Pool may be limited.
Jobcentres	Mainly for manual markers and let it cool and sales staff.	No cost; usually plenty of choice.	Limited to relatively routine jobs.
Recruitment Consultants	Advertise, interview and produce a shortlist.	Provide expertise and reduce workload.	Can be expensive.
Executive Search Consultants	Conduct searches for senior executives.	Confined top-level people who might not otherwise be interested.	Expensive, limited to top jobs.
Educational Establishment	Universities, colleges and schools.	Major source of future talent.	Recruitment campaigns can be costly.
Recruitment Process Outsourcing	Deliver complete recruiting process.	Save time, bring outside expertise to bear on recruitment problems and free up HR for more value-adding activities.	Feeling that provider is to remote to deal with the real issues and that there is a danger of losing control.

Processing applications

When the vacancy or vacancies have been posted or advertised and a fair number of replies received, the initial step is to list the applications on the recruitment database setting out name, date application received and actions taken (reject, hold, interview, shortlist, offer). A standard acknowledgement letter should be sent to each applicant unless an instant decision can be made to interview or reject. The next steps are to sift applications prior to drawing up a shortlist and arranging interviews.

Sorting applications

Applications are sifted by comparing the information available about them with the key criteria in the person specification. The criteria should be analysed with care so that they are fully understood. The criteria can be classified under the following three headings so that they can be applied consistently to guide sifting decisions:

1. Essential – applicants will not be considered unless this criterion is satisfied.
2. Very desirable – preference will be given to applicants who meet this criterion.
3. Desirable – applicants who meet this criterion will be given favourable consideration but it is not an essential requirement. However, if a number of applicants meet the first two criteria, satisfying desirable criteria would be a factor in making a choice.

A highly structured method of sifting applications is provided by the use of biodata. These are items of biographical data that are criterion-based (ie they relate to established criteria in such terms as qualifications and experience that indicate whether individuals are likely to be suitable). These are objectively scored and, by measurements of past achievements, predict future behaviour.

Following the analysis, applicants can be sorted initially into three categories: possible, marginal and unsuitable. The more information made available and the clearer the criteria the easier this process is. When there is a large field of applicants with many ‘possibles’, sifting may have to be repeated against more stringent criteria until a shortlist for interview is identified.

Ideally, the numbers on the shortlist should be between four and eight. Fewer than four leaves relatively little choice (although such a limitation may be forced on the recruiter if an insufficient number of good applications have been received). More than eight will mean that too much time is spent on interviewing and there is a danger of diminishing returns.

Draw up an interviewing programme

The time allowed for an interview will vary according to the complexity of the job. For a fairly routine job, 30 minutes or so should suffice. For a more senior job, 60 minutes or more is required. It is best not to schedule too many interviews per day for more senior jobs – interviewers who try to conduct more than five or six exacting interviews will quickly run out of steam and do neither the interviewee nor the organization any justice. It is advisable to leave about 15 minutes between interviews to write up notes and prepare for the next one.

Administering the selection programme

When the interviewing programme has been drawn up shortlisted candidates can be invited for interview, using a standard letter where large numbers are involved. Candidates should be asked to complete an application form if they have not already done so. There is a lot to be said at this stage for sending candidates more details of the organization and the job so that too much time is not spent in going through this information at the interview.

Review the remaining ‘possibles’ and ‘marginals’ and decide if any are to be held in reserve. Send reserves a standard ‘holding’ letter and send the others a standard rejection letter. The latter should thank candidates for the interest shown and inform them briefly, but not too brusquely, that they have not been successful. A typical reject letter might read as follows:

Selection methods

The aim of selection is to assess the suitability of candidates by predicting the extent to which they will be able to carry out a role successfully. It involves deciding on the degree to which the characteristics of applicants in terms of their KSAs, competencies, experience, qualifications, education and training match the person specification and then using this assessment to make a choice between candidates. The so-called ‘classic trio’ of selection methods consists of application forms, interviews and references. To these should be added selection tests and assessment centres.

Interviews are normally conducted by means of a face-to-face discussion. But, as established by the CIPD’s 2013 survey, a considerable proportion of employers (56 per cent) conduct interviews by telephone. Nearly one-third (30 per cent) use video or Skype interviews, rising to 42 per cent of those who recruit from overseas.

Interviews

The interview is the most familiar method of selection. The aim is to elicit information about candidates that will enable a prediction to be made about how well they will do the job and thus lead to a selection decision.

An interview involves face-to-face discussion. When it is an individual rather than a panel interview, it provides the best opportunity for the establishment of close contact – rapport – between the interviewer and the candidate, thus easing the acquisition of information about the candidate’s suitability and how well he or she would fit into the organization. As described below, interviews should be structured (detailed consideration of selection interviewing skills is given in Chapter 50). The advantages and disadvantages of interviews are as follows.

Advantages of interviews

• Provide opportunities for interviewers to ask probing questions about the candidate’s experience and to explore the extent to which the candidate’s competencies match those specified for the job.
•  Enable interviewers to describe the job (a ‘realistic job preview’) and the organization in more detail, providing some indication of the terms of the psychological contract.
• Provide opportunities for candidates to ask questions about the job and to clarify issues concerning training, career prospects, the organization and terms and conditions of employment.
• Enable a face-to-face encounter to take place so that the interviewer can make an assessment of how the candidate would fit into the organization and what he or she would be like to work with.
• Give the candidate the same opportunity to assess the organization, the interviewer and the job.

Disadvantages of interviews

• Can lack validity as a means of making sound predictions of performance, and lack reliability in the sense of measuring the same things for different candidates.
• Rely on the skill of the interviewer – many people are poor at interviewing, although most think that they are good at it.
• Can lead to biased and subjective judgements by interviewers.

These disadvantages are most common when unstructured interviews are used, but they can be alleviated: first, by using a structured approach as described below; second, by training interviewers. The use of other opinions can also help to reduce bias, especially if the same structured approach is adopted by all the interviewers. Finally, selection tests, especially those measuring intelligence or general ability, can provide valuable information that supplements the interview.

Interview arrangements

Interviews are frequently conducted on a one-to one basis but there is a case for using a second interviewer in order to avoid a biased or superficial decision. The alternative is a selection board or panel, which is often used in the public sector. This brings together a number of parties interested in the selection decision. But the drawbacks are that questions tend to be unplanned and delivered at random and the candidates are unable to do justice to themselves because they may not be allowed to expand on their responses.

Structured interviews

A structured interview is one based on a defined framework. Within the framework there may be a set of predetermined questions. All candidates are asked the same questions, which will focus on the attributes and behaviours required to succeed in the job. The answers may be scored through a rating system.

The most typical framework is the person specification. Interview questions aim to analyse and build on the information provided by the candidate’s CV or application form to establish the extent to which a candidate has the required knowledge, skills and abilities (KSAs). In a competency based interview the emphasis is on establishing if the candidate has the right level of desirable behavioural competencies. A structured interview may include experience-based questions in which candidates are asked to relate how they handled situations in the past requiring skills and abilities necessary for effective performance in the job for which they are applying. And/or it may include situational questions that provide candidates with hypothetical job-relevant situations and ask how they would deal with them. Research by Pulakos and Schmitt (1995) found that experience-based interviews yielded higher levels of validity than situation based ones. But as described in Chapter 50, both types of questions may be incorporated in an interview.

Unstructured interviews

Unstructured interviews are essentially a general discussion during which the interviewer asks a few questions that are relevant to what he or she is looking for but without any specific aim in mind other than getting an overall picture of the candidate as an individual. Questions are often random and non-specific. Candidates are judged on the general impression they make and the process is likely to be quite subjective. Research quoted later in this chapter has shown that the predictive validity (the extent to which it predicts performance in a job) of an unstructured interview is fairly low. The preferred method is a structured interview, which when conducted well has a higher level of predictive validity.

Selection testing

Selection tests are used to provide valid and reliable evidence of levels of abilities, intelligence, personality characteristics, aptitudes and attainments. Psychological tests are measuring instruments, which is why they are often referred to as psychometric tests: ‘psychometric’ means mental measurement. Psychometric tests assess intelligence or personality. They use systematic and standardized procedures to measure differences in individual characteristics, thus enabling selectors to gain a greater understanding of candidates to help in predicting the extent to which they will be successful in a job. The other types of tests described below are ability and aptitude tests.

Intelligence tests

Intelligence tests measure a range of mental abilities that enable a person to succeed at a variety of intellectual tasks using the faculties of abstract thinking and reasoning. They are concerned with general intelligence (termed ‘g’ by Spearman (1927) one of the pioneers of intelligence testing) and are sometimes called ‘general mental ability’ (GMA) tests. Intelligence tests measure abilities while cognitive tests measure an individual’s learning in a specific subject area. They contain questions, problems and tasks. The meta-analysis conducted by Schmidt and Hunter (1998) showed that intelligence tests had high predictive validity.

The outcome of a test can be expressed as a score that can be compared with the scores of members of the population as a whole, or the population of all or part of the organization using the test (norms). An intelligence test may be recorded as an intelligence quotient (IQ), which is the ratio of an individual’s mental age to the individual’s actual age as measured by an intelligence test. When the mental and actual age correspond, the IQ is 100. Scores above 100 indicate that the individual’s level of average is above the norm for his or her age, and vice versa. It is usual now for IQs to be directly computed as an IQ test score. It is assumed that intelligence is distributed normally throughout the population; that is, the frequency distribution of intelligence corresponds with the normal curve shown in Figure 18.2.

The normal curve is a way of expressing how scores will typically be distributed; for example, that 60 per cent of the population are likely to get scores between x and y, 20 per cent are likely to get scores below x and 20 per cent are likely to get more than y.

Intelligence tests can be administered to a single individual or to a group. They can also be completed online.

Personality tests

Personality tests attempt to assess the personality of candidates in order to make predictions about their likely behaviour in a role. There are many different theories of personality and, consequently, many different types of personality tests. These include self-report personality questionnaires and other questionnaires that measure interests, values or work behaviour

Personality tests can provide interesting supplementary information about candidates that is free from the biased reactions that frequently occur in face-to-face interviews, but they have to be used with great care. The tests should have been developed by a reputable psychologist or test agency on the basis of extensive research and field testing, and they must meet the specific needs of the user.

Ability tests

Ability tests establish what people are capable of knowing or doing. They measure the capacity for:

• Verbal reasoning – the ability to comprehend, interpret and draw conclusions from oral or written language;
• Numerical reasoning – the ability to comprehend, interpret and draw conclusions from numerical information;
• Spatial reasoning – the ability to understand and interpret spatial relations between objects;
• Mechanical reasoning – understanding of everyday physical laws such as force and leverage.

Aptitude tests

Aptitude tests are occupational or job-related tests that assess the extent to which people can do the work. They typically take the form of work sample tests, which replicate an important aspect of the actual work the candidate will have to do, such as using a keyboard or carrying out a skilled task such as repair work. Work sample tests can be used only with applicants who are already familiar with the task through experience or training.

Characteristics of a good test

A good test is one that provides data that enables reliable predictions of behaviour or performance to be made and therefore assists in the process of making objective and reasoned decisions when selecting people for jobs. It will be based on research that has produced standardized criteria derived by using the same measure to test a number of representative people to produce a set of ‘norms’ for comparison purposes. The test should be capable of being objectively scored by reference to the normal or average performance of the group.

The two key characteristics of a good test are first that it is reliable in the sense that it always measures the same thing: a test aimed at measuring a particular characteristic, such as intelligence, should measure the same characteristic when applied to different people at the same or a different time or to the same person at different times. Second, a test should be valid in the sense that it measures the characteristic that the test is intended to measure. Thus, an intelligence test should measure intelligence (however defined) and not simply verbal facility. A test meant to predict success in a job or in passing examinations should produce reasonably convincing (statistically significant) predictions.

A criterion-related approach is used to assess validity. This means selecting criteria against which the validity of the test can be measured. These criteria must reflect ‘true’ performance at work as accurately as possible. A single criterion is inadequate: multiple criteria should be used. The extent to which criteria can be contaminated by other factors should also be considered and it should be remembered that criteria are dynamic – they will change over time.

Interpreting test results

Test results can be interpreted by the use of norms or through criterion scores.

Norms

An individual’s score in a test is not meaningful on its own. It needs to be compared with the scores achieved by the population on whom the test was standardized – the norm or reference group. A normative score is read from a norms table and might, for example, indicate that someone has performed the test at a level equivalent to the top 30 per cent of the relevant population.

Criterion scores

Norms simply tell us how someone has performed a test relative to other people. A more powerful approach is to use the relationship between test scores and an indication of what the test is designed to measure, such as job success. This is described as a criterion measure.

The use of tests in a selection procedure

Validated intelligence and personality tests will produce useful data, but there is much to be said for combining them in a selection procedure with structured interviews.

Tests are often used as part of a selection procedure for occupations where a large number of recruits are required, and where it is not possible to rely entirely on examination results or information about previous experience as the basis for predicting future performance. In these circumstances it is economical to develop and administer the tests, and a sufficient number of cases can be built up for the essential validation exercise. Tests usually form part of an assessment centre programme. They can be administered online and FIRM’s 2013 membership survey showed that they were used for 72 per cent of applications.

Intelligence tests are particularly helpful in situations where intelligence is a key factor and there is no other reliable method of measuring it. Aptitude tests are most useful for jobs where specific and measurable skills are required, such as word processing and skilled repair work. Personality tests can complement structured interviews and intelligence and aptitude tests. Some organizations use them for jobs such as selling, where they believe that ‘personality’ is important and where it is not too difficult to obtain quantifiable criteria for validation purposes. They may be used to assess integrity and conscientiousness where these characteristics are deemed to be important.

In some situations a battery of tests may be used, including various types of intelligence, personality and aptitude tests. These may be a standard battery supplied by a test agency, or a custom-built battery may be developed. The biggest pitfall to avoid is adding extra tests just for the sake of it, without ensuring that they make a proper contribution to the success of the predictions for which the battery is being used.

Tests should be administered only by people who have been trained in what the tests are measuring, how they should be used, and how they should be interpreted. Also, it is essential to evaluate all tests by comparing the results at the interview stage with later achievements. To be statistically significant, these evaluations should be carried out over a reasonable period of time and cover as large a number of candidates as possible.

Assessment centres

Assessment centres assemble a group of candidates and use a range of assessment techniques over a concentrated period (one or two days) with the aim of providing a more comprehensive and balanced view of the suitability of individual members of the group. The main features of assessment centres are that:

• Exercises are used to capture and simulate the key dimensions of the job;
• These may include one-to-one role-plays and group exercises; it is assumed that performance in these simulations predicts behaviour on the job;
• Candidates are interviewed and tested;
• Performance is measured in several dimensions in terms of the competencies required to achieve the target level of performance in a particular job or at a particular level in the organization;
• Several candidates or participants are assessed together to allow interaction and to make the experience more open and participative;
• Several trained assessors or observers are used in order to increase the objectivity of assessments.

The case for assessment centres is that they obtain much more information about candidates than conventional interviews, even when these are supplemented by tests. But research by Schmidt and Hunter (1998) has shown that on their own, the ability of assessment centres to predict how well someone will perform (predictive validity) is lower than that of intelligence tests combined with structured interviews. Assessment centres are expensive and time-consuming and their use tends to be restricted to large organizations for managerial positions or for graduates.

Choice of selection methods

There is a choice between the selection methods. The most important criterion is the ability of a selection method or combination of methods to predict future performance.

Predictive ability is expressed as a coefficient – complete validity would be 1.0; no validity would be 0.0. The meta-analysis on the validity of different selection methods conducted by Schmidt and Hunter (1998: 265), which covered 85 years of research findings, produced the following predictive validity coefficients:

Intelligence tests and structured interviews	.63
Intelligence tests and unstructured interviews	.55
Assessment centres and structured interviews	.53
Intelligence tests only	.51
Structured interviews only	.51
Unstructured interviews only	.38
Assessment centres only	.37
Graphology only	.02

Robertson and Smith (2001) added personality assessments to this list, with a validity coefficient of .37.

Schmidt and Hunter (1998) established that the reason why intelligence (GMA) is such a good predictor of job performance is that more intelligent people acquire job knowledge more rapidly and acquire more of it, and it is this knowledge of how to perform the job that causes their job performance to be higher. Their research clearly indicates that the combination of structured interviews and intelligence tests is the most effective in terms of predictive validity. Graphology is useless.

Provisional offers and obtaining references

After the interviewing and testing procedure has been completed, a provisional decision to make an offer by telephone or in writing can be made. This is normally ‘subject to satisfactory references’ and the candidate should, of course, be told that these will be taken up. If there is more than one eligible candidate for a job it may be advisable to hold one or two people in reserve. Applicants often withdraw, especially those whose only purpose in applying for the job was to carry out a ‘test marketing’ operation, or to obtain a lever with which to persuade their present employers to value them more highly. The main purpose of a reference is to obtain in confidence factual information about a prospective employee. This information is straightforward and essential. It is necessary to confirm the nature of the previous job, the period of time in employment, the reason for leaving (if relevant), the salary or rate of pay and, possibly, the attendance record. Opinions about character, competence, performance and suitability are unreliable. Referees are reluctant to commit themselves and they are not in any position to assess suitability – only the prospective employer can do that. Personal referees are, of course, entirely useless. All they prove is that the applicant has at least one or two friends. A written request for a reference could simply ask the previous employer to confirm the candidate’s employment record. More precise answers may be obtained if a standard form is provided for the employer to complete. The questions asked on this form should be limited to the following:

• What was the period of employment?
• What was the job title?
• What work was carried out?
• What was the rate of pay or salary?
• How many days’ absence were there over the last 12 months?
• Would you re-employ (if not, why not)?

The last question is important, if it is answered honestly.

Telephone references may save time and may be more reliable. They can be used as an alternative or in addition to written references. Ask factual questions only and keep a record of the conversation.

References – legal aspects

The key legal points that should be considered when asking for or giving references are:

• Once the decision has been made to make an offer, the letter should state that ‘this is a provisional offer subject to the receipt of satisfactory references’.
• It has been generally held that there is no common law duty on an employer to provide references for a serving or past employee unless there is a term to that effect in the employment contract. But it has been ruled (Spring v. Guardian Assurance 1994) that there might be a moral duty to provide a reference where it is ‘natural practice’ to require a reference from a previous employer before offering employment, and where the employee could not expect to enter that type of employment without a reference.
• If a reference contains a false or unsubstantiated statement that damages the reputation of the individual, action for damages may result. It is possible to succeed in a claim for damages if it can be shown that the reference provided was negligent because reasonable care had not been taken in preparing it, which includes ensuring that it is factually correct.

Checking applications

It is a sad fact that applicants all too often misinform their prospective employers about their education, 242 Part 4 People Resourcing qualifications and employment record. This was confirmed by a survey carried out by the CIPD (2008), which found that 25 per cent of employers had to withdraw their offers because applicants had lied or misrepresented their application. It is always advisable to check with universities, professional institutes and previous employers that the facts given by applicants are correct. Other checks can be made such as:

• interview questions about actual (not hypothetical) experiences, with deep probing to ascertain the extent of the individual’s personal involvement, decision-making and contribution;
• detailed application forms with open-ended questions about specific learning related to the skills, knowledge and competencies required for the vacancies under consideration;
• identification check;
• electoral register check;
• credit reference agency check (especially appropriate for positions in the financial services sector);
• confirmation of previous employment with HM Revenue and Customs or through the Department of Work and Pensions;
• Criminal Records Bureau check;
• Companies House check (for directors);
• fraud prevention check, including Cifas staff fraud database check (to prevent an employer unwittingly employing people previously dismissed for fraud somewhere else). Cifas is a not-for-profit fraud prevention service.

Offering employment

The final stage in the selection procedure is to confirm the offer of employment after satisfactory references have been obtained, and the applicant has passed the medical examination required for pension and life assurance purposes or because a certain standard of physical fitness is required for the work. The contract of employment should also be prepared at this stage.

Following up

It is essential to follow up newly engaged employees to ensure that they have settled in and to check on how well they are doing. If there are any problems it is much better to identify them at an early stage rather than allowing them to fester.

Following up is also important as a means of checking on the selection procedure. If by any chance a mistake has been made, it is useful to find out how it happened so that the procedure can be improved. Misfits can be attributed to a number of causes; for example: inadequate person specification, poor sourcing of candidates, weak advertising, poor interviewing techniques, inappropriate or invalidated tests, or prejudice on the part of the selector.

Dealing with recruitment problems

Every experienced HR professional who is responsible for recruitment and selection will occasionally come across a vacancy that is particularly difficult to fill. In this situation any compromise that involves appointing someone who does not meet the specification must be avoided. To deal with the problem constructively it is necessary to take the following actions:

• Ensure that all the possible sources of candidates have been used.
• Consider any ways in which the advertisement or website entry could be made more attractive.
• Check that the person specification is realistic – that the requirements have not been overstated.
• Consider whether it might be necessary to improve the package offered to candidates – check market rates to ensure that the level of pay and benefits are competitive.
• In discussion with the line manager, examine the possibility of reshaping the role to increase its attractiveness.
• If the worse comes to the worst, discuss with the manager alternative ways of carrying out the work with existing staff.

References

• CIPD (2013) Survey of Resourcing and Talent Planning, London, CIPD
• Cook, A (2012) Social media can transform the quality of recruitment, People Management, October, p 49
• Forum for In-House Recruitment Managers – FIRM (2013) Recruitment Survey, London, FIRM
• Pioro, I and Baum, N (2005) How to design better job application forms, People Management, 16 June, pp 42–43
• Pulakos, E D and Schmitt, N (1995) Experience-based and situational interviews: studies of validity, Personnel Psychology, 48 (2), pp 289–308
• Robertson, I T and Smith, M (2001) Personnel selection, Journal of Occupational and Organizational Psychology, 74 (4), pp 441–72
• Schmidt, F L and Hunter, J E (1998) The validity and utility of selection methods in personnel psychology: practical and theoretical implications of 85 years of research findings, Psychological Bulletin, 124 (2), pp 262–74
• Spearman, C (1927) The Abilities of Man, New York, Macmillan Syedain, H (2012) People Management Guide to Recruitment Marketing, July, p 19
• Syedain, H (2013) The new rules of recruitment, People Management, July, pp 19–25

Induction

Induction is the process of receiving and welcoming employees when they first join a company and giving them the basic information they need to settle down quickly and happily and start work. The aims are to:

• smooth the preliminary stages when everything is likely to be strange and unfamiliar to the starter;
• establish quickly a favourable attitude to the organization in the mind of new employees so that they are more likely to stay;
• obtain effective output from the new employee in the shortest possible time;
• reduce the likelihood of the employee leaving quickly

Introduction to the organization

New starters will be concerned about who they are going to work for (their immediate manager or team leader), who they are going to work with, what work they are going to do on their first day and the geographical layout of their place of work (location of entrances, exits, lavatories, restrooms and the canteen).

Some of this information may be provided by a member of the HR department, or an assistant in the new employee’s place of work. But the most important source of information is the immediate manager, supervisor or team leader.

Departmental induction

The departmental induction programme should, wherever possible, start with the departmental manager, not the immediate team leader. The manager may give only a general welcome and a brief description of the work of the department before handing over new employees to their team leaders for the more detailed induction. But it is important for the manager to be involved at this stage so that he or she is not seen as a remote figure by the new employee. At least this means that the starter will not be simply a name or a number to the manager. The detailed induction in the workplace is probably best carried out by the immediate team leader.

Induction to the workplace

The team leader should introduce new starters to their fellow team members. It is best to get one member of the team to act as a guide or ‘starter’s friend’. There is much to be said for these initial guides being people who have not been long with the organization. As relative newcomers they are likely to remember all the small points that were a source of worry to them when they started work, and so help new employees to settle in quickly.

On-the-job induction training

Most new starters other than those on formal training schemes will learn on-the-job, although this may be supplemented with special off-the-job courses to develop particular skills or knowledge. But on-the-job training can be haphazard, inefficient 258 Part 4 People Resourcing and wasteful. A planned, systematic approach is desirable. This can incorporate an assessment of what the new starter needs to learn, the use of designated and trained colleagues to act as guides and mentors, and coaching by team leaders or specially appointed and trained departmental trainers.

These on-the-job arrangements can be supplemented by self-managed learning arrangements, offering access to flexible learning packages or providing advice on learning opportunities.

Letter of a successful probation period template

Suggested steps for preparing a letter of successful probation period

If at any time you need more information or assistance, call the Fair Work Infoline on 13 13 94 or visit www.fairwork.gov.au.

Step 1: Create your letter of a successful probation period

It is best practice to confirm with your employee that his or her employment will continue beyond the probation period. The letter should be given to the employee before the end of the probation period.

When drafting the letter you should:

• review the letter of engagement to check the length of the probation period, and
• check whether the relevant industrial instrument (e.g. an award or an enterprise agreement) contains any compulsory rules about probation.

This template has been colour coded to assist you to complete it accurately. You simply need to replace the red < > writing with what applies to your employee and situation. Explanatory information is shown in blue italics to assist you and should be deleted once you have finished the letter.

Step 2: Meet with the employee

While it is best practice to meet with an employee towards the end of their probation period, there is not a legislative requirement to do so.

Meeting face to face is an opportunity for you to:

• Provide feedback to the employee about their performance or conduct, and
• Explain why the probation period was successful.

Step 3: Keep a copy of the letter of successful probation period

Keep a copy of the letter given to the employee and document the meeting for your records.

Letter of an unsuccessful probation period template

Suggested steps for preparing a letter of an unsuccessful probation period

If at any time you need more information or assistance, call the Fair Work Infoline on 13 13 94 or visit www.fairwork.gov.au.

Step 1: Highlight expected performance and behaviour standards

A probationary period is an opportunity for you to assess a new employee’s performance in their job, and for them to decide whether the job suits them.

If an employee’s performance or conduct is not satisfactory during their probationary period, you should attempt to address the issues. Performance and conduct issues often arise because employees do not understand what is expected of them. You should:

• Make sure the employee clearly understands their role, the expected level of output or performance, and the expected conduct at work, and
• Provide the employee with regular performance feedback during the probation period and inform them of any changes needed to their work or conduct.

Step 2: Create your letter of an unsuccessful probation period

It is best practice to confirm with your employee whether or not his or her employment will continue beyond the probation period. The letter should be given to the employee before the end of the probation period.

When drafting the letter you should:

• Review the letter of engagement to check the length of the probation period, and
• Check whether the relevant industrial instrument (e.g. an award or an enterprise agreement) contains any compulsory rules about probation.

Under the NES, you need to give an employee written notice to end his or her employment. The written notice should specify:

• The period of notice given (or payment in lieu of notice), and
• The date the employment will end.

Remember to also check if the letter of engagement or a relevant industrial instrument (e.g. an award or an enterprise agreement) contains a longer notice period. If they do, the longer notice period will apply.

For more on notice periods, visit www.fairwork.gov.au or contact the Fair Work Infoline on 13 13 94.

This template has been colour coded to assist you to complete it accurately. You simply need to replace the red < > writing with what applies to your employee and situation. Explanatory information is shown in blue italics to assist you and should be deleted once you have finished the letter.

Step 3: Meet with the employee to provide the letter of unsuccessful probation and notice of termination

While it is best practice to meet with an employee towards the end of their probation period, there is not a legislative requirement to do so. It is particularly important to meet with the employee if you are considering terminating his or her employment.

Meeting face to face is an opportunity for you to:

• provide feedback to the employee about their performance or conduct,
• explain why the probation period was unsuccessful, and
• give the employee an opportunity to respond to your comments.

If the employee has been employed with you for 6 months or more (even if they are on probation) there are additional steps you may need to take before you terminate their employment. See the Small Business Fair Dismissal Code for more information.

Step 4: Keep a copy of the letter of an unsuccessful probation period

Keep a copy of the letter given to the employee and document the meeting with the employee for your records.