STUDENT NUMBER: 21943129

Question 1
1.1 There is a decrease in the workload.
The introduction of new technology.
Eliminating certain jobs due to reorganisation.
Due to bad economic conditions.
To improve the processes of production.

1.2 To control the current performance of employees compared to the previous standards
of performance.
To identify to which extent, it takes employees to perform effectively.
To identify any problems in performance and to improve employee performance.
It also can be used to assist with Human Resource planning as it a method of career
planning.
It motivates employees to reach their personal goals and then in the same effect also
the goals of the organisation.

1.3 Step 1: Set the performance objectives and standards.

The managers and supervisors together with other workers will set yearly performance
objectives and standards to be reached.
Step 2: Perform day-to-day performance coaching.
Managers and supervisors give regular feedback to workers on their performance and
will then based on that take steps to either improve their performance or take the
necessary corrective action.
Step 3: Perform formal performance review and appraisal.
The managers together with the supervisors evaluate each individual’s performance
according to previous set standards and then conduct appraisal interviews. They will
take a look at the standards during the interview to make sure that it is still realistic.
Step 4: Conduct annual performance appraisal.
This is the same process as set in step 3 but this is a final performance appraisal the
employee will receive for the year.
Step 5: Forward the appraisal ratings to the Human Resource department.
Managers complete information on each individual’s performance and this is sent to the
Human Resource department for the following purpose:
Human Resource planning
Selection
Assessment for promotions
To determine salary increases
To identify any training and development requirements

1.4 Incentive schemes are put in place to motivate employees to work more effectively and
be as productive as possible. This can be applied to individual workers or working as a
group. The traditional ways of rewarding staff might not always lead to maximum
effectiveness. The world is currently shifting to a reward system that does not only
improve the actual job or individual worker performance but also includes incentive-
based schemes to reach specific targets.
STUDENT NUMBER: 21943129

Question 2
2.1 To assist with compiling job descriptions and job specifications that are objective.
To develop a fair remuneration structure that is in accordance with the current legislation.
To build a logical job hierarchy that can be linked to employee benefits and services to be
used for the purpose of organisational structuring and career planning.
To determine objective remuneration criteria for new jobs in the orginisation.
To help with any remuneration negotiations and justify the current reward management
system of the orginisation.
To establish a reasonable link between the oranisational salary scales and those of other
organisations.

2.2 Job evaluation can be very costly and to implement and maintain.
To introduce job evaluation in organisations for the first time may upset long-standing
salary differentials.
There is a risk of oversimplification.
It relies on human judgement.
Averaging does not make the system more objective.

2.3 The Paterson evaluation system is one of the systems that are most widely used in South
Africa for the purpose of job analysis.
This system is based on the statement that the ability to make decisions is the most
important function of any worker.
This basically states that all decisions that are made in an orginisation on different levels will
vary in intensity and the type.
According to the Paterson system, all jobs are grouped in six decision making bands and
then subdivided in either a higher of lower order factor.
These levels will then be subdivided further into subgrades.
Every level accept unskilled workers will have two levels.

2.4 Principle 1: Make sure you analyse the job and not the person doing the job and avoid
adding extra tasks.
Principle 2: Analyse the current job and not what you would like to see in the future.
Principle 3: Do not evaluate the job during the process of analyses.
Principle 4: Analyse the whole job by looking for relationships as not every side of the job is
observable.

2.5 The job description is the document that is a great reference to managers and the
Human resource department and clarifies what an employee does to perform a specific job.
This document usually consists of the job title, department, position of the job, key
performance areas, description of tasks and duties and working conditions.
The job specification focuses on the person who is needed by the level of education, skill,
attitude and knowledge to be able to do the job according to the needs of the orginisation.
This will include education requirements, competencies, specific qualifications and
knowledge or experience of the industry.
STUDENT NUMBER: 21943129

Question 3

3.1 Reward management is the system whereby employees are rewarded with incentives
based on their work and level of performance in the orginisation.
The input is then the work performed by the employee and the output is the reward
received by the employee or group.
No worker will make an input if there is no output in the form of compensation.
This then ideally leads to workers working harder, more and better due to the external
motivation of the reward.
At the same time the goals of the orginisation are also being reached.

3.2 The orginisation first decide on their different employee groups within the orginisation
according to their skills.
A trend line is used to develop job classes and pay scales that will list it from highest to
lowest paid within the orginisation as well as centre line level jobs.
The jobs are then allocated to the different pay ranges from highest to lowest.
The actual pay level will then be determined in each range.
Once this is established then the overlap between ranges will be determined.
An employee will be paid the lowest scale when starting their new job according to their
qualifications and experience but will move up along the scale based on their performance
over a period but still within the class.
Promotion will then move the employee to a completely different class with a new basic
rate.

3.3 A salary is the remuneration that is paid to a permanent staff member, where the
employee is paid a similar amount at regular intervals like at the end of every month
irrespective of the number of working days in a specific month.
This is based on the pay scale, skill and knowledge as well as their performance.
A Take-home-pay is the amount of money that an employee receives after deductions.
These deductions include income tax and unemployment insurance.

3.4 Pension schemes

Personal needs
Financial assistance
Personal security benefits
Improvements to standard of living benefits
Company cars and fuel
STUDENT NUMBER: 21943129

Question 4

4.1 Absenteeism in the workplace is when employees fail to come to work for no good
reason.
This is also referred to as absence without leave.
This usually happens when employees are not motivated enough to come to work.
The employee’s morale will be very low and they will end up looking for other employment.
Staff turnover refers to how quickly staff are moving in and out of the orginisation.
This can be unavoidable due to death, retrenchment, going on pension or serious illness.
Avoidable staff turnover is when workers leave due to better paid employment elsewhere
or they are dismissed due to unacceptable behaviour based on negativity.

4.2 Organisations still continue to pay salaries and wages which means that the cost for
output is higher.
Overtime pay might have to be paid to employees performing the duties of those who are
absent.
There will be a reduction in productivity in production facilities due to it being underutilised.
The quality of products and services may drop.
The orginisation could incur costs associated with contracts due to incomplete tasks.
Important decisions might have to be delayed.

4.3 Job dissatisfaction when workers are dissatisfied at work they will not report for duty.
Substance abuse where employees that are addicted or inclined to abuse will not come to
work.
Personal problems will cause employees to stay at home.
Childcare where employees with children will be late or stay at home to take care of their
children’s needs.
Illness, occupational diseases or industrial accidents will cause absenteeism.
Problems with relationships at work amongst colleagues or superiors can lead to
absenteeism.

4.4 To assure victims that the organisation will give them assistance and advice.
Providing in-house counselling.
Supporting the employees right to complete confidentiality.
To provide referrals to professional assistance.
To establish educational programs.
Recognising that a substance abuser cannot take an addictive substance in moderation.
To support them fully in returning back to their job.