Tag Archives: HR Blog

#HR #Word: #Picketing

Picketing is a form of protest in which people (called picketers) congregate outside a place of work or location where an event is taking place. Often, this is done in an attempt to dissuade others from going in (“crossing the picket line”), but it can also be done to draw public attention to a cause.

Source: atlaintownpaper

The unionized workers who are involved in picketing are called pickets.

They involve in picketing mainly because they have some disagreements with the employer.

Picketing is lawful only if it approved by a majority vote in the union. Also workers in a picket line need to be peaceful and it is unlawful for them to force people to not enter the premises of the employer. The main purpose of picketing is to pressurize the employer to agree to the demands of the union workers or to bring to the notice of the employer the grievances of the union workers.

Picketing is allowed only to those employees who work at the workplace outside which they picket. For example a business may operate from various locations however workers can picket only outside the location where they work or where their unions are certified. They cannot picket outside other locations of business of the employer.

There are three types of picketing:

1) Informational Picketing: When pickets inform people about the concern of their union to the public.

2) Mass Picketing: When pickets try to gather as many people as possible in the picket line in order to show the employer that their cause is supported by a large majority of people.

3) Secondary Picketing: When pickets try to stop suppliers of the employer like lorry drivers etc from delivering supplies to the employer.

4) Flying Picketing: When workers involved in an industrial action move from one workplace of the employer to another to picket them. This type of picketing is unlawful.

Source wikipedia

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Posted by on May 24, 2018 in HR Word of The Day


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#HR Word:#Golden #Handcuffs

Golden handcuffs, a phrase first recorded in 1976, refers to financial allurements and benefits that have the objective to encourage highly compensated employees to remain within a company or organization instead of moving from company to company (or organization to organization) 

Golden Handcuff is financial incentive & other benefits offered to key employee as measure to retain them in the organization.

 Golden Handcuff is a method of motivating the employee into staying in the job because of his/her expertise for the company.

Golden handcuff cab be offered in various ways

– Different contractual arrangements

Employer sign contract with individual employee which will give him certain special benefits. These contracts are tailored made for each employee.

-Employee Stock Option

These are long term stock option given to high performing employee which are exercised after certain predetermined period of employee service.

Golden Handcuff as the name suggest are similar to parrot in golden cage. Though financial benefits are lucrative, these are mostly deferred payments. These can be encashed if employee stays with the organization for sufficiently long period of time. In this way employer ensures employee stays with carrot of long term gain.


Penalty for early exist by employees

In case employee leave company after agreeing to contract of golden handcuff, there is penalty clause in these contracts. Penalty clause could be end of employment or leaving stock options offered.

Golden Handcuff on one hand offer big financial benefits such as stock options and on other side bind employee by non-compete clause ,non-disclosure agreement.

Also financial gains offered are available after sufficiently long period. Golden handcuff in this way offers no immediate lucrative financial gain but if employee retains for long period and performs well, he can gain from golden handcuff.

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Posted by on April 27, 2017 in HR Word of The Day


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#HR #Word:#Intellectual #Capital

The term “Intellectual Capital” collectively refers to all resources that determine the value of an organization, and the competitiveness of an enterprise. 

Understandably, the term “intellectual capital” from a human resources perspective is not easily translatable into financial terms.  For all other assets of a company, there exist standard criteria for expressing their value. 

Perhapss, this term could more appropriately be called a “non-financial asset.”

  In an article written by Paolo Magrassi titled “Taxonomy of Intellectual Capital”, 2002, Mr. Magrassi defines human capital as “the knowledge and competencies residing with the company’s employees” and defines organizational intellectual capital as “the collective know-how, even beyond the capabilities of individual employees, that contributes to an organization.”

Although there has been an increasing interest in intellectual capital and an increasing interest in how it might be managed, there has been little written to succinctly describe and define the concept.  

Intellectual capital can include the skills and knowledge that a company has developed about how to make its goods and services.  It also includes insight about information pertaining to the company’s history; customers; vendors; processes; stakeholders; and all other information that might have value for a competitor that, perhaps, is not common knowledge.  

Intellectual capital is therefore, not only organizational knowledge, it is also industry knowledge.  It is the combination of both cognitive knowledge and intuitive/experience-related knowledge.


Elements of Intellectual Capital

In all definitions of Intellectual Capital, the following taxonomy can be recognized:

  • Relationship Capital: All business relationships a company entertains with external parties, such as suppliers, partners, clients, vendors, etc.
  • Human Capital: Knowledge and competencies residing with the company’s employees.
  • Organizational Capital: The collective know how, beyond the capabilities of individual employees.  E.g.  Information systems; policies and procedures; intellectual property. (Sullivan, 2000)

Preserving Intellectual Capital?

The problem today in many organizations is employee attrition through layoffs, resignations, retirements, and other forms of employee separation from the company.  We would like to ask employers the following question… Are you sure that when the economy sufficiently turns around, you are able to predict if your most valuable employees are about to walk out the door? Think and Act.

Refer below link on few tips on how to preserve intellectual capital

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Posted by on April 25, 2017 in HR Word of The Day


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#HR #Word: #Goal #Displacement

Goal Displacement is a situation in which the original goals of the organization are superseded by the new goals which are developed during the course of time. 

Goal displacement can happen because of many reasons and at many levels, with the only objective of ensuring the growth and prosperity of the company.


Organizations develop initial goals to be achieved and for achieving them some methods and rules are devised and followed. But during the course of time, these rules and procedures may become primary and more important than the original goals. 

The new goals may serve the interest of the employees or the management of the organization. This is an inevitable threat organizations face.


In cases where the organization’s original goals are already achieved or when the original goals are no longer necessary, goal displacement has positive effects which help to organization to direct its energy elsewhere. For example an organization which was initially intended to fight polio would displace its goals once the vaccine for polio is invented.


If the individual goals conflict with the organization goals then goal displacement happens at personal level. Giving more importance to the means by which the goals are achieved than the end results may displace the goals. And also if the long term goals are substituted by the short term goals or if the original goals of the organization are uncertain or abstract, goal displacement takes place.


Examples: ln some of the government schools, performance of teachers may be decided on the basis of attendance and punctuality. And gradually these become the key criteria for performance measurement than the way of teaching and results.

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Posted by on April 23, 2017 in HR Word of The Day


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#HR #Word:#Flexible #Staffing

Flexible Staffing is an arrangement in an organization where the employees can be from temporary agencies, leased employees or contract workers. 

The word Flexible Staffing has many connotations.

The following are a few of them:

• Temporary Agencies – workers that are provided by agencies to a particular company for a limited period of time on a momentary or perpetual basis. The company usually allocates the work to the employees. The momentary workers are generally employed for a short term which is less than one year which is the vital differentiator for them.

• Leased Employees – a company leases all/portion of its workforce on a fairly perpetual basis from an agency. The workers are normally instructed by the client, but are on the payroll of the agency.

• Contract Workers – these workers are employed by a company that contracts out their services to a client company. Contract workers work for just one client at a time and that too at their worksite. However, their work is normally administered by the contract company, not the client.

The dissimilarity between agency temporary, leased employee, and contract company worker does not exist and is often fuzzy. In most polls, workers are asked to recognize themselves which are open to interpretations which muddies the results.

Some of the other types of flexible staffing situations include:

• Self-governing Contractors – Legally, these workers are self-employed, and they may or may not perform their services at the client’s worksite. The only data on the number of self-governing contractors comes from the Existing Populace Study. In this study, labors who specified that they worked as self-governing contractors, self-governing advisors, or self-employed workers were categorized as “self-governing contractors.”

• Direct Hire temporaries– These workers are employees of the companies where they work. They are employed for a partial period of time (usually for periodic work or for a distinctive job).

• On- call workers – These workers are also employees of the companies where they work; they are employed for an unlimited period, but they do not have frequently planned times. They are called in to work on an as desirable basis, often to fill in for an absent worker or to service with an augmented job. Standby instructors and numerous hospital staffs are on-call employees.



1.Labor efficiency is high in a flexible staffing environment.

2.It also reduces the need to have employees work overtime to meet any deadlines. 

3.The costs of maintaining the workforce are usually lower in a flexible staffing strategy.

4.The company saves time/cost associated with finding the right candidate withthe right skill set since all that is taken care of by the staffing agency

5.Along with lower cost of maintaining the workforce, there is no cost associated with termination of employees. 

6.Low legal costs linked with employees

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Posted by on April 12, 2017 in HR Word of The Day


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#HR Word:#Firefighting🔺

Firefighting is a concept of finding a solution or quick remedy to a critical business problem which has occurred suddenly, without too much preparation by the organization. 

Firefighting, as name suggest, is derived from practice of extinguishing the unpredicted fire in the emergency situation. 

With time, the term has been used in the corporate world, in which extra resources are being employed in case of an emergency/critical situation.

 These resources could be anything, right from increasing manpower to employing more machine/systems on it.

Some of the plausible situations are as follows:

• Project closing its dead line and some accident takes place which leads to delay as an consequence

• Real emergency occurs that could hamper and do immense danger if not countered upon immediately

In Today’s evolved corporate culture, Firefighting is considered to be a technique to be used as a last resort at disposal. Proper processes and necessary securities need to be taken and adhered to, for avoiding such emergency situations. 

Having said that, most mature organizations are always on be their toes to deal with the uncertain and unforeseen situations in their regular processes.

Following example describe the Firefighting concept:

Suppose an IT organization is working on a project with a definite deadline. Things were moving as per the self-adopted time line but suddenly two days before the deadline, there is a major code crash .That code crash impact was so severe that the whole schedule got delay by additional 5 days.

Here the Managers would adopt a Firefighting strategy. They would use all the resources at their disposal to try and meet the deadline. Coders and other support team may be pulled from other projects for short basis and additional machines could be utilized. Experts would be called upon and if feasible some of the work could be outsourced

Hence all necessary steps would be taken up to do deal up with the emergency and counter the situation at hand. This would summarize the Firefighting technique.

Hiring Huge Volume in Sudden Rise of Business also Calls for Implementing Firefighting Hiring Strategy. 

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Posted by on April 11, 2017 in HR Word of The Day


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#HR Word:#Factor #Comparison Method (For #Job #Evaluation)

Factor Comparison is a method used to carry out Job evaluation. Job evaluation refers to the measurement of the value of a job relative to other jobs.

Factor comparison is a complex quantitative method.

In this method, each job is given a rank on the basis of a number of factors. 

These factors are enumerated below:

1) Skill

2) Mental effort,

3) Physical effort,

4) Responsibility, and

5) Working conditions

A composite score is obtained by assigning different weights to each factor and the value of the particular job is hence obtained. The jobs are then compared on the basis of their composite score.

The steps to be followed in this particular method are as under:

Step1: Key Jobs across the organisation are selected. About 20-25 jobs across various departments of the organisation can serve the purpose well

Step2:  For each job selected, corresponding evaluation parameters are selected

Step3: Each job is given a rank under each formulated factor in an independent fashion (without any consideration from other parameters)

Step4:  An equivalent monetary value is assigned to each job parameter

Step5: The money value of the job is then apportioned amongst the formulated factors.

The advantage of this job evaluation method is its broad application. 

It can be used in wide range of job roles, it can also be applied to the new roles in different organizations to compare them with similar positions. 

Converting the value of jobs in monetary terms can enable the organizations to make sure their recruitment and selection method provides a reasonable return on investment

 Monetary values are assigned in very fair way according to the agreed ranks fixed by the job evaluating authority. This method is flexible as there is no upper limit on the rating of the factors.

The major disadvantage attached with factor comparison method is that someone will have to make a decision on evaluating the relative worth of each factor. For example, some employee might believe that knowledge is worth more than skills and might allot this factor more salary. It is difficult to operate, explain and understand. It is also costly as well as time consuming

Refer the below link for more detailed Practical examples.

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Posted by on April 9, 2017 in HR Word of The Day


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