1. After reviewing the information in the case, my first course of action if I were Juanita Nelson, would be to interview current employees to gauge the responses of the ex employees. A comparison between ex workers and current ones to find the common areas that affect both sets. I would also choose to interview the Supervisors to gain their perspective on employee relations. At the end of these three sets of interviews I would use the information gathered from the perspectives of the ex employees, current employees and supervisors to gain a more complete understanding of the issues plaguing the check processing department.
2. The Human Resource functions are:
a) Conducting Job Analyses
b) Selecting Job Candidates
c) Orienting and Training New Employees
d) Managing Wages and Salaries
e) Appraising Performance and Communicating
f) Training and Developing
g) Building Employee Commitment
h) Equal Opportunity and Affirmative action
i) Employee Health and Safety
j) Grievance and Labor relations
Of these functions, the pertinent ones relating to the Turnover at the Bank case are: Managing Wages and Salaries, Appraising Performance and Communicating and Building Employee Commitment. Firstly, the bank seems to have no policy regarding starting salary and as such as with any company that underestimates the importance of managing salaries and wages, they suffered high employee turnover, low employee morale, productivity and retention. According to the chart in the case, some employees working only 1 year were making more than employees working two years conducting the same job. Salaries and pay raises were not treated with confidentiality within the bank and as such caused great discord among workers. It seems clear policies were not known to staff as to what level of productivity merits salary increases. Secondly, Appraising Performance and Communication, It was cited across all interviews by former employees about the lack of communication between them and the Supervisors and also the lack of positive reinforcements from the supervisors.
There was no open communication fostered between employees and supervisors with the former being described as unapproachable by one employee. Performance appraisal guidelines don’t seem properly set out as to what exactly warrants a raise. As one ex employee stated that raises were based on merit but yet some felt their efforts were unrecognized. Thirdly, with regards to Building Employee Commitment, from the interviews it is apparent that the Supervisors and the Bank are failing at this function with a forty percent turnover rate in the check processing department. The combination of low morale and disgruntled workers caused by the lack of policies in place to build a strong employee commitment has led to this.
3.By strengthening the HR functions, I feel the turnover issue at the bank can be resolved. Firstly with regard to Managing Wages and Salaries the bank needs to review its salary structure and compensate workers according to fair and competitive pay practices. Starting workers should never make more than trained workers performing the same jobs. Secondly for the Appraising Performance and Communication function, I feel, the biggest changes must be made. Raises should be given based on clearly defined merits and an appraisal system that is fair to all employees must be adopted to lessen the feeling of unfair raises amongst the employees.
In terms of communication, the bank should try a down – up method of communication with employees being regarded as givers of important information for crucial decision making at the top management level. Supervisors should be trained to facilitate open communication with their employees to gain important feedback from them to make them feel more comfortable in their work environment and in turn become more productive.
Thirdly , Building employee commitment can be properly achieved at this bank by adopting several simple practices that will fulfill the psychological needs of their employees, namely creating an employee of the month to highlight employees who are highly productive every month, by having supervisors recognize employee efforts and praising them for specific tasks done well, being flexible with employee hours, instituting a small break in the afternoon hours, bringing on contract workers to do the Saturday shift would all foster employee commitment because the employees will feel that upper management understands and appreciates their needs and they in turn will be more committed to work for an organization that they feel takes care of them. By building employee commitment, the bank will see fewer staff turnover in the check processing department.