Cascio Chapter 2: Turnover

  1. Overview
  2. Voluntary vs. involuntary
  3. Function vs dysfunctional (sometimes the best way to change people is to change people)
  4. If students are a part of the OU community, when they drop out or graduate is that “turnover?”
  5. Meassurement
  6. Separation costs p. 27
  7. Exit interview
  8. separation pay
  9. administrative costs
  10. unemployment tax change
  1. Replacement costs
  2. Recruiting costs
  3. communication of job availability (~$17B annually in print media circa 2000)
  4. pre-employment administrative functions
  5. entrance interviews
  6. Selection costs
  7. testing
  8. staff meetings
  9. travel/moving expenses
  10. post-employment administrative costs
  11. required per-employment medical exams
  12. Training costs
  13. Materials/literature
  14. Instruction in formal off-site program
  15. Lower productivity while in developmental assignments
  16. Performance differences between leavers & stayers (note, this could be positive if it is functional turnover)
  1. Managing Turnover
  2. Turnover predictor scales (example of plotting attrition rates by date)
  3. Work modification/attitude change
  4. Best predictor of turnover is intention to turnover, best predictor of intention to turnover is job satisfaction
  5. Difficulty of creating a “supportive culture” and “maintaining commitment” in the internet age.

Cascio Chapter 3:Costs of Absenteeism and Sick Leave

  1. What is absence?
  2. Malingering
  3. Contract for time at work versus implicit contract for professional commitment (creativity on a schedule?)
  4. Measurement error in practice (excused vs. nonexcused)

i.“bed-check,” or 15 minutes here and there

  1. Estimating costs
  2. Steps 1-11 in Exhibit 3-2 (p. 63)

i.Assumes each hour is of equal value (one hour present vs. 5 minutes off when key customer needs service)

  1. Interpreting absenteeism costs

i.What benchmark to use?

  1. industry standard
  2. past costs
  3. change or trends

ii.opportunity costs

  1. Controlling costs
  2. Honda no work, no pay: production setting, not professional setting
  3. Positive incentives
  4. converting % of unused paid sick days to bonus or paid vacation.
  5. grandfather response (Purina plant)
  6. no fault absenteeism: takes onus off of supervisor to police situation
  7. occurrence, not duration
  8. paid time off: delegates to employees to manage their own time away from work by combining all paid time off into one lump sum.
  9. Eliminates personal integrity issues
  1. Bottom line is that you need to do a careful needs assessment to determine what system of incentives will work for the employees in your organization
  2. Systematic evaluation of any intervention is required
  3. Delegation of authority as far down the line as possible
  4. Training for supervisors and work teams to determine what boundaries of absenteeism and tardiness are a problem
  5. Supportive programs (EPAs etc.)
  6. Definition of unacceptable behavior (falsification of records, refusal of work assignments, etc.)

Cascio Chapter 4: Costs of mismanaging HR

  1. Diversity ?=? affirmative action ?=? no adverse impact
  2. Adverse impact: definition
  3. Affirmative action: definition
  4. Diversity: definition
  1. Costs
  2. Texaco example
  3. Purpose of task force was to “ensure greater racial diversity”- notice no definition is provided
  4. Astra example
  5. Hopefully this is the exception, since it requires collusion among a large number of people: Q? examples of where society supports and promotes such collusion?
  1. EEO Uniform Guidelines on Employee Selection Systems (1978)
  2. Only apply when adverse impact exists
  3. Job relatedness
  4. Test fairness
  5. Any other test with substantially equal validity and less adverse impact?
  1. Costs of investigation and litigation (Exhibit 4-1, p. 86)
  2. “Event” financial studies
  3. contrast stock price the day before and day after event announcement (e.g., announcement of an EEO suit)