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Summary Approaches to Staffing
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Explains how businesses can achieve greater flexibility, redundancy and dismissal, employer/employee relations (e.g. collective or individual bargaining), and the difference between businesses who see their staff as assets and businesses who see their staff as costs.

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  • September 27, 2020
  • 2
  • 2019/2020
  • Summary

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Theme 1 Topic 4
Approaches to Staffing
Asset or Cost?
Different businesses view and manage their staff very differently – viewing them either as an important asset
or as more of a cost to the business.

Businesses which see staff as ASSETS… Businesses which see staff as COSTS…
 Pay good pensions  Pay low wages
 Avoid redundancies  Use zero hour contracts
 Encourage socialising  Don’t invest in staff training
 Offer paid holidays  Don’t offer incentives such as fringe
 Invest in staff training benefits or overtime


Achieving Greater Flexibility
 Flexibility can be created using methods such as part-time work, home working, job sharing and
flexitime.
 Multiskilling occurs when workers are given the scope and ability to carry out a variety of tasks,
rather than specialising in one area
 Encouraged by the use of job rotation, where workers carry out an increased number of tasks at
the same level of difficulty
 Part-time working allows employers greater flexibility, e.g. having extra staff in place during busy
periods
 Temporary work involves giving employees short term contracts (makes it easier for employers to cut
staff when their contract lapses)
 Outsourcing involves finding another external business to carry out part of the production process, in
order to cut costs or achieve a better level of service

Advantages and Disadvantages of Flexible Working for the EMPLOYER

Advantages Disadvantages
 More relaxed and focused workers  Part-time workers = more recruitment and
 Save money – large office not necessary if training
staff work from home  Increases costs as more workers need
 More productivity as workers are more paying
motivated = less absenteeism and lower  Hard to keep control
labour turnover  Don’t know what staff are doing while
home working


Advantages and Disadvantages of Flexible Working for the EMPLOYEE

Advantages Disadvantages
 Commuting cut is working at home  Lonely/isolated at home
 More family time  Paid less if they work part time due to
 Flexible hours doing fewer hours
 Zero hour contract = no stable income

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