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Introduction
The world's largest retailer, WalMart is beset by allegations of
discrimination, overtime-law violations and turnover that is "spiraling in the wrong direction," to the tune of some 600,000 employees a year. Many current and former female Wal-Mart employees claim that the worlds largest private employer denied them a chance to move into management or that they received lower pay than their male counterparts. It is also alleged that Wal-Mart pressurizes employees to work unpaid overtime.
HR Planning
Process of systematically reviewing human resource requirements to ensure that required numbers of employees, with required skills, are available when needed.
center and did minimal investments Huge gaps in HR planning Only a few qualified professionals with necessary credentials were hired Limited in house people manager certification program
Compensation Management
Compensation - All rewards that individuals receive as a result of their employment
competitors as they operated at a profit margin of 3.26% Starting hourly wages were as low as $7 to $8 Differential compensation men made more money than women employees in almost every job category The retail industry spends $2,379 for each new hire. At that price, the tab for hiring 600,000 workers (per year) would be $1.4 billion
process. It was a tap-on-the shoulder process Employee turnover is staggeringly high as high as 50% Women make up 92% of Wal-Marts cashiers, but only 33% of management 2/3rd of the hourly workers were females. But in the management level only 1/3rd were females
themselves working off the clock so frequently that they formed an "Over-40 Club" Employees accused the company of failing to record extra hours of work, altering time records, and preventing them from taking rest breaks. A lawsuit filed by Taylor Vogue and Sally Mussmann in June 2001, on behalf of Wal-Mart employees, stated that, "Wal-Mart gives its employees work assignments impossible to complete within scheduled hours, and then pressures the workers to complete them anyway through intimidation and threats of adverse employment consequences. Managers were not given sufficient time to relocate, which often created problem for the female employees
Organizational structure
Wal-Mart follows a highly decentralized structure This led to
rogue managers in local stores to act in defiance of general company policies that created many of the problems often cited in the lawsuits.
Recommendations
Move towards centralized HR policy making The general attitude towards HR needs a change. It should not
be seen as a Cost center Recruitment of competent and qualified HR professionals through proper and fair channels The method of getting into management was not an open application process.It should be a transparent process. No tapon-the shoulder policy As an immediate damage control, steps should be taken to increase female representation in management