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HUMAN RESOURCE MANAGEMENT

By YMWGPK Udurawana
1 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Definition of HRM

Human Resource Management (HRM) is the efficient and effective utilization of human resources (HR) to achieve goals of an organization

2 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Generic Purpose of HRM


Generic purpose of HRM is to generate and retain appropriate and motivated employee force, which gives the maximum individual contribution to organizational success.

3 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Strategic Objectives
Procure RIGHT People, Time, Job Retain most appropriate employee Improve organizational commitment Generate & enhance job involvement & Organizational Citizenship Ensure motivate & satisfaction Control the cost of employee
4 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Job Design
Job design is a function of arranging task, duties and responsibilities in to an organizational unit (Job) for the purpose of accomplishing a certain objective Jobs are basic building blocks of the firm or an organization unit of work There are three main components of Job
Task Duties Responsibilities

YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Task Duty -Responsibility


Task is a series of motions and is a distinct identifiable small work activity Duty is a sense of task and is a larger work segment accomplished by completing a series of task Responsibility is the obligation (bound ) of to performing the entrusted task and duties successfully

Eg. Lecturer Task, Duty, Responsibility


6 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Techniques of Job Design


Scientific Techniques Job Enlargement Job Enrichment Job Rotation Professional Techniques

7 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Scientific Techniques
That is job divided into small parts and which are to execute b various person and who get specification of task. Result to job specialization This objective is maximize the organizational productivity by maximizing efficiency (Scientific Management) Tat results for short job cycle (Requires short time for job)
8 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Job Enlargement
Increase the scope of the job Include new duties Additional to current duties Increase the scope of the job It is horizontal loading

This is a job redesigning method Where job cycle is larger


9 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Job Enrichment
Increasing the depth of job Expanding Authority Expanding Responsibility For planning and controlling. It is vertical loading
This is also a job redesigning method
10 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Job Rotation
It is shifting an employee from one particular job to another without limiting the employee to do a particular job.
This helpful to create a skillful worker This is also a job redesigning method
11 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Job Design Elements


Two element can be seen
Efficiency Elements - It is affect of minimizing job executive time, cost, and attempt to keep efficiency. There are three elements of Efficiency Elements
Behavioral Elements - This factors directed to the employee motivation and development. There are five elements of Behavioral Elements
12 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

JOB ANALYSIS
It is a systematic investigation of Jobs and Job holder characteristics in order to create a collection of information that can be used to perform various HRM activities and functions And also it can be said as collecting, evaluating, organizing and recording information regarding Jobs within the organization
13 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Components of Job Analysis


Job Description Job Specification

14 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Job Description
Job description is a written statement of what the Jobholder actually does, how he or she does, and what conditions the Job is performed. There is no common format to JD. But we can identify following thing as generally at JD. Job identification. & Job Summary Relationship, Responsibility and Duties. Authority & Standard of performance Working condition Profile of the job characteristics 15
YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Job Specification
Specifies the key qualifications an individual needs to perform the Job efficiently and effectively. Describes the person ideally needed to perform the Job. A profile of human characteristic needed to perform the Job (Required abilities, education, experience, training, special mental and physical skills).
16 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

HR Planning
HRP is the process of determining future employee needs and deciding steps or strategies to achieve those needs for the purpose of accomplishing organization goals.

17 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

HR Planning Process
Forecast Future Demand for HR Estimate HR Supply Compare Demand with Supply Develop Strategies to be Taken

Assess HRP effort.


18 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Forecast Future Demand


This involves estimating the type and quantity of employee needs for future Following factors may affect to future demand.
Demand for Organization (Product). Strategic Plans (goals) of the firm Production Method /Technology (Capital / labor) Employee Movement External Environment
19 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Internal HR Supply
This involves making internal supply estimate Internal supply can estimate through following Auditing current human resources Identifying & arranging possible replacement That summarizes prepare two documents as Skill Inventories Management Inventories

20 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Skill Inventory
Skill Inventory
It refers to the document that specifies competencies of a current non managerial employee in the firm. Identify information of the employee Identify of the job of employee Education & experience Seniority Special competencies & performance Weakness
21 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Management Inventory
It refers to the document that catalogues technical, human relation, and other competencies of a current manager of firm. Number of Subordinate Supervised Jobs & Duties of Subordinates Total Budgets Management Training Received Creative & Innovations
22 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Compare Demand & Supply


Need comparisons of estimated Hr demand & Hr Supply Identify net employee requirements May be Human resources shortage or HR surplus of organization.

23 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Strategies for Surplus


Hiring Freeze (No further hiring)

Reduction of reward expenditure Attrition (Voluntary Departure) Early retirement Programme Lay off (temporary Stoppage) Formal out placement facility
24 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Strategies for Shortage


Overtime Outsourcing Internship Providing Part Time Hiring Capital Substitution Hire Temporary, Casual Workers

25 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Assess HRP Effort


Clearly Evaluate cost vs. benefit Determine its import on organizational goals & objectives

26 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Recruitment
It is the process of finding and attracting suitable qualified people to apply for employment

27 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Recruitment Process
Identify Job Vacancies
Determine Job Requirements Consider factors affecting Recruiting Prepare Job Applications Select the Recruiting Method Implementation & Evaluation
28 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Determine Job Requirements


Characteristics of Proposed Job Skills and Competence of Expected Person

29 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Factors Affecting Recruiting


Organization Recruitment policy Cost & Time Environment Workforce Planning Salary Employee Market Recruiting Habits
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Prepare Job Applications


Use common methods to collect data
Only essential information Enough space to provide data Helping information to applicant Simple and attractive

31 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Select the Recruiting Method


At selection process Firm must consider its Recruitment Policy
Internal Recruitment Policy External Recruitment Policy

32 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Internal Recruitment Policy


It refers to procuring candidates to fill vacancies within the organization itself

Advantages
Create Employee Moral Workers Career Development Employee Motivation Cheaper Cost Effective LMR

Disadvantages
Prevent new knowledge Employee conflicts Avoids new BLOOD Retains OLD BOOB (Error) Inbreeding (Junior follow same thing)
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YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Method of Recruiting
Simple word of mouth Use Skill Inventories Use Management Inventories Job Posting & Bidding Intranet Succession Plan that shows the successors who are to be recruited to future job at right time.
34 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Skill & Management Inventory


Skill Inventory It refers to the document that specifies competencies of a current non managerial employee in the firm.
Management Inventory It refers to the document that catalogues technical, human relation, and other competencies of a current manager of firm.
35 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

External Recruitment Policy


It refers to procuring candidates to fill vacancies outside the organization

Advantages
Create new knowledge Employee performance high Strength of new BLOOD Reputation High

Disadvantages
Prevent Employee Moral Employee De motivation Higher Cost Less Effective LMR

36 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Method of Recruiting
Employees Referrals Pre Applicant Past Employee Educational Institution E- Recruiting Executive Search Firms (Head Hunting) Special Event Recruiting Internship & Collage Recruiting Advertising
37 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Advertising
More popular method for recruiting Use TV, Radio, Banners, News Paper Consume high cost Attract large number of job seekers It impact on Attract to qualified applicant Attract already employees Firms own employee External Parties
38 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Two Type Advertising


Closed Advertisement No reveal about firm Use 3rd party to recruit Avoid canvassing Avoid public relation Competitive advantages Attract suitable persons Open Advertisement Reveal details of firm High cost Attract more persons High public relations

39 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Implementation & Evaluation


Take decision on above steps are implemented Which involves to individuals apply to vacancies, and application receive to the firm Evaluation can be done through following measures
Number of applications on decided time The cost for one applicant Performance of recruited person Number of application received
40 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Alternative to Recruitment
Overtime Facility Outsourcing Temporary Employment

41 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Selection
The process of making the choice of the most appropriate person from pool of applicants recruited to fill the relevant job vacancy Most Appropriate Person Most Qualified Person

42 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Selection Process
Evaluation of applications
R E J E C T I O N

Test

Interview
Background Investigation Medical Test

S E L E C T I O N
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YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Effectiveness of Interviews
Prior knowledge about an applicant Attitude of the interviewer The order of the interview Negative information The first five minutes

44 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Types of Interview
Individual Interview Panel Interview Structured Interview Unstructured Interview Mixed Interview Problem Solving Interview Stress Interview
45 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Interview errors can be seen as the major disadvantage

Interviews Error
Interviewer Errors
Hallow Effect Over emphasis on one criteria Leading Questions Pressure to hire Personal prejudice Interviewer domination Poor job knowledge
46 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Interviews Error
Interviewee Errors
Conflict answer Time consuming Showing one thing doing another thing Not listener Influence of non verbal behavior Pressure to hire
47 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Employee Test
Intelligence Test Achievement Test Aptitude Test Personality Test Practical test Mind Style Questionnaires (MSQ) Assessment Centre - A programme lasting for one or several days and using multiple methods of selection and multiple assessors to determine the suitability of candidates for particular job vacancies
48 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Background Investigation
Check references Past employment Behaviors Academic Finance

Medical Test
It is a formal investigation of applicant physical and mental fit for the job
49 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Hiring
Hiring is the process of appointing the selected candidate to the post/job which is vacant It involve s placing the selected employee on the right position of the jobs This process is normally vested in the top management of firm Highly responsible to get right person, for right job, at right time, in right way
50 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Hiring Process
Preparation Appointment Letter Notification to Appointees

Acceptance
Follow Up
Reject

Appoint from Waiting List


Enter in to the Employment Contract.
51 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Probationary Period
A selected period to prove certain capability for job before confirmed Confirmed employee become permanent Both party can terminate at short notice After probationary period, evaluation can done and, Confirmed Extend period Terminate
52 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Employee Induction
Induction is the HRM function that systematically & formally introduce new employees to the organization and its task. It can be a Formal or informal way Formal Systematic, planned attempt Informal Not Planned and it is ad hoc
53 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Objectives/Importance of Induction
Reducing the cost and inconvenience Increasing commitment (work hard) Cultural shock person vs. firm culture Reality shock Expected vs. Actual state Reduced tardiness, absenteeism, turnover Strong labor management relationship Accelerating progress up the learning curve Speeding up socialization & increased loyalty Reduce grievance & eliminate wastages
54 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Training
Training is the formal and systematic modification of behavior through learning which occurs as a result of education, instruction, development and planned experience. Training is the systematic process of altering the behavior, knowledge, and motivation of employee in a direction to increase organizational goal attainment.
55 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Objectives of Training
Develop the right skill & competencies of employee and improve their performance Help people to grow with the organization
Reduce the learning time of employee to achieve success and ensure fully competent and economical as possible
56 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Training Methods
Apprentice (Beginner) Training Job Rotation
New employee train with his job activities using his immediate boss or other trainer JR is shifting an employee from one particular job to another to provide proper training (identify strength & weakness of each units and its task)
Arrange a practical task, assignment, method to train the job holder
57 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Special Practical Assignment

Training Methods
On the Job Training Method Training is given by allowing the trainee to perform the duties of job. Behavioral Model Training It focuses on teaching interpersonal skills, cognitive skills through ideal job related behavior Vestibule (Hall) Testing Training is given in an artificial place considering expected aspect of training
58 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Training Methods
Outside Seminars
Organize to provide skill building training

Role paling
A training techniques in which trainees act out the part of people in a realistic problem and who get training related to the job.

Lectures
Verbal, written presentation to deliver the job knowledge
59 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Performance Evaluation
We can identify Performance Evaluation as a system of measuring, evaluating and influencing an employees job related attributes, behaviors and outcomes and discover employee present performance on the job.

60 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Cont
Who should do Immediate Supervisor Several Supervisors Other committee, Outsider Peer, Self, Subordinate Customers/Clients How Often Annually, Quartile, Weekly
61 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Establish Criteria
Criteria is the dimension of performance upon which an employee is evaluated. Those are two types

Objective Criteria These are quantifiable distinctly & easy to measure (Lecturer hour) Subjective Criteria That are not quantifiable distinctly & difficult to measure (Lecture quality)
62 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

PE Method
Self Evaluation Method Essay Appraisal Method Examination systems Critical Incident Method Point Allocation Method MBO Evaluation 360 Degree Method Field Review Method
63 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

360 Degree Method


This means employees are evaluated by each and every parts of the organization such as peers, customers, superiors, subordinated
Peer

Employee Customer Head

64 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Example

Communication Leadership

Personal Development

Adaptability

Development of Others Production

Relationship Task Management

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PE Errors
Errors can be seen on
Evaluator Error errors occurs base on the evaluator or evaluating panel Employee Error those are the errors of employee who are being evaluating Process Error that may be errors occur on used evaluation method or process.
66 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Employee Movement
Employee movements refer to change that occur with regard to the employees. Therefore EM is any change in the employment of worker which affected to his existed job characteristics and responsibilities.
67 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Movement Type
PROMOTION TRANSFER CHANGE RETRENCHMENT RETIREMENT DISMISSAL TERMINATE DEMOTION LAYOFF

68 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Promotion
Promotion is a upward change of the workers present position. (Changes can be on responsibility, more prestige, authority, pay, more rank, better job terms & conditions) At least their must be increased of the pay and a more important gap title
69 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Transfers
Transfer is the moving of an employee within the same jobs class or grade
(From one job, place, time, to another job jobs, place, time and from office to field and also transfer can be offered as a promotion)

70 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Transfers not be done on an imitation basis It should done on the need of organization No required frequently transfer for one employee as it breaks family consistency

Layoff
Layoff is a temporary stoppage of the employment of an employee due to reason/s which generally not controllable by the management and which expects to re-employ them in future.
Characteristics of Layoff
Employer must have an inability to retain further employee on employment Tentative stoppage & Re-employ in future
71 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Demotion
Demotion is the appointment of an employee who is currently working in the organization to a job that is lower than the job being performed by employee.

72 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Dismissals
Dismissal is moving an employee out of the organization permanently on disciplinary ground. Many disciplinary oriented behavior helpful to dismissals those are can be identified as follows
73 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Termination
Termination is the complete end of the employment service of employee by the employer. Reasons for Terminations The main reason is the resignation for termination, it can be done on employee or by employer
74 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Resignation
It can be identified in different ways as follows Voluntary Resignation - Employee decide to resign due to some reasons as
Finding a another job Getting married / Gone abroad Physical Disability Job dissatisfaction Reading for study
75 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Retrenchment
It can be defined as the permanent termination of the employment of an employee due to surplus of employee within the organization. To manage the retrenchment firm can practice number of activities as follows
76 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Retirement
Retirement can be describe as a leaving an employee from the organization after he has reached the age at which a person can be get. Compulsory Retirement - Age Forced Retirement Due to serious rules enumerated in the service agreement Premature Retirement - disable, dice, bad health, and family problems before retirement age.
77 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Compensation
Pay is defined as the basic reward an employee receives in return for worker contribution rendered for the organization where who work. Compensation System refers to money, goods and services provided by an employer to an employee in return for specific behavior offered by an employee
78 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Components of a Pay System


It is of twofold Direct pay - irreducible minimum of base pay Merit pay which is contingent on performance Incentive pay based on work done Differed pay such as savings plans, stock plans

Indirect pay and other components


79 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Components of a Pay System


Indirect Pay Protection programs-medical and life insurance Pay for time not work-holidays Perquisites-free meals, housing and transportation Premium- payment for working at inconvenient and difficult areas Overtime-for working extended hours Bonus-gratuitous payment not directly earned by workers Special allowances for special skills like language 80 allowances

Objectives of PM
To attract suitable, qualified person To retain appropriate employee To motivate employee To comply with legal requirements To ensure equity To control employee cost

81 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Equity Issues in PM
Fair pay is a pay that ensure equity. The equity is the degree of reasonableness. There are four type of equity Primary Equity Internal Equity External Equity Inputs Equity
82 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Equity
Primary Equity - If the pay received by the employee is sufficient to meat basic needs it is possible to say that pay possesses primary equity. Internal Equity This is refers to degree to which the pay is related to the relative work of jobs. It reveals similar pays for similar job and dissimilar pays for dissimilar jobs
83 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Equity
External Equity Payment for certain job is to be equal to that of other similar jobs in other organizations, specially in same sector or industry. Inputs Equity If employees are getting enough fair salary against his inputs used to perform duties of job with enough performance it is the input equity.
84 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011

Factors Affecting for Pay


Trade Unions Legal Requirements Financial Ability Productivity Strategy Competence Competitive Pay Cost of Living Labor demand /supply
85 YMWGPK Udurawana, Lecturer, Faculty of Management Studies, Rajarata University of Sri Lanka - 2011