1.4. - Employees Flashcards
(23 cards)
Why are employees considered an asset to a business?
Employees are valuable to a business because their skills and abilities can add value to products through quality production and excellent customer service, which can increase customer satisfaction and willingness to pay higher prices.
How can a business treat employees like valued assets?
By investing in them through training, ensuring their welfare, and motivating them, which can increase productivity.
Define employee productivity.
It’s the output an employee generates in a given time period.
Why are employees also considered a cost to a business?
Because they require remuneration (wages or salary), and incur additional costs such as recruitment, training, welfare, and severance pay.
What is the difference between a wage and a salary?
A wage is based on hours worked, typically paid to manual or low-skilled workers; a salary is a fixed monthly amount for a specific job, often paid to higher-skilled or office staff.
What is the national minimum wage and why is it important?
It’s the legal minimum hourly pay rate employers must offer, based on age and apprentice status. It protects workers from underpayment and can improve motivation but increases business costs.
What is dismissal in employment?
When an employer ends a contract due to employee misconduct or breach of contract (e.g., being fired or sacked).
What is redundancy and when does it occur?
Redundancy happens when a job role is no longer needed, often due to business closure, downsizing, or automation.
What costs are associated with redundancy?
Businesses must pay minimum redundancy payments to employees who’ve been with the firm for at least two years.
What are the benefits of a flexible workforce?
It helps match labour to business needs, improves efficiency, and can reduce costs by adapting quickly to demand.
What are full-time and part-time contracts?
Full-time = usually 35+ hours/week; Part-time = fewer hours, useful for covering absences and providing flexibility.
What is a zero-hour contract?
A contract with no guaranteed hours. Workers are called in as needed but aren’t obliged to accept shifts.
Define permanent and temporary contracts.
Permanent contracts have no set end date; temporary (fixed-term) contracts are for a specific duration, such as covering maternity leave.
What is shift work and when is it used?
A working schedule divided into time slots (e.g., night/day shifts), used when continuous coverage is needed (e.g., hospitals, factories).
What is homeworking and its pros/cons?
Employees work remotely. Pros: saves on commuting, improves flexibility. Cons: can be distracting and harder to monitor performance.
What is flexitime?
Employees complete required hours but choose when to work. Helps balance work/life, but complicates scheduling.
What is outsourcing?
Hiring external firms for certain tasks (e.g., manufacturing, marketing) to avoid training internal staff.
What are the benefits of a multi-skilled workforce?
Fewer workers needed, flexibility to cover various tasks, better output during staff absences, and increased motivation due to job variety.
What are the drawbacks of multi-skilling?
Higher training costs and potentially increased wages as multi-skilled workers may demand more pay.
Why is a good employer-employee relationship important?
It builds trust, reduces conflict, and boosts motivation and productivity, leading to increased profits.
What is individual bargaining?
When an employee negotiates their own pay or working conditions based on their value or personal needs (e.g., flexible hours for caregivers).
What is collective bargaining?
When a group of employees is represented (e.g., by a trade union) to negotiate pay and conditions with the employer.
What are trade unions and how do they benefit workers?
Organizations that represent employees in negotiations, protect against unfair treatment, and campaign for favourable laws (e.g., minimum wage).
