Northern Arizona University
College of Business Administration

MGT 310--Human Resource Management

Ch 13: Employee Rights & Discipline

• Employee rights & privacy

  • Employee rights--guarantees of fair treatment (especially privacy)

    • Balance employee rights vs. employer responsibilities for safe workplace, goods & services

    • Negligent hiring--"reasonable care" in preventing employees from intentionally harming others during work

    • Job protection--job cannot be taken away without just cause

      • Psychological contract--expectations of fair exchange of employment obligations between employee and employer

      • Employment-at-will--either can sever relationship at any time without cause

        • Public employees--due process

      • Wrongful discharge--exceptions to "at-will" employment

        • Violations of public policy (law)--refusing to commit a crime, reporting criminal activity, disclosing illegal, unethical or unsafe practices, exercising employment rights (see Fig 13.1, p 553)

          • Whistle-blowing--government employees protected, some businesses

        • Implied contract--employer's promises

          • Employee handbook, HR manual, employment applications, interviews

          • Employer protections

            • Train supervisors/managers

            • Include statements about promises, including at-will employment

            • Require written acknowledgement of reading/understanding statements

        • Implied covenant--lack of good faith and fair dealings

        • See Fig 13.2, p 552

      • Constructive discharge--"forced" to resign due to intolerable working conditions

        • Intended to force them to quit

        • "Reasonable person" and "employer intent" standards

      • Retaliation discharge--retaliating against employees who exercise their rights

        • Unfavorable working conditions, transfer to lower-rated jobs, deny pay increases or promotions, impose unrealistic job assignments, become belligerent or uncommunicative

      • Plant closing notification

        • 100+ employees, 60-day notice of closure or layoff of 50+ employees

        • Except unforeseeable circumstances

    • Right to privacy

      • Personal freedom from unwarranted government or business intrusion into personal affairs

      • Much more limited than those at home

      • Employer's need for efficient operation of a business

      • Substance abuse and drug testing--see list p. 558

        • Safety-sensitive jobs--public sector, transportation...

        • Private sector--state laws (pro testing [AZ] or prohibit) else reasonable suspicion or probable cause

        • Drug-Free Workplace Act--government contractors $25K+

        • ADA--exempt coverage if use illegal drugs (covered if in treatment and not using)

        • Drug testing--reliability, false positives; impairment testing (keep cursor on track, eye movements)

        • Zero-tolerance policies--see Fig. 13.3, p. 561

      • Employee searches and monitoring

        • Employee theft

          • Merchandise, supplies, equipment, selling information, "time theft", computer crime...

          • 30% of business failures

          • 95% of businesses affected

        • Restrooms off limits, but not email, phones, desks, etc. unless specifically excluded by contract or policy

          • Include notification in policy

          • Avoid random searches

          • See list p. 562

      • E-mail, internet, voice-mail

        • 74% monitor

        • Need clear guidelines--see Fig. 13.4, p. 563

      • Access to personnel files--some states (not AZ) allow (see Fig. 13.5, p. 565)

      • Employee conduct outside of the workplace

        • Generally not subject to employer disciplinary action

        • Employer must establish a clear relationship to workplace or job (image!)

        • Some specific problems--workplace romances: sexual harassment, workplace violence, favoritism

      • Genetic testing--so far protected

      • Laws (see Fig 13.4, p 565)

• Disciplinary policies and procedures

  • Common problems--see Fig 13.8, p 568

    • Attendance

    • Dishonesty

    • Work performance

    • Behavior

  • Inaction--implies satisfactory

    • Some supervisors try to build a case to justify actions only after there is a problem

  • Rules

    • Widely disseminated/communicated

    • Periodically reviewed

    • Reasons explained

    • Always written

    • Reasonable and related to safe and efficient operation

    • Consistent enforcement

    • Employee signatures (but don't depend on that)

  • Disciplinary action is not "punishment" but a means of improving performance

    • Proactive vs. reactive

    • Constructive performance standards

    • Correct performance problems

    • Investigating--see Fig 13.9, p 571

      • Documentation--focus on facts

        • Rule violations

        • Misconduct

      • Perceptual errors

      • Employee right to representation (union or otherwise)

    • Approaches to disciplinary action

      • Progressive discipline--corrective actions by increasing degrees

        • Oral warning

        • Written warning

        • Suspension (with/without pay)

        • Discharge

      • Positive discipline--"early correction"--employee's must assume responsibility for conduct and performance

      • VIDEO: Boston Ballet (9.5 min)

      • Work plan

        • Specify performance expectations

        • Give deadlines/review dates--may be incremental for more serious problems

        • Specify consequences if standards are not met

        • Determine performance vs. standards on those dates

        • Take additional corrective action as needed

      • Discharging employees

        • Serious consequences for employee and organization

        • Determine standards for "just cause" and evidence for violation

        • See Fig 13.10, p 577

        • Informing the employee [no good way to do this, but should never be a surprise!]

          • Come to the point

          • Be straightforward and firm

          • Keep private, businesslike, and brief

          • Don't mix good with the bad

          • Stick to facts, avoid accusations

          • Avoid brining up personality differences

            • [A valid and common reason for discharge!]

          • Provide information about severance pay and benefits

          • Explain how you will handle employment inquiries [and unemployment benefits]

          • Never discuss or badmouth the person with others

        • Due process--employee's right to have a full and fair investigation, present their side, and receive a fair hearing

          • Not always required, but always good practice (especially if end up in court)

  • Dispute resolution--fair treatment, due process...

    • Step-review system--steps in review by higher management

    • Peer-review system--committee of employees and managers (separate or with step-review)

    • Open-door policy--settling disputes at level above direct supervisor

    • Ombudsperson--designated person who's job is to help resolve disputes

    • Mediation--third party dispute resolution (no authority to impose a solution)

    • Arbitration--legally binding resolution, which may be imposed by arbitrator

      • Reasons--cost savings, PR, time

      • Can still file with EEOC

• Managerial ethics--standards regarding right/wrong conduct

  • Most common problems--misleading promises to employees, drug/alcohol use, e-mail harassment of another employee

  • Guidelines--honesty and mutual respect

    • Make moral reasoning and decision making an explicit focus (top down)