Assignment on Better Understanding of The Management

Running head: BETTER UNDERSTANDING OF THE MANAGEMENT
BETTER UNDERSTANDING OF THE MANAGEMENT
Name of the Student:
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BETTER UNDERSTANDING OF THE MANAGEMENT1
1.1Labour market trend in UK and Greece
It was being assumed that the UK labor market rate is about 76.1 percent higher in
comparison to the last year (Crisp, R and Powell, 2017). The studies clearly state that the
employment rates for both the men and the women have been progressing since the year 2012.
The participation of the women in the labor market has been due mainly because of the changes
to the pension authorized by the state. The studies that have been conducted clearly states that
there are a very few numbers of unemployed people in the UK from October to December 1975
(Fenwick and Goethem 2017). Since the comparable records started in the year 1971, the
inactivity rate for the people from the age group of 16 to 64 years has been fall. This is also
because of the economic inactivity rate for women. It has been noted that the hiring market is
highly competitive where the workers who are pursuing new roles often have many offers which
they can consider. The studies that have been done indicate that the workers who are not given a
raise in their pay tend to leave their job and search for a different job. The competitive base of
the salary and the bonus related to that of the performance is affecting the labor market
competitively. On the other hand, the unemployment and the higher amount of the reduction of
the wages which characterized the labor market in Greece are changing. There are certain sectors
in the economy of Greece which are showing a stronger sense of growth in employment. This
actually hints at the broader recovery of the economy. The study shows that there has been 7.5
percent or more employees in the trade, transport and in the sector of tourism (Theodoropoulou
2018). Apart from this, the industry, professional services and information and the
communication services also tend to record a substantial gain in the jobs. However, the financial
and insurance activities like that of agriculture are considered to be the weakest.

BETTER UNDERSTANDING OF THE MANAGEMENT2
There has been a great difference in the wage market between the UK and that of the
Greece. As per the national living wage in the UK, those whose age group is 25 and above gets
£8.21, people who are between 21 and 24 the rate per hour is £ 7.70 and people with the age
group of 18 to 20, the rate per hour is £6.15. However, the pay has increased by about five
percent in 2019. In Greece, the national minimum wage is around 758.3€ every month which is
9,100 euros per year.
The UK is considered as the world’s fifth-largest economy. 80percent of its economy
comes from the service sector. The financial industry of the service is also very significant here.
Greece which is considered as the developed country, 85% of its economy depends upon the
service sector and 12% from its industry. The significant industries of the economy in Greece is
that of tourism and merchant shipping.
1.2. How organizations position themselves in the labor markets
To position themselves in the labor market, it is very essential for the organizations to
implement a strategy which is resourcing. It will help in attracting the correct people and will
even help the organization from getting differentiated in the competition. The best form of
initiative is the security of the employment, high wages, ownership of the employee,
harmonization, long term perspective, etc. it is very important for the organization to value the
employee who is already a part of the organization. The organization can help them through both
the financial and non-financial factors. This is known as the employee value proposition. The
non-financial factor is the way an organization is open to diversity and the financial factor is the
way in which the employees are being retained. The main aim of the organization to be the
organization in which everybody wants to be a part of.

BETTER UNDERSTANDING OF THE MANAGEMENT3
According to the Higgs model, the four organizational patterns must be followed
Employer of cash: the employees are treated here very harshly but compensation is being made
(Geller and Telem 2015).
Employer of values: though high wage as per the market value is not being given, the
organization tends to behave very well with the employees (Pappadopulo, Thamm and Torre
2013).
Employer of churn: payment is very low and generally have a high turnover of the staff (Brower
2016)
Employer of choice: the practices, policies, benefits and the general working conditions attracts
and even retains talents
1.3 Significance of tight and loose labor markets.
A tight labor market is characterized by the low rate of employment, the higher ratio of
quits to employment, brief unemployment spells on the average and even the higher pressure of
the wages (Kroft, Lange and Notowidigdo 2013). It can also be said in such scenarios, the
economy of the country is full of employment and the process of recruitment becomes very
much difficult. It indeed puts an upward pressure on the wages. Consequently, this demand tends
to cause rise in the existing wage of the worker as the worker tend to hold greater power of
bargaining.
Contrastingly, the loose labor market is considered as the market of the employers where
the organizations have more employees who are capable enough to get hired as there is a scarcity
of jobs and the seekers of a job competing with the others for recruitment of the same position