Challenges and Issues of HRM in Attracting and Retaining Workforce in Public Retail Sector

Running head: Human resource management
Human resource management

Human resource management
Introduction
The main objective of this task is to outline the key challenges and issue of HRM while
attracting and retaining the workforce in public retail sector. It talks about the ways that HRM
uses to attract employees towards the company and the retention issues that becomes a challenge
for the company to continue the interest of the employees. It provides recommendation to solve
the issues and suggest ways to overcome the issues. It explains that how the challenges and
issues that can occur in the organization. The strategies followed by the human resource
department gives a clear view to the organization to run the business and earn good amount of
profits. The paper explains the role and significance of human resource management within the
organization.
Key attracting and retaining issues
After the various studies, it has been found by Horwitz (2011) that attracting and retaining are
most of important and effective functions for the public retail sector in order to provide unique
products and services to the customers. In today’s era, there are various key challenges are being
encountered by the company while hiring and retaining the employees. The attraction of
employees is one of the major issues that HRM has to face in today’s competitive world. The
issues relate to the improper working of the business and ineffective implementation of
strategies. The bad functioning of HR becomes one of the major reasons why the human resource
department finds it difficult to facilitate the growth in the business (Horwitz, 2011).
The problem of attracting the employees is also because the human resource department fails in
fulfilling the expectations of the employees. They are unable to satisfy them by not giving them
the desired pay of their work, not giving them bonus and incentives, etc. This makes their
working an irresponsible activity and they are therefore unable to attract the employees towards
business. Employees function for the betterment of the company. They are the essential guide in
the retail sector. They do not follow proper strategies planned by the professionals of the industry
and therefore they are unable to meet the requirements of its workers. It is one of the significant
issue in employees attraction and hiring that could affect the success of the firm (York, 2010).
Cheese (2010) stated that the improper use of technology can also be a reason for employee’s
unwillingness. They cannot understand the working of the systems used by the companies. This
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Human resource management
discourages them and employees are no further interested in working for the company. It has
been noted by Pilbeam & Corbridge (2010) that HRM does not provide proper wages and
salaries to the workers in public retail sector therefore it increases attraction and hiring issues in
the workplace. Proper planning is not done by the retail sector therefore the employees are not
interested to join the company. Improper planning, therefore, causes repulsion in the workers
(Nickson, 2013). The retail sector is unable to appoint qualified and talented candidates due to
lack of proper planning and strategies. There is intense competition present in the marketplace
for effective and unique workforce. Due to lack of knowledge and skills, the managers are
unable to prepare the employees for doing work in an effective and efficient manner. Ample of
vacancies and opportunities are being provided by the competitors, Therefore, various issues
related to the workforce are dealt by the retail sector. High and effective recruitment cost is
another issue for the public retail sector that affects the profitability and revenue of the firm.
It has been stated by Ehnert, Harry & Zink (2013) that stereotyping is other issue that is
entertained by the company while working in the public retail sector. Cultural and diversity
issues are also faced by the mangers and leaders at the workplace. It has been noted that top
management and leaders do not provide motivation to the workers at the workplace (Renwick,
Redman & Maguire, 2013). One of the major issues that undergone in the retail sector is learning
and development that put the direct impact on the efficiency and effectiveness of the workers
(Larsen, 2017). It may also influence the long term objectives and goals of the firm. Effective
training and development sessions, seminars and programs are not held by the top management
hence it affects the mission and vision of the firm adversely. Along with this, health and safety
act and standards are not followed by the public retail sector therefore ample of attracting and
retaining issues related to the workforce are encountered by the top management (Boselie, 2010).
Globalization is another significant challenge that could have direct impact on the performance
and outcomes of the firm and employees as well. Brewster, Chung & Sparrow (2016) revealed
that leadership is the biggest and leading challenge for the HRM in the workplace. The company
is unable to supervise the activities and operations of the workers due to poor leadership at the
workplace. Due to lack of leadership, the public retail sector is failed to appoint new candidates
within the organization. Change management is the biggest threat for the personnel management
and it also affects the recruitment and selection process. Constantly changes within the
organization could have direct impact on the productivity of the firm. Along with this, the public
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