THE MANAGING PEOPLE

Running head: MANAGING PEOPLE
Managing People
Name of the Student
Name of the University
Author Note

1MANAGING PEOPLE
Abstract
The following paper has discussed about the HR issues prevalent in the organization named
Sports Direct in the United Kingdom. The management of the company did not provide any
support to the employees and did not value them either. The organization had implemented an
oppressive system for the workers to suppress them and rip off their rights. The workers were not
given the proper wages for their efforts. The career development paths for the organization were
completely out of direction. Thus the organization suffered a huge hammer blow in this manner.
The role of the human resource management was very shameful since they were unable to
provide any support to the employees. The theoretical frameworks regarding HR practices have
been discussed in this paper to highlight the outcomes of the situation.

2MANAGING PEOPLE
Table of Contents
Introduction......................................................................................................................................3
Overview of the company................................................................................................................3
HRM issues in Sports Direct...........................................................................................................4
Fear among employees................................................................................................................6
Payment of minimum wages.......................................................................................................6
Exploitation in the contracts........................................................................................................7
Sexual harassment issues.............................................................................................................7
Implementation of the HR theories..................................................................................................8
Wages fund theory.......................................................................................................................8
Surplus value theory for wages....................................................................................................8
Wages bargaining theory.............................................................................................................9
Motivation theory for employees.................................................................................................9
Reasons for the failure of the Human resource department..........................................................10
Recommendations for better practices...........................................................................................11
Conclusion.....................................................................................................................................12
References List..............................................................................................................................13

3MANAGING PEOPLE
Introduction
The issues regarding the human resource management are very important for the success
of the organizations. It is applicable for all the organizations in all the industries. The department
of the human resource management has to control different things at different times. This is why
their tasks are really challenging. If the HRM department is not able to adjust their works
properly and face many problems due to this, they might face serious challenges and this might
affect the organizational performance (Reilly and Williams 2016). In this report, the company
named Sports Direct has been chosen i.e. based in United Kingdom only. Recently several issues
and challenges have been observed regarding the payment of wages. The conflicts among
workers have taken place because of that as well. Due to these conflicts there have been
performance issues harming their overall reputation. The following report will find out several
HRM factors for Sports Direct using the HRM theories and recommendations will be given on
how these challenges could be mitigated.
Overview of the company
Sports Direct is a very reputed sports retailer company based in the United Kingdom. The
company was founded in the year 1982 by a person named Mike Ashley. The company is said to
operate worldwide and it has around 670 stores all over (Sportsdirect.com 2019). There are many
sports brands that are owned by the brand of Sports Direct. The headquarters of the company is
located at Shirebrook in England. The sports and fashion brands that are owned by the company
are Lonsdale, Karrimor, Firetrap, Everlast, Slazenger and Donnay (Sportsdirect.com 2019). The
company has been charged with underpaying of wages to their staffs. This has become a huge
HRM issue for the company and this issue has drawn the attention of many international
organizations as well.