Human Resource Management Report: Waitrose HRM Practices

This report provides a comprehensive analysis of Human Resource Management (HRM), exploring the key differences between personnel management and HRM, and delving into the core functions of an HR department. It evaluates the roles and responsibilities of line managers within HRM, emphasizing their significance in recruitment, training, mentoring, and employee appraisal. The report also examines the impact of legal and regulatory frameworks on HRM practices, including legislation related to discrimination and employment standards. Furthermore, it assesses the reasons for human resource planning, outlining the stages involved and comparing recruitment and selection processes across different organizations. The report delves into motivational theories and reward systems, evaluating their effectiveness and exploring methods for monitoring employee performance. Finally, it addresses the reasons for employment cessation, the exit procedures used by organizations, and the impact of legal frameworks on this process. The report uses Waitrose as a case study, providing practical insights into the application of HRM principles.

Human Resource
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Difference between personnel management and human resource management..............1
1.2 Functions of Human resource management.....................................................................2
1.3 Evaluate role and responsibilities of line managers in HR...............................................3
1.4 Impact of legal and regulatory frameworks on human resource management ................4
TASK 2............................................................................................................................................5
2.1 Analysis of reasons for human resource planning............................................................5
2.2 Stages in human resource planning..................................................................................6
2.3 Comparison between recruitment and selection processes in two organisation...............7
2.4 Evaluation of techniques preferred by these organisation................................................8
TASK 3............................................................................................................................................8
3.1 Assessing link between Motivational Theory and rewards..............................................8
3.1 Process of job evaluation ...............................................................................................10
3.3 Assessing the effectiveness of reward system ...............................................................10
3.4 Methods to monitor employee performance...................................................................11
TASK 4..........................................................................................................................................12
4.1 Reasons for cessation of employment............................................................................12
4.2 Employee exit procedures used by organisation............................................................13
4.3 Impact of the legal and regulatory framework on employment cessation......................14
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................16

INTRODUCTION
Management is defined to process of controlling and management of things in such a
manner that organisational goals are attained. It aims to utilises the available resources with the
organisation in ideal manner so that best can be attained out of them. An organization undertakes
variety of resources such as financial, human resources, inventory and IT. It is essential to
effectively manage all the resources with an organisation so that a superior position is maintained
in the market. Human resource management is defined to be controlling the activities of
employees in such a manner that organisational efficiency is attained (Schuler, Farr and Smith,
2013). Waitrose is a renowned British supermarket chain. The company have emphasized the
importance of the employees and have financial contribution from them as well. This assignment
aims to identify major differences between personnel and human resource management.
Rewarding of employees will be understood for the purpose of motivation and retention. The
recruitment and cessation of employees will be understood thoroughly in this assignment.
TASK 1
1.1 Difference between personnel management and human resource management
Both human resource management and personnel management aims to looks after the
needs of human resources and aims to fulfil the same. The justification for the same is that
human resource has become core element of an organisation and needs to be looked after to
achieve the organisational goals in the competitive manner. Human resource management is an
contemporary approach to look after the needs and wants of human capital of an establishment.
Approach: it defines the manner in which issues and queries are dealt with in an
establishment. Personnel management focuses on establishing a policies, practices and contracts
for employees where as human resource management emphasizes on values and mission of the
organisation (Werner and DeSimone, 2011). It aims to improve the performance of employee
through job satisfaction and strategic team work. The tools of rewards and bonuses are employed
in personnel management only.
Nature: nature of human resource management is proactive. It is an ongoing process
which strengthens the human capital of an enterprise. The efforts are continuous to achieve
strategies and objectives of organisation. Personnel management on the other hand carries a
reactive approach. The action are taken after the issue have been raised.
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Application: Human resource function is an integrated process in the functions of
organisation. The activities are synced and coordinated with other functions of an organisation.
Where as Personnel management is an autonomous body separated from other functions. It
carries a minimal involvement from the line managers and no coordination with other functions.
It is evident from above mentioned points that personnel management is an orthodox
approach which pays less consideration of the feeling and values of human capital. It is a
department which employs hard HRM practices which lacks its suitability to the present
environment.
1.2 Functions of Human resource management
Functions are defined to be the tasks which are carried out by Human resource
department to fulfil their responsibilities (The Role and Challenges of a Line Manager, 2017). A
human resource department is responsible for variety of function which are undertaken by him
are as follows:
Recruitment: the first and most important function carried out by HR department is to
fulfil vacancy of an organisation with a suitable candidate. It involves activities such as inviting
applications, interviewing and finally selecting candidates who possess the capability to
complete the task in the ideal manner. The vacancies must be filled on time so that there is less
disruption in the work.
Payroll administration: It is the another task for which human resource department
stands beneficial. In organisation such as Waitrose this task is often handed over to finance
department so that activities and focus related to human resource should not be diverted.
Motivation: It is another task which is to be looked after by this department. It is
persuading of employees so that work is done in the way it is expected. Employees are to be
motivated on regular basis so that they contribute to the goals in their full potential.
Compensation: It is defined to be the amount which is paid to consumer in return to the
work he has done for the organisation. It can be categorised on the basis of financial and non
financial payments. The various components of compensation includes base pay, commission,
bonuses and other benefits. The payment of compensation is justified which supports an
employee to work with an organisation for longer duration of time.
Training and development: Training and development are defined to activities which
aims to enhance working capability of an individual so that he is able to fulfil the task in
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competent manner. This function is also undertaken by the human resource department which
assess current performance of the skill and identify the training needs. The deviation from the
ideal performance is supported by designing a training and development program which fulfil the
gaps between the two.
Performance management: The human resource department ensures that efforts and
activities of employees are directed towards goals of the organisation. The HR manager makes
sure that employees work in an harmonious manner and perform up to their potential to
contribute to the organisational goals (Performance Management, 2016).
1.3 Evaluate role and responsibilities of line managers in HR
Line manager is the person responsible for effective management of employees in an
organisation. He is responsible for responding to a higher management regarding the concern of
employees. Line managers are also referred to as Direct manager in some contexts. The various
roles and responsibilities of a line manager in HRM are as follows:
Selection: this is the first task which is to be carried out by line manager. A line manager
is responsible to select right suitable person for the organisation. The applications received are
generally large in number therefore an it is his responsibility to screen out the best one among
them.
Training: Training is provided to an employee so that the task assigned to him in fulfilled
in an ideal and efficient manner. The line manager assess need of training of employees by
comparing their actual performance to standards described for the same. The new joiners in an
organisation are also supported by training to fulfil the task assigned to him therefore it is also to
be ensured by the line manager as well.
Mentoring: this responsibility encompasses motivation, direction, success and advice to
employees. A line manager have to act as a mentor or role model to the workforce. He directs
efforts of employee towards goals of the organisation. He encourages or advices employees to
overcome a certain situation so that their contribution to the target is significant.
Appraisal: In this context, appraisal is defined to be the evaluation of skills and
performance of an employee. This is done to identify the hurdles and obstacles being faced by
him so that they can be resolved. Line manager in an organisation provides constructive
feedback to appraised employee so to improve the performance of the same.
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Grievance: There can be circumstances in which an employee feels he is being treated
unfairly in an organisation. It is responsibilities of a line manage to redress employee's grievance
and to maintain a positive environment in an organisation.
Termination: the line manager in an organisation carries power to eliminate non
functioning human resources in an organisation. An employee who is not contributing or
disrupting functioning of a business can be terminated by line manager to facilitate smooth
conduct of a business.
1.4 Impact of legal and regulatory frameworks on human resource management
Separate legislations have been formulated by the government which looks after needs
and interest of human resource working in an organisation (Kehoe and Wright, 2013). Line
manager in an organisation have to ensure that these laws have been adhered. Line manager are
also responsible to advise management on the various issue undertaking employee legislation.
These laws carries a significant impact on the human resource functioning. The organisation
have to adopt soft HRM practices instead of treating employees as a mere resource to get the
work done.
Sex discrimination Act 1995/97: this law states that there should be no discrimination
solely on the basis of sex of an employee. It had a significant impact on the empowering of
women in context of employment. Human resource practices were formulated which had a
significant impact on position of women in an organisation and the opportunities they availed
post enactment of this law.
Race Relations Act 1992: Race relation act is another law enacted by the parliament of
Britain to stop discrimination on the basis of race. The grounds which were covered in this law
were race, colour, nationality and ethnicity of an individual. This again had a significant impact
on human resource management as all employees working are viewed as same and diversity in
an organisation is promoted to a large extent. This changes brought positive outcomes in terms of
productivity and profitability of business.
Equal Pay Act 1970: This act ended favouritism in terms of payment of salary. This act
stated that employee are paid equal for equal work done. There will be no discrimination on the
grounds of sex or favouritism. This act is gentrified in the year 2010 which takes into
consideration the EU directives on equal treatment of employees. It experienced a significant
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impact on the human resource management which ensured that no discrimination in organisation
will be done in context of payment of wages.
Employment Act 2008: this act consist of reformation of the EU labour law. The
emphasis of this act is to improve the relationship between employees and employers in an
organisation. This act also defines certain standards of employment such as minimum wages,
working conditions, dispute resolution and minimum working hours and various other standards
of employment. The reformation of this act brought along the stronger enforcement of the same
on to the industries so that a better adherence is ensured.
TASK 2
2.1 Analysis of reasons for human resource planning
Human resource planning are the activities undertaken by the line manager to ascertain
the requirement of human resources in an organisation (Kusluvan and et. al., 2010). Planning of
human capital is done to overcome manpower insufficiency in an organisation. This process
begins with analysis of human resource and identification of requirement for the future
considering market demands and conditions. This planning of human resources can be done for
the to serve the various links such as organisational purpose, strategy (It can be done to fulfil a
strategy of a business i.e. expansion) and senior management. The various other reasons of HRP
are:
Purpose: it is defined to be reason of existence of a company. The change in the purpose
will invite changes in the structure of a company. When a business is looking to expand its
operations or requires people will different skill set will require effective planning for the human
resources so that objectives are attained.
External factors: there are variety of external factors which influence the need for human
resource planning for an organisation. The patterns of demand and supply allure human resource
manager to planning the needs of human resource capital for an organisation (Lengnick-Hall,
Beck, and Lengnick-Hall, 2011).
Internal planning factors: there are variety of factors in the internal environment which
promotes human resource planning. When a company is looking to introduce technical changes
or new products in the market it will require additional human capital with the organisation who
are competent with use of technology and able to launch new products to the market in an ideal
manner.
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Time horizon: When an organisation deals in the seasonal or timely bound operations.
The company assess human capital and plan requirement on the basis of time period of short
term and medium terms. The succession planning programs are designed to form precautionary
measures against long term health in an organisation.
(Source: Benefits of Human Resource Planning, 2013)
2.2 Stages in human resource planning
A human resource planning consist of various steps which are to followed in a orderly
manner to ensure that effective planning takes place in an organisation.
Organisational Objectives: The first step of HRM planning is to analyse the objectives of
the organisation. This mega organisation aims to become a top retailer of the United Kingdom.
The planning will be done by keeping in mind the aims of an institution.
Inventory management: the second step aims to thoroughly assess the current situation
of the country. It takes into consideration the assessment of the current workforce in terms of
their skills and capabilities (Manoharan, Muralidharan and Deshmukh, 2011). This is done to
measure the current competency of the workforce.
Human forecasting: the prior determination helps an assessor identify the needs of
manpower for the future endeavours. This step gives due consideration to the demand and supply
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Illustration 1: Benefits of Human Resource Planning

of human resources for a particular organisation. The future requirement of the workforce is
lesser when compared with existing workforce. Waitrose aims to be market leader In Britain for
the same, establishment aims to open up new markets which determine heavy requirement of
competent workforce.
Action Plan: Now that the current assessment is done and future demand have been
forecasted. The gap between same evident. It defines the additional manpower to be employed
by the company to fulfils the future requirements of the business (Manzoor, 2012). The business
can however update the skills and capabilities of current employees to match future demands.
The company can adopt various measures to recruit people such as inviting applications, referrals
and interdepartmental transfers.
Monitoring: This begins simultaneously with action plan. When the requirement of
manpower are being fulfilled, it is necessary to monitor the activities so that it is ensures aims of
this HRP is fulfilled. It is necessary to evaluate the changing circumstances of business while
completing the action plan.
2.3 Comparison between recruitment and selection processes in two organisation
Recruitment is a process of a inviting application for the vacant position in an
organisation. The company adopts various measures through which application are invited i.e.
job portals, company website and advertisement over various platforms. The applications
received and evaluated on various ground and suitable ones are interviews and best option
amongst them is selected.
Waitrose: Any individual looking to work with this supermarket chain can apply through
www.jlpjobs.com. The company have dedicated this site to receive applications. The company is
currently hiring graduates for post of supermarket assistant and IT analyst. The company
employs questionnaire, tests and application forms to identify the suitability of the person with
vacant position (Mossholder, Richardson and Settoon, 2011). The initial test will take
approximately 2-3 hours and candidate who have selected will have another 30 minute of video
interview which will decide whether candidate have been selected or not. Graduation is
mentioned as a basic degree and attractive personality with possession of interpersonal and
problem solving skills is preferred.
Sainsbury's: the company employs various tools to invite application for the vacant
position in an organisation. A job seeker can apply at Sainsbury's jobs through discover section
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on their website. A person can apply for various vacancy through its online application form.
The application includes all the details about individual's qualification, degrees, skills and
capabilities possessed by the same. Selection of the application will provide the opportunity of
interview to a candidate. Confidence and learning of an individual will be tested and answer
should be good and relevant to the topic. An applicant should be more than 18 years of age and
mode through which the progress will be communicated is email. A formal document will be
necessary to go through the selection process.
2.4 Evaluation of techniques preferred by these organisation
The John lewis partnership which is a parent organisation for Waitrose have adopted a
cost effective measure of inviting applications. This organisation have developed a web portal
where people can sent their applications. Whenever there is a vacant position the company can
use these application to fulfil its requirements. The mode of communication adopted to facilitate
communication between two parties will be done through emailing. This technique of the
recruitment and selection have been sufficient for a company to fulfil its requirement (Pfeffer, J.,
2010). The labour turnover in the company in comparatively lower as it have started various
programmes which ensures development of existing of human capital with the organisation.
In case of Sainsbury's, company employs a balance of expensive and cost effective
measures. This company utilises advertisement and web portal to invite application for the
vacant position in the organisation. This organisation carries wide and better applicants as
advertisement carries a wider reach. The better application ensures probability of selecting a
better candidate for the same. The vacancy in the customer service assistant can be fulfilled
effectively with these tools. Compared to Waitrose, Sainsbury's have adopted better tools which
ensure that man power goals are fulfilled.
TASK 3
3.1 Assessing link between Motivational Theory and rewards
In every organisation, motivation plays a very significant role . They help in motivating
the employee who will further help in achieving the goals of organisation. There are various
types of motivational theories that are used by the management of the company in order to
motivate their staff. Few of them are explained below:-
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 Hertzberg Two Factor Theory:- In this theory basically two factors of motivation is
discussed that help in influencing employee motivation and satisfaction (Albrech, 2011).
These are-
◦ Motivational Factors – it consists of various factors that help in motivating the
employees and increase their productivity so that they are satisfied and give good
results to the company. These factors may include recognition in company. Career
progress etc.
◦ Hygiene Factors – If these factors will not be present in the company then it can lead
to dissatisfaction in the employees as well as the company. For e.g. Salary, company
policies, benefits, relationships etc.
 McClelland's Need Theory – This theory is closely associated with learning theory
because the person who developed this theory believed that needs are learned by the
people from the experiences they will get in their life. He believes that a person who is
having a need will behave different than the person who is not having a need. Various
needs includes Need for achievement,Need for power,Need for Affiliation (Anderson,
2013).
There are various other theories also that are used in organisations to bring motivation which
includes Vroom Theory of motivation, McGregor's participation theory etc. All these theories are
linked with the various reward systems that are running in the company. There are various types
of rewards that are given to the employees like:-
Rewards Motivational theory
Variable pay This need can be linked with the Maslow's theory of motivation since
it is having the capacity to satisfy the needs of the employee.
Bonuses This theory will link to Vroom's Expectancy theory as bonus is
expected by the employee. It is considered as a short term
motivational factor.
Profit Sharing This theory can be linked with Argyris's Theory of motivation as
profit sharing can be considered one of the management practice
which can affect the behaviour and growth of the individual.
Stock Options This theory can be linked with McClelland's Need Theory stock
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option is given to the employee only when the organisation is happy
with them and wants to make the employee a part of the company.
3.1 Process of job evaluation
Job evaluation can be defined as process in which the company compares the different
jobs present in the company in order to identify their worth in a job hierarchy (Armstrong, 2011).
It includes Job grading , Job Ranking etc. The steps involved in job evaluation are:- Job Analysis:- Through this all the required information about the various aspects of job
can be obtained . It is also having two dimensions like -
◦ Job Description – It contains the profile of the job which has the roles and
responsibilities that are to be performed by the employees.
◦ Job Specification – it contains all the necessary skills , knowledge and abilities that
are required to perform the job.
 Job Rating – in this the jobs present are being rated on the basis of ranking, point rating
factor etc.
 Money Allocation – After rating the jobs , a pay structure is also determined and the
money for each job is also allocated.
 Job Classification – This is the last step of job evaluation in which the jobs are classified
according to their pay scale.
Basically, there are two factors that determine employee pay are :-
 External Factors:- These factors include labour market, cost of living, government
legislations , society and the economy. Sometimes these external factors determine the
pay of an employee in a company (Bamberger, Biron and Meshoulam, 2014). Therefore
it is very important for the company to deal with the changes that are going to happen in
the external environment since I affects the working of the company.
 Internal Factors :- In this, job evaluation, performance appraisal, company's strategies is
included (Bloom and Van Reenen, 2011). These internal factors help in determining the
employee's pay in the company.
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3.3 Assessing the effectiveness of reward system
In every company, rewards are given to the employees for various reasons like to
motivate them , to satisfy them etc. rewards can be in any form like financial or non- financial.
The various ways in which rewards cab be given to the employees are :-
 Employee share options – This is a very effective reward which can help in motivating
he employees . Through this the management makes the employees a member of the
company by giving them shares of the company.
 Loans/Advances – Whenever the employee is in the need of money and the company
gets to know it. Then company can help them by giving monetary reward for their
performance in the company.
 Bonuses – This is also a kind of monetary reward which is give tom the employees on
various occasions. Through this the employee gets motivated to work efficiently again so
that they get this bonus again.
The various ways through which its effectiveness can be assessed are :-
 it can be judged by then performance of the employees who are working in the company.
 It can be assesses from the increase in employee retention in the company.
 It can also be evaluated from low absenteeism if employees in the company.
3.4 Methods to monitor employee performance
In Wait Rose, the management follows a simple organisational structure to monitor the
performance of each employees. They generally give rating to the employees and review the
performance but this is not an appropriate method. One of the effective method to judge the
presentation of employees is the Performance Appraisal method. Through this method the
employee's performance is being documented and evaluated in detail so that changes can be
known (CHUANG and Liao, 2010). Monitoring and evaluation of performance of employees is
very important as it helps in understanding that whether the employees are working towards
achieving the goals of the company or not. Other methods to monitor employee's performance
are :-
 Punctuality – Employees who come regularly to office and on time are likely considered
to meet the objectives of the company. If he employees are not punctual then it means
that they are not doing their job with full potential (Farndale, Scullion and Sparrow,
2010).
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 Quality of work – Performance of employees can be very well judged from the quality
of work the employee do. If the employee is able to complete their projects on time then
it means that they are doing their job well but if they are not finishing it on time then it
can be assumed that they are not efficient enough.
 Carry out a client survey – If the employee is doing a good work then the client will
also be happy with his performance and their feedback can be taken by the clients
themselves.
 Check the attitude : if the employee is having a bad attitude in the company then it will
be shown in their performance as well because they will be able to meet their objectives
on time. They generally do not comply with the rules of company also but of they are
having a positive attitude then they will able able to achieve the objectives.
TASK 4
4.1 Reasons for cessation of employment
In an organisation , there can be many reasons because of which the termination of
employees is done in the company. The different causes that are related to termination in Wait
Rose are like when the employees are dissatisfied from the working environment, the pay
structure is not good or other reasons etc. These are few reasons that can be assumed as reasons
of cessions. It creates a problem for the HR managers only because now they will have to hire
new employees and follow the same procedure of recruitment again. The main reasons for
cessation of employees can be described as :- Dismissal – It is an act which is conducted by the employer in which they terminate the
employees against their will. Informally, it can be named as firing, sacking etc. if an
employee is fired from their job then it is generally believed that the fault will be of
employee only (Flamholtz, 2012). Three means of dismissal is as follows:-
◦ Wrongful- Wrongful dismissal occurs when the employer fires the employees
without following the employees contract of employment. Here, they directly fires the
employee but later on it is seen that they are not having any sufficient justification in
this subject.
◦ Unfair – According on section 94 of the Employment Rights Act, 1996, “ An
employee has the right to not to be unfairly dismissed.” It is an act of employment
termination made without any good reason (Hendry, 2012).
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◦ Justified – This is a type of dismissal in which the employer fires the employee using
correct reasons against them . In this situation, the employer is actually having a valid
reason to sack the employee for the company. Termination of Employment: it means the employees are leaving from their job . It can
be voluntary i.e. the employees themselves leave the company or it can be Involuntary
i.e. employers have fired them . It can be done in three ways:-
◦ Resignation – In this situation the employee himself resigns from the company
according to his will.
◦ Retirement – In this situation, the employee has completed his years of
employment and is now retired from the company.
◦ Termination of Contract – In this situation, the employee's contract of
employment is over and now they have to leave the company.
 Redundancy - when the employee is considered no longer useful for the company or
they are not useful then they are considered as redundant and sop the company sacks
them .
 Redeployment – In this the employee is transferred to a new place and is also assigned a
new task but is not terminated from their job.
4.2 Employee exit procedures used by organisation
The situation of employee exiting organisation arises due to some common factors which
are retirement, resignation and redundancy. The company carries a standard procedure which is
effective when it comes to employee leaving the organisation (Ployhart and Moliterno, 2011).
Waitrose conducts an 'exit interview'. This encompasses a interview and a questionnaire which
aims to identify the causes of employee attrition rate. This also assist in obtaining crucial
information regarding company conduct in mind of employees. The notice of retirement and
resignation should be submitted to the higher authorities with an organisation. Information will
be submitted with payroll administrative office along with information of the current
employment contract.
Sainsbury's is another supermarket chain which carries an almost similar exit procedure.
Any employee who wish to leave the organisation must file a resignation letter and submit the
same to the management. The management will consider the same and tries to understand
whether it is done voluntarily or under pressure. Assuring on the reasons provided management
13

grants the same. If a company believes that individual is valuable to them, then the management
will make efforts to retain same with the organisation (Rich, Lepine and Crawford, 2010). The
organisation property is to be returned to inclusive of uniforms, ID cards, accounts and
passwords. This establishment also conducts a brief.
4.3 Impact of the legal and regulatory framework on employment cessation
The UK possess a separate legal and regulatory framework in case of termination of a
employment. In case of Britain, the employer have to give due notice 30 days prior in case he is
wishing to terminate services of an employee. However the termination should be justified and
should not carry wrongful and illegal element in the same.
Wrongful Dismissal: this refers to termination of services of a employee in an unjustified
manner. In case of wrongful dismissal the concerned employee can go to court if such case
happen. Even in this case an employer have to provide a justification including reason for
termination of job along with a notice period of 30 days.
Unfair Dismissal: the Employment right Act 1996 states while termination of services
employees should be provided with a fair and honest reason which supports the same. The
certain reason for which services cannot be terminated are pregnancy, age or any other
discriminatory grounds. In case this happens, employer is liable to legal trouble. The government
have set up employment tribunal services which looks after interest of employees and ensure fair
treatment of the same by the employers.
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Illustration 2: Employee Tribunal Claims settlement

(Source: Employee Tribunal Claims settlement, 2014)
The above pie chart shows that employee tribunal have played a major role in settling
unfair cessation of employees. The maximum number of troubles were regarding working time
of employees and least number of trouble were related to redundancy pay in UK which stands a
minimal of 4%. Over 300,000 claims have been settled by the tribunal court in UK.
CONCLUSION
From the above report, it can be concluded that human resource management is a very
crucial function which is performed in an organisation in order to achieve the goals and
objectives of the company. The HR department of Wait rose has used various motivational
theories in order to motivate their employees by giving them various types of rewards . This
report discusses how personnel management differs from human resources management and hoe
HR manager recruits employees in an organisation by using various sources of recruitment.
Along with this the mechanism of cessation of employment has also been discussed here.
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