August 2007 Edition
Every month, in collaboration with the Institute of
Workplace Studies (IWS), CAHRS identifies the 'Top
10' news items from the IWS News Service covering
key workplace issues that would be of interest to
CAHRS sponsors. Now CAHRS and the HR
Division have agreed to distribute this information as
another benefit of HR Division membership.
These news items are carefully selected, covering
areas such as emerging workplace trends,
compensation, executive training and development,
technology enabled HR services, important policy
announcements impacting people practices,
employment related macro economic data and top
line general economic data, significant court
decisions relating to employment law and any other
issue of potential significance to human resource
managers.
The content is sourced from U.S. Government and
international agencies, public and private bodies,
consultancies and knowledge services firms, industry
associations, unions and select academic institutions.
Because the links below are sometimes to
copyrighted materials, you may be asked to sign in to
a proprietary website (for example Business Week
online) after following the link. However, once you
have signed up for these free services, you will be
able to find the complete article. Our goal is
to
provide you with information about up-to-date issues
in HR.
The CAHRS Top Ten
1.
FMLA and Its Impact on Organizations: A
Survey Report by the Society for Human Resource
Management [July 2007], by the Society for
Human Resource Management
(full text)
Summary: Focusing on the illegitimate
granting of leave under the Family and Medical Leave
Act, this report examines sources of confusion
surrounding the implementation of the law in
organizations, especially those regarding intermittent
and recurring leave requests. The survey, which
comprised 521 respondents, considers the impact of
the FMLA on employee absences and productivity as
well as the interplay between the act and employees
possessing various workplace demographics. At the
conclusion of the report, potential changes to the law
and their possible impacts for HR are discussed.
2. Employer Health Insurance Costs
in the United States [July 2007], California Health
Care Foundation
Summary: Using the possibility for legal
expansion of employer healthcare provision
requirements as the basis for inquiry, this report
examines the cost of healthcare in US corporations.
Key findings include a 97 percent increase in the cost
of employer health insurance from 1996 to 2005
compared to a 39 percent increase in wages and
salaries over the same period. Overall premium
contributions are also considered by industry, union
presence, and worker wage among other factors.
3. How
Does Outsourcing Affect Performance Dynamics?
Evidence from the Automobile Industry [July
2007], by Sharon Novak and Scott Stern, National
Bureau of Economic Research Working Paper Series
13235 (full text)
Summary: Centering on the strategic and
performance tradeoffs inherent in any outsourced
operation, this study finds evidence of such tradeoffs
in the automobile industry. That is, while outsourcing
may provide short-term benefits to firm performance,
the long-term development of firm capabilities is
compromised. Further, the study examines in detail
the importance of vertical integration with respect to its
4.
Does American Culture Frown on Vacations?
[July 2007], Knowledge@Emory
Summary: Citing figures that indicate many
American employees don't take the vacation they are
allotted-as many as 30% of workers take less than
half the time they are granted-this article investigates
the reasons behind the phenomenon. Chief among
the explanations offered is culture. More specifically, in
many work situations ample face-time is expected
and in some cases, the stress of overwork may
actually become desirable. In addition, the impacts of
lack of vacation on both work- and home-life are
addressed.
5. Working to Extremes [July
2007], by Mark Rowh, Human Resource Executive
Online
Summary: This article once again considers
the antecedents of overwork and suggests that, in
many cases, people that put in extreme workweeks-
which can last anywhere from 70 to 90 hours-enjoy
the challenges posed by their jobs. Additionally, the
author suggests that at least for some workers the
decision to put in extra hours comes down to personal
work styles and individual aspirations for a larger
paycheck. However, even for those to choose to go
down the road of extreme work, significant costs are
apparent in their home and personal lives as well as
their physical health. In conclusion, HR practitioners
are encouraged to emphasize the importance of
balance in employees' careers.
6.
American Time Use Survey-2006 Results [July
2007], by the Bureau of Labor Statistics
(full text)
Summary: Beyond tracking the hours worked
by the average American, this survey measures the
time spent performing household activities and caring
for children as well the time spent on education and
leisure activities. Key results indicated that 21 percent
of workers did some or all of their work at home.
Figures are also broken out by demographic factors
such including education levels, sex, and full- or part-
time status among others.
7. Cracking the Complexity
Code [Summer 2007], by Susan Heywood,
Jessica Spungin, and David Turnbull, The McKinsey
Quarterly
Summary: Beginning with the premise that
complexity in an organization is not an inherently bad
thing, this article provides advice on how to manage
complexity for better business performance. Starting
with a distinction between institutional and individual
complexity, the authors suggest focusing on the latter
to enable employees to handle complexity and better
serve the goals of the organization. By taking these
steps and reducing the level of individual complexity, it
is argued that the organization will be enabled to deal
with higher levels of institutional complexity. Also
discussed are key factors that increase complexity at
the individual level and the importance of finding
where complexity is "held" within the firm.
8.
The Relationship Between Employee Turnover and
Employee Compensation in Small Business [July
2007], by John B. Hope and Patrick C. Mackin, SAG
Corporation for the Small Business Admin., Office of
Advocacy
(full text)
Summary: This study, which investigates the
relation between firm size and turnover, finds that
employee tenure is positively related to firm size-
i.e., "employees of larger establishments stay in their
jobs longer than employees of smaller
establishments"-although much of the variance in
turnover is explained by factors other than size.
Beyond this, the study examines the relationship
9.
Meet the Enemy [August 2007], by Scott Flander,
Human Resource Executive Online
Summary: This article examines what HR
doesn't know about labor attorneys and advises that a
communicative approach with a plaintiff's lawyer may
yield surprising results. Among the suggestions
offered is being cordial with lawyers-as few as 5
percent of cases may actually go to court so a small
effort towards problem solving early on may help keep
things from progressing as they might otherwise.
10. Why Wait
for Trouble
[July 2007], by Kenneth W. Freeman,
strategy+business.com
Summary: This article, written by an
experienced turnaround specialist, focuses on steps
companies can take avoid having to call in outside
help to get things back on track. The author posits
three goals-finding and addressing imbalances and
excesses, aligning perceptions of senior
management with those of the rest of the company,
and establishing accountability among employees-
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