Human resource management:
Human resource management involves all management decisions and practices that directly affect or influence the people, or human resources, who work for the organization. In recent years, increased attention has been devoted to how organizations manage Human Resources. This increased attention comes from the realization that an organization’s employees enable an organization to achieve its goals and the management of these human resources is critical to an organization’s success.
Functions of HRM:
- Planning for Organization, Jobs and People
v Strategic Human Resources
v Human Resources Planning
v Job Analysis
- Acquiring Human Resources
v EEO (Equal Employment Opportunity)
- Building performance
v Human Resources Development
v Human Resources Approaches to improving Competitiveness
- Rewarding employees
v Performance Appraisal
v Compensation and Benefits
- Maintaining Human Resources
v Safety and Health
v Labor Relation
v Employment Transitions
- Managing Multinational HRM
Importance of HRM:
Today, professionals in the human resources area are important elements in the success of any organization. There jobs require a new level of sophistication that is unprecedented in human resources management. Not surprisingly, their status in the organization has also been elevated. Even the name has changed. Although the terms personal and human resources management are frequently used interchangeably, it is important to note that the two connote quite different aspects. Once a single individual heading the personal function, today the human resource department head may be a vice president sitting on executive boards, and participating in the development of the overall organizational strategy.
Human Resource works with the employees in the organization. Its main views are to put the right people in the right places and also make them an asset for an organization.
Human Resource Management refers to the practices and policies one need to carry out the people or personnel aspects of one’s management job. These include:
v Conducting job analysis (determining the nature of each employee’s job)
v Planning labor needs and recruiting job candidate.
v Selecting job candidates
v Orienting and training new employees
v Managing wages and salaries (determining how to compensate employees)
v Providing incentives and benefits
v Appraising performance
v Communicating (interviewing, counseling, disciplining)
v Training and development
v Building employee commitment.
Banking sector in Bangladesh:
A Bank is an organization that engages in the business of Banking. Banks are depository financial intermediaries linking the savers and users of fund. These intermediaries are interposed between the ultimate borrowers and lenders permitting them efficient transfer of entrepreneurs who need funds to take the advantage of economically and financially viable investment opportunities. Thus, these commercial banks have a positive rule in financing and investment which is a multidimensional process involving the complexity of many interrelated and interdependent factors of diversified nature.
Banks are financial services firms, producing and selling professional management of the public’s funds as well as performing many other roles in the economy. The scope of the business changes over time and in recent years has broadened considerably. In essence, banks perform three functions: (1) Provide the means of payment through administering the checking account system; (2) intermediate between depositor and providing all types of loans to borrowers; and (3) provide a variety of financial services, encompassing fiduciary services, investment banking and off balance sheet risk taking. Commercial banks are private, profit- seeking enterprises, balancing risk and return in their portfolio management with the goal of maximizing shareholder wealth.
Comprising three layers, the banking system of Bangladesh has been designed in such a way that different types of banks specialize in different type of leading. The layers comprise regulatory authority decided overall framework and issues directives, which govern the operation of commercial banks and the overall financial performance in Bangladesh. Government financial institutions are most likely owned and controlled by the government. As regards to private finance, the financial institution so far developed are in the category of commercial banks owned by Bangladeshi nationals, some life and non life insurance companies, leasing companies and foreign commercial banks owned by foreigners. In the private sectors, there are three Islamic Banks based on the principals of profit sharing instead of traditional charging of interest of deposits. In Bangladesh banking system underwent structural changes with the creation of six nationalized commercial banks through nationalization in 1972.
All domestic banks were nationalized after independence and placed under the direct control of the Ministry of Finance. In addition to state owned banks there exists a significant and growing private sector consisting of both purely domestic banks as well as branches of foreign banks. There are about 50 banks in the country. Most of the banks are in the private sector but most of the assets are held by state owned banks. Banks in Bangladesh are normally grouped into five categories. The banks in each categories are as follows:
- 1. Nationalized Commercial Banks (NCB): There are four; Sonali, Rupali, Janata, and Agrani. These are depository institutions holding a diversified loan portfolio. They are wholly owned and operated by the GOB.
- 2. Development Finance Institutions (DFI): There are five; Krishi, Shilpo, RAKUB, BASIC, and BSRS. They are government agencies that funnel government and donor development funds to specific sectors of the economy. There is therefore four plus five or nine state owed banks (SOB).
- 3. Non- Islamic Private Commercial Banks (PCB): These are private sector depository institution with normal diversified loan portfolios and asset base. Islamic banks (PIB) listed below are normally considered to be part of PCB segment.
- 4. Islamic PCB: These are private sector depository institution that decry interest charges or interest payment and replace them with financial innovations that may be described as a variant of preferred share dividends.
- 5. Foreign Commercial Banks (FCB): These are Bangladeshi operations of foreign banks.
Number of Banks:
The number of banks in all now stands at 51 in Bangladesh. Out of the 49 banks, four are Nationalize Commercial Banks (NCBs), 30 local private commercial banks (PCBs), 12 foreign banks and rest five are Development Financial Institution (DFIs).
Sonali bank is the largest among the NCBs while Pubali is leading in the private ones. Among the 12 foreign banks, Standard Chartered has become the largest in the country. Beside the scheduled banks, Samabai (cooperative) Bank Ansar VDP Bank, Karmasansthan (Employment) Bank and Grameen Bank are functioning in the financial sector. The number of total branches of all scheduled banks is 6,038 as of June 2000. Of the branches, 39.95 per cent (2,412) are located in the urban areas and 60.05 per cent (3,626) in the rural areas. Of the branches NCBs hold 3,616, private commercial banks 1,214, foreign banks 31 and specialized banks 1,177.
Bangladesh Bank (BB) regulated and supervises the activities of all banks. The BB is now carrying out a reform programmed to ensure quality services by the banks.
Bangladesh bank (BB) has been working as the central bank since the country’s independence. Its prime jobs include issuing of currency, maintaining foreign exchange reserve and providing transaction facilities of all public monetary matters. BB is also responsible for planning the government’s monetary policy and implementing it thereby.
The BB has a governing body comprising of nine members with the Governor as its chief. Apart from the head office in Dhaka, it has nine more branches, of which two in Dhaka and one each in Chittagong, Rajshahi, Khulna, Bogra, Sylhet, Rangpur and Bar
Nationalized Commercial Banks (NCBs):
- Janata Bank
- Agrani Bank
- Rupali Bank
Private Commercial Banks (PCBs):
- Uttara Bank
- National Bank Ltd.
- The City Bank ltd
- United Commercial Bank Ltd.
- Arab Bangladesh Bank Ltd.
- IFIC Bank Ltd.
- Islami Bank Bangladesh Ltd.
- Al Baraka Bank Bangladesh Ltd.
- Eastern Bank Ltd.
- National Credit & Commerce Bank Ltd.
- Prime Bank Ltd.
- South East Bank Ltd.
- Dhaka Bank Ltd.
- Al Arafah Islami Bank Ltd.
- Social Investment Bank Ltd.
- Dutch Bangla Bank Ltd.
- Mercantile Bank Ltd.
- Standard Bank Ltd.
- One Bank Ltd.
- EXIM Bank Ltd.
- Bangladesh Commerce Bank Ltd.
- Mutual Trust Bank Ltd.
- First Security Bank Ltd.
- The Premier Bank Ltd.
- Bank Asia Ltd.
- The Trust Bank Ltd.
- Shah Jalal Bank Ltd. (Based on Islami Shariah)
- Jamuna Bank Ltd.
Standard Chartered Bank
- Habib Bank Ltd
- State Bank of India
- Credit Agricole Indosuez (The Bank)
- National Bank of Pakistan
- Muslim Commercial Bank Ltd
- City Bank NA
- Hanvit Bank Ltd.
- HSBC Ltd.
- Shamil Islami Bank of Bahrain EC
- Woori Bank
Bangladesh Krishi Bank
- Rajshahi krishi Unnayan Bank
- Bangladesh Shilpa Bank
- Bangladesh Shilpa Rin Sangstha
- Bank of Small Industries & Commerce Bangladesh Ltd
- Ansar VDP Unnayan Bank
- Bangladesh Samabai Bank Ltd. (BSBL)
- Grameen Bank
- Karmasansthan Bank.
Background of Uttare Bank Ltd.
Uttare Bank Ltd. Establish in 28th January 1965 as private initiative under the name of Eastern Banking Corporation. After 1972 being nationalized, it has been named after Uttare Bank Ltd. It has been permitted to start its commercial operation privately in September 1983. Its registered office is located in 90, Motijheel Commercial Area Dhaka-1000. It is operating banking through 198 branches in all over Bangladesh. Having sold its share in 1984 it enlisted in Dhaka Stock exchange. In 2004 it has also enlisted in Chittagong Stock exchange.
Classification of employees in different sector of Uttare Bank Ltd. ( its on 31-12- 2005
Human Resource (%)
In the recruitment process there are couple of steps are to be followed:
- Written test: The recruitment test is combined of both elaborative and MC.Q. type. Usually Uttara Bank Ltd assigned this to some organization. The particular organization does all the thing. In the written test a person has to obtain a certain marks to pass the exam.
- VIVA: The candidate after qualifying written test has to face VIVA test. VIVA usually taken by the top management of the bank. Only short listed candidate are selected finally for the job.
Organogram of Uttara Bank Limited:
Objective of the study:
The purpose of the study is to know the recent trend in Human Resource Management and try to understand the contribution of Uttare Bank Ltd. in banking sector. This study is base on the Uttare Bank Ltd. After analyzing this report, it will help to know Human Resource Management practice of banking sector.
Methodology of the study:
This report has been base on the basis of secondary information. The data were collected from different books, journal and different literature reviews. Most of the practical information was collected from the organization by conducting personal interview.
Limitation of the study:
Constraints during the course of my investigation are as follows:
1. Could not get enough information as required to make a comprehensive study.
2. Relevant paper and documents ware not available.
3. Information about commercial bank was not available. Even most of the banks do not have any complete web site.
4. It was very difficult to contact with the top management to collect information.
Human Resource Management Practices & Uttara Bank Ltd.
Chapter 2:Human Resource Planning
The procedure for determining the duties and skill requirements of a job and the kind of person who should be hired for it.
The process of job analysis is of two types:
- Job Description
- Job Specification
A. Job Description:
A list of a job’s duties, responsibilities, reporting relationship, working conditions, and supervisory responsibilities- one product of a job analysis.
B. Job Specification:
A list of a job’s “human requirement”, that is, requisite education, skills, personality, and so on – another product of a job analysis.
Human Resource Planning:
Have collected Human resource planning is concerned with the flow of people into, through, and out of an organization. HR planning involves anticipating the need for labor and the supply of labor and then planning the programs necessary to ensure that the organization will have the right mix of employees and skills when and where they are needed.
Human Resource Demand:
Once HR planners have collected information from both internal and external sources, they forecast the demand for labor. How many and what type of people will be needed to carry out the organization’s plans in the future? These forecasts are grounded in information about the past and present and in assumptions about the future. Different methods of forecasting the demand for labor require different assumptions. Some of the more common assumptions are that past trends and relationships among variables will hold up in the future; that the productivity ratio is constant (or follows a known pattern) as the number of units produced increases; and that the business plans of the organization, sales forecasts, and so on are reasonably descriptive of what will actually happen. In a highly volatile business, these assumptions may not be valid. It is always wish to explicitly list one’s assumptions in forecasting and to put on more faith in the forecast than in the assumption on which it was based.
Demand forecasting method can be divided into two categories. They are Judgmental and Mathematical. In practice, most organizations use some combination of the two methods. In our country most of the financial institutions use the judgmental method.
Judgmental methods make use of knowledgeable people to forecast the future. Judgmental methods do consider quantitative data but also allow for intuition and expertise to be factored in. these methods may be used by small organization or by those new to HR forecasting that do not yet have the database or expertise to use some of the more complex mathematical models. Judgmental methods also may be preferred when an organization or environment is in a state of transition or turmoil; at such times, past trends and correlations cannot be used to make accurate predictions about the future.
Supply of labor:
Once the demand for labor is predicted, it is necessary to forecast the supply of labor that the organization will already have available to meet the demand. It is basically of two types:
- Internal supply of labor
- External supply of labor
In an organization there might be two type of gap exists:
When demand is more and supply of human resource is less in a particular area this called shortage.
When supply is more and demand of human resource is less in a particular area this called surplus.
Organizational Practices is not properly followed by Uttara Bank Limited. Job description and specification exists in the organization but in the case of demand and supply of their human resource in different department and branches they usually not assess the demand and supply gap properly, as a result employee surplus and shortage have been found in their several department and branches as well. In this case what they did, if there is shortage of employee they have tried to find out the area and then search employees from other areas and by giving proper training they sent them and if there is any surplus employees exists the branch manager or divisional head usually not informed Human Resource Department.
Chapter 3:Recruitment and Selection
When a vacancy occurs and the recruiters receive authorization to fill it, the next step is a careful examination of the job and an enumeration of the skills, abilities, and experience needed to perform the job successfully.
The Recruitment Process of the Organization:
Method of recruitment:
There are two method of recruitment:
- Internal recruitment
- External recruitment
Most companies fill vacancies internally whenever possible. A number of internal recruitment methods are use for different level of jobs. Lower-level jobs such as manual and clerical jobs are often called nonexempt jobs because their incumbents are not exempt from the minimum wage and overtime provisions of the Fair Labor Standards Act. These people typically are paid an hourly wage. In contrast, higher-level administrative, managerial, and professional employees are paid on a salary basis and are exempt from the overtime provisions of the Fair standard Labor Act.
In addition to looking internally for candidates, it is customary for organizations to open up recruiting efforts to the external community. Through the recruiting process, the hiring manager should stay in close touch with the recruiter. The hiring manager should examine resumes or application that have passed initial screening by the recruiter and should also review some of the application that the recruiter rejected during the first steps. Such involvement on the part of the hiring manager allows feedback as to whether or not the recruiter’s decisions are consistent with the hiring manager’s preferences.
External recruitment methods are often grouped into two classes: 1. Informal and 2. Formal.
Informal recruiting methods tap a narrower labor market than formal method. Informal method includes rehiring former employees or former cooperative education students, hiring people referred by present employees, and hiring from among those who have applied without being solicited (such applicants are called walk-ins or gate hires).
Employee’s referral, also known as word-of-mouth advertising, is quick, effective, and usually inexpensive. Because employees who refer their friends and acquaintance as candidates have their own credibility on the line, they tend to refer people who are well qualified and well motivated and then to mentor these individuals once they are hired.
Formal method of external recruiting entail searching the labor market for candidates who have no previous connection to the firm. These methods traditionally have included newspaper advertising, use of employment agencies and executive search firms, and campus recruiting. Posting jobs ads on the Internet, either on the company’s own site or a commercial job board, has also become extremely popular in the last few years. Historically, newspaper advertising has been the most commonly used method of recruiting.
Formal method includes:
v Recruitment Advertising
v Internet Recruiting
v Employment Agencies
v Public Job Service Agencies
v Private, For-profit Agencies
v Additional Recruiting Methods
v Campus Recruiting
v Executive Search Firms etc.
Selection the right employees are important for an organization. First own performance always depends in part on subordinates. Employees with the right skills and attributes will do a better job for the company. Employees without these skills wont perform effectively and as a result the firm will suffer.
Process of selection:
Selection activities typically follow a standard pattern, beginning with an initial screening interview and concluding with the final employment decision. The selection process typically consists of eight steps:
Initial screening interview
- Completing the application form
- Employment test
- Comprehensive interview
- Background investigation
- A Conditional job offer
- Medical or physical examination
- The permanent job offer.
As a culmination of our recruiting efforts, organization should be prepared to initiate a preliminary review of potential acceptable candidates. This initial screening is, in effect, a two steps procedure: (1) the screening of inquiries and (2) the provision of screening interviews.
Completion of the Application Form:
Once the in initial screening has been complicated, applicants are asked to complicate the organization’s application form. The amount of information required may be only the applicant’s name, address, telephone number and other information.
Organization historically relied to a considerable extent on intelligence, aptitude, ability and interest tests to provide major input to the selection process.
The comprehensive interview:
The applicant may be interviewed by HRM interviewers, senior manager within the organization, a potential supervisor, potential colleagues or some or all of these.
The next steps in the process are to undertake a background investigation of those applicants who appear to offer potential as employees. This can include contacting former employers to confirm the candidate’s work record and to obtain their appraisal of his or her performance, contacting other job- related and personal references, verifying the educational accomplishments shown on the application, checking credit reference and criminal records, and even using third party investigation, to do the background check.
Conditional job offer:
If a job applicant “passed” each steps of the selection process so far, it is typically customary for a conditional job offer to be made. Conditional job offers usually are made by an HRM representative. In essence, what the conditional job offer implies is that if everything checks out “okay- passing a certain medical, physical or substance abuse test” the conditional nature of the job offer will be removed and the offer will be permanent.
Physical/ Medical Examination:
Physical exams can only be used as a selection device to screen out those individuals who are unable to physically comply with the requirements of a job.
Those individual who perform successfully in the preceding steps are now considered to be eligible to receive the employment offer.
Method of selection:
There are two statistical methods of selection- correlation and regression. Correlation is use to assess the strength and direction of a relationship between variables, whereas regression makes use of the relationship to predict scores on one variable from scores on one or more other variables.
Uttare Bank Ltd recruit employees both formal and informal ways. Formal recruitment usually dose through newspaper advertisement, where entry-level employees has been recruited. In the advertisement, criteria are mentioned specially for recruitment. But some times they also recruited experienced people in med level and top level.
Informal method is also true for this bank. In this case they consider the educational level for entry level i.e. cash officers, junior officers etc. They also recruit mid level people those who are experienced and good track record. Top level people recruitment also been done on contract basis.
Chapter 4: Orientation
Meaning of orientation:
Employee orientation provides new employees with basic background information they need to perform their jobs satisfactory, such as information about organizational rules.
Process of orientation:
Orientation is actually parts of the employer’s new- employee socialization process. Socialization is the ongoing process of instilling in all employee the prevailing attitudes, standard, values, and patterns of behavior that are expected by the organization and its departments.
Orientation programs range from brief, informal introduction to lengthy, formal programs. In either, new employees usually get a handbook or printed material that cover things like working hours, performance reviews, getting on the payroll, and vacations, as well as a tour of the facilities. Other handbook information typically includes employee benefits, personnel policies, the employee’s daily routing, company organization and operation, and safety measures and regulations.
The HR specialist, who explains such matters as working hours and vacations, usually performs the first parts of the orientation. The employee is then introduced to his or her new supervisor. The letter continues the orientation by explaining the exact nature of the job, introducing the person to his or her new colleagues, familiarizing the new employee with the workplace, and hopefully helping to reduce the new person’s first day jitters.
Orientation is helping the new employees, who join the organization. By orientation the employee will be able to understand the rules and regulations of the organization and also know about the working hours, working condition, organizational profile etc.
Uttara Bank Ltd. arranges the orientation program in a formal way. They invited their new employees who are selected for the job in a certain place. They inform them about their job hour, organizational rules and regulations, about their top managements and also their bank’s profile.
Chapter 5:Training & Development
The process of teaching new employees the basic skills they need to perform their jobs.
Training refers to the methods used to give new or present employees the skills they need to perform their jobs. Training might thus mean showing a machinist how to operate his or her new machine, a new salesperson how to sell his or her firm’s product, or a new supervisor how to interview and appraise employees. Training basically provide to the entry-level employees.
On the job training: It means learning by doing. It means employees training completed while he works. It is basically a practical oriented training program.
Off the job training: It means training provided to the employees out of the office in a training institute for a particular period of time i.e. for 15 to 20 days. During this time the employee does not have to go to office.
Development basically provide to the management level. Management development is any attempt to improve managerial performance by imparting knowledge, changing attitudes, or increasing skills. The ultimate aim of such development programs is, of course, to enhance the future performance of the organization itself. For this reason, the general management development process consists:
(1) Assessing the company’s needs (for instance, to fill future executive openings, or to boost competitiveness),
(2) Appraising the managers’ performance, and then
(3) Developing the managers (and future managers) themselves.
Method of Training and Development:
There are some training and development methods which is given as under:
Skilled human resource is nucleolus of any service-oriented organization. By keeping this in mid- level they give priority in human resource development. For human resource development and making them updated Uttare Bank Ltd. provide training to its employees through out the year in its well-decorated training institute situated on the Aoulad Hossain market at Tejgaon. The institute has own trainer and also bring specialist as a guest speaker for provide training. Besides employees are also being sent to BIBM for better training.
In 2005 there are 536 employees obtain training from the bank’s training institution at 16th training schedule. Other hand 81 employees attained training course/ works/ seminar, which were arranged by BIBM. 91 employees obtain training from Bangladesh Bank, 34 employees from other training institution, and 19 employees from foreign country in 2005.
Chapter 6:Performance appraisal
Performance appraisal is defined as evaluating an employee’s current or past performance relative to his or her performance standard. The appraisal process therefore involves:
- Setting work standard
- Assessing the employee’s actual performance relative to these standard and
- Providing feedback to the employee with the aim of motivating the person to eliminate performance deficiencies or to continue to perform above per.
Why performance appraisal:
There are four reasons for appraise performance.
- Appraisals provide information upon which promotion and salary decisions can be made.
- Provide opportunity for supervisor and subordinate to review the subordinate’s work- related behavior.
- Appraisal is part of the firm’s career planning process, because it provides an opportunity to review the person’s career plans in light of his or her exhibited strengths and weakness.
- Finally it helps the Manager or the supervisor to better manage and improve organization’s performance.
Steps in Appraising Performance:
The performance appraising process contains three steps:
- 1. Define the job:
It means making sure that supervisor and subordinate agree on his or her duties and job standard.
- 2. Appraise performance:
Appraising performance means comparing subordinate’s actual performance to the standards that have been set; this usually involves some type of rating form.
3. Provide feedback:
Performance appraisal usually requires on e or more feedback sessions. Here the subordinate’s performance and progress are discussed and plans are made for any development that is required.
The appraisal itself is generally conducted using a predetermine and formal method like one or more of those described in this section.
- 1. Graphic Rating Scale:
A scale that lists a number of traits and a range of performance for each. The employee is then rated by identifying the scale that best describes his or her level of performance for each trait.
- 2. Alternation Ranking Method:
Ranking employees from best to worst on a particular trait, choosing highest, then lowest, until all are ranked.
- 3. Paired Comparison Method:
Ranking employees by making a chart of all possible pairs of the employees for each trait and indicating which is the better employee of the pair.
- 4. Forced Distribution Method:
Similar to grading on a curve; predetermined percentages of rates are placed in various performance categories.
- 5. Critical Incident Method:
Keeping a record of uncommonly good or undesirable examples of an employee’s work related behavior and reviewing it with the employee at predetermined times.
6. Behaviorally Anchored Rating Scale (BARS):
An appraisal method that aims at combining the benefits of narrative critical incidents and quantified ratings by anchoring a quantified scale with specific narrative examples of good and poor performance.
- 7. Management by Objectives (MBO):
Involves setting specific measurable goals with each employee and then periodically reviewing the progress made.
Uttara Bank Limited partially follow Graphic Rating Scale method. Here each individual have different format for appraising. Almost Junior to Senior employees have similar format to fill in but there is some exception for the senior level. The format is designed in the way like Fist page has to be filled up by the employees by himself but they have to signed in all the pages. There is point system for appraising employees. For example, if the employees have Banking Diploma they get additional point and the M.B.A degree holders get more marks than the Graduate and Masters pass holders. There is also provision for marks for the employees those who can bring more deposit or bring good customer. By considering all these, Divisional Head put marks and evaluate each employee. After that the appraisal form will send to Human Resource Department. Usually HRD receives this form from allover the country. After received completely all the forms they make it ready for the final evaluation for the top management. Usually there exists evaluation team where they finally select the deserving candidates. After that a list has been sent to the Board for the final approval.
Chapter 7:Compensations, Rewards and Benefits
Employee compensation refers to all forms of pay or rewards going to employee and arising from their employment, and it has two main components. There are direct financial payments in the form of wages, salaries, incentives, commissions, and bonus and there are indirect payment in the form of financial benefits like employer- paid insurance and vacations.
Reward basically provided to the employees of the organization for their good performance. It is of two types (1) Intrinsic and (2) Extrinsic.
(1) Intrinsic Reward:
It is the personal satisfactions one gets from the job itself. These are self-initiated rewards, such as having pride in one’s work.
(2) Extrinsic Reward:
It includes money, promotions and benefit. Their common thread is that they are external to the job and come from outside source, mainly management.
Benefits include mandatory protection programs, pay for time not worked, optional protection programs, private retirement plans and a wide variety of other services.
Uttara Bank Limited usually provides more or less the above compensation, reward and benefits. They provided financial compensation like Basic salary, Bonus, Wages, Incentives and Non-financial like Housing, Medical, Transportation, Insurance.
Compensation, rewards, benefits
Employee relation means managing the relationship between Managers and Workers. Firms in which only some of the employees are unionized may have both employee relations and labor relation functions for dealing with the two types of employees.
Reasons for employee relation:
Employee relation in an organization is necessary for the welfare of the organization. If the relationship is well then organization is benefited. It also helps the Management to take decisions effectively by taking advice from the employees. It also includes research and meetings with top Management to develop a position on pay and other expensive benefits.
Major Labor Laws:
Some of the major laws given as under:
- 1. Railway Labor Act (1926):
Railway workers are permitted to organize and bargain collectively. Airline workers were added in 1934.
2. National Labor Relations Act (Wagner Act) 1935:
Establishes right to organize, to bargain collectively and to engage in concerted activities, creates the National Labor Relations Board to implement and enforce the act.
- 3. Labor Management Relations Act (1947):
Amends the NLRA. Adds union unfair labor practices. Weakens the right of workers and unions.
- 4. Executive Order 10988 (1962):
Encourages bargaining in federal sector Followed by state laws encouraging bargaining by state and local Government employees.
5. Postal Re-organization Act (1970):
Places the U.S. Postal Service under the NLRA.
6. Health Care Amendments (1974):
Places the private sector of the health care industry under the NLRA.
- 7. Civil Service Reform Act (1978):
Establishes the current system for regulating labor Management relationships in the federal Government.
Uttara Bank Ltd. also has good relationships among employees. The employees have well access to their boss and can provide their opinion regarding any issues.
After completion the study I have gathered some practical knowledge about the Human Resource practices in Uttara Bank Limited. Now I would like to provide some recommendations, which might be helpful to upgrade the Human Resource practice of Uttara Bank Limited is given as under:
- First of all the main important thing for an organization is the Recruitment, which exists in this bank, is not well designed. The bank usually recruited people in tradition way. In this case what they can do is that they can go for campus recruitment, hire institute for helping them recruiting people. Because the institutes are well equipped than the bank. They can also go for online recruitment, which is a modern method.
- From the point of Training it can be said that their training course is well but not that much practical. They provide training to their employees is their training institute or send them to BIBM which is one of the reputed institution for the bankers to be to be trained up. In this sort of training they usually get theoretical idea. In this case they can also arrange on the job training which will enables the employees to learn more effectively.
- Another thing is that after getting training the employee usually not posted ti their properly area. For example an employee got training in Credit but he has been posted Foreign Exchange Department, in this case what happened is that after couple of time he forgot the content of the training. So it should be kept in mind that after training they should be properly posted.
- Another problem is in their performance appraisal system is quite back dated. Usually an employee is eligible to get promotion every after 03 years. But which is not true as a result employees got frustrated could not concentrate in their work Besides there is not option for performance basis promotion. In this case it has to me taken into consideration that promotion is motivation, which is useful for employees. As a result it will also useful to reduce employee turnover.
- The bank does not have got compensation for its employees which is low comparatively very low in the organization, which should be increased.
- There should be also option for reward system which is not present in this bank.
Uttara Bank Limited one of the largest bank in the country having enough outlets allover the country as well as overseas arrangement out of the country is progressing slowly than the third or second-generation banks. They also could not retain their employees only because of their some lack of concentration in some areas. It should be kept in mind that efficient employees of an organization is the assets of that organization and that is why it should be taken up carefully. If they can meet up their shortage they will do much better in the banking sector in Bangladesh
Annual report of Uttara Bank Ltd. 2000, 2002 and 2005
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