Human Resource Management, 15th edition, offers a focused, systematic, and practical approach to HRM. With an engaging narrative style, it guides students through essential topics including HR functions, employee relations, talent acquisition, training, health and safety, performance management, legal considerations, and the impacts of COVID-19 on employment. The book also covers compliance for startups and digital enterprises, offering practical insights for modern HR practices, and includes examples and activities on current HR issues, making it ideal for undergraduate courses.



This Indian adaptation includes comprehensive coverage of Indian labor laws, key nondiscriminatory acts, pregnancy leave and maternity laws, employability trends, performance appraisal trends, and major safety legislation. Additionally, it features case applications addressing unique HR challenges in India and provides insights into recent wage structure trends, including CXO salaries.

to the Adapted Edition v

About the Authors vii

Preface to the US Edition ix

Acknowledgments xv

Part 1 Understanding HRM

1 The Dynamic Environment of HR 1

Introduction, 2

Globalization, 3

Global Businesses, 3

Cultural Environments, 3

Technology, 4

Working with Technology, 4

Hot Tech Topic: Artificial HR?, 5

Technology and HR, 6

Ethical Issues in HR: Invasion of Privacy?, 8

Legal Compliance, 9

Workforce Composition Trends, 11

Workforce Age, 12

More Demographic Shifts, 12

Skilled Labor Shortages, 12

Diversity Topics: Coca- Cola Global Diversity and Inclusion

Mission, 13

Diversity and Inclusion, 13

Diversity and Work–Life Balance, 14

Labor Costs, 14

Downsizing, 14

Diversity Topics: Glass Ceiling Still a Barrier for Women

Globally, 15

Contingent Workforce, 15

Pay and Benefits Conflicts, 16

Classification, 16

Offshoring, 17

Continuous Improvement Programs, 18

Work Process Engineering, 19

How HR Can Support Improvement Programs, 19

Employee Involvement, 19

How Organizations Involve Employees, 20

The Role of HR, 20

Other HR Challenges, 20

Economy, 20

Mergers, 21

Labor Unions, 21

Ethics, 21

Ethical Issues in HR: Guidelines for Acting Ethically, 22

Sustainability, 23

Ethical Issues in HR: Everyday Ethics, 24

Indian Labor Laws, 24

Historical Context, 24

Key Labor Legislations, 24

Recent Reforms, 25

Challenges and Criticisms, 25

Conclusion, 25

Summary, 26

Key Terms, 27

HR Workshop, 27

Case Activities, 29

Notes, 31

2 Functions and Strategy 34

Introduction, 35

Evolution of Management, 35

Functions of Management, 37

Planning, 37

Organizing, 37

Leading, 37

Controlling, 37

The Role of HR in the Strategic Management Process, 38

Strategic Analysis, 39

Strategy Formulation, 41

Strategy Implementation, 43

Evaluating Results, 44

HR Functions, 45

Staffing Function, 46

Training and Development Function, 47

Motivation Function, 48

Maintenance Function, 49

Structure of the HR Department, 49

Employment, 50

Training and Development, 50

Compensation and Benefits, 50

Employee Relations, 51

Talent Management, 51

Tips for Success: HR Certification, 53

Is a Career in HR for You?, 53

HR Trends and Opportunities, 54

People Analytics, 54

Outsourcing HR Functions, 55

Professional Employer Organizations, 55

Shared Services, 56

HR in a Small Business, 56

HR in a Global Environment, 57

Summary, 57

Key Terms, 59

HR Workshop, 59

Case Activities, 60

Notes, 62

3 Human Resource Planning and Job Analysis 64

Introduction, 65

Tips for Success: Where the Jobs Are, 65

Linking Human Resource Planning to Organizational Strategy, 66

Assessing Current Human Resources, 66

Hot Tech Topic: AI in Job Analysis, 67

Succession Planning, 67

Determining the Demand for Labor, 67

Examining the Internal Labor Supply, 68

Ethical Issues in HR: Shades of Green, 69

Where Will New Workers Come From?, 70

Matching Labor Demand and Supply, 70

The Job Analysis Process, 71

Step by Step, 71

Sources of Information,

Structured Job Analysis Techniques, 73

Real HR Encounters: Understanding All the Hats in Your

Organization, 74

Job Descriptions, 76

What Job Descriptions Include, 77

Maintaining Job Descriptions, 78

Job Evaluation, 78

Job Design Creates Better Jobs, 79

Job Enlargement, 79

Job Enrichment, 80

Flexible Work Schedules, 81

Compressed Schedules, 81

Flex Time, 82

Job Sharing, 82

Remote Work, 82

Contemporary Connection: What’s the Difference?, 83

Job Design and Teams, 84

Summary, 84

Key Terms, 85

HR Workshop, 85

Case Activities, 87

Notes, 89

Part 2 Legal and Ethical Context of HRM

4 Equal Employment Opportunity 90

Introduction, 91

The Importance of the Civil Rights Act of 1964, 91

Race and Color Discrimination, 92

Religious Discrimination, 92

National Origin Discrimination, 92

Sex-Based

Discrimination, 93

Real HR Encounters: “Just tell us, and we’ll stop.”, 94

Retaliation, 95

Exceptions That Are Permitted, 95

The Civil Rights Act of 1991, 96

Laws Affecting Discriminatory Practices, 97

Equal Employment Opportunity Act (EEOA), 97

Relevant Executive Orders, 98

Age Discrimination in Employment Act,

Equal Pay Act, 99

Pregnancy Discrimination, 100

The Americans with Disabilities Act of 1990 and the ADA

Amendments Act of 2008, 101

The Family and Medical Leave Act of 1993 (FMLA), 102

Uniformed Services Employment and Reemployment Rights Act

of 1994 (USERRA), 103

Genetic Information Nondiscrimination Act (GINA), 105

Key Nondiscriminatory Acts in India 105

Pregnancy Leave and Maternity Laws in India 106

Selected Relevant U.S. Supreme Court Cases, 108

Griggs v. Duke Power, 108

Albemarle Paper Company v. Moody, 108

Bakke v. University of California at Davis Medical School, 108

Ricci v. DeStefano, 109

Bostock v. Clayton Co., 109

Preventing Discriminatory Practices, 110

Uniform Guidelines on Employee Selection Procedures, 110

Determining Potential Discriminatory Practices, 110

Hot Tech Topic: Can AI Make Discriminatory Decisions?, 113

Enforcing Equal Opportunity Employment, 114

The Role of the EEOC, 114

Contemporary Connection: Mediation Works, 115

Office of Federal Contract Compliance Program (OFCCP), 115

Sexual Harassment, 116

Two Types of Sexual Harassment, 116

Contemporary Connection: EEOC Reaches Out to Young

Workers, 118

Protecting Employees from Sexual Harassment, 119

Current Issues in Equal Employment, 120

Systemic Racism in the Workplace, 120

Comparable Worth and Equal Pay Issues, 120

Ethical Issues in HR: How Bad Does It Have to Be?, 121

Sexual Orientation, 122

English-Only

Laws and Policies, 122

Appearance and Weight Discrimination, 123

Equal Employment Protection in a Global Environment, 123

China, 124

Canada, 125

Australia, 126

European Union, 126

Summary, 127

Key Terms, 129

HR Workshop, 129

Case Activities, 131

Notes, 132

5 Employee Relations 137

Introduction, 138

Employee Records and Related Laws, 138

Employee Records, 138

The Privacy Act of 1974, 139

The Fair Credit Reporting Act, 140

The Drug-Free

Workplace Act, 140

The Polygraph Protection Act, 141

The Worker Adjustment and Retraining Notification Act, 141

Hot Tech Topic: Biometric Data, 142

Social Media Use, 143

Employee Rights, 143

Social Media Policies, 144

Contemporary Connection: They’re Using It on Their Phones

Anyway . . ., 144

Current Issues Regarding Employee Rights, 144

Drug Testing, 145

Honesty and Integrity Tests, 146

Contemporary Connection: Pandemics, Catastrophes,

and Employee Relations, 146

Whistle-Blowing,

147

Workplace Romance, 147

Off-Duty

Behavior, 147

Workplace Monitoring, 148

Why Employers Monitor, 148

Things to Consider, 149

Monitoring Policies, 149

The Employment-at-Will

Doctrine, 150

Exceptions to the Doctrine: Wrongful Discharge, 150

Real HR Encounters: Employee Rights and Discipline, 152

Discipline and Employee Rights, 152

What Is Discipline?, 152

Ethical Issue: If It Isn’t Harassment, What Is It?, 153

Factors to Consider When Disciplining, 153

Disciplinary Guidelines, 154

The Hot-Stove

Rule, 155

Progressive Discipline, 155

Tips for Success: Scary Employees, 160

Dismissing or Firing Employees, the Final Option, 160

Employee Relations in a Global Environment, 162

Summary, 162

Key Terms, 163

HR Workshop, 164

Case Activities, 165

Notes, 166

Part 3 Talent Acquisition

6 Recruiting 169

Introduction, 170

Effective Recruiting, 170

Employment Branding, 170

Recruiting Challenges, 171

Supply of Applicants, 171

Organization Image, 171

Diversity Topics: Best Practices for Recruiting a Diverse

Workforce, 172

Job Attractiveness, 172

Internal Organizational Policies, 173

Recruiting Costs, 173

Inadequate Technology, 173

Diversity Topics: Job Advertisements and EEO

(Beer is probably NOT OK), 174

Internal Recruiting Sources, 175

Employee Referrals and Recommendations, 176

Tips for Success: Writing Job Postings that Get Results, 176

External Recruiting Sources, 177

Advertisements, 177

Employment Agencies, 177

Executive Search Firms, 178

Schools, Colleges, and Universities, 178

Career Fairs, 179

Professional Organizations and Veterans’ Groups, 180

Unsolicited Applicants, 180

Passive Candidates, 180

Online Recruiting,

Employer Websites, 181

Job Boards, 181

Social Media, 182

Specialized Job Boards, 182

Which Source to Use?, 182

Recruitment Alternatives, 183

Temporary Help Services, 183

Employee Leasing, 183

Independent Contractors, 184

Tips for Success: Are You Recruiting Material?, 184

Recruiting: A Global Perspective, 185

Your Own Job Search, 186

Cover Letters, 186

Tips for Success: Breaking into HR, 187

Preparing Your Résumé, 187

Making Social Media Work for You, 188

Summary, 189

Key Terms, 190

HR Workshop, 190

Case Activities, 192

Notes, 193

7 Foundations of Selection 195

Introduction, 195

Application Forms, 197

Legal Issues, 197

Real HR Encounters: “Why Did You Ask That?”, 198

Weighted Application Forms and Biodata, 198

Diversity Topics: Questions to Avoid, 199

Online Applications, 200

Screening Applicants, 200

Hot Tech Topic: AI and Adverse Impact, 201

Preemployment Testing, 202

Work Sampling and Performance Simulation Tests, 202

Behavioral and Personality Tests, 202

Assessment Centers, 202

Global Differences in Testing, 203

Interviewing Applicants, 203

Interview Formats, 203

Real HR Encounters: Involving Employees in the

Selection Process, 204

What Interviewers Need to Know, 205

Tips for Success: Preparing Interview Questions, 207

Preventing Perceptual Errors, 207

Impression Management, 207

Interviewer Bias, 208

Realistic Job Previews, 208

Background Investigations, Medical and Physical Exams, 209

What to Look For, 209

Real HR Encounters: Checking References, 211

Medical/Physical Examination, 211

Reliability and Validity in Testing, 212

Reliability, 212

Validity, 213

Validity Analysis, 214

Cut Scores and Their Impact on Hiring, 215

The Employment Offer, 216

Increasing Acceptance Rates, 217

Selection from a Global Perspective, 217

Final Thoughts: Excelling at the Interview, 217

Summary, 219

Key Terms, 220

HR Workshop, 220

Case Activities, 222

Notes, 224

Part 4 Training and Development

8 Onboarding, Training, and Developing Employees 226

Introduction, 227

Onboarding, 227

Onboarding Design, 228

Tips for Success: Why Is Socialization Important?, 230

Learning Culture through Socialization, 230

Prearrival, 230

Encounter, 231

Metamorphosis, 231

Tips for Success: Orientation Checklist, 231

New Employee Orientation, 232

The CEO’s Role in Orientation,

It’s All in Here: The Employee Handbook, 232

Important Topics, 233

Diversity Topics: Training, Development, and EEO, 233

Designing Employee Training, 234

Analyze, 234

Design, 234

Develop, 235

Implement, 235

Tips for Success: Becoming a Trainer, 235

Evaluation, 237

Training Methods, 237

On-the-

Job

Training (OJT), 237

Job Rotation, 237

Apprenticeships, 237

Internships, 238

Classroom Lectures, 238

E-Learning,

238

Simulations, 238

Evaluating Training Effectiveness, 239

Kirkpatrick’s Model, 239

Performance-Based

Evaluation, 240

Contemporary Connection: Training Expenditures, 240

Employee Development, 241

Employee Development Methods, 241

Organization Development, 242

The Change Process, 243

OD Methods, 244

The Learning Organization, 247

International Training and Development Issues, 247

Cross-Cultural

Training, 247

Development, 248

Summary, 249

Key Terms, 250

HR Workshop, 250

Case Activities, 251

Notes, 253

9 Managing Careers 255

Introduction, 256

Career Development, 256

Career Development and Talent Management, 257

Source of Internal Talent, 2

Improved Recruiting and Retention, 258

Enhanced Diversity, 258

Strong Cultures, 258

Managers and Career Development, 259

Communicate Talent Management Strategy, 259

Reduce Time Pressures, 259

Eliminate Conflicting Goals, 259

Management Training, 259

Career Development and the Employee, 260

Traditional Career Stages, 261

Exploration, 261

Establishment, 261

Mid-Career,262

Late Career, 262

Contemporary Connection: Winners and Losers, 263

Personality Style and Career Fit, 263

Holland Vocational Preferences, 263

The Schein Anchors, 265

The Myers-Briggs Typologies, 265

Taking Responsibility for Building Your Career, 267

Key Employability Trends and Statistics in India, 268

Summary, 269

Key Terms, 270

HR Workshop, 270

Case Activities, 271

Notes, 273

10 Performance Management 274

Introduction, 275

Purposes of Performance Management Systems, 275

Goal Setting and Feedback, 276

Motivation and Development, 276

Documentation, 276

Hot Tech Topic: Appraisal by Bot, 277

The Appraisal Process, 277

Establish Performance Standards, 277

Communicate Expectations, 278

Measure Actual Performance, 278

Compare Actual Performance with Standards, 279

Discuss the Appraisal with the Employee, 279

Contemporary Connection: The Feedback Fix, 279

Initiate Corrective Action if Necessary, 280

Evaluating Performance with Absolute Standards, 280

Critical Incident Appraisal, 280

Checklist Appraisal, 281

Graphic Rating Scale Appraisal, 281

Forced-Choice

Appraisal, 282

Behaviorally Anchored Rating Scale (BARS), 283

Evaluating Performance with Relative Standards, 284

Group-Order

Ranking, 284

Individual Ranking, 284

Paired Comparison, 284

Management by Objectives, 285

Common Elements in MBO Programs, 285

Does MBO Work?, 286

Factors That Can Distort Appraisals, 286

Leniency Error, 287

Halo Error, 288

Similarity Error, 289

Low-Appraiser

Motivation, 289

Central Tendency, 288

Inflationary Pressures, 289

Inappropriate Substitutes for Performance, 289

Attribution Theory, 289

Creating More Effective Performance Management Systems, 290

Use Behavior-Based

Measures, 290

Contemporary Connection: The “Anywhere” Performance

Appraisal, 291

Provide Ongoing Feedback, 291

Use Multiple Raters, 291

Rate Selectively, 293

Train Appraisers, 293

The Performance Appraisal Meeting, 294

International Performance Appraisal, 296

Who Performs the Evaluation?, 296

Tips for Success: Performance Metrics in China, 297

Performance Appraisal Trends and Employability Insights, 298

Summary, 300

Key Terms, 301

HR Workshop, 301

Case Activities, 303

Notes, 306

11 Establishing Rewards and Pay Plans 308

Introduction, 309

Rewarding Employees, 309

Intrinsic versus Extrinsic Rewards, 310

Financial versus Nonfinancial Rewards, 310

Ethical Issues in HR: Taking Care of the Employees Who Take

Care of the Guests, 311

Performance-Based

versus Membership-Based

Rewards, 312

Regulation of Compensation, 312

Fair Labor Standards Act (FLSA), 313

Contemporary Connection: The Minimum Wage Debate, 316

Other Federal Employment Laws, 317

Ethical Issues in HR: Pay Secrecy, 318

External Factors Affecting Compensation, 319

Geographic Differences, 319

Labor Supply, 319

Competition, 319

Cost of Living, 320

Collective Bargaining, 320

Compensation Administration, 320

Job Evaluation, 321

Establishing the Pay Structure, 322

Types of Compensation, 325

Base Pay, 325

Premium Pay, 326

Variable Pay for Individuals, 327

Variable Pay for Groups, 329

Organization-Wide

Incentives, 329

Executive Compensation Programs, 330

Salaries of Top Managers, 331

CXO Salaries in India 331

Executive Perquisites, 332

International Compensation, 333

Base Pay, 333

Differentials, 333

Incentives, 334

Contemporary Connection: Compensation in a Global

Environment, 334

Assistance Programs, 335

Summary, 335

Key Terms, 336

HR Workshop, 336

Case Activities, 338

Notes, 340

12 Employee Benefits 343

Introduction, 344

Effective Use of Benefits, 344

Strategic Value of Benefits, 344

Benefit Planning, 345

Communicating Benefits to Employees, 346

Real HR Encounters: Knowledge Is Power—Educating

Employees through the OE Process, 347

Enrolling Employees in Benefits, 347

Legally Required Benefits, 348

Social Security, 349

Unemployment Compensation, 349

Workers’ Compensation Insurance, 350

Family and Medical Leave Act (FMLA), 351

Health Insurance Continuation, 351

Real HR Encounters: Abusing Worker’s Compensation, 351

The HIPAA Requirement, 352

Patient Protection and Affordable Care Act, 352

Voluntary Benefits, 353

Health Insurance, 353

Disability Insurance, 357

Group Term Life Insurance, 358

Other Popular Benefits, 358

Offering Choices to Employees, 360

Real HR Encounters: Whiteboard Puts a Face on the Cost of

Health Insurance, 360

Retirement Benefits, 360

Employee Retirement Income Security Act (ERISA), 361

Defined Benefit Plans, 362

Defined Contribution Plans, 362

Ethical Issues in HR: Pensions in Peril, 362

Contemporary Connection: Leaving It Up to You: Paid Time Off

(PTO) Leave, 364

Leave Benefits,

Paid Time Off (PTO), 365

Vacation and Holiday Leave, 365

Ethical Issues in HR: Making Sick Leave a Required

Benefit?, 366

Sick Leave, 367

Benefits in a Global Environment, 367

Summary, 367

Key Terms, 368

HR Workshop, 369

Case Activities, 370

Notes, 371

Part 6 Safety and Labor Relations

13 Managing Health and Safety Risks 374

Introduction, 375

Legal Obligations for Workplace Safety and Health, 375

OSHA, 376

OSHA Standards, 376

Contemporary Connection: The Ugly Truth, 378

OSHA Record-Keeping

Requirements, 379

Diversity Topics: Safety Equality, 381

OSHA Inspection and Enforcement, 382

Inspection Priorities, 382

Inspection Process, 382

Ethical Issues in HR: The High Cost of Ignoring

Whistleblowers, 385

OSHA Penalties, 385

Contemporary Connection: OSHA’s Top Ten Violations, 386

Creating Safer Workplaces, 387

OSHA Services, 387

Management Commitment and Employee Involvement, 388

Worksite Analysis, 388

Hazard Prevention and Control, 389

Training for Employees, Supervisors, and Managers, 389

Real HR Encounters: Safety Is Everyone’s Responsibility, 390

Health and Safety Issues, 390

Pandemics, 390

Distracted Driving, 391

Workplace Violence, 391

Opioid Abuse, 392

Bullying, 393

Indoor Air Quality, 394

Smoke-Free

Environments, 394

Marijuana, 394

Hot Tech Topic: AI Safety Applications, 395

Musculoskeletal Disorders, 395

Stress, 396

Common Causes of Stress, 396

Personal Factors, 397

Reducing Stress, 397

International Safety and Health, 398

International Health Issues, 398

International Safety Issues, 399

Major Safety Legislations in India 399

Summary, 400

Key Terms, 401

HR Workshop, 402

Case Activities, 403

Notes, 404

14 Understanding Labor Relations and Collective Bargaining 407

Introduction, 408

Why Employees Join Unions, 408

Higher Wages and Benefits, 409

Greater Job Security, 409

Influence Over Work Rules, 409

Compulsory Membership, 409

Dissatisfaction with Management, 411

Laws That Created the Legal Framework for Unions, 411

The Wagner Act, 411

Contemporary Connection: The Answer Is Blowing in the

Political Winds, 412

The Taft–Hartley Act, 413

Diversity Topics: Un

About the Author
SUSAN L. VERHULST received her MBA from Drake University. She is a

Professor of Management Emeritus at Des Moines Area Community College and

taught at Grand View University. Susan describes herself as an “HR Geek.” As a

pioneer in online education, she has researched, developed, and taught online

courses in management, human resource management, and organizational behavior.



DAVID A. DECENZO received his PhD from West Virginia University. He retired

after nearly 14 years as President of Coastal Carolina University and serves as

President Emeritus. As a faculty member, his major teaching and research interests

focused on the general areas of human resource management, management, and

organizational behavior. He has published articles in journals such as Harvard

Business Review, Business Horizons, Risk Management, Hospital Topics, and Performance

and Instruction.



PROMILA AGARWAL is an Associate Professor in Human Resource Management at

Indian Institute of Management, Ahmedabad. She is the recipient of the Prof. Indira

Parikh Women Award and also serves as an Independent Director. She is also an

Advisory Member for two start-ups in data analytics and education technology and is

actively engaged in consulting projects. Her consulting expertise spans HRM systems

design, HR analytics, leadership competency frameworks, performance management

systems, organizational capabilities, change management, and the development of

proprietary HR/OB tools and models. She has contributed to high-impact projects,

including the Seventh Pay Commission.