Changes in Personnel Status
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Questions and Answers

Which type of employment is characterized by workers being paid based on the income they generate for their employer?

  • Casual employment
  • Contractual employment
  • Commission-paid employment (correct)
  • Part-time employment
  • What is the maximum duration for a probationary employment period?

  • Six months (correct)
  • Three months
  • Indefinite until qualified
  • One year
  • Which employment type is often associated with temporary replacements or peak seasons?

  • Commission-paid employment
  • Part-time employment
  • Casual employment (correct)
  • Contractual employment
  • Which of the following statements about contractual employment is true?

    <p>It must not exceed six months</p> Signup and view all the answers

    Part-time employment is defined as workers who:

    <p>Work less than the normal eight-hour workday</p> Signup and view all the answers

    What is a primary purpose of promoting an employee?

    <p>To encourage other employees to maximize their efforts</p> Signup and view all the answers

    Which promotion system allows for broader participation and equal opportunity?

    <p>Open promotion system</p> Signup and view all the answers

    Which of the following is NOT a formal criterion for employee promotion?

    <p>Socioeconomic status</p> Signup and view all the answers

    What type of demotion involves a reassignment to a less important job?

    <p>Involuntary demotion</p> Signup and view all the answers

    What describes 'qualified seniority' in the context of employee promotion?

    <p>The most competent employee is promoted, regardless of tenure</p> Signup and view all the answers

    Which of these factors can be considered an informal criterion for promotion?

    <p>Friends within the organization</p> Signup and view all the answers

    What distinguishes a promotion from a demotion?

    <p>Promotion involves a higher position; demotion involves a lower position</p> Signup and view all the answers

    What is the impact of nepotism on the promotion process?

    <p>It may influence decisions to favor relatives over qualified candidates</p> Signup and view all the answers

    What happens to a contractual employee's position when their contract expires?

    <p>Their employment terminates automatically.</p> Signup and view all the answers

    Which of the following is NOT an essential requisite for valid labor contracting?

    <p>The contractor must operate under a specific project.</p> Signup and view all the answers

    Which type of employment is characterized by a fixed term or duration?

    <p>Contractual employment</p> Signup and view all the answers

    What distinguishes labor-only contracting from valid labor contracting?

    <p>The contractor merely places workers without substantial capital.</p> Signup and view all the answers

    What defines regular employment?

    <p>Engagement for activities essential to the business.</p> Signup and view all the answers

    In which scenario is illegal dismissal likely to occur?

    <p>Termination of a regular employee without a notice.</p> Signup and view all the answers

    What is a characteristic of probationary employment?

    <p>It allows the employer to assess the employee's performance.</p> Signup and view all the answers

    What is a feature that distinguishes contractual employees from regular employees?

    <p>Contractual employees lack certain job security rights.</p> Signup and view all the answers

    Study Notes

    Changes in Personnel Status

    • Employment status changes are common throughout employment. These changes include promotion, transfer, demotion, or separation.
    • Placement is the objective of finding the right person for the right job.
    • Personnel actions are taken by the HR department following a written request from a department that expresses the desired employment change.

    Promotion

    • Promotion involves reassigning an employee to a higher-level job position.
    • Employees move up the organizational hierarchy, often with increases in duties, responsibilities and pay.
    • Promotions encourage high performance and increase loyalty to the firm.

    Demotion

    • Demotion is the reassignment to a lower-level job with less responsibility.
    • This typically involves a reduction in status or privileges but not necessarily in pay.
    • Employers should avoid demotion unless necessary, due to potential negative impacts on morale and productivity. Alternative solutions like retraining or reorientation are preferred.

    Employee Separation (Termination):

    • Separation can occur when either the employer or employee decides to end the relationship.
    • Terminations require a complex legal process, particularly when involving regular employees.
    • Laws, such as Article 279 of the Philippine laws, protect employees from unjust dismissal and require specific procedures to be followed.

    Transfer

    • Transfer involves moving an employee to a different job within the same company.
    • Transfers can be due to job dissatisfaction, conflicts with coworkers, organizational needs, or employee convenience.

    Recruitment for Promotion

    • Closed Promotion System: Supervisor identifies promotable employees.
    • Open Promotion System: Job posting promotes wider participation and equal opportunity.

    Criteria Used in Promotions

    • Seniority: Length of service is the sole determining factor. Qualified seniority favours employees with higher skills or competence.
    • Performance: Previous job performance and evaluations are a primary criteria.
    • Other (Unofficial) Criteria: Personal characteristics, nepotism, and social factors also play a part.

    Layoffs/Closure of Establishment

    • Layoffs are used as a temporary measure during business downturns or economic fluctuations.
    • Reasons for layoff can include declines in business, technological advancements or organizational restructuring.
    • Employers might offer support services like outplacement assistance to laid-off employees.

    Employee Separation Pay

    • Separation pay is paid to terminated employees.
    • The amount depends on the reason for termination (just cause vs. unauthorized), length of service, and other employment terms.
    • Termination pay is calculated based on the latest salary unless this rate was diminished to bypass the intent of the law.

    Retirement

    • Employees can retire under specific circumstances, often outlined in employment contracts or collective bargaining agreements.
    • The retirement payout calculation varies depending on the specific laws, agreements, and any employee policies.

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    Description

    This quiz covers various aspects of personnel status changes in employment, including promotions, demotions, and transfers. Understanding these concepts is essential for HR professionals to effectively manage employee relationships and organizational dynamics.

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