At-will employment is a unique feature of American capitalism, and one that is v
ID: 455543 • Letter: A
Question
At-will employment is a unique feature of American capitalism, and one that is virtually unheard of in European countries. In fact, in countries such as France, Germany, and Japan, there is a reasonable expectation by workers of virtual lifetime employment in many industries. What are the major elements of the employment-at-will doctrine? 2.How does the employment-at-will doctrine impact human resources practices in organizations? 3.Obviously, unions and many employees are not in favor of employment-at-will. How can employment-at-will be modified to offer flexibility to management yet offer more security to employees?
Explanation / Answer
The emplyment at will doctrine is used in US labour law and is used to describe employment relationships by which the employer can terminate the services of an employee without having to give a just cause for termination. An employee who has been employed as per the at-will doctrine will not have a legal right to compensation for any loss resulting from the dismissal.Similarly if an employee leaves employment with no notice, the employer has no legal support to ensure the given work is complete. This generally results in an inequality of bargaining power since the employer is not obliged to provide a just cause for termination and also does not have to take any responsibilities for the act of termination. Some of the exceptions to this doctrine are
The impact of this doctrine can be felt on a number of HR practices. In recruitment for example, potential candiates may fell intimidated by the doctrine since there is a potential for job loss without a just cause thus jeopradizing their future. HR may thus have to compensate through higher renumeration, joining bonuses etc. The initiative for investing in training practices will also be lesser since the duratiion of time an employee will stay may not be clear. Compensations are generally on the higher side and employee engagement activities nedd to be strong so the employees do not feel insecure
The doctrine can be modified by placing some onus on the employers to provide a cause for termination of services. There can be policies that make it necessary for employers to give a warning to the employees regarding under-performance or any other aspect that may result in termination. This gives a hint to the employees regarding impending termination and also gives them a chance to improve. Similary, linking the final settlement to the notice period served can ensure that the employers do not quit without prior information thus providing some time for completion of pending work
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