Member’s Dashboard My Account Human Resources Expanded Assessment 1. HR Governance Structure - Do you have robust HR Processes and practices covering inter alia contracts of employment, disciplinary procedures, basic conditions of employment, applicable bargaining council agreements, unemployment insurance fund, workmen’s compensation, employment equity and skills development, employee well-being as well as a dedicated HR resource or HR department? Yes, definitely. We have a dedicated HR resource area that is responsible for all aspects of HR from manpower planning, HR policy and review, recruitment and offers of employment, finalisation of employment contracts, payroll, disciplinary and grievance processes, performance appraisal, remuneration, salary and wage reviews, well-being, union relationships and regulatory compliance. Yes, we see staff as our biggest asset and place a high priority on maintaining good relationships with staff, unions and customers. We do not have the resources to run a fully fledged HR department but do employ a dedicated HR resource, and try to keep abreast of the latest labour issues and legislation as best we can. Yes, to a degree. We do not have a dedicated HR area and rely on recruitment agencies and a Labour Consultant to handle all our HR, disciplinary and compliance issues. We merely handle the operational side of payroll and leave. No, not really. We have a very basic part time HR function that deals with new and departing employees, basic employment contracts, leave and the payroll. No, we do not have formalised HR processes or an HR function in the business and the majority of our staff don’t have formal employment contracts. We do however comply with labour laws in general and the accounting area attends to our payroll. We deal with labour issues and disputes as and when they arise. No, not at all. We do not have HR processes or an HR function in the business and no employment contracts are in place. 2. Compliance - Are you complying with the labour, health and safety legislation and regulations as well as with local ownership and/or other economic transformation requirements? (SA-Basic Conditions of Employment Act, Labour Relations Act, Occupational Health and Safety Act, Employment Equity Act and the Broad Based Black Economic Act (BBBEE)? Yes, absolutely. We have made labour compliance a priority and have made good labour relations, employee health and well-being and safety key organisational objectives. We have also placed significant focus on employment equity and our empowerment/indigenisation rating so that we qualify for preferential procurement and as a preferred supplier to government and big business. Yes, we have put up the required signage as required in terms of the various acts and take employee health and safety very seriously. We comply with the broad core regulatory requirements, but other than that we have not overly concerned ourselves with specifics and merely follow industry practice. Yes, to a degree. We have largely focused on conditions of employment and employee health and safety. We do not see the other acts of being of any importance or benefit to us. No, not really. We only have a few full-time/contracted employees who all earn above the salary threshold and as such we are not overly worried about labour and safety compliance. No, we seem to spend a disproportionate amount of time on labour issues at labour tribunals (CCMA) due to deficiencies in our labour practices, compliance and in particular around our disciplinary processes. 3. HR Policy and Employment Contracts - Does your business have HR Policies and a Code of Conduct, are you committed to fair labour practices and are Employment Contracts in place for all employees? Yes, absolutely. We are committed to fair labour practices and have comprehensive HR policies which incorporate a code of conduct in place. These are updated on a regular basis to reflect best HR practice, e.g. drugs in the workplace, racism, sexism, confidentiality/non-disclosure, use of company assets and use of social media. All our employees have very specific employment and performance contracts which are signed and agreed to by them. Yes, we make use of a generic HR policy document as well as standardised templates for employment contracts and job descriptions. This has however led to a number of conflicts and disputes with staff. Yes, to a degree. We have outsourced most of our service and labour requirements to independent service providers and labour brokers and this appears to have removed much of the labour problems and issues we were experiencing. No, not really. We don’t have employee contracts in place for all employees, particularly our long-standing employees. Our contracts have not been updated for some time and do not reflect a number of factors now relevant in the workplace/our business, e.g. extended working hours, drugs in the workplace, confidentiality, use of social media etc. No, we do not have a set down HR Policy or specific employment contracts in place for employees and rely on industry practice norms and negotiated union requirements. 4. Recruitment - Do you have robust recruitment and comprehensive vetting processes in place to filter and assess potential employees that include background and employment checks, record of service, identity verification, criminal record and credit reference checks and qualification verification and are all your new employees subject to a comprehensive induction process? Yes, absolutely. We have a comprehensive independent vetting process in place before any offers of employment are made. All new employees are required to attend an induction programme which covers HR policies and the organisation’s code of conduct. Yes, we rely on our recruitment agency to undertake vetting and reference checks and to familiarise potential candidates with the ethos and values of our business. Yes, to a degree. We do limited vetting, background checking and induction, but as we have a zero tolerance to fraud theft and criminal activity, we deal with employees as and when issues arise. No, not really. Our business is so small and we have very limited documented HR policies. It is not practical for us to undertake formal induction or familiarisation processes and staff are expected to familiarise themselves with our requirements around the ethics/values and culture of the business, terms and conditions of employment, HR policies and procedures and the expected code of conduct. No, we use contract and casual labour wherever possible and as such have reduced the need for formal recruitment and induction processes. No, not at all. We take the best available resource from our interviews and only worry about the other issues if something doesn't seem right. 5. Lifestyle Checks and Staff Monitoring - Are you vigilant to the risk of high risk employees (e.g. over indebtedness, substance abuse - drugs/alcohol, gambling addictions or experiencing personal challenges), leave not being taken, excessive overtime being worked or significant changes in lifestyle (e.g. expensive clothing, luxury jewellery, overseas holidays, private schools) and do you routinely (e.g. annually) obtain a declaration of interests from staff, so as to manage potential conflicts of interest? Yes, definitely. Our employment contracts, HR policy and code of conduct are explicit that these are a condition of employment and that any major change in the risk profile or behaviour of an employee or conflict of interest, will allow us to review their position and continued employment. Yes, to a degree. We do monitor staff for changes in lifestyle or behaviour, leave being taken and excessive over-time being worked, but do not take specific pro-active action to move or suspend staff who could pose a risk to the business. No, not really. We rely totally on the separation of duties, whistleblower line and rewards to ensure that any maverick employees are blocked in their tracks. No, we do not have any processes in place to monitor or check-up on our employees and do not ask for a declaration of interests. We take action around any specific incidents detrimental to the business as and when they occur. No, not at all. We do not have any formal monitoring processes in place, but refer any employees who are experiencing personal problems and who need support to external counsellors and look to discipline or suspend offending employees as a last resort. 6. Disciplinary and Grievance Process - Do you have formalised disciplinary and grievance processes in place? Yes, absolutely. As the majority of our labour disputes originate in this area, we have well-documented and robust grievance and disciplinary processes in place as well as staff skilled in conducting disciplinary hearings. Yes, our disciplinary and grievance hearings are conducted in a procedurally correct manner under the auspices of an appropriately selected chairperson with reasonable notice of the hearing procedures given to all parties. Yes, to a degree. We have a code of misconduct in place which sets out clearly those offences regarded as very serious, serious and less serious, but we still have a number of incidences where these are disputed and not adhered to by employees. No, we do not have appropriate resources or processes in place to deal with grievances and disciplinary issues and have seen some minor incidents rapidly escalate to those of a far more serious and time-consuming nature. No, not at all - and as result we have lost nearly all of the complaints brought by staff disputing their disciplinary findings and dismissals at the labour tribunal. (CCMA) 7. Dismissal and Termination - Before you summarily dismiss or terminate the employment of any employee have you satisfied yourself beyond doubt and ensured that the grounds for this, i.e. misconduct, continued unsatisfactory performance or physical incapability, have been satisfied and justified and that you have taken all the appropriate steps to attempt to rectify, help or improve the situation, e.g. appropriate warnings, retraining, rehabilitation, etc. before taking this action? Yes, absolutely. We have a workplace forum in place and are extremely sensitive to any termination or dismissal of employees until we have clearly established that our codes of conduct have been breached and that we have followed the laid down disciplinary process. Yes, we follow a standard approach to dismissed employees leaving our employ and after their formal disciplinary process has been completed grant them an exit interview, sign a 'separation and confidentiality' termination agreement, finalise the settlement of any amounts or claims due and remove any assets of the business including laptops, access cards and keys. Yes, to a degree - but we prefer to suspend employees, pending the outcome of a formal disciplinary hearing into their dismissal. No, not really. Once we have decided to dismiss an employee, we prefer to get these employees of our premises as soon as possible irrespective of any issues or processes that need finalisation. No, not at all - and as a result we have lost most of the complaints brought by staff disputing their terminations at the labour tribunal (CCMA) due to poor process, and have been forced to reinstate or compensate them accordingly. 8. Retrenchment - Before you retrench any employees have you satisfied yourself that the process is substantive and procedurally fair and that prior consultation with affected employees was undertaken? Yes, absolutely. We will only retrench employees as an absolute last resort, and if forced to, will follow all the required procedures. Yes, while we will always try and follow the required retrenchment process, we would be looking to retrench poor performers first by offering them some settlement in addition to their severance pay due. No, not really. We employ most of our staff as casuals or contractors so retrenchment is not an issue for our business. No, notwithstanding the regulatory processes required, economic conditions are tough and deteriorating and it is likely that we may be forced to retrench employees at short notice in order for the business to survive. No, not at all. We are just not in a position to follow the required process or able to offer retrenched employees alternative employment, re-employment or other specific assistance. 9. Appraisal and Performance Measurement - Do you have job descriptions (JD’s) and performance contracts (a.k.a. KPA’s or KPI’s) in place for all employees and do you have formalised employee appraisals and performance reviews by which employee performance is assessed relative to the agreed performance standard? Yes, absolutely. We have detailed job descriptions and KPA’s/KPI’s in place for all employees and have a formalised appraisal and performance review process that is undertaken twice a year. Overall performance of the organisation is reviewed in tandem with individual performance. Yes, to a large degree. Our individual performance measurement process is comprehensive, but does not fully reflect the underlying overall performance of the business. Yes, but while we undertake performance appraisals, it is almost impossible not to grant inflationary linked salary increases and bonuses/13th cheques to both performing and non-performing staff. Yes, to a small degree. Although we do not have detailed job descriptions or KPA’s in place for the majority of employees, we have chosen to rather grant above average salary increases and bonuses to all the better performers. No, we have largely dispensed with these as some staff have taken objection to our performance appraisal review process in the past and have laid grievances against their appraisers. No, not at all. We have no formal job descriptions and find ourselves not being truly honest with the appraisal of employees for fear of upsetting them. 10. Remuneration - Are all your posts formally graded, evaluated or bench-marked, are you managing the integrity of pay levels and salary packages and making use of reputable grading systems to ensure regular review, salary equitableness and industry alignment? Yes, absolutely. Our posts are all formally graded and evaluated on an on-going basis, we undertake bi-annual salary reviews and our employees are incentivised to perform. The confidentiality and integrity of salary packages is an integral component. Yes, while our posts are not formally graded, pay levels are aligned and bench-marked to the market and our industry with a bonus structure linked to performance. Yes, to a degree. We have a limited management structure and our workforce is largely unionised so we are subject to collective bargaining and agreed levels of remuneration for the different job categories. No, not really. Many of our employees are casuals and contractors and we are not affected by formal remuneration evaluation requirements. No, we try and pay in line with our competitors, but cash flow limitations and profitability dictate salary and bonus levels. No, not at all. Our levels of remuneration and lack of a formal salary structure are a constant cause of unhappiness and friction with our employees. 11. Payroll - In order to minimise payroll fraud, do you make use of an integrated reputable payroll system that is capable of employee verification, handling all current statutory and other deductions, provides detailed audit trails of changes or amendments and which enables a clear separation of duties around preparation, verification of data and payment information? Yes, definitely. We have outsourced our payroll function and make use of a reputable payroll bureau. We still retain dual control over source supporting source documentation, the data/file and records provided to the payroll bureau for processing and payment and undertake regular scrutiny of our HR employee records against the payroll file to ensure that all employees are legitimate, and that no ghost workers, duplicated employees, ex-employees, fake or deceased staff are on the payroll and that only approved and correct/ruling salaries, wage scales, overtime rates and deductions are being applied. As a result we have not suffered any payroll fraud. Yes, to a large degree. Our payroll is under dual control, and we make use of a time and attendance access control systems that is integrated with our payroll system, which not only manages access to our premises, but also manages overtime, absenteeism, terminated workers and eliminates identity theft or other abuse. We have eliminated some areas where we previously suffered losses. Yes, we process our payroll internally and with the payroll being the businesses biggest monthly expense, the payment file and any changes to it, is personally checked and released by the owners. Yes, we make use of payroll services provided by our accountants and rely entirely on their controls. Yes, to a lesser degree. We use a reputable licensed payroll package under the control of a single party that is integrated with our banking payment system. We rely entirely on the integrity of our payroll officer. No, due to cash flow limitations we are often late paying employees and in paying our statutory and other regulatory deductions over to the required authorities. Our system is open to fraud and abuse. We have suffered payroll fraud due to very lax checks and controls around our payroll. 12. Labour Relations - Have you made good labour relations and high employee morale a key objective of your business? Yes, absolutely. We stay appraised of all pertinent labour issues and make use of credible labour consultants/professionals and qualified labour lawyers to deal with our more complex, sensitive labour or tribunal related issues. We make use of arbitration, facilitators, bargaining councils or alternate dispute resolution mechanisms as opposed to the courts to resolve labour issues or wage disputes wherever possible. Yes, to a large degree. We have regular staff meetings and place a big focus on labour related issues and relations as our organisation is highly vulnerable to labour and/or civil unrest and the impact of a protracted strike and/or hostile industrial action would have a major impact on our business. Yes, we maintain good communication lines with unions, shop stewards or union representatives and key employee representatives, we are responsive to bargaining council processes and look to prevent labour deadlocks and strike action wherever possible. Although we have very few employees, high morale and happy employees is important to us. No, not really. Despite our seeming reasonableness with departing employees, we find ourselves in regular disputes around leave and settlement pay and around restraints of trade with former employees. No, we are not at all interested in labour related issues and try and stay away from unions or union affiliated activity. No, not at all. As a result we have poor labour relations and high levels of absenteeism in the organisation which has a negative impact on customer service, morale and productivity. 13. Training, Development and Succession planning - Are you committed to the transfer of skills, skills building, training and development programmes, manpower and succession planning in your business? Yes, absolutely. We are committed to talent management, have comprehensive workplace skills and succession plans in place throughout the organisation and our staff retention is very high. Yes, we are committed to staff development and undertake regular skills assessment and audits of all employees in order to establish training needs or gaps, and then follow through with the appropriate training. Yes, to a degree. We have limited formalised training and skills development but openly encourage and incentivise creativity, input and ideas around process, service or product improvements by employees. No, as a result we experience a high turnover of staff, our staff are poorly trained and this is clearly evident from the customer complaints we get and the adverse reports we receive on our service. No, not at all. We have no training, skills development or succession plans in place and as result our staff morale is generally very low. 14. Occupational Health and Safety - Is the health and safety of your employees of primary importance to you? Yes, absolutely. We view occupational health and safety of employees as of paramount importance and there is no compromise in this area with safety controls, safety regulations, signage, safety drills and procedures being practiced and strictly enforced. Yes, our safety and accident record forms a key strategic objective of our business. Regular toolbox talks and/or lunch and learn sessions form a key component. Yes, to a degree. We try and educate our labour on safety protocols and provide them with the required protective clothing, but still experience a number of avoidable accidents. No, we have not made safety a priority in our business, but hold the necessary insurance in case of accidents or claims. No, not really. We have a basic first aid box, but do not spend any time on safety aspects and rely on employees' common sense in this regard. 15. Employee well-being - Is the health, well-being and hygiene of your employees being sufficiently promoted, accommodated/catered for and and do you have a workplace employee wellness program in place that monitors all employees and which incorporates financial well being? Yes, absolutely. We have a comprehensive workplace wellness programme in place, pro-actively monitor employees and as productivity and performance are key measurement of our organisation, it is very important to us that staff take the leave due to them, eat healthily, stay fit, follow laid down hygiene requirements and that chronic medication is being taken where prescribed. Yes, we provide and facilitate the provision of a number of appropriate fitness, medical, health, savings and retirement benefits for our staff including counselling. Yes, to a degree. The retention of good employees is very important to us so we focus on basic hygiene, encourage healthy lifestyles and support recreation and sporting activities by staff. No, not really - but we do facilitate general counselling services to staff for HIV, debt counselling, alcohol, drug or gambling addiction. No, not at all. We do not offer any employee well-being services or benefits and regard this as a private issue. Score Score 0 to 29 Your score indicates that there is a lack of Human Resources expanded controls and discipline that exposes your business/organisation to massive risk. We suggest that you URGENTLY address the issue of human resources expanded risk management generally, and also identify the biggest risks individually and put the necessary policies and programmes together without delay to minimise these risks. Score between 30 and 44 Your score reveals that your Human Resources expanded controls and discipline are weak and expose your business/organisation to significant risk. We suggest you address the area of human resources expanded control risk as a priority and look to make improvements in this area as soon as possible. Score between 45 and 54 Your score suggests that there are significant potential weaknesses in your Human Resources expanded controls and that this should receive attention as a matter of priority. While an overall improvement may be required, it is also possible that your vulnerability is limited to one or two areas. Score between 55 and 64 Your score suggests you could and should improve your Human Resources expanded controls, but that this area probably doesn't represent a massive risk (generally). There may however be some vulnerability in a couple of areas that should be addressed in the reasonably near future. Score between 65 and 79 Your score suggests that you probably have strong Human Resources expanded controls and are therefore probably not hugely at risk. We would however recommend that you identify possible areas of weakness and address these in due course. Score 80 and above Your score suggests that you have strong Human Resources expanded controls and have therefore greatly reduced your risk in this area. We would still however advise you to identify possible areas of weakness and address these in due course. reCAPTCHA Submit
