THEORY R

(The Relationship of Employee regularization to Increased Productivity Rate)

By: Cafirma, Rhegell B. Simon, Olivia Marie I.

INTRODUCTION Employees need to be given time to settle into their jobs, even though this may be a lengthy period in the case of the managers. Insecure tenure and high rate of turnover adversely affect organizations. Related costs include the cost of hiring, training and decrease in productivity until the person who left is replaced and the replacement comes up to speed. Though the replacement can be a better employee, it is also possible that he is not.

Another cost that is difficult to quantify and is often overlooked is organizational memory. Lets face it, not everything is documented. A lot of the knowledge and understanding of how the organization works resides in employees. This is especially true when the employees who leave have been in the organization for some time.

The prevalence of contractualization, especially at lower-level positions, is perhaps one of the most deliberate efforts resulting in job insecurity. For a significant percentage of the work force, job security is a myth. All they know are five-month contracts, working through agencies, and receiving, perhaps, minimum-wage and mandated government benefits. Training and career advancement are minimal, if any. ART. 281. Probationary Employment. Probationary employment shall not exceed six (6) months from the date the employee started working, unless it is covered by an apprenticeship agreement stipulating a longer period. The services of an employee who has been engaged on a probationary basis may be terminated for a just cause or when he fails to qualify as a regular employee in accordance with reasonable standards made

known by the employer to the employee at the time of his engagement. An employee who is allowed to work after a probationary period shall be considered a regular employee. DATA GATHERED FROM THE INTERVIEW/OR FGD Question number 1: As a supervisor what is the basis for employee regularization? In the institutions point of view the basis for regularization would be meeting the standards set by the organization itself. It involves having a checklist at hand when evaluating employee performance and at the same time discussing the results with the staff. Qustion number 2: Being a probationary employee, what do you think is the basis for regularization? Closeness with the supervisor is a major factor in employee regularization. Although they have standards for evaluation, it still depends upon the supervisor if he likes you or not, Question number 3: What criterion do you think has the most bearing or biggest impact on employee regularization? a. Punctuality b. Efficiency c. Attitude d. Independence and reliability Team leader: Attitude goes with the whole performance itself.

Probationary employee: Independence and reliability is essential for regularization, because as time passes by you are able to master the job and therefore would need minimal supervision. EMPIRICAL OBSERVATIONS (ACTUAL VISIT TO THE LOCALE) As observed, the employers or higher ups use a checklist in order to evaluate staff performance for the whole probationary period. Some employees were regularized by default provided that they were able to satisfy the management in his performance. THEORIES/MODELS Stability of tenure of personnel (14 Principles of Management by Henri Fayol):

Employees work better if job security and career progress is assured to them. Employee turnover should be reduced and long term commitment should be encouraged.

Insecure tenure and high rate of employee turnover will affect the organization adversely. Theory Z focused on increasing employee loyalty to the company by providing a job for life with a strong focus on the well-being of the employee, both on and off the job. According to Dr. William Ouchi, its leading proponent, Theory Z management tends to promote stable employment, high productivity, and high employee morale and satisfaction. Theory Z is a form of management in which workers are involved in the work process on the factory floor. Schedules, division of labor, work assignments, and other aspects of the labor process are given over to workers to do as they see best.

Characteristics of the Theory Z * Long-term employment and job security * Collective responsibility * Implicit, informal control with explicit, formalized measures * Collective decision-making * Slow evaluation and promotion * Moderately specialized careers * Concern for a total person, including their family VARIABLES, TOGETHER WITH ITS OPERATIONAL OR DEFINITIONS Probationary employee- refers to a worker whose employments future status will depend upon judgments made by the management. Productivity-refers to the contributions made by the employee during the span of his stay in the institution. Independence- ability to work with minimal or less supervision. CONCEPTUAL PARADIGM The Diagram below shows that there are 2 main factors that affect employee regularization. The regularization by Law which is by default, if the probationary employee is already 6 months on the job. The other one is the criteria set by the institution. If the criteria is met then the employee would be granted security of tenure. Then employees loyalty would follow which in turn would result to increased productivity.

THEORY R
Factors Affecting Employee Regularization
Criteria set by the institution: - Punctuality - Efficiency -Attitude -Independence

Regularization by Law

Security of tenure

Loyalty

Increased Productivity