Assignment of

“Managing and developing people in Hospitality

Management”

Assignment Topic

“ Current HRM system of Emirates Group, Dubai, UAE.”

(3500 words)

Subject :- APDS in Hospitality Management

Level- BTEC Level 7
Made by – Md.Habibur Rahman
Student ID- 00207541
Session- Sept.’ 2009

Submitted to – Ms. N. Gibson/Mr. N. Saleem

Index:

Table of Contents Page no.

1. Introduction..........................................................................2
2. Hospitality market and it’s factors
3. Human Resource Management
4. HR planning and strategy
5. Employee relation
6. Leadership
7. Leadership Theories
8. Performance management
9. Legislation of UAE labour market
10. Conclusion
11. References and Notes
Introduction

‘The Emirates Group’ is an international travel and tourism conglomerate public

holding company with multiple business interests in the aviation, travel, tourism,
hospitality and leisure industries, is a highly profitable business with a turnover of
approximately US$ 12 billion. Employing more than 48,000 people across its 50
business units and associated firms, it is one of the biggest employers in the gulf
region. Emirates airline is one of two key divisions in the group. With one of the
youngest fleets in the sky and more than 400 awards for excellence worldwide. The
other is Dnata, which provides ground handling services at 17 airports around the
world, including Dubai International. They have branched out into leisure and retail,
adding hotels and tourism firms to our ever-expanding portfolio.

(http://www.emiratesgroupcareers.com/english/about/companies/Default.aspx,
http://www.theemiratesgroup.com/english/our-company/our-company.aspx,
http://en.wikipedia.org/wiki/The_Emirates_Group)

Hospitality is the relationship between a guest and a host, or the act or

practice or providing care and kindness for the reception and entertainment of
guests, visitors, or strangers, with liberality and goodwill. Hospitality industry,
which includes hotels, restaurants, casinos, catering, resorts, membership
clubs, conventions, attractions, special events, and other services for travelers
and tourists.

Hospitality labor market: Hospitality labor market historically relied on

human resources. The role of human resources in sustaining hospitality
enterprises has long been recognized (Hjalager und Andersen 2001; Baum
2007). Hotels, restaurants, bars & night clubs, travel & tourism organizations,
front office of any business, leisure business, media and presentation
organizations are the hospitality sector where a huge number of hospitality
people are working.

(http://en.wikipedia.org/wiki/Hospitality, Hospitality Employee Management

and Supervision: Concepts and Practical By Kerry L. Sommerville, Human
resources management for the hospitality industry By Mary L. Tanke,
Supervision in the Hospitality Industry: Leading Human Resources By John R.
Walker, Jack E. Miller)

Factors:

Like all other business organization hospitality organizations also need to

consider internal and external factors.

Internal factors:
 i) Recruitment need (shortage/surplus): As a normal practice by
all business organization or company, it has to be check or assess
after every period or when it is necessary of the necessity of human
resources before making any human resources plan of that
organization.

The Emirates Group Human Resource department supports the

company vision by creating innovative and flexible human resource
solutions. In Emirates group, the recruitment is the ongoing process
where recruitments are made by the group HR evaluating it’s
shortage or surplus. The company has a websites with better
navigation, enhanced functionality and new features with latest and
available job of the company.

ii) Job task availability: A job task is a single independent work

assignment by the HR, which results a valuable outcome. It must be
observable, have a specific beginning and end, have several
procedural steps and be able to be measured by its outcome.

The Emirates group HR department duties responsibilities include to

check and identify ‘job task availability’ which is relate to recruitment
and as well give off from work or cut the shift from working hours
from employees where it is possible and necessary depend on the
availability of job tasks.

iii) Seasonality: most of the business organization meet or have a

season where they usually involve high volume of sales or services to
provide to their customers and clients. In the world very few
business organizations or sectors whose are doing continuous
business where they don’t need seasons.
The Emirates Group Human Resources with the Department of
tourism of Dubai always provide different offers, promotions, events,
meeting, celebration, discounts that always bring attention of their
customers and clients both on and off seasons with an target to
make maximum profits through their great services.

External factors:
For hospitality industry it is very important to have enough access to labors or
employees. HRM is also influenced by some other external factors such as;
i)Skills availability: It is very important to have skills availability to
serve clients or customers. Therefore HR department need to make sure that
enough skills availability ahead of time.
 ii) Government regulation and law: Lot of time mangers and team
leaders takes decisions that effects govt. laws. Like every other country’s
regulations, Emirates group HR department also knows and follows properly
the government laws and regulations.

iii) Socio-culture value: it is very important to consider the socio-

culture values for any country. There are lot of socio-cultural issues need to
know by both hospitality service receiver and provider specially management,
employees, clients and customers. For example, sex or sexual related
activities is not allowed in the public place of UAE where it is allow in
European countries or some others countries in the world.

(Managing Human Resources by George Bohlander, Scott Snell, Internal labor

markets and manpower analysis by Peter B. Doeringer, Michael J. Piore,
United States. Dept. of Labor, Manpower Administration, Internal labor
markets and employment transitions in South Korea by Kim Sunghoon,
Industrial relations and the social order by Wilbert Ellis Moore)

Human Resources:
Human resource is the main power of any company.
To achieve goals, hospitality industry needs to pay specific attention to human
resources. Therefore, any company’s HR department always needs to asses
their current and up-to-date human resources before assessing human
resources plan.
The Emirates Group’s HR department always aware as because it is their
duties and responsibilities to check and make sure it’s 50 business units and
associated firms working properly by employees and employees are getting
their maximum equipments, conditions, environments work related favors and
benefit.
There are different concepts of HRM which are such as follows;

Science perspective (PODA)-Those are the concepts of Planning,

Organizing, Directing and Controlling described by Fayol and Frederic Taylor.

Political concept- By this concept work place is a society where there is

democratic, dictator and some other leadership and management prevails.

Control Concept-By this concept a management is seen as a control agent.

Practical concept-see management as an activity aimed at control

melioration of diverse management and complex practices.

Among different function of Human resource Management, the main functions

are;
 HRM functions

Maintaining
Planning
Managing relations
Stuffing
Managing change
Developing
Evaluations
Monitoring

According to the Stone theory; human resource functions are specified as per
the chart below;

Business strategy
F Human resource planning
e
e Job analysis
d
b
a Job specification Job requirement
c (Experience, Qualification, Skills ) (Accountability, Title, Role, Duties)
k

Recruitment

Chart: Stone model of recruitment

Human resources planning: .

Human Resources planning are the process of identifying and quantifying

current personnel resources and futures needs in relation where plans help to
tackle new initiatives or business changes such as reorganization, relocation
or the introduction of new systems as well to meet the evolving demands of
controlling costs and improving performance. There are three key elements
involved in HR planning, these are - Data gathering, Analysis and forecasting,
Succession and career planning.

(Human Resource Planning by Select Knowledge / Helen Simms, Human

resources management in the hospitality industry by David K. Hayes, Jack D.
Ninemeier)
HRM Strategy

i. Recruitment and selection strategy

ii. Motivation strategy
iii. Training and development strategy
iv. Employee relation strategy

Employee relations strategy:

Employee relations consist of all those areas of HRM that involves general
relationships with employees, through collective agreements where trade
unions are recognized, applied policies for employee involvement and
communications; and is concerned with how to gain people’s commitment to
the achievement of the organization’s business goals and objectives in a
number of different situations.
Effective management, engagement, development, participation and
motivation of its staff are keys to the success of any organization also human
resources. Culture, values, beliefs also need to consider. Employee relations
strategies define the intentions of the organization about what needs to be
done and what needs to be changed in the ways in which the organization
manage its relation with its employees and their trade unions.

The Emirates Group Human Resource department supports the company

vision by creating innovative and flexible human resource solutions. Therefore
recruiting, training and retaining high caliber of people is one of the core
values of the business. Emirate’s operates high caliber training programs
which are accessible to all individuals across the Group. There are already
three types of employees’ benefits providing by the company, these are ‘cash
elements, non-cash elements and additional like Concessional Travel,
Emirates Card.

After all I like to recommend one new packages as I bound to do, this can
be ‘commission on total earning based on pay scale and their position values
for the company. For example, Group operating profit, at AED 3,040 million
for 2008-2009 where company can set a target of next or several coming year
with a formal declarations or agreement with employees and their trade
unions with an specific reward of commission if the conditional years the
employees will success to achieve the company’s mention target or goals they
will receive a specific portion of reward or benefit from the earnings of the
company.

(Strategic human resource management: a guide to action by Michael

Armstrong Employee relations by John Gennard, Graham Judge)
Leadership
Leadership is not a person or position, is the art to of influencing and directing
people in such a way that will win their obedience, confidence, respect and
loyal cooperation in achieving common objectives. It is an organizational role
involves to establishing a clear vision, sharing (communicating) the vision
with others, providing the information, knowledge, and methods to realize
that vision, coordinating and balancing the conflicting interests of all members
or stakeholders. Out of many leadership model, famous leadership models are
Ohio Model, Stogdill, R.M. (1974) Model, Fielder’s Contingency Model etc.

John Adair, of University of Surrey & Sandhurst, described three levels of

leadership

Strategy

Operation

Team

Leadership level

• Team leadership (control of a single team)

• Operational leadership (control of a number of teams which make up a
complete operation)
• Strategic Leadership (control of the entire business/ organisation)

Leadership is required at all levels of an organisation, and teamwork is

required to bind the teams together.

A leader needs to :-

• Define the task

• Plan
• Brief / communicate
• Control
• Evaluate
• Motivate
• Organise
• Set an example
(Leadership: Theory and Practice by Peter G. Northouse, Peter G. Northouse
Ethics, the heart of leadership by Joanne B. Ciulla)

Types of Leadership
There are different types of leadership; these are -
Autocratic Leadership: Autocratic leader have the authority to make
decisions alone. There is close supervision by the leader. But the leadership
styles has negative impact as well i.e. creative employees and team players
cannot make decision unless authorize by autocratic leader where it leads to
de-motivation, alienation of staffs in their workplace.

Democratic Leadership: This kind of leadership encourages decision making

from different perspectives through listening team’s ideas, studied them
and consultant with others. Employees and workers get motivation and
involvement because of sharing their ideas with the leadership to make
any decision.
Laissez-Faire Leadership: Laissez-Faire means ‘let do’ where leaders don’t
need to give continuous feedback or supervision as the employees are highly
experienced and need little supervision to obtain the expected outcome.

Paternalistic Leadership: This type of Leader acts as a ‘father figure’.

Paternalistic leadership is an approach based on intentionally or
unintentionally. Most of the leaders sometimes act in paternalistic ways, and
make decisions on behalf of followers that work out well, and it's also a reality
that leaders sometimes are in a position that allows them to have information
and expertise that others in the organization may lack.

(http://www.scribd.com/doc/6327744/Types-of-Leadership-Styles)

Theories of Leadership

There are a lot of theories of leadership. These are described below shortly.

Trait theories: Trait theorists are habitual patterns of behavior, thought, and
emotion as well people inherit certain qualities and traits that make them
better suited to leadership. A trait can be thought of as a relatively stable
characteristic that causes individuals to behave in certain ways that is focused
on differences between individuals.

Situational and contingency theories: This theory assumes that different

situations call for different characteristics; according to this group of theories,
no single optimal psychographic profile of a leader exists. This theory prefers
that there is no single “best” style of leadership. Effective leadership is task-
relevant and that the most successful leaders are those that adapt their
leadership style to the Maturity, which is possible through being influence to
meet high attainable goals. In the Contingency theories the success of the
leader is a function of various contingencies in the form of subordinate, task,
and/or group variables. Leadership as being more flexible – different
leadership styles used at different times depending on the circumstance. No
single contingency theory has been postulated.

Transactional and transformational theories: The transactional leader is

given power to perform certain tasks and reward or punishment for the team’s
performance where manager get opportunity to lead the group and the group
members agrees to follows his/her leadership to accomplish the group goals.
Transformational leadership involves motivation of it’s team to be effective
and efficient.

Behavioral theory: By this theory, Leaders can be made through training,

rather than are born. It assumes that leadership capability can be
learned.

Functional theories: Functional leadership theory is a particularly useful

theory for addressing specific leader behaviors expected to contribute to
organizational or unit effectiveness. According to Hackman & Walton, 1986;
McGrath, 1962, the five broad functions that a leader need to perform is (1)
environmental monitoring, (2) organizing subordinate activities, (3) teaching
and coaching subordinates, (4) motivating others, and (5) intervening actively
in the group’s work.

(http://en.wikipedia.org/wiki/Leadership#Trait_Theory,
http://www.preachology.com/leadership-theories.html,
http://en.wikipedia.org/wiki/Leadership#Trait_Theory)

Productivity of team means performance of team.

Performance management means activities are to ensure that goals are
consistently being met in an effective and efficient manner which is controlled
or observed by the HR department.
Factors that influences performances:
- Market
- Excellence or Quality Management
- Technical development
- Organizational restrictions or changes
- Govt. policies
- Dissolution of Appraisal
- Performance related play(bonus, commission etc)

Appraisal systems:

Appraisal
systeem

Individual, 360 degree feetback

Peer to peer (By self evaluation,
Managers and
(By same level of staff) managers evaluation,
with realtives customers evaluations,
peer to peer evaluations )

Performance Management (PM) is a system composed of an orderly series of

programs designed to define, measure, and improve organizational
performance. Successful PM requires the creation, maintenance, use, and
evaluations of mechanisms to define and revise standards and to inform those
affected by the standards about them (Katz & Green, 1997).
Several ways to measure teams’ productivity or performances are follows;

• The measurement will be based on result rather than behavior and

activities.
 • When aligns organizational activities and processes to the goals of the
organization working properly.
• When employees working toward a team to get the team goals rather
than individuals show-up activities and when team member willingly
want to learn which is relate to the task of that group.

(http://www.lotsofessays.com/viewpaper/1700678.html,
http://managementhelp.org/perf_mng/benefits.htm)

Task -3

Dubai is having very good humanitarian labour laws for what the working
condition is very much fair and enjoyable.

The Law covers all aspects of the employer-employee relationship (Chapter

12), including matters related to employment contracts, restrictions on the
employment of juveniles and women, maintenance of records and files,
wages, working hours, leaves, safety and protection of employees, medical
and social care, codes of discipline, end of service benefits, compensation for
occupational diseases, labour inspections, penalties and employment related
issues.

Labour legislations in the UAE are governed by Federal Law No. 8 of 1980
Regulating Labour Relations as amended by Federal Laws No. 24 of 1981,
No.15 of 1985 and No.12 of 1986 (the “Law”) other than some special labour
related regulations applicable in some of the free zones in the UAE which I try
to describe briefly as below;

THE CONDITIONS FOR EMPLOYMENT

A fixed term contract has a commencement and completion date, cannot be in

excess of a period of 4 years. It can, however, be renewed through mutual
consent
The characteristics of an unlimited term contract provides a commencement
date but no completion date, by its nature renewable and the contract
continues after the work agreed upon is completed.

PROBATION PERIODS
It is common practice in the UAE to employ persons on an initial probationary
period. According to Article 37 of the Law, the probation period can be for a
maximum period of six months. Probation period once completed, it is
considered as part of the overall employment term and is taken into account
when calculating gratuity and other terminal benefits.
WAGES
Wages could be calculated and may be paid in on the basis of a year, month,
week, daily, piece work, or production, or commission.
There is no minimum wage has been determined by law to date.
Remuneration shall include the cost of living allowance and it is not a
donations.
Worker will entitle to get working overtime which is equivalent to the wage
paid during ordinary working hours plus an additional amount of not less than
25% of the wage for the over time period and Worker entitle to working on
holidays.

EMPLOYMENT OF JUVENILES and WOMEN

1. Minimum age must be 15 or more.
2. Juveniles is prohibited to work at night in an industrial undertaking,
hazardous jobs or in work which is harmful to health.
3. Working hours exceed six hours per day, should have one or more
breaks within the stipulated hours).
4. Women at night between the hours of 10.00pm and 7.00am is
prohibited,
except specific cases.

WORKING HOURS

The maximum prescribed working hours for an adult employee is eight hours
per day or forty-eight hours per week. However, the working hours may be
increased to nine hours per day in the case of persons employed in trades,
hotels, cafeterias, and as guards. Persons who hold executive/administration
positions however are expected to work long hours without overtime pay.

Annual Leave/Holiday
A minimum of thirty days paid holiday on the basic of wage plus the housing
allowance, if his service exceeds one year. At the end of his service the
employee is entitled to annual leave (may in 2 fraction) of the last year he
spent in service.

The employer must give the employee once during his employment a special
leave without pay to go for Haj (pilgrimage) which should not exceed 30 days.
This period is not part of the employee’s annual leave or any other leave
which he is
entitled to. Employee are also entitled to official holidays with full wage.

Sick Leave
The employee is not entitled to any paid sick leave during the probation
period. However, after a period of three months continuous service following
the probation period, the employee is entitled to sick leave (continous or
intermittent) wages as
follows:
(1) Full wage for the first 15 days.
(2) Half wage for the next 30 days.
(3) Any following period will be without wage.

The employer may not dismiss an employee from service during his sick leave
or annual leave. During this period any notice for termination will be
considered null and void.

Maternity Leave
A working woman is entitled to 45 days maternity leave with full pay which
includes the period before and after the delivery and could extend her
maternity leave for a maximum period of l0 days without pay

EMPLOYEE RECORDS
An employer who employs five employees or more must maintain employee
records.

SAFETY REGULATIONS

The Law specifies certain provisions regarding employee safety and health
care, which are stipulated under Articles 91 to 101 (inclusive).

Every employer should provide his employees with suitable means of

protection against: injuries, occupational diseases, fire and hazards. Every
employer shall display at the work site detailed instructions in Arabic and if
necessary another language understood by the employees. Employee must
make available a first aid kit or kits containing medicines, bandages and other
first aid material must ensure the workplace is kept clean and well ventilated,
adequate lighting and rest rooms and suitable drinking water.
The employer shall also provide its employees with the means of medical care
to the standard determined by the Ministry.

DISCIPLINARY CODE
The Law, which provides for various disciplinary measures which an employer
or his representative may impose on the employees of the business.

ACCIDENTS AT WORK
In the Appendix 2 different laws and describer for permanent Disability/ losses
caused by an accident which shall be estimated by the Medical Board provided
in Article (148) of this Law.

A work accident is an accident which has been suffered by an employee at his

place of work or while traveling to or from his place of work.

If the employee suffers a work related accident or an occupational disease,

the employer or his representative must report the

If the injury prevents the employee from performing his job duties, the
employer should pay him a grant equivalent to his wage during the treatment
period or for six months, whichever is less.

TERMINATION OF CONTRACT
An employment contract can be terminated in any of the following
circumstances:
1. If the two parties agree to cancel the contract, provided that the employee
consents to this in writing.
2. If the contract term has come to an end, unless the contract has been
explicitly or implicitly extended according to the
rules of the Law.
3. By one of the parties where the contract has an unspecified term, provided
that the parties observe the provisions of the
Law referred to previously regarding notice and the acceptable reasons to
cancel the contract without prejudice.
An employer may dismiss an employee without notice in any of the following
cases (as per Article 120 of the Law):

REPATRIATION OF EMPLOYEES
Under Article 121 of the Law, an employee will be entitled to a gratuity of a
maximum period of 30 on termination without notice. The employee may not
extend this period for any reason provided that the employer actually pays for
the following:
(a) The repatriation expenses as agreed; and
(b) End of service benefits and other

PAYMENT OF GRATUITY
On the termination of the employment contract, an employee is entitled to the
following:
1. A notice period , or any amount due in lieu of the notice period in the case
of an unlimited contract.
2. In the case of an unlimited contract, compensation for unreasonable
dismissal if the contract was terminated by the
employer for unreasonable cause.

Pensions and social security scheme

The Pensions & Social Securities Law, Federal Law No. (7) of 1999, concerns
UAE nationals employed in both the public and private sectors. It provides,
amongst other things, for certain contributions to be made by the employee
and the employer to the Public Authority of Pensions and Social securities. For
a person employed in the public sector these contributions are equivalent to
5% of the contributory pension salary to be paid by the employee and 15% of
the contributory pension salary payable by the employer. As for the private
sector, the government shall bear 2.5% of the 15% share payable by the
employer as contributions to the Authority.

The Pensions & Social Services Law also provides for the amount to be paid as
a pension to eligible UAE nationals on reaching the retirement age of 60, or
disability pension in the case of an employee becoming disabled and unable
to work. It further covers the amount of pension payable to beneficiaries on
the demise of a secured person.

17. DISPUTE SETTLEMENT

Where there is a dispute between the employee and the employer, an

application must be made to the Ministry in the emirate in which the
employer’s establishment is located.
( Labour Law in the UAE, AL TAMIMI & COMPANY, www.tamimi.com,)

Conclusion

Workers are enjoying good tax free salaries, a lot of job benefits and
opportunities almost without any hassle. Therefore, a huge no of workforces is
working in Dubai, contributing for the country.

The Law is enforced by the Ministry and litigation is adjudicated by the federal
and local courts of the UAE which is applicable to all the emirates of the
federation.
It is also not possible to apply a foreign law to a UAE employment contract. If
the governing law in the employment contact is UAE law and filed with the
Ministry, then gratuity will be calculated from the commencement date of that
contract. This contract will take precedence over any other contract with a
foreign governing law. Some of contents of the labour laws like Discrimination
in Employment, Equal opportunity, Women in employment, Ethnic minorities
in employment, Disabled people in employment, Age diversity in employment,
Other forms of discrimination- The Legislative Framework, Equal Pay Act, The
Employment Equality (Sex Discrimination) Regulations, Sexual harassment,
Employment Equality Regulations, Managing Diversity are undisclosed in UAE
laws but it is assumed that those are considered and judged by the Islamic
laws of the country.

The UAE does not allow the formation of trade unions.

Reference:
All references are mentioned on the beneath of the topic I discussed.