Umakanthan53
Labour Law & Hr Consultant
Bijay_majumdar
Freelancer
KK!HR
Management Consultancy
+3 Others

Someone asked me in an interview that being a HR Payroll Officer , you have 50 employees in your company who have stopped their work. They are demanding salary increase then they will start their work. They are not listening anything. they have only final demand to increase in your salary. So what would be your action being a HR payroll Officer.... I replied to interviewer but my answer was not satisfactory.
Kindly answer this such complicated question.
Advance thanks to all!
14th December 2017 From Pakistan, Lahore
Your first reaction needs to be on assessing the reasonability of the demand by way impact of the demanded rise in salary, affordability of the demand by the organisation, whether your wages are as per statutory notification, the prevailing wages in the industry cum regional basis, so also the strength and weakness of the employees for a long drawn strife, options of the employer etc before starting negotiations with the strikers and keeping ready your best offer in the circumstances
14th December 2017 From India, Mumbai
HR is only recommending agency to increase pay.
In case you get such a threat/demand from employees as HR, your first duty is to report it to higher management.
While talking to the employees be courteous and respectful and do not commit yourself to granting increase of pay.
What pay they are drawing, the running pay scale, effect of increase on the whole company etc can be tabulated and put up to decision making authorities.
14th December 2017 From India, Pune
You have not informed as to what was your reply.However,KKHR has given you useful input. Iam just elaborating it.In wage settlements, you need to do some home work before sitting at the negotiation table.
1) You cannot anyhow pay less than what is provided by the Minimum Wages Act for same class of employees.Check this first.
2) Find out what is the industry norm- compare wages paid by same or similar industries for same or similar class of employees in the region in which your industry is located.
3) Compare monitory rewards like incentives and bonuses paid by you and other industries which may not form part of salary but form part of CTC. this gives you a leverage in bargaining.
4)Compare non-monitory welfare schemes provided by you and by other industries like free health camps etc. to use it as a bargaining weapon.
5) Paying capacity of the employer-how much increase can be born by the balance sheet.
6) Bargain for more productivity vis-a-vis slary hike.
B.Saikumar
HR & Labour relations Advisor
navi Mumbai
14th December 2017 From India, Mumbai
Dear Mr.Ali Asgher,
At times, in an interview for any professional position in an organization, only the interviewer knows what the answer would satisfy him because his intention might be to assess whether the candidate has the correct understanding of his role-play and as such whether he would be able to confine himself within his limits in a given situation which otherwise demands the co-ordination of other departments. Therefore, it would have been better had you narrated your answer for the question as you told then. Now, we, the respondents, are in a fix and to indulge in some sort of educated guess only.
Since I have no knowledge about the Law relating to Industrial Relations in Pakistan, my answer is confined to the contract of employment between the employer and employee and the primary role of a Payroll Officer or Payroll Administrator in the HR Domain of an industrial organization.
Stopping work suddenly in a concerted manner under the pretext of demanding hike in salary on the part of employees/workmen is a flagrant violation of the contract of employment and would enable the employer to deny wages/salary for the entire period of stoppage of work on the basis of the principle of " No work - No wages " apart from taking any disciplinary action as per the service regulations.
Payroll management is a portfolio under the HR Department of an organization. As such a Payroll Officer's primary responsibility is calculation and distribution of pay roll of employees periodically based on the inputs furnished by the Line or other Staff departments. Certainly, the Payroll Officer is not responsible for determining or setting salary levels of the employees. Therefore, in such a strike or stoppage of work by employees, the Payroll Officer has to ensure no wages/salary for such days of no work in the wage period based on the inputs passed on to him. If he is also charged with the IR responsibility, he should first resolve the stalemate and restore normalcy.
14th December 2017 From India, Salem
Dear Seniors,
I have faced this type of issues during payroll process. Management is not ready to provide increment. In that situation workers are not working properly. Management is not ready to loss those worker also. In the above case what can be done to solve this issue and make those workers to work with full co-operation.
Please guide me.
Thanks.
14th December 2017 From India, Chennai
I agree, it becomes a difficult situation to handle, as the threat of adverse action can only worsen the situation. Here comes the need for sound Indl. Relns. Your skill would lie in making the employees to empathise with the company on why the demanded increase/increment cannot be agreed. Facts and figures could only help to an extent. Some sort of emotional appeal is needed. The key would lie in individually taking into confidence the opinion leaders among the group of workmen and using personal influence. Important factor is the credibility of your management, if the trust and confidence in management is high the task becomes easier otherwise the situation becomes very complex and prolonged crisis would be the result.
14th December 2017 From India, Mumbai
Hi Dear,
As a HR you have to act based on incident.
1) are you paying minimum wages? if it is not paying,you have to motivate your management clear the issue.
2) If you paying minimum wages ? they have to give notice before strike other wise you can take legal action against them.
14th December 2017 From India, Bangalore
Dear Seniors,
yes sir, we are paying minimum wages. Lot of times we have approached management to increase wages limit. but management is not ready to increase wages. how come i can able to solve this issue as Asst HR. Please guide me.
Thanks.
15th December 2017 From India, Chennai
""Lot of times we have approached management to increase wages limit. but management is not ready to increase wages. how come i can able to solve this issue as Asst HR. ""
It is beyond the scope of HR to sort out this type of issue.
Pay scales are determined by the company at higher level,based on several inputs.
HR can recommend and adminster payscales but cannot force management to increase pay.
15th December 2017 From India, Pune
Hi Ali Ashger,
As suggested by senior friends here firstly sudden stoppage of work/strike is illegal.
Any issue can be resolved amicably across the table, but there would not have been such a patience/information to the staff/workmen concerned to appeal the matter to the Management in the requisite fashion.
Management would be right here if they adopt the rule of "No Work No pay".
@Ranjeetha,
As HR team handling pay roll or other part of motivating the staff/workmen, you need to represent the matter to the Management through your bosses concerned.
As suggested by other seniors facts/figures help to inform the Management.
It would not be all the group who take the agitation mode, if possible you can identify the main perturbing personnel also slyly and inform Management for a future course of action.
No doubt it is tough situation to handle these unruly persons and illogical/unwanted situations. Taking the core teams help/convincing the erring party (either workers or Management) would solve these issues.
15th December 2017 From India, Hyderabad
@ Ranjeetha
As KKHR and other seniors pointed out this issue is no longer a payroll process issue but an industrial relations issue but may not be as threatening as a strike situation.But the skills needed to deal with IR are different. As Mr.Nathrao said HR alone cannot solve this problem as the decisions lie with top management in matters of salary hikes.So as HR, you need to mediate between demanding employees and reluctant management.No body can totally win the situation.if management wins, the employees may leave the organisation.Try for a win-win situation.Do some home work-1)what are the expectations of employees? 2)How valuable are the resources and how much value their work adds to the company business? What is the industrial average of the salaries for similar employees?.any other detail you feel relevant,can also be collected.Then go to management with all the details and discuss with them and on getting feed back from the management, you can negotiate with the employees.After discussions at length, you can arrive at a meeting point.
B.Saikumar
HR & Labour Relations Advisor
Navi Mumbai
15th December 2017 From India, Mumbai
Dear Ranjeetha,
Any person happens to be an all-in-one HR in an organization has to face such an inevitable crisis situation. Particularly when such organization is a relatively smaller one and in its early stages of growth, rule of thumb would be the management style. Often times, it would be much difficult for such a HR executive even to initiate a free and convincing dialogue with the CEO, who could probably be obsessed with growth only by all possible means chiefly through cost cutting, about the natural expectations of the employees for hike in their remuneration with the passage of time. Your statement that you are paying minimum wages is an indication of the mind set of your management in this regard. Payment of minimum wages is an act of minimum compliance only and as such its continuance for years can not retain the employees or make them committed to the organization in the long run. It may be ideal in seasonal or intermittent nature of works only as such workmen are free to have fall-back employment elsewhere. But, in the case of regular employment in an organization, expectations of due share in the growth and development of the organization and betterment of their standard of living, craving for increase in real and money wages on par with similarly placed workmen in the same industry elsewhere, questions of seniority based wage differentials etc would naturally arise in the minds of workmen who have been paid minimum wages only for long. If the management opts to ignore such justifiable demand of the workmen with a callous attitude, not only efficient employees will leave the organization in search of greener pastures but also the remaining employees would be highly demoralised and demotivated which would adversely affect the quality of the products or services of the organization. I know well that you are not the ultimate decision maker. Yet, as a HR, you can be tactful and persuasive to convince the management that if they are not part of an amicable solution, then they would become the part of the problem. Finally, you should remember that employees do not leave companies but leave managers only.
16th December 2017 From India, Salem
Employees do not leave Company, they Leave Bosses/ Managers. Its true in most of the cases.However in this particular case here,Workers stop working means issue is serious. Productivity is hampered,As Hr Person,First thing he should know right in the very beginning of his own job that what is the ground situation of employees,"Are they happy or not".Whether the environment and management is favorable enough towards workers welfare or not.
No issue rises all of sudden, it would have been boiling down since long and no one might have paid the attention to it. However under such situation, Hr person is likely to hold emergency meeting and seek experts opinion to arrive at the the right Decision which is amicable and win win to both employees and employer.Hr person should have clear stand on his statements and should have positive influence to persuade employees and buy time towards further discussion and assessment of the situation.
Having Said this, I would always recommend that Hr Should also be able to convince the management about the Laws and its implications and consequences along with the ideas or concepts of business development and enhancement of productivity through Empowerment, welfare and training.After all employees are not just workers they are asset of any organisation and key towards branding.
18th December 2017 From India, Vadodara
#Anonymous
Hello All,
Can you please send me the increment letter format for digital marketing company.
Regards,
20th January 2018 From India, Delhi
please help me for the increment letter format
20th January 2018 From India, Delhi
It is rather bothersome to find suddenly a request for trivial letter format cropping up on a totally unrelated subject amidst serious discussion on professional HR issues. Pl don't tag together issues without any apparent correlation. This would be degenerating the forum from its core objective of rendering professional help.
From the very brief text of request , it is impossible to hazard a guess on what the letter is meant for, is it a policy document or sanction letter or denial letter or reply to a request or setting the parameters etc. Unless the issue is not brought out clearly, even if the format is drafted it would be purposeless and without much of use. At any rate, if help is required for even routine correspondence, then it leaves much to be desired on the professional ability and commitment.
Moreover, if the issue is introduction of increment itself, it needs serious consideration of multiple factors like whether it is variable increment or fixed rate, rate of increment, whether there is std date or is it deferred date, condition for grant of increment or denial of increment etc. If you have a definite policy on these matters, then what is the issue in preparing increment letter, one wonders.
Still if you need help, pl come out with the details but don't misuse the forum to ease your routine correspondence tasks
20th January 2018 From India, Mumbai
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