Human Resource Management in a Business Context, 3rd edition by Alan Price
Human Resource Management in a Business Context provides an international focus on the theory and practice
of people management. A thorough and comprehensive overview of all the key aspects of HRM, including articles from HRM Guide and other sources,
key concepts, review questions and case studies for discussion and analysis.
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HRM and the State
Chapter 5 of Human Resource Management in a Business Context (2nd Edition) by Alan Price - published by Thomson Learning
Contents
Objectives
The purpose of this chapter is to:
- Provide an overview of the role played by governments in creating the context for human resource management.
- Outline the concept of human capital and its implications on development throughout the world.
- Introduce the legal frameworks that regulate employment in the major economies.
- Describe initiatives taken by the European Union as examples of governmental initiatives with a human resource focus.
The state and intervention
Human capital
Legislative frameworks
Europe-wide initiatives
Summary
In this chapter we examined the role played by governments in creating the context for human resource management
through labour market policies, regulation and legal frameworks. We emphasized the
particular influence of state intervention in developing human capital and growth of
the employment market. Employment legislation sets a framework for the practice of human
resource management but these frameworks vary widely and embody different traditions and
views on the nature of the employment market. We took the European Union as an example and
highlighted a number of initiatives with a human resource focus which were interpreted
differently in member states.
Further reading
Texts on Labour Market Policies include: Why Deregulate Labour Markets? edited by Gosta
Esping-Andersen and Marino Regini, Oxford University Press (2000); Changing Labour
Markets in Europe: The Role of Institutions and Policies edited by Peter Auer,
International Labour Office (2001); Innovations in Labour Market Policies: The
Australian Way by D. Grubb, Douglas Lippoldt, Peter Tergeist, OECD (2001);
Labour Market Inequalities: Problems and Policies of Low-Wage Employment in
International Perspective, edited by Mary Gregory, Wiemer Salverda and Stephen
Bazen, Oxford University Press (2000).
Most books about human capital are focused on the firm, more generally Rethinking
Development Theory and Policy: A Human Factor Critique, by Senyo B. S. K.
Adjibolosoo, Praeger Publications (1999) looks at failure within the context of
development. By now, there is a huge selection of books available on employment
policies in the European Union. European Labour Law - Eighth and Revised Edition
2002 by Roger Blanpain, Kluwer Academic Publishers (2002) is an exhaustive review of
employment legislation in the EU. More generally, Unemployment in the New Europe,
edited by Nancy Bermeo, Cambridge University Press (2001) advocates a European way forward.
Review questions
Problems for discussion and analysis
Case study - South Africa
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