Human resources – at human resources, they are responsible for recruitment, retention and dismissal. Human resources is responsible for the workers and to make sure they have good working conditions, health and safety, employee organisations and unions and training, development and promotion. The human resources department is involved in staff development. They make sure the employees are doing the right tasks. There are 4 main reasons why a person might leave a job;
Retirement – in most industries the retirement age is 65 for men and 60 for women. Some people may retire before this age and some people keep on working beyond this age. Dismissal – dismissal is when someone is told to leave their job, or ‘sacked’. Usually the person is given notice and is allowed to work a certain period before they have to leave. Sometimes the person is paid for the notice period but is not required to work; this is called payment in lieu of notice. An employee must be given exact details about why they are unsuitable for the job. The employee must also be given advice and help to enable the employee to improve. An employer who doesn’t provide these can face a claim for unfair dismissal.
Redundancy – is when employees are dismissed because their service is no longer needed. There is no redundancy if the person is replaced by someone doing the exact same job. This can happen if the employer is closing down a factory or office. Personal reasons – people may leave a job for reasons that have little to do with the employer. Employees may leave the job because they are moving houses, marriage, divorce and illnesses.
Finance – the finance department manage all the money coming in and out of the business. The finance department also deal with, preparing accounts, and paying wages and salaries. Business need to understand this information so they can plan what to do next. The financial department also deal with salaries, and other payments, and may also work with other departments within the business. In small business the owner might look after the financial records. Usually firms pay someone to look after their accounts. In larger business the firm might have full-time staff looking after the finances. Also if the firm is large enough it will employ people to work within the business. There are 3 different types of accountants include; financial accountants, cost accountants and management accountants.
Financial accountants – usually only larger organisations have financial accountants. The financial accountant has to keep record of how much the business spends and how this has affected the profits of the business. The financial accountants prepare the profit and loss accounts and balance sheets. Cost accountants – the cost accountant calculates the costs of the business services and products. By showing which parts of the organisation are efficient the accountant may contribute to haw the business is organised. The accountant is able to show which products are most profitable, this helps the manager decide on what to decide. Their cost accountants may work closely with other departments to make sure that costs are measured as accurately as possible.
Management accountants – the Management accountant deals with the actual income and expenditure of each of the businesses activities. Departments may be given money to perform their various tasks and are set targets on how much they have to earn, this is a budget. The management accountant may also tell managers how well departments are meeting their budgets. It is important for Tesco to have a large finance department because it is a big company that has a lot of capital income. If they had a small department they won’t be able to keep record of all the income.