meljun cortes it ethics 3
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CHAPTER 8:Employer / Employee Issues
MELJUN CORTES
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USE OF NONTRADITIONALWORKERS
Every two years, the Bureau of LaborStatistics (BLS) develops 10-year projectionsof economic growth, employment by industry
and occupation, and the composition of thelabor force. These projections are widely
used in career guidance, planning educationand training programs, and studying long-
range employment trends.
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EMPLOYMENT CHANGE ANNUALGROWTH
INDUSTRY 2002 2012 NO. % rate
Software publishers
256.0 429.7 173.767.9 5.3
Management, scientific, and technicalconsulting services
731.8 1137.4 405.6 55.4 4.5
Community care facilities for the elderlyand residential care facilities
695.3 1077.6 382.3 55.0 4.5
Computer systems design and relatedservices
1162.7 1797.7 635.0 54.6 4.5
Employment services 3248.8 5012.3 1763.5 54.3 4.4
Individual, family, community, andvocational rehabilitation services
1269.3 1866.6 597.3 47.1 3.9
Ambulatory healthcare services exceptoffices of health practitioners
1443.6 2113.4 669.8 46.4 3.9
Water, sewage, and other systems 48.5 71.0 22.5 46.4 3.9
Internet services, data processing, andother information services 528.8 773.1 244.3 46.2 3.9
Child day-care services 734.2 1050.3 316.1 43.1 3.6
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The Contingent workforce includes independent
contractors, workers brought in throughemployment agencies, on-call or day laborers andon-site workers whose services are provided bycontract firms. A firm most often uses contingent
workers when it has pronounced fluctuations in itsstaffing needs for technical experts on importantprojects, key resources in new product
development, consultants in organizationalrestructuring, and workers in the design and
installation of new information systems.
CONTINGENT WORKERS
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An organization typically obtains contingentworkers in two ways: through TEMPORARY
HELP or EMPLOYEE LEASING.Firms that provide temporary help recruit,train, and test their employees in a wide
range of job categories and skill levels and
then assign them to clients. Temporaryemployees fill in during vacations and
illness, meet temporary skill shortages,handle seasonal or other special workloads,
and help staff special projects.
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Temporary working arrangements might
appeal to people who want maximumflexibility in their work schedule and a variety
of work experiences. Because temporaryworkers do not receive additional
compensation through company benefits,they are often paid a higher hourly wage
than full-time employees doing equivalentswork.
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In Employee leasing, a business outsourcesall or part of its workforce to a professional
employer organization. The goal is tooutsource human resource activities and
associated costs, such as payroll, training,and the administration of employee benefits,
to the employee leasing company.
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In a co-employment relationship, twoemployers have actual or potential legal
rights and duties with respect to the sameemployee or group of employees.
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It usually does not pay for benefits such as
retirement, medical costs, and vacation time. A company can continually adjust the number of
contingent workers to stay consistent with itsbusiness needs.
The company cannot do the same with full-time
employees without creating a great deal of ill willand lowering employee morale.
The use of contingent workers enables the firm tomeet its staffing needs more efficiently, lower its
labor, and respond more quickly to changingmarket conditions.
ADVANTAGES
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DISADVANTAGES
Contingent workers may lack a strong relationshipwith the firm, which can result in low commitment tothe company and its projects along with a highturnover rate.
Although temporary workers don't need technicaltraining if they are specially qualified for atemporary job, they do gain valuable practicalexperience working within a particular company'sstructure and culture, which is lost when the
workers depart at the project's completion.
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Deciding when to use ContingentWorkers
When the management decides to use contingentworkers for a project, it should recognize the trade-off
it is making between completing a single project
quickly and cheaply versus developing people in itsown organization. If the project requires unique skillsthat are probably not necessary for future projects,
there is little reason to invest the additional time andcosts required to develop those skills in full-time
employees.
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The following questions can help determinewhether someone is an Employee:
Does the person have right to control he mannerand means of accomplishing the desired result?
How much work experience does the person have? Does the worker provide his own tools and
equipment? Is the person engaged in a distinct occupation or an
independently established business? Is the method of payment by the hour or by the job? What degree of skill is required to complete the job? Does the person hire employees to help?
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An H-1B is a temporary working visa granted bythe U.S. Citizenship and Immigration Services
(USCIS) for people who work in specialtyoccupations jobs that require a four-year
bachelor's degree or higher in a specific field, orthe equivalent experience. A key requirement is
that employers must pay H-1B workers theprevailing wage for U.S. Workers to do equivalent
jobs.
H-1B Workers
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H-1B Application Process
To receive an H-1B visa, the person must have ajob offer from an employer who is also willing to
offer sponsorship. There are two application
stages: the Labor Condition Attestation(LCA) andthe H-1B visa application. After the LCA isapproved, the employer may then apply to theUSCIS for the H-1B visa candidate, identifyingwho will fill the position and stating the person's
skills and qualifications for the job
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Offshore Outsourcing
Outsourcing, sometimes called managedservices or facilities management is yet
another approach to meeting staffing needs.
With outsourcing, companies receiveservices from an outside organization thathas expertise in providing a specific
function. A company contracts with the
outside firm to perform this specializefunction on an ongoing basis.
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Offshore outsourcing is a variation ofoutsourcing in which work is done by anorganization whose employees are in aforeign country. IT professionals can do
much of their work anywhere
on acompany's premises or thousands of miles
away in a foreign country.