Human resource practices and discrimination in South Africa: overcoming the apartheid legacy

While there is some level of isomorphism and convergence in HRM practices, country-specific differences remain, notwithstanding globalization and the influence of increasingly powerful multinationals. Much work has occurred on diversity management and cultural aspects of management in South Africa (SA). This analysis finds that local institutional context in labour relations and particularism in practices remain important, although the influence of convergent forces such as globalization, information technology and increased competition has become much more prominent in post-apartheid SA. Human resource practitioners in SA see the most important workplace challenges as performance improvement, employment equity, training and development and managing trade union expectations. This article critically evaluates the effects of recent legislative measures, particularly labour court and arbitration awards aimed at addressing the adverse impact of past unfair discrimination on pay practices and skills development. The latter are found to be interrelated, sensitive and difficult areas of discrimination in respect of legal proof.     

Employment equity,human resource development and institution building in South Africa

The process of economic and social reconstruction in South Africa (SA) has harnessed capital, organized labour and state agencies in emergent tripartite macro-policy forums; in particular, the National Economic Development and Labour Commission. Public policy on human resource development, affirmative action and diversity issues is increasingly an outcome of negotiations in these structures. However, although significant legislative developments on these issues are envisaged in the near future, institutional adaptation has not been adequately researched. The apartheid state was constructed on the ideological basis of ethnic fragmentation rationalized by ethnic and cultural diversity. At the same time, diversity is a social reality in building common national and organizational goals, symbols and identity.

This paper discusses structural and labour market factors associated with the process of employment equity and diversity management in South African organizations. A research project, the Breakwater Monitor, at the Graduate School of Business, University of Cape Town, has established a national database covering some one million employees, which enables benchmarking of company and sectoral practices in regard to affirmative action, diversity policy, training and development and skills formation. The project has also begun to track diversity representation at all levels across major sectors longitudinally, using a common job evaluation standard for comparability. The project considers both quantitative and qualitative factors in human resource development. Findings from this project are presented and discussed in the context of human resource development.     

Elements in participation,teamwork and flexibility in South Africa

This research note involves an investigation of some conceptual issues which arise in the coexistence of direct and indirect forms of participation in three case studies of South African organizations. It is concluded that a managerial paradigm shift from a strong individualistic orientation towards collaborative or collective values could facilitate the process of achieving both economic growth and equity in the workplace.

Elements in participation, teamwork and flexibility in South Africa     

Job insecurity,career opportunities,discrimination and turnover intention in post-apartheid South Africa: examples of informative hypothesis testing

The objective of this paper was to investigate differences in male employee experiences in the light of employment equity law and a strong affirmative action drive within present-day South African organizations. This research is important as it can substantiate or invalidate perspectives and beliefs surrounding employment equity issues. A cross-sectional design was used which consisted of a stratified random sample from five corporate organizations (N = 1000). Latent variable modeling with Bayesian estimation was implemented. This paper also demonstrated the use of informative hypothesis testing and subsequent Bayes factors to directly compare the informative hypotheses, in order to show how much more likely one hypothesis is to be the correct hypothesis, compared to the other(s). The results revealed that non-designated (white male) employees experience more job insecurity than their designated (black male) counterparts, but this does not necessarily associate with more turnover intention. It was also found that when designated employees experience less career opportunities, they show more turnover intention. Furthermore, it was shown that designated employees perceive more discrimination, but that this does not associate with more turnover intention. The limitations and future research opportunities are discussed.     

The impact of employment equity regulations on psychological contracts in South Africa

This article will show the impact of employment equity legislation on the psychological employment contracts of the three main employee groupings in South African society. This study is important in that it fills the gap in the literature that identifies labour market regulations as an important shaping influence on the psychological contract. More than 500 managers from across South African industry and from all ethnic groups were surveyed to identify differences in psychological contracts and attitudes towards the social transformation regulations. We found that the legislation has impacted differentially on the three groupings mainly in terms of their loyalty to stay with their organizations, the focus on their career development in terms of the external labour market and the degree to which they felt they had been affected by the legislation. Additionally we find that the perceived linkage between job satisfaction and labour turnover is significantly weakened by labour market legislation in the case of the beneficiaries of the legislation, but that this may not be the case for those negatively affected by the legislation. The findings have significant implications for the HRM practices of multinationals operating in societies with significant labour market regulatory interventions.     

Managing Human Resources in South Africa: A Guide for Internationals

ABSTRACT

With the political changes that took place during 1994 within South Africa, the country again, after many years of economic isolation, became a full member of the international community. Since then, many South African companies have attempted to become more competitive, and many international companies have shown a keen interest in doing business in the country. As a result of the important role that human resource management practices can play to help companies prosper and become successful, an investigation was undertaken within companies to establish to what extent HR practices were being applied. The results of the study are reported in this article.     

Managing change in South Africa: developing people and organizations

The interaction of Western and non-Western management practices is a growing issue in transitional and emerging economies through the world, not least within the multicultural context of South Africa. This is characterized in this article as an antithesis between instrumental and humanistic views of people in organizations, which is fundamental to the way change is being managed. In order to better understand how the management of people and change may be related to this antithesis, the results of an exploratory study, involving focus-group methods with thirty managers, and of a survey of some 200 employees in participating organizations are presented. Indicative results suggest that, despite best efforts from organizations which may represent best management and development practice, issues concerning the value attached to people in these organizations are still not being properly addressed. It may be only through understanding and reconciling this antithesis that change concerning the development of people, in South Africa as well as in other emerging economies, may be successfully achieved.     

A new look at an old problem: A positive psychology lens on discrimination – identity builders and work-related outcomes

Although many scholars and practitioners continue to emphasize the benefits of a diverse workforce, discrimination remains an impediment to diversity and inclusion. For African Americans, who are uniquely stigmatized in the United States as descendants of enslaved people, merely having a “black name” or Afro-centric hairstyle can result in employment discrimination. Despite these outcomes, many African Americans remain resilient while facing discrimination. Utilizing positive organizational scholarship and the positive work-related identity typology as a framework, we propose a conceptual model that examines how African Americans' experiences enable them to shape a positive identity and serve as protective buffers against discrimination. Importantly, we suggest this identity process empowers African Americans to overcome discrimination, still perform well, and not voluntarily quit. We conclude with a discussion of our model's impact on African Americans and other stigmatized minorities and suggestions for future human resource management research and practice.     

Employment equality programmes in South Africa: current trends

Using data from a longitudinal survey the authors critically evaluate how equal opportunity programmes in South Africa have led to changes in internal labour markets of medium and large organisations. The article identifies factors associated with superior performance in this area, examines proposed legislation, and makes recommendations for public policy regarding regulation of employment equity.     

The effect of adverse impact in selection practices on organizational diversity: a field study

Based on a sample of 154 organizations across Canada, we examined the influence of the use of different employee selection methods on workplace minority representation rates. Results indicated that usage of cognitive ability and personality testing significantly influences minority representation after controlling for other diversity management practices. In particular, cognitive ability testing appears to be associated with lower levels of minority group representation in organizations as a whole and in their management ranks; personality testing is associated with higher levels of minority representation in organizations. To advance our understanding of the organizational factors that influence minority group representation and the use of different selection practices, we also examined HR manager perceptions of test bias and the effects of employment equity (EEA) legislation on selection test usage. Results indicated that firms covered under employment equity legislation were less likely to use cognitive ability tests. Interestingly, HR managers reported that personality tests may be more biased against minorities than cognitive ability tests. Implications for research and practice are discussed.     

Paradise postponed: dilemmas facing shop stewards in the new South Africa—accommodation orresistance?

The growth of the shop stewards movement in South Africa prior to majority rule represented a challenge to the institutionalised managerial prerogative and cemented the position of black trade unions in the workplace, posing a threat to both Apartheid’s cheap labour system and also to the political control of the Apartheid regime. With the advent of majority rule in 1994, shop stewards are now expected to comply with, and co-operate in, the implementation of workplace changes which they would have traditionally opposed. This, plus the move towards Japanese-style ‘lean’ work practices, is creating farreaching challenges for the ‘New’ South African shop steward movement.     

Neo-pluralism as a theoretical framework for understanding HRM in sub-Saharan Africa

This paper discusses the 'social' nature of employment management problems in sub-Saharan Africa (SSA). 'Applied' Western HRM is largely based on unitarist conceptions of organizational reality. Where conceptions suggest a 'stakeholder' perspective, they tend to follow orthodox formulations of pluralism. In that regard, notions of 'stakeholding' refer to the divergent internal organizational interests (mainly economic) of labour and management. In the SSA context, however, the broader social and moral issues of the wider community have a decisive influence on the employment relationship. And internal employment relations structures, such as trade unions, do not constitute the main representative channels for employee grievances. Consequently, established Western employment frames of reference do not represent suitable theoretical frameworks for analysing all the relevant social factors that influence the SSA employment relationship. This paper proposes a modified version of Ackers' (2002) 'neo-pluralist' theoretical framework as the basis for understanding and resolving some of issues involved in HRM in SSA. From this analysis, it proposes a model of HRM that attempts to institutionalize some elements of the 'African social system' into formal HRM policies and strategies.     

Antecedents and Outcomes of Diversity and Equality Management Systems: An Integrated Institutional Agency and Strategic Human Resource Management Approach

This study examines the development and impact of diversity and equality management systems (DEMS). A national sample of human resource managers from 155 Canadian firms responded to surveys about their firm's diversity and equality management (DEM) practices. Cluster analysis and latent class modeling identified three distinct approaches to DEM: classical disparity DEMS showing limited development of DEM‐related practices, institutional DEMS involving complex selection mechanisms and monitoring of employment statistics, and configurational DEMS linking diversity to business strategy. Hypothesis‐testing analyses indicated that both institutional and configurational DEMS were predicted by coverage by the Canadian employment equity program, federal contractor status, and the presence of a diversity expert on staff. Only configurational DEMS was predicted by inclusion of HRM in developing business strategy. Configurational DEMS positively predicted the employment of workers with disabilities and members of visible minority groups as well as ROA. These findings support the proposition based on strategic human resource management (SHRM) theory that DEM practices should be considered as bundles and that vertical linkage to strategy is important for DEM effectiveness. As such, SHRM theory explains how managers can structure strategic responses to institutional pressures that go beyond requirements to achieve strategic goals. © 2015 Wiley Periodicals, Inc.     

Managing diversity through human resource management: an international perspective and conceptual framework

This paper critically reviews the literature on managing diversity through human resource management (HRM). We discuss the major issues and objectives of managing diversity and examine the state of human resource diversity management practices in organizations. Our review shows that inequality and discrimination still widely exist and HRM has focused mainly on compliance with equal employment opportunity (EEO) and affirmative action (AA) legislation. Less attention has been paid to valuing, developing and making use of diversity. Our review reveals limited literature examining how diversity is managed in organizations through effective human resource management. We develop a framework that presents strategies for HR diversity management at the strategic, tactical and operational levels. Our review also discusses the implications for practice and further research.     

The consequences of private equity acquisitions for employees: new evidence on the impact on wages,employment and productivity

There is growing controversy on the HR consequences of private equity acquisitions, especially when the existing management team is replaced. Much of the debate thus far has centred on the use of limited panels of case studies and industry surveys. This article, in contrast, uses both in‐depth interviews with relevant stakeholders and objective company data to compare firms subject to private equity acquisitions against a control group of non‐acquired firms. Our interviews provide insights into key issues that are investigated in the subsequent empirical analysis. Our core findings are that firms subject to a specific type of private equity acquisition – institutional buyouts – are associated with job losses, lower wages and lower productivity. This evidence is consistent with the notion that this type of private equity acquisition has negative employment consequences without any corresponding improvement in productivity.     

Ethnic diversity,corruption and ethical climates in sub-Saharan Africa: recognizing the significance of human resource management

Most experts agree that human resource management plays a critical role in furthering ethics. The human resource management function can play an instrumental role in creating an ethical culture. However, a literature review shows that researchers have mostly ignored ethics in the African context. Given the growing importance of Africa in terms of global trade, it is critical to study ethics on the continent. This paper documents an exploratory study of ethical climates in sub-Saharan Africa. We develop propositions linking key social institutional factors, i.e. ethnic diversity and corruption, with three types of ethical climate, i.e. self-interest, benevolence and principle. The propositions are empirically investigated using a qualitative case study approach in five companies in Nigeria and South Africa. The results provide varying support for these propositions and highlight the critical role that both the national context and the organizational context play in shaping ethical climates in companies. Furthermore, given the role of human resource management in managing both ethnic diversity and ethics, we discuss the implications of our results for this critical management function.     

IFRS and Secrecy: Assessing Accounting Value Relevance Across Africa

We examine the value relevance of accounting across several African countries and test whether IFRS improved the value association of earnings and equity book values. We report a stronger valuation association between accounting and stock prices in African countries classified as having a secrecy culture. This increases after IFRS and more so for earnings. On the other hand, IFRS induced a stronger increase in the book value coefficient in the less secretive and more developed South African market. We surmise that the more conceptual focus of IFRS induced an increased demand for higher‐quality accounting professionals, which had a filtering‐down effect of improving quality information flow and breaking down the secrecy culture. Our research highlights the diverse impacts of IFRS and the role of culture, asset markets and accounting professionalism, in driving the relevance of accounting components across Africa.     

Adaptation of Botswana's Development Strategy to Meet Its Peoples' Needs for Land, Jobs

A bstract . The history of Botswana's economy reflects the development of an open, multi-party democracy through which group, class and regional conflicts have been resolved. Four socioeconomic problems have been emerging in ways which challenge this process and thereby threaten the bases for Botswana's material progress and social and economic stability. The problems involve a growing income and asset ownership gap among Batswana, an expanding demand for scarce water , a decreasing output of cereal crops , and a growing economic dependence on the Republic of South Africa. In response to the problems, matters of which the governing class is clearly cognizant, these key development policy measures have been undertaken: the Arable Lands Development Program; the Tribal Grazing Lands Policy; and the Financial Assistance Program. The measures' contents are designed to expand rural, agricultural employment and generate rural incomes , expand cereal crop production, lessen food dependency on South Africa, and improve water management. However, the measures need to be modified to insure the maximum developmental impact.     

Post-9/11 Backlash in the Workplace: Employer Liability for Discrimination against Arab- and Muslim- Americans Based on Religion or National Origin

In the wake of the September 11, 2001 terrorist attacks, discrimination and violence directed toward American immigrants in general, and Arab- and Muslim-Americans in particular, increased markedly. Yet, despite a November, 2001 joint initiative undertaken by the EEOC, the Justice Department, and the Labor Department to increase sensitivity to and combat instances of potential discrimination or harassment against individuals who are—or are perceived to be—Muslim, Arab, Afghani, Middle Eastern, or South Asian, EEOC charge statistics for workplace discrimination claims involving religion, ethnicity, national origin, and citizenship indicate that the reported incidence of such conduct has continued to increase. This paper examines recent federal court cases that involve employment discrimination claims by Arab- and Muslim-Americans at both the trial court and appellate court levels to identify problematic fact patterns that may give rise to employer liability and to better understand judicial treatment of the legal issues when such cases are taken up on appeal. Management guidance for reducing potential liability when such situations arise in the workplace is developed based on recent findings in the case law. Analogous international implications are also discussed.