HUMAN RESOURCES MANAGEMENT FOR PUBLIC AND NONPROFIT ORGANIZATIONS

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3 HUMAN RESOURCES MANAGEMENT FOR PUBLIC AND NONPROFIT ORGANIZATIONS

4 Essential Texts for Public and Nonprofit Leadership and Management The Handbook of Nonprofit Governance, by BoardSource Strategic Planning for Public and Nonprofit Organizations, 4th Edition, by John M. Bryson Handbook of Human Resources Management in Government, 3rd Edition, by Stephen E. Condrey (Ed.) The Responsible Administrator, 6th Edition, by Terry L. Cooper The Jossey-Bass Handbook of Nonprofit Leadership and Management, 3rd Edition, by David O. Renz, Robert D. Herman, & Associates (Eds.) Benchmarking in the Public and Nonprofit Sectors, 2nd Edition, by Patricia Keehley et al. The Ethics Challenge in Public Service, 3rd Edition, by Carol W. Lewis et al. Managing Nonprofit Organizations, by Mary Tschirhart and Wolfgang Bielefeld Social Media in the Public Sector: Participation, Collaboration, and Transparency in the Networked World, by Ines Mergel Meta-Analysis for Public Management and Policy, by Evan Ringquist The Practitioner s Guide to Governance as Leadership: Building High-Performing Nonprofit Boards, by Cathy A. Trower Measuring Performance in Public and Nonprofit Organizations, by Theodore H. Poister Understanding and Managing Public Organizations, 5th Edition, by Hal G. Rainey Fundraising Principles and Practice, by Adrian Sargeant, Jen Shang, & Associates Hank Rosso s Achieving Excellence in Fundraising, 3rd Edition, by Eugene R. Tempel, Timothy Seiler, & Eva Aldrich (Eds.) Handbook of Practical Program Evaluation, 3rd Edition, by Joseph S. Wholey et al. (Eds.)

5 HUMAN RESOURCES MANAGEMENT FOR PUBLIC AND NONPROFIT ORGANIZATIONS A Strategic Approach FOURTH EDITION Joan E. Pynes

6 Cover design: Jeff Puda Cover image: Photo ephemera/getty Copyright 2013 by John Wiley & Sons, Inc. All rights reserved. Published by Jossey-Bass A Wiley Brand One Montgomery Street, Suite 1200, San Francisco, CA No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise, except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission of the publisher, or authorization through payment of the appropriate per-copy fee to the Copyright Clearance Center, Inc., 222 Rosewood Drive, Danvers, MA 01923, , fax , or on the Web at Requests to the publisher for permission should be addressed to the Permissions Department, John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030, , fax , or online at Limit of Liability/Disclaimer of Warranty: While the publisher and author have used their best efforts in preparing this book, they make no representations or warranties with respect to the accuracy or completeness of the contents of this book and specifically disclaim any implied warranties of merchantability or fitness for a particular purpose. No warranty may be created or extended by sales representatives or written sales materials. The advice and strategies contained herein may not be suitable for your situation. You should consult with a professional where appropriate. Neither the publisher nor author shall be liable for any loss of profit or any other commercial damages, including but not limited to special, incidental, consequential, or other damages. Readers should be aware that Internet Web sites offered as citations and/or sources for further information may have changed or disappeared between the time this was written and when it is read. Jossey-Bass books and products are available through most bookstores. To contact Jossey-Bass directly call our Customer Care Department within the U.S. at , outside the U.S. at , or fax Wiley publishes in a variety of print and electronic formats and by print-on-demand. Some material included with standard print versions of this book may not be included in e-books or in print-on-demand. If this book refers to media such as a CD or DVD that is not included in the version you purchased, you may download this material at For more information about Wiley products, visit Library of Congress Cataloging-in-Publication Data Pynes, Joan. Human resources management for public and nonprofit organizations : a strategic approach / Joan E. Pynes. 4th edition. pages cm Includes bibliographical references and index. ISBN (pbk); ISBN (epdf); ISBN (epub) 1. Nonprofit organizations United States Personnel management. 2. Public administration United States Personnel management. I. Title. HF U5P dc Printed in the United States of America fourth edition PB Printing

7 In memory of my mother

8 The Instructor's Guide for the fourth edition of Human Resources Management in Public and Nonprofit Organizations includes exam question, experiential exercises, a detailed PowerPoint presentation, model syllabi for courses of differing lengths, and additional class references. The Instructor's Guide and these materials are available free online. If you would like to download and print out a copy of the Guide, please visit:

9 CONTENTS List of Figure, Tables, and Exhibits xiii Exercises xv Preface xvii Acknowledgments xxv The Author xxvii PART ONE: HUMAN RESOURCES MANAGEMENT IN CONTEXT 1 1 Introduction to Human Resources Management in the Public and Nonprofit Sectors 3 The Public Sector 5 The Nonprofit Sector 10 The New Public Service 22 Today s Context for Human Resources Management 23 Conclusion 33 vii

10 viii Contents 2 Strategic Human Resources Management and Planning 37 The Changing Role of Human Resources Management 38 Human Resources Outsourcing 42 Strategic Human Resources Management and Human Resources Planning 44 Human Resources Planning 45 Human Resources Information Systems and Electronic Human Resources Management 50 Implementing Strategic Human Resources Management 57 Evaluating the Effectiveness of Strategic Human Resources Management 58 Problems and Implications of Strategic Human Resources Management 60 Ethical Standards for Strategic Human Resources Management 61 Conclusion 62 3 Federal Equal Employment Opportunity Laws and Other Employee Protections 69 Federal Equal Employment Opportunity Laws 70 Proving Employment Discrimination 82 Executive Orders, Affirmative Action, and Other Federal Laws 88 Affirmative Action 93 Constitutional Rights 97 Additional Protections for Employees 103 Conclusion Managing a Diverse Workforce 111 Glass Ceilings, Sticky Floors, Glass Walls, and Glass Escalators 114 Why Diversity Is Important 115 Cultural Competency 116 Sexual Harassment 119 Employer Liability 121 Sexual Orientation 122 Changes in the Nonprofit Landscape 125 The Difference between Complying with Laws and Managing Diversity 126

11 Contents ix Strategic Human Resources Management Implications for Managing Diversity 128 Conclusion 130 PART TWO: METHODS AND FUNCTIONS OF STRATEGIC HUMAN RESOURCES MANAGEMENT Job Analysis 141 Legal Significance of Job Analysis Data 143 Job Analysis Information and Methods 144 Designing a Job Analysis Program 151 Job Description and Job Specification 153 Strategic Job Analysis 153 Competency Modeling 159 Job Analysis Techniques 160 Contextual Performance 167 Conclusion Recruitment and Selection 175 Recruitment 176 Recruiting for Local Governments and Nonprofits 181 Screening Applicants 184 Executive and Managerial Recruitment and Selection 202 Conclusion Compensation 211 Equity 212 Executive Compensation and Benefits 229 Federal Laws Governing Compensation 231 State and Local Government Minimum Wages 234 Conclusion 240

12 x Contents 8 Benefits 247 Required Benefits 248 Discretionary Benefits 253 Quality-of Work and Quality-of Life Issues 260 Conclusion Training and Career Development 275 The Training Process 278 Career Development 293 Managerial and Executive Development 294 Conclusion Performance Management 303 Motivation 306 Developing an Evaluation Program 311 Rater Training 312 Who Should Rate? 315 Executive Evaluation 316 Documentation 319 Performance Evaluation Interview 320 Ethical Issues in Performance Appraisal 321 Performance Appraisal Techniques 322 Team-Based Performance Techniques 329 Conclusion Labor-Management Relations: Collective Bargaining in the Public and Nonprofit Sectors 341 The History of Private Sector Collective Bargaining 342 Collective Bargaining in Nonprofit Organizations 345 Collective Bargaining in the Federal Government 346 Collective Bargaining in State and Local Governments 347 Concepts and Practices of Collective Bargaining 348

13 Contents xi Public Sector Distinctions 359 Nonprofit Sector Distinctions 363 Privatization of Public Services 366 Conclusion Volunteers 377 Use of Volunteers 378 Volunteer Motivation 381 Barriers to Volunteer Recruitment 381 Recruitment 382 The Prerecruitment Process 384 Managing Volunteers 389 Orientation and Training 391 Volunteer Recognition 392 Evaluation 393 The Volunteer Protection Act 394 Governing Boards 394 Conclusion Conclusion: Challenges for Public and Nonprofit Organizations 409 What to Expect 409 Challenges for Strategic Human Resources Management 412 Change in Skill Requirements 413 References 415 Name Index 455 Subject Index 463

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15 LIST OF FIGURE, TABLES, AND EXHIBITS Figure 2.1 Uses of Human Resources Information Systems 51 Tables 1.1 IRS Organization Reference Chart Number of Nonprofit Organizations in the United States, National Taxonomy of Exempt Entities: Broad Categories Federal Statutes Related to Equal Employment Opportunity International Comparison of Antidiscrimination Criteria Covered by Law Department of Labor Worker Functions General Schedule Pay Scale, 2012 Annual Rates by Grade and Step City-County Library District Salary and Wage Schedule Comparable Municipal Market Study for Annual Salaries for Select Local Government Positions 222 xiii

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