Prepare HR Business Proposal for The Levy Company Please see attached requirements

Running head: THE LEVY COMPANY HUMAN RESOURCES THREATS 0

The Levy Company Human Resources Threats

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The Levy Company Human Resources Threats

Background

The Levy Company was established in 2000 as a telecommunication and infrastructure contractor. The primary line of business included supporting telecommunication providers through expanding DSL coverage in their market. In around 2001, the firm further expanded its activities by venturing in highway signage, lighting, traffic signal, and traffic management construction and maintenance. The company started with four employees but now it has over 140 employees' owners with San Antonio, Austin, and Rio Grande Valley areas working throughout south and central Texas. Levy faces three human resource threats such as stricter employment laws, stereotyping negative views of human resources, and high wages.

PEST Analysis

PEST analysis is one of the environmental study tools that focuses on important factors of the external environment that impact on present and future of the organization (Qasemi, 2009). It stands for political, economic, social-cultural, and technological.

Political factor on human resources

Political factors have a huge impact on the human resources department functions. Political decision made by current government may influence economic policies and more specifically came up with economic policies that directly hurt human resources function. The government may come up with stricter policies that prohibit offering work permits for expatriates (Bates, 2018). More conditions may be attached for those planning to hire expatriates by being required to prove that the expatriates they want to hire have a skill not available locally. These were some of the policies set out by the Trump administration that made it more difficult for U.S based employers to fill job openings according to talent and immigration experts.

The U.S government had set up more barriers that had increased more scrutiny for visa applications, resulting in delays and higher cost of hiring foreign workers. Immigration policies had created a shortage of talent pool. Most U.S citizens have progressed to senior or advisory roles and some are hesitant to re-engage in lower-level work (Bates, 2018). More priority for visa application is based on education, skill, and ability to speak English. The negative view of the human resources includes such as reprimand of the employees for not following published guidelines and get in the way of employee activities. The government may come up with policies that try to regulate working conditions.

The employees may not welcome the laws and may perceive those laws as human resources doing to reprimand them. Not all employees are willing to obey company policies and procedures without thinking that human resources have a hand on its implementation. Government policies may influence wage pay by increasing minimum wage, interfering with the immigrant labor pool leading to a shortage of workers that are willing to work in the lower-level work. These immigration policies may lead to wage rise. For companies to benefit from the available expertise and skill then they need to pay more to attract those local talents ready to work in the lower-level work.

Economic factors

The economic performance of the country in a particular period influences the performance of the company short-term and long term. Inflation affects the purchasing power of the population which further affects the financial performance of the organization. The economic growth rate may create job opportunities that demand skilled workforces from the local workforce pool and expertise from other countries (Chitescu, & Lixandru, 2016). The government may impose stricter employment laws such as minimum wage, workplace safety, anti-discrimination, and immigration laws that increase the cost of hiring and maintaining such a workforce. Economic factors may affect the levy Company's financial performance hence creating demand for a higher wage in meeting the rising market cost of goods. Negative perception of human resources may increases as workers complain about salary cuts and the reluctance of the human resources to update salary, bonuses to meet the inflating cost of housing, and household goods.

Social factor

Social factors affect the industry and the community socially. Levy company human resources should focus on how to manage diversity for the betterment of the company and protection of the rights of the individuals. The more the workforce became more diverse comprising of the worker from different age groups, cultures, and nationalities the more the company is exposed to stricter employment regulation. The company has more than 50 employees therefore it is required to meet all employment regulations on discrimination laws. Stereotypical negative views of human resources may arise from employees from different culture and age group that perceive human resources as heartless, incompetent, and inflexible in their decision. For example, a workforce with a majority of men may expect men to dominate in all top jobs but when women are promoted then they may perceive that as favor. Employees that have stayed in the company for a longer period with reputable skill and experience will start to demand a higher wage. The younger workforce will less work experience but with similar skills will demand similar treatment and that might result in ballooning wage.

Technology

Technological development has a huge impact on Levy Company as it influences the number of employees required and skills needed. The levy company is a Technology Company that supports telecommunication providers. Technology infrastructure support organization technological and physical asset hence promoting workflow efficiency, and seamless process. However, technology affects culture and exposes the company to security threats. Stricter employment laws and technology laws that promote data safety may affect the organization. The decision of the human resource to layoff staffs that lack necessary skill may create discomfort between staffs and the human resource department. An employee with advanced technological skills may demand higher pay by threatening to leave the company if they are not remunerated based on their skill and that may result to huge wage those employees are compensated based on their skills.

References

Bates, S.(2018, July 16). Experts: U.S. Immigration Policies Are Making It Harder to Fill Job Openings.SHRM: Retrieved from https://www.shrm.org/resourcesandtools/hr-topics/talent-acquisition/pages/us-immigration-policies-fill-job-openings.aspx

Chitescu, R. I., & Lixandru, M. (2016). The influence of the social, political, and economic impact on human resources, as a determinant factor of sustainable development. Procedia Economics and Finance, 39, 820-826.

Qasemi, H. R. (2009). PEST Analysis in strategic Human Resources Planning. Retrieved from http://www.iefpedia.com/english/wp-content/uploads/2009/11/PEST-Analysis-in-strategic-Human-Resources-Planning.pdf

The Levy Company. About us: Retrieve from https://levycompany.com/about-us/