Long Term and Integration Issues - Issues Against Discharge

Memorandum

To: Pat, HR Manager

From: HR Assistant Manager

Date: December 10, 2012

Subject: Long Term and Integration Issues

Issues against Discharge

Discharge of employees without reason may be harmful for the organization, because an employee may file a lawsuit against the employer alleging they were wrongfully discharged. If an employment-at-will relationship exists between the employee and employer it does not mean an employer may terminate an employee in a discriminatory manner. Federal Anti-Discrimination laws prevent employees from wrongful discharged by an employer (Lawson, 2012). Employers may be penalized with respect to terms and condition of employment for a wrongful act. The Civil Rights Act of 1964 provides protection to employees against wrongful discharge, depicting employers may not terminate an employee on the basis of race, gender, religion, color, etc. (Jose, 2009) The lawsuit against the company because of the wrongful discharge may be harmful for Cost Club as there is no specific reason for terminating the employees.

Reduction in Employee Costs

An organization may use different types of workers such as temporary workers, part-time workers, and contract work arrangements to perform organizational processes. Many times, it assists the seasonal demand of organizations and creates an increase in the organizational performance. Temporary workers include different categories of individuals who may be hired for definite or indefinite periods. The temporary workers report directly to the employer and receive their compensation from the company. Part-time workers can be define as workers who have shorter working hours within the organization in comparison to others. The rules, policies, and procedures for part-time employees are the same as for regular employees but different from the temporary workers (Part-Time and Temporary Employees, 2012).

Workers under contract arrangements perform specific job tasks for the client company by using the facilities without specific supervision of the users. Other type of workers is dispatched workers and is define as individuals sent by another company to a client company who engages in worker dispatching. Farming out workers are those who are transferred to another company while maintaining an employment relationship with the original company (Blanpain, Graham & Beirnaert, 2004). The company may use these types of workers per requirements. The use of part-time workers will save the cost of overtime of regular workers.

The company does not need to provide benefits to part-time and temporary workers that are provided to regular employees. At the same time, paychecks of the part-time employees should reflect the deduction of payrolls and taxes. Management should consider the Discrimination Act in using temporary and part-time workers in determining wages and benefits based on employment arrangements (Houseman, 1999).

This is effective in accomplishing the objectives of the regional CEO because temporary, contract, or part-time employment arrangements provides a benefit to the firm by reducing the additional cost of benefits that are essential for regular employees (Houseman, 1999).

Injury and Damages

According to the Tort Law, Cost Club will be liable for misconduct of employees involve with customers. The main responsibility of the intentional tort committed by the employees is for the principle. In this situation, the principle or the apparent authority

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