SMC Five Year Forecast.

Essay by Gpeachie January 2006

download word file, 10 pages 4.5

At SMC Company, we must implement a five-year HR forecast plan to keep up with changing needs of the company. Over the last two years of operation some major changes have occurred within the company and with the environment of the company. We have come to realize that we are facing some challenging issues now and in the near future. The human resource department of SMC Company is committed to creating and implementing a five year plan that will look at the forecast of the company and address the following issues; labor market costs and shrink, increased product demand, bilingual workforce, safety incident rate, labor organizing, and the issue of the CEO being terminally ill.

In colonial America, most of the manufacturing was done by hand in a home. Labor took place in workshops attached to the side of a home. As towns grew into cities, the demand for manufactured goods increased.

Some workshop owners began hiring helpers to increase production. Relations between the employer and helper were generally harmonious. They worked side by side, had the same interests and held similar political views. The factory system that began around the mid 1800's brought great changes. The employers no longer worked beside their employees. They became executives and merchants who rarely saw their workers. They were less concerned with their welfare than with the cost of their labor. (USINFO, 2005)

At SMC Company, we are aware of the shrinking labor market in our local area and the increase in turnover in our company. We have traditionally paid only minimum wage to newly hired employees with no pay incentives. We are proposing no increase in the pay rate but we will offer merit increases. "This system gives the biggest pay increases to the best performers and to those whose pay is...