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For instance, Anglo-Saxons consider management ability depending on interpersonal skills, while the French consider the most intellectual individuals as the best managers. On the other hand, Germans argue that good management is a function of formal authority (Valle, Martin, and Romero, 2001:249). In this regard therefore, it is evident that organizations all over the world are adopting global practices, but in many cases, they do so in nation-specific ways. Based on the General Motors case study in Spain, this paper seeks to provide a report on the international human resource management in Spain.
The report covers the institutional context that influence human resource practices in that country, essentially focusing on the laws, employer organizations, trade unions, training an education system, and other relevant issues (Ferner, Quintanilla, and Varul, M.Z. 2001:116). Moreover, the report covers the current human resource management trend in the country based on relevant case studies. Overview of Spain Based on Hofstede analysis, Spain ranks high in uncertainty avoidance and low in masculinity score.
This results from the Spaniards feelings concerning career security, rules, and regulation. The Spanish history in relation to human resource management traces back to the second half of the twentieth century. It is not after the death of General Franco and the subsequent collapse of his regime did the economy of Spain come into focus. The Spaniards looked upon their leader to lead then to democracy and the European Union. In those times, only a fraction of the labor market had employment. According to statistics, the levels of unemployment reached record highs in 1965, skyrocketing to about 38.
5% (Perllow and Weeks, 2002:347). In the 80’s however, the levels reduced by about 5% to stand at 33.5%. Comparing these levels to other European states, Spain had the lowest level of employed women, accounting for only 18% of the entire women population in the country. Italy had an average of 25% and between 30% and 40% in northern Europe. PESTLE Analysis of Spain Political Spain adapts a kingdom type of state. The country has a constitutional monarchy primarily based on parliament democracy.
Moreover, power is highly decentralized, with autonomous communities having a high legislative level. Furthermore, the country enjoys a fiscal and executive autonomy. After the restoration of political democracy in 1975 following the death of General Franco, the country has generally displayed stable leadership and democracy (Combs and Luthans, 2007:111). Economical The Spanish economy was already recording significant recovery by 2004 from the financial crisis, recording a 2.4% growth. This was 2% higher than the previous year and 7% higher than the recorded levels in 2002.
According to statistics, the highest unemployment record in recent times was that of 2000, but dropped to about 10.8% in 2004. Additionally, overall employment rate grew by 1.6%, with unemployment levels dropping by 3.5%. Spain seeks to promote employment in line with the European Union Directives. Nonetheless, the European Union directive merely present a framework for guiding human resource practices, but does not offer maximum protection to the equality and rights of employees in the work place (Lam, Chen and Schaubroeck, 2002:907).
The local legislation that currently exist act as the
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