Introduction
Human resource management is an increasingly important consideration in the work climate of today. With the globalization of the world economy and the gradual shift towards a more diverse culture, companies find themselves needed to adapt to the current realities quickly. The workforce has become more varied than ever before, encompassing people of different identities, ethnicities, races, and physiques.
In the face of such workplace conditions, the role of the HR department must be recognized as primary to ensuring the continued development of the organization. Human Resources managers are put to the task of finding the best ways to put people to use, maximizing their work potential while also ensuring that everyone’s contribution is rewarded. Such considerations as staffing, forming teams, and providing workers with an adequate framework to function together all need to be accounted for. Difficult for a regular company to accomplish, it can be even more difficult for non-profit or government organizations.
Due to their obligation of assisting the communities and providing services to others, the actual income and revenue of this workplace can often come into question, meaning that potential funds for human resource management are limited. The management and organization of such entities present their own sets of challenges and opportunities that will be discussed in the present overview. For the purposes of this work, the American National Red Cross was selected as the primary target of the evaluation. The human resource department of the organization will be discussed, including its structure, employee benefits, salaries, and possible areas for development. As a result, a better understanding of non-profit HR work will be achieved.
Important Facts of the HR Department
The American Red Cross is a big organization that works across the country, to provide the population with disaster relief services, support, and education. The nature of an organization’s work means that their workers are employed in a variety of states, with each having its own Red Cross headquarters. Naturally, the human resource management and staffing considerations of the organization are spread out, with each regional office handling its employees in its own way.
As outlined on the organization’s website, each Red Cross office has its leadership, including managers and directors. However, it is also important to note that a central office for the organization exists, employing its own staff responsible for managing the organization at large (Leadership). As noted on the leadership section of their page, the Red Cross is managed by a Board of Governors and a CEO, who work in tandem for giving oversight and leading the strategic vision of the organization (Leadership). Besides them, the main office leadership includes such positions as Financial Officer, Chief of Staff, among several executive leaders (Leadership).
This list also includes a Chief Human Resource Officer, who is responsible for managing the staffing policy of the entire Red Cross, including the actions of regional managers (Leadership). The existence of this position means that the Red Cross has a centralized management structure.
Company’s Benefit Programs
The American Red Cross provides a variety of benefits for its employees, particularly focusing on healthcare and life insurance. To start off, the company offers six paid holidays to its employees and a flexible time off schedule for any possible contingencies (Career benefits). Paid leave is available after the initial probation period in the workplace, along with most other workplace benefits. This includes possible causes of illness and family emergencies. To support workers with transportation, the organization offers a commuter benefits program, that partially covers commute costs (Career benefits). Adding to the number of the ways the organization assists its employees, the Red Cross website also notes the existence of the employee support program.
The initiative includes counseling and mental support for any that might need it. Moving on to the presented medical benefits, the American Red Cross has a number of initiatives of protecting its workers. Comprehensive medical plans offered by the organization allow people to choose what they need according to their budget, with the workplace covering a part of the costs (Career benefits). Vision and dental insurance can be additionally included as insurance options, which also protects employees from less immediate health dangers.
In a more general sense, life insurance and a personal spending account are provided as well, with the ability to pay for other medical expenses or daycare. In terms of aiding disabled individuals, the Red Cross website specifically notes providing benefits as well. Employees with disabilities receive an additional payment equivalent to up to 60% of a person’s monthly pay (Career benefits). Union work and participation deserve a mention in the discussion of benefits too. The American Red Cross employees are free to join unions, and a considerable number of Red Cross unions currently exist in the country. An official agreement between the Red Cross union coalition and the American Red Cross is publicly available, outlining how the organization responds to the demands of worker support organizations.
Company’s Salary Structure
Salary Structure, as a concept, refers to the combined income of employees as determined by the company. It is commonly a composite value, including various types of allowance and payments beyond a person’s work salary. In the case of the Red Cross, payment and compensations for workers are largely dependent on their individual cases. Generally, the pay is decided by the local board of directors for a particular branch of the organization, with different types of employees earning a different salary. The data on the particular salary structure seems to be difficult to acquire, but reported income ranges from ~37.000$ to ~110.000$ a year (American Red Cross salaries: How much does American Red Cross pay?).
The compensation mainly depends on the type of work an employee will be performing, with operators, managers, and receptionists being on the lesser end of the scale. Seeing all of the available review sites, many employees and former contributors note that their wages were rather low, which is a problem for a workplace environment and its inhabitants. The issue stems from the generally low income of non-profit organizations and their need to work indiscriminately around the country, utilizing limited monetary and human resources.
Employee Resource Groups
As noted previously in the benefits section, the American Red Cross is pro-union, with a number of location-specific unions existing to support the rights of workers. Unions allow employees to argue for better working conditions, paid leave, compensations and improved salaries, leading to structural change and improvement. Furthermore, other resource groups can be noted to exist as well. For example, the American Red Cross Women’s Resource Group (Facebook Groups, American Red Cross Women’s Resource Group). Using a private Facebook community, the group is a specific effort of helping the female employees at Red Cross.
As outlined in the about section of the page, the group exists to support working women of diverse groups and backgrounds, both by providing them with a safe environment and empowering them in terms of networking.
Areas of Growth for the HR Department
While researching this particular non-profit organization, several potential problems and areas of improvement were noted, with many of them stemming from the frustrations expressed by the employees themselves. The first apparent difficulty is the lack of upwards mobility with most people staying at the lower chain of the organization and having subsequently low pay (American Red Cross FAQ, 2017). This problem stems from inadequate human resource management and the stagnation of the upper ranks of the organization. A number of employees report the inability of the HR department to do their job correctly, leading to longer workdays and increased load (American Red Cross FAQ, 2017). A new management strategy must be adopted in the organization to support better structural composition and mobility.
Such an improvement would require better manager education and training, as well as the integration of contemporary management research to maximize employee efficiency. Another issue that many workers have reported concerns being underappreciated, especially when leaving the organization or occupying a lower niche in it (American Red Cross FAQ, 2017). The viable solution to this problem would lie in either introducing additional benefits for those that are leaving the company, showing underpaid workers the gratitude and respect they deserve or creating a more positive and pleasant work environment.
By improving the internal workplace culture of the American Red Cross, the organization can ensure that their staff feels self-actualized, useful, and recognized in their work. The last consideration that can be improved by the HR department is in connection with commute transportation. Currently, the organization only covers a portion of the cost associated with transport for their workers, making it costly for many to get to their workplace and back home. The company also has particular restrictions in connection with who is eligible for commute assistance, which further leaves the employees in a bad position. Compensation systems need to be improved and expanded to support a larger part of the staff.
Conclusion
In conclusion, it should be noted that the American Red Cross, much like other non-profit organizations, is a difficult case to examine or consider in terms of HR. Due to the extremely limited number of resources available under their use, the staff and management have to find solutions considered suboptimal in other cases. The Human Resource structure of the organization is based on the central headquarters’ direction, with each regional office applying the orders received to their particular hiring, training, and organizational process.
On a positive note, the benefits presented by the organization are varied and robust, offering healthcare insurance, dental, and vision care, among other pathways for affordable healthcare protections. Additionally, the disabled workers of the Red Cross get large benefits according to their salary, helping them both in life and in the workplace. The existence of worker unions is recognized and encouraged by the non-profit, leading to possible future negotiations.
Quality of life and generally positive benefits are also available, including paid leave, daycare compensation and days off. However, the organization also faces a number of issues, mainly stemming from the lack of funds and poor management. Many workers have expressed concerns about their pay, workplace management, and satisfaction. Comprehensive and quick change is much needed to improve the status of the organization.
References
American Red Cross FAQ. (2017). Indeed. Web.
American Red Cross salaries: How much does American Red Cross pay? (n.d.). Indeed. Web.
Career benefits. (n.d.). American Red Cross. Web.
Facebook Groups. (n.d.). American Red Cross Women’s Resource Group. Facebook. Web.
Leadership. (n.d.). Team | American Red Cross. Web.