Jetblue's Human Resources Strategies

JetBlue's Human Resources Strategies

The New York-based JetBlue Airways Corporation founded in 1999 by David Neeleman. Neeleman's business goal was to provide excellent customer service at reasonably prices. In order to ensure this strategy, JetBlue had to hire the right people. The secret of JetBlue success is that they focused on their human resources strategies. JetBlue's recruiting and hiring philosophy centered on selecting applicants who complemented the company's core values. Safety, caring, integrity, fun, and passion are the five core values that embody the company. JetBlue admitted to using a targeted selection process to identify employees who most likely fit the company values. In using this type of process, the company was aware that this approach could lead to equal employment opportunity legal challenges.

Identify three national employment laws which impact JetBlue's hiring practices

The Equal Employment Opportunity Laws gives a blueprint for legal requirements and ensuring fair hiring practices. The national employment laws that impacted JetBlue's hiring practices are:

* The Equal Pay Act of 1963 prohibits wage discrimination by requiring equal pay for equal work of the same skills, effort and responsibilities (Mondy, 2008).

* Fair Labor Standard Act of 1938 regulates the status of employees (versus independent contractors) and provides for a minimum wage and overtime unless the employee meets an exempt classification (Mondy, 2008).

* Age Discrimination in Employment Act (ADEA) (1967) prohibits discrimination in employment for persons 40 and, it prohibits mandatory retirement ages (Mondy, 2008).

* Title VII, Civil Rights Act prohibits the discrimination of employment on the basis of race, religion, ethnic group, sex, national origin, or disability in term of pay and benefits (Mondy, 2008).

Ann Rhoades, the executive vice president of human resources, goals was to hire the very best people and treating them the way she expect the customers to be treated. Rhoades offered more variation in the design of jobs, compensation, and benefit packages. The company offered three distinct job options for flight attendants. One year employment contracts were designed for college students which included medical coverage plus $500 additional pay, in lieu of other benefits, to help them to afford living in Manhattan. The thought behind this option was to appeal to young adults who wanted a year of fun and travel, before settling into their prospected career. Job sharing was a second option offered to employees who sought to balance work and family responsibilities. The company also offered full-time employment to flight attendants with a pay scale designed to appeal to those who wanted to work more hours per month than industry norms. In the industry, the highest hourly pay for starting flight attendants was $19. JetBlue paid their flight attendants $20 an hour for those employees working up to 70 hours a month. Employees working more than 70 hours a month were paid $30 an hour. To find people who suited the company's culture, the candidates were screened for skills and hired for their demeanor. To ensure that the core values were assimilated in all the employees, JetBlue stance was to recruit the right people who matched the organizational culture.

Identify more than one internal recruitment method.

Neeleman's management team consisted of veterans and top executives in the airline industry. Neeleman chose executives and managers who shared and lived the JetBlue philosophy of leadership. Dave Barger, president and chief operating officer, stated the reason these talented people was attracted to JetBlue is they wanted a chance to "create something new, unencumbered and fun" (Gittell & O'Rielly, 2004).

Internal recruitment is selecting employees who already work for the company to fill the vacancy from within its existing workforce. The importance for recruiters and managers to identify current employees who are qualified to fill job openings as they become available is crucial. Helpful tools used for internal recruitment include employee referrals, employee database, job postings, and job bidding procedures. Job posting is used to communicate to employees within the company that job openings exist. Job bidding is a method that allows individual in an organization to apply for a particular job.

Identify more than one external recruitment method.

External sources of recruitment include community colleges, universities, and qualified employees from the competitors, unemployed individuals, entrepreneur, and older individuals (Mondy, 2008). Colleges and universities represent major recruitment sources for many organizations. The Internet also is a time-efficient method for attracting external employees. The Internet allows employers to alert job seekers of job vacancies via their educational institutions. Colleges and universities are typically a good source of employees with a required amount of education, but little real-world work experience.

Ann Rhoades knew the importance of hiring the right people who would exemplify the core values of JetBlue. She wanted to employ and keep exceptional people who would make the JetBlue concept a reality. Using good hiring practices can reduce costs, increase productivity, and improve morale.

Explain the effects of both internal and external recruitment methods

A company recruiters and managers can recruit internally or externally. Internal candidates already understand the company's culture and know its mission, goals, and priorities. The internal recruitment procedures can help minimize the commonly heard compliant that employees never hear about job opportunity until the job is filled. Hiring internal applicants are advantageous because it allows rapid recruitment. The internal candidates are aware of how the company operates. Internal recruitment also provides employees the opportunities for advancement within the company thereby motivating the staff to perform at a higher level. Overtime, management can better assess employees' performance level and determine if they are a good fit for the next job advancement.

On the other hand, relying too heavily on internal sources may also create a problem. Employees may develop a narrow perspective of the internal employees who is company ladder and productivity may take a back seat when the competition for a position becomes intense.

At times, companies must hire external applicants when expanding its workforce. External recruitment is needed to fill entry-level jobs and