Human Resources Function Business Studies Grade 12 Notes, Questions and Answers

Find all Human Resources Function Notes, Examination Guide Scope, Lessons, Activities and Questions and Answers for Business Studies Grade 12. Learners will be able to learn, as well as practicing answering common exam questions through interactive content, including questions and answers (quizzes).

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The Human Resources Function in a Business (Summary):

An Overview of Recruitment, Selection, Induction, Placement, Fringe Benefits, and Compulsory Benefits

The human resources function is an essential part of any business, as it is responsible for attracting, developing, and retaining a talented workforce. In order to achieve this goal, the human resources function is responsible for several key activities, including recruitment, selection, induction, placement, fringe benefits, and compulsory benefits.


Recruitment is the process of attracting and selecting individuals for employment within an organization. The recruitment procedure typically involves several steps, including job analysis, screening, interviews, reference checks, and selection. There are two types of recruitment, internal and external, and the impact of each type depends on various factors, such as the size of the organization and the availability of candidates.


Selection is the process of choosing the best candidate for a job based on the information gathered during the recruitment process. The selection procedure typically involves screening, interviews, and reference checks. During the interview, the interviewer should assess the skills, knowledge, and experience of the candidate, while the interviewee should be prepared to answer questions and ask questions about the job and the organization.

Employment Contract

An employment contract is a legally binding agreement between an employer and an employee that outlines the terms and conditions of employment. The employment contract should comply with applicable laws and should include details such as the job description, compensation, and benefits.

The employment contract may be terminated for various reasons, including resignation, retirement, poor performance, misconduct, and mutual agreement.


Induction is the process of introducing new employees to the organization and familiarizing them with the company culture, policies, and procedures. The purpose of induction is to help new employees settle into their role, feel welcomed, and start contributing to the organization as quickly as possible. The induction programme should include various aspects, such as a tour of the workplace, an introduction to the team, and a review of the company policies and procedures.


Placement is the process of matching the skills and experience of employees with the needs of the organization. The placement procedure should take into account the skills and experience of the employees and the requirements of the organization. Training and skills development are important aspects of human resource management (HRM) as they help employees to improve their skills and contribute to the organization more effectively.

Fringe Benefits

Fringe benefits are benefits that are provided in addition to an employee’s salary. There are two types of fringe benefits, piecemeal and time-related, and the link between salary determination and the Basic Conditions of Employment Act (BCEA) is important to consider when determining the level of benefits to provide.

Compulsory Benefits

Compulsory benefits are benefits that are required by law, such as the Unemployment Insurance Fund (UIF). In addition to compulsory benefits, employee benefits may include pension, medical aid, provident fund, and allowances. Fringe benefits have both advantages and disadvantages for the business, and it is important to consider the implications of acts such as the Labor Relations Act (LRA), BCEA, Employment Equity Act (EEA), and Skills Development Act (SDA) on the human resources function.

Recruitment, selection, induction, placement, fringe benefits, and compulsory benefits are important aspects of business studies. Understanding these concepts and their practical applications can help students to develop the skills and knowledge needed to contribute to the success of organizations.

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