What once was a thriving and giant industry 100 years ago in the United States has been reduced to a global player that is a fraction of its former identity. The steel industry was hit with international competition that could produce at a lower cost and for some time was more efficient than the US. During the entire process, the one asset that suffered the most was the steel worker. He was faced with losing his job, benefits, culture, and stability that was traditionally passed down through generations, and, for the most part, taken for granted. Representation by the Steel Workers of America attempt to protect current workers and provide a transition support for those that face plant closures. Faced with consolidations and relocations, the plants themselves must have an effective human resource management system in place in order to be the best that they can for the future. Part of the keys to success will be to have a plan in place that is long-term in nature, communicate how the people in the organisation are valued, and continually invest in the employees (Hansen, 1998). New human resource management practices are slowly replacing traditional practices to improve employee productivity, which in turn, will create a positive influence in the steel industry. It is a known fact that many of the current workers will be retiring in the next five to ten years. The steel mills are preparing for this change by looking to colleges and high schools for the generation of the future, which must be technological proficient and willing to continue various types of training even after they are hired. The mills are showing diversity by hiring more females and minorities into management positions and handing off more management responsibility to the workers. Many forms of incentives are now offered to steel mill employees, such as flcxtime, part-time schedules, production bonuses, and time-off banks. The European steel industry faces many of the same obstacles that the US does, and it is working closely with employees to impart training, team building, and decision-making at the lower level. Top management commitment and building trust aid in the process. In summary, if the steel mill of the past wants to operate successfully, it must be aware of the job market realities of today and manage the human element of its business with just as much emphasis as the operational side.
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