Asking advice (case study)
It was the first time the organisation had operated in the country and 150 new staff members had to be recruited quickly for a 6 month programme. Other organisations had, however, been working there for a number of years.
The programme manager did not ask for advice from other organisations, a lawyer, or the staff. He decided that they should all be put on fixed term contracts of 6 months.
After 3 months the project started winding down and many of the employees were not needed any more. The new financial controller for the project, who had arrived a week before, discovered that under local law fixed term contracts had to be paid for in full, plus a months severance pay.
If the programme manager had asked the advice of a lawyer, he would have been told that permanent contracts were more appropriate. These require one month’s notice for dismissing employees and would have saved the organisation a substantial amount of money.