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ETHNOCENTRISM
AS IT RELATES TO
RECRUITING AND HIRING
HARDCORE UNEMPLOYED
by
Barton M. Palmer
A thesis
submitted in partial
fulfil lment of the requirements for the degree of
Master of Business Administration in the School of Business
Fresno State College
June, 1970
TABLE OF CONTENTS
Page
LIST OF TABLES
Chapter
1 . INTRODUCTION i
POVERTY 1
National Problem 2
Unemployment as Major Cause 2
MINORITY UNEMPLOYMENT PROBLEMS 4
Lack of Education and Skil ls 5
Recruiting and Screening Policies 6
Ethnocentrism 6
PURPOSE OF THE STUDY 8
HYPOTHESIS 8
SIGNIFICANCE OF THE STUDY 8
ASSUMPTIONS AN D LIMI TATIONS 9
2. RELATED RESEARCH 11
BEHAVIOR MODEL 1 1
HIRING AND SCREENING 12
Public Reaction to Anti-Poverty Programs 12
Employer 's Hiring Policies 15
ATTITUDE OF ETHNOCENTRISM 16
Non-white Income Disparity 16
Underachievement of Minorities 16
i l l
iv Chapter P a g e
Occupational Values and Attitudes 17
Conservatism and Ethnocentrlsm 1 9
3. METHODOLOGY 20
OPERATIONAL DEFINITIONS 20
SAMPLING 21
QUESTIONNAIRE 21
LETTER 23
STATISTICAL ANALYSIS 23
4. ANALYSIS OF RESULTS 25
SURVEY RESULTS 25
Limiting Factors 25
Recruit ing and Screening 25
Attitude Factors 2o
ANALYSIS OF THE RES ULTS 26
Correlation Within Groups 26
Relationship Between Groups 2?
Attitude Test 27
5. CONCLUSIONS AND RE COMMENDATIONS 29
CONCLUSIONS 29
Hypothesis 29
Conservative Attitude 29
REC OMMENDATIONS 30
REFERENCES 31
BIBLIOGRAPHY 33
APPENDIXES 38
A. Letter of Introduction
LIS? OF TABLES
T a b l e Page
1. Public Opinion Regarding Anti-Poverty Programs 13
2. Hiring Policies Among Employers in New Haven and Charlotte -j 5
3. Occupational Values and Atti tudes of the American Poor 18
4. Summary of Survey Data 26
vi
Chapter 1
INTRODUCTION
POVERTY
The ingenuity, drive and abili ty of the American
businessman has led to the development of the most efficient
production and distribution system in history. The obvious
result is a period of unprecedented prosperty and affluence;
however, this condition has not been achieved without some
significant sacrifices. There has been a great deal of
publicity recently concerning the waste, misuse and polution
of our land, water resources and the air. There is also an
increasing concern for the development and use of one of our
most important assets - human resources. In spite of the gen
eral affluence of our society, nat ional leaders have not arrived
at any viable solution for eliminating poverty. ' With the
ever increasing urbanization of the population and the concen
tration of the disadvantaged in the center city areas, there
is increasing pressure on the business community to broaden
its purposes to include achievement of a wide range of social
objectives. The general public seems to think that business
has been too concerned with profit at the expense of public p
res"oonsibili ty and economic well being. ihe newer attii /Uae
expects business leadership to be active in seeking solutions
to the many current social problems.
2
National Problem
Poverty is a national problem in distr ibution of
resources and not a local problem of individual usage and
exploitation. The problem is not that the poor are indifferent
to opportunity, but that the opportunities have not been 3 created yet. Managers of economic enterprises must f ind some
answers to alleviate poverty. The f irst step is to understand
the needs, values and environment of the poor. The problem
has been stated as being that the poor have too l i t t le money
to be useful; however, a more viable restatement of the problem
was made which presented the idea that usefulness was the 4 crit ical problem of the poor.
Many mayors, governors and enlightened business leaders
recognize that the best approach to the problem is to provide
jobs and houses for the culturally deprived. Some think that
the business community is i ll-prepared and often unwilling to
finance social programs foreign to the usual goals of business,
but there are many who are more optimistic about the situation
and believe that business has the abili ty to influence public
opinion and the technological skil ls , managerial expertise, 5 capital and power to provide the necessary joos.
Unemployment as Major Cause
While there Is broad agreement that unemployment is
the main cause of poverty, there is also a substantial amount
of l i terature that identifies much of the unemployment problem
with minority groups. A f ew statistics will serve to put this
p h a s e o f t h e p r o b l e m i n p e r s p e c t i v e . I n 1 9 6 ? t h e r e w e r e \ \ %
3
oi the white population l iving below the poverty l ine and
over 4G% of the non-white population in the same category.
While Negro families are generally larger than white families,
their median income was only 59^ of that of white families in
that same year. Despite continuing economic growth and
declining unemployment rates, the unemployment rate for Negroes
nationally was more than double that for whites. In one
study, the total of unemployment and underemployment was 33^}
which was almost nine times greater than the overall rate for
all United States workers. This concentration of male Negroes
at the lowest end of the occupational scale is the single most
important cause of poverty among blacks. Roger Lewis,
President of General Dynamics, says that i t is absolutely
necessary for business to bring the underprivileged minority 6 groups into the mainstream of the economy. Others say that
private business programs for solving urban and minority prob
lems are more than social responsibil ity; they are a necessary
part of producing better profits and can help to break the
cycle of unemployment, low family Income, poor housing, poor 7 education and back to unemployment.
While the rapidly changing social environment has had
an Impact on the social atti tudes and values of society, many
corporations have not kept pace. ihe corpora&ion nao -six ed
to develop new strategies and organization structures designed
to cope with the rapidly changing conditions. The well devel
oped decision making structure is problem-solution oriented
and the problems of the minorit ies and communities are deep
A
rooted and not solved in a short t ime. Top management must
demonstrate acceptance of social responsibili ty and foster
P u Q- l- l c concern at all levels of the structure* They must also
understand that social change is slow and requires innovative Q
decisions and risk taking.
According to Peter F. Drucker, the major assumptions
of management of the past fif ty years are rapidly becoming
inappropriate to the changing role demanded by the new reality
in the business community. Within ten years he claims that
we will be less concerned with developing management and more
with adapting organizations to the needs, aspirations and
potential of individuals. Management will be called on to
generate and direct the development of human resources and may Q
become the bridge for cultural diversity.
In summary, there is general agreement among national
leaders in education, business and government in two areas:
First , poverty is a national problem and there must be a massive
attempt by al l segments of the economy to solve the problems;
Second, the major factor which is responsible for poverty is
the concentration of hardcore unemployed in the urban slums,
and minority groups are much more l ikely to be bearing the
brunt of the unemployment problem.
MINORITY UNEMPLOYMENT PROBLEMS
"I never met anybody who was hardcore - until I met
social scientists, teachers, personnel directors and manpower
specialists who are really hardcore - failures, that is , in
5
reaching stared goals with specific populations • The
author 01 this statement, a well educated black man, took off
his dress shirt and t ie and made the rounds of employment
ott ices in search of manual labor. The experience convinced
him that looking x or work is a demeaning and embittering task
and those who do not have money or power are destroyed by the
system.
There are many facets to the problem of integrating
the disadvantaged into the mainstream of the American economy,
and i t is important to briefly discuss three of these factors
that relate directly to this study.
Lack of Education and Skills
One source has identified the median number of school
years completed as follows: Total population, 11.4 years; non-
white population, 6.7 years. A major assumption underlying
most of the job training programs was that the basic cause of
poverty was in the poor themselves - lack of skills , motivation
and personal at ti tudes. As a result of this, the focus of most
programs has been on reeducation and socialization. The impact
of automation has been strongly felt by these workers who were
unskil led. Industry, in most cases, has not thought of retrain
ing ana placing people at the t ime they started designing new
equipment. Training directors, educators and legislators have
not been aware of the pulse of top management and as a result
there has not been intensive planning for long-range objectives
which would Include help for individuals to experience personal 11 growth and s e l f-realization."
6 Recrult ina: and screening •policies
The second factor in minority unemployment covers
these two closely related functions in organizations. While
s o" e firms are beginning to relax their recruiting and hiring
policies, there are stil l many barriers facing the minority
person who is seeking work. Some companies will use methods
that will not even reach the person in the first place, and
others recruit through agencies that do not contact poverty
people. While labor unions have preached civil rights and
equal opportunity, i t has been mostly Idealism and no action.
In craft unions there has been much discrimination for friends
and relatives. Labor leaders have not even been sensit ive or
responsive to the needs and aspirations of their black members.
The screening process of most f irms is a natural place
to eliminate many of the disadvantaged who get that far in the
system. Some of the problems faced at this stage of the process
are requirements for a high school diploma, complicated appli
cations, requirement for details of arrest records and aptitude
tests that are beyond their scope of experience or cultural
background. In some companies, despite established policies,
screening and hiring practices protected the "li ly-white"
status quo because they were convinced that was what top
management wanted."*-
Ethr oc: en tr Ism
The third factor related to unemployment of minorit ies
is the at ti tude of ethnocentrism on the part of the employers.
While there has been considerable foot dragging by corporations
7 wiwh relation to employment of minorit ies due to lack of
education, skills and training, a significant part of the
aacm ox action has also been due to prejudice at many levels
of tne hierarchy. "We have inherited racism, lived with i t ,
enlarged i t in some cases and at least condoned i t . The
problems have roots in slavery, nurtured by prejudice and
discrimination, and have been reinforced by actions that
stiffled initiative. The levels of management that are respon-
sible for actual work have not really become involved in the
search for solutions to the social i l ls. One writer is of
the opinion that the white man's att i tude toward the blacks
is st i l l the same as i t has been for many years.
Walter Fogel, of the University of California at Los
Angeles, points out that discrimination must take a prominent
place in any discussion of the obstacles of minority advance
ment as well as employment^ He identif ies two types of
discrimination which occur in the hiring process. The f irst
occurs when a preference for not employing members of a
recognizable group influences hiring decisions regardless of
the comparative economic productivity of these persons. The
second occurs when an adverse judgment about the probao^-e joo
performance of an applicant Is made from a characteristic of
the applicant which is not a good predictor of his job per
formance.
The major problems leading to massive minority unemploy
ment have been identified as follows: Lack of basic education
and marketable skills; restrictive recruit ing methods and
8 highly selective screening policies; and the presence or an
att itude of ethnocentriaxn among those responsible for estab
lishing ana carrying out employment policies. This study has
focused i ts attention on the factors connected with recruit
ing methods, screening policies and the ramifications of
ethnocentrism ousiness organizations as they pertain to
the basic problems of minority unemployment.
PURPOSE OF THE STUDY
I t is the purpose of this study to determine the
relationship among: Recruiting methods; screening policies;
and executive att i tudes between firms that did participate
and firms that did not participate in the program for hiring
hardcore unemployed sponsored by the National Alliance of
Businessmen In the Fresno area.
HYPOTHESIS
There is no difference among recruiting methods,
screening policies and executive atti tudes between firms that
participated and those firms that did not participate in the
program for hiring hardcore unemployed sponsored by the National
Alliance of Businessmen in the Fresno area.
SIGNIFICANCE OF THE STUDY
I t is expected that the study will indicate whether
or not there is a correlation among the att i tudes, recruit ing
methods and screening policies within the participating or
non-participating Tirms. The study whould also indicate any
9
significano relationship bet-ween l ike variables of each class
o± j . irm. Organizations engaged In the task of promoting
programs zor the hardcore unemployed could expect to use the
att itude survey as a predictive tool in determining the degree
of cooperation and potential success of programs for these
persons because of the effect of the at ti tude on the program.
ASSUMPTIONS AND LIMITATIONS
Because of the limited time of the study, interpreta
tions and conclusions were made based on evidence available
during the time of the Interviews, which extended from the
third week of March to the second week of April , 1970.
Since distance from work has been suggested as a
possible factor in affecting the lack of participation by
hardcore unemployed, the study was limited to firms within a
radius of ten miles from the center of Fresno. This eliminated
some firms which could have changed the results 02 the survey.
When the chief executive officer of the firm was
Interviewed, i t was assumed that his personal views wouxd uQ
the independent variable; however, in the case of a subsidiary,
there may be some influence of the immediate superior who was
not available for interview. The fact that a higher ranking
officer was in a remote part of the United States would not
necessari ly have eliminated the possible influence of that
officer on the att itude of the executive interviewed.
With the introduction of the new Labor Department
Contract covering the JOBS Program, a major portion of the
10
economic risk lias oeen 6i.lialnat.ed. for* tho participating
employer. This study has attempted to eliminate this
imluence by l imiting i ts approach to those firms that were
involved in the program or invited to be involved prior to
the time the new contract was introduced
Chapter 2
RELATED RESEARCH
BEHAVIOR MODEL
Paul S. Goodman conducted a study of twenty employers
in the Chicago area who were participating in the government
funded program to hire, train and retain the hardcore unem-1 s ployed. The purpose of that study was to present a model
that could explain and predict the behavior of programs
designed to help the hardcore unemployed. Interviews were
conducted with employers, supervisors, trainers, trainees,
and community and government persons who were instrumental in
developing and monitoring the program. Analysis of the program
performance was measured in terms of four major variables:
external structural factors; internal structural ^actors, degree
of commitment; and program structure. Fifty variables and
relationships were identified within those areas of considera
tion. The decision to participate was affected by the indepen
dent variables associated with the external and internal lactors,
while the performance of the program was affected oy the
independent variables associated with the degree of commitment
and the structure of the program.
Several observations and tentative conclusions advanced
by CJoodman have relevance to this study. First , the most
important among the external variables were the factors of
1 1
1 2
general business conditions and manpower resources available;
and among ohe internal variables, the most important factors
were identified as xxnancial condit ion, manpower needs, and
recruit ing ana screening policies. Second, the atti tudes
and behavior of the key executives during the process of
init ial consideration were believed to be cri tical to the
decision to participate and also reflected in the performance
of the program if i t was instituted. Goodman concluded that
if the company was only interested in the money provided by
the government contract , the program probably would not work.
HIRING AND SCREENING
Public Reaction to Anti-poverty Programs
The results of a public opinion survey published in
1969 indicate a wide range of reaction to anti-poverty
programs.1^ Several of the questions used in that survey are
included with the responses in Table 1 and some suggested
interpretations of those answers are expressed here.
The answers to question number one indicate a 7$
increase in the general opinion that companies should take
part in anti—ooverty programs; however, responses co questions
two and three indicate a wide difference of at ti tude to more
specific queries. A sl ight majority of the professional
persons thought that companies should be responsible zor
programs designed to educate and motivate as well as hire ana
train poverty persons. Managerial personnel indicated less
than 50$ support for either program, and foremen and craftsmen
13 indicated only 33% approval of motivation and education
programs.
Table 1
Puolic Opinion Regarding Anti-poverty Programs
Questions Responses in
Ye3 No
percent No Opinion
1. Should leading corporations take an active part in anti-ooverty programs?
May 1967 May 1968
53% 60
1 9% 1 9
28% 21
2. Companies should be responsible for these programs for poverty persons.
May 1968
Hiring and Training I
Education and
Motivation
Professional Managerial Clerical and Sales Foremen and Craftsmen
52% 49 44 46
53% 43 34 33
3. Companies should have special policies for Negroes.
Hire and Train
Lower Employment Qualifications
Yes No Yes No
First l ine supervisor 2nd l ine supervisor 3rd l ine supervisor Top management
51% 65 84
100
44 % 33 12 0
1 6% 23 40 78
84% 76' 60 2 2
4. The government should provide a guaranteed annual income. Favor Oppose
White Nonwhite
29% 73
65% 18
5. The government should provide a guaranteed job. Favor Opnose
White Nonwhite
78% 88
17% 8
14
Tne spectrum of responses to questions regarding the
effort oO hire and train Negroes indicated 100% support by top
management and only 51 % s upport by foremen. The spread of
support for lowering employment requirements was from 78% to
16,o respectively, indicating that the farther one goes down
the social and economic hierarchy the less support there is
tor any special effort or program to help the Negroes.
Two observations can be made from these statistical
analyses: f irst , while managers were only 49% in favor of
hiring and training poverty persons, they were 100% in favor
of special effort to hire and train Negroes. This could
indicate that they are aware of the special problems of
minorities in securing employment. Second, while foremen
supported effort to hire and train poverty persons or Negroes
by 46% to 51%, they Indicated only 44% support for motivation
and education help and were 84% in opposition to lowering
employment standards. The result ing situation represents a
dichotomy which leaves the hardcore unemployed without work
and also without viable means to prepare for employment.
Responses to the questions regarding guaranteed annual
income and guaranteed jobs indicated that while whites and
non-whites disagree as to income, there is consideraole agree
ment as to the necessity for job opportunities. This would
seem to indicate, contrary to some popular thought, that a
large majority of the population of unemployed persons, whether
they are white or nonwhite, do want to have a means of support
ing their families.
15 Employers Hiring Policies
A study in New Haven and Charlotte indicated the
employer s hiring policies, preferences and proctices. ^
iae s uudy focused on the common labor market in those areas
and results in two phases of the survey are pertinent to this
study. Listed among the important qualifications for employ
ment, besides physical strength and sex, were character,
personality traits and color. All three of these factors could
be deterent3 to hiring the hardcore unemployed. The second
phase of the survey that is significant to the poverty ques
tion is an expansion of the color questions shown in Table 2.
Table 2
Hiring Policies among Employers in New Haven and Charlotte
Preference
White
Negro
Large Industry Small Industry
Labor Produc- Sen- Cler- Labor Produc- Ser- Cler t ion vice ical
3%
47
Depends on job 25
None 25
88^
3
3
6
100^ 100%
o o
o
o
o
0
13%
43
8
36
t ion
74<£
7
7
1 2
vice ical
96% 100%
0 0
0
4
0
0
Totals 100^ 100^ 100^ 100^ 100^ 100% 100% 100%
It is obvious from this information that while only
o-p ^rn-nl overs discriminated against the a small percentage of empi J ^ o-lv a very small percentage of
Negro for common labor jobo,
16
the em ployer^ did r.ot discriminate when hiring workers for the
production, service and clerical jobs. This would also seem
to Indicate that upward mobility would be difficult for
minority persons even though they had the necessary skills.
ATTITUDE OF ETHNOCENTRISM
Non-white Income Disparity
While the poverty areas are not l imited to non-white
population, there is evidence that "color" may have a high
correlation with the median Income. Although the median
income of whites and non-whites from 19^7 to 1963 was climbing,
the Negro was not improving hi3 relative situation. The cj.aim
made b y some that "education will solve everything" is not
valid. In 1965 non-whites earned substantially less than
whites with the same amount of education. This same s uU y
Indicated that this situation was generally orue no matu
how m uch education the non-white had obtained. The author
concluded that about 2552 pf the disparity between non-white
and w hite income was due to education and 7552 was due to other
factors. The conclusion was that the problem of race bust , + ; ? i e n+ of business, government
take priority, with the best ta-en < ne+ior Lasting solutions
and private agencies taking strategic action. L 6 ppnrile to change their
will call for the determination of ma y P
attitudes and behavior.
Underachlevement of Klnorij^lgil indicates that the uncer-
A s tudy by Martin Katzman indica. „ icicans and Mexican-Americans
achievement of Negroes, Puer
16
the employers did rot, discriminate when hiring workers for the
production, service and clerical jobs. This would also seem
to indicate that upward mobility would be difficult for
minority persons even though they had the necessary skills .
ATTITUDE OF ETHNOCENTRISM
Non-white Income Disparity
While the poverty areas are not limited to non-white
population, there is evidence that "color" may have a high
correlation with the median income J Although the median
income of whites and non-whites from 19^7 to 1963 was climbing,
the Negro was not improving his relative situation. The cxaim
made by some that "education will solve everything" is not
valid. In 1963 non-whites earned substantially less than
whites with the same amount of education. This same study
indicated that this situation was generaxxy true no matter
how much education the non-white had obtained. The author
concluded that about 2552 p f the disparity between non-white
and white income was due to education and 7552 was due to other
factors. The conclusion was that the problem of race must
+ * , >^0+ talent o f business, government take priority, with the best ua-e.
, Q 4-oklnp: s trategic action. Lasting solutions and private agencies taking
4-* rvwi o-f nanv people to change their will call for the determination of n„ny pe p
att i tudes and behavior.
Underachlevement of Minora'-•iO". A study by Martin Katzman indicates that the under
achlevement of Negroes, Puerto Rloans and M e x i c a n-Americans
17 may b e due partly to the subculture of these groups and
discrimination against this subculture.^ There is evidence
oi significant differences in att i tudes towards present vs.
future gratif ication, work vs. leisure, pecuniary vs. non-
pecuniary benefits , education, ferti li ty and many other factors
which may generate differences in economic performance. There
is also the possibil ity that this subculture may influence
the att i tude of outsiders (white middle class) to the point
that there is discrimination against class and not the race
or ethnic background.
Occupational Values and Attitudes
Another study in California in 1964 at tempted to
determine whether or not there was any significant difference
in occupational values ana at t itudes between Anglo, Spanish
and Negro American poor.^ The study covered families whose
median Income was $3306 per year and was approximately evenly
divided between families that received public assistance and
those that did not receive any assistance. Responses to five
of the questions that are relevant to this study are l isted
in Table 3• I t is evident from the responses to these questions
that a large majority of the poor people, regardless of race,
are willing to leave their friends, learn a new routine,
take on more responsibility and work harder in ordnr to make
a l iving for their families. This would certainly seem to
indicate that the att itudes of the poor are not a factor in
causing poverty.
18
Table 3
Occupational Values and Attitudes Percentage of Positive Answers
Questions Public Assistance^ Nonrecinients-s:-
Would you takeAnglo Spanish Negro Anglo Spanish Negro or stay on a job that required you to -move a lot? 36.8# 40.6# 46.1# 31.7# 42.9# 44.7#
-leave your friends? 87.6# 89 .6# 93•3# 83.6# 87.1# 85.3#
-learn a new routine? 90.4# 9?.5# 93*3# 85 .6# 91.1# 90.7#
-take on more 84.2# 80.1# 87.8# 87 .6# 76.9# 03.^/0 responsibil ity?
-work harder 81.3# 73-6# 80.0# 77.7# 63 .6# 74.8# than now?
# Median income of all families was $3306 per year.
19 Conservatism and Ethnocentrism
A v ery important study, which provides the basis for
one section of this paper, was conducted in 1963 by a group
headed by T.W. Adorno and is reported in detail in The 21 Autnor1tarlan Personality. The entire series of studies
concentrated on the trends of l iberalism and conservatism and
in Chapter 5 they report of surveys of polit ical-economic
ideology in relation to ethnocentrism. Their findings indi
cate that the authoritarian personality seems to combine the
ideas and skills of a highly industrialized society with
irrational of anti-rational beliefs. They concluded that
there was a significant correlation between conservatism and
ethnocentrism and between l iberalism and anti-ethnocentrism.
Ethnocentrism, in this case, involved stereotyped negative
imagery and hostile att itudes regarding outgroups, and.
stereotyped posit ive Imagery and submissive att itudes regard
ing ingroups. The conservative persons also indicated a
helrarchial , authoritarian view of group interaction in which
ingroups are rightly dominant and outgroups subordinate.
Chapter 3
METHODOLOGY
OPERATIONAL DEFINITIONS
Ethnocen or i sin - To regard ore's own race or cultural group
as superior to others.
Prejudice - Irrational att itude of hostil i ty directed against
an individual, group or race and their supposed
characteristics .
JOBS - Job Opportunit ies in the Business Sector. The program
to hire hardcore sponsored by the National Alliance of
Businessmen.
Participating firms - Firms in the Fresno Area that had
agreed to hire hardcore unemployed persons and had done
so without benefit of a contract with the Labor Department
to cover some of the extra costs of training.
Non-participating firms - Firms in the Fresno Area that did
not want to part icipate with the National All iance of
Businessmen in the program to hire the hardcore
unemployed.
Liberal - Having favorable policies or at ti tudes toward the
hardcore unemployed.
Conservative - Having restrictive policies or unfavorable
atti tudes toward the hardcore unemployed.
20
21
SAMPLING
The companies used in the study were selected from the
records of the National Alliance of Businessmen and were
divided into two groups :(1) Participating firms and (2) Non-
participating firms. A random sample was not used because i t
was assumed that the two groups of firms would have some
characteristics that would indicate that they were different.
Participating companies were classified according to the
United States Department of Commerce Standard Industrial
Classification as retail , manufacturing, f inance and insurance,
and service. These four classifications of business activity
account for of the business employment in the Fresno
Metropolitan Area.
Following the establishment of the l ist of participat
ing firms, the next step was to examine the card file of firms
that refused to participate in any way with the program to
hire hardcore unemployed. Firms were selected that represented
the same Standard Industrial Classification and employed
approximately the same number of employees as the participat
ing firms. All consideration of companies was l imited to
those that were contacted prior to the publication 01 a new
contract which would provide more government assistance.
QUESTIONNAIRE
The questionnaire, shown in Appendix B, was designed
with seven sections: Manpower Needs; Recruiting Methods;
Screening Policies; Financial Condit ion; Business and Economic
22
Poj.ru, Ox View; Program Structure; and Evaluation of Program.
The sections on Manpower Needs and Financial Conditions were
designed to eliminate the possible variations that could
aifeco results i i there was no possible need for unskilled
labor and the adverse effect of poor business conditions for
the firm being interviewed.
The two sections on Structure and Evaluation of the
Program were designed to be used only with those firms that
had insti tuted a special program for hiring the hardcore
unemployed.
The three most significant parts of the questionnaire
were those sections dealing with Recruiting, Screening and
Attitudes. The Recruiting and Screening sections were designed
to indicate whether or not these methods ana policies 'were
l iberal or restrictive in their effect on the hardcore unem
ployed. The ten questions of the Business and economic Poinu
of View were adapted from tne study by Adorno et al , and were
designed to measure the polit ico-economic ideology of the
executive. In Adorno"s study there was a high correlation
between a conservative ideology and ethnocentrlsm.
A pretest of the questionnaire and interview technique
was conducted with three employers. Several questions and
comments were introduced that had not been anticipated, but
i t was decided to retain the existing questionnaire ar.d record
separately the relevant comments and remarks which were
offered by the executives during the interview.
The opinions expressed in the att itude section were
23
always those of the top executive of the f irm, but in several
cases uhe personnel manager of specialist was called on to
provide details regarding the manpower needs, recruiting
methods, screening policies and any specific training program
provided for the hardcore persons.
LETTER
A l et ter, shown in Appendix A, was composed to describe
the basic idea and need for the study and to introduce the
person who would be calling for an appointment to conduct the
interview. This let ter was sent over the signature of Dr. J .P.
Dodds of the Department of Finance and Industry on Fresno State
College School of Business stationery. In each case the letter
was addressed to the owner, president or chief executive o±.
the firm. Two or three days after mailing, a telephone call
was made to ask for the appointment which would take approx
imately fifteen minutes.
STATISTICAL ANALYSIS
In order to determine the relationship among the three
variables of each class of firm belr.g studied, a computer
program was used on the Olivetti-Underwood Programme 101 to
find the coefficient of correlation for Recruiting Methods,
, , v,* at t itude factors. The program was Screening Policies ana Att^^uae
designed to indicate both partial and multiple correlation
coefficients for the three variables. Application of the
t-test was used to indicate whether or not the correlations
24 were significant at the .05 level of confidence.
In addition to the correlation analysis, statistical
tests were made to determine the relationship between l ike
variaoles 01 participating and non-participating firms and
between the total scores of each class of f irm. The mean and
standard deviations were determined for each variable and the
tcual group values and then the standard error of the
differences between the means was calculated for the three
variables and the total group values. Finally, the t- test
was used to determine whether or not the differences were
significant at the .05 level of confidence.
Chapter 4
ANALYSIS OP RESULTS
SURVEY RE SULTS
Limiting; Factors
The questions dealing with Manpower Needs indicated
that there was no firm Interviewed that was not using or
could not use in the next year one or more persons classified
as hardcore unemployed.
In response to the question on f inancial condition,
al l of the firms except three indicated that they expected
their net income to improve In the next year. One participat
ing firm and two non-participating firms indicated that they
expected their net income to be reduced In the next year of
operations. All three of these firms, however, were using
and would expect to continue to use a significant number o±
unskilled workers.
The section of the questionnaire that was designed to
evaluate the structure ana success of a program to hire the
hardcore unemployed was not used in the final analysis because
none of the firms had a specific program for that purpose.
Recruiting and S c r e e n i n g .
, , , , woylables were assigned a maximum Recruiting Methods variet ies •>.< v Cr,r .r>^ Indicating a l iberal policy
value of s ix, with the ho.gh 25
26 toward unskilled labor. Screening Policies were l isted show
ing sax policies in addition to the application form. A t otal
possible value of s ix was assigned to this question, with the
high score Andxcating a xioeral policy toward unskilled labor.
In b oth Recruiting and Screening questions a low score would
indicate a restrictive policy toward the hardcore unemployed.
Attitude Factors
The ten at ti tude questions were each assigned a range
of value from one to six. In each case the high score would
indicate a l iberal at ti tude and the low score would indicate
a conservative att itude. A summary of the results of the
study are shown in Table 4.
Table 4
Summary of Survey Data
Total Scores
Factors Participating Non-Participating Firms Firms Total
„ 21 Recruiting Methods 27 OQ ^9
Screening Policies 40
Executive Att itude
Total 247
280 22°
300 647
ANALYSIS OP THE RESULTS
Correlation Within Groups +Q+1stical methods described to the
By applying the sta^i
27 data, i t was deterged that the coefficient of correlation
for the three variables of each class of f ir , indicated no
significant relat ionship among the variables. The maximum
coefficient of correlation was .5355 between Recruit ing and
Screening for the Non-Part icipating firms, with the at ti tudes
held constant. Application of the t-test , however, Indicated
this was not a significant correlat ion at the .05 level with
a sample of ten.
Relationship Between Groups
After determining the mean, standard deviation and the
standard error of the difference between the means of the three
variables between each group, and for the totals of each group,
the t-test was applied and indicated a significant difference
at the .05 level for Screening Policies only. This indicated
that there was a significant difference between the screening
policies of participating and non-participating firms. The
t-test for the other variables and the totals of the variables
of both sample groups indicated that there was no significant
difference between the two samples tnat couxd not oe explained
by sample variation.
Attitude Test
The final analysis of the statistics was to determine
the mean, standard deviation and standard error of the mean
for the total scores on the att i tude survey lor 1 t^unty
samples together. These tests indicated a mean of 26.5, a
standard deviation of 8.7 and a standard error oA ohe
28 of 1 .92. An estj . ir .ate of the standard deviation and the
stanaara error of the mean for the universe was made assuming
a possible universe of 500 firms, and this indicated that the
universe mean would fall within the confidence interval of
26.5 + (1 .96). This would indicate a range of 32.4 - 20.6
for the universe.
Chapter 5
CONCLUSIONS AND RECOMMENDATIONS
CONCLUSIONS
Hypothesis
I t was concluded from the analysis of the data that
the original hypothesis should be accepted, and that there
was no significant difference between the two samples except
for the screening policies. This means that the firms that
did not participate with the National Alliance of Businessmen
were significantly more restrictive in their screening policies
than were the firms that did participate in the program to
hire hardcore unemployed. In respect to the Recruit ing
Methods and Executive Attitude the two classes of firms were
not significantly different.
Conservative Atti tude
There was one other tentative conclusion thau couiu
be made from the final analysis of the statistics relating to
the att i tude survey. The responses on the att i tude survey
could be divided into three segments representing the conser
vative, middle-of-the-road and l iberal responses. Since the
total possible range of scores on the att i tude survey
from a low of ten to a high of sixty for each executive, the
three ranges would be from 10-26 for conservative att itudes,
29
fro, 27-43 for the K lddle and from 44-60 for the l iberal
at titude. With the mean of 26.5 a r ,d the estimate of the
universe indicating; a range of 32.4 - 20.6, there is oriy a
very small probabili ty that the responses of the universe would
exceed that range. I t was concluded that the responses of
the universe could be expected to be strongly conservative
or in the lower middle range. Since Adorno has determined
1. W here *0 a -ignifmeant correlat ion between conservatism
and ethnocentrism, this would indicate that there could be
considerable negative imagery and hostile att i tude toward
the outgroup", which in this are the hardcore unemployed.
There is a significant relationship between this
conclusion and the related research which points out that
tne att i tudes and behavior among business executives are key
factors in determining the success of programs to hire hardcore.
REC OMMENDATIONS
It is recommended that further research be conducted
to help solve the problem of the hardcore unemployed with
the emphasis placed on the att itudes of responsible persons
in the business community. Since a major portion ox one
economic r isk has been removed from the program for hiring
the hardcore, i t would seem that the major remaining obstacles
to integrating the disadvantaged into the mainstream of the
American economy are the att i tudes and behavior of those
Persons who could Implement the program if they were really
committed to finding effective and lasting solutions.
31
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FRESNO, C A L I F O R N I A 93726
IUSINESS Appenaix A of Finonc® fry
March 5, 1 970
Mr. A. B. Charles, Manager Charles Manufacturing Co. 1234 Z Street Fresno, California
Dear Mr. Charles:
You are aware that there are a number of organizations in the Fresno area that are concerned with training people for more meaningful employment. I think i t is important that one of our graduate students do a study of the business firms in this area in order to determine the relationship between administrative style and manpower development.
Barton Palmer, a graduate student who has 20 years of responsible business experience, will be calling you in a few days to arrange an appointment to discuss this survey.
We w ould appreciate very much your cooperation in this effort .
Sincerely yours,
J. P. Dodds Professor
39
Appendix B
QUESTIONNAIRE
MANPOWER NEEDS
Needs-Next 12 months
Hired-Last 12 months
Present Employees
Total Employees
RECRUITING METHODS
Government Agency
Private Agency
Community Agency
Advertisement
Other
SCREENING POLICIES
Application Required
Minimum Educ. Req.
Criminal Record Req.
Interview Req.
Physical Req.
Aptitude Test Req.
Manual Dexterity
Unskilled
Labor Clerical
Lab or Clerical
Labor Clerical
40 PROGRAM STRUCTURE
1. .he person mainly responsible for supervision oe the program is the * *
Chief Exec. u:f. Pers. Mgr. Plant Mgr. Foreman
2. On the job training is provided by
Existing program Modification All new urogram
3. «• hat is the scope cf influence of your program director?
Complete freedom Broad Inf. Limited Inf. Litt le Inf._
4. Have you used orientation meetings with groups involved?
Executive Personnel Supervisor Employees Trainees_
5. What methods do you use to introduce trainees to the job?
Special program Existing program Modification
6. Does your program reflect ideas of
Line Staff Supervisors Community Government
7. Is i t possible to adjust jobs to f it people available?
Always Frequently Some times Seldom Never
EVALUATION OF PROGRAM
1. Progress of trainees toward learning production s i j . j.1s .
Excellent Good Fair Poor No progress
2. Absenteeism has been High Average Low None—
3. Trainees arrive at work on t ime
Always Usually Some t imes Seldom Never
4. Job relevant behavior is Excellent—Good—pair——
5. Dropout rato has boon High—Average—Low—Non o
6. When the training period is over, would you l ike to
retain the trainees? All __Most__Some__Few__None__
41
FINANCIAL CONDITION
1. Volume of business in the last twelve months has Increased Remained Decreased
Greately Slightly Same Slightly Greatly
2. In the last year net income has Increased Remained Decreased
Greatly Slightly Same Slightly Greatly
3. Net income in the next year is expected to Increase Remain Decrease
Greatly Slightly Same Slightly Greatly
BUSINESS AND ECONOMIC POINT OF VIEW
Responses were recorded according to the following choices: Agree 1. Strongly 2. Moderately 3. Slightly Disagree 1. Strongly 2. Moderately 3• Slightly
1. Labor unions should become stronger and have more influence generally.
2. The government must play a greater part In the economic and business l ife of the nation.
3. Men l ike Henry Ford, who overcame all competi tion on the road to success, are models for al l young people uo admire and imitate.
4. America may not be perfect, but the American Way has brought us about as close as human beings can get to a perfect society.
R In general, full economic security is bad, lor moso men would not work if they did not need the money ior eating and l iving.
6. I t is the responsibil ity of the entire society, though i ts government, to guarantee everyone adequate housing and income.
7. Chararacter, honesty and abil ity will ^®- l 1 3 ;n t h e l o n3 run; most people get pretty much what they deserve.
8. Poverty could be almost entirely done away jit-h if we made certain basic changes in our social and economic systems.
9. In general, the best way of aiding our fewwow sien is to give t ime or money to some worthy charily.
10. The government should own and operate all public ut il i t ies
Appendix C 42
FORMULAS
1 . X = X N
Mean
2. x = X - X Mean deviation
3. s = x N - 1
Standard deviation
4. . S^ = S \pr
5. S 2 2 xi + x2
(N1 + N2)
6. t = - ^2 3Dx-
7. S, r0
8. t = r
/V 9.CT =
1 - r
N ~ 2
N - 2 1 - r s
S2 n n - 1
Standard error of the mean
N, JL) Standard error of the
difference between two means, small sample, uncorrelated data.
t- test
Standard error of r when the Hq is made that r = 0. Small sample.
t- test
Estimate of the standard HAirist . ion of the universe,
/\
1 o. C~- = A cr \pr
N - n N
Estimate of the standard error of the mean of the universe.
43
Appendix D
COMMENTS 3Y BUSINESSMEN
1. There is very l i t t le special orientation or training
program here.
2 . I t ' s s i n k o r s w i m w i t h t h e e x i s t i n g p r o g r a m .
3. We have a 90 day trial period and If they don't make i t ,
out they go.
4. The union is a big factor.
5. The Personnel Director wasn't really sold on the program
until he became involved in i t .
6. Attitudes at al l levels of the organization are Important.
7. I t must start at the top management level and be communicated
down the l ine of authority with controls.
8. Every man I hire costs over $4.50 per hour. Not every seed
is meant to survive.
9. Businessmen should take over management and operation of
the Post Office, schools and other government functions.
10. I tell my kids that character, honesty and abili ty will
tell in the long run, but I don't really believe i t .
1 1 . E v e r y o n e n e e d s s o m e c h a l l e n g i n g w o r k i n h i s l i f e .