Why Is Labor Called Human Resource?

Bilal ŞentürkBilal Şentürk
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Why Is Labor Called Human Resource?
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The term "human resource" is often used about the workforce, and it's interesting to consider where this terminology comes from. The phrase "human resources" was first coined by Frederick Winslow Taylor in his 1911 book The Principles of Scientific Management. In the book, Taylor uses the term to refer to the workers who are performing manual labor. He argues that these workers are valuable resources that should be managed in a scientific way. 

Thus, the term "human resource" is actually quite old, and it has always been used to refer to people who are performing manual labor. While the meaning of the term has changed over time, it still reflects our perceptions of workers as valuable assets.

The term "labor" or "human resource" can be traced back to the Industrial Revolution, when workers were first employed in factories and other large-scale manufacturing facilities. At that time, many people viewed labourers as simply commodities or objects to be bought and sold as needed. The term "human resources" was therefore seen as a way of acknowledging the value and importance of these workers in our economy.

Over time, however, this perception has shifted somewhat. Many now view labor as a form of human capital, that is, an investment that produces valuable returns over time. This idea is closely tied to the concept of human development, which refers to efforts aimed at improving the lives and capacities of individuals and communities. As such, it is essential for us to recognize the value of labor, not just as a way of increasing worker productivity but also as a means of promoting human welfare and progress.



In today's global economy, the term "human resource" is seen as an essential indicator of a nation's economic success. Countries with large numbers of well-educated workers who are skilled in high-demand areas like technology and engineering are often viewed as having valuable resources that can help drive innovation and growth.

However, we must also recognize the importance of labor for more personal reasons, namely, that it provides us with an opportunity to contribute meaningfully to society and to support our loved ones through stable employment. In this sense, human resources represent both our most significant potential and our most basic needs--which makes them a truly invaluable asset.

There is a close relationship between labor and human resources, as both are essential factors in the success of businesses and other organizations. labor refers to the physical and mental activities performed by individuals to produce goods or services, while human resources refer to their skills, abilities, knowledge, and experience. Together, these factors contribute to an organization's ability to achieve its goals through the effective management of its workforce.

Companies may invest in training programs for human resources employees in order to increase their competencies and develop new skills that can be applied on the job. This allows businesses to retain valuable employees who have the potential to become leaders within the organization or bring innovative ideas into their work.





Similarly, companies may also focus on attracting qualified candidates with the right skills and experience, as well as implementing strategies that help them retain employees over the long term.

Overall, the relationship between labor and human resources reflects a shared emphasis on improving worker productivity through effective management practices. Both factors are essential for companies to consider as they seek to grow their businesses and maintain a competitive advantage in today's global economy.

The history of the term human resource

The use of "human resources" as a standard term dates back to the early 20th century when it was first used by prominent industrialist Frederick Winslow Taylor. In his 1911 book "The Principles of Scientific Management," Taylor described workers performing manual labor as a valuable resource that should be managed in a scientific way. He argued that systems for managing workers could be used to help businesses become more efficient and productive, thus aligning with the growing focus on scientific management that was gaining popularity at the time.

By the 1950s, the term "human resources" had become a standard part of business language as companies began adopting similar strategies for managing their employees. However, its use was often controversial due to concerns about treating workers as commodities or objects rather than people. While many viewed labor as simply a means of achieving economic success, others feared that this approach could lead to exploitation or unethical treatment of workers.

Today, the term human resource is still commonly used in business contexts and continues to be an essential indicator of a company's overall performance. Despite these controversies, it is clear that the effective management of human resources is critical to achieving success in today's modern economy.

Criticisms of the term human resource

While many businesses recognize the importance of managing their labor effectively, critics have raised concerns about the use of the term "human resource" itself. Some argue that this term reflects a dehumanizing approach to workers, treating them as mere objects or assets rather than individuals with unique needs, desires, and aspirations. Others point out that it can also contribute to negative stereotypes about low-skilled or manual laborers, furthering perceptions of these workers as unintelligent or uneducated.

Others have suggested replacing the term "human resources" with more inclusive terminology like "talent" or "people" in order to better reflect the diversity and complexity of today's workforce. While there is no single agreed-upon alternative, these critiques highlight the importance of talking about labor in a way that reflects its actual value and respects the contributions that workers make to an organization's success.

Human resources are often defined as the people who make up the workforce of an organization, company, or economy. However, the term human resources have come to mean much more than just referring to people. Human resource management is a branch of business that focuses on the efficient and effective use of employees in order to achieve organizational goals. If you want to learn more about how to manage human resources effectively, join our HR management course today!

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Frequently Asked Questions

The term human resources are believed to have originated from Frederick Winslow Taylor's 1911 book "The Principles of Scientific Management." In this book, Taylor described workers performing manual labor as a valuable resource that should be managed in a scientific way. He argued that systems for managing workers could be used to help businesses become more efficient and productive, thus aligning with the growing focus on scientific management that was gaining popularity at the time.

By the 1950s, the term "human resources" had become a standard part of business language as companies began adopting similar strategies for managing their employees. However, its use was often controversial due to concerns about treating workers as commodities or objects rather than people. While many viewed labor as simply a means of achieving economic success, others feared that this approach could lead to exploitation or unethical treatment of workers.

Today, the term human resource is still commonly used in business contexts and continues to be an essential indicator of a company's overall performance. Despite these controversies, it is clear that the effective management of human resources is critical to achieving success in today's modern economy.

A resource is something that can be used to achieve a goal or desired outcome. In the context of business, human resources are often viewed as valuable resources that can be used to achieve organizational goals. This means that companies need to have systems in place for managing their employees effectively in order to get the most out of them.

There are many different ways to manage human resources, and each organization will have its own unique approach. However, some common strategies include recruiting and hiring the best possible employees, providing them with adequate training and development, and maintaining a healthy work-life balance. By using these strategies, businesses can create a positive work environment that encourages productivity and creativity.

Some people argue that calling labor a "resource" legitimizes employers' abuse of employees, as it implies that they are nothing more than a means to an end. Others have suggested replacing the term "human resources" with more inclusive terminology like "talent" or "people" in order better to reflect the diversity and complexity of today's workforce. While there is no single agreed-upon alternative, these critiques highlight the importance of talking about labor in a way that reflects its actual value and respects the contributions that workers make to an organization's success.

Labor history dates back to the industrial revolution of the 1700s, when the transition from an agricultural to an industrial economy began. This shift in the economy led to the emergence of the labor movement and the establishment of labor unions. Throughout the 19th and 20th centuries, labor unions fought for better wages, improved working conditions, and social reforms to benefit workers.

In the early 1900s, human resource management emerged as a distinct field of professional management. Human resource management focuses on managing and developing employees, as well as creating policies and procedures that ensure a productive workforce. The history of labor and how it relates to human resource management is rooted in the labor movement, which fought for better wages and working conditions for workers. The labor movement also provided the foundation for modern human resource management practices, including employee training and development, performance management, and compensation and benefits.

The origins of labor as a collective force are entwined with the very essence of humanity and civilization. Since the dawn of time, labor has played a critical role in shaping societies and economies. However, the concept of labor as a distinct entity with rights and representation gained significant momentum during the Industrial Revolution. It is during this period that the relationship between labor and what would eventually be recognized as human resource management began to manifest.The Industrial Revolution, starting around the 18th century, introduced a dramatic change in the production process. Jobs moved from agricultural fields and small workshops to large factories, prompting people to migrate to urban areas. In these nascent industrial landscapes, workers faced long hours, unsafe conditions, and minimal pay. Out of necessity, workers started organizing themselves to advocate for better treatment, eventually forming the first labor unions.Labor unions played a pivotal role in championing the rights of workers. They negotiated terms of employment, provided support during strikes, and lobbied for legislation to protect the workforce. Notable achievements from the labor movement include the establishment of the eight-hour workday, the end of child labor, and the implementation of safety standards in the workplace.Simultaneously, the rise of large organizations necessitated a structured approach to managing people. This need marked the birth of what we now recognize as human resource management (HRM). Initially focused on improving efficiency and compliance, HRM gradually evolved to become more strategic. The hinge of this transformation was the increasing acknowledgment that people were not just cogs in an industrial machine but assets that could provide competitive advantage.Business leaders and social reformers like Robert Owen advocated for the ethical treatment of workers, laying the groundwork for the human relations movement. This movement emphasized the importance of worker satisfaction and its impact on productivity. Organizations began to develop departments dedicated to handling employment issues, which would later evolve into modern HRM departments.Today's HRM is a complex blend of strategic planning, legal compliance, talent management, and cultural stewardship. HR professionals draw from the legacy of the labor movement to inform policies and practices that not only comply with labor laws but also foster inclusive, engaging, and rewarding work environments.In modern HRM, the echoes of labor history are heard in the ongoing dialogue about workers' rights, fair compensation, and safe working conditions. The field continues to evolve with the advent of new technologies and the changing landscape of work. The partnership between labor and HRM remains pivotal to addressing the challenges of the contemporary workplace while honoring the struggles and victories of those who came before.In education, institutions like IIENSTITU offer courses in HRM that build on this rich history, equipping professionals with the knowledge and skills needed to navigate the complexities of workforce management in an ethical and effective manner. With an appreciation for the past and an eye on the future, HRM stands as a testament to human ingenuity in adapting to ever-changing economic and social paradigms.

Human resource management (HRM) is the practice of managing and developing an organization’s workforce. It is responsible for recruiting, selecting, onboarding, and training new employees, as well as managing performance, rewarding employees, and handling employee relations, including resolving disputes and addressing grievances.

Over time, HRM has evolved to encompass a much broader scope of activities, with a focus on developing and managing an organization’s human capital. This includes taking a strategic approach to managing employees and ensuring that their skills are aligned with the organization’s goals and objectives. HRM is also responsible for implementing policies and programs to manage workforce diversity and inclusion, and for developing career paths and succession planning.

Human Resource Management (HRM) is a strategic and comprehensive approach to managing people and the workplace culture and environment. It involves effectively deploying and managing various HR practices such as staffing, compensation, benefits, performance management, organizational development, safety, wellness, employee motivation, communication, policy administration, and training. HRM is not just limited to managing the employment process, but extends to preserving the competitive edge of the organization through strategic talent management and development.In the early stages of its evolution, HRM was largely an administrative function, rooted in personnel management. The focus during the early 20th century was primarily on hiring, evaluating, training, and compensating employees, with HR practitioners viewed as paper pushers who did little beyond ensuring that employee records were properly maintained.However, with the advent of the industrial revolution and the subsequent increase in workplace complexities, there was a noticeable shift towards welfare and labor management. Issues such as working conditions, worker safety, and fair wages came to the fore. The Hawthorne Studies in the 1920s and 1930s, for instance, provided insights into the importance of social relations and employee morale on productivity, which further reinforced the idea that HRM needed to consider a broader range of human factors in the workplace.By the 1960s and 1970s, the term Human Resource Management began to replace the earlier terminology, emphasizing the importance of strategic integration of employee management. Theories like McGregor's Theory X and Theory Y and Maslow's Hierarchy of Needs further influenced the HR profession, leading to a more human-oriented approach centered on employee motivation, engagement, and satisfaction.In the latter part of the 20th century and the early 21st century, HRM expanded to include a much more strategic role. New technologies, globalization, and changes in workforce demographics pushed HR managers to think in terms of strategic alignment, where HR policies and practices support and reinforce the overall strategic objectives of the organization. Topics such as employee empowerment, talent management, knowledge management, and leadership development came under the HRM purview.Today's HRM also places a high emphasis on diversity, equity, and inclusion (DEI), recognizing the value of a diverse workforce in fostering innovation and a competitive edge. Moreover, HRM professionals now often serve as advisors to senior management and are tasked with navigating complex legal and ethical dimensions of workforce management.In the context of education and development, institutions like IIENSTITU have recognized the evolving nature of HRM and offer programs and courses designed to equip current and aspiring HR professionals with cutting-edge skills and knowledge. These educational programs cover areas like digital transformation in HR, the role of analytics in shaping HR strategy, and the development of a transnational HRM approach in line with the broader dynamics of global business practices.Overall, HRM has evolved from a largely administrative function to a key strategic component of organizational success. Modern HRM is about ensuring that the human element of the business is aligned with and capable of achieving the organization's strategic objectives. HRM is no longer just about managing people but is about leveraging human capital to achieve sustainable competitive advantage in a fast-paced and ever-changing global economy.

The term 'human resource' serves to legitimize the employer-employee relationship by emphasizing the importance of the employees as an asset to the organization. It highlights the value of employees in achieving the goals of the organization, and suggests that the employer has an obligation to invest in their success. This concept is further reinforced through the development of policies and processes that are designed to promote a positive work environment, provide job security, and protect employee rights.

In the contemporary business landscape, the term human resource encompasses a broad spectrum of meanings and implications. At its core, the concept legitimizes the employer-employee relationship by recasting the workforce not as a mere collection of workers, but as a vital asset integral to the operational and strategic success of an organization.The framing of employees as human resources implies that, like any valuable asset, they require careful management, development, and investment to maximize their potential. This perspective redefines the traditional employer-employee dynamic, prompting organizations to recognize the direct correlation between the well-being of their workforce and the overall performance and competitiveness of the business.By adopting the human resource viewpoint, companies are encouraged to establish comprehensive human resource management (HRM) systems and practices. This organizational framework is characterized by several key pillars that serve to formalize and reinforce the importance of the employer-employee relationship:1. Talent Acquisition and Retention: By recognizing employees as crucial resources, companies are propelled to attract, select, and retain the best talent available. This involves the use of effective recruitment strategies, competitive remuneration packages, and a branding that appeals to top-tier candidates.2. Employee Development and Training: Investment in employee growth signifies a commitment to the continual improvement of the organization's human resources. Offering training, professional development opportunities, and career advancement pathways ensures that employees are equipped with the necessary skills to excel in their roles and contribute to the company's objectives.3. Performance Management: Human resource management includes setting clear expectations, providing consistent feedback, and aligning individual goals with those of the organization. Such practices not only help in managing employee performance but also in valuing their contributions.4. Employee Engagement and Corporate Culture: Employers are tasked with nurturing a positive work environment that fosters engagement, collaboration, and a sense of belonging. A strong corporate culture that aligns with the values and aspirations of its human resources can boost morale and productivity.5. Benefits and Compensation: Structured and equitable compensation and benefits packages reflect the acknowledgment of the employee's worth. This includes fair wages, healthcare options, pension plans, and other incentives that promote job satisfaction and security.6. Legal Compliance and Employee Rights: Adherence to labor laws and regulations further legitimizes the employer-employee relationship by ensuring ethical practices and the protection of employee rights. This includes non-discriminatory hiring, workplace safety, and the right to organization and representation.Institutions like IIENSTITU have acknowledged the evolving dynamics of the workforce and the critical role of HR in fostering a harmonious employer-employee relationship. These institutions offer educational programs and resources aimed at developing the next generation of HR professionals, prepared to address the intricate challenges within the modern workplace.In summation, the term human resource legitimizes the employer-employee relationship by reframing it in terms of mutual benefit and interdependence. It underlines the concept that employees are not disposable labor but the lifeblood of the organization, and in doing so, it commands a more nuanced, respectful, and strategic approach to workforce management.