Abstract During the courses of banks being taken over, put on auction, or under compulsory merger, their employees are under tremendous impact. This calls for the importance of human resource management practices. If a bank being taken over has proper human resource management practices, the employees are more likely to have stable mood and morale to carry on their services to customers. On the one hand this will enhance the value of the bank being taken over, and on the other hand the synergy to the bank winning the bid in auction would be more obvious. In this research, we made in-depth studies of the human resource management practices in three stages, i.e. after take-over and before auction, after auction but before merger, and finally, after merger. The approaches adopted in this research include in-depth interview and questionnaire survey. We conducted interviews with members of management teams, human resource departments, and labor union officers. Questionnaire surveys were also conducted on employees to determine their feeling and whether they are satisfied with human resource management practices after being taken over and merged. We have drawn conclusions as follows: 1. Human resource management practices in banks that were taken over and merged are similar to ordinary merger cases, with emphasis on communication, protecting the interests of employees, focusing on the retention of employees and interview skills, establishing merger and integration team, and providing employees with a cushion period. Particularly, if a take-over team is formed, it would have major influence over policy-making, and would better protect the employees¡¦ interests when compared with banks which were taken over in the past. 2. During the take-over period, there were no layoffs and pay cuts which abide by the provisions of the Basic Labor Law and relevant regulations as well as the internal regulations of the bank in settling seniority and establishing settlement plans to reduce arguments between employees and employer. In these cases the questionnaire survey indicated that employees have high satisfaction. 3. The labor union shall act as a bridge between the take-over team, the winning bank, and employees under legitimate policy and with rational manner, to secure the interests of the employee and maintain harmony between employees and employer. Questionnaire surveys and interviews indicated that these efforts and contributions won the recognition of all employees. However, the retention rate is low, which is rather disappointing. 4. Questionnaire surveys had found that the main causes of employees quitting their jobs are: 1. After take-over and before merge: worrying about the future with uncertainty and insecurity; 2. On the reference date of merger: to lose retention from the winning bank; 3. After merger: poor adaptation to the new organizational culture, leadership of management, and difficulty in conforming to working environment. Key Words: Take Over, Merger, Bank, Resolution Trust Corporation, Human Resource Management Practices

Ind., Indiana Univ., Dep. of Economics, Diss.--Bloomington, 2003. / Kopie, ersch. im Verl. UMI, Ann Arbor, Mich.