Human resource policies
Encyclopedia
Human resource
Human resources
Human resources is a term used to describe the individuals who make up the workforce of an organization, although it is also applied in labor economics to, for example, business sectors or even whole nations...

 policies
are systems of codified decisions, established by an organization, to support administrative personnel functions, performance management, employee relations and resource planning.

Each company has a different set of circumstances, and so develops an individual set of human resource policies.

Developing the HR Policies

HR policies provide an organization with a mechanism to manage risk
Risk
Risk is the potential that a chosen action or activity will lead to a loss . The notion implies that a choice having an influence on the outcome exists . Potential losses themselves may also be called "risks"...

by staying up to date with current trends in employment standards and legislation. The policies must be framed in a manner that the companies vision & the human resource helping the company to achieve it or work towards it are at all levels benefited and at the same time not deviated from their main objective.

Purposes

HR policies allow an organization to be clear with employees on:
  • The nature of the organization
  • What they should expect from the organization
  • What the organization expects of them
  • How policies and procedures work
  • What is acceptable and unacceptable behavior
  • The consequences of unacceptable behavior


The establishment of policies can help an organization demonstrate, both internally and externally, that it meets requirements for diversity, ethics and training as well as its commitments in relation to regulation and corporate governance. For example, in order to dismiss an employee in accordance with employment law requirements, amongst other considerations, it will normally be necessary to meet provisions within employment contracts and collective bargaining agreements. The establishment of an HR Policy which sets out obligations, standards of behavior and document displinary procedures, is now the standard approach to meeting these obligations.

HR policies can also be very effective at supporting and building the desired organizational culture.
For example recruitment and retention policies might outline the way the organization values a flexible workforce, compensation policies might support this by offering a 48/52 pay option where employees can take an extra four weeks holidays per year and receive less pay across the year.
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