HR can often seem like one of the most enigmatic departments in an organization—essential in theory, but not always understood in practice.
So, what exactly does HR do?
There’s a significant contrast between a proactive HR department that fosters organizational growth and a disconnected HR that remains largely unseen, making occasional appearances only for annual events like the company holiday party.
Here’s a detailed overview of what HR is responsible for (or should be) to effectively support the needs of employees.
What is an HR department?
What Does Human Resources Do?
Ask any employee about the HR department, and you’ll likely hear about the less pleasant aspects of work: HR violations, layoffs, and terminations. However, the real role of human resources is to support and serve employees. It’s essentially a resource for people.
Here’s an overview of the daily tasks handled by HR:
1. Recruit Candidates
HR must understand the organization’s needs and ensure these needs are addressed when recruiting for new roles. This involves more than just posting a job ad; it requires analyzing the job market, consulting with stakeholders, and managing budgets. Once the role is advertised, additional research is needed to attract and present the right candidates. Recruiting is a significant and costly effort—finding the right candidate can invigorate the organization, while a poor fit can disrupt operations.
2. Hire the Right Employees
Human resources is responsible for arranging interviews, coordinating hiring efforts, and onboarding new employees. They also ensure that all hiring paperwork is completed and that new hires navigate their first days and beyond successfully.
3. Process Payroll
Payroll management is a complex task. It involves calculating taxes, collecting hours, reimbursing expenses, and incorporating raises and bonuses. Managing payroll requires careful attention to detail, ensuring that taxes are correctly deducted every pay period.
4. Conduct Disciplinary Actions
This responsibility often gives HR a negative reputation. If disciplinary actions are mishandled, they can result in losing valuable employees, legal issues, or damage to the company’s reputation. However, when managed correctly, disciplinary actions can help an employee succeed.
For example, if an employee consistently arrives late despite multiple warnings, HR can investigate the reasons behind the tardiness. This might be an opportunity to provide support such as counseling or additional resources to help the employee improve their punctuality. Addressing the issue constructively can be more beneficial than the costs associated with firing and replacing the employee, and it can contribute to the employee’s development.
Conversely, there are situations where disciplinary action may not be appropriate, and termination might be the best option. Effective HR departments recognize when an employee may not be the right fit for the organization and would be better suited elsewhere. HR should cultivate strong relationships with both managers and employees to gauge team dynamics and make informed decisions about team cohesion and employee fit.
5. Update Policies
HR is responsible for reviewing and updating policies annually as the organization evolves. They make official updates to policies and suggest changes when necessary. Sometimes updates are prompted by specific incidents, and HR should be involved in these decisions.
6. Maintain Employee Records
Maintaining HR records is a legal requirement. These records help identify skill gaps, analyze demographic data, and ensure regulatory compliance. They also include personal details and emergency contacts for each employee.
7. Conduct Benefit Analysis
To stay competitive and attract top talent, HR must regularly analyze and compare the company’s benefits with those of similar organizations. A promising recruit might choose another company with better benefits, even if the pay is lower.
How does HR support employees?
In addition to handling operational responsibilities, HR plays a crucial role in supporting employees’ emotional and career needs. Since employees are the organization’s most valuable asset, their well-being is a top priority. Here are four key ways HR supports employees:
- Providing career growth
Stagnation can hinder business success, so it’s essential to retain top talent. HR helps employees by creating career paths that promote long-term growth within the company. HR also regularly checks in to guide employees along their career trajectories.
- Offering continuing education
Career advancement often requires further training. HR can assist by identifying relevant educational opportunities and ensuring that employees can access the necessary classes and training programs. HR also coordinates with managers to provide flexible work schedules that accommodate employees’ educational pursuits.
- Training and supporting managers
Effective managers are developed, not born. HR supports managers by providing guidance and facilitating training opportunities to ensure that departments and teams operate smoothly. This may include arranging formal training sessions and retreats for managers.
- Supporting health and wellness
Employees are individuals with diverse personal needs. HR helps employees navigate challenges such as mental health issues, health problems, financial difficulties, pregnancies, or adoption. HR is there to offer support during these and other significant life events.
When to contact human resources
An HR department that remains disconnected from employees is not fulfilling its role effectively. During onboarding, new employees should be informed about when to contact HR and the resources available. HR should regularly schedule one-on-one meetings with employees to discuss career development, job satisfaction, and any issues they may face.
Employees should feel comfortable reaching out to HR in the following situations:
- If you or a colleague experience harassment or discrimination from peers or managers
- If you have questions about benefits, such as health insurance or legal rights
- If your personal circumstances change, such as having a child, needing to reduce hours, or requiring disability accommodations
- If you seek information about career advancement opportunities, such as job shadowing or additional training
- If you need an impartial third party to address a work-related issue
Building the best HR department
The human resources department plays a significant role in shaping a company’s culture. When HR is genuinely invested in the well-being of employees, it fosters an environment of openness and growth.