HR POLICY

HR POLICY
• HR policies are the principles or objectives established by a Company for
the guidance of the management in its relationship with employees.
• HR policy is one of the most important aspects of running a business. A
formal, written human resources policy can aid in communication with
employees, assist managers and help avoid litigation.
• In other words, Human Resource policies are systems of codified decisions,
established by an organization, to support administrative personnel
functions, performance management, employee relations and resource
planning.

• In short, it is a statement of intention committing management to a general

course of action
 Objectives of HR
Policy
• To provide fair, acceptable & efficient leadership;

• To provide an opportunity for expansion & voice in management;

• To strengthen & appreciate the human assets continuously by

providing training & developmental programs;

• To provide facilities & conditions of work & creation of favorable

atmosphere for maintaining stability of employment;

• To attain an effective utilization of human resources in the

achievement of organizational goals, etc
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 Importance of HR
Policy
HR policies serve as a resource for dealing with various situations that
occur in the workplace. They encourage managers to treat employees
fairly and consistently.
• Communicate values and expectations for how things are done at your
organization

• Keep the organization in compliance with legislation and provide protection

against employment claims

• Document and implement best practices appropriate to the organization

• Support consistent treatment of staff, fairness and transparency

• Help management to make decisions that are consistent, uniform and

predictable
• Protect individuals and the organization from the pressures of expediency
 Importance of HR
Policy
Clear thinking;
Uniformity and consistency of Administration;
Continuity and Stability;
Orientation and Training;
Delegation of Authority;
Prompt Decision Making;
Standard of Performance;
 Employee Morale and Loyalty.
 Importance of HR
Policy
 Established polices assure consistent treatment of all
personnel throughout the organization.
 Continuity of action is assured even though top management
personnel change.
 Policies serve as a standard of performance. Actual result can
be compared with the policy to determine how well the
members of the organization are living up to professed
intentions.
 Sound policies help to build employee enthusiasm and loyalty.
This is especially true where the policies reflect established
principles of fair play and justice and where they help people
grow within the organization
 The characteristics
of a good HR policy
While developing sound personnel policies management should pay
attention to the following things:
1. Related to Objectives: Policies must be capable of relating
objectives functions, physical factors and company personnel.
2. Easy to Understand: Policies should be stated in define, positive,
clear and understandable language.
3. Precise: Policies should be sufficiently comprehensive and prescribe
limits and yardsticks for future action.
4. Stable as well as Flexible: Personnel policies should be stable
enough assure people that there will not be drastic overnight
changes. They should be flexible enough to keep the organization in
tune with the times.
 The characteristics
of a good HR policy
5. Based on Facts: Personnel policies should be built on the basis of
facts and sound judgment and not in personal feelings or opportunistic
decision.
6. Appropriate Number: There should be as many personnel policies as
necessary to cover conditions that can be anticipated, but not so many
policies as to become confusing or meaningless.
7. Just, Fair and Equitable: Personnel policies should be just, fair and
equitable to internal as well as external groups.
8. Reasonable: Personnel policies must be reasonable and capable of
being accomplished. To gain acceptance and commitment from
employees, the policy should be conditioned by the suggestions and
reactions of those who are affected by the policy.
 The characteristics
of a good HR policy
9. Review: Periodic review of personnel policies is essential to keep in
tune with changing times, and to avoid organizational complacency or
managerial stagnation.
• It should be clearly stated so that there can be no question as to what it
proposes.
• It should presumably be uniform throughout the organization.
Variations cause misunderstanding among employees.
• It should be understood and interpreted in a uniform manner
throughout an organization.
• It should be appropriate, that is, well chosen in terms of the total
situation faced by the individual management. Policy cannot simply
be copied from another organization.
 The characteristics
of a good HR policy
• It should be communicated to all who are responsible for. It should
be in writing.
• It should be consistent with public policy.
• It should conform to the Government regulations.
• It should be definite. Ambiguity and uncertainty are destructive of
the organization morale.
• It should be stable yet possess sufficient flexibility to meet changing
conditions.
• It should recognize individual differences in capacities, interests,
ambitions and the desire for job security.
• It should give due regard to the interest of all personnel the workers,
the consumers, the public and the owners of the capital.
 STEPS IN POLICY
FORMULATION
1) Setting Statement of Objectives;
2) Setting up of Program and Procedures;
3) Identifying the Needs;
4) Gathering Information;
(Information may be gathered from any of the following sources)
 Past practice in the organization.
 Prevailing practice among the companies in the community and throughout
the nation in the same industry.
 The attitudes and philosophy of the top management.
 The attitudes and philosophy of middle and lower management.
 The knowledge and experience gained from handling countless problems
on a day-to-day basis.
 STEPS IN POLICY
FORMULATION
5) Examining Policy Alternatives

6) Putting the Policy in Writing

7) Getting Approval

8) Communicating the Policy

9) Evaluating the Policy

 Tips on Writing an
HR Policy

•Step 1: Establish Need for a Policy: In its simplest form, a policy is a written
record of a workplace rule.
•Step 2: Develop Policy Content: In developing the content of the policy it is good
practice to consult with stakeholders, management, staff, and/or a member of the
board. This will help to ensure you get buy in for the policy, address the right issues
and have a full perspective.
•Step 3: Draft The Policy: A policy should includes Purpose, Scope, Statement,
Responsibilities, Definitions, Questions, References, Effective Date, Review Date,
Approval
•Step 4: Write the Procedure: Policies often have a related procedure, which may
be a section of the policy or a separate document that the policy refers to. The
procedure gives step-by-step instructions for carrying out the policy.
•Step 5: Review Of The Policy By Key Parties: It is good practice to ask a
representative group of managers and employees to review the policy. For some
policies you may also want to involve stakeholders.
 Tips on Writing an
HR Policy

•Step 6: Approve the Policy: If your board is responsible for giving the final approval on
policies, it is often done with a formal, recorded motion. Provide the board with information on
why the policy is needed and the steps you took in developing the content for the policy.
Consult with the board on the scheduled review date.
•Step 7: Implement the Policy: Employees, managers and key stakeholder must have access
to up-to-date copies of the policies and procedures that are relevant to their role in the
organization and be advised of and understand any new policies or changes to policies coming
into effect.
•Step 8: Policy Review And Update: Your policies should be scheduled to be reviewed and
updated regularly. A reasonable period between complete reviews is two to three years,
although some provinces have legislation that requires certain polices be reviewed annually.
Policies that are affected by changes to government legislation should be reviewed as soon as
there are any changes to the law.
•Step 9: Communication Of Changes To The Policy: Some changes to policy may be so
fundamental that they could attract claims of constructive dismissal. It is critical to provide
employees with sufficient notice of any fundamental change in a term or condition of their
employment. If you are uncertain it is prudent to seek legal advice.
 Contents of HR Policy

 1. Our Company
Introduction
Welcome Letter from the President
Company History
Company Objectives/Mission
Organization Chart
Statement of Growth, Profit, and Business Plan
Statement of Commitment to Employees
Continuity of Policies - Right to Change or Discontinue
Acknowledging Receipt of Policy Manual
Acknowledging Electronic Receipt of Policy Manual
 Contents of HR
Policy (contd.)

2. Employment Policies

Recruitment
Announcement of New Positions
Employee Selection Process
Employment Eligibility Verification — Forms
Immigration Law Compliance
Equal Opportunity
New Hire
Rehire
 Contents of HR
Policy (contd.)
Relatives
Return to Work after Serious Injury or
Illness
Employee Orientation
Confidentiality of Company Information
Conflict of Interest
Medical Evaluations and Interviews
Disability Accommodation
Outside Employment
Grievance Procedure
 Contents of HR
Policy (contd.)

Gratuities to Employees or Officials

Gratuities to Customer or Supplier
Representation
Inventions and Patents
3. Employment Status & Records
Anniversary Date
Reinstatement
Employment Classifications
Access to Personnel Files
Consent to Release Information
Background Checks
 Contents of HR
Policy (contd.)
Authorization to Provide Information
Performance Review and Salary Merit
Increases
Performance Improvement
Job Descriptions
Equal Pay
4. Employee Benefits
Vacation
Child Care
Holidays
Workers' Compensation Insurance
 Contents of HR
Policy (contd.)

Sick or Personal Leave

Voting
Jury Duty
Military Service
Bereavement Leave
Relocation of Current or New Employees
Temporary Assignment Allowance
Professional Memberships
Health Insurance
Health Benefits Continuation
 Contents of HR
Policy (contd.)
Short-term Disability Insurance
Long-term Disability Insurance
Life Insurance
Employee Assistance Program
Flexible Spending Account
Employee-Incurred Expenses and
Reimbursement
Mileage Reimbursement
Travel Reimbursement
Required Management Approval
 Contents of HR
Policy (contd.)

Educational Assistance
Parking
Kitchen — Break Room
Employee Recognition

5. Payroll
Salary Administration
Payroll Deductions
Shift Premium
Timekeeping
 Contents of HR
Policy (contd.)

Payday
Pay Deductions
Pay Advances
Overtime Compensation
Termination
 6. Workplace Guidelines
Record Retention
Employer Security
Employee Safety
 Contents of HR
Policy (contd.)

Injured On the Job

Emergency Instructions
Employee Privacy
Workplace Search Policy
Workday
Smoking
Meal and Rest Periods
Non-Business or Social Visits
Use of Company Vehicles
Use of Rental Car on Company Business
Emergency Closings
Flextime
 Contents of HR
Policy (contd.)

Telecommuting
Compressed Workweek
Cell Phone Policy
Telephone Use
Medical Leave of Absence
Family Leave, Parental Leave and Pregnant
Employees
Family Leave
Pregnant Employees
Leave of Absence and Military Leave
Visitors
Recreational Activities–Sponsorships
 Contents of HR
Policy (contd.)

Code of Conduct
Substance Abuse
Drug and Alcohol Policy
Drug Testing
Attendance
Dress Code
Sexual Harassment
Workplace Violence
Workplace Emergency Plan
Political Activities
 Contents of HR
Policy (contd.)
7. E-Policies
General Principles
User Responsibilities
Access to Information Technology Resources
Abuse of Information Technology Resources
Unauthorized Use and Sanctions
Digital Millennium Copyright Act
Management Access to Technology
Resources
E-mail Policies
 Contents of HR
Policy (contd.)

Spyware Policy
Internet Usage Policy
Content Filtering
Internet Access and Administration
Making Company Purchases over the Internet
Virus Protection
Internet Security
Internet Miscellaneous
Disaster Recovery Policy
 End of Session

Thank You