Examples of HR Policy Areas in an Organization

Human resources (HR) departments manage a range of issues related to employees and their relationships with their employers. Small business human resource departments may consist of as little as a single individual or a small team, and many small businesses do not employ a human resources department at all.

Recruiting and Hiring

One of HR's first duties is to find and hire new employees, based on specific policies put in place to ensure a fair and effective hiring process. Human resources departments are responsible for placing job postings in the marketplace, scheduling interviews, conducting interviews alongside supervisors and working with supervisors to select ideal applicants and extend job offers. Human resources managers maintain records of all the resumes and job applications they receive for a number of years. This can help to prove a company's compliance with equal employment opportunity laws in the case of an audit.

Employee Development

The HR department puts policies in place to run effective employee development programs. Employee development initiatives include things like training programs for new hires and existing employees, annual performance reviews and college tuition reimbursement. It is the role of every manager to contribute to the professional development of the employees they supervise, but HR specialists are often more experienced in the specific techniques and nuances of inspiring employees to learn and grow. The human resources department is responsible for working with supervising managers to develop relevant training curriculum. It is also tasked with putting policies in place regarding the length and frequency of training programs and any incentive systems tied to employee development initiatives.


Compensation policies are often set in the HR department, with a good deal of input from company owners. Human resources policies determine how pay is apportioned and determined for individual employees. Specific companies may put formal pay ranges in place for specific job titles, for example, or may decide to tie compensation directly to individual performance. The HR department is also tasked with developing comprehensive employee benefits packages that provide health insurance, retirement savings and other perks to attract and retain employees. Employee benefits is one area of HR policy that rarely involves supervising managers, and can be handled entirely within the HR department. Benefit policies can give small businesses a major competitive edge in attracting the top talent in the industry.

Workplace Challenges

It would be nice if all employees acted professionally and courteously at all times, but this is not the case in the real world. In addition to the routine responsibilities mentioned above, HR departments are often called upon to deal with negative issues in the workplace, such as personal conflicts among employees, individual behavior issues and firing employees, should that become necessary. Human resource departments help to shape disciplinary and firing policies to ensure that all firings are handled fairly, consistently and professionally.

Discrimination Issues

Human resources managers put equal employment opportunity policies in place to garner a reputation as a fair employer while keeping the company out of legal trouble. Policies must be put in place to manage issues of discrimination in hiring, firing and the terms of employment, in addition to maintaining a non-threatening work environment and ensuring equal access for disabled employees and job applicants.