Employee Retention Policies & Strategies

There are two major difficulties facing human resources now a days. The first is joblessness rate which causes grossly under qualified people to apply to your company and the second is employee retention. For business owners, retaining your best employees may pose as a challenge.

Entrepreneurs know how competitive hiring is in the business sector and the fear of employees jumping the fence to join a competitor is more palpable now more than ever. It is hard to find good employees but it is even harder to promote company loyalty. Once you find top quality people to work for you, you have to ensure that you can keep them because retaining quality employees is one of the keys to ensure the growth of your business. 

Here are some tips of Retention:

1. Be a flexible and transparent employer. You have to realize the importance of having a work-life balance. You might be a workaholic who needs to work 24 hours a day, 7 days a week for you to be productive, leaving little time for your personal life. While that might work for you, you cannot expect the same from your employees. If needed, you have to let them take some time off for a well-deserved vacation or other situations which needs a little understanding on your part. Do not begrudge your best employees of the time they need for themselves. This would help solve unease and stress in the workplace.

2. Provide growth opportunities. The most common reason for employees leaving jobs they have had for the longest time is because of dissatisfaction when it comes to growth opportunities. Do not impede the growth of your employees just because they’re already doing a great job where they are. You need to implement seminars and conferences which would promote self-development. You also need to constantly give challenges to your employees by way of giving them new responsibilities every now and then. This would help your employees acquire new skill sets, make them feel good about themselves and eliminate boredom and monotony in the workplace.

3. Give compensation where it is due. Not all employees are all about the money. You have to be fair in giving out compensation but you also need to ensure that you are within your budget. If your employee deserves a raise because of their performance and you can see that you are well within budget even after you’ve given the raise, then do so. Giving your employees fair pay makes them feel that their contributions to the company are being appreciated which in turn would make them more committed to the company.

4. Enforce an open desk policy. You need to make your employees feel that what they have to say is important because it really is. Whether they need to air a grudge or would offer you some suggestions for the betterment of the company, you need to hear them out. Some of the best ideas come from employees themselves since they are already familiar with the ropes of the business.

Development of HR Policy, Procedures & Processes

The Human Resource Manual is developed to enable managers and supervisors to fulfill their human resources responsibilities effectively, by providing parameters and guidance for decision-making, as well as providing all staff with user-friendly and accessible information.

HR Manual covers a range of different areas including policies regarding agreements with staff, policies defining recruitment and selection procedures, regulations laid down defining conditions of employment, remuneration and recognition policies and all legal and ethical responsibilities.

Our clients are facilitated in determining their needs in this regard and to formulate and compile prescribed policy and procedures adapted to their specific needs. During this interaction, we draw upon our experience of HR practices, as observed in different operating environments and industries. Clients are also assisted in the effective implementation of prescribed policies and procedural guidelines to ensure that intended objectives are achieved.

HR Mentors formulate and execute the contemporary HR Policies & Procedures in comparison with Labour Laws and best market practices. Modification to existing Policies and to ensure that HR initiatives are innovative and cost effective. For example:

Recruitment Policy

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Insurance Policy

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Salary Administration Policy

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Grievance Handling Policy

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Training & Development Policy

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Resignation & Termination Policy

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Performance Appraisal Policy

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Code of Conduct

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Transfer Policy

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Staff Benefits & Compensation Policy

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Travel Policy

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Medical Policy

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Overtime Policy

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Gratuity / Provident Fund Policy

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Attendance & Leave Policy

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Others

This service also includes: Drafting of HR related correspondence: Letter of Appointments (Permanent, Contractual, Temporary), Demotions, Suspension, Charge Sheet, Show Cause Notice, Warnings, Dismissals, Full and Final Settlement, Termination, Enquiry Letters, Grievance Reply, etc. in alignment with the corporate HR Policies and Labour Laws .

HR Mentors train, support and advice department Managers in the operation of HR Policies & Procedures and applicable Labour Laws.

What is Selection ?

Selection refers once the recruiting effort has developed a pool of candidates; the next step of the HRM process is to determine who is best qualified for the job. This step is called the selection process, the process of screening job applicants to ensure that the most appropriated candidates are hired. It seeks to predict which applicants will be successful if hired. Successful in this case means performing well on the criteria the organization uses to evaluate employees. In filling a reporters position, for example, the selection process should be predict which applicants will provide a high volume of news in minimum possible time, for a position as a network administrator, it should predict which applicants will be able to effectively oversee and manage the organization’s computer network.

Following a thorough selection process enables you to base a decision on substantial data rather than on intuition alone. You need to determine the selection strategy, or process you will use. You have a variety of tools to select from:

·         Application form

·         Written test

·         Interview

·         Performance Simulation Test

·         Background Investigation.

·         Physical Examination.

To conduct each one is not an easy task, its time consuming and take very much efforts and resources.

What is Recruitment ?

Recruitment refers to the process of finding right people for the right job or function, usually undertaken by recruiters. It also may be undertaken by an employment agency or a member of staff at the business or organization looking for recruits. Advertising is commonly part of the recruiting process, and can occur through several means: through online, newspapers, using newspaper dedicated to job advertisement, through professional publication, using advertisements placed in windows, through a job centre, through campus graduate recruitment programs, etc.

Suitability for a job is typically assessed by looking for skills, e.g. communication skills, typing skills, computer skills. Evidence for skills required for a job may be provided in the form of qualifications (educational or professional), experience in a job requiring the relevant skills or the testimony of references. A candidate may also be assessed on the basis of an interview. Sometimes candidates will be requested to provide a resume (also known as a CV) or to complete a Job application form to provide this evidence. In some countries, such as the United States, Pakistan it is legally mandated to provide  equal opportunity in hiring.

In order to know the business environment in which any organization operates, three major trends should be considered:

·     Demographics – the characteristics of a population/workforce, for example, age, gender or social class. This type of trend may have an effect in relation to pension offerings, insurance packages etc.

·     Diversity - the variation within the population/workplace. Changes in society now mean that a larger proportion of organizations are made up of female employees in comparison to thirty years ago. Also over recent years organizations have become more culturally diverse and have increased the number of working patterns (part-time, casual, seasonal positions) to cope with the changes in both society and the global market. It is important to note here that an organization must consider the ethical and legal implications of their decisions in relation to the HRM policies they enact to protect employees. Employers have to be acutely aware of the rise in discrimination & unfair dismissal cases in recent years and the detrimental effects this can have on the employees and the organization. Anti-discrimination legislation over the past 30 years has provided a foundation for an increasing interest in diversity at work which is “about creating a working culture that seeks, respects and values difference.”   

                                                           

-     Skills and qualifications – as industries move from manual to more managerial professions so does the need for more highly skilled graduates. If the market is ‘tight’ i.e. not enough staff for the jobs, employers will have to compete for employees by offering financial rewards, community investment etc.also the political issues.

Recruitment methods are wide and varied, it is important that the job is described correctly and any personal specifications stated. Job recruitment methods can be through job centers, employment agencies/consultants, headhunting, and local/national newspapers. It is important that the correct media is chosen to ensure an appropriate response to the advertised post.

Thus Recruitment is the process of identifying and attracting potential candidates from within and outside an organization to begin evaluating them for future employment. Once candidates are identified, an organization can begin the selection process. This includes collecting, measuring, and evaluating information about candidates’ qualifications for specified positions. Organizations use these processes to increase the likelihood of hiring individuals who possess the right skills and abilities to be successful at their jobs.

Types of HR Policies

The human resource (HR) department of a company is charged with the task of identifying policies for employees to adhere to. HR policies are developed so there is a standard and universal way of doing things at the office. Whether a protocol is about dress codes or harassment, having policies in place lets companies maintain professionalism and provides employees with resources on the inner workings of the organization.

Zero Tolerance Policy for Harassment

There are many different kinds of harassment from sexual innuendos to religious discrimination; however, all forms of harassment present an element of risk in the office, so businesses institute HR policies for maintaining a zero tolerance of harassment in the workplace. HR policies on harassment encourage employees to report incidents immediately, so the issues can be addressed and resolved timely by the HR department. The U.S. Equal Employment Opportunity Commission states that employees should not feel threatened or harassed in the workplace. Because harassment is considered a safety issue, HR policies on harassment will most likely contain language about the repercussions involved in being found guilty of harassing others at the office. Zero tolerance policies for harassment are put into place to protect employees and to maintain a safe and comfortable work environment.

Dress Code

Policies on dress codes are common in the HR world because, according to Harvard Business School, the way people dress can have a direct impact on how professional they appear and how successful they are at what they do. HR dress code policies have different standards depending on the company. For instance, dress code policies for construction workers are different than dress code policies for people who work at a bank. Office environments typically require employees to wear business formal or business casual attire. This includes slacks and dress shirts for the guys and skirts, dresses, slacks or blouses for the ladies. HR dress code policies will list attire that is not suitable for the workplace, such as jeans with holes, shirts that have fowl language written on them, strapless tops and flip flops. 

Common Sense Tips for Drafting and Enforcing Your Dress Code

Here are some ideas for ensuring that your policy complies with the legal restrictions described above:

1. Base the policy on business-related reasons. Explain your reasons in the policy so employees understand the rationale behind the restrictions. Common business-related reasons include maintaining the organization’s public image, promoting a productive work environment, or complying with health and safety standards.

2. Require employees to have an appropriate, well-groomed appearance. Even casual dress policies should specify what clothing is inappropriate (such as sweatsuits, shorts, and jeans) and any special requirements for employees who deal with the public.

3. Communicate the policy. Use employee handbooks or memos to alert employees to the new policy, any revisions, and the penalties for noncompliance. In addition, explain the policy to job candidates.

4. Apply the dress code policy uniformly to all employees. This can prevent claims that the policy adversely affects women or minorities. However, you may have to make exceptions if required by law. (See next suggestion.)

5. Make reasonable accommodation when the situation requires an exception. Be prepared to accommodate requests for religious practices and disabilities, such as head coverings and facial hair.

6. Apply consistent discipline for dress code violations. When disciplining violators, point out why their attire does not comply with the code and what they can do to comply.

Drug-Free Work Environment 

According to the U.S. Department of Labor, employers must maintain a drug-free work environment. The Virginia Department of Human Resource Management explains that the use or possession of drugs and alcohol at work can have a negative impact on the work environment. For instance, mood altering substances can cause workplace conflicts amongst employees, prevent employees from performing at an optimal level, decrease productivity and create a health and safety risk for the whole environment. For this reason, human resource departments issue policies about maintaining a drug-free work environment. These policies will explain the consequences for being found under the influence of substances or having substances in an employee's possession while at work.

What are Policies

What is a Policy? A policy is a predetermined course of action established as a guide toward accepted objectives and strategies of the organization. A vision is formulated, business processes are analyzed, and policy and procedure systems to support the vision are born. As policies and procedures are written, approved, published, and implemented, the company’s vision is articulated. 

 

Objectives :

Objectives 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 

Why Develop a Policy Manual:

Policy manuals are developed to help staff and management teams run the organization. In best use situations, policies play a strategic role in an organization. They are developed in light of the mission and objectives of the company and they become the media by which management’s plans, rules, intents, and business processes become documented and communicated to all staff. Carefully drafted and standardized policies and procedures save the company countless hours of management time. The consistent use and interpretation of such policies, in an evenhanded and fair manner, reduces management's concern about legal issues becoming legal problems. 

 

Mission and Policy :

Without policies boundaries and baselines related to the company’s missions and objectives would not exist. When developing your policies, you should start with your mission and objectives. A mission statement should be a clear statement about who your company is trying to serve. It should be a cultural reflection of the values, beliefs, and philosophy of the organization. It should be very brief and very clear so that everyone in the organization can understand it and so that objectives are seen clearly as steps to achieving the mission. Objectives are like goals; they direct the staff’s attention to important factors in running the organization and help define unique ways to enhance performance of individuals and the organization as a whole. 

Various Types of Policies :

Various Types of Policies Employment Policies These are the policies that guide hiring practices, orientation of new employees, compliance with employment laws, and confidentiality. Employment Status & Records These are the policies that define such issues as employment classifications, access to personnel files and guidance on how background checks and performance reviews are to be performed. Employee Benefits These are policies that explain employee benefits such as insurance, vacations, holidays, leave, and employee reimbursements. Payroll These are policies that are related to salary and wage administration including deductions, pay advances, and time keeping.

Workplace Guidelines These policies are quite varied and their purpose range from defining certain work arrangements such as flex time and telecommuting to offering guidelines on the use of company assets and record retention. Employee Conduct These policies are guidelines that control employer behavior and conduct on the job. The mainstay of this section is a code of conduct but also important are policies regarding substance abuse, smoking, harassment, and workplace violence. E-Policies These policies guide staff in the use of the organization’s information technology. Policies defining acceptable and prohibited activities and use of e-mail and the Internet make up a majority of these policies.

 

 

Definition of Human Resource Policies

Policies are guidelines, and HR policies are the formal rules and guidelines that businesses put in place to hire, train, assess, and reward the members of their workforce. These policies, when organized and disseminated in an easily used form, can serve to preempt many misunderstandings between employees and employers about their rights and obligations in the business place. It is tempting, as a new small business owner, to focus on the concerns of the business at hand, and put off the task of writing up a human resource policy. All business analysts and employment lawyers will advise a new business owner to get a policy down on paper, even if it is a simple one drafted from a boilerplate model. Having policies written is important so that it is clear to all what the policies are and that they are applied consistently and fairly across the organization. Moreover, when issues concerning employee rights and company policies come before federal and state courts, it is standard practice to assume that the company's human resource policies, whether written or verbal, are a part of an employment contract between the employee and the company. Without clearly written policies, the company is at a disadvantage.

It is important to establish a standardized way of doing things in a workplace. HR, or human resource, policies make it possible for employers to set ground rules for employee behaviors, ethics and professionalism so that there is consistency in the workplace.

Behavioral Policies

1. According to the University of Western Australia, HR behavioral policies establish what types of behaviors are appropriate, and what types are unacceptable. Behavioral policies are sometimes referred to as a code of conduct.

Ethical Policies

2. Ethical policies are not only good for keeping employees in line, they also benefit the company because outside parties may be interested in what the company's ethical stances are. Stakeholders and investors, for instance, may want to look at HR's ethical policies to see what policies are in place for confidentiality, disclosures, personal affairs, conflicts of interest and political activities, says the International Money Fund.

Professionalism Policies

3. HR policies touch on standards for professionalism. For example, dress codes are policies that establish the expectation for professional attire in the workplace. Other types of professional HR policies include policies about employee relationship and performing work in a way that gives the company a positive public image.

Small business owners should make sure that they address the following basic human resource issues when putting together their personnel policies:

• Equal Employment Opportunity policies
• Employee classifications
• Workdays, paydays, and pay advances
• Overtime compensation
• Meal periods and break periods
• Payroll deductions
• Vacation policies
• Holidays
• Sick days and personal leave.
• Performance evaluations and salary increases
• Termination policies