The second aim is to make sure that staff members are content with their workplace environment, along with the benefits and salary they get.

The individuals who comprise a firm’s labor force are regarded as a business asset, similar to the way that material and financial resources (like machinery, buildings and other tools) are valued. Firms have a greater likelihood of success, if they manage all their resources effectively, especially their people. This is the reason that firms set up HR departments, despite the fact that these departments do not add directly to the firms’ services, production, revenue or sales. Instead, well run HR departments enable staff members to perform at their optimum level. In turn, this facilitates business success.

HR managers will often compile and maintain a handbook about company staff members. This handbook will be used to ensure that every appropriate rule and guideline adheres to national, local and regional regulations that relate to employee status. Furthermore, HR managers will give every staff member a detailed overview of the handbook provisions. This will be done on an ongoing basis for existing members of staff, and it will be included in the training for new employees as well.

The HR management team usually writes the job descriptions for every employment role within the firm. Also, it typically sets the processes and standards to be adopted for employing new workers, and deciding which benefits should be offered to current workers. Disciplinary processes, along with methods for rewarding staff for exceptional performance, fall within the remit of HR management too. The HR team frequently tries to offer the best possible benefit packages, based on the firm’s present financial circumstances.

The HR department is also involved whenever a member of staff departs the firm, for whatever reason. In the event that a staff member is sacked, or relieved of their position against their will, specific tasks have to be carried out by the HR team, to ensure legal compliance. Sometimes, severance pay has to be awarded or discussed, and outstanding payments for holiday time and other time off has to be arranged. An HR manager may also have to receive company equipment and keys from the staff member, and see to it that he/she can not access the firm’s resources, such as computer networks, anymore.