Monday, January 12, 2015

Legal Aspects of the Human Resources Management By Companies.

Human resource management is going through an immense modification that will transform career paths in as-yet uncertain ways. Employers are placing greater emphasis on business expertise and are upgrading their administrative functions, which will have impact on HR professionals to show new skills and compete for new, sometimes unfamiliar roles. Moreover, the field of human resources management is very much influenced and shaped by the state and federal laws governing employment issues. In fact, regulations and laws govern all aspects of human resource management—recruitment, placement, development, and compensation.
Human Resource Management is a highly dynamic field that has advanced from its early days when it was simply personnel management. Today more than ever, it is affected by a huge number of forces from demographic shift through to legislative amendments and technological innovation.
The difficult talk of a human resources manager may be the interview a potential employee. Human Resources department put its best efforts and organizes its employees and staff for a better productivity.  Most of the Human resources may be called in to interpret aspects of an employment contract and in charge of terminating employees.
Here are some of the clauses that need to be present in an employment contract of any company while hiring a new employee-
  • Specified date of joining
  • Specific post assigned to the employee
  • Total amount of compensation that the employee is eligible for each month.
  • The tax regulations to which the employee will be subject to
  • Other benefits that may be enjoyed by the employee, including number of paid leaves permitted throughout the year, etc.
  • Agreement of confidentiality of the company’s information
  • A clause of “non-conflict” which specifies that the employee shall not act in conflict with those terms and agreements.
  • An indemnity clause against any suit for damages or penalties , etc. to which the company or firm are subject to, arising out of breach of any agreement to which the employee was a party.
  • Terms regarding disclosure and exclusivity of information.
  • Term of employment of that employee after which his term shall be reviewed based on his/her performance and the causes that may lead to premature termination of the employee.
  • Non-solicitation of clients belonging to the company.
  • Terms relating to the intellectual property of the company.

The major issue faced by human resource professionals is that in spite of better facilities employees generally fail to give their optimum performance at work. A solution to this problem can be proposed by improving inter-departmental coordination, appreciation of efforts by each employee and increasingly optimized result inducing work environment for each employee.
There are various issues which commonly experienced by employers consist of establishing productivity, employees recruitment, arrangement of training, and prevention of discrimination. Staffs in personnel management also face challenges such as resolving disputes and keeping workers safe. Establishing and distributing benefits, encouraging and maintaining diversity, and handling outsourcing are major concerns as well. How each business deals with its specific human resources issues depends on the HR manager or director as well as company policy. No matter what approach a business takes, addressing these issues usually is an ongoing process.
In the current global work environment, most companies focus on lowering employee turnover and retaining the talent and knowledge held by their workforce. New hiring not only requires a high cost but also increases the risk of the newcomer not being able to replace the person who was working in that position before. The main goal of the human resource department of any company is to avoid conflict with their employees based on industrial disputes or disciplinary matters, severance packages, harassment or discrimination at work, etc. while achieving long-term commercial goals so as to ensure that the best course is followed be it in a crisis or when dealing with forward planning and strategy of the company.


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