13 Major Key Functions of Human Resources Management

Ayushi A

co-founder

| 5 min read

The functions of HR are critical function in any organization. It is responsible for attracting, hiring, and retaining employees. Additionally, human resources management is responsible for managing employee benefits, employee relations, and compliance with labor laws.

While the specific duties of human resources management vary from organization to organization, there are several key functions that are essential to all organizations. These key functions are discussed below.

Key Takeaways

  • Human resources management is responsible for attracting, hiring, and retaining employees.
  • Human resources management is also responsible for managing employee benefits, employee relations, and compliance with labor laws.
  • Some of the key functions of human resources management include attracting and recruiting employees, hiring and onboarding new employees, managing employee benefits, employee relations, and compliance with labor laws. 
  • Other key functions of human resources management include performance management, employee training and development, and compliance with employment laws. 
  • The human resources department plays a vital role in keeping an organization running smoothly.

1. Attracting and recruiting employees

One of the most important functions of human resources management is attracting and recruiting employees. This includes advertising open positions, screening applicants, and conducting interviews.

2. Hiring and onboarding new employees

One of the most important functions of the human resources department is hiring and onboarding new employees. The human resources team is responsible for identifying talent, conducting interviews, and extending a job offer to candidates. Once a new employee has been hired, the human resources team is also responsible for onboarding them and orienting them to the organization. This includes providing new employees with information about the organization’s culture, values, and policies. Check out the employee recruitment and selection.

3. Managing employee benefits

Another key function of human resources management is managing employee benefits. This includes administering health insurance, retirement plans, and other employee benefits. HR key points an employee compensation and benefits.

4. Employee relations

Human resources management is also responsible for managing employee relations. This includes handling employee complaints, mediating disputes, and investigating allegations of misconduct.

5. Compliance with labor laws

Finally, human resources management is responsible for ensuring compliance with labor laws. This includes keeping up to date on changes in labor laws and ensuring that the organization is in compliance with all applicable laws.

6. Performance management

 Another key function of the human resources department is performance management. The human resources team is responsible for setting performance standards and evaluating employee performance. This includes conducting performance reviews and providing feedback to employees.

7. Employee training and development

 Another key function of the human resources department is employee training and development. The human resources team is responsible for ensuring that employees have the skills and knowledge they need to do their jobs effectively. This includes providing training on new technologies and processes, as well as developing employee development plans.

8. Compliance with employment laws

Another key function of the human resources department is compliance with employment laws. The human resources team is responsible for ensuring that the organization complies with all federal, state, and local employment laws. This includes laws related to equal employment opportunity, wage and hour laws, and workplace safety. 

The human resources department plays a vital role in keeping an organization running smoothly. These are just a few of the key functions that the human resources team performs.

9. Safety and Health: 

Human resources managers work to ensure a safe and healthy work environment. They may develop and administer safety programs and investigate accidents.

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10. Rewards & Recognitions

Recognition & Rewards as a function of human resources is the agenda in organizations that understand the employee’s worth and wish to sustain good talent. Rewards & recognition are a way of making employees feel worthy of their work as appreciation serves as the best motivation. recognitions and Rewards can be monetary or non-monetary. A task or goal or performance is linked to rewards, and further evaluation and reward is usually the cycle.

Rewards could be a sponsored vacation, raise in salary, bonus, or performance-based pay. Recognitions could be a higher post, job security, growth opportunities, a good work environment, accolades, and offering credibility across the company. Rewards & Recognitions not only motivate employees but also helps to retain them.

11. Industrial Relations

Industrial Relations as an HR function is primarily practiced in manufacturing & production units. Unions rule industrial units with a motive that collectively speaks of the goodwill of the employees. A company in the production & manufacturing domain should have prevalent Industrial Relations practices and should continuously engage in talks with unions to maintain an amicable situation.

Industrial Relations aim towards continuous production process, reducing production time and resource wastage, reducing serious disputes including strikes and protests, better and safer working conditions, and meeting wage standards and expectations. Industrial Relations if handled sensitively can avoid lawsuits, protests, walkouts, and loss of production time and money.

Conclusion

Human resources management is a critical functions in any organization. It is responsible for attracting, hiring, and retaining employees. Additionally, human resources management is responsible for managing employee benefits, employee relations, and compliance with labor laws.  While the duties of human resources management vary from organization.

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