According to a Skynova survey of 600 full-time employees with staffing responsibilities, 71% think poaching employees is simply part of doing business. The same percentage also see it as an important hiring strategy.

As an HR professional, you’d benefit from familiarizing yourself with employee poaching — from its definition, legality, and ethics to its different causes and effects.

Contents
What is employee poaching?
Is poaching employees illegal or unethical?
10 employee poaching strategies to retain your talent
How to deal with employee poaching
Tips on how to poach employees ethically
FAQ

What is employee poaching?

Employee poaching refers to the legal practice of an employer approaching an employee of a competing company to try to get them to join their company instead. HR, recruiters, hiring managers, and even employees can be involved in this practice. To sway and entice potential employees, the poaching party may offer higher pay, better benefits, more career advancement opportunities, or anything else the poaching target might want. 

While employee poaching is more common in industries where it’s challenging to find talent — such as tech and customer service — it certainly isn’t limited to those sectors. Any company can and will, from time to time, engage in talent poaching.

Poaching employees is also not limited to external employees. Internal employee poaching works the same way but involves approaching existing personnel at your own organization to convince them to fill a different role within the same company.

Whether internal employee poaching is acceptable depends on the organization. To avoid conflict and maintain a healthy work environment, establish and follow a specific set of rules regarding internal poaching (e.g., always speak to an employee’s manager before approaching the employee themselves).

HR tip

Create a policy on internal poaching and communicate this with the managers in your organization. Emphasize the importance of everyone playing by the rules and encourage people to speak up when something bothers them or they notice anyone not playing by the rules.

Why does employee poaching happen & what is its impact?

Talent poaching often has several causes and has significant effects on both the originating and receiving organizations. Below are some common causes and effects of employee poaching.

Causes:

• Strong market demand for skilled workers amid a weak supply
• Economic factors, such as wage differences between competing companies
• Employee referrals — while not every referral involves an existing employee at another company, some do
• Technological advancements — developments in sourcing and recruiting make it easier for recruiters and hiring managers to scout for and engage with new talent
• Employee disengagement — disengaged employees are usually more open to being poached than those who are content with their jobs and employers.

Effects:

• Loss of knowledge, which happens almost every time an employee leaves a company
• Market dynamics may change, especially if companies poach high-profile personnel
• Potential legal implications — if the poached employee has a non-compete clause or a no-poaching agreement in their existing contract, there may be legal consequences for them and the company poaching them
• Financial implications — for instance, if a small to medium-sized company loses its top-performing salesperson, the business may suffer significant financial loss
• Risk of spreading insider information — when a competitor successfully poaches an employee, the risk of that employee revealing their former employer’s company secrets to their current organization arises.

While these effects are largely negative, as they affect companies whose employees are poached, it’s important to remember there are two sides to these effects. The companies responsible for the poaching will reap the benefits of the same effects, such as gaining knowledge and a competitive edge or improving their financial situation.

Is poaching employees illegal or unethical?

The ethics of employee poaching are debatable and often depend on the circumstances and how an organization goes about it. It also depends on whom you ask, though the vast majority of hiring professionals see it as par for the course. However, a manager who loses their top-performing customer service staff to poaching, for instance, would probably feel very differently about it.

Poaching employees is not illegal in most countries, meaning there is no specific law against it in the U.S. or elsewhere.

“In my opinion, as long as you don’t overdo it, ethical poaching is a smart, strategic recruitment practice, especially when conducted thoughtfully and respectfully. Employees at your competitors not only bring valuable industry knowledge but possess the skills that make them the complete package.”

Chloë de Jonge, People Ops & Office Specialist at AIHR

Can you be sued for poaching employees?

While employee poaching is not illegal, it can have legal implications. These implications are most likely to arise if an organization poaches an employee from a competitor with whom the employee had signed a non-solicitation agreement but ended up breaking it.

A non-solicitation agreement, usually between an employer and employee, prohibits the employee from maintaining professional contact with the employer’s clients and customers upon leaving the company.

However, you should also note that some companies’ actions to prevent employee poaching, namely non-compete clauses and no-poaching agreements, have recently become illegal in the U.S.

Many employers include a non-compete clause in employment contracts to prevent employees from joining competitors for a specified period of time after leaving the company. A no-poaching agreement, on the other hand, is an agreement between competing companies not to poach each other’s employees.

In the U.S., the Department of Justice (DOJ) and Federal Trade Commission (FTC) have taken a strong stance recently and have filed charges against several companies that have made such agreements. In the EU, the European Commission issued a policy brief in May 2024, stating that it is likely to view wage-fixing and no-poach agreements as having an anti-competitive effect.

The FTC also issued a final rule banning non-competes nationwide in April 2024. The move was made to help “promote competition, protecting the freedom of workers to change jobs, increasing innovation, and fostering new business formation.” The FTC expects this nationwide ban to result in, among other things, over 8,500 new businesses a year and higher earnings for employees.

How to deal with employee poaching: 10 HR strategies

Poaching employees is an undeniable aspect of recruiting. In fact, 74% of hiring professionals admit to having poached employees, with 66% considering effective poaching a competitive advantage.

However, as an HR professional, you can still take steps to lower your organization’s chances of losing its employees to poaching. 

Consider the following strategies:

1. Address employee needs

Happy employees are less likely to want to leave the company. Understand employees’ concerns and needs through regular pulse surveys, conversations with their managers, or stay interviews. Then, address these needs and concerns as quickly and effectively as possible.

2. Offer competitive compensation

According to a study by the Pew Research Center, the top reason people leave their jobs is low pay. Poor benefits also rank high on the list. Offer employees a competitive compensation package to increase the likelihood of them staying.

3. Provide career development opportunities

The same study revealed that a lack of advancement opportunities is the second-biggest reason employees resign. Consider implementing a career progression framework to give employees a visible career path and growth opportunities. This will help motivate them and strengthen their long-term commitment to the company.

4. Include a non-compete clause in employment contracts (outside of the US)

This is a more direct way to avoid employee poaching. A non-compete clause usually states that the employee cannot work for a competitor for a certain period (often a couple of months) after resigning from the company. 

In reality, however, it often just postpones employee poaching instead of totally avoiding it. Recruiters still successfully poach employees who have signed such contracts — they then resign and go on garden leave at their employer’s instruction.

As mentioned above, the U.S. has banned non-competes, but they are still quite common in certain roles in the rest of the world. In Europe, for instance, they are deemed legally binding as long as their limitations are reasonable in terms of the geographical area and the time period during which the poached employee cannot work for a competitor.  

5. Consider making a counteroffer

If a competitor poaches one of the organization’s top performers, you can consider making a counteroffer to get them to stay. This isn’t ideal for two main reasons: the employee’s co-workers may perceive it as unfair, and the company should have prevented the circumstances that caused the employee to want to leave. Still, in reality, many companies make counteroffers to retain top talent, and it sometimes works.

6. Have employees sign a non-solicitation agreement

This is a more indirect way to avoid employee poaching and is mainly used for salespeople. A non-solicitation agreement prevents employees from contacting their former employer’s clients. This means they must build their client base from scratch if they resign, which can discourage them from leaving their current employer.  

Non-solicitation agreements are enforceable as long as they are reasonable, though what is considered reasonable may vary from one jurisdiction to another. An organization may want to engage an experienced attorney to determine what is and isn’t reasonable before proceeding.

7. Develop an incentive plan

A well-designed employee incentive program can boost retention and engagement, thus reducing the chances of talent poaching. Use these employee incentive ideas to help you implement a comprehensive, successful employee incentive program.

8. Foster transparency and regular communication

When managers are transparent and regularly communicate with employees, they’re more likely to thrive in their current company. They’re also more likely to tell their managers if any competitor tries to poach them.

9. Increase employee autonomy

Autonomy in the workplace increases employee engagement and motivation, in turn lowering turnover rates. Employees who have the autonomy to decide when, where, and how they want to do their work—to the extent that doing so is possible—are less likely to seek employment elsewhere.

10. Emphasize employee recognition

A study by Gallup and Workhuman found that companies that doubled their employee recognition efforts saw a 22% decrease in absenteeism rates. Creating an effective employee recognition program can help you minimize turnover rates and maximize retention rates.

Tips on how to deal with employee poaching 

Despite your best efforts to retain employees, your organization is likely to experience employee poaching at some point. Here’s how you can deal with it:

Thank and congratulate outgoing employees

It’s important to be gracious towards employees who tender their resignation so they leave on a positive note. Congratulate them on their new job and thank them for their contributions to the company.

Give them a great offboarding

Offboarding presents a great opportunity to ensure employees remain on amicable terms with the organization. These employees are more likely to compliment the company and even return in the future. Check out our offboarding checklist to help you polish your offboarding process.

Determine why they are leaving

The exit interview is an integral part of the offboarding process. It enlightens employers on why an employee has decided to leave the company. It also informs them about the employee’s experiences during their tenure, giving them an opportunity to learn more and minimize the chances of poaching in the future.  

Stay in touch

Ask leaving employees if they want to stay in touch. If so, add them to the company’s alum page on LinkedIn, include them in your talent pool, and add them to the alumni mailing list. This way, they will be updated on the latest news and developments within the organization.

How to poach employees ethically

As the stats reveal, recruiters do use poaching employees as a strategy to attract top talent to organizations, particularly when it comes to highly specialized roles. If your talent acquisition team uses this strategy, consider how you can do it ethically without burning any bridges. 

Here are some steps you can take to poach employees ethically: 

1. Identify the right talent: Examine potential candidates’ online presence, such as LinkedIn profiles and industry-specific forums. Use advanced search filters to narrow down your options and compile a list of potential candidates. Attend networking events and industry conferences. These events can help you connect with professionals and observe how they engage with others in their field. Personal recommendations from current employees can also be a gold mine for identifying top talent.
2. Initiate contact: Proceed with caution and respect. Begin by reaching out through professional platforms such as LinkedIn or industry-specific forums. Personalize your message to show genuine interest in their skills and experience. Avoid spamming candidates with generic messages, as this can damage your credibility.
3. Respect the employee-employer relationship: Ensure your communication with potential candidates is discreet and confidential. Avoid pressuring them to make hasty decisions or disclose sensitive information about their current employer.
4. Understand their career aspirations: Encourage open and honest discussions about their career goals and aspirations. Show empathy and understanding for their current commitments, and emphasize that your primary goal is to support their professional growth. By maintaining this respect, you build trust and credibility with each candidate and their current employer.
5. Offer clarity during the recruitment process: Begin with a thorough and transparent interview process. Clearly explain the steps involved, from initial screening to final decision-making. Provide each candidate with a realistic timeline and keep them informed throughout the process. Avoid making false promises or exaggerating the role’s benefits. Be honest about the challenges and opportunities that come with the position. 
6. Prepare a compelling offer: Your offer should go beyond just salary; consider the overall value proposition. Highlight opportunities for growth, work-life balance, company culture, and any unique benefits your company offers. Provide examples of how current employees have thrived within your organization to make your offer more enticing.
7. Be transparent: Transparency is key when presenting your offer. Clearly outline compensation packages, job responsibilities, and growth opportunities. Be prepared to answer any questions candidates may have to build trust and demonstrate your company’s commitment to their professional development.

“When considering poaching, never approach multiple members of the same team simultaneously. Colleagues talk, and discovering that multiple team members are being targeted can lead to a loss of credibility and potential reputational damage. Instead, focus on individuals who are the best fit for your organization.

Chloë de Jonge, People Ops & Office Specialist at AIHR

HR tip

Be the best employer you can be so your employees won’t want to switch to competitors.

To sum up

While you cannot avoid employee poaching entirely — whether your company’s employees are the targets or your company is the one poaching competitors’ employees — you can prepare yourself for this eventuality in order to handle it as well as possible. From being attuned to employee needs to setting contractual obligations against talent poaching, you can minimize the potential negative impacts of poaching on your organization and its workforce.

FAQ

The post What Is Poaching Employees? The Legalities & How To Deal With Employee Poaching appeared first on AIHR.

This article will look at various employee onboarding statistics, uncovering trends, challenges, and opportunities in onboarding. 

Contents
The current state of employee onboarding
Preboarding statistics
Employee onboarding duration and timeline
The costs of employee onboarding
Employee onboarding impact on talent retention
Employee onboarding in a remote setting
The future of employee onboarding

The current state of employee onboarding

Employee onboarding is a crucial stage of a new hire’s journey with the company and lays the foundation for the employee-employer relationship. When done well, onboarding positively impacts performance, job satisfaction, and retention. 

1. 34% of employees have not witnessed any onboarding program at their organization. (Talmundo)

Contrary to what most may believe, many employees today still lack proper onboarding when joining a new organization.

2. Only 29% of employees say they feel fully prepared for their new role and ready to excel after their onboarding. (Gallup)

This indicates that many organizations fail to achieve one of the two main onboarding goals: Getting new hires fully operational and ready to succeed in their role.  

3. 81% of new hires report feeling overwhelmed with information during the onboarding process (Glean). 

This issue originates from the extensive use of digital tools—81% of new hires state their organizations employ at least six apps or digital tools, while 33% use eleven or more. This results in information being dispersed across several locations, with 42% of newcomers agreeing that this non-uniform approach is problematic.

Inadequate leadership or mentorship further complicates the situation, leading to 38% of new hires feeling uncertain about where to find help or answers.

4. Employees with an exceptional onboarding experience are 2.6 times more likely to be satisfied at work. (Gallup)

The same survey revealed that only 12% of newly hired employees believe their organization provides a strong onboarding experience. This presents a huge opportunity, as employees who benefit from comprehensive onboarding are 2.6 times more likely to feel satisfied with their jobs.

5. 89% of employees report being engaged at work following an effective onboarding experience. (Bamboo HR)

According to a survey compiled by BambooHR, 89% of employees reported that an effective onboarding process significantly boosted their engagement at work. Additionally, these employees are 30 times more likely to experience high job satisfaction compared to those who found their onboarding process inadequate.

Preboarding statistics

Preboarding refers to the period between the moment when a candidate signs the employment contract and their first day on the job. An effective preboarding process keeps new hires engaged and excited to start and sets companies up for successful onboarding.   

6. A strong preboarding process can increase new hire retention by up to 82% while minimizing the number of non-starters. (Talmundo). 

Preboarding aims to achieve two main objectives: Keeping new hires engaged and providing them with essential information to prepare for their first day. This information may include practical details, administrative procedures, and a 30-60-90-day plan.

7. Best-in-class companies are 35% more likely to begin the onboarding process before day one than all other companies combined (69% vs 45%). (Aberdeen) 

Successful companies understand that it is important to show new hires that their engagement with the company is top of mind.

8. 67% of companies complain about more than a 10% drop-off rate pre joining. (Leena AI) 

Sometimes, there is a considerable amount of time between the moment a candidate signs their employment contract and their first day. During that time, they may get second thoughts about their choice and, if another company comes along in the meantime, choose to work for an organization that does preboard their new employees. 

Employee onboarding duration and timeline

The exact duration of an onboarding process differs based on the organization and the role people are in. This means it’s difficult to define the ideal duration of an onboarding. We can, however, look at what employees think of the duration of their onboarding. 

9. 52% of onboarding processes last less than a month. (Talmundo)

This study divides the duration of onboarding processes into four categories, according to employees who started their jobs recently:

1. 1 week: 14%
2. 1 month: 38%
3. 3-6 months: 29%
4. >6 months: 19%

10. 48% of HR professionals believe onboarding should last at least three months. (Talmundo)

Interestingly, the same study shows that 52% of employees state onboarding lasted less than a month (see the statistic above). So, where does the difference between what HR perceives as an ideal onboarding duration and the actual length of the onboarding process stem from? 

11. 56% of employees say they need just one or two days to ease into their new role. (Bamboo HR)

According to BambooHR, 30% of people prefer a slower, more gradual onboarding before starting their new duties. This illustrates the difficulty of getting employee onboarding right; every person has their preferences, and while some may want a short onboarding, others may be happier with a more extended version. 

12. Younger generations are more likely to want to dive into work on day one. (Bamboo HR)

Generation Z employees show a distinct preference for starting their job duties immediately, with 22% eager to dive into work on day one. This contrasts with Millennials (15%), Gen X (13%), and Baby Boomers (12%), reflecting a generational trend towards a faster, more proactive approach to onboarding.

The costs of employee onboarding

Just as there is no one-size-fits-all answer to how long employee onboarding should take, there is also no fixed cost associated with onboarding new hires. It depends on factors such as the duration of the process, the tools used throughout that process, the role, regulations, and, of course, the available budget. 

13. In the U.S., onboarding costs for an average small to medium-sized business are between $600 and $1800 per new hire. (Leena AI) 

The average onboarding cost per employee varies depending on the company size, the industry, legal and other requirements, and more. 

14. Larger organizations in the U.S. can spend over $3000 per employee during their onboarding. (Leena AI)

Naturally, larger organizations tend to have larger budgets to onboard their new employees than their smaller counterparts. As such, they are more likely to spend more on employee onboarding.

Employee onboarding impact on talent retention & satisfaction

The onboarding period is a bit like a couple’s honeymoon. It lays the foundation for a happy, lasting relationship between the employee and their employer – or at least that’s what it should aim to do. 

15. 70% of new hires decide within the first month whether a job is the right fit. (Bamboo HR)

According to the same BambooHR survey, 29% of people decide this even in their first week. This stresses the importance of having a strong and effective onboarding process.  

16. People who did not have a positive onboarding experience are twice as likely to look for a new job shortly. (Digitate)

The onboarding period sets the tone for the employee-employer relationship. New hires think of their onboarding as a reflection of what their experience as an employee of the company will be.  

17. Organizations with a formal onboarding process have a 50% higher retention of new hires than those without. (Talmundo)

According to the same study, retention increases by 16% when certain onboarding tasks are automated so that new hires can have access when it suits them best.  

18. 64% of employees working for large companies are satisfied with their onboarding vs. 48% of employees in smaller companies. (Paychex)

The difference may be due to the fact that larger companies often have more budget and resources available to create a well-structured and partially automated onboarding process.  

19. Generationally, Gen Zers are the most likely to feel satisfied (62%) compared to just 43% of Gen Xers. (Paychex) 

While it’s interesting to understand the generational differences, practice caution when applying this view to an entire generation. Every individual is different, after all.

Employee onboarding in a remote setting 

Since 2020, hybrid and remote work has seen a massive surge. In the U.S., for example, a study by McKinsey found that 35% of employees could work from home full-time while 90% could work in a hybrid set-up.

Naturally, this rise in remote working requires an effective remote onboarding process. 

20. Among remote employees, 63% feel that their training during the onboarding process was inadequate. Additionally, 60% reported feeling disoriented after their most recent onboarding experience, and 36% found the process to be confusing. (Paychex)

The onboarding experience for remote employees often leaves them feeling undertrained, disoriented, and confused. This suggests organizations need to refine their remote onboarding procedures to ensure new hires feel well-prepared and integrated into their roles, thereby reducing potential turnover.

21. 37.4% of HR professionals consider remote onboarding the primary challenge when filling a job position. (Workable)

Remote and hybrid workforces offer numerous advantages, and forecasts indicate that remote work is likely to persist and even increase in popularity. A recent survey revealed that 37.4% of HR professionals identified onboarding as the number one concern when hiring remote employees for job positions.

The future of employee onboarding

What will the future of employee onboarding hold, and what will future employee onboarding statistics look like? As for the latter, one thing is sure: there still is a lot of room for improvement.

22. More than 50% of organizations have transitioned to online applications, virtual hiring, and virtual onboarding since the COVID-19 pandemic. (Leena AI)

Post-COVID-19, HR professionals adapted to virtual hiring and onboarding, with 54% of companies adopting virtual onboarding and 59% transitioning to online applications, moving traditional processes online.

23. Re-onboarding may become a common thing. (Paychex)

Re-onboarding is the concept of all employees going through a new introductory process, not just new hires. It can be a great way to check in with your people and boost engagement. Re-onboarding increases employee retention by 43%.  

24. HR practitioners see technology as the missing piece in their onboarding arsenal, with 68% planning on using it in the near future. (Talmundo)

When asked what’s currently missing in their organization’s onboarding, HR professionals said technology was the number one thing, followed by accurate measuring and management involvement.  

25. 92% of HR professionals are familiar with artificial intelligence (AI) automation in onboarding processes. (Leena AI)

It’s interesting to see this statistic, given that HR often indicates that technology is often missing from their company’s onboarding process. 

The question is, what do people mean by ‘being familiar’ with something? Does this indicate they’ve heard of it or that they are actually using it? It’s clear, however, that AI automation will play a significant role in onboarding processes in the future.

Key takeaways

• Employee onboarding is critical in a new hire’s decision to stay with or leave a company. 
• While everyone seems to agree on the importance of a well-structured onboarding process, most of the employee onboarding statistics mentioned show that we still have a long way to go before we reach that 100% satisfaction score.  

The post 25 Employee Onboarding Statistics & Trends You Must Know in 2024 appeared first on AIHR.

This article unpacks 93 HR terms, including a usage example for each. It’s a handy reference to refer to the next time you encounter an unfamiliar term.

Contents
Compensation & Benefits terms
Digital HR terms
Diversity, Equity, Inclusion & Belonging terms
HR Generalist terms
HR Metrics and People Analytics terms
Learning & Development terms
Organizational Development terms
Talent Acquisition & Recruitment terms
Talent Management terms

[HR]: Human Resources

The Shoulder to Cry On, the Welcoming Ambassador, the Strategic Navigator, the Growth Coach, and the Policy Pro. These are just a few of the many roles HR plays in organizational success. 

HR might not always be seen as the main character, but if you look behind the scenes, you will undoubtedly see and recognize HR’s business impact and contribution to the workplace. 

In order to effectively play all of these roles and more, HR practitioners need to stay on top of the latest developments in their field and keep fine-tuning and building their skill set. This can take many forms, from taking a course or certificate program like the ones we offer at AIHR to simply brushing up on their knowledge of (the latest) HR terms.

As for the latter, this article is a great place to start.

HR terms list

Compensation & Benefits terms

1. Broadbanding

Broadbanding combines several similar job categories into the same pay band. This gives organizations a wider range of payment options and creates space for lateral moves and horizontal career growth.

• HR term example: “Broadbanding offers flexibility in employee compensation and encourages people to develop new skills to move higher within the pay range.”

2. Compa ratio

Compa ratio, also known as a comparative ratio, is a metric that compares an individual’s or group’s salary to the midpoint of a defined salary range.

• HR term example: “The HR department analyzed the compa ratio to assess the fairness of our salary distributions.”

3. Compassionate leave 

Compassionate leave is a type of absence granted by the employer to give employees the time they need to deal with a personal or family emergency.

• HR term example: “Compassionate leave is not the same as bereavement leave. It can include personal health issues, emotional recovery, or challenges in the employee’s family life.”

4. Discretionary benefits

Discretionary benefits are benefits that employers choose to offer their employees, although they are not legally required to do so. Offering discretionary benefits aims to attract, retain, and engage people beyond the basic legal requirements.

• HR term example: “Examples of discretionary benefits include remote work options, employee discounts, employee wellness programs, educational assistance, and commuter benefits.”

5. Garden leave

Garden leave refers to a period during which an employee is paid to stay away from work, typically after resignation, to prevent them from starting a similar job or sharing sensitive company information.

• HR term example: “After he resigned as a derivatives trader in a large American investment bank, Jayden used his 2-month garden leave to travel and do a yoga teacher training.”

6. Internal equity

Internal equity refers to the fairness of pay and benefits within an organization, ensuring that compensation is consistent with the value of each role and employee contribution.

• HR term example: “The HR team reviewed salaries to address concerns regarding internal equity among departments.”

7. Paid time off

Paid time off (PTO) is the personal time employees take and spend while in employment while still getting paid for the days taken. PTO policies can be structured in many ways but typically combine vacation, sick, and personal days. 

• HR term example: “In France, employees get a minimum of 30 PTO days per year while most people in the US only get 15 paid-off days per year on average.”

8. Payroll audit

A payroll audit is an analysis of a company’s payroll data, documents, and processes to ensure accuracy. Most payroll audits are internal checks and, depending on the size of the organization and the extent of the audit, can take a few minutes to a few weeks.

• HR term example: “While the payroll department is responsible for running the payroll audits, HR still needs to be involved to ensure accuracy.”

9. Salary range penetration

Salary range penetration is a compensation metric that looks at an employee’s salary in relation to the entire pay band, not just the midpoint (like the compa ratio).

• HR term example: “Salary range penetration helps HR understand and manage pay differences in their organization.”  

10. Supplemental pay

Supplemental pay is pay that employees receive in addition to their regular base salary. It includes overtime pay, bonuses, sick leave payments, tips, commissions, and anything else paid in addition to someone’s regular earnings.    

• HR term example: “HR practitioners need to be aware of the key role supplemental pay can play in motivating employees.” 

Digital HR terms

11. Digital HR

Digital HR is a form of process optimization that is cloud-first, mobile-first, data-driven, and collaborative and that aims to make HR more effective, efficient, and connected.

• HR term example: “Digital HR aligns culture, talent, structure, and processes to create a balance between innovation and efficiency.”

12. Employee listening strategy

An employee listening strategy is an orchestrated effort to collect regular feedback from employees to understand their desires and needs and to identify and tackle potential issues proactively.  

• HR term example: “An effective employee listening strategy ideally involves a continuous conversation between managers and their team members.” 

13. HR automation

HR automation is a way of digitalizing, automating, and streamlining repetitive and laborious HR tasks using software.

• HR term example: “HR automation can free up time for HR practitioners to focus on more strategic work while improving efficiency and security.”

14. HR Chatbot

An HR chatbot is an AI-driven virtual assistant that handles various HR functions, such as offering support, answering basic questions, and performing simple tasks. 

• HR term example: “There are different types of HR Chatbots, including recruitment chatbots, onboarding chatbots, HR analytics chatbots, and (many) more.”

15. Human Resources Information System

A Human Resources Information System (HRIS) is a type of people management software that collects, manages, stores, and processes employee data.

• HR term example: “An HRIS helps organizations manage and automate key HR processes such as payroll, benefits administration, employee self-service, and more.” 

16. HR tech stack

An HR tech stack is a collection of strategically integrated software, platforms, and apps that improve and expand various HR functions.

• HR term example: “Common software categories of an HR tech stack include core HR solutions, recruiting technology, and software related to employee experience.”

17. Voice of the Employee

Voice of the Employee (VoE) refers to a structured process for detecting and assessing employee concerns or issues.

• HR term example: “Voice of the Employee forms the basis of an organization’s employee listening strategy. It gives employees the opportunity to share their opinions freely.”     

Diversity, Equity, Inclusion & Belonging terms

18. Adverse impact

Adverse impact, also known as disparate impact, in the workplace, refers to employment policies and practices that seem neutral but disproportionately negatively affect certain groups of people.

• HR term example: “Adverse impact can occur in, for example, hiring, promotion, learning and development, and performance appraisals.”

19. Affinity bias

Affinity bias is the unconscious human tendency to naturally like people with similar beliefs, backgrounds, and interests.   

• HR term example: “Affinity bias may look like a manager promoting someone on their team simply because they share the same passion for playing golf.”

20. Ageism

Ageism in the workplace refers to employee discrimination based on age. While older workers are more likely to have encountered ageism at work, it happens to younger employees, too. This is called reverse ageism.

• HR term example: “Examples of ageism in the workplace include marginalization, reduced training opportunities, (semi) forced retirement, and unequal pay.”

21. Disparate treatment

Disparate treatment is a form of intentional discrimination against certain groups of people in an organization.

• HR term example: “The difference between disparate treatment and disparate impact is that the former is intentional while the latter is neutral in its description but has a disproportionate impact on protected groups.”

22. Horn effect

 The horn effect is a type of unconscious bias that refers to the human tendency to judge someone based on a single negative trait and have that determine our perception of that person, hence overlooking their positive qualities.

• HR term example: “HR can mitigate the horn effect in the organization by, for example, providing bias awareness training for recruiters and hiring managers.”  

23. Inclusive communication

Inclusive communication in the workplace is an approach to communication that seeks to make all employees feel heard, respected, and able to participate fully.

• HR term example: “Inclusive communication aims to meet the various needs of all the employees in the organization.” 

24. Intercultural competence

Intercultural competence is the ability to develop knowledge, skills, and attitudes to effectively collaborate with people from different cultural backgrounds.

• HR term example: “According to the Intercultural Competence Model, there are five components of intercultural competence: skills, knowledge and comprehension, attitudes, internal outcomes, and external outcomes.”

25. Microaffirmations

Microaffirmations are small gestures anyone can make to show respect for their co-workers daily. Examples include nods, word choices, and facial expressions.

• HR term example: “Microaffirmations can play an important role in creating an open and inclusive work environment.”  

26. Proximity bias 

Proximity bias, also known as distance bias, is the penchant leaders tend to have for the people who are physically present or (working) close to them.

• HR term example: “Proximity bias can lead to a situation in which remote employees, in particular, are overlooked and hence put at a significant disadvantage.”

27. Undue hardship

Undue hardship refers to a situation that may occur when a company needs to take extraordinary measures to accommodate an employee with a disability or other specific needs.

• HR term example: “Factors to consider to determine whether or not a situation qualifies as one of undue hardship includes the nature, cost, and impact of the modification on the organization’s operations.” 

HR Generalist terms

28. Employee life cycle 

The employee life cycle covers the entire employee journey at a company, from attraction to offboarding and beyond.

• HR term example: “Understanding the employee life cycle and knowing how to engage with people in every stage of that cycle improves the employee experience, increases performance, and leads to better retention.”

29. Job dissatisfaction

Job dissatisfaction refers to a state where employees feel discontented with their roles, often due to factors like poor working conditions, inadequate pay, or misalignment with their career goals.

• HR term example: “High job dissatisfaction led many employees to seek positions at companies with better work-life balance.”

30. Employment contract

An employment contract is a formal legal document that outlines the terms of employment and the duties of both the employee and the employer.

• HR term example: “Before starting their new job, the candidates signed the employment contract outlining their role and salary.”

31. Onboarding

Onboarding is the process through which new hires get familiar with the job, the company, the people, and the organization’s culture where they have just started working. 

• HR term example: “Onboarding is a key element in creating the foundation for a lasting employee-employer relationship.”

32. Employment status

Employment status defines a worker’s classification—like full-time, part-time, or freelance—and determines their workplace rights and benefits.

• HR term example: “Your employment status affects eligibility for health benefits and other workplace protections.”

HR tip

Print out this article once so that you have a handy, fun guide with ‘HR terms to know’ available for everyone in the office. If you’re working remotely, bookmark this page so that you can quickly peek at the list in this article.

HR Metrics and People Analytics terms 

33. Application completion rate

The application completion rate is a recruitment metric that indicates how many candidates who started the application process completed it.    

• HR term example: “Factors that influence the application completion rate include the complexity of the application, its length, and whether or not it is optimized for mobile.” 

34. Attrition rate 

The attrition rate is an HR metric that indicates how many employees leave the company – voluntarily or involuntarily – without an immediate replacement.

• HR term example: “The employee attrition rate is usually shown as a percentage. If the percentage is high, the organization is shrinking.”

35. Employee lifetime value 

Employee lifetime value (ELTV) is another important HR metric. It measures the expected future value an employee brings to the company during their entire time there.  

• HR term example: “Employee lifetime value is a relatively new concept, but its principles are similar to those of a well-known business metric, namely customer lifetime value.”  

36. Dysfunctional turnover 

Dysfunctional turnover occurs when an organization’s high-performing people leave faster than its employees with a weaker performance.

• HR term example: “Dysfunctional turnover is a voluntary type of turnover that negatively impacts a company’s end profit.” 

37. Headcount planning

Headcount planning involves strategizing to ensure your organization has the appropriate number of skilled individuals to meet both short-term and long-term organizational needs.

• HR term example: “HR practitioners, together with the organization’s business leaders and managers, drive the headcount planning process.”

38. Human Capital Analytics 

Human Capital Analytics (HCA) can be considered a classical approach to assessing the return on investment that an organization’s people bring to the business. Over the years, HCA has evolved into People Analytics.   

• HR term example: “There are three levels of data examination in Human Capital Analytics: descriptive, predictive, and prescriptive.” 

39. Human capital ROI 

Human capital ROI (HCROI) is an HR metric that measures the value an organization’s employees – individually or collectively – contribute as a result of the money spent on their recruitment, compensation, training, etc.  

• HR term example: “Regularly calculating the organization’s human capital ROI will help HR teams gain new insights and see opportunities for improvement for their HC initiatives.”

40. HR scorecard

The HR scorecard is a well-known HR tool that helps measure, manage, and improve the strategic role of the HR function within a company.  

• HR term example: “The biggest advantage of using an HR scorecard is that it becomes easier to align HR strategies and objectives with those of the business.” 

41. Interview-to-hire ratio 

The interview-to-hire ratio is a recruitment metric that measures the number of conducted interviews in relation to the number of candidates hired within a certain period.  

• HR term example: “Factors that affect the interview-to-hire ratio include the complexity of the role, labor market conditions, and the company’s reputation as an employer.” 

42. New hire turnover

New hire turnover is a recruitment metric that measures how many employees leave the company within the first year, for example. This period may be shorter depending on the company and the industry. 

• HR term example: “New hire turnover is an important indicator of the effectiveness of an organization’s hiring and onboarding processes.” 

43. Promotion rate

The promotion rate is an HR metric that indicates how frequently employees are promoted within the company and within which timeframe.   

• HR term example: “A high promotion rate suggests that the organization offers plenty of opportunities for growth and development.”  

44. Revenue per FTE

Revenue per FTE (full-time equivalent) is an HR metric that measures the revenue an organization generates per full-time equivalent employee.     

• HR term example: “Revenue per FTE converts the hours that part-time and contingent workers make into full-time equivalents.”

45. Selection ratio 

Selection ratio is a metric that measures the number of people hired in relation to the total number of candidates who applied for a particular position. 

• HR term example: “Factors influencing the selection ratio include job attractiveness, the application process, and the organization’s employer brand and reputation.” 

46. Source of hire 

Source of hire (SoH) is a recruitment metric that tracks via which sourcing channel people originally learned about the vacancy or where they were sourced.   

• HR term example: “Common source of hire channels include employee referrals, job boards, the company’s careers page, professional networks, and social media.” 

47. Workforce analysis 

Workforce analysis refers to a process that uses employee data and ROI data to make informed decisions about recruitment, retention, and people management.    

• HR term example: “Conducting a workforce analysis helps companies to better understand their strengths, weaknesses, and future staffing needs.”   

48. Yield ratio

The yield ratio is a recruitment metric that measures the percentage of applicants who succeed in passing from one stage of the hiring process to the next and the percentage of candidates who end up being hired.     

• HR terms example: “Calculating the yield ratio enables organizations to pinpoint bottlenecks and identify bias in their recruitment process.”

Learning & Development terms 

49. ADDIE model

The ADDIE model is a well-known instructional design tool that helps HR and L&D professionals design, develop, and serve effective learning content.    

• HR term example: “The ADDIE model is often used to develop courses and streamline the production of training material.”

50. Group mentoring 

Group mentoring in the workplace is a type of mentoring in which one or more mentors collectively provide guidance, support, and advice to a group of mentees.  

• HR term example: “Group mentoring fosters teamwork, builds relationships across different levels and departments within the company, and encourages peer-to-peer learning.” 

51. Job shadowing

Job shadowing is a form of on-the-job training where a person learns from a more experienced colleague by observing them during their work day. 

• HR term example: “Job shadowing can lead to higher employee engagement and productivity, improved knowledge sharing, and better retention.”  

52. Learning agility 

Learning agility in the workplace refers to people’s ability to do three things: i) learn, unlearn, and relearn; ii) apply freshly learned skills and information to changing workplace conditions; and iii) use feedback to continuously improve.

• HR term example: “Learning agility enables people to deal with and work through new and unknown situations when they occur without actually knowing what to do.”

53. Performance coaching

Performance coaching is a tailored process that aims to enhance an individual’s skills and effectiveness in a specific area through guidance, goal-setting, and feedback from a coach.

• HR term example: “Performance coaching in the workplace is a form of on-the-job learning that cultivates strengths and addresses weaknesses.”

54. Professional development plan 

A professional development plan (PDP) is like a roadmap for employees on how to achieve their career goals. It helps them identify where they currently are, where they want to go, and the steps they need to take to get there.  

• HR term example: “A professional development plan aligns (or should align) individual employee goals with organizational objectives.”   

55. Reverse mentoring

Reverse mentoring is a type of workplace mentoring where younger, less experienced employees mentor their older, and often more skilled co-workers.

• HR term example: “Reverse mentoring acknowledges that skills and knowledge don’t solely depend on age or experience; every generation brings its own unique strengths and perspectives.”

56. Skills gap 

A skills gap is the difference between the skills an organization’s workforce needs to achieve the company’s business goals and the capabilities employees currently have.   

• HR term example: “To assess how big or small a company’s skills gap is and what knowledge and skills they are currently missing, they can conduct a skills gap analysis.” 

57. Training needs analysis 

A training needs analysis (TNA) identifies and bridges gaps in knowledge, skills, and abilities (KSA) in the workforce. When a lack of knowledge, skills, or abilities causes a problem in the organization, conducting a TNA can be a suitable solution. 

• HR term example: “A training needs analysis points out the reasons for the gaps in KSA and helps identify the various ways to remove those gaps.”  

HR tip

Quizz your HR colleagues! Refer to this list of HR terms every month with your HR buddy and test each other’s knowledge. Also, use this as an opportunity to see if there are specialist topics you want to learn more about and enroll in an HR certificate program to learn more and gain practical knowledge.

Organizational Development terms 

58. Boundaryless organization 

A boundaryless organization actively eliminates barriers to innovation. It is characterized by reduced hierarchy and functional divisions, resulting in greater integration.

• HR term example: “The idea of a boundaryless organization is that removing barriers will allow for a free flow of ideas, information, and innovation.” 

59. Culture change

Culture change or cultural transformation is when a company embarks on a process to realign its culture with its mission, vision, and core values to reach its strategic goals.

• HR term example: “Culture change starts with the organization’s leadership recognizing that its current culture no longer reflects the company’s vision and core values.”  

60. Customer-centric culture 

A customer-centric culture is an organizational culture that emphasizes creating an excellent customer experience. 

• HR term example: “In a customer-centric culture, every decision is made based on a deep understanding of the customer’s needs and desires.” 

61. Emerging work models 

Emerging work models are (futuristic) work models that suggest various innovative approaches to how and where work is done, as well as the integration of modern technology.   

• HR term example: “Examples of emerging work models are Microsoft’s triple peak days, top sharing (similar to job sharing but at the leadership level), and Unilever’s U-Work model (an assignment-based work model).”    

62. Formalization

Formalization refers to the extent to which an organization’s employees’ behavior is dictated by rules and procedures.

• HR term example: “Companies with a high level of formalization have explicit job descriptions, lots of organizational rules, and clearly defined procedures to structure work processes.”

63. Intergroup development 

Intergroup development involves initiatives and strategies that enhance communication, understanding, and cooperation among different groups within an organization.

• HR term example: “Intergroup development is an example of an organizational development (OD) intervention.”

64. Job characteristics model 

The job characteristics model is a practical tool managers and HR practitioners can use to analyze an employee’s job and make it more engaging, leading to happier and more productive employees.  

• HR term example: “The job characteristics model consists of five core job characteristics: skill variety, task variety, task significance, autonomy, and feedback.” 

65. Job evaluation

Job evaluation is the systematic process of assessing the relative value of jobs in an organization by comparing them to one another. The goal of job evaluation is to ensure people are paid fairly for their work.

• HR term example: “Common job evaluation methods are the ranking method, job classification, the point-factor method, and the factor comparison method.” 

66. Market culture 

Market culture is a type of organizational culture characterized by a strong emphasis on (financial) results, outperforming the competition, and customer satisfaction. 

• HR term example: “Market culture is often found in large corporations across various industries.”

67. Network organization

A network organization is a decentralized company structure where autonomous business units are responsible for their own profit and losses while sharing the common goal of maximizing the value of the network as a whole. 

• HR term example: “In a network organization, business units share resources and collaborate whenever it makes sense commercially.”

68. Organizational restructuring 

Organizational restructuring is a process in which an organization changes its processes, systems, and structure to enhance its competitiveness or efficiency or adapt to new market demands.  

• HR term example: “The organizational restructuring process involves redefining roles and responsibilities, realigning departments, and oftentimes, also downsizing.” 

69. Strategic initiatives 

Strategic initiatives act as a roadmap for organizations to achieve specific objectives or long-term visions for improvement. They are action-oriented and measurable goals.  

• HR term example: “An example of a strategic initiative can be creating and implementing a social media campaign to boost awareness about the employer brand.”

Talent Acquisition and Recruitment terms

70. Applicant screening 

Applicant screening is a systematic multi-step method of assessing candidates.   

• HR term example: “Applicant screening typically involves reviewing résumés and job applications, conducting initial phone screenings, and assessing culture fit and interpersonal skills.” 

71. Boomerang employees 

Boomerang employees are people who return to work for a company they’d resigned from before.  

• HR term example: “Boomerang employees come back for various reasons, including disappointment in their new organizations, familiarity with their previous companies, better advancement opportunities, and financial incentives.” 

72. Candidate experience

Candidate experience is how an organization’s applicants feel about the company’s recruitment and selection process, from the first moment they interact with the organization (usually via a job advert or careers page) to their onboarding.

• HR term example: “A company’s candidate experience gives applicants a taste of how the organization treats its employees.”

73. Culture add

Culture add is the new, updated version of culture fit. Instead of simply hiring people whose skills, qualifications and experience match the company’s mission and values, organizations that hire for culture add look for candidates who bring new perspectives and skills that can enrich the company culture.   

• HR term example: “Culture add aims to enhance and evolve the company’s culture, while culture fit focuses on maintaining the status quo.”

74. Employer brand

A company’s employer brand refers to its reputation as an employer, especially among potential employees. It’s the perceived identity of an organization and is experienced daily by its employees, customers, and the wider public.   

• HR term example: “Every company has an employer brand, whether they’ve consciously created one or not.”

75. Hiring process flowchart 

A hiring process flowchart is a clear visual layout of an organization’s entire recruitment and selection journey. 

• HR term example: “A hiring process flowchart provides clarity for everyone involved and helps maintain consistency, responsibility, and compliance.’   

76. Recruitment funnel 

A recruitment funnel is a framework that defines the various stages of an organization’s recruitment process, from beginning to end. 

• HR term example: “The goal of a recruitment funnel is to build an effective, scalable, and systematic process to attract and hire the right people.”

77. Recruitment ROI 

Recruitment ROI (return on investment) is a metric that measures the effectiveness and value of an organization’s recruitment strategies.    

• HR term example: “Calculating recruitment ROI allows companies to make informed decisions on which hiring strategies, methods, or tools are the most (cost) effective and which ones aren’t.

78. Staffing plan 

A staffing plan, often called a staffing model, is essentially a roadmap for aligning a company’s talent with its business goals. 

• HR term example: “A staffing plan provides a detailed illustration of a company’s talent pool. It indicates the required roles, skills and competencies, training and development needs, etc.”

79. Talent pipeline

A talent pipeline is a pool of (passive) candidates an organization has previously engaged and who are ready to fill specific positions when needed.  

• HR term example: “Maintaining a talent pipeline gives companies access to high-quality candidates they may not have been able to reach via traditional job adverts.”   

80. Transitional employment 

Transitional employment refers to temporary job placements for people who have, for example, been out of the workforce or faced considerable barriers to employment. It allows them to gain the skills, experience, and confidence needed to (re)enter the workforce. 

• HR term example: “Companies that offer transitional employment opportunities can benefit from access to a wider pool of candidates, improved employee morale, and in some cases, tax incentives.” 

81. Hiring freeze 

A hiring freeze is when an organization decides to temporarily stop hiring new employees for open roles. 

• HR term example: “A hiring freeze is often used to avoid layoffs and maintain financial stability.”

Talent Management terms 

82. 360-degree feedback 

360-degree feedback, also called a 360 review or multi-rater feedback, is a type of employee performance evaluation that collects ratings and input from direct reports, managers, and peers. 

• HR term example: “While 360-degree feedback has so far been used mainly for managers and leaders, it is becoming increasingly popular as a feedback system for all employees.” 

83. Agile performance management 

Agile performance management is a collaborative and continuous approach to employee evaluation and supporting them in their professional growth.  

• HR term example: “Agile performance management has four key pillars: continuous learning, frequent check-ins, building trust, and a sense of connection to the work community.”

84. Career lattice

A career lattice is a type of career progression framework in which employees can move not only vertically but also horizontally and diagonally, both inside and outside their organization. 

• HR term example: “As non-traditional career paths become increasingly common, the career lattice is gaining traction in modern work environments.”

85. Competency mapping 

Competency mapping is the process of identifying and defining the skills, competencies, knowledge, and personal attributes needed to perform a particular role effectively. 

• HR term example: “Competency mapping is commonly used by managers and HR in performance management.”

86. Employee resource group

An employee resource group (ERG) is a voluntary, employee-led group seeking to foster a diverse and inclusive workplace aligned with the company. 

• HR term example: “Employee resource groups often involve and are led by employees who share a particular characteristic, such as ethnicity, religion, gender, or lifestyle.” 

87. Graphic rating scale 

A graphic rating scale is a performance evaluation method that identifies the desired behaviors and traits for a specific role, then uses a scale to rank employees on these traits and behaviors.  

• HR term example: “One benefit of the graphic rating scale method is it is easy to understand and use, and inexpensive to develop.”

88. GRPI model of team effectiveness

The GRPI model of team effectiveness is a comprehensive framework consisting of four key elements teams must get right to function effectively.  

• HR term example: “GRPI is an acronym that stands for Goals, Roles and Responsibilities, Processes and Procedures, and Interactions/Interpersonal Relationships.”

89. Multi-rater feedback 

Multi-rater feedback is a type of performance appraisal that collects input from various sources, such as coworkers, managers, customers, and direct reports. 

• HR term example: “The most well-known type of multi-rater feedback is the 360-degree feedback method.”

90. Performance appraisal

A performance appraisal, or performance review, is a periodic and systematic process of assessing and documenting an employee’s overall performance and contribution to the organization. 

• HR term example: “In many companies, performance appraisals take place once or twice a year.” 

91. Performance improvement plan 

A performance improvement plan (PIP) is a document that outlines how an employee may be falling short of their job expectations. It includes concrete steps they should take to improve their performance, as well as a timeline for them to do so.

• HR term example: “An effective performance improvement plan should always be made together with the employee.” 

92. Succession planning

Succession planning refers to the process of identifying and developing key (internal) talent to ensure the continuity of leadership and business-critical positions in the future.   

• HR term example: “Succession planning helps organizations prepare for the future, based on various scenarios.”

93. Talent mapping

Talent mapping gives organizations insights into the talent and skills they currently have, and the gaps they may need to address in the (near) future.  

• HR term example: “One way to use talent mapping is to ensure the company can access the right skills at the right time to achieve its business objectives.”

Key takeaway

• HR terminology is essential for those who work in Human Resources. It ensures that everyone knows what they are discussing and helps avoid misunderstandings.  
• Bookmark this page so you can quickly look it up whenever you’re unsure what a particular HR term means.

The post The Comprehensive Dictionary of HR Terms To Know [In 2024] appeared first on AIHR.

For example, 39% of the respondents in a Deloitte survey reported experiencing bias at least once a month, while 68% said witnessing or experiencing bias harmed their productivity.

But what is contrast bias, how can it negatively impact your organization and its employees, and how can you prevent it in your workplace?

Contents
What is contrast bias?
Ingroup versus outgroup bias
The impact of contrast bias
5 areas of workplace contrast bias
7 ways to avoid contrast bias in the workplace

What is contrast bias?

Contrast bias is a form of cognitive bias in which you evaluate someone’s abilities, work performance, or characteristics by comparing them to others you’ve recently evaluated instead of using an objective standard or criteria.

This can happen in various contexts, such as recruitment, performance reviews, promotions, and day-to-day interactions among staff. As a result, there is either a positive contrast effect or negative contrast effect — you may view a candidate’s qualifications or employee’s performance as either better or worse than they really are, based on whom you compare them to.

The psychology behind contrast bias is quite simple: comparing one thing or person against another can make people feel more confident about their decisions. As HR professionals often have to make crucial decisions regarding candidates and employees, they may unconsciously or subconsciously rely on contrast bias to help them reach these decisions more quickly and efficiently.

Ingroup versus outgroup bias

Depending on the workplace situation, you may engage in ingroup or outgroup bias. The table below gives an overview of the main differences between the two and an example of each.

The impact of contrast bias 

Contrast bias typically has several negative implications for an organization. Here’s what these can look like at different stages of the employee life cycle: 

• Skewed hiring decisions: Comparing candidates to one another instead of focusing on how well their skills and qualifications match a role’s requirements can skew hiring decisions. This will, in turn, negatively impact new hire diversity and potentially lead to work compatibility issues.
• Unfair performance management and reviews: Assessing employees by comparing them to one another instead of based on their individual achievements and performance results in unfair reviews and appraisals.
• Demotivated employees: When employees realize their supervisors are comparing them to one another instead of focusing on the quality of their work, they tend to start losing motivation.
• Compromised collaboration and cohesion: Employees who feel undervalued or marginalized are usually less inclined to collaborate effectively with their colleagues. This leads to a breakdown in team cohesion and overall performance.
• Biased promotion decisions: Management may decide which employees to promote based on how their personalities differ from their peers rather than their professional performance or how well they meet the company’s promotion policy requirements.
• Loss of trust in the organization: Employees and candidates aware of contrast bias in the company will likely lose trust in the fairness and integrity of its processes.

5 areas of workplace contrast bias

Contrast bias in recruitment 

Let’s say you are a hiring manager interviewing two candidates for the same role. The first candidate is charismatic and well-spoken but inexperienced in certain aspects of the job. The second candidate comes across as slightly nervous and reserved, but their detailed answers indicate they are highly knowledgeable and qualified for the job. Despite this, you find yourself leaning towards the first candidate.

Let’s look at another example of contrast bias in recruitment: Aaron, Brenda, Chong, and Danusha are all being considered for a senior sales position. On day one, you speak with Aaron and Brenda and, based on their qualifications, decide Brenda is the most suitable candidate for the role.

On day two, you interview Chong and Danusha. Danusha is more qualified than Chong but less qualified than Brenda. However, because you most recently interviewed Danusha, and she outshone Chong, you offered her the job instead of Brenda — who is actually the most qualified of the four candidates.

Contrast bias in performance reviews

Imagine it’s time for your organization’s quarterly company-wide performance reviews. One of the salespeople has done unusually well, exceeding their sales targets and boosting the company’s profits.

Instead of assessing the rest of the team members’ performances based on pre-determined company-wide standards and their individual KPIs, their manager compares them to their top-performing colleagues. This unfairly pushes down their performance ratings and paints them in an unfavorable light.

A manager may also practice contrast bias on a personal level — let’s say they have two people on their team, Ashley and Raoul. Like the manager, Ashley has a horse and loves going on long horse rides on weekends, so they go together regularly. On the other hand, Raoul doesn’t know much about horses and is therefore not invited.

When it’s time to evaluate her team members’ work performance, the manager rates Ashley higher than they do Raoul. The problem is that they’ve based this on their personal relationship with Ashley instead of on each team member’s quality of work and KPI fulfillment. In this case, affinity bias is also a factor in the manager’s decision.

Contrast bias in teams

During team meetings, you will likely notice two main groups of people: those who don’t hesitate to share their opinions or answer questions during meetings and those who prefer to take notes and offer their opinions or suggestions in writing after meetings.

If, for instance, the team’s manager falls into the first group of people, they may feel inclined to pay more attention to that group and neglect the second group.

Contrast bias in leadership

Suppose there are two employees at a large international consulting firm who are up for a promotion. Both of them meet all the company’s requirements to be eligible for the promotion and are highly suitable for the role. 

One of them, however, happened to have attended a more prestigious business school than the other did. The manager fixates on this detail and, after comparing the employees’ educational backgrounds, decides to promote the one who could afford the more prestigious school.

Contrast bias in learning and development

Imagine there are two candidates for additional learning and development (L&D) opportunities on the same team, Sheila and Samira. Sheila is usually attentive yet quiet during meetings, while Samira asks many questions and makes many comments. Both are equally competent, but as their manager unconsciously rates them based on their communication, she offers Samira the L&D opportunity.

Contrast bias can also manifest in the form of age-based discrimination. Picture Suzie, a floor manager at a large retail company who has successfully mentored people of all ages for many years. She recently mentored two assistant floor managers — 26-year-old Ali and 39-year-old Wendy.

Suzie had a positive experience mentoring both of them, but Ali was promoted shortly after finishing the mentorship program. This plays into her contrast bias, so the next time Suzie must choose an assistant floor manager to mentor, she opts for 25-year-old Mo instead of 42-year-old Patricia without first considering which of them is more qualified or competent.

HR tip

Make it easy for employees to flag and report situations where they encounter contrast bias. Clearly communicate their options for doing so (e.g., an anonymized email or a form they can access and submit via the company’s online HR system).

7 ways to avoid contrast bias in the workplace 

1. Start with the HR team

Hire an external expert to train your organization’s HR team on bias awareness. You can also opt for self-paced online learning. As an HR professional, you must understand contrast bias and know how to detect and minimize it.

Once everyone is on the same page and knows how to identify contrast bias at work, you can create a plan to minimize bias, all the way from the hiring process to performance reviews.

2. Conduct awareness training

Minimizing the contrast effect bias starts with awareness and training. This applies not just to HR but also to all the company’s managers. In addition to an extensive initial training program, organize regular refresher training sessions to stamp out any potential bias along the way.

3. Conduct structured interviews

Adhere to a structured interview to avoid interviewer bias during the selection process. This means you must ask candidates a standardized set of questions, which will help remove bias from your company’s shortlisting and hiring decisions by ensuring it assesses job applicants based on the same criteria.

It will also enable you to compare candidates based on qualifications and experience and make the best decision based on this data. 

4. Involve multiple evaluators

In your organization’s hiring and performance review processes, involve more than one person in the decision-making procedure. This will foster a system of checks and balances, thus reducing the likelihood and impact of any possible contrast bias.

5. Establish and adhere to a company standard

Develop objective criteria to evaluate employee performance and potential and ensure these criteria are communicated clearly and used consistently across the entire organization.

6. Foster an inclusive culture

Establish and maintain an inclusive environment at work to ensure your company values diversity, encourages employees to appreciate their colleagues’ unique contributions, and works to minimize bias throughout the organization.

7. Educate the workforce

Offer regular training or workshops on unconscious bias to continuously educate both employees and leadership on recognizing, addressing, and countering their biases.

HR tip

Make bias recognition, reduction, and removal a shared objective that everyone in the organization works toward. Share real-life success stories across the company to educate and encourage employees and management to continue rooting out bias in their day-to-day interactions.

Key takeaway

Contrast bias will occur to some extent in every organization, so don’t be alarmed if you detect it in your company. Detection is the first step in addressing, understanding, and ultimately, preventing or at least minimizing bias in the future.

The HR team should lead the company’s efforts to avoid contrast bias in the workplace as it is largely responsible for handling the entire employee lifecycle, from recruitment to resignation. HR professionals are the first organizational representatives candidates and new hires meet, and the last colleagues employees speak with when leaving a company. This makes their role in recognizing, reducing, and removing bias especially vital.

FAQ

The post Contrast Bias: Everything HR Professionals Must Know appeared first on AIHR.

This is especially true in an HR field that is rapidly changing and requires new skills and competencies from HR leaders and their teams. Leadership books can be a great go-to source for any HR leader looking to embrace a continuous learning mindset.

This article provides a list of must-read leadership books designed with you, the HR leader, in mind.

1. A Cure for the Common Company (2023) by Richard Safeer, MD

Health and wellbeing expert Safeer wrote A Cure for the Common Company, to help business and HR leaders foster a healthier work environment and more resilient workforce.

Why you should read this book

Total wellbeing and resilience-building among employees remain top priorities for organizations, and HR is often charged with these tasks. In this book, Richard Safeer provides a step-by-step roadmap to creating a health and wellbeing culture that keeps people happier and more engaged.  

Topics covered

• The importance of shaping your wellbeing culture
• Strategies to help leaders build a solid cultural foundation to support their change efforts
• Challenging yourself, your team, and your workforce to live better lives. 

Also available as an audiobook.

2. Beyond Discomfort (2024) by Nadia Nagamootoo

Beyond Discomfort revolves around three attitudes Nagamootoo regularly encounters among leaders, which act as barriers to progress on DEIB.  

Why you should read this book 

The framework the author created around these three different mindsets allows HR and business leaders to reflect on their thoughts and behaviors. They can then challenge themselves and channel their discomfort into positive action.

Topics covered 

• Real-life examples and insights to deepen your understanding of DEIB and its complexities
• New perspectives to better connect with your existing leadership values and beliefs 
• Practical tools and activities to develop and improve your DEIB practices. 

3. Built for People (2023) by Jessica Zwaan

In Built for People, Zwaan explains how you can transform your people function by applying the best elements of a product management approach to HR.

Why you should read this book 

The book shows HR practitioners and business leaders how to improve workforce and business performance by following three key steps:

• Developing people-centered ways of working 
• Using evidence-based decision-making
• Encouraging a culture of continuous feedback and iteration. 

Topics covered 

• The product management approach’s impact on HR, and how to execute it effectively
• The importance of testing and iteration and how to define metrics for success
• Tools, case studies, exercises, and advice from those who’ve already seen the benefits of product -management for their people operations.

4. Bring Your Human to Work (2018) by Erica Keswin

Bring Your Human to Work identifies the key practices of well-known human companies such as Lyft and SoulCycle. Keswin translates these into applicable advice that any business leader can use to build a ‘“human workplace.”

Why you should read this book

The author has over 20 years of experience working with top business leaders and executives to build companies that are real, aligned, and true to themselves. Her leadership lessons foster fairness, devotion, and joy in the workplace — all core elements of a successful business.

Topics covered

• Understanding your company’s role in the world beyond financial profit
• Running your meetings with a clear purpose
• Simply saying “thank you”.

Also available as an audiobook.

5. Dare to Un-Lead (2022) by Céline Schillinger

In Dare to Un-Lead, Schillinger explores how modern organizations can transform leadership from a top-down hegemony to one that enables people to lead together based on the concepts of liberty, equality and community. 

Why you should read this book

Dare to Un-Lead challenges how you may think and feel about the role of leadership in your life. It can be valuable — if not indispensable — for HR and business leaders to look at leadership through multiple lenses and constantly broaden their perspectives. 

Topics covered 

The author presents a series of evidence-based approaches to reinvent collective performance across organizations, stemming from her own experiences and analysis of leadership.  

6. HR Disrupted (2017) by Lucy Adams

HR Disrupted is a leadership classic that explores HR’s role of HR in the future.  This includes leading, managing, engaging and supporting people in a radically different way.

Why you should read this book 

The author introduces the EACH model, which encompasses treating Employees as Adults, Consumers, and Human Beings

Adams draws on her experience as an HR Director at BBC to demonstrate how to better manage people in an increasingly digital and disruptive business environment. 

Topics covered

In HR Disrupted, the author presents the following three pillars of disruptive HR:

• Treating employees as adults, not children
• Treating employees as consumers or customers rather than employing a one-size-fits-all approach
• Treating employees as human beings.

7. HR Like a Boss (2023) by John Bernatovicz

HR Like a Boss features real-life stories of HR practitioners who embody the characteristics of a so-called ‘boss,’ i.e., a skilled business leader.

Why you should read this book

In HR Like a Boss, Bernatovicz gives HR professionals the tools they need to help employees feel more connected to the company they work for and ensure the organization’s success. 

Topics covered

• The evolving role of HR
• HR as a strategic partner 
• Recruitment, performance management, engagement, and retention.

Also available as an audiobook.

8. HR Rising!! (2020) by Steve Browne

In HR Rising!!, bestselling author Steve Browne encourages HR practitioners to move beyond the mindset of simply being a support function. Browne encourages you to enter the role of intentional leadership.

Why you should read this book 

The author believes impactful leadership comes from people who are not confined solely to their job titles. Rather, the HR professionals’ ability to connect and interact with all employees puts them in the perfect position to lead and build meaningful change for their organizations. 

HR Rising!! highlights the aspects of your own professional experience that will help you start leading from where you are right now.

Topics covered

• The author’s formula of People + Processes = Results. 
• Fostering collaboration, developing credibility, and building trust.

9. Humanocracy (2020) by Gary Hamel and Michele Zanini

In Humanocracy, the authors present a detailed blueprint for creating organizations as inspired and ingenious as the people within them. 

Why you should read this book

We all know that organizations must become more human. The big question that the book addresses is ‘How?’. In Humanocrocy, Hamel and Zanini explain the DNA of human-centric organizations, providing a use case to help you get started.

Topics covered 

• How to equip everyone in your organization to be their best and do their best
• The building blocks for creating ‘Humanocracy’ within your company. 

Also available as an audiobook.

10. I, Human: AI, Automation, and the Quest to Reclaim What Makes Us Unique (2023) by Tomas Chamorro-Premuzic

I, Human tackles a question every HR and business leader should consider: Whether we will use AI to improve the way we work and live.

Why you should read this book

AI and automation will affect every organization to a certain extent. Technology can improve our lives, but it can also worsen our bad tendencies. It is up to us to adapt and determine how we want to live and work, and the time to do so is now. 

Topics covered 

I, Human is filled with insights about human behavior and our complicated relationship with technology. The book also touches on the (soft) skills we need to develop to thrive in the future.  

Also available as an audiobook.

11. Leading Below the Surface (2021) by LaTonya Wilkins

In Leading Below the Surface, culture leader LaTonya Wilkins challenges our thinking about traditional leadership standards and the countless DEIB initiatives that have failed to make a lasting impact. 

Why you should read this book 

Leading Below the Surface explores how certain highly rewarded behaviors are actually destroying companies, blocking us from creating genuinely diverse, equitable, and inclusive cultures of belonging. 

As an HR or business leader, you will learn how to take your DEIB efforts to the next level and create an authentic culture of belonging. 

Topics covered 

This book combines real-life anecdotes from Wilkins herself with actionable insights backed by interdisciplinary research. 

Also available as an audiobook.

12. Love + Work (2022) by Marcus Buckingham

In Love + Work, Marcus Buckingham aims to help you discover your best in work and life. 

Why you should read this book

Love + Work encourages HR leaders and managers to be compassionate towards the people in their organization, cultivate their potential, and help them reach the point where they love what they do. 

Topics covered 

This book will enable readers to:

• Choose the right role on their team
• Position themselves as a leader that people trust easily
• Make lasting changes for their team, company, family, or students.

Also available as an audiobook.

13. People Operations (2021) by Jay Fulcher, Kevin Marasco and Tracy Cote

People Operations guides leaders in small and medium-sized companies on how to stop spending too much time on HR admin and start focusing more on the people in their organization. 

Why you should read this book

If you’re an HR generalist or business owner in a small or medium-sized company, People Operations is a great book to read. It examines how to optimize HR, support employees, maximize workforce investment, and modernize your business. 

Topics covered

• Digitalizing legacy HR functions
• Using robots for tedious busywork
• Employing software to design and improve the employee experience.

Also available as an audiobook.

14. Redefining HR (2021) by Lars Schmidt

In his second book, Lars Schmidt examines the evolution of Human Resources and breaks down many of the fundamental components of modern HR and people operations.

Why you should read this book 

Redefining HR is a business book written to help companies build modern people teams. It provides a tangible framework of progressive ideas and practices for HR practitioners, people leaders, and business executives.

Topics covered 

• Diversity and inclusion
• People analytics 
• L&D and employee experience. 

The book also features global case studies.

15. Remote, Not Distant (2022) by Gustavo Razzetti

This book examines what makes some companies thrive, and others fail under a remote or hybrid work model.

Why you should read this book

Remote and hybrid work are here to stay, as many candidates and employees prefer. In Remote, Not Distant, Gustavo Razzetti reveals the secret of successful remote workplace cultures and provides actionable tools for senior (HR) leaders. 

Topics covered

Razzetti addresses the different areas crucial to effective remote and hybrid work, including:

• Culture
• Keeping teams connected
• Asynchronous communication.  

Also available as an audiobook.

16. Scaling People (2023) by Claire Hughes Johnson

Scaling People is a practical and empathetic guide to being an effective leader and manager in a high-growth environment. 

Effective leadership and management is crucial as remote and hybrid working becomes more prevalent. Johnson, former COO of Stripe, has firsthand experience in this area and shares her valuable insights and strategies for effectively scaling your team while maintaining a positive company culture.

Why you should read this book

Scaling People provides a detailed roadmap for every HR or business leader in a fast-growing company who may be wondering how to put in place the right operating structures and people systems to scale.

Topics covered

Johnson’s book includes numerous worksheets, templates, exercises, and example documents to help leaders, founders, and company builders scale.

Also available as an audiobook.

17. Strategic Human Resources Planning, 7th Edition (2019) by Mark Podolsky and Monica Belcourt

This is another classic on the list and one of the best leadership books for new leaders in the field of HR. 

Why you should read this book 

Successful HR planning is strategic and focuses on the organization’s unique needs. The Seventh Edition of Strategic Human Resources Planning highlights the importance of HR practitioners as business partners who are key in the organization’s strategic planning.

Topics covered

• The forecasting process
• IT for HR planning
• HR planning today.

18. Teams Unleashed (2019) by Phillip Sandahl and Alexis Phillips

Teams Unleashed offers a map for engaged, sustainable, and better team performance. 

Why you should read this book

Teams Unleashed offers a map for engaged, sustainable, and improved team performance, particularly for team and executive coaches, internal HR, OD and L&D professionals, and team leaders.

Topics covered

• The five core competencies for working effectively with teams
• Essential team coaching skills
• Exercises and activities to spark conversations that increase understanding and lead to new team norms.

Also available as an audiobook.

19. The Coaching Habit (2016) by Michael Bungay Stanier

In The Coaching Habit, the author aims to make coaching a habitual, informal part of your daily life. 

Why you should read this book 

Stanier has trained over 10,000 managers worldwide in practical, everyday coaching skills. In this book, he shares how you can develop coaching methods that unlock your people’s potential by saying less and asking more.

Topics covered 

• Combines insider information with research based on neuroscience and behavioral economics
• Provides interactive training tools that turn practical advice into practiced habits.  

Also available as an audiobook.

20. The Color of Emotional Intelligence (2023) by Farah Harris 

Author Farah Harris outlines how to elevate your emotional intelligence (EQ) to help with addressing inequities. 

Why you should read this book

Emotional intelligence is a crucial interpersonal skill needed for strong leadership in HR. In The Color of Emotional Intelligence, Harris teaches us, among other things, the fundamentals of EQ and how to use EQ to break barriers to equity. 

Topics covered

• Barriers to practicing EQ effectively
• Different types of stressors, including microaggressions
• Tools everyone can use to elevate their emotional intelligence. 

21. The Culture Code (2018) by Daniel Coyle 

The Culture Code explores where great culture comes from and how you can build and sustain it in your group (or company). 

Why you should read this book 

A healthy organizational culture drives engagement, productivity, and revenue growth. This book offers a roadmap for creating an environment where innovation flourishes, problems get solved, and expectations are exceeded.  

Topics covered 

• What makes organizations like the U.S. Navy’s SEAL Team Six and the San Antonio Spurs tick
• Three skills he identified that generate cohesion and cooperation
• How diverse groups learn to function with a single mind.

Also available as an audiobook.

22. The Culture Map (2014) by Erin Meyer

In The Culture Map, Erin Meyer provides a field-tested model for decoding how cultural differences impact international business. 

Why you should read this book 

The Culture Map is a must-read for HR leaders in organizations where people from different nationalities and cultural backgrounds work. It will help you understand how local culture impacts global interaction and provide valuable insights for working effectively and sensitively with people all over the world.

Topics covered

In The Culture Map, Erin combines a smart analytical framework with practical, actionable advice for working globally. 

Also available as an audiobook.

23. The Fearless Organization (2018) by Amy C. Edmondson

In The Fearless Organization, Edmondson explores the culture of psychological safety and provides a blueprint for bringing this to life. 

Why you should read this book

As an HR leader, you want to encourage a work atmosphere where people feel free to share their ideas and express themselves  — even when their opinions differ. This book helps you create this psychologically safe environment. 

Topics covered

• The connection between psychological safety and strong performance (using real-life examples from the public and private sectors)
• Practical steps leaders must take to ensure psychological safety that can help build and maintain a fearless organization.

Also available as an audiobook.

24. The New HR Leader’s First 100 Days (2017) by Alan Collins 

In The New HR Leader’s First 100 Days, Collins, former VP of HR at PepsiCo, shares his proven step-by-step approach for starting strong and accelerating your success in your new HR leader role.  

Why you should read this book

Like with many things, the foundation you create when you start as an HR leader determines your success — or the lack thereof — further down the road. Therefore, the first 100 days in your new role as an HR leader are critical.

Topics covered

• Strategies to take charge and get up to speed even before your first day
• How to make a positive and powerful first impression as a new HR leader
• Ten tips to select the early HR wins you need to make your mark and establish yourself.

25. The Squiggly Career (2020) by Helen Tupper and Sarah Ellis

Helen Tupper explains the ‘squiggly career’ — a career where people constantly jump between roles, industries, and locations. 

Why you should read this book 

Squiggly careers (or non-traditional career paths) are becoming more prevalent, and as a result, models like the career lattice are gaining traction in modern workspaces. This book provides insights into the changing shape of work as companies increasingly work with employees with squiggly careers.

Topics covered

• How to play to your “super” strengths
• How to build better support frameworks
• How to gain more confidence and explore future possibilities.

Also available as an audiobook.

26. Unapologetically Ambitious (2020) by Shellye Archambeau

Unapologetically Ambitious is a leadership book that offers a blueprint for achieving personal and professional goals. 

Why you should read this book 

While Archambeau’s book is primarily intended for women, her practical advice and guidance are valuable for any HR and business leader, regardless of their background or demographic.   

Topics covered

• Tackle imposter syndrome 
• Take risks
• Develop financial literacy 
• Integrate work, marriage, parenthood, and self-care.

Also available as an audiobook.

27. Bonus: HBR’s 10 Must Reads for HR Leaders Collection (5 books – 2019) from the HBR editors

Looking to get up to speed on core topics like leadership, strategy, change, managing people, and managing yourself? HBR’s 10 Must Reads for HR Leaders provides you with a collection of books delving into various essential leadership topics. 

Why you should read these books 

HBR’s 10 Must Reads for HR Leaders Collection presents groundbreaking ideas on cultivating a high-performance company culture, leading positive change, and leveraging the advantages of a diverse workforce.

Topics covered

The collection includes:

• HBR’s 10 Must Reads on Reinventing HR
• HBR’s 10 Must Reads on Change Management
• HBR’s 10 Must Reads on Building a Great Culture
• HBR’s 10 Must Reads on Diversity
• HBR’s 10 Must Reads on Managing People.

Over to you

As the role of HR continues to evolve, HR leaders need to play a more strategic role within the business. This requires you to equip yourself and your team with the skills and competencies needed to succeed. Constant learning can help you to stay abreast of best practices and innovative approaches.

The post 27 Best Leadership Books for HR Leaders [2024 Edition] appeared first on AIHR.

In this article, we’ll explore the importance of workplace transparency, the consequences of its absence, and nine actions organizations can take to promote transparency in the workplace.

Contents
What is transparency in the workplace?
Why transparency in the workplace is important
The impact of the lack of transparency in the workplace
Examples of transparency in the workplace
How to improve transparency in the workplace
FAQ

What is transparency in the workplace?

Workplace transparency is when an organization and its employees openly and freely sharing information about processes, decisions, objectives, expectations, and more. 

In today’s workplace, there is also a legal element to transparency that organizations and HR need to consider. Legislation around pay transparency, for instance, aims to ensure employees receive equal pay for work of equal value.

Increasingly, we see companies taking their transparency beyond the workplace and into the wider world as they publicly share their progress regarding, for example, DEIB.

Why transparency in the workplace is important 

There are several reasons why transparency in the workplace is essential:

• Builds trust: When done well, transparency fosters a sense of trust between employees and managers.
• Promoting a culture of openness: An environment where questions, concerns, and ideas can be freely expressed encourages innovation and continuous improvement — and attracts candidates. According to a 2018 Slack research, 87% of workers wanted their future company to be transparent.
• Reduces rumors and misinformation: Transparency minimizes the chances of rumors and misinformation spreading within the organization. 
• Improves decision-making: With access to more complete and accurate information, employees at all levels can make more informed decisions. 
• Facilitates change management: During times of change, transparency can help reduce employee resistance and fear. 
• Encourages accountability: When actions and decisions are made transparently, it creates a sense of accountability among employees. 
• Ensures compliance with legislation: An example of this can be found in the Illinois Workplace Transparency Act. The purpose of this act is to fight sexual harassment and other types of discrimination. Put simply, it forbids employers to enter into a contract with employees (contractors, freelancers, etc.) that includes a non-disclosure clause covering workplace harassment or discrimination. 

The impact of the lack of transparency in the workplace

On the other hand, a lack of transparency in the workplace has its consequences, too. Here’s what they can look like: 

• Reduced innovation and creativity: Transparency fosters an environment where ideas can be freely shared and debated. Without it, innovation and creativity can be stifled, as employees may feel unsafe or unmotivated to contribute their ideas. 
• Compromised ethical standards: A lack of workplace transparency can lead to questionable practices going unchecked. This situation can compromise the organization’s ethical standards and lead to legal or reputational risks. 
• Communication breakdowns: A lack of transparency often results in poor communication throughout the organization. Misunderstandings become more common, leading to inefficiencies and errors in work. 
• Lower employee engagement: Employees who feel left out of the loop can plummet their engagement and motivation. This disengagement affects productivity, job satisfaction, and the overall morale of the workforce. 

Examples of transparency in the workplace 

What does transparency at work look like? There are numerous examples in the various phases of the employee life cycle.

In this section, we’ll share three of them:

1. Transparency in recruitment and selection

DHL Aviation provides a prime illustration of transparent recruitment and selection practices. They fill 65% of vacancies internally, with over half of the C-suite comprising individuals who began on the frontline. 

By sharing these statistics with candidates, recruiters set realistic expectations and demonstrate the company’s commitment to internal growth opportunities.

2. Transparency in compensation and benefits 

MIMOSA Diagnostics embraced radical transparency concerning pay, conflicts, and organizational and business matters. They only refrained from disclosing personal information that employees wished to keep private, as well as investor details.

For instance, in terms of pay transparency at MIMOSA, employees were required to understand the criteria that determined their pay before individual pay figures were disclosed, ensuring fair wage determination. To facilitate this, the company established a structured approach for making pay decisions.

3. Transparency in Diversity, Equity, Inclusion and Belonging (DEIB)

Creating a comprehensive DEIB section on a corporate website is one thing; being a truly diverse, equitable, and inclusive employer is another.

Many organizations celebrate their commitment to female representation in leadership on International Women’s Day via social media. One year, Francesca Lawsome and Ali Fensome developed a gender-pay chatbot that extracted publicly available data from these companies. The aim was to assess the companies’ commitment to gender equality in the workplace. 

The findings reveal significant disparities between rhetoric and action. For example, despite Heathrow Airport highlighting its “Women at Heathrow,” women’s median hourly pay is 14% less than that of men in the organization.

Some companies are making strides in getting transparency in the workplace right. Nike, for example, has published its ‘2025 Purpose targets’, with various reports for visitors to download, which explain what the company is doing around pay equality, representation, inclusion, and more within the organization. 

How to improve transparency in the workplace 

There are several strategies HR can adopt to improve and ensure transparency in the workplace throughout the employee life cycle. 

Strategy 1: Adopt transparency in your employer branding 

Rather than (over)selling the benefits of working for the organization, think about conveying all sides (even the less glamorous sides) of the job and the industry. 

For example, suppose you’re hiring people to work in a role that can be physically demanding. Explain to candidates what the role will require. Include uncensored employee testimonials from people who recently joined the company on your website that paint a true picture of what it takes to successfully perform the role. 

Strategy 2: Set realistic, fact-based expectations

Recruitment and selection transparency encompasses various aspects. 

Firstly, it involves clarity about the application process: What should applicants anticipate? How soon can they expect a response? What is the timeline for the entire process? Who should they contact for inquiries? 

Secondly, it includes being transparent about job and organizational expectations: What salary range is offered? What growth prospects does the organization provide, and in what timeframe? What performance standards are expected from employees? 

Lastly, an often overlooked yet crucial aspect is setting clear expectations about what not to anticipate. For example, in a fast-paced company, it is vital to tell candidates or new hires that many aspects will be unstructured and require self-driven initiative.

Strategy 3: Explore different levels of transparency

Recognize that not all information can or should be shared openly with every employee (as we saw earlier in the MIMOSA Diagnostics example). 

Categorize information and determine the appropriate level of transparency for each level based on factors like relevance, sensitivity, and potential impact.

Strategy 4: Encourage a continuous conversation

Train managers on approaching performance management as a continuous conversation (also referred to as a continuous dialogue) and have ongoing conversations with their employees throughout the year instead of on an annual basis. 

Doing so creates a stronger relationship between manager and employee, often leading to greater trust and transparency. 

Strategy 5: Open communication channels

Establish and maintain multiple channels for open communication, such as regular (company-wide) meetings, town halls, suggestion boxes, and digital platforms where employees can voice concerns, ask questions, and provide feedback. 

Ensure these channels are accessible to all employees and actively monitored for responses and action.

Strategy 6: Involve employees in decision-making

According to a Visier survey, 52% of the respondents who trust their employer do so because they’re transparent about company policies and practices. 

Actively involving employees in decision-making plays a vital role in this. This can be achieved in various ways, for example, by enabling them to set their own objectives and KPIs or organizing brainstorming strategy days.

Strategy 7: Provide regular updates and reports

Provide regular updates on company performance, including successes, challenges, and areas for improvement. This can be done through newsletters, emails, Slack channels, or dedicated meetings. 

Strategy 8: Build a culture of feedback

Cultivate a feedback culture where giving and receiving feedback is encouraged and valued. This includes both positive reinforcement and constructive criticism. Training staff on effectively giving and receiving feedback can help build a more open and communicative workplace

It’s also essential for both employees and the business to act on the insights they receive. According to the Visier survey, one of the top reasons employees did not trust their employers was that the company did not follow through on employee feedback. 

Strategy 9: Create clarity on rules and expectations

Provide clarity on roles and expectations. Use tools like 30-60-90-day plans, roles and responsibilities templates, employee development plans, and performance metrics to help employees understand what’s expected of them. 

Key takeaways 

• A transparent workplace is one of the cornerstones of employee trust and engagement. It’s a key element for people when deciding what company they want to work for. 
• Transparency plays a role in every aspect of the employee life cycle. To create more workplace transparency, the nine action points listed in this article can be an excellent place to start.

FAQ

The post Achieving Transparency in the Workplace: Strategies for Success (With Examples) appeared first on AIHR.

This article unpacks 60 Human Resources acronyms and abbreviations, including a usage example for each. A handy resource to jump back to next time you encounter a cryptic acronym.

Contents
A
B
C
D
E
F
G
H
K
L
O
P
R
S
T
V

A

1. ACR: Application Completion Rate

The Application Completion Rate (ACR) is a recruiting metric that measures how many candidates who started a job application successfully completed it.

• HR acronym usage example: “An organization’s ACR reflects the effectiveness of its application process.”

2. ADA: Americans with Disabilities Act

The Americans with Disabilities Act (ADA) is a law that prohibits discrimination against individuals with disabilities in areas such as employment, transportation, and public accommodations. 

• HR acronym usage example: “Under the ADA, ‘reasonable accommodation’ means that employers need to take appropriate steps to accommodate employees with disabilities so that they can enjoy the same employment opportunities as their non-disabled colleagues.

3. ADDIE: Analyze, Design, Develop, Implement, Evaluate

The ADDIE model is a systematic framework used to guide the process of creating and implementing effective training and development programs for employees.  

• HR acronym usage example: “The ADDIE training model was developed in the 1970s and remains the most widely used model for instructional design because it is simple and highly effective.”

4. AIHR: The Academy to Innovate HR

AIHR is an e-learning company on a mission to future-proof HR by offering world-class online training programs for HR practitioners worldwide. 

• HR acronym usage example: “AIHR is the perfect place to learn the skills you need to advance your career and secure a job at the forefront of HR.”

5. AOR: Agent Of Record

An Agent Of Record (AOR) is a third-party service that handles all the necessary hiring and administration of independent contractors while ensuring full compliance.

• HR acronym usage example: “An AOR plays a crucial role as an intermediary connecting businesses with contractors all over the world.” 

6. ATS: Applicant Tracking System

An ATS is a software solution that helps organizations manage and streamline their recruitment and hiring processes.

• HR acronym usage example: “Key features of ATS software often include resume parsing, advanced search, and candidate sourcing.”

B

7. BIK: Benefits In Kind

Benefits In Kind (BIK) refer to any non-monetary compensation that employers provide to their employees.

• HR acronym usage example: “Examples of a BIK include healthcare benefits, meal vouchers, retirement plans, childcare assistance, and accommodation.”

C

8. C&B: Compensation and Benefits

Compensation and Benefits (C&B) is the term used to describe the total package of monetary and non-monetary rewards an employee receives from their employer in exchange for their work. 

• HR acronym usage example: “In our C&B Certificate Program, you will learn how to develop a comprehensive Total Rewards Strategy.”

9. CHRO: Chief Human Resources Officer

The CHRO is an organization’s HR and culture leader. They sit in the company’s executive team and are often also referred to as Chief People Officer.

• HR acronym usage example: “The CHRO is usually viewed as the most senior HR position within the scope of careers in HR.” 

10. CPH: Cost Per Hire

Cost Per Hire (CPH) is a recruiting metric that measures how much it costs a company to hire new employees. 

• HR acronym usage example: “If you hire 30 people for the year, and you spend an estimated $60,000 on the hiring process annually, your CPH is $2,000.”

D

11. DEIB: Diversity, Equity, Inclusion, and Belonging

Diversity, Equity, Inclusion, and Belonging (DEIB) are four separate concepts that hold a lot of weight on their own, but together, they boost morale, engagement, productivity, and innovation within the workplace.  

• HR acronym usage example: “In our DEIB Certificate Program, you will learn how to develop and implement meaningful DEIB strategies.”  

12. DTO: Discretionary Time Off

Discretionary Time Off (DTO) is a leave policy that gives eligible employees more flexibility to take personal time off. There is no limit on the amount of paid time off per year. 

• HR acronym usage example: “Key benefits of DTO include the fact that it increases job satisfaction and improves retention.”

E

13. EAP: Employee Assistance Program

An Employee Assistance Program (EAP) is a workplace benefit program that offers professional assistance to employees with personal or work-related problems that could impact their well-being and job performance.

• HR acronym usage example: “Implementing an EAP benefits your organization in multiple ways.”

14. EB: Employer Branding

Employer Branding (EB) is the process of managing and influencing your organization’s reputation as an employer through policies, programs, rewards, benefits, culture, work environment, values, and more.

• HR acronym usage example: “Employer branding plays a key role in talent acquisition because it can help you clarify what your unique proposition is and what your organization stands for.” 

15. EEO: Equal Employment Opportunity

The EEO is the concept of equal opportunity for everyone to pursue employment, promotion, training, and other personnel actions based on merit and regardless of characteristics such as race, sex, age, physical or mental disability, etc.

• HR acronym usage example: “Companies often declare their commitment to EEO in an Equal Opportunity Employer Statement.” 

16. EEOC: Equal Employment Opportunity Commission

The EEOC is a federal agency responsible for enforcing civil rights laws against workplace discrimination.

• HR acronym usage example: “The EEOC has the authority to investigate charges of discrimination against employers who are covered by the law.” 

17. ELC: Employee Life Cycle

The Employee Life Cycle (ELC) refers to an employee’s entire journey with their company, from attraction and recruitment to offboarding and beyond.

• HR acronym usage example: “The typical ELC consists of seven stages, starting with attracting a candidate and ending with a departing employee.”

18. ELTV: Employee Lifetime Value

Employee Lifetime Value (ELTV) is a metric that measures the total expected future value of an employee’s contributions to the organization during their employment.

• HR acronym usage example: “A high ELTV has a positive impact on business outcomes as the employees truly bring value to the organization.” 

19. eNPS: Employee Net Promoter Score

Employee Net Promoter Score (eNPS) is a metric that indicates how engaged your employees are and how likely they are to recommend your organization as a great place to work.

• HR acronym usage example: “HR can use a standardized eNPS questionnaire to gauge the likelihood of employees recommending their company.”

20. ER: Employee Relations

Employee Relations (ER) is the term used to describe an organization’s efforts to build and maintain a positive relationship with its employees.

• HR acronym usage example: “ER is typically a Human Resources department function. It can fall under the general duties of an HR professional, or there may be a manager or team dedicated to ER.

21. EVP: Employee Value Proposition

The Employee Value Proposition (EVP) is the unique set of benefits and values an employee receives in return for their skills, experience, and commitment to the company.

• HR acronym usage example: “A company’s EVP defines what employees gain from working there, while a company’s employer brand tells other people about it.”

22. EX: Employee Experience

Employee Experience (EX) is how employees feel about their interactions and encounters with the organization throughout their employee journey.

• HR acronym usage example: “EX is the HR equivalent of customer experience.” 

F

23. FJA: Functional Job Analysis

A Functional Job Analysis (FJA) is a type of job analysis that offers detailed insights into the tasks, duties, responsibilities, and interactions required for a role, as well as the necessary worker qualifications for successful performance.

• HR acronym usage example: “FJA is one of the most common job analysis methods. Other popular methods are critical incident technique (CTI) and task inventory.”

24. FLSA: Fair Labor Standards Act

The Fair Labor Standards Act is a United States labor law establishing the right to a minimum wage, overtime pay, and youth employment standards.

• HR acronym usage example: “Understanding an employee’s FLSA status is crucial for compliance with wage and hour laws.”

25. FMLA: Family and Medical Leave Act

The Family and Medical Leave Act is a United States labor law that allows certain employees to take job-protected, unpaid leave for specific family and medical reasons.

• HR acronym usage example: “Download our free AIHR checklist to finalize your FMLA procedures and to determine whether an employee is eligible for FMLA leave.”

26. FTE: Full-Time Equivalent

A Full-Time Equivalent (FTE) is a metric used to calculate the total hours worked by all employees in a business, equating them to full-time hours.

• HR acronym usage example: “The company’s strategy boosted revenue per FTE, significantly improving overall financial performance and employee efficiency.”

Discover more HR terms

The AIHR HR Glossary provides over 200 definitions of HR terms that you can refer to whenever you need to look up a new (or unknown) HR word.

G

27. GDPR: General Data Protection Regulation

The General Data Protection Regulation (GDPR) is a European privacy regulation that harmonizes the different privacy rules across the EU and governs how the personal data of individuals in the EU may be processed and transferred.

• HR acronym usage example: “The GDPR has a significant impact on HR departments since they collect and manage large amounts of employee (and candidate) data.”

28. GRPI: Goals, Roles and Responsibilities, Processes and Procedures, Interpersonal Relationships

The GRPI model is a simple and comprehensive framework that describes the most important elements that teams need to function more effectively. 

• HR acronym usage example: “The GRPI model can help teams function better, and it’s easy to explain to managers and team members.”

H

29. HCA: Human Capital Analytics

Human Capital Analytics (HCA) is a classical approach that helps organizations understand the financial impact their employees make through data.

• HR acronym usage example: “HCA is not often used anymore as it gave way to newer approaches such as People Analytics, which involve much more than what HCA focuses on.” 

30. HCROI: Human Capital ROI

Human Capital ROI is a metric that represents the financial value employees contribute compared to the money spent on them, including compensation, talent management, training, etc.

• HR acronym usage example: “HCROI can be a good indicator of the value employees provide individually and collectively.”

31. HRBP: HR Business Partner

An HR Business Partner is a (senior) HR professional who helps align the organization’s people strategy with its business strategy. As such, they form a strategic link between HR and the business.

• HR acronym usage example: “Our HRBP 2.0 Certificate Program helps HR professionals prepare to become a truly strategic partner to the business.”

32. HRIS: Human Resources Information System

A Human Resources Information System (HRIS) is a software solution that standardizes HR tasks and processes and facilitates accurate record-keeping and reporting.

• HR acronym usage example: “An HRIS can help HR practitioners save 2 hours per day on administrative tasks.”

K

33. KSA: Knowledge, Skills, and Abilities

Knowledge, Skills, and Abilities (KSA) are a person’s unique recipe for success in a particular field and role. It’s what sets them apart and what they bring to the table. 

• HR acronym usage example: “HR uses KSA to assess, evaluate, and develop employees.”

L

34. L&D: Learning and Development

Learning and Development (L&D) is an essential function of HR and a crucial part of a company’s overall people development strategy.

• HR acronym usage example: “In our L&D Certificate Program, you will learn how to design and implement an L&D strategy with key business priorities.” 

35. LOA: Leave of Absence

A Leave Of Absence (LOA) is an extended period off that an employer grants an employee for a fixed set of reasons, such as the arrival of a new child, illness and disability, bereavement, family emergencies, sabbatical, or continuing education. 

• HR acronym usage example: “There are two main types of LOAs – mandatory and voluntary leave.” 

O

36. OD: Organizational Development

Organizational Development (OD) is an interdisciplinary field of behavioral science research that helps organizations build their capacity to change and improve their effectiveness.

• HR acronym usage example: “Our OD Certificate Program will get you the Organizational Development expertise you need to future-proof your organization.” 

37. OKR: Objectives and Key Results

Objectives and Key Results (OKRs) are a collaborative goal-setting methodology for individuals, teams, and organizations. It helps them to define measurable objectives and observe key results.

• HR acronym usage example: “Developing HR OKRs is a great way for HR teams to prioritize initiatives and focus their efforts in the right direction.” 

38. OPL: Optimum Productivity Level

Optimum Productivity Level (OPL) is the ideal level of productivity that a new hire achieves throughout or after their onboarding. Businesses often use it as an onboarding metric to measure the cost of getting to OPL, which is the total cost of getting a new hire fully operational.”

• HR acronym usage example: “The cost of getting someone to their OPL includes things like recruitment and onboarding costs, training costs, the salary of the employee (and the trainers), and more.”

39. OT: Overtime

Overtime (OT) refers to the time an employee works in excess of their regular working hours. The term is also used to refer to the pay an employee receives from their employer for this time.

• HR acronym usage example: “For most organizations in the U.S., OT only applies on a workweek basis, as required by the FLSA.”

P

40. PEO: A Professional Employer Organization

A PEO is a service provider that allows (small) businesses to outsource their key HR functions such as payroll, benefits, tax administration, and more through a co-employment relationship.

• HR acronym usage example: “In a co-employment relationship, the primary employer maintains control over the day-to-day tasks and directs the employee’s work, while the secondary employer – often the PEO – takes care of the administrative functions.”

41. PILON: Payment in Lieu of Notice

Payment in Lieu of Notice (PILON) is compensation paid to employees for their notice period when they are terminated immediately (instead of working through their notice period).

• HR acronym usage example: “In the UK, your employment can be terminated without notice if a PILON clause is included in your employment contract.”

42. PIP: A Performance Improvement Plan

A Performance Improvement Plan (PIP) is a document that identifies where and how an employee’s performance is falling short, what needs to be done to improve this, and within what timeframe.

• HR acronym usage example: “Every PIP is unique to the needs of an employee and can be a powerful communication tool that supports a growth-mindset culture of continuous learning and improvement.”

43. PTO: Paid Time Off

Paid Time Off (PTO) is the time that employees can take off work while still receiving regular wages. This does not include the time during which an employee works remotely or is commuting. 

• HR acronym usage example: “An organization’s PTO policy often combines vacation, personal, and sick days.”

44. P4P: Pay for Performance

Pay for Performance (P4P) is a compensation strategy that ties employee earnings directly to their performance, rewarding high achievers with bonuses or higher pay.

• HR acronym usage example: “Many companies are adopting a pay for performance model to incentivize productivity and reward top performers.”

R

45. RACI: A Responsible, Accountable, Consulted, and Informed

The RACI matrix is a simple yet effective tool that clarifies who does what in a project. A RACI matrix provides a comprehensive overview of who is responsible, accountable, consulted, and informed for every project task.

• HR acronym usage example: “A RACI chart can be useful for many projects, but it is particularly beneficial when tasks involve multiple resources, run simultaneously, or depend on other tasks.”

46. ROI: Return on Investment

Return on Investment (ROI) is a metric that tries to measure the gains of a particular investment compared to the cost of that investment.

• HR acronym usage example: “Examples of relevant ROI metrics in HR include training ROI, recruitment ROI, the ROI of employee engagement, and HCROI.”

47. RPE: Revenue Per Employee

Revenue Per Employee (RPE) is an efficiency ratio that measures how much revenue is generated per individual working at the company.

• HR acronym usage example: “RPE remains one of the most important but often still overlooked business and HR metrics.”

48. RPO: Recruitment Process Outsourcing

Recruitment Process Outsourcing (RPO) refers to a type of business process outsourcing where an organization transfers all or part of its recruitment functions to a third-party provider.

• HR acronym usage example: “Over the past few years, RPO has emerged as a leading approach for tackling talent acquisition challenges.”

S

49. SOH: Source Of Hire

Source Of Hire (SOH) is a recruiting metric that shows the percentage of candidates hired through a particular channel, method, or source.

• HR acronym usage example: “The SOH metric helps companies keep track of the effectiveness of their different recruiting channels.”

50. SWOT: Strengths, Weaknesses, Opportunities, and Threats

A Strengths, Weaknesses, Opportunities, and Threats (SWOT) analysis is a technique to assess these four aspects of, for example, your HR department.

• HR acronym usage example: “An HR SWOT analysis enables HR teams to identify internal and external factors that affect them.”

T

51. TA: Talent Acquisition

Talent Acquisition (TA) encompasses the entire hiring process, from identifying and attracting to selecting and retaining qualified candidates.

• HR acronym usage example: “An organization’s TA strategy should always align with its people (or HR) strategy.”

52. TABP: Talent Acquisition Business Partner

A Talent Acquisition Business Partner (TABP) is a talent acquisition professional who offers strategic guidance to the company on various elements of the hiring process, such as attracting, developing, and engaging the right talent.

• HR acronym usage example: “The role of the TABP has evolved from the traditional recruiter role, which was mostly focused on sourcing and screening candidates.”

53. TM: Talent Management

Talent Management (TM) is the strategic process of bringing employees on board and helping them grow to their optimal capabilities.

• HR acronym usage example: “In our Talent Management and Succession Planning Certificate Program, you will learn how to use data and reports to optimize TM practices.”

54. TNA: Training Needs Analysis

Training Needs Analysis (TNA) is a vital tool for L&D professionals to identify the gap between the actual and the desired knowledge, skills, and abilities (KSA) in a job that gets in the way of achieving organizational goals.

• HR acronym usage example: “The need for TNA is often due to an organizational problem like a lower-than-expected quarter for the sales team, for example.”

55. TOIL: Time Off In Lieu

Time Off In Lieu (TOIL) means an employee receives paid time off as compensation for working overtime instead of receiving overtime pay.

• HR acronym usage example: “In some companies, TOIL is used when a public holiday falls on a non-working day.”

56. TTC: Total Target Cash

Total Target Cash (TTC) refers to the total amount of all the cash-based compensation an employee receives when they achieve the expected results, including their annual base salary and a performance-based target bonus.

• HR acronym usage example: “TTC and Total Target Compensation are similar, but there are some important differences between the two.”

57. TTF: Time To Fill

Time To Fill (TTF) is a recruiting metric measuring the number of calendar days it takes to hire a new candidate from the moment the job requisition is approved to when the candidate accepts the job offer.

• HR acronym usage example: “Even though the time to hire and TTF metric are often used interchangeably, the two should not be confused.”

58. TTH: Time To Hire

Time To Hire (TTH) is a recruiting metric that measures the number of calendar days it takes to hire a new candidate from the moment the candidate applies to the moment they accept the job offer.

• HR acronym usage example: “TTH provides information on two important recruitment processes: recruiting efficiency and candidate experience.”

V

59. VTO: Voluntary Time Off

Voluntary Time Off (VTO) is a leave category that gives employees the option to take unpaid time off work. Certain companies use this, for example, when more employees are available to work than needed.

• HR acronym usage example: “VTO can refer to two different leave categories: voluntary time off or volunteer time off.” 

60. VTO: Volunteer Time Off

Volunteer Time Off (VTO) is a relatively new employee benefit where employees get paid time off to volunteer and give back to their community. 

• HR acronym usage example: “VTO typically ranges from 8 to 40 hours per year.”

Key takeaway

• HR acronyms and abbreviations are unavoidable for those who work in Human Resources. While HR professionals will know most acronyms, especially if they’ve been around for a while, new terms keep being added.
• Bookmark this page so that next time you’re unsure what an HR acronym or abbreviation stands for, you can take a peek at the list in this article.

The post Your A-Z Guide of HR Acronyms & Abbreviations appeared first on AIHR.

In this article, we share a selection of HR quotes that will inspire and motivate you. Most of them come from our very own Subject Matter Experts and AIHR’s People Team!

Contents
Motivational HR quotes
HR professional quotes
Funny HR quotes

Motivational HR quotes

#1

This powerful, short quote serves as a reminder to HR professionals, particularly because we sometimes get so wrapped up in taking care of everyone else that we forget about ourselves. 

Laura recommends taking your paid time off (PTO) to rest and recharge. Also, to set expectations in your role. For example, advocate for a budget to help you do your job well and prioritize your professional learning and development.

→ What you can do:

• Check out Laura’s full post here.

#2

HR is not just simply about helping the people of the organization. It’s also about helping the organization meet its objectives. As HR practitioners, it is essential to align your people-oriented goals with the business goals to facilitate success for both the business and its employees.”

→ What you can do:

• When designing or implementing a new policy, initiative, or strategy, ask whether the approach is good for the organization and your people. 

#3

At AIHR, we believe that HR can be a force for good that balances the needs of individuals, organizations, and society to deliver mutually beneficial value. HR holds a distinct position to make a contribution and impact across six wide-ranging areas: 

1. Accessibility of work 
2. Equality and fairness
3. Human-AI interaction
4. Voice for societal issues
5. Human wellbeing
6. Climate adaptation.

→ What you can do:

• Read our in-depth article ‘HR as a Force for Good: Driving Positive Change in Business & Society’ by our subject matter experts, Dr. Marna and Dr. Dieter Veldsman.
• Implement the recommended 4-step approach as a starting point for your organization’s HR for Good initiatives. 

#4

Dr. Veldsman emphasizes the transformative role of HR in unlocking individual potential. HR professionals should view their work not as mere resource management but as a catalyst for personal and professional growth. 

HR professionals can foster a culture that values and nurtures each employee’s unique abilities. By doing so, they contribute to organizational success and the fulfillment and empowerment of individuals within the workforce.

→ What you can do:

• As HR, think of ways to involve employees in building a culture that values and nurtures each employee’s unique abilities. 

#5

While this quote isn’t directly (or uniquely) aimed at HR professionals, Adam beautifully describes part of what HR’s role entails here. Creating a transparent work environment where people feel supported during the good and bad times.

A lot of what HR has to deal with on a regular basis can be referred to as hard times, employee grievances such as sexual harassment, employees who are seriously ill, layoffs, disgruntled staff, and the list goes on. It’s in these moments that the people involved need to feel supported – this goes for employees as well as the HR team.

→ What you can do:

• As an HR team, organize a workshop around how to best support employees – and each other – in hard times.
• Ask HR professionals from outside the company, for example, in an online or offline HR community, for tips and best practices.

#6

Julie Turney is a former HR professional turned HR for HR Coach. She is also a vocal advocate for self-care within the HR community. 

Julie fully understands the challenges HR professionals face, including mental health issues and burnout. 

Recent reports indicate how burnt-out HR professionals are. Post-covid challenges, a chronic lack of support and unappreciation, and an increased workload are some reasons why 98% of HR professionals report being burned out, and 88% admit they dread going to work. 

→ What you can do:

• It is time for HR professionals to start practicing HR for HR. Julie has created a concept called SAFE HR, which is a good starting point. In a nutshell, it entails:
  • S – Self-awareness. Recognizing your strong points as well as areas for improvement.
  • A- Act. Engaging in difficult discussions with leadership to express your needs and the support you require.
  • F – Forgive. Allowing yourself to move past projects that didn’t meet expectations, focusing instead on your accomplishments.
  • E – Educate. Commited HR professionals take full responsibility for their own professional growth, including skill enhancement, technological literacy, and understanding the needs of their People Team. They do everything in their power to be the best HR professional they can be.
• Read our article about HR for HR, which shares nine actionable tips for HR’s well-being. 

#7

This advice is true for all of us, whether we’re in HR or not. However, HR has had to navigate some negative perceptions of the department. An aspiring HR professional encountered a negative attitude to HR on Instagram reels. People had scathingly commented that the HR department was a useless department and most actively disliked HR. 

In one of AIHR’s podcasts, Steve Browne also discusses HR’s poor reputation and where it comes from. He believes that part of it is due to the fact that people base their experiences with HR on if something went wrong, and then that becomes their framework reference. The other part, he believes, is coming from HR itself, focusing more on the negative than the positive when it comes to people. 

So, there is work to do on that front. 

→ What you can do:

• Define the value that you bring as an HR professional. If there is an area where you don’t feel confident in, find support or opportunities to develop and equip yourself
• Have confidence in the value, knowledge, and expertise that you bring to the organization. This confidence will help you when others have an opinion or negative perception of what you do 
• Consider how, as an HR department, you can communicate that value to executives and employees in the business.

#8

In the LinkedIn post that accompanies one of her signature illustrations, Liz explains that when we feel pressure to conform, we tend to hide who we really are. We also stay quiet instead of sharing what we know, even if it would benefit the team.

This is food for thought for HR professionals and teams. How can we create a culture where people feel confident to share their ideas because they feel a sense of belonging?

→ What you can do:

• Read our Rethinking DEIB authored by Dr. Dieter Veldsman and Neelie Veldsman (that’s me)
• In this piece, we share a multi-level perspective on Diversity, Equity, Inclusion & Belonging with practical tips on creating a DEIB environment in an ever-evolving space. 

HR professional quotes

#9

HR professionals need a broad range of skills to succeed in their roles. Essential HR skills include role-specific and soft skills, business acumen, and digital and data literacy. Not only will these skills help HR practitioners develop their careers, but they will also contribute to the organization’s success. 

Moritz emphasizes the importance of combining business-related skills, such as data literacy, with people-related skills, like empathy and understanding. It’s this variety of skills and finding the right balance between them that makes working in HR so exciting – and challenging at the same time.

→ What you can do:

• Take a look at our overview of 18 HR skills every HR professional needs to get an idea of what skills you might want to develop or brush up on this year
• Based on your assessment, check out various HR courses or certificate programs and sign up for the ones that seem most relevant and exciting. 

#10

The advent of generative AI like ChatGPT has accelerated the need for HR professionals to use technology (and become more efficient). 

This rapid adoption of AI also requires HR to guide the organization and its employees in its adoption and use. It will be up to HR to create policies around the use of these new technologies.

But HR cannot serve as a guide if we don’t see (and use) technology as a value-adding productivity partner. 

→ What you can do:

• Assess how technology is or can be a value-adding partner in productivity within your organization, starting with your own HR team.

#11

Erik emphasizes the role of HR in unlocking individual potential. To do so, HR needs to unlock its own potential first. 

This requires HR professionals to identify skills gaps and prioritize professional development goals to develop the skills and competencies needed to provide business value and people value. It also means acknowledging when to focus on wellbeing and developing resilience in a rapidly changing work environment.

→ What you can do:

• As an HR professional and as an HR team, ask: What do I need to enable myself, and what do we need as a team?

Funny HR quotes

#12

Recruiters frequently find themselves balancing multiple candidates with the expectations of eager yet occasionally impatient hiring managers. All the while, they must meticulously manage the stages of the hiring process.

It’s a lot to manage.

→ What you can do:

• Hold an intake meeting with the hiring manager to understand more about the job and the ideal candidate so that you can align the recruitment process with the hiring manager’s expectations
• Set realistic expectations with the hiring manager
• Communicate clearly and consistently during the recruitment process to manage candidate expectations.

#12

Dieter highlights the importance of understanding your role in HR. Being the people’s advocate at times means that you have to be the voice of reason.

This means that sometimes you will have to take the unpopular stance, and be the one that asks, “what are the implications if we do or don’t do this?”. HR is about treating people fair so they respect you, not about trying to be “liked”.

→ What you can do:

• Take a moment to reflect on some of your recent decisions. What motivated you to take a particular stance?
• What is the level of respect for the HR function in your organization? A great way to assess the current perception of HR is to conduct an HR Impact Survey and gather feedback from stakeholders.

#13

A fun, lighthearted quote to wrap up our list of HR quotes. Something that many people in HR may have thought at least once in their careers. 

So much is expected of HR professionals — from leadership, employees, and our peers. Sometimes people can inadvertently think we are miracle workers. But we are not. 

→ What you can do:

• Stay calm and keep smiling. 

The post 13 HR Quotes To Inspire and Motivate HR Professionals in 2024 appeared first on AIHR.

We’ve compiled a list of nine HR courses for beginners that are worth checking out to help you get started.

Contents
Academy to Innovate HR (AIHR)
Administrative HR for Beginners
Associate Professional in Human Resources (aPHR)
Certified Professional (SHRM-CP)
The Chartered Institute of Personnel and Development (CIPD)
Compliance Prime
Oxford Home Study Centre
CHRMP Foundation/Associate
HR Fundamentals
FAQ

Please note that this list is compiled based on publicly available information. We have not tried the courses ourselves, with the exception of AIHR’s courses.

1. Academy to Innovate HR (AIHR)

Of course, this is our favorite! We created The Academy to Innovate HR, or AIHR, to offer certification in various areas of HR, including sourcing and recruitment, data analytics, and digital skills. The courses offer a lot of value to HR professionals of different experience levels, including those just starting our their HR careers.

All courses are created by HR practitioners for HR practitioners and have a flexible, bite-sized structure, which means you can learn anywhere and anytime.

Here’s our full list of HR certification courses:

• HR Generalist
• Sourcing & Recruitment
• Talent Management & Succession Planning
• People Analytics
• Organizational Development
• Digital HR 2.0
• Compensation & Benefits
• Diversity, Equity, Inclusion & Belonging
• HR Manager
• HR Business Partner 2.0
• HR Metrics & Dashboarding
• Learning & Development
• Strategic Talent Acquisition

Alternatively, you can opt for Full Academy Access, giving you unlimited access to all our current and future courses. For 12 months, you can access over 40 courses and 13 certificate programs. This route saves you a lot of money as well.

All AIHR courses are globally accredited by SHRM and HRCI. As a student, you also get access to AIHR’s global practitioners’ community, where you can share experiences and discuss best practices. You can also download useful HR templates, guides, and resources.

Visit the Academy to Innovate HR here.

2. Administrative HR for Beginners

Administrative HR for Beginners on Udemy is an introduction to the role and duties of Human Resources. If you are a small business owner who wants a deeper understanding of HR, someone looking for a job in HR, or an administrative professional whose duties include HR, this online HR course for beginners is for you. 

The course provides a general introduction to the HR function, with insight into taking your HR responsibilities to the next level.

Topics include:

• Exploring the role of HR from administrative and compliance to strategy and business growth
• Learning where to begin with an HR audit
• Discovering the process of recruiting great talent, from job analysis to writing interview questions and job postings
• Learning about a performance management process with more impact.

The course is suited for anyone interested in HR, management, and related fields. No advanced preparation or prerequisites are needed.

3. Associate Professional in Human Resources (aPHR)

When it comes to HR certification for beginners, it’s hard to find a program that better fits the description than this one: The first-ever HR certification designed for professionals who are just beginning their HR career journey. This certification by the HR Certification Institute (HRCI) aims to help you fast-track your career growth and give you the confidence to launch into the HR profession.

The aPHR certification is created for professionals who are just starting in HR and enables you to prove your knowledge of foundational Human Resources. Topics include:

• Compliance and risk management
• Employee relations
• Talent acquisition
• Compensation and benefits
• Learning and development

To be eligible for the aPHR, you must have a high school diploma or global equivalent. No HR experience is required.

Another HRCI certification that can be insightful for budding HR professionals is the Associate Professional in Human Resources – International (aPHRi). This program is similar to the aPHR but provides you with an HR credential for any location.

4. Certified Professional (SHRM-CP)

Going beyond theory, SHRM offers a Certified Professional (SHRM-CP) program that provides you the opportunity to prove not only what you know but also how you can apply that knowledge on the job. This HR certification program is an excellent option for beginners to learn about the field and bring their HR journey to the next level.

This certification is open to students regardless of their job title as long as they perform HR-related duties within their role. However, SHRM recommends having a basic working knowledge of HR practices and principles or a degree from an Academically Aligned program.

To prepare for the exam, you can choose from flexible self-study and instructor-led options depending on your learning style.

5. The Chartered Institute of Personnel and Development (CIPD)

Whether you’re starting out in your HR career or already working within a support level role, the CIPD Level 3 Foundation Certificate in People Practice will provide you with a solid foundation in all areas of HR and develop the essential skills and confidence you need to progress your career further.

The course covers four core areas:

• Business, culture, and change in context
• Principles of analytics
• Core behaviors for people professionals
• Essentials of people practice.

This course is suited to individuals who are:

• Looking to get into HR or progress in a new HR role
• Working at a support level, e.g., HR Administrator/HR Officer
• A non-HR manager with people management or HR responsibility
• For people who are UK or overseas-based

The course leads to CIPD Associate Membership and is a fully online HR course.

6. Compliance Prime

Compliance Prime provides training in the form of webinars. They offer continuing education courses on the latest HR practices, rules, and regulations, perfect for new HR professionals to begin their learning journey. When you follow an HR webinar from Compliance Prime, you can also earn HRCI and SHRM credits. 

Some lessons coming up in 2024 include:

• New Hire Onboarding
• Payroll Tax Changes for 2024
• Transform HR: From Complaint Central to Strategic Powerhouse

Check out the Compliance Prime site for a calendar of webinars and find the right one for you.

7. Oxford Home Study Centre

Oxford Home Study Centre offers year-round enrollment in HR courses covering core aspects of HR, such as:

• Basics of HR management
• Staffing
• Interviewing
• Training and development.

OHSC offers both free and paid course options, making it a great learning opportunity for HR beginners. The study center is based in the UK, but the courses can be accessed globally.

8. CHRMP Foundation/Associate

Designed as an HR certification for beginners, the CHRMP foundation/associate course is a comprehensive course that lays the foundation for those entering the HR field. 

With six modules, this HR course takes you through the basics, including: 

• HR Operations
• Talent Acquisition
• Compensation & Benefits Planning
• Job Analysis
• Learning and Development
• Employee Engagement

At the end of the completed modules, you will sit for your exam to be certified. After the course is over, CHRMP offers one year of support for their recent grads. With a great support system, this is an easy choice for those looking for HR courses for beginners.

9. HR Fundamentals

HR Fundamentals online course is a useful introduction to HR aimed at beginners in the field. This self-paced online course takes you through five pillars of HR:

• What HR means
• HR practice
• People and strategy
• Performance, engagement, reward, and recognition
• Recruitment

As an HR basics training course, Future Learn has put together this course alongside the Chartered Institute of Personnel and Development. Allowing you to move at your own pace, this HR course is a worthwhile option for those who want to make a career change.

Before you go

If you’re looking to get into HR, HR courses for beginners are a great first step to building foundational HR knowledge and expertise. These courses provide essential insights and skills that help you start a rewarding career in the evolving field of Human Resources. Look for programs that include practical aspects such as case studies, real-world scenarios, and interactive exercises. This will allow you to apply your learning and gain hands-on experience in HR practices.

A combination of theoretical knowledge and practical application equips you with the confidence and competence to successfully navigate the complexities of the HR function.

FAQ

The post 9 Best HR Courses for Beginners [2024 Edition] appeared first on AIHR.

This article provides fifteen Employee Appreciation Day ideas that HR professionals can use as inspiration for their initiatives this year.

Contents
What is Employee Appreciation Day?
When is Employee Appreciation Day?
15 Employee Appreciation Day ideas
Employee Appreciation Day message examples
FAQ

What is Employee Appreciation Day?

Employee Appreciation Day (EAD) takes place annually on the first Friday of March. The idea is for employers to recognize and thank their employees and show them their appreciation.  

Employee Appreciation Day was invented by Dr. Bob Nelson in 1995, initially to market his book ‘1001 Ways to Reward Employees.’ 

Together with his publishing company, he made sure that the holiday appeared prominently on workplace calendars. This was a successful strategy; the book sold over 2 million copies and was translated into over 25 languages.

When is Employee Appreciation Day?

In 2024, Employee Appreciation Day is on Friday, March 1. 

As mentioned above, Employee Appreciation Day takes place on the first Friday of March. Here’s an overview of the dates on which EAD will be celebrated in the next few years:

Ideally, though, organizations show their appreciation for their employees all year round. This is why some companies have an employee recognition program and organize their own Employee Appreciation Day or events at different times throughout the year.

15 Employee Appreciation Day ideas

How your company celebrates Employee Appreciation Day should reflect your unique culture and values.

If your organization prides itself on teamwork and collaboration, group activities or team-building events might be the ideal way to show appreciation. Providing a platform for employee-led projects or creative showcases would be more fitting for a company that values innovation and creativity.

The key is to celebrate in a way that not only resonates with your employees but also reinforces the fundamental principles and ethos of the organization.

Let’s take a look at Employee Appreciation Day ideas your organization can consider. Some of them are great for in-office or workplace celebrations; others work well when people are remote.

1. Make employee appreciation part of your organization’s DNA

As mentioned a couple of times before, recognizing and appreciating your employees should be an inextricable part of your organization’s culture. 

If this isn’t the case yet, for example, because you’re in a start-up or because of other priorities, this year’s Employee Appreciation Day can be the perfect time to start creating a culture where employee appreciation is part of people’s everyday experience at work. 

2. Ask your employees what they appreciate

Employee Appreciation Day is about saying thank you to your employees. Therefore, asking them what they would like to see or get from their employer on this particular day makes sense.

Rather than HR departments coming up with tons of different ideas and giving everyone in the organization the same gift card, thank you note, or coffee mug, asking employees what they want is a token of appreciation in itself.  

3. Create an employee spotlight program

An employee spotlight is an opportunity for your employees to share their unique stories and get recognition for their performance.

Benefits of implementing an employee spotlight program include the fact that it i) recognizes people, ii) builds a culture of appreciation, and iii) fosters connections among employees.

4. Host an employee award ceremony

What better way to recognize people’s performance and say thank you than by organizing an employee award ceremony on Employee Appreciation Day? 

The ceremony can be held in the office or workplace while making it accessible to those working remotely by simply inviting them to an online meeting. 

5. Give managers an Employee Appreciation Day budget 

If the financial resources are there, giving managers an Employee Appreciation Day budget can be an excellent idea. It kills several proverbial birds with one stone:

• The fact that you reserved a budget shows people that you care and appreciate them.
• It allows managers and their teams to come up with a way to celebrate EAD that suits them best, supporting team bonding. 
• It gives managers and teams the autonomy to decide how they want to commemorate and spend Employee Appreciation Day.

6. Give employees a paid birthday off

This is a typical example of doing things throughout the year that show people that the organization they work for cares about them and appreciates them. 

It’s also something that probably no one has any objection against or doesn’t appreciate, and it is something very personal – people’s birthday – that at the same time happens to everyone, which makes it innately inclusive.

7. Offer employees a subscription to a wellness app of their choice 

Offering employees a subscription to a wellness app of their choice is not only a token of appreciation but can also be part of the organization’s total well-being approach.

To make it easier for people to choose which app they would like to subscribe to, HR teams can put together a list featuring apps in various categories, such as:

• Fitness apps
• Mental health apps
• Meditation apps 
• Yoga apps
• Menstruation tracker apps.

8. Gift personalized fortune cookies

This is an idea that can take various forms. The most straightforward option is to have ready-made fortune cookies with a personalized message, or a thank you note inside for all employees.

Another option can be to suggest this as a fun team activity on Employee Appreciation Day or to ‘let employees be the author of their own dessert destiny’ and gift them a DIY fortune cookie kit.  

9. Organize a gratitude exchange

You can adapt the concept of secret gift exchanges like Secret Santa to show gratitude to your employees.

The idea is that everyone receives the name of a colleague (there are tools you can use for this) and that on Employee Appreciation Day, they send this person a personalized message of appreciation. 

This can be an excellent activity for managers to do with their teams rather than a company-wide event simply because team members know each other better, and it is difficult to say anything meaningful to people you don’t know. 

10. Spin the wheel

This Employee Appreciation Day idea involves having a big spinning wheel in the workplace that employees can spin. Doing so allows them to win prizes determined by which segment the wheel lands on. As each segment offers a different prize, there is always a chance to win something.

Prizes can be physical gifts or, as we did at AIHR, experiences like a dinner for two in a unique location or an indoor skydive. What you include depends on your budget.

11. Buy employees a lottery ticket 

A relatively low-budget but usually much-appreciated Employee Appreciation Day idea is to buy employees a lottery ticket. It marks the occasion which, if your organization already has a culture of employee appreciation, can be enough. 

12. Throw a celebratory event 

If your organization has all of its employees working in the same location, or if various locations have their own budgets for these kinds of things, hosting an event like a concert or a comedy show can be a great way to celebrate Employee Appreciation Day.

Don’t forget the option to offer an option to join remotely if you have telecommuting employees.

13. Say thank you 

If there is only one thing you do on this year’s Employee Appreciation Day, let it be saying a heartfelt ‘Thank you’ to your employees one way or another. 

As we’ve seen in this article, there are a million ways to do this, but as long as it is sincere, the rest doesn’t matter all that much. You can simply write ‘Thank you, I appreciate you’ on a Post-It note and leave that at people’s desks, or encourage managers to do so.

14. Offer employees a gift card of their choice

While gift cards might not be the most original present, many people are happy that they can decide for themselves what they want to get from their favorite store and appreciate the gesture. 

In that regard, offering employees a gift card is an excellent way to mark the occasion. But again, this only works if your organization has created an environment where employee recognition is already commonplace. 

15. Ask for feedback 

If, from an HR perspective, your organization has built a culture of recognition and appreciation, Employee Appreciation Day may be a good time to ask your employees what they think. 

How do they look at initiatives such as your peer recognition program or quarterly employee award events? Do they feel appreciated in their everyday work experience? What do they believe could be improved? 

Employee Appreciation Day message examples

Besides recognizing their employees with small gifts, events, or tokens of appreciation, companies often share messages on their communication channels, such as Linkedin.

Below are four Employee Appreciation Day message examples that can inspire your own appreciation posts.

1. Deluxe

This LinkedIn post from multidisciplinary service provider Deluxe shows the power of simplicity:

• A straightforward thank you to their employees
• A collection of pictures from the people working at the company, and
• The mention that they appreciate their employees today and every day.

When the latter truly is the case, this message is all you need on EAD. 

2. Ferring Australia

What’s nice about Ferring’s employee appreciation day message is that rather than posting something on the ‘official’ Employee Appreciation Day, they choose to celebrate their employees at a different time. 

In fact, they decided to do so after what seems to have been a long and busy period for their employees. This in itself demonstrates the organization’s commitment to recognition and appreciation throughout the year.

3. DoubleTree by Hilton Atlantic Beach Oceanfront Hotel 

Another great example comes from a DoubleTree by Hilton Hotel. Here, too, the message is straightforward and demonstrates that at this DoubleTree, they have what they call Random Employee Appreciation Days, which indicates a culture of appreciation. 

4. Ironhorse Funding LLC

Instead of celebrating Employee Appreciation Day, they decided to give it a little twist and had what looks like a great Employee Appreciation Night at one of the offices of Ironhorse Funding LLC. 

HR tip

If you’re looking for inspiration, be it for Employee Appreciation Day messages or gift ideas, type #EmployeeAppreciationDay in the LinkedIn search bar, and you’ll get lots of results.

Key takeaway

It’s cliché but true: every day should be employee appreciation day. If this isn’t the case yet in your organization, use some of the ideas listed in this article to start building that culture of recognition and appreciation. Happy Employee Appreciation Day! 

FAQ

The post Employee Appreciation Day 2024: 15 Ways To Celebrate Your Employees appeared first on AIHR.