Top 7 FAQs About HR Policies Answered

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HR Policies

Within an organisational set-up, the core decision-makers of a company formulate a  framework of guidelines to streamline overall workforce management. The employees are bound to comply with these company policies so as to achieve a specific goal, draw ethical boundaries, and maintain a professional demeanor.

Working professionals are often intrigued about the HR policies of an organization since it reflects the overall work environment and culture of the workplace.


1. What are HR policies? 

HR policies are a set of guidelines, disciplinary procedures, obligations, and standards of behavior that are aligned with the company objectives to manage and direct people, i.e., the human resources. These company policies are the rules and processes that regulate the employment relationship amongst the members of an organization. Employee policies describe the rights, responsibilities, and expected behaviour/conduct of the workforce when it comes to working together in a group. In short, HR laws and policies delineate what you can and cannot do in a company. 

A company’s HR department is usually responsible for formulating and managing the HR policies. Most of the HR policies are applicable to all permanent, temporary, part-time, and full-time employees within an organizational set-up.


2. How to develop essential HR policies and procedures?

Developing a list of HR policies that are essential for the health of a company revolves around requirements gathering, maintaining privacy, establishing working hours, leave management, compensation and benefits, and workforce planning.

In order to develop an efficient set of HR policies and procedures, the management must follow the steps mentioned below

1. Understanding the need and motive behind implementing the policies
2. Selecting suitable (self-explanatory) titles for each company policy
3. Using simple and clear language for easy understanding of policies
4. Defining a concise structure and outline for every employee policy
5. Reflecting company’s image and culture through the HR policies
6. Making each policy employee-friendly, flexible, and easy to practice
7. Involving multiple stakeholders while reviewing & finalizing policies


3. Why are HR policies and procedures important?

Just like the society needs law and order to maintain harmony and establish a common understanding, businesses also require HR policies to run smoothly.

Mentioned below are the top 4 reasons why HR policies and procedures are important for every organization:

    • Apart from effectively drawing rules for employees, HR policies recognize their needs of people, and respect their thoughts as a human resource
    • Standard HR policies make every employee’s opinion count, and make them feel valued by implementing same rules for everyone, thereby bringing uniformity, and eliminating discrimination or biasedness  
    • Well-written HR policies minimize conflict among employees and help senior officials to take right decisions as per the official rules and regulations
    • A good HR policy not only maintains the well operation of an organization internally but also improves the company image within the society

HROne is rather a trend-setter than a follower. We follow 9 basic HR policies and suggest every SME to develop procedures along the same line. You can find a number of free sample HR policies and procedures pdf online to create your own as per your requirements and preferences. 

Our list of 9 prime must-have company policies are as follows:


I. Rewards & Recognition Policy

Employees deserve to get acknowledged for all the effort and hard work that they put into making your business a success. Creating a Rewards and Recognition Policy is the first step towards making sure that they don’t feel unnoticed and underappreciated.


II. Business Travel Policy

For the section of your workforce that frequently travels for business requirements, it is imperative that you outline proper guidelines to make these business trips easy and organized. This can be done through a well-defined Business Travel Policy that not only controls travel finances but also makes the trips hassle-free.


III. Claim Reimbursement Policy

The employees who work offsite trust you with their hard-earned money! Ensure that they get repaid fairly and on time after making expenses for important business requirements from their own pockets by creating an effective Claim Reimbursement Policy.


IV. Dress Code Policy

Within an organizational set-up, employees follow several codes of conduct. Dress code policy is all about giving clear instructions regarding maintaining a professional appearance during the work hours. How your employees dress up and look says a lot about your organization, its culture, and environment. So, why not make the best impression?


V. Leave Policy

To refrain from recurring cases of tardies, and absenteeism, it is important to define crystal clear leave, time, and attendance related protocols. A well-framed Leave Policy helps employees understand their limitations related to official work hours/timings and leaves, etc..


VI. Performance Management Policy

The everyday hustle of the workforce should never go unnoticed. To make sure that employee-show, their productivity and performance is regularly tracked and assessed, a good Performance Management Policy is thoroughly prepared. It reflects the role of employees in a business’s gradual success.


VII. Salary Advance Policy

This HR policy is drafted for those rare/occasional times when your employees are in need of financial assistance. Salary Advance Policy helps employees know about their options when it comes to asking for a part of the salary to be released in advance.


VIII. Time & Attendance Policy

A punctual and regular workforce is the dream of every employer. So, wait no more and create a straightforward time & attendance policy to let your employees understand the work timings better and abide by the same.


IX. Timesheet Management Policy

For every organization, the end goal is to get tasks completed within the stipulated time. But, how do you ensure that your employees stick to the work timeline? Through a properly drafted timesheet management policy, the workforce learns to value time and stays informed of their do’s and don’ts.


5. How to align HR policies with the company goals?

For a successful business, it is extremely crucial to make sure that its HR initiatives go hand in hand with the larger strategic business goals. Here are a few primitive ways to help you align HR policies and procedures with the company objectives:

Here are a few primitive ways to help you align HR policies and procedures with the company objectives:

1. Realize what success means to you and how is HR driving it
2. Align and articulate HR goals of your C-suite through hypotheses
3. Devise plans to take goal-oriented actions; achieve the desired results
4. Get everyone at the table of decision-makers to buy in
5. Measure the contribution of HR policies in attainment of company goals

Also Read: Unique & Interesting HR Policies Followed by these Companies


6. How do HR practices differ from HR activities?

HR Activities

Includes daily HR operations and KRAs of HR professionals involved with the HR Department such as posting job ads, writing job descriptions, onboarding new employees, streamlining time & attendance, managing payroll, benefits & compensation administration, maintaining compliance with laws and regulations, and keeping employees engaged.

HR Policies & Practices

HR policiy are based on legal compliance requirements, company goals, workforce management, and maintaining human resources best practices. HR practices are strategic in nature. HR policies & procedures represent an efficient guidance system that aligns with the executive business plan to manage company success and reputation through excellent people and operations management. 


7. What are the 5 must-have policies of an employee handbook?

Employee handbook is a company policy manual that includes employment and job-related information such as do’s and don’ts, which every employee must be aware of.

5 main types of HR policies that must be clearly mentioned in an employee handbook are as follows:

1. At-Will Employment Policy
2. Anti-Sexual Harassment and Non-Dicrimination Policy
3. Leave and Time-off Benefits Policy
4. Code of Conduct and Dress Policy
5. Health and Safety Policy

Apart from the aforementioned list of company policies, organizations formulate and implement their own set of policies, keeping in mind the nature of business, type of workforce, and organizational objectives among other preferences and needs.

Some recently introduced HR policies and procedures that are massively trending include:

1. Remote or Hybrid Working Policy
2. Zero Tolerance For Workplace Violence Policy
3. No Drug and Alcohol Consumption Policy
4. Data Confidentiality and Security Policy
5. Bring Your Own Device (BYOD) Policy

So, decide what aligns with your business goals and start creating custom HR policies for your company with HROne’s sample HR policy templates now!

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Kajal Sharma

Kajal Sharma is a Technology Enthusiast. Having completed her Engineering Degree, she keeps abreast of the latest technology trends in the market. She has an enriching experience of many years in Content Writing & Editing and Content Marketing. Besides believing writing to be the strongest form of expression, she finds solace in music and can hum a few bars herself!

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