Unless you are a sole trader, you need a Human Resources (HR) department or at least an HR manager. The HR department carries out multiple functions, many legal in nature.
What are the legal aspects of HR and why are they so important?
Recruitment
Your HR department may be responsible both for sourcing new talent and bringing that talent on board. There are several legal aspects to this. For example, your HR department needs to ensure that your recruitment policies provide equal opportunities. You cannot discriminate based on protected characteristics at any point in the recruitment process.
Wages and hours
Once you have brought talented individuals in, your HR department will be involved in managing them. For example, HR may be heavily involved in having employees sign contracts. They will need to make sure that employees are paid and given time off according to state and federal employment laws.
Resolving disputes
Another key area that HR tends to take care of is disputes. These may be between employees or regarding business policies. It is essential that legitimate grievances are dealt with appropriately. HR needs to be equipped to conduct impartial investigations, provide protection for workers and ultimately resolve potentially complex issues.
Other key legal aspects of HR include:
- Ensuring health and safety compliance
- Managing vacation time
- Dealing with redundancies
- Dealing with sensitive data
Ensuring that your HR department is well-equipped can save you a lot of time and money, and it can prevent legal claims against your business.
If you are facing a legal issue that may be too complex for HR to address internally, then it is wise to seek further guidance.