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5 Tips to Frame a Powerful HR Policy

By SiliconIndia   |   Monday, September 24, 2012   |    3 Comments
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Bangalore: Clear and concise HR policies are essential for several reasons. A company can face legal challenges, grievances and lawsuits if it fails to implement these policies. Every organization requires professional HR policies to run the company effectively and efficiently.

Human resource policies and procedures ensure that staffs are treated equally across a variety of employment issues. It also provides help if any legal situations arises.

According to a post in, policies serve a number of essential functions:

•    To communicate values and expectations for the things that is done in the organization
•    Empowers the company in compliance with laws and provide protection against employment claims
•    Document and implement best practices appropriate to the organization.

Some important fields where policies should be framed are:

•    Code of Conduct, Confidentiality
•    Working conditions, Attendance, Hours of Operations, Overtime
•    Termination (Voluntary and Involuntary), Compensation  and Recruitment
•    Salary, Performance Management, Benefits and Eligibility
•    Leave (Sick, Short and long Term Disability, Maternity, Parental, and Adoption, Unpaid, Jury Duty, Family Leave)
•    Privacy, Formal complaint process, Disciplinary
•    Work culture, Discrimination and Harassment
•    Health and Safety, Alcohol and Drug Use Policy

Some pointers to keep in mind while establishing a HR policy as posted on are:

1. Working conditions, Hours of Operations, Overtime:

It is important for companies to frame few basic rules and regulations. Employers should determine the number of working hours an employee works per day although it’s specific to departments and roles. Compensatory offs on a weekday should be given to employees who had to work on the weekends.

2. Termination, Recruitment and Compensation:

Policies under this category explain the procedures relating to the induction of a new candidate and resignation of a current employee. Policies like background checks, verification of educational details, relieving details from previous employers, and resignation procedures such as handing over of responsibilities, notice period and others should be clear and straight forward.

3. Leave & attendance:

Every employee should be entitled to sick leaves and maternity leave for female employees. Employees are also entitled to paid leaves. However this is subjected to the number of working days of an employee in the organization. Maternity Leaves should be paid and mandatorily offered to women employees as per Government policy.

4. Salary, compensation, Performance Management, Benefits and Eligibility

This includes framing of guidelines for salary compensation, bonus, annual increments, and loans against salary, PF and gratuity. Benefits like HRA, monthly medical allowance, TA and health insurance should be offered depending on the ability of the business and size of the organization.

5. Work culture, Discrimination and Harassment:

This HR policy must not be ignored. It includes dress code, confidentiality, customer misbehavior, discrimination and sexual harassment. They should be formed with utmost care, empathy and keeping work culture in mind.

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Reader's comments(3)
1: Hi i am Aishwarrya Nathakumar, fresher 2014 passed out candidate. I have joined as a HR in a start up company and since the responsibility is handed over to me i am looking to set up the basic HR activities at first , I need to frame HR policies please give me suggestions. Thank you
Posted by:Aishwarrrya - 04 Aug, 2014
2: thanks a lot for Article.This is gud to know information :)
Posted by:anita - 10 Jan, 2013
3: Really worth information.
Posted by:Guruprasad - 10 Oct, 2012
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