Human Resources Basics

Author: Youth 2 Youth

Human Resources is not simply the realm of big business or the sole responsibility of human resource practitioners. Small businesses can benefit greatly from a deeper understanding of the day-to-day issues encompassed by the catch-cry of 'Human Resources'.

Once any small business expands beyond its original means, it becomes imperative to employ more people. Hiring of new staff should be viewed as a long-term investment and like any investment it needs to nurtured if it is going to develop fully. The first thing to consider before placing your advertisement is whether your company has in place the infrastructure necessary to deal with both the legal and personal issues relating to new employees.

The Legal Issues

Are you aware of the tax legislation relevant to your industry? The hours your employee will work and whether they are going to be paid according to an industrial award or if you will draw up an individual contract and have it approved as an enterprise agreement by the Industrial Relations Commission? Have you taken out the insurance required by law in case of any workers compensation claims? Additionally, you need to set up at least the minimum superannuation support at the level proscribed by government legislation.

At its most basic, Occupational Health and Safety (OH&S) refers to the responsibility of any employer to provide a safe and healthy workplace. In order to provide this you need to educate yourself, and in turn your employee, as to the potential hazards in your workplace and the methods to avoid injury.

Then there is the issue of discrimination. Although, discrimination is unfortunately prevalent in society, an employer has a legal responsibility to prevent direct discrimination and discourage indirect discrimination on a range of grounds such as race, sex, disability and so on. Give some thought as to how you would deal with this arising in your company.

You must also consider the possibility that you may have to terminate the services of an employee in the future. The process of termination has many pitfalls for the unwary. Unfair dismissal in particular has been an issue of contention for small business so it is important to understand the process.

The Personal Issues

When deciding upon a new employee you need to consider just how much time you will be spending with this person and what skills you will required from them. The basis of any relationship is trust and the employer/employee relationship is one that relies heavily on this. So before advertising sit down and write a list of what you need. Not only will this clarify things for you it will make the whole interviewing process just that little bit easier.

Arguably, the best way to source new employees before even considering newspapers and the Internet is through the good old-fashioned word of mouth. If a person comes recommended by someone you trust and count as a friend, then the odds are that person will have a large percentage of the attributes you are searching for.

When it comes to interviewing most people liken the experience to speaking in public. However, there are ways to lessen the stress and nerves this situation creates. Remember that one advantage of small business is the lack of formal regulations and you can use this informality to perhaps hold the interview in neutral place like a café where both of you will relax a little. Conducting an interview this way may also let you see more of the real person you are talking to, rather than the polished interview persona they think you want to see. Another hint is that it helps to have a second opinion, so it is often wise to take along someone to listen in on the interview. You can exchange opinions afterwards, and you may find that a different perspective is invaluable in helping you make the right decision.

Furthermore, a good interviewer will also have some questions organised before they conduct the interview. It is important to have a mixture of questions which will not only tell you about the potential employee's background, but will also give you an indication of how well they will cope with different issues and situations that might arise within your company. Questions asking them to give an example of when they have previously used certain skills to solve a problem are the most effective. You can also include problem scenarios and ask the person to identify the issues at hand and describe how they would deal with them.

Once you have chosen your new employee, be professional and contact those who missed out and express your thanks for their application and answer any questions they may have. You never know when you might need another employee and contacting a person you have dealt with in the past will be less time consuming. With the new employee make sure you provide any training they might need and brief them on your general code of business.

It is important to maintain a pleasant working environment, especially in smaller companies as everyone is working so closely together. Communication is the key to achieve this. Whether it is actual meetings or just quick 'chats', let your employees know how the company is doing and always try and include them in decision-making processes. This will promote more job satisfaction and loyalty, as they will feel a part of any success and more eager to help when things go wrong. Keep an eye on developments within your industry and change your employee relations accordingly. A good way to stay informed is through industry associations.

In all honesty the basis of human resources is treating your employees as valuable assets and the best way to make sure that is what you are doing is to imagine what you would expect from a good boss and then tailor your behaviour to that ideal.

For further expert information please visit these websites:

www.dewrsb.gov.au - information on workplace relations and small business www.businessknowhow.com - general advice on running a business
www.hreoc.gov.au - human rights and discrimination
www.dir.nsw.gov.au - industrial relations
www.lawlink.nsw.gov.au - law issues relating to business

'Copyright 2003 Youth 2 Youth'

Disclaimer: This article is for your information, but it may not apply to or be suitable for your situation, so seek professional advice. Youth 2 Youth cannot be held liable for anything resulting from how you use the information provided in this article.