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HR policies in Australia
No matter what industry you work in, having robust human resources policies and procedures in place is fundamental to operational success. These frameworks ensure compliance with legal requirements, foster a more positive workplace culture, and can help boost employee well-being.
For mid- to large-sized businesses it’s important to have a firm grasp of how to roll out the most effective HR policies. So, let’s explore some essential HR policies and procedures and break down how HumanX can help you overcome any potential challenges.
What are general human resources policies and procedures?
These are the formal guidelines that outline how various human resource matters should be handled within an organisation. They should cover everything from recruitment and termination processes to employee behaviour, benefits, workplace health and safety and more. With the right policies in place, you can create an environment that values consistency, fairness and compliance with industry rules.
Some key elements that makeup HR policies in Australia are clear definitions and well-documented procedures. They must also be easily accessible to all employees. The best HR policies help set expectations and provide a framework for decision-making. Moreover, they will protect both the employer and employees by establishing standards for behaviour and performance.
Human resources policies and procedures in Australia
In Australia, HR policies and procedures must adhere to a number of federal and state requirements. Key legal frameworks include the Fair Work Act 2009, which sets out the minimum standards for employment, and the National Employment Standards (NES), which cover things like maximum weekly hours, parental leave, notice of termination and more.
Australian businesses must also consider modern awards and enterprise agreements – these have specific guidelines for different industries and roles. Workplace health and safety (WHS) laws are equally important. They require employers to create a safe working environment and comply with both state and national safety regulations.
The purpose of HR policies and procedures
Human resources policies and procedures serve multiple purposes within any type of business. Not only are they the foundation for legal compliance, but they can also improve employee relationships, lead to higher job satisfaction, help manage risks and even result in cost savings for the organisation.
Legal compliance
HR policies ensure that the business complies with employment laws and industry regulations, which subsequently limits the risk of legal problems and penalties. By sticking to these guidelines, companies can protect themselves from litigation.
Improved employee relations
Clear and consistent HR policies are what makes a company more transparent and trustworthy. They can be used to help resolve conflicts, manage employee grievances and keep the overall work environment more harmonious.
Enhanced employee satisfaction and retention
Well-structured HR policies tend to create a more positive work environment for everyone, helping raise employee morale and reduce turnover. After all, staff are more likely to feel valued and supported when clear guidelines and support structures are in place.
Risk management
Being proactive about your HR policies can help you identify and – perhaps most importantly – avoid potential workplace mishaps. This means a safer and more secure working environment for your organisation at large, and includes everything from workplace safety strategies to anti-discrimination policies.
Cost savings
The most efficient HR management systems can lead to significant cost savings. How? By reducing turnover and absenteeism and avoiding legal issues that can hamstring businesses. Well-written policies streamline the HR process and make everything less costly to manage.
How to write an effective HR policy
The art of creating an effective HR policy takes plenty of careful planning and a deep understanding of the workplace culture – not to mention knowledge of the legal requirements. Here are some of the larger areas to focus on:
Employee code of conduct
Your employee code of conduct should set the standard for acceptable behaviour within the workplace. It should cover things like professionalism, ethical behaviour, dress code and how to interact with colleagues and clients.
Recruitment and selection policies
These policies help ensure the hiring processes in place are fair and transparent. They should outline the steps used when recruiting new staff, from posting jobs and interviewing candidates to making offers and onboarding hires. These policies can help you attract and retain the very best talent in your industry while simultaneously complying with anti-discrimination laws.
Workplace flexibility
These human resources policies and procedures, which are highly pertinent in the post-COVID era, address work-from-home arrangements, flexible working hours, and other alternative work schedules. They are in place to promote work-life balance while improving employee well-being and productivity levels.
Performance management and review
Performance management policies need to dissect exactly how employee performance is assessed and managed over the long term. They should include regular performance reviews and feedback mechanisms, as well as strategies for handling issues like underperformance.
Workplace health and safety (WHS)
For a safe working environment to be realistic, WHS policies must cover everything from risk assessments to emergency procedures, incident reporting, employee training, and more. Compliance with WHS laws is not just a legal requirement but something that’s essential for protecting the health and well-being of your people.
Leave policies
These define the different types of leave that employees have available to them, including (but not limited to):
- Annual leave
- Sick leave
- Parental leave
- Unpaid leave
- Long-service leave.
Your employees need access to these policies to understand their entitlements and how to request time off for leave.
Benefits and compensation policy
A benefits and compensation policy covers how the organisation handles employee benefits. This could include salary increases, bonuses, professional development and other extras. Having such a policy in place can be very helpful when trying to attract and retain top talent.
Human resources policy examples
Here are a few examples of what to include in HR policies in Australia depending on the specific area:
Recruitment and selection
- Diversity, equity and inclusion: Ensuring equal opportunities for all candidates regardless of their backgrounds.
- Hiring process: Standardised ways of conducting recruitment, interviews and selection (i.e. to maintain fairness and transparency).
- Promotions and transfers: Guidelines for any internal staff movements within the company.
Leave and time off
- Annual leave: Outlining the annual leave entitlements and steps for requesting time off.
- Other holidays: Recognised public holidays.
- Family leave: Leave related to family responsibilities.
- Parental leave: Policies for maternity, paternity and adoption leave.
- Bereavement leave: For employees dealing with the loss of a loved one.
- Medical/sick leave: Taking leave due to sickness, injury or medical appointments.
- Personal leave of absence: Allowing employees to take unpaid leave for personal reasons.
- Jury duty: For employees summoned for jury service.
Health, safety and security
- Health and safety
- Workplace violence
- Drugs and alcohol
- Smoking.
Employee conduct
- Workplace harassment
- Sexual harassment
- Conflict of interest
- Confidentiality and non-disclosure
- Time and attendance
- Meal and breaks
- Bring your own device (BYOD)
- Working hours
- Remote working
- Dress code.
Performance management
- Performance management
- Professional development
- Termination
- Disciplinary action for misconduct and performance issues.
Use of technology
- Computer use and security
- Personal devices at work
- Work-related and personal use of social media
- Data privacy.
For more concrete examples of HR policies that you might want to think about implementing, make sure you read up on these:
- National Employment Standards: Minimum standards for employment, including maximum weekly hours, flexible working arrangements, leave entitlements and more.
- Modern awards: Specific information for different industries and occupations. Details minimum pay rates, working conditions and other employment terms.
- Enterprise agreements: Negotiated agreements between employers and employees that set out terms and conditions of employment.
- Workplace health and safety laws: The best way to stay across your state or territory’s latest WHS laws.
- Equal employment opportunity: Learn how to promote diversity and inclusion, as well as avoid any possible discrimination in the workplace.
- Anti-bullying and harassment: Defines a variety of unacceptable behaviours and gives advice on reporting and handling bullying and harassment at work.
Setting up and maintaining effective HR policies and procedures is something every business needs to take responsibility for. Having these frameworks in place will mean you are legally compliant, but more importantly, you are committed to building a positive workplace culture for all employees.
HumanX has an extensive range of HR consulting services to help you navigate the challenges of creating policies that are effective and in alignment with your business goals.
