Something is rotten in the state of HR - Call for Action and Regulation - Grindam

Human Resources, or HR for short, is a divisive topic, especially in today’s employment market. When HR was first introduced back in the ’50s, and even sooner, it was a role that allowed managers to have insight into employees without the need to directly manage them. That’s where HR came in, as a role that can be a representative of a manager, which can manage the workforce and relay the results back to management, as well as the information to the workforce. Now, to be honest, smaller companies have no HR at all since the manager is also the one who does hiring and the workforce management. For a typical company, and especially a small one that is just starting out, an accountant is essential.

Depending on the resources, it will be either someone that will be hired to work as an employee or the company will decide to engage an agency to manage books. In a short time frame, having an outside accountant is cheaper, but at the same time, the downside is that there is a slight delay in regards to tasks being completed, and no single employee is focused on one specific company. When it comes to an HR, the size where the company needs to have someone to manage employees is at least 15 – 20. At a count of 10 employees, certain legal sets of rules come into play, (for example in Serbia) such as the establishment of rulebooks and creating specific acts to regulate various things in accordance with a specific law (such as an Employment law, but no restricted just to it).

Here, you would need an HR that knows law, since knowing law is essential to how to manage various rulebooks, and at the same time set up contracts and everything related to it. What a lot of companies tend to do is the following: Hire a law firm to craft the set of rulebooks that are necessary, employment contracts and have it done with that. Some companies tend to think that the law firm are there to help them as an outside HR – they are not. Doing HR related tasks is degrading to any respectable lawyer, outside of in-house job at some company. For a company, a law firm should be there to support company in case of sale of assets, buying, evaluation of properties, solving disputes at courts whether employee or business related, trademark and copyright infringement and so on.

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