HR Glossary
This comprehensive glossary of human resource (HR) terms defines words and phrases frequently used by HR professionals. We would like to encourage you to share and make use of this library. If you have any suggestions of terms we have missed or neglected please contact us & we will include it in our next update.
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360-degree feedback, also known as multi-rater feedback or 360 feedback, is a performance assessment and development tool used in organizations to provide…
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The Abilene Paradox is a concept in group dynamics and decision-making that refers to a situation where a group of people collectively decide on a course…
Absconding refers to the act of an individual leaving a place, often suddenly or secretly, to avoid legal obligations, responsibilities, or consequences. This term…
“Absolute ratings” is a term that can be used in various contexts, and its meaning can vary depending on the specific field or subject matter…
An absenteeism policy is a set of guidelines and rules established by an organization to manage and address employee absenteeism, which is the habitual or…
Agile HR refers to the application of agile principles and practices in the context of Human Resources (HR) functions and processes within an organization…
An Applicant Tracking System (ATS) is a software application that enables organizations to manage and streamline their recruitment and hiring processes…
“Appraisal” can have different meanings depending on the context in which it is used. Here are a few common meanings of the term…
An appraisal letter is a formal document or communication provided by an employer to an employee, typically as part of the performance appraisal…
An apprenticeship is a system of training a new generation of practitioners of a trade or profession with on-the-job training and often some…
Assessment centers, often referred to as assessment centers, are a method of evaluating and assessing individuals’ skills, competencies, and suitability for…
An attendance policy is a set of guidelines and rules established by an organization to regulate and manage employee attendance and punctuality…
Attrition, in the context of human resources and workforce management, refers to the gradual reduction in the size or strength of an organization’s…
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A background check is the process of investigating and verifying a person’s background, typically for employment, legal, or security purposes. These checks…
Background verification, also known as a background check or background screening, is the process of investigating and confirming an individual’s…
The Balanced Scorecard is a strategic performance management framework and tool that helps organizations track and manage their performance by…
Basic salary, often referred to as base salary, is the fixed amount of compensation that an employee receives as the core component of their total salary package. It is…
Behavioral competencies, also known as behavioral skills or soft skills, refer to a set of personal attributes, qualities, and characteristics that…
Behaviorally Anchored Rating Scale
A Behaviorally Anchored Rating Scale (BARS) is a performance appraisal and evaluation method that combines the elements…
The “bell curve” is a statistical term that refers to a graphical representation of a normal distribution, which is a specific type of probability distribution…
Benchmarking is a systematic process of comparing an organization’s performance, practices, processes, or outcomes to those of other organizations…
A bonus is a form of additional compensation or payment that is typically provided to employees by their employers in addition to their regular salary or wages…
“Bumping” is a human resources and labor-related term that refers to a displacement or reassignment process within an organization, often in the…
Business Process Outsourcing (BPO) is a business practice in which a company contracts or outsources specific non-core business processes or functions…
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A career break, also known as a sabbatical or career hiatus, refers to a planned and extended period of time during which an individual takes a temporary break or leave…
A career path, also known as a career trajectory or career journey, is a sequence of connected employment positions, roles, or jobs that an individual follows…
Change management is a structured approach and process that organizations use to plan, implement, and manage significant changes to their…
Churn rate, also known as attrition rate or customer attrition rate, is a business metric that calculates the percentage of customers or subscribers who cease using a…
Coaching is a professional and goal-oriented relationship in which a coach, typically an experienced and trained individual, works with a client or…
Compensation and benefits, often referred to as “compensation and benefits” or simply “C&B,” is a crucial aspect of an organization’s human resources management…
Compensatory time off, often abbreviated as “comp time” or “compensatory leave,” is a practice in employment where an employer offers employees paid…
Competency refers to a set of demonstrable and measurable characteristics, skills, knowledge, abilities, and behaviors that an individual possesses and can…
Competency-based pay is a compensation system in which an employee’s compensation is determined and adjusted based on their demonstrated…
A confidentiality agreement, also known as a nondisclosure agreement (NDA), is a legally binding contract or legal document that establishes a…
A confirmation letter is a formal document or letter issued by an organization or individual to acknowledge a previous agreement, conversation, or…
CTC, or Cost to Company, is a term often used in the context of employment and compensation, particularly in India and some other countries. It represents the…
Cost-per-hire (CPH) is a human resources metric that calculates the total cost incurred by an organization to recruit and hire a new employee. It’s an important…
A cross-functional team, also known as a cross-functional work group or interdisciplinary team, is a group of individuals from different functional areas or…
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Deferred compensation is a compensation arrangement in which a portion of an employee’s earnings or income is set aside to be received at a later date…
Delayering, in the context of organizational management, refers to the process of reducing the number of hierarchical levels, management positions, or layers…
A disciplinary procedure, often referred to as a disciplinary policy or process, is a set of established rules and guidelines that an organization follows to address…
Disciplinary action refers to the measures and steps taken by an employer in response to an employee’s misconduct, poor performance, or violation of workplace rules and policies…
Downshifting is a lifestyle choice or career change in which individuals voluntarily choose to reduce their working hours, income, or professional responsibilities…
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E-recruitment, also known as online recruitment or electronic recruitment, refers to the practice of using Internet and electronic resources, including websites…
Employee assessments are tools and processes used by employers and organizations to evaluate the skills, abilities, competencies, personality traits, and…
Employee Benefits Administration
Employee benefits administration refers to the process of designing, managing, and overseeing the various benefits and perks that employers provide to their…
Employee clearance, often referred to as “clearance procedure” or “clearance process,” is a set of formal and systematic steps that an organization follows…
An employee database, also known as a personnel database or HR database, is a structured collection of electronic data and information that an organization…
Employee empowerment is a management approach that involves delegating decision-making authority and responsibilities to employee…
Employee engagement is a workplace concept that refers to the emotional and psychological connection employees have with their jobs, colleagues, and the…
The employee lifecycle, also known as the employee life cycle or employee journey, is the sequence of stages that an employee goes through during…
The Employee Net Promoter Score (eNPS) is a metric used by organizations to measure employee loyalty and satisfaction. It is derived from the Net…
Employee onboarding, also known as new employee orientation, is the process of integrating and acclimating newly hired employees into an organization…
Employee orientation, often referred to as new employee orientation (NEO) or simply “orientation,” is a process that helps newly hired employees…
An employee referral program is a recruitment strategy in which an organization encourages its current employees to refer qualified candidates for job…
Employee relations refers to the efforts and activities undertaken by an organization to maintain positive and productive relationships between employees…
Employee retention refers to an organization’s ability to retain or keep its employees within the workforce for an extended period of time. It is a critical aspect of human…
Employee satisfaction, also known as job satisfaction, is a measure of how content and fulfilled employees are with their work, job conditions, the workplace, and their…
Employee Self-Service (ESS) is a web-based or software-based application that allows employees to access and manage various aspects of their own employment…
Employee turnover, often referred to as staff turnover or attrition, is a measure of the rate at which employees leave an organization over a specified period, typically expressed…
Employment history refers to a comprehensive record of an individual’s work experience, including details about their past and current employment. It typically…
Employer branding, also known as employment branding, is the process of shaping and promoting an organization’s reputation and image as an employer. It…
An Employer Value Proposition (EVP) is a set of unique attributes and offerings that an organization provides to its employees. It is a statement or message that communicates…
Enterprise Resource Planning (ERP)
Enterprise Resource Planning (ERP) is a comprehensive and integrated software system that organizations use to manage and streamline a wide range of…
Equity theory, developed by behavioral psychologist J. Stacy Adams in the 1960s, is a psychological theory that explores how people perceive and respond to…
An exit interview is a formal, structured conversation or interview conducted between an employer and an employee who is leaving the organization. The…
An expatriate, often abbreviated as “expat,” is an individual who temporarily or permanently resides in a country other than their native or home country…
The Employee’s Deposit Linked Insurance (EDLI) scheme is a social security and insurance program provided by the Employees’ Provident Fund Organization…
An Employee Assistance Program (EAP) is a workplace benefit program designed to provide employees with confidential support and resources to help…
An ex gratia payment is a discretionary payment made by an employer or another party, such as a government agency or an organization, to an individual…
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Factor comparison is a job evaluation method used to determine the relative value of different jobs within an organization. It is a systematic approach to…
The Five-Factor Model (FFM), also known as the Big Five personality traits, is a widely accepted and extensively studied model of personality. It aims to describe and categorize…
Floating holidays are a type of paid time off or leave granted to employees by their employers. Unlike fixed holidays, such as Christmas or New Year’s Day…
Forced ranking, often referred to as “stack ranking,” is a performance management and talent management practice used by some organizations to assess…
Functional Job Analysis (FJA) is a systematic method of job analysis that focuses on the identification of specific job functions, the skills and qualifications required to…
Form 12B is a document used in India for reporting details of income received by an individual from a former employer when they switch jobs during a financial…
As of my last knowledge update in September 2021, there isn’t a widely recognized and standardized “Form 12C” in the context of income tax or financial…
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Gamification is the application of game elements and principles in non-game contexts, such as business, education, marketing, and various other fields. The…
The term “gender divide” refers to the social, economic, and cultural disparities and differences that exist between individuals of different genders, primarily…
Generation X, often abbreviated as Gen X, is a generational cohort that follows the Baby Boomers and precedes Generation Y, which is also known as Millennials. The…
Generation Z, often abbreviated as Gen Z, is the demographic cohort that follows Generation Y, also known as the Millennials. While there is some variation in the…
The gig economy, also known as the “sharing economy” or “on-demand economy,” is a labor market characterized by the prevalence of short-term, temporary…
“Golden handcuffs” is a term used to describe financial incentives or benefits that are designed to retain and motivate employees to stay with a company or organization…
Gratuity is a financial benefit that is typically paid by an employer to an employee as a form of gratitude or recognition for the employee’s long and loyal service…
A grievance is a formal complaint or concern raised by an employee or a group of employees within an organization regarding a perceived violation of their rights…
Gross misconduct refers to serious and unacceptable behavior or actions by an employee in the workplace that are considered a severe breach of employment…
Gross salary, also known as gross income or gross pay, refers to the total earnings an employee receives from their employer before any deductions are made…
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The Hawthorne effect, also known as the observer effect, is a psychological phenomenon in which individuals modify their behavior when they are aware of…
The Hierarchy of Needs is a psychological theory proposed by Abraham Maslow in his 1943 paper “A Theory of Human Motivation” and later expanded…
An HR audit, short for Human Resources audit, is a comprehensive and systematic review of an organization’s HR policies, practices, procedures…
An HR Business Partner (HRBP) is a professional role within the field of Human Resources (HR) that plays a strategic and consultative role in the relationship between…
HR consulting, short for Human Resources consulting, is a specialized service provided by professionals or consulting firms to assist organizations in various…
An HR Generalist is a human resources professional who performs a wide range of HR duties across various functions within an organization. This role…
HR software, or Human Resources software, refers to a category of software applications and tools designed to streamline and automate various HR-related tasks…
Human Capital Management (HCM) is a comprehensive approach to managing an organization’s workforce. It encompasses the practices, strategies…
Human Resources Analytics, often referred to as HR Analytics or People Analytics, is the process of collecting, analyzing, and interpreting data related to an…
Human Resource Information System
A Human Resource Information System (HRIS) is a software solution or integrated suite of applications that facilitates the management and administration of…
Human Resource Management (HRM) is the strategic and operational approach to managing an organization’s most valuable asset—its people. It involves the…
Human Resource Management System
A Human Resource Management System (HRMS), also known as a Human Resource Information System (HRIS) or Human Resource Management Software…
Human Resource Outsourcing (HRO) is a business strategy in which an organization contracts with an external service provider to take over some or all of its HR…
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Incentive pay, often referred to as incentive compensation or performance-based pay, is a form of compensation that is awarded to employees as a reward for achieving…
Induction, in the context of human resources and employee management, refers to the process of introducing and orienting new employees to their role, the…
Informal communication, also known as grapevine communication or informal networks, refers to the exchange of information, ideas, and messages…
An internship is a short-term work experience typically offered by organizations to students or recent graduates, known as interns, who want to gain practical…
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Job analysis is the systematic process of gathering, documenting, and analyzing information about a job, including its duties, responsibilities, tasks, and the…
A job board is an online platform or website that serves as a centralized hub for job seekers to search and apply for job openings and for employers to post job vacancies…
Job classification is a systematic process used in organizations to categorize and group jobs based on their similarities and differences. The primary goal of job…
A job description is a written document that provides a detailed overview of a specific job within an organization. It outlines the roles, responsibilities, tasks, qualifications…
Job evaluation is a systematic and analytical process used by organizations to assess the relative value or worth of different jobs within the organization. The primary…
Job rotation is a human resource management practice that involves moving employees through a variety of roles and responsibilities within an organization…
The Johari Window is a psychological and communication model that was developed by Joseph Luft and Harrington Ingham in 1955. It is designed to help…
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Key Performance Indicators (KPIs) are quantifiable metrics that organizations use to measure and evaluate their success in achieving specific objectives or goals. KPIs…
Key Result Areas (KRAs) are a management concept used to define and evaluate an individual’s or a team’s primary areas of responsibility and accountability…
Knowledge Management (KM) is a systematic and strategic approach to collecting, organizing, storing, and sharing an organization’s intellectual assets, including…
KSAs is an acronym that stands for Knowledge, Skills, and Abilities. These three elements are often used in the context of job descriptions and qualifications…
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A labor union, often referred to simply as a union, is an organization formed by a group of employees or workers in a specific industry, trade, or company…
Lateral recruitment, also known as lateral hiring, refers to the process of hiring individuals to fill specific job positions or roles within an organization from outside the…
Layoff, also known as workforce reduction or downsizing, is the act of temporarily or permanently terminating the employment of a group of employees within an…
Leadership development is a systematic and strategic effort to enhance the leadership skills, abilities, and qualities of individuals within an organization…
Learning and Development (L&D), often referred to as training and development, is a systematic and strategic approach to improving the knowledge, skills, abilities, and…
A Learning Management System (LMS) is a software platform or application that facilitates the management, delivery, tracking, and administration of educational…
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Management by Objectives (MBO) is a systematic and participative approach to management that focuses on setting and achieving specific organizational goals and…
Management styles refer to the distinct approaches and behaviors that managers or leaders exhibit in their interactions with employees, decision-making, and…
Management training, also known as leadership training, is a structured and educational process that focuses on developing the knowledge, skills…
A matrix organization is a type of organizational structure in which employees report to multiple managers or supervisors, often simultaneously. It is characterized…
The “mean wage” is a statistical measure used to represent the average wage or salary of a group of workers. It is calculated by adding up the wages of all…
Mentoring is a dynamic and developmental relationship in which an experienced and knowledgeable individual, known as a mentor, provides guidance…
Merit pay, also known as pay for performance or performance-based pay, is a compensation system in which an employee’s salary or wages are determined by…
Micromanagement is a management style characterized by excessive and often unnecessary involvement of a supervisor or manager in the day…
Millennials, also known as Generation Y, are a demographic cohort that follows Generation X and precedes Generation Z. The term “millennials” is used to…
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Nepotism is a term that refers to the practice of showing favoritism or granting preferential treatment to one’s family members, typically in the context of employment…
Net salary, often called “take-home pay,” is the amount of money an employee receives after all deductions, such as taxes, insurance premiums, and other…
A nondisclosure agreement (NDA), also known as a confidentiality agreement, is a legal contract between two or more parties that outlines the…
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Occupational stress, also known as work-related stress or job stress, is a form of stress that arises as a result of the demands, pressures, and challenges associated…
An offer letter is a formal document issued by an employer to a prospective employee, extending a job offer for a specific position within the organization. It…
Offshoring is a business practice in which a company relocates or outsources certain business processes, services, or production activities to a foreign country. This…
Objectives And Key Results (OKR)
Objectives and Key Results (OKR) is a goal-setting framework and management methodology that is widely used by organizations, teams, and individuals to set…
Onboarding, in the context of human resources and employee management, refers to the process of integrating and orienting new employees into an…
Organizational change refers to the process of planning, implementing, and managing significant shifts in the way an organization operates, with the…
Organizational culture refers to the shared values, beliefs, norms, customs, and practices that shape the behavior, attitudes, and interactions of individuals within…
Organizational Development (OD) is a planned, systematic, and comprehensive approach to improving an organization’s effectiveness, efficiency, and…
Orientation, in the context of education and employment, refers to the process of introducing and familiarizing individuals with a new environment, such as a school…
Outsourcing is a business practice in which an organization contracts or delegates specific tasks, functions, processes, or services to external third-party providers, rather…
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Payroll refers to the process by which an organization calculates and distributes compensation, including salaries, wages, bonuses, and deductions, to its employees…
Payroll software is a specialized software application designed to streamline and automate the process of calculating, managing, and processing employee…
People analytics, also known as HR analytics or workforce analytics, is the use of data, quantitative analysis, and data-driven insights to better…
People Operations (People Ops) is a modern approach to human resources (HR) management that focuses on creating a more employee-centric, data-driven, and…
Performance appraisal, also known as a performance review or performance evaluation, is a formal process in which an organization assesses and…
Performance improvement refers to the process of identifying, analyzing, and taking actions to enhance the performance, productivity, and effectiveness of…
A Performance Improvement Plan (PIP), also known as a Performance Action Plan, is a structured and documented process used by employers to…
Performance management is a systematic process that involves planning, monitoring, developing, and evaluating an individual’s or an organization’s performance to…
The Performance Management Cycle, also known as the Performance Appraisal Cycle, is a structured and recurring process that organizations use to manage…
Performance planning is a critical component of the performance management process within organizations. It involves the systematic and collaborative…
Probationary arrangements, often referred to as a probationary period or probationary period of employment, are a common practice in the employment relationship…
A probationary period, often referred to as a probationary period of employment, is a specified timeframe at the beginning of an employment…
A psychometric test is a standardized assessment designed to measure an individual’s psychological attributes, such as cognitive…
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Quality management is a comprehensive approach to ensuring that products or services meet or exceed customer expectations. It encompasses a set of…
The “Queen Bee Syndrome” is a term used to describe a phenomenon that can occur in some workplaces, particularly in environments where women hold…
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Recruitment is the process of identifying, attracting, and selecting qualified individuals to fill job vacancies within an organization. It is a critical function…
Recruitment software, also known as applicant tracking system (ATS) or talent acquisition software, is a type of software designed to streamline and enhance the…
Redundancy, in the context of employment or business, refers to the situation where an employee’s job is no longer necessary, and their employment is terminated as…
A relieving letter, also known as an experience letter or a service certificate, is a formal document issued by an employer to an employee when they leave their…
Remuneration refers to the compensation, payment, or reward provided to an individual in exchange for their work, services, or employment. It…
A Request for Proposal (RFP) is a formal document issued by an organization or business to solicit bids or proposals from qualified vendors or service providers for a…
Restricted holidays, often abbreviated as “RH,” refer to a category of holidays in some countries or organizations that are not part of the official public…
A retention strategy, also known as employee retention strategy, is a comprehensive plan or set of initiatives developed by an organization to attract, engage…
Reverse mentoring is a concept that flips the traditional mentoring relationship by pairing younger or less experienced employees with older or more experienced…
Rewards and recognition are two essential components of an organization’s employee management and engagement strategy. They are designed to…
The “Right to Manage” (RTM) is a legal provision in some countries, notably the United Kingdom, that allows leaseholders (residential or commercial property owners)…
Risk management is a systematic and proactive process of identifying, assessing, prioritizing, and mitigating potential risks or uncertainties that may affect the…
Roster management, also known as workforce scheduling or employee rostering, is the process of creating and maintaining schedules or rosters for…
Rotational training, also known as job rotation or cross-training, is a human resource development strategy used by organizations to enhance employees’ skills…
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Sabbatical leave, often referred to simply as a sabbatical, is an extended period of time during which an employee or academic professional is granted a leave of…
Sensitivity training, also known as diversity training, diversity, and inclusion training, or cultural sensitivity training, is a type of educational program designed to…
Situational Leadership is a leadership theory and model developed by Paul Hersey and Ken Blanchard in the late 1960s and early 1970s. This model…
A skill gap refers to the disparity or difference between the skills and qualifications that individuals possess and the skills that are required or expected for a…
Social collaboration, also known as enterprise social collaboration, refers to the use of social media, communication, and collaboration tools within an organization to…
Social HR, also known as Social Human Resources, refers to the use of social media and social technologies in the field of Human Resources (HR) to…
Social networking refers to the practice of connecting and interacting with people online through various internet-based platforms and websites. These…
Social recruitment, also known as social media recruitment, is the practice of using social media platforms and online networks to attract, engage, and hire job…
Software as a Service (SaaS) is a cloud computing model that provides software applications over the Internet on a subscription basis. In this model…
Staffing is the process of finding, selecting, and hiring suitable individuals to fill positions within an organization. It is a critical component of human resource…
Strategic Human Resource Management (HRM) is an approach to managing an organization’s human resources that aligns HR practices and…
Strategic planning is a systematic and comprehensive process that organizations use to define their long-term goals, objectives, and priorities, and to develop a plan of …
Succession planning is a strategic process that organizations use to identify, develop, and prepare individuals within the organization to assume key leadership roles in…
Summary dismissal, also known as summary termination or instant dismissal, is the immediate termination of an employment contract without notice, typically…
Suspension, in the context of employment, refers to a temporary period during which an employee is placed on leave from work by their employer. It involves …
System changeover, in the context of information technology and software implementation, refers to the process of transitioning from an old or existing system…
Systemic discrimination, also known as systemic racism or institutional discrimination, refers to a pattern or practice of discrimination that is embedded…
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Talent acquisition, often abbreviated as “TA,” is a strategic and ongoing process that organizations use to identify, attract, and hire the best-qualified…
Talent management is a comprehensive strategic approach to managing an organization’s human capital, focusing on attracting, developing, retaining…
Talent Management Software (TMS), also known as Talent Management Systems or Talent Management Solutions, is a category of software applications…
Tangible rewards are physical, concrete items or incentives provided to individuals in recognition of their achievements, performance, or contributions…
Tax is a mandatory financial charge or levy imposed by the government on individuals, businesses, or other entities to fund public expenditures and…
Taxable income is the portion of an individual’s or entity’s income that is subject to taxation by the government. It is the income on which taxes are calculated and…
Team building is a process that involves creating and enhancing the effectiveness of a group of individuals who work together to achieve a common goal. It is a…
Total compensation refers to the comprehensive and inclusive package of both monetary and non-monetary rewards and benefits that employees receive in…
Total Quality Management (TQM) is a comprehensive and structured approach to managing an organization with the goal of continually improving the quality…
Total remuneration, also known as total compensation, is the comprehensive package of all rewards and benefits that an employee receives from their…
Training and development (T&D), often referred to as employee training and development, is a process that organizations use to enhance the knowledge, skills…
Training Needs Analysis (TNA) is a systematic process used by organizations to identify gaps in knowledge, skills, competencies, and performance among their…
Transformational leadership is a leadership style and approach that focuses on inspiring and motivating followers to achieve their full potential and exceed…
Turnover, in the context of human resources and business management, refers to the rate at which employees leave an organization and are replaced by…
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Unconscious bias, also known as implicit bias, refers to the attitudes, stereotypes, and judgments that people make about others in a manner that is…
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Variable pay, also known as performance-based pay or incentive pay, is a compensation component that is not fixed or guaranteed and varies based on…
Virtual HR, also known as Virtual Human Resources, is a concept that refers to the use of digital technology and online platforms to manage various aspects of…
Voluntary benefits, also known as voluntary employee benefits or voluntary insurance, are a category of supplemental insurance and non-traditional…
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Wage drift, also known as wage creep, refers to the gradual and often unplanned increase in an employee’s wage or salary that occurs over time due to various…
Wellness programs, also known as employee wellness programs or workplace wellness programs, are initiatives and activities implemented by employers to…
Work-life balance is a concept that refers to the equilibrium or harmony an individual seeks to achieve between their professional life (work) and their…
Workforce management (WFM) is a set of processes, strategies, and tools that organizations use to optimize their workforce and ensure that employees are…
Workforce planning is the systematic process of identifying an organization’s current and future workforce needs and ensuring it has the right people…
Workplace bullying refers to repeated, persistent, and harmful mistreatment, harassment, or aggressive behavior directed at an employee or group of employees…
Wrongful termination, also known as wrongful dismissal or wrongful discharge, refers to the unlawful termination of an employee’s employment by their employer. In…