HR Glossary
Find HR terms according to your needs
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180-degree feedback
Employee performance review based on feedback from peers and subordinates.
360-Degree Feedback
A performance appraisal method where an employee receives feedback from peers, subordinates, supervisors, and sometimes external stakeholders.
A
ADDIE Model
Framework for instructional design: Analyze, Design, Develop, Implement, Evaluate.
Abilene Paradox
A group dynamic where members agree to a decision they individually disagree with, to avoid conflict or due to perceived group consensus.
Absence Management
Strategies to track and manage employee absenteeism effectively.
Absenteeism Policy
Guidelines addressing employee absences, including rules, procedures, and consequences.
Accessibility
Ensuring equal access to opportunities and resources, especially for people with disabilities.
Accruals Leave
Time-off employees accumulate over time, such as vacation or sick leave.
Accrued Payroll
Employee compensation earned but not yet paid.
Acquihire
Acquiring a company primarily for its skilled employees.
Action Item
A specific task assigned during a meeting or discussion to achieve goals.
Actual Deferred Percentage (ADP)
Percentage of eligible compensation employees defer to retirement plans.
Adaptive Device
Tools or equipment designed to assist individuals with disabilities in performing specific tasks or improving their functionality.
Administrative Services Only (ASO)
A model where an employer outsources benefits administration but funds the benefits.
Advance Earned Income Credit
A tax credit to assist low-income employees, now discontinued.
Adverse Impact
When employment practices unintentionally disadvantage a protected group.
Affective Commitment
Emotional attachment an employee feels toward their organization.
Affiliative Leadership
Leadership style focused on emotional bonds and harmony among team members.
Affirmative Action
Policies and measures aimed at increasing opportunities for historically marginalized groups in employment, education, and business.
Affirmative Action Plan (AAP)
A written outline of an organization’s affirmative action efforts.
After-Tax Deduction
Deductions taken from an employee's pay after taxes are calculated.
Ageism
Prejudice or discrimination against individuals based on their age.
Agent of Record
An individual or firm designated to manage an organization’s insurance policy.
Agile HR
A flexible, iterative approach to human resources that emphasizes adaptability.
Agile Organization
A company structured for flexibility and quick adaptation to change, often involving cross-functional teams and iterative processes.
Alternative Dispute Resolution (ADR)
Methods like mediation or arbitration to resolve workplace disputes without litigation.
Annual Income
The total amount earned by an employee in a year, including bonuses and other pay.
Annual Leave
Paid time off granted to employees annually, often used for vacation.
Annuity
A fixed sum paid to someone, often as part of a retirement plan, at regular intervals.
Applicant Flow Log
A record of job applicants’ demographics to ensure non-discriminatory hiring practices.
Applicant Pool
The group of candidates who have applied for a specific position.
Applicant Tracking System (ATS)
Software to manage the recruitment and hiring process.
Application Completion Rate
The percentage of applicants who fully complete a job application.
Appointment Letter
A formal document offering a job to a candidate, outlining terms and conditions.
Appraisal Letter
Document summarizing an employee's performance review and assessment.
Aptitude Test
An assessment measuring an individual’s ability to perform specific tasks or skills.
Assessment Centres
A structured process involving multiple evaluation methods to assess candidates.
At-Will Employment
A legal framework where employees or employers can terminate employment at any time.
Attrition
The gradual reduction of a workforce due to resignations, retirements, or layoffs.
Authoritative Leadership
A leadership style focused on providing clear direction and guidance.
Autocratic Leadership
A leadership style where decision-making power is centralized in the leader.
B
Baby Boomers
The generation born between 1946 and 1964.
Back Pay
Wages owed to an employee for a previous pay period.
Backfill Position
Hiring to replace an employee who has left the organization.
Background Check
A process to verify an individual’s employment history, criminal record, education, and other personal details before employment.
Balanced Scorecard
A strategic management tool linking performance metrics to organizational goals.
Base Pay
Fixed compensation excluding bonuses or other variable pay.
Base Salary
A set amount paid to an employee regardless of additional work or performance.
Before-Tax Deduction
Payroll deductions applied before calculating taxable income.
Behavioral Competencies
Skills and attributes that influence how employees interact and perform.
Behavioral-Based Interviewing
An interviewing technique where candidates are asked about past behaviors as indicators of future performance.
Benchmarking
The process of comparing organizational performance metrics with industry standards or competitors to identify areas for improvement.
Benefits Administration
Managing employee benefits programs such as health insurance and retirement plans.
Bereavement Leave
Time off granted to employees after the death of a loved one.
Biweekly Pay
A pay schedule where employees are compensated every two weeks.
Blended Workforce
A mix of full-time, part-time, freelance, and temporary workers in an organization.
Blind Ad
A job advertisement that does not disclose the employer's name, often used to protect privacy or pre-screen candidates.
Bona Fide Occupational Qualification (BFOQ)
A legal reason to require certain characteristics for a job (e.g., age, gender).
Boolean Search
A search method using operators like AND, OR, and NOT to refine results.
Boomerang Employees
Former employees who return to the organization after leaving.
Boundaryless Organization
A company structured to minimize traditional boundaries, such as between departments.
Branding
Establishing a distinct image or identity for a company or product.
Bring Your Own Device (BYOD)
Allowing employees to use their personal devices for work purposes.
Broadbanding
A pay structure that consolidates multiple pay grades into wider salary bands.
Buddy Punching
The practice of one employee clocking in or out for another, often fraudulently.
Bumping Rights
Employee rights allowing senior workers to take a less senior worker's position during layoffs or reorganizations.
Bureaucratic Leadership
A leadership style focused on rules, procedures, and hierarchical authority.
Business Agility
The ability of a company to quickly adapt to market changes and customer needs.
Business Continuity Planning
A strategy to ensure critical business operations continue during disruptions like natural disasters or cyberattacks.
Business Necessity
A legal concept where an employer’s decision is essential for the company’s operations.
Business Partnership
A formal collaboration between two entities to achieve mutual goals.
Business Process Outsourcing (BPO)
Delegating business tasks to third-party vendors to reduce costs or improve efficiency.
C
CASDI
California State Disability Insurance, providing benefits for non-work-related disabilities.
CPP (Certified Payroll Professional)
A certification for professionals specializing in payroll management.
Cafeteria Plan
A benefits plan allowing employees to choose from a variety of pre-tax benefits such as health insurance or retirement accounts.
California Labor Laws
Employment laws specific to the state of California, including wage and hour regulations.
Campus Recruitment
Hiring students and recent graduates directly from universities or colleges.
Candidate Experience
The perception of a job applicant regarding the recruitment and hiring process.
Candidate NPS
A measure of candidate satisfaction with the recruitment process, derived from Net Promoter Score.
Career Break
A temporary break from employment, often for personal development, travel, or family reasons.
Career Path
The progression of jobs and roles an employee can follow within an organization.
Career Path Ratio
A metric used to measure upward and lateral career movements within an organization.
Career Plateau
A stage where an employee feels they have no opportunities for further career advancement or personal development.
Certificate of Good Standing
A document confirming that an organization complies with applicable laws and regulations.
Change Management
The process of guiding individuals and organizations through transitions or transformations.
Clawback
A provision allowing employers to recover bonuses or incentives under certain conditions.
Co-Employment
A shared employment relationship between two entities, such as a staffing agency and client company.
Coffee Badging
A hybrid work trend where employees check into the office briefly to show presence.
Cognitive Ability Test
An assessment measuring reasoning, problem-solving, and other mental abilities.
Commission Pay
Compensation based on a percentage of sales or revenue generated by the employee.
Common-Law Test
A test to determine whether a worker is an employee or an independent contractor.
Compa Ratio
A metric comparing an employee’s salary to the midpoint of a salary range.
Compassionate Leave
Time off granted for personal crises, such as the illness of a loved one.
Compensable Factors
Job attributes used to determine compensation levels, like skill or responsibility.
Compensation
All forms of payment and benefits provided to employees for their work.
Compensation and Benefits
A field in HR focusing on managing employee pay and perks.
Compensatory Leave
Time off provided to employees in lieu of overtime pay.
Compensatory Time Off
Same as compensatory leave; time off instead of overtime wages.
Competency-Based Pay
A salary system where pay is tied to an employee’s skills and competencies.
Competitive Pay
Compensation offered at a rate comparable to industry or market standards.
Conditions of Employment
Terms outlining the rights, responsibilities, and benefits of employees.
Constructive Discharge
When an employee resigns due to an employer making the work environment intolerable.
Contemporary Organizational Design
Modern approaches to structuring companies to increase flexibility and efficiency.
Contingency Approach
A management theory suggesting decisions should vary depending on the situation.
Contingency Recruiting
Recruitment based on a successful hire, where the recruiter is paid only after hiring.
Contingent Worker
An employee hired on a temporary, contract, or freelance basis, not part of the organization's permanent workforce.
Continuance Commitment
An employee’s attachment to an organization due to the costs of leaving.
Continuous Change
Ongoing, iterative changes within an organization to improve or adapt.
Contract Employee
An individual hired on a fixed-term basis with specific terms and conditions outlined in a contract.
Contract To Hire
A temporary employment arrangement with the possibility of becoming a permanent role.
Core Competencies
Essential abilities or characteristics critical for success in a specific role or organization.
Corporate Social Responsibility
A company’s commitment to ethical practices, community engagement, and environmental sustainability.
Cost Per Hire
The total cost associated with recruiting and hiring an employee.
Cost to Company (CTC)
The total expenditure an organization incurs for an employee, including salary and benefits.
Cover Letter
A document sent with a resume, providing additional information about an applicant's skills and experiences.
Cross-Functional Team
A group of employees from various departments collaborating on a project.
Crossboarding
The process of transferring an employee to a new role or department within the same organization.
Cultural Fit
The alignment of an employee’s values and behaviors with the company culture.
Culture Add
The unique qualities a candidate brings to enhance an organization’s culture.
Culture Framework
A structured approach to understanding and managing an organization’s culture.
Cybervetting
The practice of researching a candidate’s online presence during the hiring process.
D
Decentralized Organizational Structure
A system where decision-making is distributed across various levels within the organization.
Deduction
Amounts subtracted from an employee's gross pay for taxes, benefits, or other purposes.
Deferred Compensation
A portion of an employee's income delayed for payment at a later date, often in the form of retirement savings or bonuses.
Defined Benefit Plan
A retirement plan where employee benefits are calculated based on factors like salary history and duration of employment.
Delayering
The process of reducing the number of hierarchical levels in an organization.
Delegative Leadership
A leadership style where decision-making authority is assigned to team members.
Departmentalization
The grouping of tasks and employees into distinct departments based on function, product, or geography.
Dependent Care Benefits
Employer-provided benefits to help employees cover childcare or dependent care expenses.
Differential Pay
Additional compensation for working under specific conditions, such as night shifts.
Direct Deposit
Electronic transfer of an employee's wages directly into their bank account.
Direct Hire
Permanent employment where the employee is hired directly by the company, not via a third party.
Direct Report
An employee who directly reports to a specific manager or supervisor.
Direct Threat
A legal concept under the ADA referring to significant risk of harm to health or safety that cannot be eliminated by reasonable accommodation.
Disability Leave
Time off granted to employees unable to work due to a disability.
Disciplinary Action
Measures taken by an employer to address employee misconduct or rule violations.
Discretionary Benefits
Non-mandatory benefits provided by employers, such as bonuses or wellness programs.
Discretionary Bonus
A bonus given at the employer's discretion, often based on exceptional performance or company profits.
Disparate Effect
A situation where policies negatively impact a protected group, even if unintentional.
Disparate Treatment
Intentional discrimination against an individual based on a protected characteristic.
Disposable Earnings
The amount of an employee’s wages remaining after mandatory deductions, like taxes.
Diversity
The inclusion of individuals from various backgrounds, cultures, and demographics in the workplace.
Diversity, Equity, Inclusion & Belonging (DEIB)
Initiatives aimed at creating a fair, inclusive, and respectful workplace environment.
Divisional Structure
An organizational structure where teams are organized based on products, markets, or geographies.
Domain Skill
Expertise or specialized knowledge in a specific area or field.
Dual Career Ladder/Track
A career development pathway that allows employees to advance in their field of expertise without moving into management roles.
Dual Labor Market
The division of the labor market into primary (secure, well-paid jobs) and secondary (low-paying, unstable jobs) sectors.
Due Diligence
The process of thoroughly investigating a business, individual, or situation before making a significant decision or investment.
Duties Test
An evaluation used to determine whether an employee is exempt from overtime under labor laws.
Dysfunctional Conflict
Disagreements in the workplace that hinder productivity or relationships.
E
E-Recruitment
The use of digital platforms and online tools to attract, identify, and hire candidates.
EEO-1 Survey
A compliance survey that collects employee data categorized by job group, race/ethnicity, and gender to monitor workplace diversity.
Earned Income Credit (EIC)
A federal tax credit for low- to moderate-income working individuals and families.
Earnings
The total income an employee receives from work before deductions.
Electronic Data Interchange (EDI)
A digital system for transferring business information between organizations.
Emotional Compensation
Non-monetary rewards that contribute to job satisfaction, like recognition or purpose.
Emotional Intelligence
The ability to recognize, understand, and manage one's own emotions and the emotions of others effectively.
Employee Benefits
Non-wage compensation provided to employees, such as health insurance or retirement plans.
Employee Engagement
The level of an employee’s emotional commitment and involvement in their organization and its goals.
Employee Engagement
The emotional commitment and involvement an employee has toward their organization.
Employee Grievance
A formal complaint made by an employee regarding workplace conditions or policies.
Employee Handbook
A document outlining company policies, procedures, and expectations for employees.
Employee Lifecycle
The stages of an employee’s journey with an organization, from hiring to exit.
Employee Relations
Efforts to maintain positive relationships between employees and management.
Employee Retention Tax Credit
A tax credit for businesses that retained employees during specific periods of economic hardship.
Employee Self Service (ESS)
A system allowing employees to access and manage personal and work-related information.
Employee Turnover
The rate at which employees leave an organization and are replaced.
Employee Value Proposition (EVP)
The unique benefits and opportunities a company offers to attract and retain talent.
Employer Brand
The reputation and value proposition an organization projects to potential and current employees.
Employment Status
The classification of an individual’s work arrangement, such as full-time, part-time, or contractor.
Exit Interview
A structured conversation conducted with a departing employee to gain insights into their experience and reasons for leaving.
Expatriate
An employee working in a country other than their home country for their employer.
Extrinsic Rewards
Tangible rewards, such as salary, bonuses, or other financial incentives, provided for performance.
F
Facilitative Leadership
A leadership style that focuses on collaboration and enabling others to achieve goals.
Factor Comparison
A job evaluation method that ranks jobs based on defined compensable factors like skills, effort, responsibility, and working conditions.
Factor Comparison Method
A technique for job evaluation that ranks roles based on key factors like skill or effort.
Federal Income Tax (FIT)
Taxes levied by the federal government on individual and corporate earnings.
Federal Minimum Wage
The lowest hourly wage employers can legally pay their employees under federal law.
Fireable Offense
Actions or behaviors that justify immediate termination of employment.
Flat Organizational Structure
A management approach with few or no levels of middle management.
Flexible Benefit Plan
A benefits program allowing employees to choose from a variety of options to suit their needs.
Flexible Spending Account (FSA)
A tax-advantaged account used to pay for eligible healthcare or dependent care expenses.
Flexible Workplace
Work environments that offer options such as remote work, flexible hours, or job sharing.
Floating Holiday
A paid day off that employees can use on a date of their choosing.
Forced Ranking
A performance appraisal system where employees are ranked against one another to identify top and low performers.
Formalization
The extent to which workplace roles, procedures, and rules are standardized.
Fractional HR
A part-time HR professional or service hired to meet an organization’s HR needs.
Freelancer
A self-employed individual offering services to multiple clients, often on a project basis.
Fringe Benefits
Additional benefits offered to employees, such as gym memberships or transportation subsidies.
Front Pay
Compensation provided to an employee after termination, typically in lieu of reinstatement.
Full-Time Equivalent FTE
A unit of measure that represents one full-time worker or a combination of part-time workers equaling one full-time employee.
Functional Conflict
Disagreements in the workplace that lead to productive discussions and improvements.
Functional Job Analysis
A systematic method of evaluating the responsibilities and requirements of a job.
Functional Organizational Structure
An organizational model dividing operations into specialized functional areas, such as marketing or finance.
Furlough
A temporary unpaid leave or reduced work schedule that allows organizations to cut costs during downturns.
G
GDPR Compliance
Adherence to the General Data Protection Regulation, a European law protecting data privacy.
GRPI Model
A framework for team performance focusing on Goals, Roles, Processes, and Interpersonal relationships.
Gainsharing
A system where employees receive bonuses based on productivity improvements or cost savings.
Gamification
The application of game-design elements, such as rewards or challenges, in non-game contexts like training or recruitment to engage participants.
Garden Leave
A period during which an employee leaving a company is still paid but not allowed to work.
Garnishment
A legal process allowing creditors to collect debt by seizing an employee’s wages.
Gender Wage Gap
The disparity in average earnings between men and women, often calculated for similar roles and qualifications.
Geographic Pay Differentials
Variations in pay based on location to account for cost of living or market differences.
Gig Worker
A person engaged in temporary or freelance jobs, often facilitated through digital platforms like Uber or Fiverr.
Glass Ceiling
An invisible barrier that prevents certain groups, particularly women and minorities, from advancing to higher-level positions.
Global HR
Human resources practices designed to manage a diverse, international workforce.
Golden Handcuffs
Financial incentives or benefits designed to encourage employees to stay with a company.
Good Standing
A status indicating that an employee or organization meets all obligations and requirements.
Gratuity
A lump-sum payment given to employees as a reward for long service, often mandated by law in some countries.
Great Resignation
A trend where large numbers of employees voluntarily leave their jobs, often for better opportunities or work-life balance.
Grey Collar Jobs
Jobs that fall between white-collar and blue-collar roles, often involving skilled labor in technical fields.
Gross Income
The total earnings of an individual or company before any deductions such as taxes.
Gross Misconduct
Severe employee behavior that justifies immediate dismissal without notice or compensation.
Gross Wages
Total earnings before deductions, including regular pay, overtime, bonuses, and commissions.
Gross-Up
An adjustment to an employee’s pay to cover the taxes on a specific benefit or reimbursement.
Group Interview
An interview format where multiple candidates are evaluated simultaneously.
H
HR Analytics
The application of data analysis methods to human resources processes to improve decision-making.
HR Business Partner
A strategic HR professional who works closely with business leaders to align HR practices with business goals.
HR Software
Digital tools designed to automate and streamline HR tasks such as payroll, recruiting, and compliance.
HRIS (Human Resources Information System)
Software for managing employee data and HR-related processes.
HSA Contribution Limits
Annual maximum amounts that individuals or families can contribute to a Health Savings Account.
HSA Reimbursement
Payments made from an HSA to cover eligible medical expenses.
Halo/Horn Effect
A cognitive bias where an impression in one area positive or negative influences judgments in other areas.
Harassment
Unwelcome conduct based on race, gender, religion, or other protected characteristics, creating a hostile work environment.
Headhunter
A recruiter who seeks out and recruits highly qualified candidates, often for executive roles.
Health Maintenance Organization (HMO)
A type of health insurance plan offering services through a network of healthcare providers.
Health Reimbursement Account (HRA)
An employer-funded account that reimburses employees for eligible medical expenses.
Health Savings Account (HSA)
A tax-advantaged account that individuals with high-deductible health plans can use for medical expenses.
Holiday Pay
Compensation for employees who work on holidays or payment for holidays off, depending on company policy.
Hostile Work Environment
A workplace where harassment or discrimination makes it difficult for employees to perform their job duties.
Hourly Employee
An employee paid a set hourly wage for the hours they work, as opposed to a fixed salary.
Hourly to Annual Salary
The calculation to convert hourly pay into annual salary based on hours worked in a year.
Human Capital Management (HCM)
A set of practices and technologies for managing and optimizing workforce resources.
Human Resource Audit
A systematic evaluation of HR policies, procedures, and systems to ensure compliance and effectiveness.
Human Resource Management HRM
The strategic approach to managing an organization’s employees to optimize performance and satisfaction.
Human Resources (HR)
The department responsible for recruiting, managing, and supporting an organization’s workforce.
Human Resources Management System (HRMS)
Software that integrates HR functions such as payroll, benefits, and performance management.
Hushed Hybrid
A work arrangement combining remote and in-office work with minimal public announcement of the policy.
I
Implicit Bias
Unconscious attitudes or stereotypes that affect understanding, actions, and decisions.
Imputed Income
Non-cash benefits provided by an employer that are considered taxable income for the employee.
Inbound Recruiting
A recruitment strategy focused on attracting candidates through employer branding and content marketing.
Incentive Pay
Additional compensation provided to employees for achieving specific performance goals, such as bonuses or commissions.
Inclusion
Creating an environment where all individuals feel valued, respected, and able to contribute fully.
Independent Contractor
A self-employed worker who provides services to a company but is not an employee under labor laws.
Indirect Compensation
Non-monetary benefits such as healthcare, retirement plans, and paid time off.
Inflation
The rate at which prices for goods and services increase over time, reducing purchasing power.
Informal Communication
Unofficial and spontaneous exchanges of information between employees.
Injunction Relief
A court order requiring an individual or organization to do or refrain from specific actions.
Insubordination
Willful refusal to follow lawful and reasonable instructions from a supervisor.
Intellectual Property
Legal rights over creations of the mind, such as inventions, literary works, and designs.
Internship
A short-term work experience program for students or recent graduates to gain skills and knowledge.
Interview Scorecard
A standardized tool for evaluating candidates during interviews to ensure fair and objective assessment.
J
Job Analysis
The process of gathering and analyzing information about a job's tasks, responsibilities, and requirements.
Job Board
An online platform where employers post job vacancies and candidates apply for positions.
Job Classification
The process of categorizing jobs into groups based on similar duties and responsibilities.
Job Description
A document detailing the duties, responsibilities, and qualifications required for a specific role.
Job Dissatisfaction
A feeling of unhappiness or discontent related to one's job, often leading to turnover.
Job Posting
The process of advertising job openings to attract potential candidates.
Job Requisition
A formal request for a new employee to be hired, often involving details like role and budget.
Job Shadowing
A training method where an employee observes another employee to learn the tasks of their role.
Job Shift Shock
The stress or discomfort experienced by an employee when changing to a different job role or work schedule.
Just-Cause Termination
Ending an employee's contract for specific, documented reasons such as misconduct or poor performance.
K
Key Employee
An employee deemed essential to an organization due to their skills, experience, or strategic role.
Key Performance Indicator (KPI)
A measurable value that demonstrates how effectively an individual or organization is achieving key business objectives.
Knowledge Management
The process of capturing, sharing, and utilizing knowledge within an organization to improve performance.
Knowledge, Skills, and Abilities KSAs
A framework identifying the qualifications and competencies required for a specific job.
L
Labor Certification
A government approval process required for employers to hire foreign workers for specific jobs.
Labor Force
The total number of people employed or seeking employment in a specific area.
Labor Market
The supply and demand for labor, where employers seek employees and workers seek employment.
Lateral Hiring
The recruitment of employees for the same or similar role in a different organization.
Layoff
Termination of employees, often due to financial constraints or organizational restructuring.
Leadership Development
Programs and activities designed to improve leadership skills and capabilities within an organization.
Leave Accrual Processing
The calculation of earned leave days or hours for employees over time, based on company policy.
Leave of Absence
An authorized period of time off from work, often for reasons such as personal or medical needs.
Letter of Termination
A formal written notice to an employee indicating their employment is being ended.
Levy
A legal seizure of an individual's assets or wages to satisfy a debt or obligation.
Limited Purpose FSA
A Flexible Spending Account that can only be used for specific expenses, such as dental or vision care.
M
Malicious Compliance
The act of following instructions to the letter, but in a way that causes harm or disruption, often intentionally.
Management Styles
The different approaches managers use to lead teams, such as autocratic, democratic, or laissez-faire.
Management by Objective
A management style where specific objectives are set collaboratively, and performance is measured against achieving those objectives.
Mandatory Benefits
Benefits that employers are legally required to provide, such as Social Security, Medicare, and workers' compensation.
Maternity Leave
Time off from work for a mother following the birth of a child, typically offering job protection and pay.
Medical Leave of Absence
Leave granted for health reasons, typically with job protection and sometimes compensation.
Medicare Wages and Tips
Wages and tips that are subject to Medicare taxes, separate from Social Security taxes.
Metrics
Quantifiable measures used to track and assess the status of specific business processes.
Military Leave
Time off granted to employees who are called to serve in the military or to meet military obligations.
Millennials
A generational cohort born roughly between 1981 and 1996, often characterized by their comfort with technology.
Minimum Wage
The lowest legal hourly pay rate that employers can pay employees.
Mission Statement
A formal summary of an organization's purpose, values, and goals.
N
Negligent Hiring
A legal claim against an employer for failing to reasonably investigate an employee’s background, leading to harm caused by that employee.
Net Pay
The amount of money an employee takes home after all deductions, such as taxes and benefits, have been subtracted from gross pay.
New Hire Orientation
A program designed to introduce new employees to the company, its culture, and their specific roles.
New Hire Report
A report that tracks newly hired employees, typically for compliance or regulatory purposes.
Non-Compete Agreement
A contract that prevents an employee from working for a competitor or starting a competing business for a specified period after leaving the company.
Non-Compete Clause
A provision in a contract that restricts an employee's ability to work for a competitor after leaving the employer.
Non-Discrimination Testing
Tests used to ensure that hiring, promotion, or pay practices do not discriminate based on protected characteristics such as race, gender, or age.
Non-Qualified Plans
Retirement plans that do not meet IRS standards for qualified plans and are not eligible for tax benefits.
Non-disclosure Agreement (NDA)
A legal contract that prohibits an individual from disclosing confidential information.
Noncompete Agreement
A contract restricting an employee from working for competitors or starting a similar business for a specified time after leaving the company.
Nondisclosure Agreement NDA
A legal contract where one party agrees not to disclose certain confidential information.
Nonexempt Position
A job role eligible for overtime pay under the Fair Labor Standards Act FLSA.
O
Objectives and Key Results (OKR)
A goal-setting framework used to define objectives and track key results, often used in performance management.
Occupational Stress
Stress experienced by employees due to job demands, work environment, or conflicts, which can impact health and productivity.
Offboarding
The process that occurs when an employee leaves a company, including the return of company property, knowledge transfer, and exit interviews.
Offer Letter
A formal written offer of employment, including the job title, salary, and terms of employment.
Offshoring
The practice of relocating business operations to another country, often for cost reduction.
On Call Schedule
A work schedule in which employees are available to work outside their normal hours as needed.
Onboarding
The process of integrating a new employee into an organization, including orientation and training.
Open Door Policy
A management style where employees are encouraged to approach their managers with questions, concerns, or ideas.
Operating Budget
A financial plan that outlines the expected revenues and expenses for the organization's operations over a specified period, usually a year.
Org Chart
A visual representation of the structure of an organization, showing the relationships and hierarchy of roles.
Organizational Culture
The shared values, beliefs, and behaviors that shape an organization’s work environment.
Organizational Development
The practice of improving an organization's effectiveness through interventions in its processes, culture, and structures.
Orientation
A structured program to introduce new employees to their roles, colleagues, and the organization’s policies and culture.
Orientation
A program or process that helps new employees adjust to their roles, the organization’s culture, and the work environment.
Overtime
Hours worked by an employee beyond their regular working hours, typically compensated at a higher rate.
P
P and L Statement
A financial statement that summarizes the revenues, costs, and expenses incurred during a specific period, typically a fiscal quarter or year.
PCORI Fees
Fees paid by employers to fund the Patient-Centered Outcomes Research Institute, which supports medical research.
Paid Holidays
Days off provided by an employer for public holidays, usually with pay.
Paid Time Off (PTO)
A policy that allows employees to take paid leave for personal reasons, including vacation, sickness, or personal time.
Parental Leave
Time off from work granted to employees for the birth or adoption of a child.
Part-Time Hours
Work hours that are fewer than those of a full-time position, usually less than 30-35 hours a week.
Partial Pay
Compensation that is less than full salary, often due to part-time work, temporary reduction in hours, or during leave.
Passive Candidate
A job candidate who is not actively seeking a new job but could be interested if the right opportunity arises.
Pay Calculation
The process of determining the amount of compensation an employee is entitled to, based on their hourly rate, salary, and deductions.
Pay Compression
A situation where pay differences between employees are smaller than expected based on experience, skills, or seniority.
Pay Group
A classification of employees into specific groups based on their pay rates or types of compensation.
Pay Period
The recurring length of time over which employee pay is calculated, such as weekly, biweekly, or monthly.
Pay Stub
A document provided to employees that outlines their earnings and deductions for a specific pay period.
Payroll
The process of managing and distributing wages, salaries, taxes, and deductions to employees.
Payroll Activities
The processes and tasks involved in managing payroll, such as calculating salaries, distributing payments, and ensuring compliance with tax laws.
Payroll Deduction
Amounts taken from an employee’s gross pay, such as taxes, insurance premiums, or retirement contributions.
Payroll Liabilities
The obligations a company has to pay for employee wages, taxes, and other deductions during a given payroll period.
Payroll Register
A record of all payroll transactions, detailing employee earnings, deductions, and net pay.
Payroll Security
Measures taken to ensure the confidentiality and accuracy of payroll data, including data protection protocols.
Payroll Service
An external service provider that handles payroll processing, tax filing, and other related services for a company.
Payroll Software
A program or system used by organizations to automate the calculation and management of payroll.
Payroll Tax Rates
The rates at which employers and employees are required to pay taxes on employee wages, which can include federal, state, and local taxes.
People Operations
A modern term for human resources, focusing on aligning employee performance with organizational goals and optimizing people management.
Per Diem
A daily allowance provided to employees for expenses incurred while traveling for work, such as meals and accommodations.
Performance Improvement
Strategies and efforts aimed at enhancing an employee's or team's performance, typically involving coaching or additional training.
Performance Improvement Plan PIP
A formal process to address an employee's performance issues and outline steps for improvement.
Performance Management
The process of ensuring that employees’ activities and outcomes align with the organization’s goals, often including setting objectives, monitoring performance, and providing feedback.
Pre-employment Testing Software
Software used to administer tests to job candidates before hiring, assessing skills, personality, or job fit.
Pre-recorded Video Interview
A type of interview in which candidates record their answers to interview questions in advance, which are then reviewed by the hiring team.
Probation
A trial period during which a new employee's performance is evaluated to determine if they are suitable for the job.
Protected Class
Groups legally protected from discrimination, such as race, gender, religion, and disability.
Psychometric Test
A test used to measure candidates’ cognitive abilities, personality traits, or other psychological characteristics to assess job fit.
Q
Qualified Domestic Relations Order QDRO
A court order recognizing the right of an alternate payee, such as a spouse, to receive a portion of a participant's retirement plan benefits.
Qualifying Life Event for Insurance
Events that allow individuals to make changes to their health insurance coverage, such as marriage, birth of a child, or loss of other coverage.
Quality Management
Practices and procedures aimed at maintaining and improving product or service quality to meet customer expectations.
Quality of Hire
A metric used to evaluate the effectiveness of hiring decisions by assessing the performance and impact of new employees.
Quarterly Federal Tax Return
A tax return filed by employers on a quarterly basis, reporting income and withholding taxes.
Quid Pro Quo Harassment
A form of workplace harassment where job benefits are contingent on submission to unwelcome conduct, often sexual in nature.
Quiet Firing
The practice of making an employee’s work environment so uncomfortable or unpleasant that they leave voluntarily.
Quiet Hiring
When a company fills a job opening internally without actively promoting the position or seeking external candidates.
Quiet Quitting
A phenomenon where employees do the minimum required in their job, without going beyond the expectations or engaging with additional tasks.
R
Real-Time Processing
The processing of data or information immediately as it is received, without delay.
Reasonable Accommodation
Adjustments or modifications made to enable individuals with disabilities to perform essential job functions.
Recruitment
The process of attracting, screening, and selecting candidates to fill job vacancies within an organization.
Recruitment Software
Tools or platforms used to streamline the recruitment process, from posting jobs to tracking candidates and managing interviews.
Reduction in Force RIF
A permanent or temporary reduction in the workforce due to financial constraints or organizational restructuring.
Redundancy
A situation in which an employee's role is no longer necessary, often leading to termination of employment.
Reference Check
The process of contacting a job candidate's previous employers or other references to verify their qualifications and work history.
Regular Time
The standard working hours an employee is expected to work, excluding overtime or special shifts.
Resenteeism
A phenomenon where employees remain in their jobs but are disengaged, unhappy, or unproductive due to dissatisfaction.
Rest Periods
Breaks provided during working hours for employees to relax and recharge, as required by labor laws.
Resume Parsing
The process of extracting and organizing information from a candidate’s resume using software, to be analyzed for job matching.
Retaliation
The act of punishing or taking adverse action against an employee for engaging in a legally protected activity, such as filing a complaint or whistleblowing.
Retention Strategy
A plan implemented by an organization to reduce turnover and keep valuable employees engaged and satisfied in their roles.
Retro Pay
Back pay paid to an employee, often to cover discrepancies in previous pay periods, such as errors or pay raises not implemented on time.
Returnship
A program designed to help individuals, often those returning from a career break, re-enter the workforce with relevant training and mentorship.
Rewards and Recognition
Programs that recognize and reward employees for their contributions, often through bonuses, awards, or other incentives.
Rightsizing
The process of adjusting an organization’s workforce to align with current business needs, typically through downsizing or reorganizing.
S
S Corporation
A type of corporation that meets specific Internal Revenue Code requirements, allowing it to pass income, losses, deductions, and credits directly to shareholders for tax purposes.
S OKR
A framework for setting goals and measuring their outcomes using specific and measurable objectives, commonly used in business and HR management.
SDI Tax
A payroll tax that funds State Disability Insurance (SDI) programs, providing income replacement for workers who are unable to work due to illness or injury.
Sabbatical
An extended break from work, typically given to employees who have worked for an organization for several years, often for personal development or rest.
Sabbatical Leave
A paid or unpaid leave granted to employees for professional or personal development, often after years of service.
Salaried Employee
An employee who receives a fixed, regular compensation regardless of the number of hours worked, typically for professional, managerial, or administrative roles.
Salaried Non-Exempt
A salaried employee who is entitled to overtime pay for hours worked beyond the standard workweek, according to labor laws.
Seasonal Employment
Jobs that are only available during certain times of the year, such as holidays or peak seasons, often requiring temporary or part-time workers.
Secondary Insurance
Insurance coverage that supplements a primary insurance policy, such as additional health insurance or a secondary disability insurance policy.
Self-Employed Health Insurance Deduction
A tax deduction available to self-employed individuals who pay for their own health insurance premiums, reducing taxable income.
Self-Employment Tax
A tax levied on self-employed individuals to fund Social Security and Medicare, typically paid in addition to income tax.
Sensitivity Training
Training programs designed to increase awareness of diversity, cultural issues, and unconscious biases in the workplace.
Shift Differential
Additional pay offered to employees who work shifts outside of normal business hours, such as nights, weekends, or holidays.
Sick Leave Pay
Paid time off provided to employees when they are unable to work due to illness or injury.
Situational Interview
An interview format where candidates are presented with hypothetical scenarios to assess how they would handle specific work situations.
Situational Leadership
A leadership style that adapts to the needs of the team or individual, based on the situation and the maturity level of employees.
Skill Gap
The difference between the skills an employee has and the skills required for the job or position they hold or aspire to.
Skill Test
An assessment used to measure an individual's proficiency or capability in specific job-related skills.
Small Business
A business with fewer employees and lower revenue, typically exempt from certain regulations that apply to larger businesses.
Social HR
The use of social media and digital tools in human resources practices, such as recruitment, employee engagement, and communication.
Social Media Background Screening
The practice of reviewing a candidate’s social media presence as part of the hiring process to assess their character and suitability for the role.
Social Media Recruiting
The use of social media platforms to find, engage, and recruit candidates for job openings.
Sole Proprietorship
A business owned and operated by one individual, where the owner is personally responsible for all liabilities and obligations.
Sourcing
The process of identifying, finding, and engaging potential candidates for a job, often before they apply.
Staffing
The process of recruiting, hiring, and placing employees into positions within an organization.
Stay Interview
A conversation with current employees to understand what motivates them to stay and what could cause them to leave.
Structured Interview
A formal interview process with set questions asked in the same order and manner for every candidate to ensure fairness and consistency.
Succession Planning
A process to identify and prepare employees to fill key roles as they become vacant.
T
Talent Acquisition
The process of attracting, identifying, and hiring skilled candidates to meet an organization's needs.
Talent Management
The process of attracting, developing, retaining, and utilizing employees to meet organizational goals.
Tangible Rewards
Concrete rewards, such as bonuses, salary increases, or physical gifts, given to employees as recognition or compensation for their performance.
Targeted Recruiting
A recruiting strategy that focuses on sourcing candidates who meet specific job criteria or have particular skill sets.
Tax Credit
A reduction in tax liability offered to individuals or businesses based on specific conditions, such as hiring certain types of employees or making charitable contributions.
Tax Levy
A legal seizure of assets or wages to satisfy a tax debt owed to the government.
Taxable Wage Base
The maximum amount of an employee's wages that are subject to a specific tax, such as Social Security or Medicare tax.
Team Building
Activities and initiatives designed to improve teamwork, communication, and collaboration among employees.
Technical Interview
An interview format that focuses on assessing a candidate’s technical knowledge and skills through problem-solving or task-based exercises.
Termination Letter
A written notification to an employee that their employment with the organization is being ended, either voluntarily or involuntarily.
Time Tracking
The process of recording and monitoring the amount of time employees spend on various tasks or projects during work hours.
Time-to-Hire
The number of days between when a job requisition is approved and when a candidate accepts the job offer.
Total Compensation
The complete pay package for employees, including salary, benefits, bonuses, and other perks.
Total Remuneration
The complete compensation package offered to an employee, including salary, bonuses, benefits, and any other incentives.
Transferable Skills
Skills that can be applied across different roles or industries, such as communication, leadership, and problem-solving.
Transitional Employment
Employment programs designed to help employees with physical or mental limitations return to work after an injury or illness.
Tuition Reimbursement
A benefit provided by some employers to cover the cost of further education or professional development for employees.
Turnover Rate
A metric that measures the rate at which employees leave an organization, either voluntarily or involuntarily, over a specific period.
U
Unconscious Bias
Unintentional biases or stereotypes that influence decisions and actions in the workplace without awareness.
Unfair Labor Practice
Actions by employers or unions that violate employees' rights under labor laws.
Union
An organization that represents workers in negotiating with employers over wages, benefits, and working conditions.
Unstructured Interview
A more informal interview where questions may vary between candidates and the conversation is often more free-flowing.
Upward Mobility
The ability or opportunity for employees to advance within an organization, often through promotions or career development.
Utilization Analysis
A comparison of the demographics of an organization’s workforce to the available labor market to identify underrepresentation.
V
VTO (Voluntary/Volunteer Time Off)
A program that allows employees to take time off from work for volunteer activities, often supported by the employer to encourage community engagement.
Vacancy
A job opening or position that needs to be filled within an organization.
Vacancy Rate
The percentage of unfilled positions in an organization or department.
Variable Pay
A portion of compensation based on performance or results, such as bonuses or commissions, rather than fixed salary.
Video Interview
An interview conducted remotely via video conferencing tools, allowing employers to assess candidates without requiring in-person meetings.
Virtual HR
The practice of managing human resources activities remotely through technology, such as HR software, video calls, and online assessments.
Voluntary Benefit
Employee benefits offered optionally, often funded fully or partially by the employee, such as supplemental insurance.
Voluntary Benefits
Additional benefits offered to employees on a voluntary basis, typically beyond the standard compensation package, such as supplemental insurance or wellness programs.
W
Wage Drift
The difference between negotiated wages and the actual earnings paid due to overtime, bonuses, or other factors.
Wage Drift
The phenomenon where wages increase for employees over time due to market pressures or individual performance, often outpacing inflation or company-set wage structures.
Wage to Salary
The process of converting an employee’s hourly wage to an annual salary or vice versa, often as part of a position change or organizational policy.
Wages
Monetary compensation received by an employee for work performed, typically paid on an hourly, daily, or piecework basis.
Weingarten Rights
The right of employees to have union representation during investigatory interviews that may lead to disciplinary action.
Wellness Programs
Employer-sponsored programs designed to improve employee health and well-being, which may include fitness memberships, stress management, or mental health support.
Whiteboard Interview
A type of interview where candidates are asked to solve problems or present solutions on a whiteboard, often used for technical or analytical roles.
Withholding
The portion of an employee's earnings that is withheld by the employer to cover taxes, such as federal income tax, Social Security, and Medicare.
Work Behavior
The observable actions, conduct, and attitudes displayed by an employee in the workplace, which may be assessed for performance and development purposes.
Work-Life Balance
The ability to manage one’s work responsibilities alongside personal or family life, achieving a healthy separation between work and home.
Worker
An individual who is employed to perform tasks or services for an organization in exchange for compensation.
Workers’ Compensation
A form of insurance that provides financial and medical benefits to employees who are injured or become ill as a result of their work.
Workforce Analysis
The process of evaluating the composition, skills, and performance of an organization's workforce to ensure it aligns with business goals.
Workforce Planning
The process of analyzing and forecasting workforce needs to align with organizational goals.
Workweek
The total number of hours an employee is expected to work in a week, typically 40 hours in the United States, but this can vary by job type.
Wrongful Termination
The illegal dismissal of an employee, often in violation of labor laws, contracts, or employment agreements.
Y
Year to Date (YTD)
A financial term that refers to the period from the beginning of the current year to the present date, often used for calculating earnings, taxes, or performance metrics.
Yield Ratio
A measure used in recruiting to determine the percentage of applicants who advance through each stage of the hiring process, from application to hiring.
Yield Ratios
Metrics that track the efficiency of recruitment processes, e.g., the percentage of applicants who move from one stage to the next.
Z
Zero-Based Budgeting
A budgeting approach where every expense must be justified for each new period, starting from zero.