A CV (Curriculum Vitae) is important because it showcases a candidate’s education, skills, and work experience. It serves as the first impression for recruiters during the hiring process. A well-prepared CV increases the chances of securing interviews and job opportunities.
HRA stands for House Rent Allowance. It is a part of an employee’s salary provided to cover house rent expenses. In some countries like India, HRA offers tax benefits under income tax laws, subject to certain conditions.
HR induction is the process of welcoming and orienting new employees to the organization. It covers company policies, job responsibilities, workplace culture, and key procedures. A proper induction program helps employees adjust quickly and become productive.
HR allowances are extra payments provided to employees apart from their basic salary. These may include House Rent Allowance (HRA), travel allowance, medical allowance, and special allowances. Allowances help employees manage specific expenses and form part of the overall salary structure.
Gross refers to the total amount earned before any deductions. Net is the amount remaining after subtracting taxes, insurance, and other deductions. In payroll, gross salary becomes net salary after all mandatory and voluntary deductions are applied.
Gratuity is a financial benefit paid by an employer to an employee for long-term service. In many countries, including India, it is payable after completing a minimum of five years of continuous employment. It acts as a reward for loyalty and service at the time of resignation, retirement, or termination (under eligible conditions).
Form 16 is a certificate issued by an employer to an employee in India. It provides details of salary paid and Tax Deducted at Source (TDS) during the financial year. Employees use Form 16 to file their income tax returns accurately.
FLSA stands for the Fair Labor Standards Act. It is a U.S. federal law that establishes minimum wage, overtime pay eligibility, recordkeeping, and child labor standards. Employers must comply with FLSA regulations to ensure fair compensation and working conditions.
Financial incentives are cash-based rewards given to employees for achieving specific goals or performance targets. Examples include bonuses, commissions, profit sharing, and performance pay. These incentives motivate employees and encourage higher productivity.
EPFO HRMS refers to the Human Resource Management System used by the Employees’ Provident Fund Organisation. It helps manage employee provident fund records, HR data, and related administrative services. The system streamlines PF account management, claims processing, and employee information updates.
Employee goals are specific objectives assigned to employees to guide their performance and development. These goals align individual efforts with organizational targets. Clear employee goals improve focus, accountability, and overall productivity.
An electronic signature, or e-signature, is a digital way of signing documents electronically instead of using paper and ink. It is legally valid in many countries and commonly used for contracts, offer letters, and HR forms. E-signatures help speed up documentation and reduce paperwork.
EIN stands for Employer Identification Number. It is a unique nine-digit number issued by the IRS in the United States to identify businesses for tax purposes. Employers use an EIN to file taxes, hire employees, and manage payroll.
A disciplinary procedure in HRM is a formal process used to handle employee misconduct or rule violations. It typically includes steps like issuing warnings, conducting investigations, and providing opportunities for explanation. This ensures fairness, transparency, and consistency in maintaining workplace discipline.
In HRM, training is a short-term process aimed at improving employees’ skills for their current job. Development is a long-term approach focused on overall growth and preparing employees for future responsibilities. While training enhances performance, development builds potential.
The Delphi Technique in HRM is a structured method used to collect and refine expert opinions for forecasting and planning. Experts respond to questionnaires in multiple rounds, with feedback shared anonymously after each round. This process helps organizations reach a well-informed consensus on HR strategies or workforce planning.
DA stands for Dearness Allowance. It is a salary component paid to employees, mainly in the public sector, to reduce the impact of inflation. DA is usually calculated as a percentage of basic salary and revised periodically by the government.
A deduction is any amount subtracted from an employee’s gross salary. Common deductions include income tax, provident fund (PF), professional tax, and insurance premiums. Deductions reduce the gross salary to arrive at the net or take-home pay.
Core values are the basic principles that define an organization’s identity and culture. They guide employee behavior, decision-making, and business practices. Strong core values help build trust, teamwork, and long-term success.
A contractual employee is hired for a specific period or project under a formal employment contract. Their terms of employment, salary, and benefits are clearly defined for the contract duration. Unlike permanent employees, their role typically ends when the contract expires unless renewed.