What is HR Agreement?

In business industries, HR agreement is defined as a legal employment contract between the company and an employee. Under this contract are employee matters concerning payroll, insurance, and other important benefits. In legal terms, this contract clarifies the responsibilities, expectations, and benefits of both the company and the employee.

There are four (4) general classifications of contract or agreement identified: (1) permanent; (2) temporary; (3) fixed-term; and lastly, (4) As - and when (or casual).

Each type of contract has its own advantages and disadvantages both in legal and administrative aspects. Normally, these factors will demand which agreement type is the most fitting in the specific circumstances.

How to Make an HR Agreement

Whether it’s non compete agreement or consulting agreement, we fully understood how taxing to start from scratch just to make a draft of the contract. With that, we believe you might need some of these tips in making an HR Agreement.

1. Develop the Culture of Always Giving Your Very Best

During 2008 (26/11) Mumbai attacks which took place at the Taj Hotel, every staff of that hotel worked so hard to, at least, save some of their guests. After the attacks, the chairman visited the families who have lost their loved ones and provided them with the support they needed in the form of money and emotional support.

This story, however, was told for the corporate businesses to build not just a company but a one-of-a-kind culture towards their guests/customers. In an agreement or contract that you are going to make, be sure to include the culture of giving the best to their customers.

2. Build a Culture Where Employees are Justly Valued and Fairly Treated

Another culture to build within the companies business is a culture where the employees are valued fairly and treated equally, even those at the lowest positions. Remember that the company is composed of different people, of different positions. Always give them their due.

3. Keep it Clear and Simple

This is basic. You just have to be clear and simple agreement with the rules for them to be easily followed. Sometimes, your employees need reiterations and constant reminder of the company’s rules and regulations, and that’s fine. That’s how you make your rules clear to them.

You can also ask them if the contract or agreement is clear, or if they have any questions before you ask them to sign it.

4. Be Flexible and Consider Exceptions

In a company that is trying to make it to the top, the rules should be evolving. This means that, if the rules require to be amended and/or repealed, consider it. Even in the law books, there are always exceptions to the rules. Make yours strict but always be open to changes.

5. Observe What the Law Approves and Prohibits

This is very important when making an employee agreement or contract. The contract should be in compliance with the government-approved framework. This will protect the company from any legal problems and ensure standard as well.

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