What’s the difference between HR and employee relations?

As there is a certain degree of overlap between them, people often assume employee relations is just another word for HR. That is not the case though – they are separate services that fulfil different functions. It is important to understand exactly what both of them involve and the key variations, so you can choose the right service for the needs of your organisation.

What is HR?

Human resources (HR) is the term for a department within an organisation that handles all matters relating to its employees. It is a wide field that encompasses the following:

• Salaries and benefits administration
• Recruitment and departures
• Employee training
• Performance management
• Drafting workplace policies
• Safety in the workplace

Some companies keep their HR in-house, while others prefer to use outsourced HR services in Buckinghamshire or elsewhere. Equally, some opt for all of the above services while others just choose those they need.

When it comes to the goal of HR, it could be described simply as the smooth running of an organisation. This means ensuring salaries and benefits are paid correctly and on time, but it also means finding the right employees, arranging any training necessary and monitoring their performance. HR should facilitate the growth of an organisation while preventing anything that can disrupt it.

What are employee relations?

Employee relations is connected to HR, but it refers to a smaller and more specific subject. It is about managing the relationships between the employer and the employees. This means enabling the development of an organisational culture that is open and inclusive. It includes the following:

• Ensuring adherence to behavioural policies
• Dispute mediation and resolution
• Culture building
• Diversity, equity and inclusion programmes

It is another service that can be handled by an internal team or outsourced. Which an organisation chooses usually depends on factors like its size and budget.

The goal of employee relations is to foster an environment in which everyone can thrive, to the benefit of the organisation. It will ensure that everyone who works for the organisation understands and adheres to its values and policies – as well as making sure that communication between managers and employees is open and transparent. If a conflict arises within the organisation, an employee relations consultant in Buckinghamshire or anywhere else can offer mediation. This can help to prevent things escalating to an employment tribunal.

The key differences between HR and employee relations

It should be pointed out that there are definite similarities between the two. Employee relations and HR both have a focus on the wellbeing of an organisation and those working for it, but they approach that issue differently. HR is a holistic service that covers every aspect of an individual’s time within the organisation – from their recruitment to their eventual exit. On the other hand, employee relations focuses tightly on relationships between those working for the organisation while they are there.

Let us break down how that difference plays out in practice

Performance management or employee-management liaison

HR will collect and analyse employee performance data before putting together a process for managers to provide each employee with feedback. By contrast, an employee relations team will be brought in if an employee is experiencing difficulties that impact his or her performance. They will come up with a plan and help both the employee and their manager to work through it.

Salaries and benefits or rewards and recognition

HR will oversee the administration of salaries and benefits, ensuring each employee receives what they are due. Employee relations will make sure that employees feel empowered, respected and valued for their contributions.

How HR and employee relations work together

HR and employee relations will be most effective if they are deployed together. HR should provide the overall framework, creating the policies and processes, while employee relations ensures that people are able to work happily within that framework. For example, it will be the job of HR to devise policies for addressing discipline, harassment and discrimination. Then it will be down to employee relations to ensure those policies are applied in a way that is fair.

At FiveRivers Consulting, we offer both employee relations and HR services in Buckinghamshire. Get in touch to see how we can help your organisation.