Laughing all the way to the bank

In some respects, human resources departments are like banks – people don’t like them, but have no choice but to deal with them. Among some employees, there is also a perception that HR is the (often immovable) obstacle between them and that deserved pay rise, that coveted training course or an increased budget for resources

In some respects, human resources departments are like banks – people don’t like them, but have no choice but to deal with them. Among some employees, there is also a perception that HR is the (often immovable) obstacle between them and that deserved pay rise, that coveted training course or an increased budget for resources.

You may think it is a largely unfair perception, but HR departments often do little to enhance their own reputation among operational business units. In my own career so far, negative HR experiences easily outweigh positive HR experiences, which is why the following will seem galling to many non-HR professionals.

Research featured in this edition of Human Resources shows that pay levels are now beginning to rise as a result of the tightening labour market. Of course, it’s logical for this to occur in a free market economy. However, a closer look at the numbers reveals that the greatest pay increases of any sector in the year to June were for human resources professionals. That’s right, not revenue generating sales divisions, or vital logistics divisions, but HR departments, who are, in many employees’ view, peddlers of meaningless company values and fluffy-sounding platitudes.

Despite the vitriol, there’s nothing unusual in that and no reason why HR should get a 7.3 per cent pay increase while the rest of us get 6 per cent. But it gets worse. The up tick in HR salaries has come at a time of increasing voluntary staff turnover. I’ll say that again. HR salaries have risen at the same time that more people are leaving their jobs of their own accord. What message does that send out to the frontline, those who deal with clients and customers every day, those who are at the sharp end of the business?

When more employees are walking out of their jobs of their own volition, why are HR professionals reaping the financial benefits? I’ve been a working journalist for nearly 10 years. If I failed to deliver a piece on time, I would expect to be penalised. If this article finished halfway down the page, I wouldn’t expect a pay rise; I would expect my performance to be looked at very closely by my superiors. Why then, does HR deserve increased remuneration?

While statistics can be interpreted in many ways, there is a point to all of this. HR, whatever practitioners may think, needs an image overhaul. Busting the perception that HR gets a slice of everything you don’t would be a good start.

Stuart is the Editor of Human Resources sister publication, Risk Management magazine.

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