What is Employee Relations in HR? Key Roles and Differences

“I hate being the bad guy, I hate investigations, and absolutely get crusted seeing people get laid off.”

That’s how one HR generalist on Reddit described the most challenging part of their job—handling employee relations!

But what is employee relations in HR, exactly? Is it really that dreadful? Well, employee relations strives for a positive workforce environment. During that time, these professionals have to oversee investigations and resolve disputes. Organizations focused on expert HR leadership understand how important it is.

In this guide, we will explore what Employee Relations really means. We will also explain how it differs from HR and why it is integral to a balanced workplace environment.

Keep reading!

Part 1. What is Employee Relations in HR?

Employee relations (ER) is a subfield of HR that helps maintain a positive employer-employee relationship. To achieve this, ER professionals develop procedures that address íssues employees face at the workplace.

These can include employee conflicts or serious complaints about the company’s management, such as unfair treatment. The main goal of ER is to create a healthy work environment.

A 2022 report shows that a toxic work environment contributes to 72% of employees quitting their jobs, and 51% plan to leave for the same reason. By creating a supportive work environment, ER helps employees stay engaged, which can be 23% more profitable.

While ER is part of HR, they’re not exactly the same. Let’s find out how they differ in the following section.

Part 2. Key Differences Between HR and Employee Relations

HR and Employee Relations differ mainly in the scope of their duties and focus. While HR handles everything from hiring employees to their exit, ER focuses on developing a positive relationship between the organization and the workforce.

Let’s look at their key differences in detail.

1. Scope of Management

HR coaches the organization leaders in designing feedback frameworks. These help employees work more productively and achieve their targets faster. In contrast, ER gets involved when there is a performance issue. It focuses on managing the employee and developing a plan to improve their performance.

2. Roles and Duties

Human Resources and Employee Relations have distinct roles. HR professionals recruit, hire, and train employees. They also oversee their exit and conduct surveys to determine the reason. On the other hand, ER professionals are concerned with employee relations and their work environment. If any dispute arises, it's the ER professionals who handle it.

3. Workplace Safety

HR teams collaborate with leaders to build strategic plans for businesses that keep employees safe on-site. These plans are made at the foundational level of the organization. In contrast, ER becomes involved when these policies are violated. For example, when there’s a threat to workplace integrity that needs tracking, ER manages it.

4. Compensation and Rewards

HR ensures that employees receive the right amount of workplace perks and salaries. While doing this, it complies with the requirements mandated by law. This helps the organization avoid any legal issues. In comparison, ER is responsible for the staff’s well-being at a deeper level, such as their psychological and emotional health.

5. Skills Requirement

HR professionals need more expansive skills than ER professionals. These include workforce planning and development, policy formulation, and strong analytical abilities. ER professionals, meanwhile, need active listening, communication, and deep conflict resolution skills.

Quick Comparison of HR and Employee Relations

If the above information is a lot to take in, you can look at the following quick comparison to understand the essence of the HR-employee relations differences.

Part 3. Why are HR and Employee Relations Important?

HR and Employee Relations are essential for building a productive work environment. They help create a workplace culture that follows the law and is conducive to the organization's business plan.

This can be a tricky field to play in. That’s why many startups and growing companies can benefit from expert HR consultation. Such guidance can help develop people-centered strategies to grow as an organization.

That said, let’s look at what makes HR and ER so important.

Importance of Human Resources (HR)

• Alignment of the number of skilled employees with the organization's goals.
• Prevents any legal actions against the company.
• Address training gaps to enhance productivity and the organization’s growth.
• Design competitive salary packages to motivate the employees.
• Strategic cost management that won’t burden the company’s finances.

HR may help in the organization’s growth, but positive employee relations pave the way to get there. Let’s see how.

Importance of Employee Relations (ER)

• Better employee engagement and work harmony.
• Enhanced job satisfaction and reduced turnover.
• A supportive relationship between employees and the organization.
• Improved two-way communication between staff and management.
• Employees feel more heard and experience fewer conflicts.
• Workers are more likely to stay loyal to the company..

Conclusion

So, what is employee relations in HR? ER creates a supportive relationship between an organization and its people. It utilizes open communication, constant feedback, and employee investment. HR and ER differ in their focus and duties. But ultimately, both work together to build a workforce that aligns well with the company’s goals.

At Polaris Pathways, we help you navigate this with confidence. Through our strategic HR leadership and hands-on coaching, you can easily upscale your employee performance. Contact us today to get started!

FAQs

What is the role of ER in HR?

The role of ER is to address employee issues in a way that satisfies and retains them. These professionals promote open communication that builds trust between the organization and its people.

What are the four pillars of employee relations?

The four pillars of employee relations are open communication, recognition, feedback, and investment. Together, these facilitate supportive interactions between the organization and its staff.

What are ER and IR in HR?

ER stands for Employee Relations, while IR means Industrial Relations. ER focuses on the relations between employees and management. On the other hand, IR deals with the interactions between employers and unions. It also handles bargaining, labor laws, and disputes.

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