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The Essential Glossary of HR and Pre-Employment Terms

You need to know the right language to manage people well. The field of human resources uses many specific words. If you do not know these terms, you might find it hard to talk to your team or hire new people. This HR glossary gives you the tools you need to speak clearly.

A comprehensive guide to common industry terms and definitions in HR.

The Essential Glossary of HR and Pre-Employment Terms

Key Takeaways

Learning HR definitions helps you communicate better with your team.
Knowing pre-employment terms makes the hiring process much clearer.
Using the correct labels for legal steps helps you stay within the law.
A strong grasp of these terms helps you make better decisions for your company.

General Human Resources Terms

Human resources is a broad field. It covers everything from how people enter a company to how they leave it. You should start with these basic terms to understand the daily work of an HR team.

HRIS (Human Resources Information System): This is a software program. It stores all the data about your employees. It tracks things like pay, hours worked, and personal details. It helps you keep your records in one place.
Employee Lifecycle: This term describes the whole time a person spends at your company. It starts when they first hear about a job. It ends when they leave the business.
Retention: This refers to how well you keep your workers. If you have high retention, your staff stays with you for a long time.
Turnover: This is the opposite of retention. It measures how many people leave your company and need to be replaced. High turnover can cost your business a lot of money.
Company Culture: This is the set of shared values and goals in your office. It is how people act and work together every day.
Onboarding: This is the process of bringing a new worker into the company. It includes training them and giving them the tools they need to do their job.

If you want to look at more industry terms and guides, you can find them on our site. These resources help you stay updated on how the field is changing.

Recruitment and Pre-Employment Terms

Hiring the right person is one of your most important tasks. You must understand the steps and tools used to find new talent. These HR definitions focus on the start of the employment relationship.

ATS (Applicant Tracking System): This is a tool that helps you manage job seekers. It collects resumes and sorts them. It makes it easier for you to see who is a good fit for a role.
Sourcing: This is the act of looking for candidates. You might find them on social media or job boards. You are not just waiting for them to apply; you are actively finding them.
Passive Candidate: This is a person who is not looking for a new job. However, they might be open to a move if you offer them a great role.
Background Check: This is a search into a person's past. You do this to make sure they are telling the truth about their history. It can include criminal records or work history.
Reference Check: This is when you call a candidate's past bosses or coworkers. You ask them about the person's work habits and skills.
Candidate Experience: This is how a person feels about your hiring process. If the process is slow or rude, the candidate experience is bad. If it is clear and fast, it is good.
Job Description (JD): This is a document that lists what a worker will do. It also lists the skills they need to have. It is the first thing a person sees when they look for work.

Compliance and Legal Definitions

You must follow the law when you hire and manage people. These terms help you stay safe and treat everyone fairly.

At-Will Employment: This means an employer or an employee can end the job at any time. They do not need a specific reason as long as the reason is legal.
Equal Employment Opportunity (EEO): This is the idea that everyone should have the same chance at a job. You cannot turn someone away because of their race, age, or gender.
Fair Labor Standards Act (FLSA): This is a law that sets rules for pay. It covers things like the minimum wage and overtime pay.
Adverse Action: This happens when you decide not to hire someone based on a background check. You must follow specific rules to tell the person why you made this choice.
I-9 Form: This is a form used in the United States to prove a person can legally work. You must check their ID and keep this form on file.
Compliance: This simply means following the rules. It means you are obeying the laws set by the government for workers.

Performance and Employee Growth Terms

Once a person is hired, you need to help them do their best work. These terms deal with how you track and improve their performance.

KPIs (Key Performance Indicators): These are specific goals for a worker. You use them to see if the person is doing a good job. For example, a sales person might have a goal for how many items they sell.
Performance Review: This is a meeting between a boss and a worker. They talk about what went well and what needs to change.
Upskilling: This is when you teach a worker new skills for their current job. It helps them stay useful as technology changes.
Reskilling: This is when you train a worker for a completely different role in the company.
Base Salary: This is the fixed amount of money you pay a worker. It does not include bonuses or extra pay.
Benefits Package: This includes things like health insurance and vacation time. It is part of the total pay you give to a worker.

Frequently Asked Questions

Why is an HR glossary important for small business owners? Small business owners often do not have a full HR team. Knowing these terms helps you handle hiring and legal issues yourself. It makes sure you do not make mistakes that could lead to fines.

What is the difference between sourcing and recruiting? Sourcing is the first step where you find people who might be good for the job. Recruiting is the whole process. It includes sourcing, interviewing, and hiring the person.

How does an ATS help with the hiring process? An ATS saves you time. It reads resumes for you and picks out the ones with the right keywords. This means you do not have to read every single paper that comes into your office.

What should be included in a background check? Most checks look at criminal history and past jobs. Some also look at school records or credit history. You should only check things that matter for the job you are filling.

Building Your Knowledge Base

Learning these terms is a great first step. When you use the right words, you show your team that you are a professional. You also make it easier for people to understand what you expect from them. A clear vocabulary helps you build a better workplace.

You should keep this list nearby. As you grow your company, you will hear these words more often. Being ready for these talks will help you lead with confidence. You can always look for more information as you encounter new situations in your business.

Improve Your Hiring Today

Refhub helps you manage your hiring tasks with ease. We provide tools that make checking references and managing candidates simple. You do not have to handle the hard parts of hiring alone.

If you want to make your hiring process better, we are here to help. You can use our platform to make sure you get the best people for your team. Start using Refhub today to see how easy it can be to grow your business with the right staff.

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