Glossary
Human Resources glossary
43 key terms and acronyms from across Human Resources certifications, in plain English. Definitions are simplified for learning; the official exam outlines are authoritative.
- At-will employment
- A US default under which either employer or employee can end employment at any time, subject to legal limits.
- Behavioral competency
- A skill in how HR professionals act and apply judgement, grouped into the Leadership, Interpersonal and Business clusters.
- Benefits
- Non-wage compensation such as health insurance, retirement plans and paid time off.
- Business acumen
- The ability to understand an organisation's operations, finances and strategy and apply that to HR decisions.
- Collective bargaining
- Negotiation between an employer and a union over pay, benefits and working conditions.
- Compensation
- The pay an employee receives for work, including base salary, hourly wages and incentives.
- Compliance
- Meeting the legal and regulatory obligations that govern employment and HR practice.
- Consultation
- The competency of advising and guiding stakeholders on HR matters.
- Diversity, equity and inclusion (DEI)
- Practices that build a fair, varied workforce where all employees can participate and progress.
- EEO (Equal Employment Opportunity)
- The principle and body of US law aimed at ensuring fair, non-discriminatory employment practices.
- Employee engagement
- The degree to which employees feel committed to and motivated in their work and organisation.
- Employee relations
- The work of maintaining a healthy relationship between the organisation and its employees, including engagement and conflict resolution.
- Ethical practice
- Acting with integrity and upholding professional and legal standards in HR.
- FLSA (Fair Labor Standards Act)
- A US law setting minimum wage, overtime pay and related standards.
- FMLA (Family and Medical Leave Act)
- A US law providing eligible employees with job-protected leave for certain family and medical reasons.
- HR Knowledge Domain
- One of three technical content areas tested by knowledge items: People, Organization and Workplace.
- HR metrics
- Quantitative measures used to assess HR's performance and contribution to the business.
- Human resources (HR)
- The organisational function responsible for managing people - hiring, development, rewards, relations and compliance.
- Job analysis
- The study of a role to determine its duties, requirements and relative value.
- Labor relations
- The relationship between an employer and organised labor (unions), including bargaining and contract administration.
- Learning and development
- Activities that build employees' skills and support their growth, including training.
- Onboarding
- The process of integrating a new hire into the organisation and their role.
- Organization domain
- The HR knowledge area covering structure, workforce management, employee relations, technology and the global context.
- Pearson VUE
- The testing provider that delivers the PHR exam at its centres.
- People domain
- The HR knowledge area covering talent acquisition, engagement, learning and development, and total rewards.
- Performance management
- The ongoing process of setting expectations, giving feedback and assessing employee performance.
- Professional Development Credit (PDC)
- The unit of continuing education used to recertify the SHRM-CP; 60 are needed per three-year cycle.
- Progressive discipline
- A graduated approach to addressing performance or conduct issues, escalating consequences step by step.
- Recertification
- Maintaining the credential by earning the required PDCs (or retaking the exam) within each cycle.
- Recertification credit
- The unit of continuing activity HRCI requires to renew the PHR, 60 of which are needed per cycle.
- Relationship management
- The competency of building and maintaining effective working relationships across an organisation.
- Scaled score
- A converted score reported by HRCI in place of a raw percentage, used to decide pass or fail.
- SHRM
- The Society for Human Resource Management, the largest HR professional body in the US, which administers the SHRM-CP and SHRM-SCP.
- SHRM-CP
- The SHRM Certified Professional credential, aimed at early-to-mid-career HR professionals in operational roles.
- SHRM-SCP
- The SHRM Senior Certified Professional credential, the senior, strategy-focused counterpart to the SHRM-CP.
- Situational-judgement item
- A question that presents a workplace scenario and asks you to choose the most effective HR response.
- Stakeholder
- Anyone with an interest in an HR decision or outcome, such as employees, managers or leadership.
- Talent acquisition
- The end-to-end process of attracting, sourcing, selecting and hiring people.
- Title VII
- The US law prohibiting employment discrimination based on race, colour, religion, sex or national origin.
- Total rewards
- The full package of pay and benefits an employer offers, including base pay, incentives and non-cash benefits.
- Workforce management
- Planning, scheduling and managing the supply of people to meet an organisation's needs.
- Workforce planning
- Forecasting an organisation's future people needs and planning how to meet them.
- Workplace domain
- The HR knowledge area covering diversity and inclusion, risk, corporate social responsibility and employment law.