HR Glossary

A performance assessment method where an employee receives confidential feedback from multiple sources, including their manager, peers, direct reports, and sometimes clients. The aim is to provide a well-rounded view of strengths and development areas.

The policies, procedures, and practices an organisation uses to manage employee absence, including sickness absence, unauthorised absence, and planned leave. Effective absence management balances employee welfare with operational needs.

A pattern of habitual absence from work, often without good reason. It differs from occasional, legitimate sickness absence and can indicate underlying issues such as low morale, workplace stress, or personal problems.

An independent public body that provides free and impartial advice to employers and employees on workplace relations and employment law. ACAS also offers conciliation services to help resolve disputes before they reach an employment tribunal.

Guidance published by the Advisory, Conciliation and Arbitration Service setting out principles for handling disciplinary and grievance matters at work. While not legally binding, the Code establishes the minimum standards of fairness expected by employment tribunals.

A record maintained by the employer in which all workplace accidents, injuries, and near-misses are documented. Recording incidents helps identify patterns, supports insurance claims, and fulfils the employer's legal obligations for accident reporting.

Statutory leave available to an employee who is newly matched with a child for adoption. The entitlement mirrors maternity leave with 26 weeks of Ordinary Adoption Leave followed by 26 weeks of Additional Adoption Leave, totalling 52 weeks.

Individuals supplied by a temporary work agency to work under the supervision and direction of a hiring organisation. Agency workers have specific rights including equal treatment on pay and basic working conditions after 12 weeks in the same role.

UK legislation that gives agency workers the right to the same basic working conditions as directly employed workers after a qualifying period of 12 weeks in the same role with the same hirer. The regulations cover pay, working time, and access to facilities.

The amount of paid time off that employees are legally entitled to take each year. In the UK, the statutory minimum is 5.6 weeks (28 days for full-time workers), which can include bank holidays. Employers may offer more than the statutory minimum.

The formal procedure by which employees request and receive approval for paid time off from work. An effective leave request process balances employee flexibility with operational needs, ensures fair treatment, and maintains accurate leave records.

A regular process, typically conducted annually, where an employer reviews and potentially adjusts employee pay levels. The review considers factors including business performance, market benchmarking, inflation, individual performance, and internal pay equity.

A formal performance evaluation conducted once a year in which an employee's achievements, performance against objectives, development progress, and goals for the coming year are discussed and documented. The annual review often informs decisions about pay, promotion, and development.

Software used by employers to manage the recruitment process electronically, from receiving applications to making hiring decisions. An ATS automates job posting, application screening, interview scheduling, and candidate communication.

A structured training programme that combines on-the-job learning with off-the-job study, leading to a recognised qualification. Apprenticeships are available at various levels from intermediate (Level 2) to degree (Levels 6 and 7) and are open to individuals of all ages.

A UK government tax on large employers to fund apprenticeship training. Employers with an annual pay bill of more than 3 million pounds pay 0.5% of their total pay bill, offset by a 15,000 pound annual allowance. The funds are used to pay for apprenticeship training and assessment.

Employer-designed frameworks that set out the knowledge, skills, and behaviours an apprentice must demonstrate to be competent in a specific occupation. Standards replaced the older apprenticeship frameworks in England and are assessed through an independent end-point assessment.

A structured recruitment process in which candidates undertake multiple exercises designed to assess their suitability for a role. Activities typically include group exercises, presentations, in-tray exercises, role plays, and interviews, evaluated by trained assessors.

A court order requiring an employer to deduct a specified amount from an employee's earnings and pay it to a third party, typically to recover a debt. The employer is legally obligated to comply with the order and make deductions from the employee's pay.

The process of verifying information provided by a job candidate before or during the early stages of employment. Checks may include identity verification, employment history, academic qualifications, credit history, criminal records, and professional references.

Designated public holidays in the UK, traditionally eight days per year in England and Wales. While commonly given as days off, there is no automatic legal entitlement for employees to have bank holidays off or to receive extra pay for working on them.

Time off work granted to an employee following the death of a close relative or dependant. While there is a statutory right to parental bereavement leave, there is no general statutory right to bereavement leave in the UK, though most employers offer it as a contractual benefit.

A supplementary payment made to an employee in addition to their base salary, typically linked to individual performance, company results, or achievement of specific targets. Bonuses may be contractual or discretionary.

A formula used by HR professionals to measure employee absenteeism, placing greater emphasis on frequent short-term absences than longer spells. The score is calculated as S x S x D, where S is the number of separate absence spells and D is the total number of days absent.

An onboarding practice in which a new employee is paired with an experienced colleague who acts as an informal guide during the initial period of employment. The buddy provides day-to-day support, answers questions, and helps the new hire integrate into the team.

A formal process for managing employees whose work performance falls below the required standard despite informal support. It provides a structured framework for setting clear expectations, providing support, and escalating consequences if performance does not improve.

The practice of allowing employees to transfer unused annual leave from one leave year to the next. While employers are not required to allow carry-over of the basic statutory entitlement, specific circumstances may require it, and many employers permit limited carry-over as a benefit.

A salary sacrifice benefit that allowed employees to exchange part of their gross pay for vouchers to pay for registered childcare, providing savings on income tax and National Insurance. The scheme has been closed to new entrants since October 2018.

The professional body for HR and people development in the UK. CIPD provides qualifications, research, guidance, and thought leadership for HR professionals. It sets professional standards and promotes evidence-based practice in people management.

A developmental process in which a coach supports an individual in improving their performance, developing specific skills, or achieving professional goals through structured conversations, questioning, and feedback. Unlike mentoring, coaching is typically time-bound and focused on specific outcomes.

A legal obligation on employers proposing to make 20 or more employees redundant at one establishment within a 90-day period. The employer must consult with appropriate employee representatives and notify the Redundancy Payments Service (RPS).

A form of variable pay calculated as a percentage of sales revenue or a fixed amount per unit sold. Commission structures are common in sales roles and may form all or part of an employee's remuneration package.

A vehicle provided by an employer for business and often personal use by an employee. The provision of a company car for private use creates a taxable benefit in kind, calculated based on the car's list price and CO2 emissions.

Paid or unpaid time off granted to employees to deal with personal emergencies or bereavement, such as the death or serious illness of a close family member. Compassionate leave is separate from bereavement leave and time off for dependants.

A structured model that defines the behaviours, skills, and attributes required for successful performance across different roles and levels within an organisation. Competencies are used to guide recruitment, development, performance assessment, and career progression.

A job offer that is subject to the successful completion of specified conditions before it becomes binding. Common conditions include satisfactory references, DBS checks, right-to-work verification, medical clearance, and proof of qualifications.

A situation where an employee resigns because their employer has fundamentally breached the employment contract, making it impossible for them to continue working. The employee treats themselves as having been dismissed, even though the employer did not formally terminate the employment.

The ongoing process of learning and developing skills throughout a professional career. CPD encompasses formal and informal learning activities that maintain, improve, and broaden professional knowledge and skills.

An approach to performance management in which regular, ongoing feedback is given and received between managers and employees, rather than relying solely on formal periodic reviews. Continuous feedback may be facilitated through regular one-to-one meetings, peer feedback tools, and real-time recognition.

The unbroken period of employment with an employer, which determines an employee's eligibility for various statutory employment rights such as unfair dismissal protection, statutory redundancy pay, and certain family leave entitlements.

The process of helping new employees understand and adapt to the organisation's values, norms, behaviours, and working practices. Effective cultural integration goes beyond induction training to embed the employee within the social fabric of the organisation.

A tax-exempt employee benefit that allows employees to obtain bicycles and cycling equipment through a salary sacrifice arrangement. The employer purchases or leases the equipment and provides it to the employee, who pays for it through regular pre-tax salary deductions.

A formal request made by an individual to an organisation to obtain a copy of the personal data held about them, along with information about how and why it is being processed. Under UK GDPR, organisations must respond within one calendar month.

A criminal record check conducted by the Disclosure and Barring Service to help employers make safer recruitment decisions. There are three levels: Basic, Standard, and Enhanced, depending on the nature of the role.

A life insurance policy provided by an employer that pays a lump sum to the deceased employee's beneficiaries if the employee dies while employed. The payment is typically expressed as a multiple of the employee's annual salary.

A policy and cultural commitment ensuring all employees are treated with respect and are free from bullying, harassment, and any form of unacceptable behaviour. Dignity at work policies typically cover behaviour between colleagues, managers, customers, and third parties.

A formal meeting held as part of the disciplinary process in which an employer presents the case against an employee and gives the employee an opportunity to respond before a decision is made. The hearing is a critical step in ensuring procedural fairness.

A formal process that employers follow to address employee misconduct or performance issues. It typically involves investigation, a hearing, a decision, and the right to appeal. The procedure should be clearly documented and communicated to all employees.

A strategic approach to creating a workplace that values and leverages differences among employees, including but not limited to race, gender, age, disability, sexual orientation, religion, and socioeconomic background. Diversity refers to the mix of people; inclusion is about making that mix work.

An assessment of the risks associated with employees who habitually use display screen equipment as a significant part of their work. The assessment covers the workstation, screen, chair, lighting, and work patterns to identify and reduce health risks.

A confidential workplace service that provides employees with access to counselling, advice, and support for personal and work-related problems. EAPs typically cover mental health, financial worries, relationship difficulties, bereavement, and legal issues.

The emotional commitment and connection that employees feel towards their organisation, its goals, and values. Engaged employees are more productive, more likely to stay, and contribute positively to the workplace culture and business outcomes.

A comprehensive document that outlines an organisation's policies, procedures, and expectations for employees. It covers topics such as conduct, leave, grievance and disciplinary procedures, health and safety, and benefits, serving as a key reference for both managers and staff.

The stages an employee goes through in their relationship with an organisation, from initial attraction and recruitment through onboarding, development, retention, and eventually separation. Understanding the lifecycle helps organisations design appropriate interventions at each stage.

The systematic approach to creating, organising, retaining, and disposing of employee-related documents and data throughout the employment lifecycle. It covers everything from recruitment records and contracts to payroll data, performance reviews, and disciplinary files.

A structured programme that encourages existing employees to recommend candidates from their personal and professional networks for open vacancies. Successful referrals are typically rewarded with a financial bonus or other incentive paid after the new hire completes a qualifying period.

The management of the relationship between an employer and its employees, covering both individual and collective matters. Employee relations encompasses communication, engagement, conflict resolution, disciplinary and grievance procedures, and the management of trade union relationships.

Arrangements that allow employees to acquire shares in their employer's company, often on favourable tax terms. UK-approved share schemes include Share Incentive Plans (SIP), Save As You Earn (SAYE), Company Share Option Plans (CSOP), and Enterprise Management Incentives (EMI).

The unique set of benefits, rewards, and opportunities that an employer offers in exchange for an employee's skills, capabilities, and contribution. The EVP encompasses compensation, benefits, career development, work environment, and organisational culture.

A holistic approach to supporting the physical, mental, financial, and social health of employees. Wellbeing initiatives aim to help employees thrive at work and in life, leading to improved engagement, productivity, and reduced absence and turnover.

Mandatory contributions deducted from an employee's earnings through payroll, which count toward their entitlement to state benefits including the State Pension. The amount depends on earnings and the employee's NI category letter.

The reputation and image of an organisation as a place to work, as perceived by current employees, potential candidates, and the wider public. A strong employer brand helps attract top talent, reduces recruitment costs, and improves employee retention and engagement.

The reputation and image an organisation projects as an employer, encompassing its values, culture, employee experience, and employment proposition. Employer branding influences an organisation's ability to attract, recruit, and retain talent.

A third-party organisation that serves as the legal employer for workers, handling payroll, tax compliance, benefits administration, and employment law obligations on behalf of the client company. The client company retains day-to-day management of the worker's tasks and output.

A mandatory contribution paid by employers to HMRC on top of employee wages. It is calculated as a percentage of the employee's earnings above the Secondary Threshold and funds the state pension, NHS, and other benefits.

Compulsory insurance that covers employers against claims from employees who are injured or become ill as a result of their work. Almost all employers in the UK are legally required to hold employers' liability insurance with a minimum cover of 5 million pounds.

An annual allowance that enables eligible employers to reduce their total employer Class 1 National Insurance liability. It is claimed through the payroll system and reduces the amount of NIC due to HMRC.

A legally binding agreement between an employer and employee that sets out the terms and conditions of employment. It can be written, verbal, or implied through custom and practice. A written statement of employment particulars must be provided from day one.

The foundational piece of UK legislation that consolidates individual employment rights. It covers the right not to be unfairly dismissed, the right to a written statement of employment particulars, redundancy pay, time off rights, and protection from detriment for exercising statutory rights.

The legal classification of an individual's working relationship, which determines their employment rights and tax treatment. The three main categories in UK law are employee, worker, and self-employed. The distinction affects entitlements to holiday pay, sick pay, unfair dismissal rights, and tax obligations.

A judicial body that hears and decides claims relating to employment law, including unfair dismissal, discrimination, and unpaid wages. Tribunals are independent of the court system and aim to provide a less formal setting for resolving employment disputes.

Any employer-provided maternity pay that exceeds the Statutory Maternity Pay minimum. Enhanced schemes vary widely but commonly offer full or partial pay for a set period beyond the statutory entitlement, often conditional on the employee returning to work afterwards.

A voluntary employer benefit that provides paternity pay above the statutory minimum rate. Enhanced paternity pay is offered as part of an employer's parental leave policy to support new parents and promote workplace equality.

The principle and practice of ensuring that all individuals are treated fairly in the workplace, regardless of protected characteristics such as age, disability, gender reassignment, marriage, pregnancy, race, religion, sex, or sexual orientation.

The principal UK anti-discrimination legislation that protects individuals from unfair treatment in the workplace and wider society. It consolidates and replaces previous equality legislation, establishing nine protected characteristics and prohibiting direct and indirect discrimination, harassment, and victimisation.

A structured conversation conducted with an employee who is leaving the organisation, designed to gather feedback about their experience, reasons for leaving, and suggestions for improvement. Exit interviews provide valuable data for improving retention and workplace culture.

A designated employee responsible for assisting with fire safety in the workplace, including conducting fire evacuations, checking that escape routes are clear, accounting for personnel at assembly points, and supporting the implementation of fire safety procedures.

An employee who has been trained and designated to provide immediate first aid assistance in the event of injury or illness in the workplace. The level of first aid provision required depends on the nature of the work and the number of employees.

A document issued by a doctor or other authorised healthcare professional that advises whether a patient is not fit for work or may be fit for work with adjustments. It replaced the old sick note in 2010 to focus on what employees can do rather than what they cannot.

Any working arrangement that deviates from the standard full-time, office-based model. This includes part-time working, flexitime, compressed hours, job sharing, annualised hours, and remote or hybrid working.

A temporary leave of absence in which employees are retained on the payroll but are not required to work, or work reduced hours. The term became widely used during the COVID-19 pandemic when the UK government's Coronavirus Job Retention Scheme subsidised furloughed employees' wages.

A period during an employee's notice when they are instructed to stay away from the workplace while remaining employed and receiving full pay and benefits. The employee remains bound by their contractual obligations, including confidentiality and non-compete clauses.

The application of the UK General Data Protection Regulation and Data Protection Act 2018 to the processing of employee personal data. HR departments handle sensitive personal data including health records, bank details, and diversity information, all of which must be processed lawfully.

A legal requirement for large employers to publish data showing the difference in average pay between men and women in their organisation. The reports must include the mean and median gender pay gap in hourly pay, bonus pay gaps, and the proportion of men and women in each pay quartile.

A formal process through which employees can raise concerns, problems, or complaints about their work, working conditions, or relationships with colleagues. Employers should have a clear procedure that allows issues to be resolved fairly and promptly.

Behaviour so serious that it fundamentally undermines the employment relationship, entitling the employer to dismiss the employee without notice (summary dismissal). Examples include theft, fraud, violence, serious negligence, and breaches of confidentiality.

The total amount of an employee's earnings before any deductions are made, including basic salary, overtime, bonuses, commission, and any other taxable payments or benefits.

The total number of employees in an organisation at a given point in time, regardless of whether they work full-time or part-time. Headcount is a fundamental workforce planning metric used for budgeting, reporting, and organisational design.

The legal and practical framework for ensuring employees are safe and healthy in the workplace. Employers have a duty of care to assess risks, implement controls, provide training, and maintain a safe working environment for all employees, visitors, and contractors.

The primary piece of UK legislation governing workplace health and safety. It places duties on employers to ensure, so far as is reasonably practicable, the health, safety, and welfare of all employees at work, as well as protecting others who may be affected by work activities.

The pay employees receive while on annual leave. UK law requires that workers are paid their normal remuneration during the first four weeks of statutory leave, which includes regular overtime, commission, and other regular payments, not just basic pay.

The application of data analysis techniques to human resources data to inform workforce decisions. HR analytics uses metrics such as turnover rates, absence patterns, recruitment effectiveness, and engagement scores to identify trends and support evidence-based people management.

A formal policy that sets out the organisation's approach to combining office-based and remote working. It typically specifies which roles are eligible, the expected split between office and home days, core hours, and the practical arrangements for hybrid working.

A flexible work arrangement where employees split their time between working from the employer's premises and working remotely, typically from home. The balance varies by organisation, with common models including two to three days in the office and the remainder remote.

The process by which a UK employer obtains a sponsor licence from the Home Office to employ workers from outside the UK. The employer must meet specific duties and responsibilities, and the worker must meet eligibility criteria including minimum salary thresholds and skill levels.

The initial orientation process for new employees, typically covering the first few days or weeks of employment. It includes introductions to the team, health and safety briefings, IT setup, policy overviews, and essential training to help the new hire get started.

The UK's independent authority for upholding information rights, including data protection under the UK GDPR and Data Protection Act 2018, and freedom of information. The ICO regulates how organisations collect, store, and use personal data.

A structured evaluation form used by interviewers to rate candidates against predetermined criteria during or immediately after an interview. Scorecards ensure consistent assessment and provide documented evidence for hiring decisions.

Tax legislation designed to prevent tax avoidance by workers who provide their services through an intermediary (typically a personal service company) but who would be classed as employees if engaged directly. The rules ensure these workers pay broadly the same tax as employees.

A formal document that outlines the duties, responsibilities, purpose, and scope of a specific role within an organisation. It typically includes the job title, reporting line, key tasks, working conditions, and how the role fits into the wider team structure.

A civic duty requiring individuals called for jury service to attend court, typically for up to two weeks. Employers must allow employees time off for jury service by law, although there is no statutory obligation to pay them during the absence.

Days when an employee on maternity, adoption, or shared parental leave can work for their employer without ending their leave or losing statutory pay. Up to 10 KIT days are available during maternity or adoption leave, and up to 20 SPLIT days during shared parental leave.

A measurable value that demonstrates how effectively an individual, team, or organisation is achieving key business objectives. In HR, KPIs are used to track metrics such as employee turnover, absence rates, time-to-hire, and employee satisfaction.

A measure of the rate at which employees leave an organisation and are replaced over a given period, usually expressed as a percentage. It is a key indicator of workforce stability, employee satisfaction, and the effectiveness of people management practices.

The systematic process of improving employees' skills, knowledge, and competencies through training, education, and development activities. L&D encompasses formal training courses, on-the-job learning, coaching, mentoring, e-learning, and professional development programmes.

Software used to plan, deliver, track, and report on employee training and development activities. An LMS enables organisations to manage e-learning content, classroom training, compliance courses, and CPD records in one platform.

A recognition given to employees who have completed a significant period of continuous service with an organisation. Awards can take the form of additional leave, gifts, vouchers, or cash payments and are used to recognise loyalty and commitment.

A statutory entitlement allowing pregnant employees to take up to 52 weeks of leave from work, comprising 26 weeks of Ordinary Maternity Leave followed by 26 weeks of Additional Maternity Leave. Employees must take a minimum of two weeks after birth (four weeks for factory workers).

An employee trained to recognise the signs and symptoms of common mental health conditions, provide initial support, and guide colleagues toward appropriate professional help. The role is analogous to a physical first aider but focused on mental wellbeing.

A developmental relationship where a more experienced individual (the mentor) guides, advises, and supports a less experienced person (the mentee) in their professional growth. Unlike coaching, mentoring tends to be longer-term and focuses on broader career development.

An annual statement that qualifying organisations must publish setting out the steps they have taken to ensure modern slavery and human trafficking are not taking place in their business or supply chains.

Letter codes assigned to employees that determine the rate of National Insurance contributions for both employer and employee. The category depends on the employee's age, employment type, and whether they are in a contracted-out pension scheme.

A temporary exemption from paying employer National Insurance contributions for certain categories of new employees. NI holidays have been introduced at various times to incentivise hiring, particularly in economically disadvantaged regions.

The highest band of the UK's National Minimum Wage, applying to workers aged 21 and over. It is a statutory requirement set by the government, distinct from the voluntary Living Wage rates recommended by the Living Wage Foundation.

The minimum hourly rate of pay that employers must legally pay most workers in the UK. Different rates apply depending on the worker's age and whether they are an apprentice. The rates are reviewed annually by the Low Pay Commission.

A new statutory entitlement allowing eligible employees to take up to 12 weeks of paid leave when their baby requires neonatal care. This leave is in addition to maternity, paternity, and shared parental leave entitlements.

The amount of pay an employee receives after all statutory and voluntary deductions have been subtracted from gross pay. Also known as take-home pay.

The amount of advance warning that an employer or employee must give before ending the employment relationship. Notice periods are set out in the employment contract and must meet statutory minimums based on the employee's length of service.

A specialist branch of medicine focused on the physical and mental wellbeing of employees in the workplace. Occupational health services provide health assessments, workplace adjustments advice, health surveillance, and support for employees returning to work after illness or injury.

The structured process of managing an employee's departure from the organisation, covering notice period management, knowledge transfer, IT access revocation, equipment return, exit interviews, and final pay calculations.

A goal-setting framework that defines objectives (what you want to achieve) and key results (measurable outcomes that indicate progress toward the objective). OKRs are typically set quarterly and cascade from organisational goals to team and individual levels.

The structured process of integrating a new employee into an organisation, covering everything from pre-arrival paperwork to probationary reviews. Effective onboarding helps new hires become productive quickly and reduces early turnover.

A structured list of tasks, activities, and milestones that must be completed during a new employee's onboarding period. The checklist ensures consistency, covers legal requirements, and tracks progress from pre-boarding through to the end of the probation period.

Additional hours worked beyond an employee's contracted or normal working hours. Overtime may be voluntary or mandatory, paid or unpaid, depending on the employment contract. There is no UK statutory right to overtime pay, but total pay must not fall below the National Minimum Wage.

A form that employers must submit to HMRC detailing the value of taxable benefits and expenses provided to employees during the tax year. Common benefits include company cars, private medical insurance, gym memberships, and interest-free loans above 10,000 pounds.

A document that an employer must provide to an employee when they leave a job. It shows the total pay and tax deducted in the current tax year up to the leaving date. The employee gives it to their next employer to ensure they are taxed correctly.

An annual certificate issued by employers to employees showing total pay and deductions for the tax year ending 5 April. It summarises all PAYE income tax and National Insurance contributions made during the year.

A statutory right for eligible employees to take up to 18 weeks of unpaid leave per child, to be used before the child's 18th birthday. Each parent can take up to 4 weeks per year per child, in blocks of one week unless the child is disabled.

A statutory right for eligible employees to take paid time off work to care for a new child or support the birth mother. Eligible employees can take up to two weeks of paternity leave, which must be taken within 56 days of the birth or adoption.

The HMRC system through which employers deduct income tax and National Insurance contributions from employees' wages before paying them. PAYE operates in real time, with employers reporting payments electronically each pay period.

The process of calculating and distributing employee wages, including deductions for tax, National Insurance, pension contributions, and other items. Payroll also encompasses maintaining records required by HMRC.

An external service provider that processes payroll on behalf of an employer. The bureau handles salary calculations, tax and NIC deductions, RTI submissions to HMRC, payslip production, and year-end processes including P60s and P11Ds.

A document provided by the employer showing the breakdown of an employee's pay, including gross pay, deductions, and net pay. Since April 2019, all workers including casual and zero-hours contract workers are entitled to a payslip.

The UK's automatic pension enrolment scheme that requires employers to automatically enrol eligible workers into a qualifying workplace pension scheme and make minimum contributions. Eligible workers are those aged between 22 and State Pension age, earning above the earnings trigger.

The comprehensive set of practices involved in recruiting, developing, motivating, and retaining employees to achieve organisational objectives. People management encompasses HR strategy, line management, employee relations, and the day-to-day leadership of teams.

A process in which managers collectively review and discuss their performance ratings to ensure consistency, fairness, and alignment of standards across teams and departments. Calibration sessions reduce rating bias and ensure employees at the same level are assessed against the same benchmark.

A formal document that sets out specific performance concerns, measurable improvement targets, the support that will be provided, and a defined timeframe for the employee to demonstrate improvement. A PIP is typically used when informal discussions have not resolved performance issues.

A structured evaluation of an employee's work performance, achievements, and areas for development over a set period. Performance reviews provide an opportunity for managers and employees to discuss goals, give feedback, and plan future development.

A document that describes the ideal candidate for a job, listing the essential and desirable skills, qualifications, experience, and personal attributes required. It is used alongside the job description to assess and shortlist candidates consistently and fairly.

A structured document that records an employee's development goals, the actions needed to achieve them, timelines, and measures of success. PDPs are typically created collaboratively between the employee and their manager during performance or development reviews.

Activities and communications that take place between a candidate accepting a job offer and their first day of employment. Pre-boarding aims to maintain engagement, reduce dropout risk, and prepare the new hire for a smooth start.

The practice of employees attending work while unwell, either physically or mentally, resulting in reduced productivity. Presenteeism is increasingly recognised as a significant cost to businesses, often exceeding the cost of absenteeism.

The earnings level above which employees must start paying their own National Insurance contributions. Earnings between the Lower Earnings Limit and the Primary Threshold count toward NI qualifying years but do not incur contributions.

An employer-provided benefit that gives employees access to private healthcare, covering consultations, diagnostics, and treatment outside the NHS. PMI policies vary in coverage, from basic plans covering core treatments to comprehensive plans including dental and optical care.

An initial period of employment, typically three to six months, during which a new employee's performance and suitability for the role are assessed. While not a legal requirement, probation periods are common practice and should be clearly outlined in the employment contract.

A business that acts as an intermediary between employers seeking to fill vacancies and candidates looking for work. Agencies may supply temporary workers, find permanent candidates, or provide a combination of both services.

A form of dismissal that occurs when an employer needs to reduce their workforce, typically because a role is no longer needed, the business is closing, or the workplace is relocating. It is not related to the employee's conduct or performance.

The process of verifying a candidate's employment history, qualifications, and suitability by contacting their previous employers or nominated referees. References may be factual (confirming dates and role) or character-based.

A formal document that sets out the terms, expectations, and guidelines for employees working from a location other than the employer's premises. It covers eligibility, equipment, data security, communication expectations, health and safety, and expenses.

Statutory periods of rest that workers are entitled to during and between shifts. UK law provides for daily rest breaks during work, daily rest periods between shifts, and weekly rest periods. These are minimum entitlements that cannot be contracted out of.

Clauses in an employment contract that restrict what an employee can do after their employment ends. Common types include non-compete, non-solicitation (of clients), non-dealing, and non-poaching (of employees). They must be reasonable to be enforceable.

The structured process of supporting an employee back into the workplace after a prolonged period of absence, typically due to illness, injury, or maternity leave. A well-managed return-to-work process helps the employee reintegrate and reduces the risk of relapse or further absence.

A conversation between a manager and an employee returning from a period of absence, designed to welcome them back, check on their wellbeing, discuss any support needed, and update them on what they missed. It is a key part of effective absence management.

The statutory right of employees to be accompanied by a trade union representative or work colleague at formal disciplinary and grievance hearings. The companion can address the hearing, confer with the worker, and ask questions but cannot answer questions on behalf of the worker.

The principle that employees should be able to disengage from work communications and not be expected to respond to emails, calls, or messages outside of their working hours. While not currently a UK statutory right, it is gaining traction as a workplace wellbeing measure.

The statutory right of all UK employees to formally request a change to their working pattern, including hours, times, or place of work. Employers must deal with requests reasonably and can only refuse for specified business reasons.

The statutory right for all employees to request changes to their working pattern, including hours, times, and location of work. Employers must consider requests in a reasonable manner and can only refuse for specified business reasons.

A mandatory verification process that employers must conduct to confirm a prospective employee has legal permission to work in the UK. This involves checking and retaining copies of specified original documents before employment begins.

The updated methods for conducting right to work checks in the UK, including the use of Identity Service Providers (IDSPs) for British and Irish citizens and the Home Office online checking service for those with biometric immigration documents or settled/pre-settled status.

A systematic process of identifying hazards in the workplace, evaluating the risks they present, and determining appropriate control measures. Risk assessments must be suitable and sufficient, and employers with five or more employees must record their significant findings.

An extended period of leave, typically ranging from one to twelve months, granted to an employee for personal development, travel, study, or rest. Sabbaticals may be paid, unpaid, or partially paid, depending on the employer's policy.

An arrangement where an employee gives up part of their gross salary in exchange for a non-cash benefit, such as additional pension contributions, childcare vouchers (for existing members), cycle-to-work scheme access, or an electric vehicle lease. The benefit is that both employee and employer save on National Insurance contributions.

An interest-free or low-interest loan provided by an employer to help employees purchase annual travel season tickets for their commute. The loan is repaid through regular salary deductions over the course of the year.

The earnings level above which employers must start paying employer's National Insurance contributions. Earnings at or below this threshold are not subject to employer NICs.

A temporary assignment where an employee is placed in a different role, department, or organisation for a set period while remaining employed by their original employer. Secondments are used for development, knowledge transfer, or to fill temporary needs.

A legally binding contract between an employer and employee that settles potential or actual employment claims. The employee typically receives a financial payment in exchange for agreeing not to bring specified claims against the employer. Formerly known as a compromise agreement.

A flexible arrangement that allows eligible parents to share up to 50 weeks of leave and up to 37 weeks of pay between them following the birth or adoption of a child. The mother must curtail her maternity leave to create SPL that either parent can take.

The scheduled arrangement of working hours for employees, particularly in businesses that operate outside standard office hours. Common patterns include rotating shifts, fixed shifts, split shifts, and continental shift patterns covering 24/7 operations.

The process of reviewing job applications and selecting candidates who best meet the criteria in the person specification to progress to the next stage of recruitment, typically an interview or assessment.

A formal document that sets out an organisation's rules and procedures for managing employee absence due to illness. It covers notification requirements, evidence such as self-certification and fit notes, return-to-work procedures, trigger points, and links to occupational health support.

A systematic assessment that identifies the difference between the skills an organisation currently has in its workforce and the skills it needs to achieve its strategic objectives. The analysis informs recruitment, training, and development priorities.

The strategies, policies, and practices used by employers to keep valuable employees and reduce voluntary turnover. Effective retention addresses the key drivers of why people stay or leave, including pay, career development, management quality, work-life balance, and company culture.

A form completed by new employees who do not have a P45 from a previous employer. It provides the information needed to set up the employee on payroll with the correct tax code, including details of student loans and other employment.

A written document that employers must provide to employees and workers setting out the main terms of their employment. Since April 2020, this must be provided on or before the first day of employment, rather than within two months as previously required.

The minimum payment that qualifying employees receive during maternity leave, paid by the employer for up to 39 weeks. The first six weeks are paid at 90% of average weekly earnings, and the remaining 33 weeks at the lower of the flat rate or 90% of average earnings.

The minimum payment employers must make to eligible employees taking paternity leave. SPP is paid for up to two weeks at a flat weekly rate or 90% of average weekly earnings, whichever is lower.

A lump sum payment that qualifying employees are entitled to receive when they are made redundant. The amount depends on the employee's age, length of continuous service (up to 20 years), and weekly pay (subject to a cap).

The minimum amount that employers must legally pay employees who are too ill to work, provided they meet eligibility criteria. SSP is paid for up to 28 weeks and is subject to PAYE tax and National Insurance contributions.

Deductions made through payroll to repay student loans issued by the Student Loans Company. Employers are notified by HMRC to begin deductions when an employee's earnings exceed the relevant repayment threshold, and deductions continue until the loan is repaid or written off.

A strategic process of identifying and developing internal employees to fill key leadership and business-critical positions in the future. Succession planning ensures organisational continuity and reduces the risk of knowledge gaps when key personnel leave.

The immediate termination of an employee's contract without notice, permitted only in cases of gross misconduct. Summary dismissal is the most serious disciplinary outcome and should only be used after a fair investigation and hearing.

A temporary measure where an employer instructs an employee not to attend work, typically during a disciplinary investigation. Suspension should be on full pay unless the contract specifies otherwise, and should be as brief as reasonably possible.

A comprehensive approach to attracting, developing, retaining, and deploying employees to meet current and future business needs. It encompasses recruitment, onboarding, learning and development, performance management, and succession planning.

A database of potential candidates who have been identified as suitable for future roles within an organisation. Talent pools include previous applicants, internal employees being developed for progression, referrals, and proactively sourced candidates.

An alphanumeric code used by employers and pension providers to calculate the correct amount of income tax to deduct from an employee's pay. The numbers in the code represent the tax-free allowance, and the letters indicate the employee's circumstances.

A statutory right for employees to take a reasonable amount of unpaid time off work to deal with an unexpected or sudden emergency involving a dependant. This includes illness, injury, death, disruption to care arrangements, or an incident at a child's school.

Paid time off given to employees in exchange for extra hours or days they have worked beyond their normal contracted hours. Instead of receiving overtime pay, the employee takes equivalent time off at a later date.

The formal process by which an employer acknowledges a trade union's right to negotiate on behalf of a defined group of workers. Recognition can be voluntary (agreed between employer and union) or statutory (imposed through the Central Arbitration Committee).

The legal framework that protects employees when the business or service they work for transfers to a new employer. TUPE ensures that employees' existing terms and conditions of employment are preserved after the transfer.

Regulations that protect employees' terms and conditions when a business or part of a business is transferred to a new employer. Employees automatically transfer to the new employer on existing terms, and dismissal solely because of the transfer is automatically unfair.

A company that employs agency workers and contractors, acting as their employer for payroll and employment purposes. The umbrella company invoices the recruitment agency or end client, deducts PAYE tax and National Insurance, and pays the worker their net wages.

A job offer made without any outstanding conditions or pre-employment checks to be completed. Once accepted, an unconditional offer creates a binding employment contract between the employer and the candidate.

A dismissal that an employment tribunal finds was carried out without a fair reason or without following a fair procedure. Employees with at least two years of continuous service have the right not to be unfairly dismissed.

The earnings level above which the rate of employee National Insurance contributions reduces from the main rate to a lower rate. It does not cap employer NIC, which continues at the full rate on all earnings above the Secondary Threshold.

The act of an employee or worker reporting a concern about wrongdoing, danger, or illegality within their organisation. Qualifying disclosures cover criminal offences, failure to comply with legal obligations, miscarriages of justice, health and safety risks, environmental damage, and cover-ups.

A formal document that sets out how employees and workers can raise concerns about wrongdoing within the organisation, the protections available to them, and the process the organisation will follow to investigate. It encourages a culture of openness and accountability.

UK legislation that sets limits on working hours, provides entitlements to rest breaks and paid annual leave, and contains special provisions for night workers. The regulations implement the EU Working Time Directive into UK law.

Unfair treatment of an employee or job applicant based on a protected characteristic. It can take several forms including direct discrimination, indirect discrimination, harassment, and victimisation. Discrimination is unlawful at all stages of employment.

A voluntary, confidential process where an impartial third party helps two or more people in a workplace dispute reach their own resolution. Mediation is not about finding fault or blame but about facilitating a constructive conversation and agreeing a way forward.

A pension scheme arranged by an employer for the benefit of employees. Both the employer and employee typically make contributions, with the money invested to provide income in retirement. Workplace pensions can be defined contribution or defined benefit schemes.

An employment contract where the employer is not obliged to provide a minimum number of working hours, and the worker is not obliged to accept any hours offered. Workers on zero-hours contracts still have employment rights, including holiday pay and protection from discrimination.