Human Resource Planning (HRP) is the process of identifying a company’s human resources requirements to effectively manage its human capital. The main purpose of HRP is to have the right employees with the right skills in an organization to fulfill the objectives of the business. This article will cover what HRP stands for, the steps in HRP, and the elements, especially about the United Arab Emirates (UAE).
Meaning of Human Resource Planning
HRP is a proactive process that entails predicting an organization’s future human resource requirements, and formulating, and executing strategies that will enable the organization to have the right human resource in the right place at the right time. HRP is an ongoing process that involves reviewing the present workforce, forecasting future human resource requirements, and developing plans to address the identified requirements. In general, it can be proposed that successful HRP can contribute to the achievement of strategic goals of the organization, increase productivity decrease cost in the organization, and increase satisfaction among its employees.
Process of Human Resource Planning
The HRP process usually comprises the following steps
- Analyzing the current workforce: In this step, the organization must evaluate its current workforce as far as skills, competencies, and performance are concerned. This assists the organization in discovering whether it lacks certain skills in the current staff or the type of employees it wants in the future.
- Forecasting future staffing needs: This step focuses on estimating the staffing requirements of the organization in the coming days, considering its business strategies, expansion plans, and other factors. This assists the organization in determining the number and kind of workers that it would require in the future.
- Developing HR strategies: This step involves formulating ways of matching organizational staffing needs that are required in the future. These may involve hiring new employees, nurturing the current employees, or seeking external help through outsourcing services or by hiring temporary or contractual employees.
- Implementing the HR plan: This is the process of implementing the strategies that have been developed in the company’s HRM. This could involve areas such as recruitment and selection, training and development, performance management, and compensation and benefits.
- Evaluating the HR plan: This is the process of reviewing the performance of the implemented HR plan to check on its efficiency. This assists the organization in determining which aspects require modification to the system and to make the required changes.
Key Components of Human Resource Planning in UAE
HRP in UAE involves several key components, including:
- Payroll: Scope of Payroll HR is considered to be one of the crucial aspects of HRP in UAE. It incorporates processes such as calculating employees’ wages, remunerations, and other provisions or subtractions. Employers are legally required to pay their employees according to the labor laws and regulations of the UAE provided for payroll, minimum wage, overtime, and any other leave entitlement.
- Statutory compliances: Organizations in UAE are required to meet and adhere to various statutory provisions like labor laws, employment visa rules and regulations within UAE, and social security laws regarding employees within the region. Failure to comply can attract fines, penalties, and legal consequences.
- Visa application and cancellation: Foreign employees in UAE require employment visas which need to be applied by the employer. They also need to make sure that they follow procedures for visa cancellation in places where an employee resigns.
- End-of-service benefit calculations: Employers in UAE are bound by the law to grant end-of-service benefits to employees who have served for one year and above. Such facilities include gratuity pay for the employee depending on his/her length of service and the final basic pay.
- HR advisory and consultation services: Employers in UAE can benefit from professional assistance through the services provided by human resource advisory and consulting services that address issues about labor laws, visa,s and payroll. It can also offer advice and recommendations on the most effective methods and practices to be used in handling human resource affairs to increase the level of workers’ morale, efficiency, and loyalty.
Table 1: HRP Components in UAE
| Component | Description |
|---|---|
| Payroll | Calculating and processing employees’ salaries, benefits, and deductions |
| Statutory compliances | Complying with labor laws, employment visa regulations, and social security contributions |
| Visa application and cancellation | Applying for employment visas and complying with visa cancellation process |
| End-of-service benefit calculations | Providing end-of-service benefits, including gratuity pay |
| HR advisory and consultation services | Providing guidance on HR best practices and strategies to improve employee engagement, productivity, and retention |
FAQs
- What are the key components of HRP in UAE?
A. The major activities related to HRP in UAE are payroll processing, statutory requirements, visa processing, and cancellation and calculation of end-of-service benefits. - What are the consequences of non-compliance with labor laws and regulations in UAE?
A. Employees and companies that fail to adhere to labor laws and regulations in UAE face legal consequences such as fines and penalties, legal actions. It may also harm the reputation of an employer and also demotivate employees by making them lose trust in their employer. - How can employers ensure that they comply with visa regulations in UAE?
A. Some of the ways through which employers can avoid the violation of visa laws in UAE include hiring the right agency that deals with visa processing, always making sure you update yourself on the current policies set to be followed in processing the visas, and lastly should always make sure that they keep a record of their employees’ visas.
In conclusion, it is important for organizations in UAE to have effective Human resource planning that will enable them to achieve their business objectives. By seeking HR consultation services in UAE organizations are able to determine the required number and types of employees, who will have the required skills, due to the planning of future employee requirements, and formulation and execution of manpower strategies.