An article in the Telegraph recently criticised the HR function for ‘strangling the economy’, blaming the rise of the department in businesses – transforming from a ‘corporate backwater’ to a ‘powerful force’.
The piece explained that because the new-found focus on HR has hiked up costs in-terms of training, legal disputes and salaries, these were becoming a thorn in the side of businesses, and indeed in the UK economy.
The bureaucracy around employment law, supposed sympathy towards employees taking sick leave, and the function becoming too political – especially in-terms of gender identity and DEI – were all on the chopping block as reasons for the department’s wrong-doing.
I’m sure it comes as no surprise that we don’t agree with this piece. Firstly, to say that HR is having such a negative impact on the internal economy of businesses, so much that it’s influencing the wider economy, is nothing short of a hyperbole.
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