HR now is extremely different with change and evolution when compared to years past, where HR mainly managed hiring and salary payments. By the year 2026, HR will work towards improving organisational culture, increasing productivity, and improving sustainable growth within an organisation through strategic work relationships between employees and company executives.
With the popularity of hybrid work models, digital workplaces, and changing employee expectations, organisations depend on their HR department to support the people-management aspect along with the technological and regulatory compliance aspects, as well as the employee experience.
Having a clear understanding of the new HR roles and responsibilities will allow companies to build strong teams and remove risk while remaining competitive in an ever-changing marketplace.
What Is HR?
HR (Human Resources) is defined as the role of the organisation that manages all aspects of employees’ experience with the employer, from starting with application and recruitment, through to developing relationships with others at work, developing workplace expectations and finally, through to termination. The HR department will ensure that it hires, trains and develops employees under current legislation and follows a code of ethics.
HR is the bridge between employees and the employer by ensuring that the employer’s goals align with the needs of employees. The HR department facilitates employee productivity, provides a conducive working environment and facilitates the continued economic viability of businesses through employee retention.
Major Functions of HR include:
- Recruitment and onboarding
- Payroll and compensation
- Attendance and leave
- Compliance with labour laws
- Performance management
- Employee engagement and development
The complexity of HR operations has involved the growing dependency of HR departments on HR software and payroll software to allow for correct and efficient management of HR operations.
What Are the HR Roles and Responsibilities?
Below are the key HR roles and responsibilities every organisation must understand and implement efficiently in 2026.
1. Talent Acquisition and Strategic Workforce Planning
An essential duty of HR is to find and recruit appropriate employees into the business. Based on their current business goals, plans for growth, and skills that do not exist within the organization, HR determines what will be required today and tomorrow to support the future of the business.
As part of that job responsibility, HR professionals:
- Create competency frameworks and design roles and responsibilities.
- Develop Employer Branding and manage recruitment strategies and procedures.
- Evaluate applicants and arrange interviews.
- Provide employee Planning insights to senior management.
To minimise time and track applicants’ status, today’s HR Teams utilize Human Resources software for tracking applicants, evaluating the success of various recruitment channels, and reducing overall recruiting time in hiring new employees into their organization.
2. Employee Onboarding and Organisational Integration
Once a job offer has been accepted, HR is responsible for ensuring the new hire successfully transitions into the organisation with an effective onboarding program.
Within this scope of responsibility, HR must:
- Assist the new hire with the completion of any required paperwork and compliance documentation.
- Introduce the new hire to the organisation’s culture, mission, values and policies.
- Create the necessary set-up of attendance, payroll, and other access points for the new hire’s systems.
- Support the early engagement of the new hire and the establishment of clarity within the role.
HR’s successful onboarding of new hires promotes importance and increases productivity from day one.
3. Payroll and Compensation Administration
One of the most significant HR functions is payroll management. Employees want their salaries processed on time and accurately, without errors.
HR is responsible for administering:
- Drafting salary structures and revisions.
- Deductions that are required by law and payments for those deductions.
- Calculating bonuses, incentives, and settlements at termination.
- Generating payslips and tracking payroll records (for both past and current).
Using reputable payroll software provides a correct record of payment, so employees have faith in you as their employer.
4. Attendance, Leave, and Shift Management
To ensure operational efficiency, it is also important that HR has an established attendance policy and a transparent leave management process.
HR’s responsibilities include:
- Managing the attendance system (which could include using a physical biometric or digital attendance system).
- Maintaining employee leave balances and the process for approving employee leave.
- Tracking attendance for remote and hybrid employees.
- Providing the information for entering attendance data into the payroll system.
By using integrated HR software for attendance and leave management, HR can simplify the processes involved in tracking attendance and leave and reduce the amount of manual effort required to track employee attendance and maintain a leave balance.
5. Labour Law Compliance and Statutory Management
HR’s duty to ensure compliance with labour laws is unchallengeable; HR is responsible for protecting the company from legal risks and penalties.
non-negotiable
- Provident Fund (PF) and Employee State Insurance (ESI).
- Gratuity and Minimum Wage Regulations.
- Shops and Establishments Compliance.
- Contract Labour and Audit Documentation.
HR managers depend on digital systems to maintain records and remain audit-ready every time.
6. Performance Management and Appraisals
The definition of Performance Management has changed; it is now beyond just an annual appraisal. HR has created systems for Continuous Feedback and Employee Development.
HR’s Role Has Evolved To Include:
- Identify KPIs and Performance Metrics.
- Review and Appraisal Cycles.
- Goal Alignment and Productivity Support.
- Identifying how performance outcomes relate to pay.
Modern HR Professionals drive Performance Management based on the areas of: Growth; Transparency; and Development-Based Evaluations.
7. Learning and Development (L&D)
As the workforce continues to develop, it will be increasingly important for Human Resources to invest in developing its employees through upskilling and reskilling. The Human Resource Department will identify skills that are needed for employees to be ready for their future work roles.
They will do this by offering:
- Technical and Behavioural Skills Development.
- Leadership and Management Training.
- Compliance and Policy Awareness Training.
- Assessment of Learning Outcomes.
Continuous learning results in increased confidence, increased engagement and increased organisational capability of employees.
8. Employee Engagement and Workplace Experience
The role of Human Resources is no longer just about recruiting and hiring, but also the development of a workforce’s commitment to their company.
An engaged workforce performs at a higher level, remains employed for a longer period of time, and supports the culture of their organisation positively.
Human Resources can enhance employee engagement through:
- Feedback and Engagement Surveys.
- Recognition and Reward Programmes.
- Wellness or Work Balance Initiatives.
- Open Communication.
There are also various HR software tools available to facilitate tracking employee engagement trends and facilitating better employee experiences through systematic improvement practices.
9. Employee Relations and Grievance Handling
Keeping up a good relationship with employees is a major duty of HR. HR is responsible for making sure employees have the opportunity to be heard, respected and treated equitably.
HR execute the above by:
- Addressing all Employee grievances and complaints.
- Implementing disciplinary procedures.
- Facilitating conflict resolution.
- Ensuring equal enforcement of Company Rules.
By keeping positive relationships with employees, you reduce turnover and create an environment of organisational trust.
10. HR Policy Design and Governance
HR creates clear workplace standards and consistent HR policies. HR policies help guide employee behaviour and help guide managers in their decisions.
An HR Policy covers many areas. Some key areas include:
- Code of Conduct and Ethics.
- Leave and Attendance Policies.
- Remote Work and Data Security Policies.
- Anti-Harassment and Disciplinary Policies.
A well-documented HR Policy is beneficial to both the company and the individual employee.
11. Diversity, Equity, and Inclusion (DEI)
Creating an inclusive workplace is one of the key responsibilities of HR. HR is responsible for ensuring that all employees have an equal opportunity to succeed, regardless of race, or ethnicity, and that all employees are treated fairly throughout their employment experience.
The inclusiveness of a workplace is achieved through:
- Fair hiring and promotion practices.
- Diversity initiatives (gender and culture).
- Inclusive leadership development.
- Safe and respectful working environments.
Having DEI initiatives will ultimately enhance employer branding and employee satisfaction.
12. HR Analytics and Data-Driven Decision Making
Through advanced HR analytics, businesses can make informed decisions about their employees. HR uses analytics to evaluate the effectiveness of its programs, and it helps HR predict future trends based on current data.
Analytics provides insights regarding:
- Retention and attrition.
- Recruitment and performance metrics.
- Workforce cost optimization.
- Insights for strategic planning.
HR analytics can take data and convert it to actionable business intelligence through advanced HR software.
14. HR Technology and Digital Transformation
Today, managing HR technology is one of the main functions of HR. In addition to actively managing technology, HR also plays a major role in implementing digital solutions to improve productivity and the employee experience.
HR is responsible for:
- Choosing and implementing HR software.
- Integrating payroll, attendance and compliance systems.
- Protecting and ensuring the security and accuracy of HR data.
- Driving automation and promoting the use of self-service tools in HR.
With the introduction of digital HR systems, HR operations can now scale and become future-proofed through automation.
Conclusion
As organisations continue to evolve, HR roles and responsibilities will be impacted by those changes and will become increasingly important to the performance of the organisation. HR is no longer simply responsible for the administrative aspects of the organisation and instead is excessively involved in defining culture, increasing the performance of the organisation, and growing the organisation.
Today’s HR professionals must be basic in understanding compliance and using the technology that facilitates that knowledge. The organisations that enable HR professionals to perform at their highest levels will excel in competitive markets. In order to support the changing nature of HR and HR responsibilities, organisations need a functional and secure digital infrastructure. Savvy HRMS provides an all-in-one HR software solution that gives users a merged approach to payroll, attendance, compliance, and employee management, for the future of their HR functions.
