HR Utilization Policy

HR UTILIZATION POLICY

Company Name:   Effective Date:

Purpose

This HR Utilization Policy establishes uniform standards for assignment of employee capacity, measurement of utilization, allocation of billable and non-billable time, and managerial and HR responsibilities for monitoring, reporting, and corrective action. The objective is to align workforce deployment with business demand while maintaining lawful employment practices and employee well-being.

Scope

This policy applies to all employees, contingent workers, and contractors performing work for the company. Select applicable organizational units:

Applies To Sales Delivery/Services Support Human Resources Finance Other:

Definitions

Utilization: the percentage of an employee's paid working time allocated to client-billable activities versus total available working hours. Billable Time: time charged directly to clients. Non-Billable Time: internal projects, training, administrative duties, leave, and other time not charged to clients.

Policy Requirements

1. Utilization Targets: Managers shall assign utilization targets for roles. Default company target for client-facing roles is percent unless otherwise designated.

2. Timekeeping: All employees must record start/end times and activity codes for each working day in the company timekeeping system. Timecodes must clearly distinguish billable and non-billable work.

3. Allocation of Work: Managers will document assignment of client work, internal projects, and training in resource plans. Reassignment must be approved by the reporting manager and recorded in resource tracking tools.

4. Overtime and Hours Limits: Overtime must be pre-approved by the manager in accordance with applicable law and company overtime procedures. Employees must not be scheduled for hours that jeopardize compliance with local labor laws.

Monitoring, Reporting, and Metrics

Managers and HR will monitor utilization via monthly reports. Reporting cadence: . Primary HR contact for utilization queries: , Phone: .

Reports will include utilization percentage, billable hours, non-billable hours, and utilization variance by role and project. Managers must analyze variances and implement corrective plans where utilization deviates materially from targets.

Responsibilities

Employee responsibilities include accurate daily time entry, adherence to assigned projects, and timely notification to managers of competing priorities.

Exceptions and Escalation

Exceptions to utilization targets must be documented and approved by the department head and HR. Escalation path for persistent under-utilization: first line manager, department head, HR, then executive leadership.

Non-Compliance and Consequences

Repeated failure to meet documented utilization requirements without approved exceptions may result in corrective action, which may include reassignment, retraining, performance improvement plans, or disciplinary measures up to termination in accordance with company disciplinary policies and applicable law.

Policy Review

This policy will be reviewed at least every or as required by changes in law or business conditions. Policy owner: .

Employee Acknowledgment and Personnel Information

Employment History (Most Recent)

Education

References (Professional)

Legal Disclosures

At-Will Employment: Employment with the company is at-will, which means either the employee or the company may terminate the employment relationship at any time, with or without cause, and with or without notice, subject to applicable law. Acknowledgment:

Equal Employment Opportunity: The company provides equal employment opportunity without regard to protected characteristics in accordance with applicable law. By signing below, the employee acknowledges the company's commitment to nondiscrimination and agrees to raise concerns about potential violations through the appropriate internal channels. Acknowledgment:

Applicant/Employee Certification and Authorization

I certify that all information provided in this form is true and complete to the best of my knowledge. I understand that false statements or omissions may result in disciplinary action up to and including termination.

I authorize the company to contact former employers and references to verify employment history and performance. I also consent to any background checks required by company policy or client contract, subject to applicable law. Authorization:

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