The HR-to-Employee Ratio or How Many HR Specialists Should We Hire?

At some point of the development of any company, the question how many HR specialists should we have in our organization starts to worry the top management.

From one side it is a headcount that increases the overall cost in the company P&L, but from another side, it is the quality of the environment which we provide to our motivated employees.

So how many?

It is not an easy question. It depends on several factors like the size of the organization, its complexity, organizational culture, structure, number of locations, business sector, market availability, etc.

So, the Society for Human Resources Management (SHRM) is trying to help us in solving the dilemma should we hire or fire HR specialists. In 2009, SHRM has conducted the Human Capital Benchmarking Study which aimed to collect human capital metrics across various industries. 1,205 HR professionals responded on behalf of their organizations.

SHRM has defined a metric:

And the findings of the research show the following:

In other words, in an ideal world, if you have 100 employees (FTE) you should have an HR team of around 1 to 6 professionals. As a general rule, we could say that the HR department should be around 1.33% of the entire headcount of the organization, according to the SHRM survey.

Now, what do you think? What is the situation within our region?

Check out this Survey.

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