Workforce & Finance Glossary for Employers
It's easy to get lost in the business lingo of HR, payroll, finance, and IT. Let our Workforce & Finance Glossary light the way! Browse by category, alphabetically, or use the search bar.
We regularly update our glossary to keep up with the fast-changing world of work. Bookmark it for quick reference — whether you’re a workforce specialist or building your own business.
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Electronic Document Management System (EDMS)
Software that organizes, stores, and retrieves digital documents for efficient access.
Employee Assistance Program (EAP)
A counseling service offered by employers to help employees with personal or work-related problems.
Employee Database
A digital system that securely stores, organizes, and manages workforce information.
Employee Records
Comprehensive files that track and organize key information throughout the employee lifecycle.
Employee Resource Groups (ERGs)
Organized groups of employees with a common identity, interest, or background.
Employer of Record (EOR)
A third party that takes legal responsibility for a company’s employment tasks.
Exempt Employee
A worker not entitled to overtime and minimum wage protections under the Fair Labor Standards Act.
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Federal Holiday
A type of holiday designated under federal law, during which most federal services shut down.
Foreign Subsidiary
A legally separate company controlled by a parent organization in another country.
Franchisee
An individual or entity that operates and sells products under a parent company's name.
Franchisor
A business that grants others the rights to sell products or services in its name.
Furlough
Temporary unpaid leave often required due to economic issues, lack of work, or other operational needs.
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Human Capital Management (HCM)
A comprehensive HR strategy focused on managing and developing employees as key assets.
Human Resource Information System (HRIS)
A digital platform that automates various HR functions, including payroll, benefits, and training.
Human Resource Management System (HRMS)
A suite of software applications that automate and manage talent management functions.
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Sole Proprietorship
A business owned and run by one person who is personally responsible for all debts and obligations.
Statutory Employee
A worker classification with a combination of employee and contractor tax withholdings.
System and Organization Controls (SOC)
An independent audit that verifies a service provider’s data security controls and integrity.
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Third Party Administrator (TPA)
An external partner that manages key tasks for insurance plans and employee benefits.
Time to Fill
The average time it takes to fill an open position from the date it was posted.
Time to Hire
The period between a successful candidate applying for a job and a formal acceptance.