Interview Questions and answers for HR head of a Financial Organisation

1. What’s your experience with HR software?

Understanding an HR Director’s familiarity with HR software is crucial as it’s an integral tool for modern HR functions.

Sample answer:
“I’ve worked with various HR software like Workday, BambooHR, and PeopleSoft. They’ve been instrumental in streamlining processes, from recruitment to performance evaluations.”

2. What do you know about EEO laws/FMLA/etc.?

Knowledge about employment laws ensures that the company remains compliant and avoids potential legal pitfalls.

Sample answer:
“I’m well-versed with EEO laws ensuring equal employment opportunities and FMLA, which allows employees to take unpaid leave for specific reasons. Staying updated with these laws is crucial to avoid legal complications.”

3. What KPI’s do you use to measure the effectiveness of the HR function?

This question gauges how an HR Director measures success and effectiveness in their role.

Sample answer:
“I focus on metrics like employee turnover rate, time to hire, training ROI, and employee satisfaction scores to evaluate the HR function’s effectiveness.”

4. If you have to use three words to describe the role of an HR Director in a company, what would those be? Why?

This question reveals the candidate’s perspective on the role’s essence.

Sample answer:
“Strategist, mediator, and advocate. An HR Director strategizes for organizational growth, mediates to resolve conflicts, and advocates for both employees and the company’s best interests.”

5. How do the company’s HR needs influence strategic planning?

Understanding the interplay between HR needs and strategic planning is vital for any HR Director.

Sample answer:
“HR needs directly influence strategic planning by determining talent requirements, training needs, and organizational culture shifts. Aligning these with business goals ensures a cohesive approach to company growth.”

6. What do you do to ensure the HR department’s objectives are aligned with strategic goals?

This question probes the candidate’s approach to aligning HR objectives with company goals.

Sample answer:
“I regularly collaborate with department heads to understand their goals. Then, I ensure HR initiatives, like training programs or recruitment drives, support these objectives.”

7. What is company culture to you? How would you maintain it as the company grows?

Understanding the candidate’s perspective on company culture is crucial, especially for a role that significantly influences it.

Sample answer:
“To me, company culture is a blend of values, behaviors, and shared goals. As the company grows, I’d maintain it by regularly revisiting our values, ensuring they’re embedded in our processes, and fostering open communication.”

8. What can HR do to influence the company culture?

This question gauges the candidate’s understanding of HR’s role in shaping and maintaining company culture.

Sample answer:
“HR can influence company culture by implementing policies that reflect the company’s values, promoting open communication, recognizing employee achievements, and ensuring leaders exemplify the desired culture.”

9. What steps would you take to ensure diversity in the organization?

Diversity is a critical aspect of modern workplaces, and this question assesses the candidate’s approach to fostering it.

Sample answer:
“I’d start with unbiased recruitment processes, offer diversity training, and create resource groups. Additionally, I’d ensure our policies are inclusive and regularly gather feedback to make necessary improvements.”

10. How do you stay current and ensure compliance with employment laws?

Staying updated with employment laws is crucial for HR roles to avoid legal complications.

Sample answer:
“I subscribe to HR newsletters, attend seminars, and collaborate with legal teams. Regular training sessions for the HR team also ensure we’re always compliant.”

11. What is your understanding of the Family and Medical Leave Act and how will you apply that to our organization?

Since your HR director will be in charge of planning your organization’s human resource policies and talent acquisition trajectory, it is imperative that they thoroughly understand the laws relevant to hiring and taking leave to ensure that your organization is in compliance with the law. It is important that your HR director has the necessary knowledge of applicable laws that relate to your company. What to look for in an answer:

High level of understanding of FMLA’s regulations

Knowledge of how the law applies to your organization

Strong communication skills

Example:
“FMLA deals with granting employees and their family members with serious health conditions a sufficient amount of time off, so the organization will need to have clear policies and implementation on how to identify employees eligible for this type of leave.”

12. How would you react if a labor union representative wants to set up a meeting with you?

Depending on the industry that your organization operates in, some or most of your employees may be part of a union. As such, it is important that your HR director is

comfortable dealing with representatives from the unions that represent employees. This may include both normal visits to communicate about any ongoing union needs as well as potential meetings that may arise due to conflicts about policies. Your candidate should be well-versed in labor laws and capable of negotiating on your organization’s behalf. What to look for in an answer:

Strong communication skills

Clear understanding of state labor laws

Past experience dealing with labor unions

Example:
“I would inquire why the union representative is setting up the meeting. If the representative wants to settle any grievances, I would refresh my memory on labor laws to ensure my organization is in the best possible position for negotiations.”

13. If the economy is in a recession, how would you adjust our organization’s hiring policies?

Your company will likely operate in times when the economy is not performing quite as well, but you will still need to hire and retain the best possible talent. A prospective HR director should be prepared to explain how they would align your organization’s hiring policies during a recession and be prepared to dismiss non-performing employees. What to look for in an answer:

Clear strategy for hiring or firing during a recession

Explanation of how to deal with letting employees go

Ability to stay calm in stressful situations

Example:
“I would first plan to hire fewer employees during the next hiring season and work toretain our existing talent before attempting to let any employees go. When employeesneed to be terminated, I will provide checks and balances to ensure the terminationprocess is smooth for the company and the employee.”

14. What is your knowledge of the current federal and state overtime laws?

Your candidate should be familiar with federal overtime laws and the classifications of employees that are protected under those overtime laws. Secondly, they should understand the different state and local overtime laws that apply to your organizationas some United States regions have passed additional rules and regulations for employees eligible to claim overtime pay. What to look for in an answer:

Identifies applicable overtime laws

Outlines a strategy for ensuring overtime law compliance

Strong communication skills

Example:
“I have studied and am well-versed in federal and state overtime laws. For example, federal and Connecticut overtime laws that mandate all non-exempt workers must be compensated at one and a half times their hourly pay rate for all hours worked over forty hours a week.”

15. How does an organization’s talent acquisition policies interact with long-term strategic planning?

Your HR director will need to align your firm’s hiring policies with the organization’slong-term growth trajectory. For instance, if the company is looking to begin selling a new line of goods or services, your candidate will need to be able to correctly adjust the firm’s talent policy to bring on new members to the marketing and operating teams to support the new strategy. As such, you will need to look for someone who has a strong sense of business strategy in addition to familiarity with hiring. What to look for in an answer:

A clear outline of how talent and business strategy intermingle

Strong understanding of business fundamentals

Strong use of logic and communication skills

Example:
“Talent acquisition is the base of all business strategies. Hiring policies need to ensure that an organization is able to add members to its fastest-growing departments to support business needs.”

16. Your company experiences a high employee turnover rate. What is your process for investigating possible causes and implementing solutions?

HR directors are responsible for implementing policies or procedural changes thatpromote employee productivity, talent acquisition or employee satisfaction. Their ability to identify patterns in employee behaviors allows them to make necessary changes that promote low turnover rates. This question helps interviewers determine a candidate’s ability to investigate causes for high turnover rates and institute change. A candidate’s answer should emphasize:

Commitment to improving employee satisfaction

Investigative skills

Proactive mindset

Here is one example of a quality candidate answer:
Example:
“First, I would look to see which departments the employees worked for. If they all worked for one department, I could isolate the problem to that area. If not, I would look through their exit interviews to see if there were common complaints or explanations for leaving. If I discovered, for example, that a number of employees complained about an uneven work-life balance, I would send out anonymous polls to company employees to gauge their thoughts on work-life balance and their needs.”

16. Your company experiences a high employee turnover rate. What is your process for investigating possible causes and implementing solutions?

HR directors are responsible for implementing policies or procedural changes thatpromote employee productivity, talent acquisition or employee satisfaction. Their ability to identify patterns in employee behaviors allows them to make necessary changes that promote low turnover rates. This question helps interviewers determine a candidate’s ability to investigate causes for high turnover rates and institute change. A candidate’s answer should emphasize:

Commitment to improving employee satisfaction

Investigative skills

Proactive mindset

Here is one example of a quality candidate answer:
Example:
“First, I would look to see which departments the employees worked for. If they all worked for one department, I could isolate the problem to that area. If not, I would look through their exit interviews to see if there were common complaints or explanations for leaving. If I discovered, for example, that a number of employees complained about an uneven work-life balance, I would send out anonymous polls to company employees to gauge their thoughts on work-life balance and their needs.”