The Role and Purpose of Personnel Policy Among the Social and Labor System within the Relations of an Organization

However, the low effectiveness of the procedures, which regulate socio-economic relations, such as underestimation of the importance of a problem such as the need for their restructuration lead to a necessity in increased attention throughout the economic entities of the real sector of the economy. The urgency of this research problem can be determined by the lack of development of the tools which in turn lead to the development and implementation of personnel policy, aimed at improving the socio-labor relations by making sure to provide sustainable employment inside the organization and effective regulation of the internal labor market. The article demonstrates that personnel policy is not only the main element of socio-labor relations but also a key part for personnel management decisions, since it predetermines the receipt of an overall positive synergetic effect. In this regard, it has been demonstrated that developing organizations which have based their policies on active innovation and strategic processes both internally and externally are characterized for using multiple personnel policies simultaneously resulting to distortions within the organization, which in turn negatively affect the performance of the organization as a whole. It is substantiated that personnel policy should not be regarded as an obligatory formal document, but more as a strategically significant decision for personnel management, which in turn could affect not only the destiny of the organization but also their balance of power among the competitive environment both positively or negatively depending on how correctly it was set.