A human resource of a company or organization is generally an employee, and the department that communicates with employees and manages employee-related issues—including job applications, job interviews, drug tests, employment offers, wages, benefits, paid time off (PTO), unpaid leave, employee reviews, termination of employment, and unemployment insurance claims—is often known as the human resources department, or human resources, or simply HR. An employer’s human resources department may consist of one person in a smaller organization or many persons in a larger organization, and is often headed by a human resources manager or human resources director.

In Vermont, as in other states, the human resources (HR) department plays a critical role in managing the employer-employee relationship. This includes overseeing the hiring process, from job postings and interviews to drug testing and extending employment offers. HR is also responsible for managing wages, benefits, and paid time off (PTO), as well as handling requests for unpaid leave. Employee evaluations and the termination process, including the management of unemployment insurance claims, fall under HR's purview. The size and structure of an HR department can vary greatly depending on the size of the organization, with smaller companies sometimes having only one person overseeing HR functions, while larger entities may have a team led by an HR manager or director. Vermont state statutes and federal laws govern many aspects of HR activities, including but not limited to, the Vermont Fair Employment Practices Act, which prohibits employment discrimination, and the Vermont Parental and Family Leave Act, which provides certain leave rights to employees. Additionally, federal laws such as the Fair Labor Standards Act (FLSA) and the Family and Medical Leave Act (FMLA) set nationwide standards for wages, hours, and leave that the HR department must comply with.