Employee lifecycle (ELC)

Employee lifecycle (ELC) refers to the various stages of the employment process. It
starts with the recruitment and ends with termination. The various stages of the employee
lifecycle call for different HR management techniques for individual employees. As an
example, compensation and benefits practices are increasingly planned and managed in
response to the individual employee’s lifecycle stage.

Some of the more commonly recognized lifecycle stages include the following:

• Recruitment The employee lifecycle begins before the individual employee is
even identified. HR considerations begin when the employer begins its planning
and engages in its initial search for potential applicants.
• Onboarding Most employers agree that complete integration into the
workforce is most effective when it begins during the onboarding stage. This is
the best time to begin the creation of a productive relationship to make sure the
employee is aware of their responsibilities and is comfortable in their new role in
the organization.
• Orientation During this stage, the employee settles into the job, integrates
with the organization’s corporate culture, familiarizes himself with co-workers
and management, and establishes his role within the organization. Typically,
as individuals move through their various lifecycle stages, the value of their
contributions increases along with their total rewards.
• Promotion An employee who stays with the employer will likely want to
advance within the workplace at an average to speedy rate. Managers, supervisors,
and HR practitioners must be adept at recognizing changing interests and needs
and capable of matching the organization’s interests with the individual’s needs.
• Termination Whether an employee quits, retires, or is terminated by the
employer, at some point the employment relationship will end. As planning
begins the employee lifecycle, also planning for succession and replacement
needs is an ongoing management activity supported by HR counsel and
advice that ensures the orderly positioning of the organization toward new
opportunities.

Studies show that organizations that are able to effectively adapt to employee lifecycle
changes are organizations that succeed.