Running a charity or non-profit involves many of the same responsibilities as a commercial business—managing staff, ensuring compliance, and fostering a positive workplace culture. But with tight budgets and limited resources, does a charity need a dedicated HR department?
The short answer is yes, but it depends on the size of the organisation. Some larger charities have dedicated HR teams, while smaller non-profits often rely on managers or trustees to handle HR tasks. Regardless of size, HR is essential for legal compliance, volunteer management, and creating a well-supported workforce.
This guide will explore how charities handle HR, the challenges they face, and whether investing in HR software can streamline operations and reduce costs.

Helpful Summary
Overview: This article explores whether charities have HR departments, how they manage staff and volunteers, and the challenges of HR in the third sector.
Why Trust Us: As specialists in HR software for charities, we understand the unique HR needs of non-profits and how they can streamline operations.
Why It Matters: Without proper HR management, charities risk legal non-compliance, high staff turnover, and inefficiencies that could affect their ability to make an impact.
Action Points: Charities should consider HR solutions that simplify compliance, workforce management, and volunteer tracking—even if they don’t have an in-house HR team.
Further Research: Discover Evalu-8 HR, a cost-effective, all-in-one HR solution designed for UK charities and non-profits.
How Do Charities Manage HR?
Larger Charities: Dedicated HR Departments
Some larger charities have in-house HR teams that handle:
- Recruitment & onboarding for employees and volunteers
- HR policies & compliance to ensure they follow employment laws
- Payroll & benefits administration
- Training & development for staff and volunteers
Having a dedicated HR team allows larger charities to run efficiently, ensuring staff well-being, compliance, and professional development.
Small & Medium-Sized Charities: HR on a Budget
Smaller charities rarely have a full HR team due to budget constraints. Instead, HR responsibilities are often handled by:
- Managers or trustees who juggle HR alongside their main roles
- Volunteers or part-time HR staff
- External HR consultants offering advice on employment law and compliance
Without a dedicated team, HR tasks can become overwhelming, leading to compliance risks and inefficient workforce management.
HR Software: A Cost-Effective Solution
Rather than hiring an in-house HR team, many charities use HR software to manage:
- Employee and volunteer records
- Compliance tracking (right-to-work checks, GDPR, and health & safety)
- Leave and absence management
- Automated onboarding
This approach reduces admin work, ensures compliance, and improves efficiency—without the overhead of a full HR department.

Challenges Charities Face in HR Management
1. Budget Constraints
Charities often operate with limited funds, making it difficult to invest in HR staff, training, and systems. Many struggle to keep up with employment law changes, increasing the risk of non-compliance.
2. Managing Volunteers vs. Employees
Unlike businesses, charities rely heavily on volunteers. However, volunteers still require onboarding, training, and legal protections, adding complexity to HR processes.
3. Compliance Risks
Even charities must follow UK employment laws, including:
- Right-to-work checks
- GDPR compliance
- Health & safety regulations
Without proper HR support or software, it’s easy to overlook critical compliance requirements.
4. High Staff Turnover
Many charity roles are short-term or project-based, leading to frequent hiring and onboarding. Without an HR system, this can be time-consuming and inefficient.
Should Your Charity Invest in HR Software?
For small and medium-sized charities, HR software is a game-changer. Instead of hiring a full HR team, a cost-effective HR system can handle:
- Recruitment & onboarding – Automating paperwork and compliance checks
- Leave & absence tracking – Making holiday and sick leave management easier
- Volunteer management – Keeping track of schedules, training, and documentation
- HR compliance – Ensuring all legal requirements are met
Why Evalu-8 HR is the Best Choice for Charities
Many charities waste time and resources on outdated HR processes or expensive third-party consultants. Evalu-8 HR is an all-in-one HR solution designed for UK non-profits, offering:
✅ Automated HR processes to reduce admin time
✅ Built-in compliance tracking for right-to-work, GDPR, and health & safety
✅ Affordable charity pricing with cost-effective plans
✅ Volunteer and staff management in one system
Instead of struggling with spreadsheets or costly HR consultants, charities can streamline HR management while staying legally compliant.
Common Questions About HR in Charities
Not necessarily. Small charities often delegate HR tasks to managers or trustees, while larger charities typically have dedicated HR teams.
Charities struggle with budget constraints, compliance risks, volunteer management, and high staff turnover—all of which make efficient HR processes essential.
For small and mid-sized charities, HR software can handle key tasks like compliance tracking, leave management, and recruitment, reducing the need for an in-house team.
Evalu-8 HR is the best option for UK charities, offering affordable, all-in-one HR management without the need for third-party add-ons.
Many charities use HR software as a cost-effective alternative to hiring HR staff. Evalu-8 HR offers charity-friendly pricing, making it accessible even for small non-profits.