Headcount & Requisition Approval Guideline

Purpose

To make sure every hire — whether filling a vacated role or adding a new position — is confirmed against approved headcount and budget, and properly authorized, before recruiting begins.

When authorization is required

Authorization is required for both:

1. Replacement hires — filling a role vacated by a departure, transfer, or promotion.
2. New/incremental hires — adding a position that did not previously exist on the team's approved headcount.

In both cases, recruiting may not begin until the position has been documented and approved.

The requisition record

Every open position — replacement or new — is documented on a position requisition (in whatever form the organization's HRIS/applicant-tracking system uses). At minimum, the requisition should capture:

• Job title, department, and reporting relationship.
• Whether it is a replacement or a net addition to headcount.
• For replacements: the name of the departing employee and reason for the vacancy.
• For additions: business justification, and — where the organization requires it — an updated org chart showing the new position.
• Compensation grade/level (confirmed by Compensation/Total Rewards, not set unilaterally by the hiring manager).

Roles and responsibilities

Role	Responsibility
Hiring manager	Prepares the requisition with full justification; obtains required approval signatures before submitting.
Hiring manager's manager ("one-over-one") and, for new positions, the budget owner	Approves that the position is within approved headcount and budget.
Human Resources	Reviews the requisition for completeness and consistency; routes it to Compensation.
Compensation / Total Rewards	Confirms or assigns the position's grade/level.
Recruiting / Talent Acquisition	Opens the requisition in the applicant-tracking system and begins sourcing (internally and/or externally) once approvals are complete.

Procedure

Replacement hires

1. Hiring manager prepares the requisition, including the reason for the vacancy.
2. Hiring manager obtains one-over-one approval.
3. Requisition is submitted to Human Resources.
4. Human Resources reviews for completeness; Compensation confirms the grade level.
5. Recruiting opens the requisition — posting internally and/or externally as appropriate — and begins sourcing.

New/incremental hires

1. Hiring manager prepares the requisition, including business justification and (where required) an updated org chart.
2. Hiring manager obtains one-over-one and budget-owner approval.
3. Requisition package is submitted to Human Resources.
4. Human Resources reviews the package and routes it to Compensation and Recruiting.
5. Compensation evaluates and assigns the grade level.
6. Recruiting opens the requisition and begins sourcing.

Tip. Encourage hiring managers to route brand-new or significantly revised job descriptions to Human Resources/Compensation before collecting approval signatures. Confirming title, responsibilities, and grade level up front avoids having to restart the approval chain if the position description changes.

Why this matters

Requiring sign-off before recruiting begins protects against hiring outside of approved budget, ensures compensation grading is consistent across the organization, and gives Recruiting an accurate, approved position description to source against — reducing rework and mismatched candidate expectations later in the process.