# What is a Promotion Policy?

A promotion policy sets out how employees can progress to higher roles. SMEs use it to ensure fairness and transparency, reducing bias and disputes.

Source: https://faqtic.co/glossary/promotion-policy

## Why it Matters for SMEs

- Improves fairness
- Boosts morale
- Reduces bias

## Example in Practice

Factorial logs promotions and supporting documents.

## Frequently Asked Questions

### Why formalise promotions?

To avoid unfair decisions.

### What to include?

Criteria, process, approvals.

### Can HR software help?

Yes, by recording changes.

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