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  • As the days grow longer and the sun shines brighter, our thoughts naturally turn to summer vacations. But in the hustle and bustle of work life, will employees actually take the time they need to recharge? Paid time off (PTO) is more than just a perk; it’s a critical component of employee well-being and productivity. Unfortunately, many workers hesitate to utilize their allotted days, leading to burnout and decreased morale.

    The PTO Challenge

    A recent survey by the Harris Poll revealed that a significant number of employees don’t take enough time off. Some even go on vacation without asking or setting up “mouse movers” to appear active while not working. As a business owner, it’s your responsibility to create an environment where taking PTO is not only encouraged but seamlessly integrated into the workplace culture.

    The following are ways to encourage the well-being of your employees:

    Champion the benefits of downtime

    Educate employees on the transformative power of PTO. Rest and relaxation fuel creativity, boost productivity and enhance overall job satisfaction. Share compelling research to underscore the importance of unplugging.

    Lead through example

    Managers and leaders, take note: your actions speak louder than policies. Prioritize your own work/life balance by taking PTO. During vacation, resist the siren call of emails and meetings – allow your team to truly unwind.

    Streamline PTO requests

    Simplify the process. User-friendly platforms and apps should replace bureaucratic hurdles. When requesting time off becomes as easy as ordering a latte, employees are more likely to indulge.

    Craft a flexible PTO policy

    One size doesn’t fit all. Develop a policy that accommodates diverse needs – whether it’s a beach escape, a mental health day, or a family emergency.

    Demolish PTO barriers

    Identify and get rid of any obstacles that may be in the way of your employees taking PTO. Fear of falling behind, workload concerns, and cultural stigmas can deter employees. Anonymously survey your workforce to understand their reservations and proactively address them.

    Nurture cross-training

    No one should feel irreplaceable. Implement cross-training initiatives so that responsibilities flow seamlessly during absences. When team members trust the safety net, guilt-free PTO becomes the norm.

    Create A Positive Workplace Culture By Partnering With GMS

    Creating a healthy PTO culture requires thoughtful policies, consistent communication, and a commitment to employee well-being. By implementing these strategies, HR professionals can foster an environment where taking time off is normalized. Remember, a happier, healthier, and more productive workforce begins with encouraging employees to embrace their well-deserved PTO.

    At GMS, a professional employer organization (PEO), our HR experts are here to support small business owners, especially when it comes to creating a positive workplace culture. Let’s unlock the power of PTO and create a workplace where well-being is a priority. Contact us today to learn more!

  • As of July 1, 2024, businesses operating in Chicago will need to comply with the city’s new Paid Leave and Paid Sick Leave Ordinance. This updated law replaces the previous Chicago Paid Sick Leave Ordinance and introduces significant changes that employers must understand and prepare for.

    Key Provisions Of The New Ordinance

    Under the new ordinance, eligible employees in Chicago will be entitled to earn up to 40 hours of paid sick leave and an additional 40 hours of paid leave per 12-month period. This paid leave can be used for any reason, providing employees with greater flexibility and work-life balance.

    The ordinance also includes provisions regarding the definition of a 12-month period, carryover of unused leave, denial of leave requests, use of paid time off (PTO) policies for compliance, rate of pay calculations, and employer notification requirements.

    Defining The 12-Month Period

    Employers have the flexibility to establish their own 12-month period for accruing and using paid leave and paid sick leave. This period can be based on the employee’s anniversary year, the calendar year, a contract year, the fiscal year, or the tax year, as long as it consists of consecutive months.

    Carryover Of Unused Leave

    Employees can carry over up to 80 hours of paid sick leave and up to 16 hours of paid leave from one 12-month period to the next. Employers have the option to frontload 40 hours of paid leave and 40 hours of paid sick leave at the beginning of the 12-month period, but frontloading paid sick leave does not alleviate the carryover obligations for that type of leave.

    Denial Of Leave Requests

    The ordinance allows employers to require reasonable preapproval for using paid leave to maintain business continuity. However, denials must be based on legitimate factors, such as the impact on operations, the nature of the business, and ensuring fair treatment of employees. Denials must be provided in writing with a clear rationale.

    The final rule includes a new provision that allows employers to restrict the use of paid leave or paid sick leave to the employee’s regular workweek. This means that employees could be prevented from accessing their paid leave or paid sick leave during scheduled mandatory overtime or weekends.

    Using PTO Policies For Compliance

    Employers can use existing PTO policies to comply with the ordinance, but they must adhere to its requirements, such as the shorter waiting period for using paid sick leave. For example, the 30-day waiting period for paid sick leave must apply to the policy instead of the 90-day waiting period for paid leave.

    Rate Of Pay Calculations

    Employees must receive their regular rate of pay when using paid sick leave and paid leave, including continuing health care benefits if applicable. The final rules did not provide guidance on calculating the regular rate of pay for non-exempt employees based on the previous 90 days of employment.

    Employer Notification Requirements 

    The ordinance outlines various notification requirements for employers, including:

    • Posting notices
    • Providing new hire notifications
    • Annual frontloading notices (if applicable) 
    • Annual employee notifications 
    • Establishing written policies
    • Notifying employees of policy changes
    • Providing information on available paid leave balances

    Ensuring Compliance With GMS

    As the July 1st effective date approaches, businesses in Chicago must take proactive steps to ensure compliance with the new Paid Leave and Paid Sick Leave Ordinance. Failure to comply can result in penalties and legal consequences.

    At GMS, we understand the complexities of navigating the ever-changing labor laws and regulations. Our team of experts can assist your business in reviewing and updating your paid leave policies, employee handbooks, and notification procedures to align with the new ordinance. We can also provide guidance on record-keeping, payroll calculations, and other compliance-related matters.

    By partnering with GMS, you can have peace of mind knowing that your business is fully compliant with state and local laws. and any other applicable labor laws. Contact us today to learn more about our comprehensive compliance solutions and how we can help your business stay ahead of the curve.

  • In December 2023, a tragic incident occurred at the Appleton plant of Konz Wood Products Co., a pallet manufacturer based in Wisconsin. As a result, the U.S. Occupational Safety and Health Administration (OSHA) has taken stringent measures against the company due to serious workplace safety violations, marking the fifth inspection at the plant since 2016.

    Incident Details

    The unfortunate incident involved the death of an employee who was crushed by a lumber stacking machine while attempting to free a jammed board. OSHA cited Konz Wood Products Co. for two “repeat violations” and 15 “serious” violations following this employee’s death. The company failed to ensure the machine was locked out to prevent movement, leading to the fatal accident.

    OSHA’s Actions

    In response to the violations, OSHA has proposed $177,453 in penalties for Konz Wood Products Co. The company has been given 15 business days to contest the citation and proposed penalties. In addition, due to the gravity of the violations, OSHA has placed the company in the agency’s severe violator program.

    Violations Identified

    The violations identified by OSHA include the failure to provide fall protection and violations related to machine guarding on various saws and other machinery. These violations raise serious concerns about the company’s commitment to ensuring a safe working environment for its employees.

    Protect Your Business With A PEO

    In light of the tragic incident at Konz Wood Products Co., businesses can take proactive steps to prevent similar accidents by partnering with a professional employer organization (PEO). A PEO like GMS offers comprehensive workplace safety programs that address critical areas such as machine guarding, lockout/tagout procedures, and fall protection. By collaborating with a PEO, companies gain access to expert guidance, safety training, and compliance resources. Implementing robust safety protocols, conducting regular inspections, and fostering a culture of safety can significantly reduce the risk of workplace accidents. Remember, investing in safety today ensures a brighter and accident-free future for employees and the organization as a whole. Contact our safety experts today!

  • In today’s competitive job market, retaining valuable employees is a top priority for businesses. When employees feel fulfilled, engaged, and valued, they are more likely to stay with the company for the long haul. Creating a positive and enjoyable workplace environment is essential for achieving high retention rates and mitigating the costs associated with employee turnover.

    Shift Your Expectations

    It’s important to recognize that the notion of employees staying with a single company for their entire career is no longer realistic. Instead, companies should focus on keeping employees for as long as possible, understanding that the median tenure for U.S. workers is around four years. Factors such as generational differences, burnout, work-life balance, and post-pandemic shifts have contributed to shorter tenures and higher turnover rates.

    The median tenure of workers ages 55-64 was 9.9 years – more than three times the tenure of workers ages 25-34, which was 2.8 years. As the older generations retire, Millennials and Generation Z will soon dominate the workplace, and there will be less expectations that employees stay with companies in the long-haul.

    Addressing The Fundamentals Of Retention

    Retaining top talent is a constant challenge for many organizations. However, by addressing key fundamentals, companies can create an environment where employees feel motivated, valued, and committed to staying. Three critical areas to focus on include:

    1. Competitive compensation: Regularly review your compensation strategy to ensure it aligns with industry standards, competitors, geographic location, and the broader marketplace. Fair compensation remains a major factor in employee retention.
    2. Open communication: Build trust and strengthen relationships with employees through regular, honest, and transparent communication. This not only helps in addressing concerns promptly but also makes employees feel valued and heard, fostering a sense of belonging. Employees want to feel that their manager is accessible and listens to them. Provide frequent feedback, solicit input, and address concerns promptly.
    3. Positive company culture: Evaluate and nurture your company’s mission, vision, and values. Ensure they resonate with employees and are modeled within your leadership. A positive company culture not only helps in employee retention but also makes employees feel aligned with the company’s values and mission, fostering a sense of purpose and commitment. Identify any changes that need to be made within your culture, and work towards implementing those changes. It’s easy for employees to leave a company with a negative culture or a culture they do not believe in.

    Make The Extra Effort

    To be a sought-after workplace, you must have something special about your workplace that differentiates itself from others. Implement the following strategies to stand out against your competitors and become a sought-after workplace:

    • Create a community: Encourage teamwork, camaraderie, and even friendships among employees. Host social events and team-building activities and create an environment where employees feel like members of a community. Make these events and activities something your employees look forward to doing.
    • Remind employees of their purpose: Regularly remind employees of the bigger picture and how their work contributes to the company’s mission. Recognize their efforts and make them feel valued.
    • Offer flexibility: Accommodate employee preferences for remote work, flexible schedules, or hybrid arrangements. The increased flexibility and work-life balance gained throughout the pandemic have become highly valued by many employees.
    • Address burnout: Monitor for signs of burnout and take proactive steps to alleviate stress, such as offering mental health days, redistributing workloads, or engaging in stress-reducing activities.
    • Tailor management styles: Understand each employee’s unique personality, goals, and preferences, and tailor your management approach accordingly. Avoid the one-size-fits-all approach.
    • Provide growth opportunities: Nurture a culture of continuous learning by offering training programs, conferences, and mentorship opportunities. Discuss career paths and succession plans with employees. Employees appreciate knowing that they can grow and develop within their careers.
    • Offer unique perks: Implement perks and benefits beyond the standard package that align with your employees’ interests, provide value, and demonstrate your appreciation for their contributions.

    Create a fun atmosphere: Incorporate fun activities, celebrations, and team-building events to foster a positive and enjoyable work environment. Take the time to learn what your employees truly enjoy and implement more of these events for them.

    Leverage GMS’ Services For Improved Employee Retention

    Implementing these strategies can be challenging and overwhelming for business owners. If you’re unsure of where to begin or what would be the most beneficial for your organization, consider partnering with a professional employer organization (PEO) like GMS.

    Partnering with GMS can be a smart move to access expert HR support, ensure compliance, and compete with larger companies in the race to retain top talent. Outsourcing back-office functions also allows businesses to focus on their core operations while providing a positive and engaging workplace for their employees.

    By leveraging GMS’ expertise, businesses can create a workplace environment that attracts and retains top talent. GMS’ tailored solutions and industry expertise can help business owners foster a culture of belonging, growth, and appreciation, ultimately leading to improved employee retention and long-term success. Work smarter, not harder, and contact us today.

  • It’s clear that employee burnout and mental health issues have been an ongoing problem in the last several years. 76% of respondents in a Mental Health America and FlexJobs study agreed that workplace stress affects their mental health and 75% experienced burnout. Despite employees investing in programs to address stress and improve emotional well-being, a significant number of employees are still struggling with high levels of anxiety and burnout.

    According to a recent report from Aflac, 57% of employees are experiencing at least moderate levels of burnout. There has also been a decline in employees’ confidence that their employers truly care about their well-being.

    Aflac’s Chief Human Resources Officer, Jeri Hawthorne, notes that factors such as the upcoming presidential election, financial worries, long work hours, and other stressors could heighten the burnout issue even further this year.

    The Importance Of Employer Action

    Hawthorne stresses that the burden falls on small business owners to be at the forefront of addressing employee burnout and improving their situations. Burned-out employees are less productive, more likely to be absent or have behavioral issues, and more inclined to leave their jobs if they don’t feel their employer cares about them. Burned-out employees are also less likely to go above and beyond for clients, which can lead to a negative impact on your company’s performance.

    To combat this, Hawthorne recommends that employers take a proactive and engaged approach:

    • Regularly remind employees about available benefits, time off, and wellness programs, making them easy to access and understand.
    • Provide opportunities for employees to give back or volunteer, as this can boost their sense of purpose and well-being.
    • Continuously communicate about benefits and wellness offerings, not just during open enrollment periods.
    • Tailor communications and programs to specific employee demographics and their unique needs.
    • Solicit regular feedback from employees on what additional support they require.

    By taking these steps, employers can demonstrate their genuine care for employee well-being and work to reverse the troubling trends around burnout and declining confidence. Prioritizing mental health and emotional wellness will be crucial for organizations looking to support their workforce and maintain high performance.

    Show Your Employees You Care

    Remind your employees about taking paid time off (PTO) and about available benefits. Encourage employees to use the PTO they’ve earned, whether it’s for a vacation, personal matters, or simply to recharge. Employees proved that they could successfully work from home during the pandemic. Giving employees the opportunity to work and taking time off when needed is important.

    In addition, navigating employee benefit offerings during open enrollment can be overwhelming. It’s crucial to make these offerings, tools, and programs understandable and readily available for when employees need them and can easily access that information.

    Employers should also talk with their employees and ask for their feedback on their benefits packages and conduct surveys. Ask your employees what they are looking for and what they value. Act on their feedback and implement new strategies.

    Prioritize Employees’ Mental Health With GMS

    By partnering with GMS, you can demonstrate your commitment to your employees’ well-being and create a workplace culture that prioritizes mental health. This not only benefits your team, but also contributes to improved productivity, engagement, and overall business success. When you partner with GMS, we provide you with mental health benefits for your employees, such as:

    • Affordable health insurance plans through our group health insurance
    • Employee assistance programs (EAPs)
    • Access to our learning management system (LMS), where employees can partake in mental health training
    • Access to wellness programs
    • And more!

    Take the final step towards empowering your workforce. Contact GMS today to learn how we can help you implement a comprehensive mental wellness program that meets the needs of your employees and your organizations.

  • The U.S. Department of Labor (DOL) recently announced a significant change that will impact millions of workers across the country. The final rule to increase the minimum salary level for the Fair Labor Standards Act (FLSA) “white collar” exemptions will have far-reaching effects on employers and employees. It’s essential to explore the implications of these changes, especially for different state regulations.

    Changes In Minimum Salary Levels

    The DOL’s announcement sets the minimum salary level for the FLSA “white collar” exemptions to increase in two phases. The first phase, effective July 1, 2024, will see the minimum salary level rise from $684 to $844 per week, or from $35,568 per year to $43,888 per year. However, on January 1, 2025, the minimum salary level will experience another hike, reaching $1,128 per week or $58,656 per year.

    Impact On States

    The new salary thresholds for white-collar exemptions will affect different states, depending on their existing labor laws and regulations. Let’s break down the impact based on the different categories of states:

    States with no general overtime pay provisions

    There are 17 states without general overtime pay provisions. Employers in these states, covered by the FLSA, must adhere to the federal overtime pay requirements, including the new salary thresholds. These states include:

    • Alabama
    • Arizona
    • Delaware
    • Florida
    • Georgia
    • Idaho
    • Louisiana 
    • Mississippi
    • Nebraska
    • Oklahoma
    • South Carolina
    • South Dakota 
    • Tennessee 
    • Texas
    • Utah
    • Virginia
    • Wyoming

    States and territories referring to FLSA overtime definitions

    Currently, 14 states and territories rely on or directly refer to the overtime definitions found in the FLSA. Consequently, they’re also obligated to follow the new salary thresholds. These states and territories include:

    • Arkansas
    • District of Columbia
    • Indiana
    • Kansas
    • Kentucky
    • Maryland
    • Massachusetts
    • Michigan 
    • Missouri
    • Nevada
    • New Hampshire
    • North Carolina
    • Ohio 
    • Rhode Island

    States with their own overtime rules

    In addition to the above, there are 20 states that have their own overtime rules to consider alongside the federal regulations. These states include:

    • Alaska
    • California
    • Colorado
    • Connecticut
    • Hawaii
    • Illinois
    • Iowa
    • Maine
    • Minnesota
    • Montana 
    • New Jersey
    • New Mexico
    • New York
    • North Dakota
    • Oregon
    • Pennsylvania 
    • Vermont
    • Washington
    • West Virginia
    • Wisconsin

    Interaction With State Laws

    It’s important to note the interaction between the new FLSA salary thresholds and state laws is critical. While state law requirements are less favorable to an employee than the FLSA, the state laws apply only to employees who are not covered by the FLSA. On the contrary, if the state requirements are more favorable to an employee than the FLSA, they apply to all employees covered by the state law, even if they’re also covered by the FLSA.

    How A PEO Comes Into Play

    The changes in the FLSA minimum salary levels will have a widespread impact on the employment landscape across the United States. It’s essential for small business owners to stay informed about these changes and ensure compliance with federal and state regulations to avoid any potential legal ramifications.

    This is where a professional employer organization (PEO) can play a crucial role. A PEO, like Group Management Services (GMS), can provide expert guidance on compliance with federal and state labor regulations, offer tailored HR solutions, and assist in managing payroll and employee benefits. By partnering with GMS, businesses can streamline their HR processes, stay updated on changing regulations, and ensure they are well-equipped to adapt to the new FLSA requirements while adhering to state-specific laws. Contact us today to learn more!

  • With the enforcement of the Occupational Safety and Health Administration’s (OSHA’s) “walkaround rule,” employers must be well-informed and prepared for the implications of this rule on their operations. This rule, set to take effect on May 31, 2024, empowers OSHA inspectors to be accompanied by third parties during onsite inspections. Continue reading for a comprehensive guide on what employers should know and do when an OSHA inspector arrives.

    Implications Of The Walkaround Rule

    The new Walkaround rule allows OSHA inspectors to be accompanied by union representatives, community activists, or any other third party considered necessary for the inspection. The following are key implications:

    • Involvement of third parties: Third parties, including union organizers, can join OSHA inspectors during an inspection and even wear union apparel, potentially impacting the dynamics of the inspection.
    • Limit on representatives: OSHA regulations limit the number of representatives who can accompany the inspector to one unless more are deemed necessary for the inspection.

    Safety And Liability Concerns

    Employers must also consider safety, liability, and confidentiality issues when third parties accompany an OSHA inspector:

    • Safety protocol: Employers must ensure third parties adhere to all safety protocols, such as wearing appropriate personal protective equipment (PPE).
    • Liability protections: Employers should protect themselves from tort liability by having non-employee representatives sign waivers of liability, especially in cases where they’re not covered by workers’ compensation.
    • Confidential information: Employers may need to address concerns regarding the protection of trade secrets and confidential information viewed during an inspection, possibly requiring third parties to sign nondisclosure agreements.

    Property Rights And Procedures

    Employers should also be aware of their rights and develop specific procedures for handling OSHA inspections, including:

    • Fourth Amendment rights: Employers should understand their rights under the Fourth Amendment and consider the need for a warrant or consent for the inspection to proceed.
    • Establish procedures: Employers should establish clear procedures for when an OSHA inspector arrives, including designating a representative to accompany the inspector and addressing conduct during the inspection.

    Preventing Interference With Inspections

    To ensure that the inspection proceeds smoothly and without interference, employers should take proactive measures, including the following:

    • Designate a representative: Designate a specific individual to meet the OSHA inspector and any accompanying third parties and join them during the inspection.
    • Prevent interference: Employers should prevent activities by third-party representatives that could interfere with the inspection, such as engaging in disruptive behavior or union solicitation.

    Prep Your Business For Success

    When navigating the complexities of OSHA inspections, business owners can benefit from the support of a professional employer organization (PEO) like GMS. At GMS, we understand you didn’t start your small business to spend countless hours on compliance and the administrative functions of your business.

    GMS works closely with your business to create a comprehensive risk management plan to keep your employees safe and your workers’ compensation rate down. These plans include a variety of workplace safety measures, including the following services:

    • Onsite consulting
    • Creation of workplace safety documentation and frameworks
    • Jobsite inspections
    • Job hazard analysis (JHA)
    • Development of standard operating procedures (SOP)
    • On-site and online training services
    • OSHA inspection assistance

    Be prepared when OSHA comes knocking on your door and partner with GMS. Get a quote today.

  • According to a workforce trend report, employee retention has become the top priority for operations and HR in 2023. One of the most effective strategies to achieve this is investing in employee development programs. These programs not only enhance employees’ skills and knowledge but also foster a sense of loyalty and commitment to the organization.

    Sixty-one percent of HR professionals state that lack of development and career advancement is the second most common reason for employee turnover, behind inadequate compensation. Twenty-one percent of HR professionals report lack of development as the number one factor influencing retention. 

    The Importance Of Career Development For Employees

    Employee development programs are attractive to employees because they provide opportunities for personal and professional growth, increase job satisfaction, and boost confidence in their abilities. When employees feel they are excelling in their careers, they are more enthusiastic about doing them. Instead of being stagnant in a job, employees would like to progress towards something more significant, such as a promotion or a leadership position. Employees who feel valued and supported in their careers are more likely to remain with the company for the long term.

    Why Should Employers Invest In Employee Development? 

    Investing in employee development leads to a more skilled and productive workforce. Employees who receive continuous training and education are better equipped to handle challenges, adapt to changes, become leaders, and contribute to innovative ideas. This can give your company a significant competitive advantage in your industry.

    Sometimes, employers believe that development is expensive and risky. They don’t want to invest money in development only for their employees to take that knowledge to a new job. However, employees leaving will always be a risk. If you choose not to invest in employee development, there will be widening knowledge and skill gaps, diminished engagement, and a lack of innovation.

    Investing in development also helps you recruit top-tier candidates who want to join a company that is committed to growth. Happier and more engaged employees tend to be more productive and motivated to do better work. By focusing on continued learning, you can encourage a culture of innovation and adaptability that gives your business a reputation for being forward-looking, relevant, and fresh.

    It’s also essential to advance employees’ knowledge and skills so that eventually, they can be promoted to leadership roles. Promoting from within is almost always easier than recruiting from outside. This also contributes to a future-ready workplace that can keep up with evolving trends and stay ahead of the industry.

    Create A Retention-Boosting Employee Development Program

    To craft an engaging and practical training program that aligns with employees’ daily workflows and piques their interest in learning, consider incorporating the following elements into your plan:

    Continuous learning

    As a small business owner, it’s essential to promote a continuous learning culture. Due to the constant evolution of industries, there’s always something new to learn. You can promote your company’s commitment to learning through your core values, employee handbook, employee training, company meetings, and day-to-day employee conversations.

    Personalized development

    Involve your employees in the planning process by asking them about their short and long-term goals, which skills they are interested in learning, and how they enjoy learning. Take these factors into account when you create your development program to ensure it’s a meaningful, engaging, and fulfilling experience for your employees.

    Day-to-day operations

    Your development program should be easily implemented in daily operational activities and the company’s goals. Employees must feel what they are learning is valuable to their daily working lives and enable them to make a positive impact on the organization.

    It’s also important to create short and more frequent bursts of micro-training focused on singular topics that employees can complete on their own time. If the training is short and easy to digest, it will be easier to implement as a frequent activity that fits into their busy day-to-day schedules. As a result, learning will be incorporated into the workplace culture more often, be more effective, and occur more often.

    Make it simple

    Development programs can involve attending conferences and going on trips, but it can also be simple. Learning can be as convenient as:

    • Reading an article in an industry publication
    • Listening to a podcast
    • Completing a short e-learning module
    • Attending a lunch-and-lean session
    • Engaging in a coaching session with a manager

    Your employees do not always have to go elsewhere to achieve professional growth. Growth can happen right within your organization, including mentorships with someone in higher positions, peer collaboration, and cross-training. Leaders should lead by example and actively support employee development initiatives.

    Monitor and reward

    Sometimes, employees need an extra push to complete development programs. Reward employees for mastering new skills, from anything to a bonus, extra paid time off (PTO), a gift, or a promotion from within. Recognizing and rewarding employees who demonstrate mastery of new skills can motivate others to engage in development opportunities.

    It’s also essential to monitor the effectiveness and appeal of your development programs and what works and what doesn’t. Ask for feedback from employees on what they would prefer and how to improve. Study your turnover rates, survey employees about the development opportunities you’ve offered, ask about development opportunities during exit interviews and have managers talk with employees in one-on-one meetings.

    Your Partner In Employee Development And Retention

    In today’s rapidly changing environment, investing in employee development is no longer an option but a necessity. Your employees are your greatest asset. However, ongoing employee management and training are significant challenges, especially when there’s only so much time in the day.

    That’s why GMS works with businesses to help them retain top talent. Our comprehensive suite of services is designed to support businesses in creating and implementing effective employee development programs.

    Our HR experts work closely with clients to assess their unique needs and develop customized solutions. Contact us today to learn how we can support your organization’s commitment to development.

  • For small business owners, providing comprehensive employee benefits is vital to attracting and retaining employees. Whether it’s health insurance, paid time off (PTO), or retirement plans, these perks can make a big difference in an employee’s decision to join or stay with a company. Among these benefits, Flexible Spending Accounts (FSAs) stand out as a valuable tool for employees to manage their health care expenses. Complementing health insurance coverage, FSAs give employees greater flexibility and control over their medical spending.

    FSAs offer more versatility than just paying for doctor’s visits and medications. While many people use FSAs to cover general health care costs, there are creative ways to use these accounts that are often overlooked. From chiropractic treatments to sunscreen for vacation, various health care services and products are eligible for reimbursement through FSAs. By exploring the full range of eligible expenses, you can maximize the benefits of FSAs for both you and your employees.

    How FSAs Work

    An FSA is a type of savings account that allows employees to allocate a portion of their paychecks for designated expenses. By depositing pre-tax funds, FSAs help you and your employees save money. Additionally, as an employer, you have the option to contribute to your employees’ FSA, but it is not mandatory.

    To utilize FSA funds, individuals must submit a claim along with proof of an eligible expense, such as a receipt, in order to be reimbursed.

    Different types of FSAs determine how FSA funds can be spent:

    • Health Care FSA: The accounts can be used to pay medical costs not covered by insurance, including deductibles, copayments, prescription medications, over-the-counter health care items, and more.
    • Dependent Care FSA (DCFSA): A DCFSA is used to pay for costs associated with care for children or a dependent adult, enabling parents and caregivers to work with less financial strain.
    • Limited Purpose FSA (LPFSA): Funds in an LPFSA are designated for dental and vision costs. This type of account is a favorable choice for individuals with a High Deductible Health Plan (HDHP) and a Health Savings Account (HSA).

    Common Uses Of An FSA

    FSAs are valuable because they can address a variety of medical expenses that may not be fully covered by health insurance. They can assist with the following costs:

    • Medical: You can use an FSA to pay for doctor’s visits, procedures, surgeries, and treatments, as well as cover co-pays and deductibles.
    • Vision: FSAs can cover eye exams, prescription glasses and sunglasses, contact lenses, and even corrective procedures like LASIK.
    • Dental: An FSA can be used for routine teeth cleanings, fillings, braces, and other necessary dental treatments.
    • Prescription medications: FSAs can help with the costs of both prescribed brand-name and generic drugs, including insulin, antidepressants, birth control, and more.
    • Over-the-counter health care items: Bandages, antibiotic ointments, allergy medications, and pain relievers are items frequently purchased with an FSA.

    Creative Ways To Use FSAs

    The funds held in an FSA do not roll over and must be used by the end of the calendar year. From stocking up on first aid supplies to trying out alternative therapies, there are many ways your employees can make the most out of their FSA funds.

    By offering creative suggestions for how your employees can use their FSA funds, you not only help them maximize their benefits but also demonstrate your commitment to their well-being. The potential uses of FSAs extend far beyond conventional health care needs and can be used for the following:

    Mental health and self-care

    FSAs can support numerous mental health and self-care needs. Employees can use the money in their FSAs to cover various costs related to mental health services, such as therapy appointments, counseling sessions, or psychiatric care. In addition, FSAs can be used to purchase self-care items such as skincare products, acne treatments, or even relaxation aids including essential oils.

    Health and fitness

    Employees can use their FSAs to aid in their health and fitness journeys. Gym memberships, health clubs, and weight loss programs can be reimbursed through an FSA with a letter of medical necessity, allowing individuals to prioritize their fitness goals. Health trackers and nutritional supplements such as vitamins and minerals can be purchased with FSA funds to further assist in maintaining physical health. Items that support recovery and pain relief, such as orthopedic shoe inserts and knee braces, can also be covered by an FSA.

    Professional services

    Whether an employee is seeking treatments for pain relief or pursuing a holistic approach to health, there are numerous professional services that can be paid for with an FSA. Physical therapy, chiropractic care, and acupuncture are all FSA-eligible services that can help manage chronic pain and improve overall wellness. An FSA offers employees a range of options to address their individual health needs.

    Travel essentials

    An FSA can offer unexpected benefits when it comes to purchasing travel-related items. For example, travel essentials such as sunscreen, insect repellent, and travel-sized first aid kits are eligible purchases. Using an FSA to buy necessary supplies for travel not only ensures a safe and healthy trip but also helps with spending FSA funds before they expire.

    Advantages For Small Business Owners

    Small business owners can gain numerous benefits by offering FSAs to their employees. Since FSAs allow employees to use pre-tax dollars to cover specific costs, payroll taxes are reduced for both employers and employees. Contributions made to an FSA are also tax-exempt for employees and tax-deductible for employers, offering mutual benefits.

    Providing your employees with the option to enroll in an FSA can also enhance employee satisfaction and retention, as it is a valuable perk on top of health insurance. By offering this benefit, you not only save money on taxes, but you also display your commitment to your employees’ health and overall well-being.

    Employee Benefits With A PEO

    As a small business owner, it’s crucial to offer a benefits package that’s appealing to current and prospective employees. However, administering benefits can be costly and time-consuming. Partner with a PEO like GMS to save money and streamline your benefits management. We can assist in processing group health insurance, retirement plans, wellness programs, and more. Additionally, individuals with an FSA can visit our FSA Store to explore eligible products that can be purchased with their accounts. Contact us today to optimize your employee benefits offerings and ensure your business stays competitive in attracting top talent.

  • Compensation is a hot topic for both employers and employees, encompassing everything from minimum wage debates to comprehensive benefits packages. As an employer, meeting your staff’s needs and expectations can be challenging, especially when balancing your payroll budget. However, by implementing certain strategies, you can effectively manage your total payroll cost while still maintaining a competitive edge.

    The job market is constantly changing, and with that, employees’ expectations have also shifted. They now demand not just competitive pay but also respect, recognition, and a higher quality of life outside the office. As an employer, you have the power to positively influence their overall well-being and job satisfaction by addressing these broader concerns. This makes their positions more appealing in the long term and shows your commitment to their welfare.

    Compensation can be stressful to navigate; with limited budgets, it might be difficult to offer competitive salaries to your team. However, because today’s employees are looking for more than fair wages, we’ve gathered a variety of non-monetary ways you can boost your retention and recruitment efforts. When implemented effectively, these strategies can lead to a more engaged and satisfied workforce.

    Do Non-Monetary Benefits Matter?

    Happy employees are 20% more productive than unhappy employees. Non-monetary benefits are one way you can help boost employee morale, engagement, and overall satisfaction. Though it can take a bit of effort upfront to get these programs up and running, they can save you time and money once integrated into your work operations. The impact on employee productivity and satisfaction is well worth the investment.

    Employee turnover can significantly undermine team morale, productivity, and the quality of work. Moreover, the time and financial costs involved in hiring a replacement are substantial—often exceeding 24 days to fill a position and costing up to 33% of an employee’s annual salary. Implementing non-monetary benefits alongside a livable wage can effectively reduce turnover, fostering a more stable and engaged workforce.

    In addition, non-monetary benefits are of little to no cost to you as an employer. Once up and running, these benefits often maintain themselves with minimal ongoing expenses. Offering such benefits can create a more fulfilling work environment, encouraging employees to stay longer with your company. This approach not only reduces the frequency and costs associated with turnover but also builds a reputation for your company as a caring and desirable place to work.

    Non-Monetary Benefit Examples

    Ensuring employees are content and motivated extends beyond providing a living wage. Younger generations (Millennials and Gen Z) specifically prioritize meaningful work, positive culture, and work-life balance over traditional incentives. As an employer, it’s crucial to understand these changing needs and expectations. While it’s still necessary to consider monetary compensation, there are several options that can help boost employee engagement, productivity, recruitment, and retention:

    • Flexible work arrangements: Options such as remote work, flexible schedules, and compressed workweeks allow employees to effectively balance their personal lives with professional responsibilities. Generate a policy that works for your team, with set expectations around project completion and core operating hours. Include potential repercussions if the policy is abused, work goes unfinished, or remote employees are unreachable during core hours.
    • Health and wellness programs: These can include gym memberships, mental health days off, and recreational activities. Even if some team members don’t utilize these benefits, offering and encouraging them can help boost employee engagement and satisfaction.
    • Professional development: Offering tuition reimbursement, access to courses, workshops, and seminars, and opportunities for upward mobility within your company can motivate employees to stay long-term. Not only does this show investment in your team’s professional growth, but often, what they learn can be brought back and help your business grow.
    • Recognition and reward systems: Implementing peer recognition programs or performance-based awards can boost morale and encourage a productive workplace culture. Fostering a culture of appreciation gives employees a sense of belonging, which helps increase overall job satisfaction.
    • Financial well-being programs: These programs could include financial planning services, retirement planning sessions, and workshops on budgeting and economic health, helping employees feel more secure about their financial future.
    • Student loan repayment assistance: Given the rising concern over student debt, offering help with student loan repayments can be a significant relief for younger employees, making your business much more attractive to this demographic.
    • Time for volunteering or passion projects: Offering your team time off, specifically for volunteer work or to spend on a project they’re passionate about, is a simple but effective benefit. As younger generations are more motivated by meaningful work, giving them a few days a year or hours per month to dedicate to projects can lead to a more engaged and content team.
      While some of these tools, such as a gym membership or student loan assistance, will require a small budget, they can often be cheaper than offering your whole team higher salaries than other companies.

    While some of these tools, such as a gym membership or student loan assistance, will require a small budget, they can often be cheaper than offering your whole team higher salaries than other companies.

    Implementing Non-Monetary Benefits

    When rolling out new company-wide initiatives, anticipate some initial challenges, such as general confusion or underutilization of the new benefits. To mitigate these challenges, it’s important to develop comprehensive policies and communicate them effectively and regularly to your team. These policies should outline who qualifies for these benefits and how to use them. Make your benefits accessible and appealing to encourage your staff to utilize them.

    Moreover, actively seek feedback and involve your team in refining and improving these benefits and policies. It’s crucial that the benefits you offer align with your team’s needs and interests. Offering benefits that no one uses is not only a waste of resources but also a missed opportunity to enhance employee satisfaction and engagement.

    How GMS Can Help With Your Employee Benefits

    As a business owner, retaining and attracting quality employees is vital for business growth. Offering a competitive benefits package is critical to securing top talent. However, this can be costly and time-consuming. As a professional employer organization (PEO), GMS will work with you to find the benefits package that makes the most sense for your business operations, employees, and bottom line.
    In addition, once we’ve helped you find a benefits package, we’ll help you manage it. Our outsourcing small business benefits services include:

    Let us help you provide competitive and cost-effective benefits while you focus on running your business effectively. Contact us today!