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  • Human resources (HR) is a critical function for any business, responsible for managing the relationship between employers and employees. It plays a key role in developing, reinforcing, and changing an organization’s culture. In California, however, HR can be one of the most challenging aspects of running a business. The state’s employment laws are some of the most employee-friendly in the country, which can make it challenging for small businesses to operate efficiently.

    With generous wage and hour laws and paid leave benefits, California is among the most employee-friendly jurisdictions globally. While this is great for employees, it’s quite the administrative nightmare for small business owners. So, what exactly makes California so different than every other state in the U.S.? Let’s dive into the world of HR in California and explore the factors that shape the decisions of HR professionals and business owners.

    Employment Laws

    One of the main reasons why HR in California is so challenging for businesses is due to the state’s complex employment laws. California has some of the most stringent employment laws in the country, covering everything from overtime pay to sick leave to discrimination in the workplace. Laws in California, such as the Fair Employment and Housing Act (FEHA), prohibit employers from discriminating and retaliating against employees in various protected classes. In addition, employers are required to:

    • Provide pregnancy accommodations 
    • Provide equal pay
    • Allow for wage discussions 
    • Allow employees to access personal files 
    • Protect whistleblowers

    These laws can be difficult for businesses to navigate, and the penalties for violating them can be expensive. 

    Overtime Rules

    The Fair Labor Standards Act (FLSA) entitles non-exempt employees to overtime pay for any hours worked over 40 a week. This is stricter than the federal standard of overtime pay after 40 hours in a week. It ultimately means that businesses must carefully manage their employees’ schedules and workloads to avoid costly penalties for overtime violations. On the flip side, employees can earn extra income for their hard work and dedication.

    Paid Sick Leave Benefits

    California’s paid leave benefits are a hot topic that every employee and employer should explore. These laws require employers to provide paid sick leave to all employees, which can be challenging for small businesses with limited resources. With California being one of the few states in the country to offer such generous benefits, employees can take time off from work to care for their health or that of a loved one without fear of losing their job or financial security.

    Paid family leave gives employees up to eight weeks to take time off work to:

    • Care for a seriously ill family member
    • Bond with a new child
    • Participate in a qualifying life event because of a family member’s military deployment 

    Anti-Harassment Requirements 

    Harassment in the workplace is a serious issue that can have devastating effects on employees and businesses. That’s why anti-harassment policies are critical to creating a safe and respectful work environment for all employees. Such policies clearly define what constitutes harassment and what steps will be taken if an incident occurs. Providing employees with a clear understanding of what is and isn’t acceptable behavior, anti-harassment policies help prevent harassment from occurring in the first place.

    Since California is employee-favored, the state requires all businesses to have a written anti-harassment policy, as well as a reporting and investigation procedure. All companies with over 50 or more employees in California are required to do the following:

    • Provide one hour of sexual harassment and abusive conduct prevention training to nonsupervisory employees
    • Provide two hours of sexual harassment and abusive conduct prevention training to supervisors and managers once every two years

    This training must occur within the employee’s first six months on the job. In addition to race, sex, and age, the training must also address harassment based on gender identity and sexual orientation.

    Timely Payment Of Wages

    In California, timely payment of wages isn’t just good practice; it’s the law! Employers must pay their employees’ wages on time and in full, including all overtime and bonuses earned. This means that employees can rest assured they’ll receive their hard-earned wages on time, without any delays or excuses.

    Failure to comply with timely payment laws can result in the following:

    • Costly legal penalties 
    • Damaged reputation 
    • Low employee morale 

    For each late paycheck, California’s Labor Code allows the recovery of up to $200 plus 25% of the amount unlawfully withheld, per employee, per payroll period.

    Layoffs And Business Closures

    The federal Worker Adjustment and Retraining Notification Act (WARN) in California is a vital piece of legislation protecting employees and their families during economic uncertainty. This act requires employers to provide advance notice to their employees in the event of a plant closure, mass layoff, or major relocation. This notice gives employees ample time to prepare for potential job loss and make necessary arrangements for their future. Employers who fail to comply with the WARN Act may face significant legal and financial penalties, including back pay penalties of up to $500 a day for each day of violation for a maximum of 60 days. This act isn’t just a legal obligation for employers but a moral responsibility to treat employees with dignity and respect.

    Consider Outsourcing Your HR Functions

    The intent of California’s HR laws isn’t to burden businesses but to protect the workers. HR in California is a dynamic and ever-evolving field that requires careful attention to legal compliance, employee well-being, and business success. From overtime rules, paid leave benefits, and anti-harassment policies, California’s HR landscape is filled with exciting and crucial topics that employers and employees must understand and navigate. While California’s employee-friendly laws and regulations can make it challenging for businesses to operate, they also create opportunities for companies to differentiate themselves as responsible and caring employers. By staying informed and proactive about HR issues, companies in California can attract and retain top talent, maintain legal compliance, and build a workplace culture that values and respects all employees.

    Have you considered outsourcing your HR functions to a professional employer organization (PEO)? Partnering with a PEO such as GMS is an excellent option for small business owners in California who want to streamline their HR functions and focus on their core business operations. Our HR experts are trained in the latest HR laws and regulations at GMS. We help business owners navigate complex employment laws in California, such as wage and hour regulations, anti-discrimination laws, and paid leave laws.

    Megan Croley, GMS’ Regional Client Services Manager, expressed, “From unique overtime rules and generous paid family leave benefits to the illegality of non-competes and the relatively new pay data reporting requirement, business owners are clearly navigating a complex set of rules and regulations in California. That can be intimidating! Knowing when to tap into the right resources for help makes all the difference. GMS has been serving clients in California since 2021. We assess your organization and provide guidance, policies, training, and more to avoid missteps.”

    HR functions are time-consuming and distract business owners from focusing on their core business operations. Investing in HR isn’t just a smart business decision; it’s a commitment to creating a better future for your employees. Contact us today to learn more.

  • The workplace is changing, not just because more people are working from home or because more companies are incorporating flexible scheduling. The workplace is experiencing a dramatic generational shift; while the older generations have begun retiring, Generation Z (Gen Z) has entered the arena.

    Each generation brings its own unique set of values and expectations to the office. While this can be great news for you as an employer who needs skilled workers to bring their individual points of view to their work, it can also create friction between generations working side-by-side. Here are some ways to address those differences to keep everyone happy – and productive!

    Generations In The Workforce

    With the addition of Gen Z, there are now five generations working alongside each other: 

    • Silent Generation (Born 1925-1945)
    • Baby Boomers (Born 1946-1964)
    • Generation X (Born 1965-1979)
    • Millennials (Born 1980-1994)
    • Generation Z (Born 1995-2012)

    While there isn’t a clear distinction between an individual born in 1979 and someone born in 1981, these dates are largely accepted as generational groups. Additionally, there are subgroups within each generation, but we recommend focusing on the main five groups for management purposes.

    Recognize And Acknowledge Differences

    With a diversified workforce, it’s essential for you and your employees to accept and accredit that there will be differences among the team. Open communication, training, and mentoring are great places to start. For example, you can hold workshops to teach employees about generational differences and how to work effectively with colleagues from different age groups. You can also pair younger and older employees in mentoring relationships to facilitate knowledge-sharing and collaboration.

    There is no need to shy away from the dissimilarities; however, this doesn’t mean reinforcing stereotypes. You must take the time to educate your team about the generational differences in the workplace and encourage them to be open-minded about others’ views and values.

    Acknowledging potentially contrasting ideas and opinions creates a more inclusive and welcoming work environment that embraces unique perspectives and values. By opening the conversation and respecting differences, you can foster a culture of inclusivity, collaboration, and understanding that allows each person’s unique qualities and skills to thrive.

    Be Aware Of Communication Styles And Preferences 

    Miscommunications and misunderstandings can be significant causes of conflict, which is why you and your employees need to be open and transparent about communication preferences.

    While Baby Boomers may prefer face-to-face meetings and phone calls as their main form of communication, Millennials tend to lean towards instant messaging platforms such as Microsoft Teams or Slack because it’s easier and faster for non-urgent tasks. Gen Xers find themselves somewhere in the middle, often using email as their primary form of communication with coworkers, but still value face time.

    A potential issue could ensue between Baby Boomers, who contact via phone calls, and Gen Zers, who vehemently avoid phone calls unless absolutely necessary if groups don’t communicate their preferences.

    Be flexible and open-minded. Encourage your team to try and understand where other generations are coming from, even if it’s difficult to relate. Remember that everyone has different experiences, which can affect how they see things. For example, an older generation may have a different view than someone who grew up in the digital age.

    Adjust Your Expectations And Your Management Style

    When managing generational differences in the workplace, it’s important not to make assumptions. For example, while we’ve been referencing general characteristics and preferences of the different generations, don’t assume that all people from the same era are the same. But at the same time, don’t assume different ages won’t get along either. If you do this, you’ll miss out on valuable opportunities for collaboration and cooperation between different generations at work.

    In fact, there may be more similarities between these two employees than differences after all; for example, two coworkers born decades apart may spend their evenings encapsulated in the latest docuseries streaming on Netflix. Another may be on the local co-ed soccer team that their older counterpart was a part of years earlier.

    In addition to adjusting your expectations, adapting your management style is essential. For example, younger workers may appreciate more frequent feedback and freedom in their work environment. On the other hand, older workers may value more structure in their day-to-day activities.

    At the end of the day, your employees are individuals, and your management style should reflect that. It’s crucial you come into each workday with an open outlook, and your employees will do the same.

    Update Your Training Program

    The most effective training programs focus on the skills and abilities of each generation. You can still use some general training methods across all ages, but it’s necessary to recognize that different generations have different needs when it comes to learning new information as well as retaining and applying it on the job. Just as people have communication preferences, they also learn differently. Onboarding sets your expectations for employees, which is why your training program is a great place to educate your team on generational differences.

    The best way to ensure that you’re building your training programs correctly is by understanding what makes each generation unique. For example, Boomers didn’t grow up surrounded by technology, so they may need extra time for practice and review sessions before implementing a new software process into their daily routine. Gen Xers enjoy structure in their work environments, so clear guidance is provided upfront about expectations during this process, such as, “We expect these results within Y timeframe.”

    Gen Zers are more likely to learn by doing; therefore, you can offer hands-on learning opportunities, such as walking through a process together. Also, provide a clear path for feedback and communication throughout the training program.

    Recognizing and adapting to an individual’s learning style will lead to a practical outcome that’ll have long-lasting impacts on your work culture.

    Offer Flexible Solutions

    The overarching key to managing generational differences in the workplace is flexibility. Each generation has its own unique set of needs, so it’s paramount you understand these differences and find ways to meet them. For example, you can offer flexible scheduling options if your younger workers are used to working remotely or at different hours.

    Flexible work arrangements accommodate living differences between all generations, such as school drop-off/pickup times versus evening activities with friends, which benefit your entire workforce.

    Comprehensive work benefits show you care about everyone’s interests and help you attract and retain a diverse workforce. Also, consider adopting inclusive benefits that benefit multiple generations differently. While not exclusively geared to one age, parental leave may not matter to older generations, but career development and promotion opportunities do.

    Generational Differences Are An Opportunity 

    The workforce shifts daily, with new employees bringing a flood of new ideas and opinions. While the new skills pose an excellent opportunity for your business, if you’re not careful, generational differences can cause friction in the workplace. But when approached strategically, a diverse team can foster a welcoming culture and greatly benefit your business.

    However, employee training and workplace management aren’t necessarily simple HR functions and can take you away from other integral business responsibilities. By partnering with GMS, we give you access to the tools and resources you need to take on these tasks while providing specific guidance on hiring and training for your business. Our Applicant Tracking System and employee training software streamline the hiring process to efficiently and effectively recruit top talent.

    We help with all the administrative tasks that take away your valuable time so your business can run smoothly. Contact us to speak to one of our experts today!

  • Workplace safety oversights can be expensive mistakes for employers. When an injury occurs, and a claim is made, the Bureau of Workers’ Compensation (BWC) will come down hard on an offending business if they determine it’s at fault. Depending on the situation, employers may also find themselves dealing with a Violation of a Specific Safety Requirement (VSSR), another violation that can lead to additional penalties.

    As a business owner, you know the importance of the safety of your workers. By understanding the implications of a VSSR, you can ensure a safe workplace for your employees and prevent costly violation fees. The following information pertains specifically to Ohio’s BWC, and you should refer to your state’s regulations when handling a VSSR claim.

    What Exactly Is A VSSR? 

    A VSSR is the most serious violation that can be issued by the BWC. It’s issued when an employer has been cited for disobeying one or more specific safety requirements defined by the Ohio Administrative Code (OAC) that led to a workplace accident. The list of safety requirements is outlined in the OAC and helps determine the validity of the claim. Neglected safety specifications could include the failure to:

    • Replace damaged or outdated equipment 
    • Update workplace fixtures
    • Provide the appropriate safety gear
    • Implement standard protective barriers such as rails or guarding 

    According to the BWC, “the Ohio Revised Code (ORC) states it is the responsibility of every employer in Ohio to provide a safe workplace and adhere to all safety rules.” If you fail to adhere to one of the listed safety requirements and an employee is seriously or fatally injured, you could be hit with a VSSR. The existence of this VSSR could mean that the injured employee would be eligible for additional compensation through their BWC claim.

    How Does The BWC Determine If A VSSR Occurred? 

    There are a few requirements that must be met before the BWC determines that an injury was the result of a VSSR. First, the claim must be filed within two years from when the occupational injury, disease, or death occurred.

    To file a claim, the injured worker or an injured worker’s dependent, when there has been a worker fatality, must submit Form IC-8/9 with the specific code sections that allegedly have been violated to the Industrial Commission of Ohio (IC). The employee must also have a workers’ compensation claim for the same injury. All involved parties will receive proper notification of the VSSR application.

    At this point, you, the employer, have 30 days to file your response. Additionally, the Safety Violations Investigation Unit (SVIU) begins acquiring information from both parties.

    In order to collect a compensatory award, the injured worker must prove the following:

    • That the safety requirement(s) was both specific and applicable to the employer
    • That the employer what not in compliance with the safety requirement(s) when the accident occurred
    • That the non-compliance with the requirement(s) directly contributed to the injury, disease, or death

    Once an impartial investigator is assigned to the case, they will begin to gather pertinent information, including OSHA records, equipment purchase dates, manufacturer, model, and serial numbers, witnesses, and accident descriptions. The investigation will also inspect the injury site, equipment, and conduct interviews. It’s recommended that both you and your legal counsel be present during the on-site visit.

    When all the facts have been gathered, the investigator will file a report with their findings in the BWC claim before the IC has a hearing on the matter. A pre-conference hearing occurs with the opportunity to settle the issue. Otherwise, a hearing will determine the merit of the claim.

    Defending A VSSR Claim

    The burden of proving employer liability falls on the injured worker, and they must prove the points previously listed. You can defend your business by simultaneously proving whether or not the safety provision cited in the VSSR is applicable to your business or industry. If facing a VSSR, you should prepare for the investigation by assembling critical documents such as maintenance and training records. Additionally, it’s recommended that you immediately contact legal counsel to defend or settle the issue at hand.

    Keep in mind that the ORC does not place all the responsibility of safety on the employer. Workers are also expected to properly use the safety equipment provided by the employer. For example, if you provided the appropriate protective equipment, such as work gloves, harnesses, or safety goggles, and your employee failed to use them, then due to their negligence, the BWC may not find you at fault for the injury.

    What Are The Penalties Associated With A VSSR?

    If the IC decides that an employer is at fault for a VSSR, it’s going to cost that company quite a bit. The IC will grant the injured worker an additional monetary award, which the BWC states can range anywhere “from 15 to 50 percent of the maximum allowable weekly compensation rate granted to the injured worker.” The percentage awarded goes directly to the injured employee or their dependents. Multiple VSSRs can also become a costly problem. If a company has been charged with two or more VSSRs within a 24-month period, the IC can impose an additional penalty of up to $50,000.

    Do VSSRs Affect Workers’ Compensation? 

    A VSSR claim is not a bar to receiving workers’ compensation benefits; it’s an additional award paid to the injured employee. Not only did an injury occur, but your specific violation of safety requirements led to their personal harm. However, even if the VSSR claim is denied, medical and income benefits are unaffected.

    What Can My Business Do About VSSRs? 

    The easiest and most important way to avoid VSSRs is to crack down on any potential violations and ensure you’re adhering to safety requirements to create a safer working environment for you and your employees.

    One of the best ways to prevent violations is by implementing a strong safety training program for all employees. They should have appropriate instructions for all equipment and procedures, including:

    • How to operate machines safely
    • How to use personal protective equipment (PPE)
    • What hazards exist in the workplace
    • How to recognize hazards and how they can be controlled or eliminated through engineering controls and administrative controls 

    In addition to training, you must provide the appropriate PPE for the tasks of your employees. Think – eyewear when operating machinery or driving vehicles; hard hats when working near exposed electrical wires; gloves when handling chemicals or sharp objects; earplugs if there’s loud noise from nearby machinery or vehicles outside your facility.

    Risk Management In The Workplace

    It’s important to remember that safety training isn’t reserved solely for onboarding new employees, it should be consistently reviewed with all employees to ensure safety compliance.

    Of course, this is easier said than done, especially if you’re not an expert on risk management and don’t have the time to become one. A professional employer organization (PEO) can provide your business with expert risk management services and strategies that can help you create a safer workplace and limit your risk for workers’ compensation claims.

    At GMS, we take a proactive approach to workplace safety by working closely with you to build a comprehensive risk management plan, including onsite consulting, job hazard analysis, training services, and OSHA inspection assistance. Contact us today to talk to one of our experts about how we can help you make your business a safer place.

  • In today’s world, financial wellness has become a growing concern for employees. A survey showed that 59% of employees said financial matters are the most significant source of stress in their lives. As a result, employers are now trying to help their employees achieve financial wellness.

    Business owners can help their employees achieve financial wellness by leveraging the Secure 2.0 Act. This Act was signed into law in late 2022 and developed dozens of new retirement-related provisions. It addresses additional issues related to retirement and savings that were not part of the original Secure Act of 2019. The Secure 2.0 Act creates new flexibility and accessibility to help individuals plan for a more secure future.

    The Benefits Of Leveraging Secure 2.0 

    By using the Secure 2.0 Act, employers can offer their employees access to financial advisors who can help them with everything from creating a budget to investing in their retirement accounts. Consider the following benefits of the Act:

    1. Offering financial planning and advice services

    One of the critical ways Secure 2.0 can help improve employee financial wellness is by offering financial planning and advice services. These services can help employees make better financial decisions by giving them the information they need to make informed decisions.

         2. Encouraging savings

    Secure 2.0 helps improve employee financial wellness by encouraging savings. The platform can help employees set up automatic contributions to their retirement accounts and provide tools and resources to help them save for other financial goals.

         3. Provides debt management resource

    Debt is one of the biggest barriers to achieving financial wellness. With Secure 2.0, employers can offer their employees resources to help them manage their debt. This can include debt counseling services, debt consolidation options, and debt management tools.

         4. Educating employees on financial wellness

    Finally, Secure 2.0 also educates employees on the importance of financial wellness. Employers can offer financial wellness workshops and webinars covering various topics, from budgeting to investing.

    Why It Matters

    The Secure 2.0 Act can be a valuable tool for employers looking to improve their employees’ financial wellness. If you’re a small business owner looking to help your employees save more, you’ve come to the right place. While Secure 2.0 is an excellent resource, partnering with a professional employer organization (PEO) such as GMS is another excellent option.

    Offering a retirement plan to your employees helps you with the following:

    • Recruit more qualified employees 
    • Offers you additional opportunities for tax savings
    • Retain valuable employees

    However, retirement plans come with a lot of complexity and risk. Fortunately, GMS helps cut costs, reduce stress, save time, and offer the benefits your employees need. GMS is here to provide guidance on the best plan for your employees. At GMS, we offer our clients a profit-sharing 401(k) plan. This gives small business owners flexibility in how much they contribute to their employees’ 401(k) accounts. By implementing a profit-sharing plan, you show your employees that they’re critical to your company’s success by rewarding them for their hard work. Contact us today to learn more.

  • In today’s highly competitive job market, attracting and retaining top talent is crucial to the success of any organization. Companies can achieve this by implementing pay transparency policies that provide employees with clear information about their compensation and benefits. Not only does pay transparency increase trust and job satisfaction among workers, but it can also lead to more productive employees.

    What Is Pay Transparency?

    Pay transparency is the practice of openly communicating information about compensation with employees and candidates. Some companies share all salary data publicly, while some disclose how each team member determines salaries internally. Many employers share salary ranges so team members understand their earning potential in a given role.

    The following are several benefits of pay transparency:

    • Attracts more talent
    • Increases productivity 
    • Provides a better candidate experience 
    • Increases employee trust and retention

    Studies show that disclosing salaries may motivate employees to work harder. 

    How Pay Transparency Makes For More Productive Workers

    Pay transparency can have a significant impact on employee productivity. When employees clearly understand their compensation and how it compares to their peers, they feel more valued and motivated. In addition, pay transparency promotes a culture of fairness and equity in the workplace, improving employee morale and reducing turnover.

    When employees feel they are being compensated fairly for their work, they’re more likely to be satisfied with their jobs and put forth their best efforts. Pay transparency facilitates open communication between managers and employees, leading to better goal-setting, management, and overall team performance. By increasing transparency around pay, organizations can create a more engaged and productive workforce, resulting in a stronger bottom line.

    The Assistance Of A PEO

    Every business owner wants productive workers, right? While there are many steps you could take to make a more productive workforce, you may need to start thinking outside of the box. Pay transparency is your first step in that direction. When you partner with a professional employer organization (PEO), they help you craft job descriptions that include salaries, potential bonuses (if applicable), and so much more. If your employees want more transparency around their pay, give them what they want – it’s that simple.

    A PEO such as GMS handles all of your back-end administrative work that you don’t need to spend countless hours on. Shift your focus to growing your business, and let us handle the tedious tasks. Contact us today to learn how we can help your business become simpler, safer, and stronger.

  • Workdays shouldn’t dictate your life, and life shouldn’t revolve around your work schedule. We all have responsibilities outside of our careers; family commitments, volunteering, hobbies, household chores, self-care, and the list goes on. Roadblocks, such as a sick child or flat tire, pop up without warning and can derail an entire day. These scenarios illustrate why, as a business owner, you should consider flexible scheduling options for your employees.

    Furthermore, ever since the COVID-19 pandemic emptied the offices and left employees reevaluating their values relating to their work life, the vast majority came back wanting work schedule flexibility. In a survey of over 10,000 people, 95% said they prefer flexible hours, even more than the 78% of workers who want location flexibility.

    With so many individuals desiring more control over their daily lives, how does flexible scheduling affect you, their employer, and do the benefits outweigh the costs? It’s time to dive into the pros and cons of implementing flexible scheduling in your business.

    What Is Flexible Scheduling?

    With growing technology, employees are more connected than ever, making working from a coffee shop or kitchen table the same as clocking in at the office. Flexible scheduling is the practice of creating a work program that allows employees to set their hours wherever they are. You can achieve this in a variety of ways, starting with allowing employees to choose when they want to start and end their days or giving them the option of occasionally working from home. Flexible scheduling empowers employees to manage their assignments in a format that works best for their personal timetable rather than a set workday.

    The goal is to allow employees’ personal lives and family commitments to be considered and accommodated by their employers. The freedom helps employees balance work with other responsibilities or passions outside of the office, for example:

    • Having children at home during school hours
    • Caring for elderly relatives who need assistance during certain times of day (or night)
    • Setting aside time to volunteer
    • Taking a personal growth class

    Who Benefits From Flexible Schedules?

    Flexible scheduling is a win-win for both parties, not just the employees. You, your employees, and the entire company can benefit by erasing complications from juggling work with life’s other responsibilities.

    Benefits for employees

    Work/life balance

    Flexible scheduling helps employees balance family life with work life, greatly benefiting parents, especially single parents trying to oversee childcare costs and responsibilities. For example, permitting employees to split the workday into the first half of the day when kids are at school and finish their projects in the evening after the children are in bed allows parents to spend valuable time as a family. Additionally, your employee won’t be facing the distractions of playing two roles and can work without being interrupted.
    Employees who can better manage their time are more productive at work because they don’t feel rushed or stressed by having too much to do in too little time.

    Reduced commute time

    Employees who still want to work at the physical office can adapt their schedules to avoid rush hour and save hours of wasted time. With the extra hours in their days, employees can spend more time on other responsibilities or enjoying their hobbies.
    Combined with time, they save on fuel and repair costs from daily wear and tear from time spent on the road.

    Reclaimed control over their time

    Think about it like this: some people are naturally early birds, while others are night owls. For some, waking up with the sun and getting to work is how they function best, but others may get in the flow during the evening while most of us are asleep.

    By regaining autonomy over their schedules, you empower your employees. They can arrange their day to set work hours during the times that align with their energy cycles, working efficiently at their preferred time of day. They’re more likely to be productive and proactive in ensuring they finish their work while simultaneously pursuing other activities outside of work.

    Benefits for employers

    Higher recruitment and retention rates

    Flexible scheduling is an effective tool to retain and recruit top talent. Employees are less likely to leave when they are happy with their job. Studies show that 83% of employees positively view their organization’s culture when offered scheduling flexibility versus only 47% of employees without the opportunity.

    Not only does schedule freedom help retain talent, but it also helps with recruitment efforts. During the Great Resignation, where roughly 4 million Americans left their jobs, 26% reported a “lack of workplace flexibility” as their main reason for quitting. Flexible scheduling is now a significant driver for employees deciding where to work. In fact, 59% of recent study respondents said “flexibility “ is more important to them than salary or other benefits.

    Increased productivity

    You may be concerned about the impact on productivity, however, studies show that workers with flexible schedules are just as productive, if not more so, as those with regular schedules. In reality, 55% of workers admit to working more hours when remote versus at their physical office.

    Not only are employees reporting increased productivity, but the quality of their work is also increasing. Employees who don’t feel chained to their jobs are more likely to focus on the tasks at hand when they are working because it’s more enjoyable for them than if they work out of a sense of obligation or compulsion. With flexibility in working options, 71% of people find their team innovative, to just 57% of those who lack a flexible work opportunity.

    Happier employees

    Flexible scheduling is a great way to show employees that you care about their well-being, not just the company’s bottom line. Studies show flexible work schedules positively affect employee engagement, morale, and productivity. When employees feel trusted, they’re more likely to be engaged at work and reciprocate that trust by working hard and giving you their best.

    Burnout symptoms decrease to only 14% among employees with scheduling flexibility. In contrast, the number of individuals experiencing burnout more than doubles to 36% when reporting burnout symptoms without flexible options.

    Are There Any Downsides To Flexible Scheduling?

    While the benefits of flexible schedules are clear, it’s essential to consider the downsides. For example, not all employees work without supervision, and you may run into a team member who takes advantage of the opportunity and slacks off on their tasks.

    Scheduling can also become challenging, with multiple people requesting specific shifts to the point that providing everyone with what they want is unfeasible. Additionally, team or client meetings may become difficult to plan if everyone works at different times. One way to combat this issue is by requiring “core hours” for each employee that overlap with their team to accomplish group tasks. Then, employees can complete their other hours at their discretion.

    When coworkers don’t see each other daily, company culture can weaken. As an employer, you must be intentional with your actions to build a positive rapport and maintain a strong team. For example, dedicating time for networking, team building, and proactive development opportunities are great ideas to show your employees your commitment to them, and culture is a priority regardless of where or when each employee works.

    Employee Benefits Administration

    Employees oftentimes have to choose between their work and family life, which can lead to stress, burnout, and low morale. Implementing an employee benefit such as flexible scheduling allows employees to maintain a healthy balance between work and life while maintaining productivity levels.

    But managing employee benefits can take control of your schedule and keep you away from your other responsibilities. Fortunately, GMS’s team of HR experts are equipped with the tools to help you keep a pulse on the overall morale of your organization. We conduct employee engagement surveys, general audits, and help you implement the benefits your employees want.

    Are you ready to increase your employee benefits without increasing your workload? Contact us today to speak with our experts about how we can help you make that happen.

  • Imagine your business without employees; everything stops. Even with a surplus of inventory and functional machinery, your business comes to a screeching halt without your labor force. So, while payroll may not be the most exciting administrative responsibility, the task is essential to keeping the gears of your business moving.

    The Importance Of Payroll Management

    As a business owner, it’s your responsibility to ensure payroll is done correctly and on time. Though payroll can be time-consuming, a defined payroll management process can help significantly.
    Payroll management is the process of compensating employees for the services performed, including calculating employee hours, distributing employee pay, withholding taxes, and keeping detailed financial records.

    Good payroll management helps with employee retention. Employees feel valued when they know their paychecks are accurate and timely, especially if your company offers additional benefits such as health insurance or a 401(k). Employees who know their employers care about them as individuals instead of just numbers on a spreadsheet are more likely to stay at their jobs long-term.

    Payroll management also ensures accuracy when calculating taxes, deductions, and benefit contributions so employers aren’t penalized by government agencies such as the IRS due to mistakes made during this process.

    How Do I Get Started With Payroll Management?

    Taking the first steps toward paying yourself and your employees can seem intimidating, but it doesn’t have to be overwhelming. Here’s a breakdown of starting the process:

    1. Apply for an Employer Identification Number (EIN)

            Similar to how individuals have Social Security Numbers (SSNs), businesses have an EIN used by the IRS to identify the company and who pays employees. You can obtain your EIN for free on the IRS website. Additionally, depending on your local and state government, you may need a state ID number to pay state income taxes.

         2. Collect employee information

            Collect all the necessary information from your employees, including their full names, addresses, SSNs, and tax withholding forms. Each of your employees needs to fill out several government documents, including:

    • Form I-9: Employee Eligibility Verification
    • Form W-4: Employee’s Withholding Certificate
    • State withholding allowance certificates

         3. Determine your payroll schedule

             Decide how often you want to pay your employees; the most common options are weekly, bi-weekly, and monthly. When scheduling payroll, be sure you comply with the legal requirements of your jurisdiction, which may determine how frequently you must pay certain types of employees.

         4. Calculate employee pay and withhold deductions 

             Calculate gross pay by adding up all the hours worked by an employee during the predetermined pay period, including any bonuses or overtime. You can calculate net pay by subtracting deductions from gross pay, such as federal income tax withholding, state income tax withholding, unemployment taxes, and FICA/Medicare taxes.

         5. Pay employee and income taxes

             After calculating the payroll, process it by generating paychecks or initiating direct deposits. Payroll taxes must be filed with the government regularly, depending on your business size and location. It’s your responsibility to comply with all legal requirements and stay current on any changes to local regulations.
    If you fail to withhold the employee portion of employment taxes, you, as the business owner, may be liable to pay your share to the IRS.

         6. Document and store payroll records

             Keep all payroll records and documentation for at least three years. These records include pay stubs, tax filings, and employee information. You’ll need these records when you prepare your annual report to the IRS or state revenue agency; they will also come in handy if there’s ever an audit or dispute over employee compensation or wages paid during that period.

    Payroll Management Best Practices

    With the number of steps, regulations, and time it takes to manage payroll, there’s a lot to keep in mind to ensure successful compliance with all payroll laws and deadlines. These tips will keep your process organized and achievable:

    • Ensure your payroll system is convenient for your employees to access their pay and benefits.
    • Integrate payroll with timekeeping, so you can easily track hours worked, calculate an employee’s paycheck, and always pay employees on time.
    • Conduct regular audits of payroll records to ensure accuracy, including:
      • The number of hours each worker has clocked in during the pay period (including any overtime).
      • Each worker’s pay is based on their hourly rate, any deductions from their gross wages (such as taxes), and other factors, including commissions or bonuses.
    • Stay up to date on annual changes when calculating taxes. Payroll regulations constantly change, and failure to stay current can result in compliance issues.

    Common Payroll Mistakes To Avoid

    You want the best for your employees, especially when delivering their paychecks, but payroll is a field full of obstacles that can end in significant fines. To prevent delays or errors in payroll delivery, steer clear of these frequently made mistakes:

    • Incorrect calculations: It’s easy to make payroll mistakes, such as not factoring in overtime, deductions, or bonuses. Using a payroll software can help streamline the process and reduce errors.
    • Misclassifying worker status: You must classify your workers as either independent contractors or employees. If misclassified, you could be liable for back taxes and penalties.
    • Forgetting to update employee information: If employee information, such as their address or tax withholding forms, isn’t updated, it can lead to errors in payroll calculations.
    • Not complying with regulations: Failing to comply with federal, state, and local payroll regulations can result in costly penalties and legal issues. Payroll taxes filed late will lead to penalties and interest charges.
    • Not keeping accurate records: Poor record-keeping of payroll information can lead to errors, audits, and legal issues.
    • Poor communication: Communication breakdowns between the payroll department and employees can lead to confusion, errors, and dissatisfaction.

    The Benefits Of Outsourcing Your Payroll Needs

    Payroll management can be time-consuming and complex; outsourcing can be an excellent solution for your business. Here are some benefits of outsourcing your payroll management to consider:

    • Faster, more accurate payroll processing – Payroll management services can process your employees’ paychecks quickly and accurately. They have access to the latest software and technology, making it easier for them to handle all the details of calculating taxes and deductions, direct deposits, and other payroll functions. Payroll mistakes can be costly and time-consuming to correct; outsourcing payroll management can ensure that you comply with all legal requirements and avoid penalties.
    • Better customer service for your employees – Payroll outsourcing companies have experts knowledgeable in payroll regulations and best practices, providing advice and guidance on all payroll-related issues to your employees. They’ll answer your employees’ questions about their paychecks or tax filings, which may seem small but can save you a significant amount of time.
    • Strong data security – Payroll data is sensitive and confidential. Payroll management providers offer proprietary technology to ensure your confidential information is secure and protected from theft, fraud, and other security threats.
    • Reduced administrative burden on you as an employer – Your business is likely too busy running day-to-day operations such as hiring and recruiting or developing new products or services. There’s no reason you should be responsible for handling tedious administrative tasks such as managing payroll records on top of that.
    • Ease growing pains – As your business grows, managing payroll can become more complex. A third-party management company, such as a professional employer organization (PEO), allows you to scale up your business as needed without monopolizing your time.

    Payroll Management Made Simple

    Starting payroll management may seem daunting, but it’s a critical function for any business as it’s your responsibility to pay your employees and file taxes by the respective due dates. Payroll management is a complex process that requires careful attention to detail, but you don’t need to do it alone. GMS gives you the ease of mind of knowing that your employees are in good hands regarding their paychecks and that all taxes are filed appropriately.

    Our online payroll software includes tools such as an integrated timekeeping system to help you keep track of your employee’s hours and wages without worrying about monitoring items like double-time entries. We take tedious tasks such as paperwork, tax records, and deductions off your plate, saving you valuable time.

    Get in touch today about outsourcing your payroll with GMS so you can spend less time worrying and start spending time growing your business.

  • Are you tired of writing job descriptions that fail to attract top talent? Or perhaps you’re struggling to accurately capture the essence of a position and effectively communicate the required skills and qualifications? Does the solution lie in the power of artificial intelligence (AI)? With AI-powered tools and technologies becoming increasingly popular, you can revolutionize your approach to job description writing, creating engaging and informative descriptions while saving time and effort. That sounds like a no-brainer, right? Not so fast…

    AI In Today’s Economy

    The world was taken by storm, being introduced to AI platforms such as ChatGPT, CopyAI, Jasper, Sudowrite, and more. However, AI has been around for decades and has helped businesses automate critical tasks and make their operations more efficient. AI is a wide-ranging branch of computer science concerned with building smart machines capable of performing tasks that typically require human intelligence. Since the emergence of ChatGPT in late 2022, studies show that one in four companies have replaced their employees with it.

    The impact of AI on the economy cannot be overstated. From manufacturing to health care, AI-powered technologies have revolutionized the way we work. More specifically, for HR professionals, AI offers a wealth of opportunities to streamline recruitment, optimize workforce planning, and improve employee engagement. However, with these benefits come new challenges and ethical considerations. As the use of AI continues to grow rapidly, HR experts must carefully consider the potential risks and benefits while staying up-to-date on the latest developments.

    The Good And Bad Of Utilizing AI For Job Descriptions

    As we continue to hear more and more about the various AI tools that could help business owners with time-consuming tasks, one should be aware of the pros and cons. While AI can help HR professionals in many aspects of their work life, we’re discussing the good and bad when using AI specifically to write job descriptions.

    The good

    AI-powered tools can save HR professionals time and effort by automating the writing process and generating descriptions more likely to attract top talent. In addition, AI is beneficial as it focuses on the following:

    • Consistency: AI-generated job descriptions are oftentimes more consistent than those manually written, ensuring that all job postings have the same level of detail and quality.
    • Inclusivity: AI can help create more inclusive job descriptions by flagging potentially biased language by suggesting alternative phrasing.
    • Keyword optimization: AI tools and resources can optimize job descriptions for search engines, making them more likely to appear in job search results.

    The bad

    While there are a handful of positives to utilizing AI, there are also potential downsides. Let’s take a look at the downsides AI could have when using it to write job descriptions:

    • Lack of personal touch: AI-generated job descriptions lack human touch and personality and fail to capture the unique aspects of a particular role or company culture. Many argue that AI-generated job descriptions sound like a series of buzz-words strung together.
    • Limited creativity: AI may be limited in terms of generating job descriptions that are creative and engaging, which can be crucial in specific industries or for certain roles. Can a robot really capture the culture of your company?
    • Inaccuracies: Utilizing AI for job descriptions may contain inaccuracies or errors if the algorithm is not trained correctly or if there are gaps in the data.

    Let’s Put AI To The Test

    Considering the pros and cons of using AI to write job descriptions, why don’t we put AI to the test and see what happens? When you ask ChatGPT to “write a job description for a sales representative in the manufacturing industry,” it comes up with the following:

    Job Title: Sales Representative – Manufacturing Industry

    We are a leading manufacturing company seeking a highly motivated Sales Representative to join our team. As a Sales Representative, you will be responsible for building and maintaining client relationships, generating new leads, and driving sales in the manufacturing industry.

    Responsibilities:

    • Identify new business opportunities and generate leads through research, networking, and referrals
    • Build and maintain relationships with current and potential clients, including manufacturers, distributors, and retailers
    • Develop and execute sales strategies to achieve sales targets and increase revenue
    • Conduct product presentations and demonstrations to prospective clients
    • Negotiate and close sales deals in a timely and professional manner
    • Attend trade shows and other industry events to stay up-to-date on industry trends and establish new contacts
    • Provide exceptional customer service to ensure client satisfaction and loyalty
    • Collaborate with internal teams to ensure timely delivery and successful completion of projects

    Qualifications:

    • Bachelor’s degree in business administration, marketing, or a related field
    • 2-3 years of sales experience in the manufacturing industry, with a proven track record of meeting or exceeding sales targets
    • Strong communication and interpersonal skills, with the ability to build and maintain relationships with clients and colleagues
    • Excellent negotiation and closing skills
    • Knowledge of manufacturing processes, materials, and industry trends
    • Ability to work independently and as part of a team, with a strong sense of initiative and a results-oriented mindset
    • Proficiency in Microsoft Office and CRM software

    If you are a self-motivated and results-driven sales professional with a passion for the manufacturing industry, we encourage you to apply. In return, we offer a competitive salary and benefits package, as well as opportunities for career advancement and personal growth. Join our team and help us shape the future of manufacturing!

    While this extensive job description gives the applicant an excellent overview of the role, it’s still missing the extra detail and human touch writing your own job description would include. For a Sales Representative role, you’d want to have numbers and goals they are responsible for hitting. It’s essential to include the expectations of the position, so they know what to expect, at least within their first few months at your company. In addition, the description is missing the benefits included with the position, such as paid time off (PTO), medical, dental and vision insurance, territory (if applicable), and more. In addition, it doesn’t include the salary, as most sales positions typically earn a base salary, or it’s strictly commission. That’s important for the applicant to know when applying for the job. Above all else, it’s simply not enticing – there’s no character or charisma to be found.

    Is AI Worth It?

    While AI will provide you with a job description that will save you time, you’ll quickly find your candidate pool diminishing from a lack of interest. It’s your responsibility as a business owner to attract the talent your business wants and needs to succeed in this challenging labor market. Have you considered partnering with a professional employer organization (PEO)? Partnering with a PEO such as GMS can be highly beneficial for business owners who don’t have enough time to craft the perfect job description. GMS’ HR experts help businesses create job descriptions that accurately reflect the company’s needs while highlighting the unique benefits and opportunities of working with your business. Ultimately, working with a PEO can help companies to streamline their hiring process, save time and resources, and build a stronger, more effective workforce. Let’s find you the employees you’ve been searching for. Contact us today!

  • Recruiting hard-to-fill blue-collar workers can be daunting for many companies, especially as more individuals go to college and chase white-collar jobs. The demand for skilled workers is high, yet the supply is limited, making it challenging for employers to find the right talent. With the current competitive labor market, it’s becoming increasingly important for businesses to stand out and attract top candidates. How can you stand out from your competition during these challenging times and recruit the talent you need to keep your operations running?

    Defining Blue-Collar Positions 

    The term blue-collar worker refers to those who engage in hard manual labor, typically in the agriculture, manufacturing, construction, mining, or maintenance sectors. These workers may work outdoors and/or work with heavy machinery.

    The following are examples of blue-collar professions:

    • Carpenter 
    • Electrician 
    • Janitor 
    • Farming
    • Landscaper 
    • Logistics and shipping
    • Manufacturing worker 
    • Painter
    • Construction workers
    • Equipment operator 
    • Plumber
    • Mechanic

    Individuals who are considered blue-collar may or may not be skilled and generally earn hourly wages instead of salaries. 

    How To Recruit This Class Of Workers

    Recruiting hard-to-fill blue-collar positions can be a challenging task for business owners, as the pool of qualified candidates may be limited. However, with the right strategies in place, finding and attracting top talent for these critical roles is possible. Consider the following effective methods for recruiting these workers:

    • Develop a targeted recruitment plan: A targeted recruitment plan is essential when recruiting for hard-to-fill blue-collar positions. This plan should include identifying where potential candidates are likely to be, such as trade schools, job fairs, and industry events. Utilizing social media platforms such as LinkedIn and Facebook can also be a useful tool in reaching out to potential candidates.
    • Offer competitive compensation and benefits: To attract top talent, offering competitive compensation and benefits packages is crucial. This could include a higher starting salary, health insurance, retirement plans, and other perks such as paid time off (PTO), performance incentives, and sign-on bonuses.
    • Provide training and development opportunities: Consider providing ongoing training and development opportunities to attract and retain blue-collar workers. Offering mentorship programs and on-the-job training can help new hires develop their skills and advance their careers within the organization.
    • Create a positive company culture: A positive company culture is essential when recruiting this class of workers. Creating a culture that values teamwork, respect, and a positive work-life balance can help attract and retain top talent. In addition, creating a culture of safety and compliance can show candidates that the organization prioritizes safety.
    • Start a referral program: When you offer a paid referral program to your employees, it incentivizes them to always be on the lookout for good talent. In addition, your employees most likely have a pool of qualified candidates that could be the perfect fit for your company. 88% of business owners rate employee referral programs as the best source of applicants.

    There May Be One Option You Haven’t Considered

    By developing a targeted recruitment plan, offering competitive compensation and benefits, providing training and development opportunities, creating a positive company culture, and partnering with industry organizations, employers can find and retain the blue-collar workers they need to drive their business forward. Sounds like a lot to manage on your own, doesn’t it? We have one more option that you may not have considered – partnering with a professional employer organization (PEO). A PEO provides small businesses with a wide range of HR services, including recruitment and retention strategies, employee benefits, and compliance support that help attract and retain the needed talent. With a PEO such as GMS as a partner, small businesses can focus on their core operations while leaving the HR tasks to the experts. If you’re a small business struggling to recruit blue-collar workers, consider partnering with GMS to help you achieve your HR and recruitment goals. Contact us today!

  • As a business owner, it’s imperative to maintain a fair workplace environment for all employees. Unfortunately, incidents such as harassment or discrimination require an investigation in order to maintain a fair work environment. Conducting an HR investigation is necessary to ensure that all parties involved are treated fairly and that any necessary corrective action is taken. However, the investigation process can be complex and overwhelming. Whether you’re a seasoned HR professional or new to conducting these investigations, this blog will provide valuable insights to help you confidently navigate the process.

    What Is An HR Investigation?

    For those unfamiliar with an HR investigation, let’s begin with a basic understanding of it. When an employee makes a complaint within your organization, the HR department is responsible for beginning an HR investigation to discover further details about possible employee misconduct. An HR investigation is a method used to determine what happened and who, if anyone, is responsible. All businesses in the U.S. are obligated by law to investigate these complaints promptly and impartially.

    The following are situations in which HR can investigate in the workplace:

    • Harassment
    • Discrimination
    • Health and safety
    • Ethics
    • Retaliation

    It’s critical to get to the bottom of these complaints, as each one can become a lawsuit.

    The Importance Of An HR Investigation

    HR investigations are essential for employers to maintain a safe and healthy workplace. When incidents of harassment, discrimination, workplace misconduct, or policy violations occur, conducting an HR investigation can do the following:

    • Uncover all the facts
    • Identify any potential legal liabilities
    • Prevent similar incidents from happening in the future 

    An HR investigation ultimately helps protect employees from further harm and ensures that your business complies with legal requirements and ethical standards. In addition, conducting thorough and fair HR investigations can help build trust and confidence among employees while demonstrating the company’s commitment to a safe and equitable workplace.

    Joe Wenger, GMS’ Senior HR Generalist, expressed, “It’s an essential HR best practice to have an established process in place whenever an internal HR investigation is warranted. The first step is outlining this in your employee handbook, encouraging employees to come forward for any incidents, and reiterating a no-retaliation policy which should also be in place. Having a set process ahead of time that guides employees on what to do and then following through on that process for them will reinforce the idea that workplace safety and security are of up-most importance. This will, in turn, create a happier and more productive workforce.”

    Conducting An HR Investigation

    For various reasons, you must have an HR investigation process before an incident occurs. This process ensures that all employees know your company’s policies and procedures and know what to expect in the event of an incident. This helps prevent misunderstanding and confusion when an investigation is needed. When you have a process in place, it ultimately ensures that investigations are conducted fairly and consistently. By having clear guidelines and procedures, HR professionals can ensure that all parties involved are treated fairly. In addition, having an HR investigation process in place can help minimize the risk of legal liability. Following established procedures and documenting all aspects of the investigation allows HR professionals to protect the company from lawsuits or claims of discrimination or retaliation.

    Now that you understand the importance of having an HR investigation process in place, let’s discuss how to create your process:

    Review existing policies and procedures

    Begin by reviewing any existing policies and procedures related to HR investigations. Determine what’s working well and identify areas that need improvement.

    Identify who needs to be involved

    Determine who needs to be involved in the investigation process. This could include HR professionals, legal counsel, managers, and other relevant leaders within your organization.

    Define the scope of the investigation

    Clearly define the scope of the investigation, which can include the type of incident being investigated, the individuals involved, and any relevant timelines or deadlines.

    Establish investigation procedures

    Develop procedures for conducting the investigation, including how to collect and review evidence, conduct interviews with witnesses and other involved parties, and document the findings.

    Communicate with all parties that were involved

    It’s essential to communicate the investigation process and any expectations to all parties that were involved in the incident, including the complainant, the accused, and any witnesses.

    Follow up and take appropriate action

    Once the investigation is complete, follow up with all parties involved and take any necessary corrective action, including disciplinary action (if applicable).

    Review and improve the process

    The final step is to review your HR investigation process regularly to determine if you need to make any improvements based on feedback and changes in legal and ethical standards.

    Consider asking the following questions to ensure you obtain all the necessary information:

    • What exactly happened?
    • When did the incident occur?
    • Have you discussed the incident with anyone?
    • Has the behavior affected you and your job?
    • Where did the incident occur?
    • How did you react?
    • Was there anyone else who may have seen or heard the incident?
    • Do you have any other relevant information?
    • What action do you want the company to take?

    Creating an HR investigation process requires careful planning and consideration. Ensuring the process is fair, consistent, and compliant with legal and ethical standards is essential. Following these steps can create an effective and efficient HR investigation process that promotes a safe and healthy workplace for all employees.

    Now What?

    Conducting an HR investigation can be challenging and complex, but it’s essential for maintaining a safe and healthy workplace. By following the steps outlined throughout this blog, you can ensure that investigations are conducted fairly, consistently, and in compliance with legal and ethical standards. If you’re looking to streamline your HR operations and ensure you’re handling these investigations with expertise, consider working with a professional employer organization (PEO) such as Group Management Services (GMS). A PEO can provide various HR services, including handling investigations and providing guidance on legal and compliance issues. With our expertise and support, you can finally feel confident that your HR investigations are handled professionally and carefully, and that your employees are receiving the support they need to feel safe and valued in your business. Interested in learning more about how GMS can help you and your business thrive? Contact us today.