2025 W-2 Forms are now available in your GMS Connect employee portal here.

Request a call Login

  • On September 30th, 2022, California Governor Newsom signed Senate Bill (SB) 951, which will increase the wage replacement rate for lower wage earners under the state Paid Family Leave Program (PFL) and State Disability Insurance (SDI) programs. A similar bill was vetoed last year.

    PFL provides short-term wage replacement benefits to eligible California workers. You may be eligible for PFL if you cannot work, resulting in lost wages and time off work for family leave. California’s SDI program provides short-term disability insurance to individuals who are unable to work due to non-work-related illness or injury, pregnancy, or childbirth.

    What The New Bill Means

    Beginning in 2025, individuals who earn 70 percent or less than the state’s average wage are eligible for 90 percent of their regular wages under the PFL and SDI programs. Currently, workers who earn low wages may be eligible for 70 percent of their regular wages under the programs.

    Governor Newsom expressed, “My administration has been a strong advocate for expanding access to DI and PFL programs, and I am proud of the progress we have made in collaboration with the Legislature… SB 951 will create significant new costs not included in the 2021 Budget Act and would result in higher disability contributions paid by employees.”

    Additional Steps

    Whether your organization lacks an HR department or HR team or needs a resource to make more informed decisions about benefits management, GMS can help. Our benefits outsourcing services allow your business to offer competitive, cost-effective benefits while you focus on what you do best, running your business. In addition, while laws and regulations are constantly changing, our team of experts ensures you stay compliant. Should a new law be enforced in the state you run your business operations, we create a strategic plan on how you can begin implementing it within your workplace. Want to learn more about how GMS can help you and your business? Contact us today.

  • The California legislature passed Assembly Bill (AB) 1949, requiring California employers to offer employees five days of bereavement leave. Five days would be provided to each employee each time they lose a:

    • Spouse
    • Child
    • Parent
    • Sibling
    • Grandparent
    • Grandchild
    • Domestic partner
    • Parent-in-law

    While bereavement leaves may be unpaid, employees may choose to use their accrued vacation, sick leave, or other paid time off options, such as personal days. If California Governor Newsom signs the bill, it would be the third state to mandate this type of time off, alongside Oregon, Maryland, and Pennsylvania. While there have been previous versions of a similar bill, this year’s version has bipartisan support, meaning opposing political parties have found common ground through compromise.

    Understanding AB 1949

    AB 1949 would cover all public employers and private businesses that have at least five employees in California. Full-time and part-time employees are eligible for this bereavement leave if they have worked for the business for at least 30 days. Employers can request documentation providing evidence of the family member’s death. These documents include a death certificate, published obituary, or other written verification of death, burial, or memorial services. However, all information must be made confidential. In addition, when employees take bereavement leave, it must be completed within three months of the date of death. The days of leave do not have to be consecutive.

    What This Means For Small Business Owners

    While many employers currently give bereavement time to employees, this bill would formalize this benefit in California. If you are a small business owner in California, it’s vital to look at your current policy and determine if it’s being implemented properly. If Governor Newsom signs the bill and employers fail to comply with the new law, they’d have to pay past and future:

    • Lost income and benefits
    • Emotional distress damages
    • Punitive damages

    It’s important to note that AB 1949 is separate from time off under the California Family Rights Act (CFRA). The CFRA authorizes eligible employees to take up to 12 weeks of paid or unpaid job-protected leave during a 12-month period.

    The Benefits Of Partnering With A PEO

    As a business owner, you understand the importance of staying compliant with laws and regulations. In addition, providing your employees with a competitive benefits package sets you apart from competitors and allows you to attract and retain quality talent. Partnering with GMS ensures you are compliant and attracting and retaining quality talent. Our team of experts works with you through the constant law changes, so you don’t have to worry about that added stress and time. Contact us today to get started.

  • On August 12th, 2022, the Inflation Reduction Act went into effect. As inflation continues to rise throughout the United States, the act calls for a significant reduction in prescription drug pricing. Various implications come along with the new federal drug price as it moves across healthcare systems.

    Three Provisions

    A recent webinar panel discussed three major changes in prescription drug pricing:

    1. Price negotiation – This allows the government to regulate certain drugs under Medicare and the Drug Price Negotiation. This pushes the government to establish a maximum fair price (MFP) for certain prescription drugs. As a result, H.R. 3 requires the Secretary to consider research and development costs, market data, production and distribution costs, and therapeutic alternatives. 
    2. Inflation penalties – Pharmaceutical manufacturers must pay rebates on drugs covered by Medicare Part B and Part D if the drug price rises faster than the inflation rate. 
    3. Medicare Part D – This creates a $200,000 out-of-pocket cap on Part D prescription drug spending. 

    Industries Affected

    Due to the creation of this revision, there are five key sectors of the healthcare system that are affected, including: 

    • Drug manufacturers 
    • Payers
    • Providers
    • State Medicaid agencies
    • Patients

    Deduction Of Manufacturer’s Revenue

    Drug manufacturers not subject to negotiation will see a decrease in revenue as others choose to decrease their prices. Due to inflation caps, price increases will be limited. A significant benefit of these regulatory changes will be a smaller out-of-pocket cost for consumers.

    Medicare Part D Cap

    The regulations have established that Part D beneficiary premiums are capped for 2024 through 2029. In addition, there will be an annual beneficiary cost-sharing cap effective in 2025. This will also eliminate catastrophic beneficiary cost-sharing for 2023 and 2024. The negotiated drug prices and inflationary rebates may reduce Medicare Advantage plan costs for Part B drugs.

    The Impact GMS Has On Your Business

    As a business owner, you want to ensure that your benefits plan continues to get you the lowest rates. When you partner with GMS, you gain access to an Rx Specialist who can support you and your employees find the most cost-effective option. Additionally, we offer control of premiums, access to data and networks, and options you can’t find elsewhere. Learn more today!

  • California Governor Gavin Newsom signed a bill into law on September 27th, 2022, stating that all businesses with 15 or more employees must include pay ranges in all their job postings. This bill will take effect on January 1st, 2023. Other states have implemented similar laws including Washington, Colorado, and Connecticut.

    A Deeper Understanding Of California’s New Bill

    In addition to providing applicants with the pay range on the job posting, employers with 100 or more employees must submit a pay data report to the state’s Department of Fair Employment and Housing. The report must include the number of employees in the following job categories based on race, ethnicity, and gender:

    • Executive or senior-level officials and managers
    • First of mid-level officials and managers
    • Professionals 
    • Technicians 
    • Sales workers
    • Administrative support workers
    • Craft workers
    • Operatives
    • Laborers and helpers
    • Service workers

    Failure to provide a report each year could result in a fine of $100 per employee. The purpose of record-keeping is to prevent discrimination. 

    The Benefits Of Including Salary Range On Job Postings

    HR professionals often question whether they should include the salary range on a job posting. A vast majority of employers advocate for leaving the salary range off a job application. However, salary information is important to the applicant. So, sharing salary ranges can help attract workers. A survey conducted by LinkedIn showed that 70% of professionals want to hear about salary in the first conversation with the recruiter. So, cut out the middleman, and include it in the job posting. It ultimately saves you time while simultaneously giving vital information to potential candidates.

    Did you know that only 12% of postings from U.S. online job sites include salary ranges? While more and more businesses are beginning to add job pay on their postings, the number of businesses that don’t provide the pay range is still significantly higher than those that already do it. Stand out from your competition. Being upfront and honest about your positions, which means including the compensation, ultimately gives you a competitive advantage in a saturated market.

    Outsource Human Resources Today!

    With ever-changing rules and regulations, it’s vital to ensure you stay compliant. When you partner with GMS, we keep you up to date to ensure compliance. In addition, our HR experts work with you to write eye-catching job descriptions that set you apart from your competition. We conduct market analyses to provide the best pay range for your open positions. Focus on what you do best and allow GMS to handle the rest. Partner with us today!

  • Over the past few decades, the freight and transportation industry has undergone massive changes. The rapid globalization of the world requires rethinking freight operations, including how you manage freight audit and payment (FAP), meaning being more cost-efficient and data-driven than ever before. However, many resources are provided to small business owners who manage a fleet that ultimately helps them focus on more important aspects of their business.

    Partnering With A PEO

    When you partner with a professional employer organization (PEO), they take on the administrative burdens that companies don’t have the time or expertise to manage effectively, including:

    • Human resources
    • Benefits
    • Payroll and tax
    • Risk management

    This allows you to put your focus back on client relationships, building an effective team, and growing your profits. In addition, a PEO helps you reduce costs, limit your business risk, and save time and money. Continue reading to learn more about each product offering through a PEO.

    Human resources

    Human resources are one of the most time-consuming components for any transportation company to manage. From recruiting and retaining employees to training employees to tracking vacation time, there are many functions when it comes to human resources management. However, you didn’t start your business to become an HR expert. When you outsource your HR functions to a PEO, it allows you to spend more time growing your business and less time on human resource management.

    Managing a fleet is challenging enough in itself. On top of that, retaining and attracting quality drivers amidst the COVID-19 pandemic makes it even more complicated. A report by the American Trucking Association (ATA) stated that the truck driver shortage could reach 160,000 by 2030. When you outsource your HR functions to a PEO, they take on the burden of retaining and attracting top talent.

    How much time do you currently spend on writing a job ad or going through resumes? PEOs help you recruit faster and easier by doing all the legwork before an interview takes place, so you can focus on choosing from a pool of qualified candidates.

    Attracting quality employees to join your growing business is one challenge. Ensuring that you can retain your top talent is another. From improving skills to making employees feel valued, employee education and other measures are powerful retention tools. A PEO can help you retain employees and limit turnover costs by consulting with you on:

    • Team building activities 
    • Employee reward programs
    • Employee incentives
    • Survey tools
    • Suggestion systems

    Finally, a PEO can perform human resource audits to review your current HR policies, procedures, documentation, and systems. Conducting HR audits help your business reduce costs and improve its HR functions in a fraction of the time.

    Benefits

    As a business owner, it’s crucial to keep and attract quality employees to continue growing your business. One of the easiest ways to retain and attract top talent is by offering a quality benefits package. An employee benefits package includes all the non-wage ways a company compensates its employees. They’re the little perks and additives that employees receive as a standard part of the job offer. A basic employee benefits package includes:

    • Insurance
    • Retirement plans
    • Paid time off
    • Additional compensation

    With an extreme shortage of truck drivers, it’s crucial to provide your employees with a quality benefits package to stand out from the competition and retain and attract top talent. Organizations that aren’t leveraging a PEO or an online benefits platform are likely wasting valuable time and energy. A PEO works with employers to help them decide which benefits make the most sense for their business operations, employees, and bottom line.

    In addition, partnering with a PEO offers you more flexibility, control of premiums, access to data and networks, and options you can’t find elsewhere.

    Payroll

    Managing payroll and tax filings can be one of the most time-consuming and challenging tasks for small business owners. Between time tracking, tax calculations, payroll compliance, and every other payroll function, there’s too much to do and not enough time to manage properly.

    If you’re struggling in this area of your business, it might be time to consider outsourcing payroll administration to a PEO. Within this partnership, you gain access to proprietary technology, dedicated support, and operational efficiencies to enjoy the benefits of a large business without all the excess. Did you know that as many as 40% of small businesses incur an average of $845 in IRS penalties each year?

    Fear no more. A PEO keeps you up to date with the complex tax filing requirements as they inevitably change and complicate your payroll process. Additionally, you and your employees have access to payroll information and tax information anytime, anywhere. Let’s say your drivers are on the road and need to check their payroll information. They can access it right from their phone. Partnering with a PEO will save you time and give you peace of mind through expert payroll management services.

    Risk management

    As a small business owner in the freight industry, this is perhaps the most important and relevant service a PEO provides. Many small business owners struggle to avoid the risks associated with workers’ compensation and workplace hazards. The good news is that there are several ways to protect businesses against these dangers, but you didn’t start your business to become a risk analyst. That’s exactly why you should outsource your risk management functions to a PEO. A PEO provides you and your business with the following:

    • Workplace safety strategies
    • Workers’ compensation
    • Los prevention strategies
    • Workplace noise monitoring
    • Workplace injury reporting and nurse triage
    • Fleet management
    • Safety inspections 

    Whether in a monopolistic state where workers’ compensation is funded through the state or not, a PEO is here to provide you with the support you need. PEOs workers’ compensation management experts help employers control costs and avoid the notable impacts of work-related injuries. Should one of your employees get injured on the job, experts are there to help you throughout the entire process.

    Workers’ compensation insurance costs can range from less than $100 to thousands of dollars per employee per year. Fortunately, if you partner with a PEO, they help you save money and prevent your workers from being injured on the job by implementing cost containment and loss prevention strategies.

    Some PEOs have the capabilities to provide employers with fleet management. This product allows companies to organize and coordinate work vehicles to improve efficiency, reduce costs, and monitor unsafe driving habits. As a business owner who must manage a fleet of trucks, it’s vital that you have rules and policies in place to ensure all employees stay safe and compliant.

    GMS Is The Perfect Match For You

    If any of the pain points from above hit home with you, it’s time to outsource some or all of your HR functions to a PEO like GMS. At GMS, we have it all. It’s configurable to your business needs. If you need help with payroll, we’ve got you covered. If you only need help with benefits, we’ve got that covered as well. From handling the entire payroll process to providing you with top candidates to ensuring your fleet stays compliant, GMS does it all. Don’t let the shortage of drivers associated with the freight industry and HR functions keep you up at night. Contact us today to learn more.

  • If you’re a small business owner, you understand there is never enough time to complete everything necessary to run your business. There is quite a bit on your plate from running sales, day-to-day operations, and dealing with issues that arise. On top of that, there is a slew of HR-related duties that need to be performed. Let’s look at the overwhelming number of tasks that HR must deal with and the time it takes to complete each one.

    Payroll

    It is estimated that small businesses spend five hours per pay period processing their payroll. Eighty percent of small businesses process payroll weekly or biweekly. Not only does processing payroll take a great deal of time, but nearly half of those who calculated payroll found it confusing and frustrating.

    Compliance

    Compliance is another time-consuming task for small business owners. A report shows that 14% of small businesses spend more than 20 hours working through federal regulations each month, while 25% of owners lose more than 10 hours of productivity to regulatory compliance. As laws and regulations are constantly changing, it’s vital to stay on top of them, ensure you are compliant, and avoid fines. Additionally, diverse labor laws across cities and states can complicate the process further.

    Benefits

    On average, 1.6 hours are spent each week on employee benefits. An average of eight hours is spent on benefits during the open enrollment period. Thirty-seven percent of businesses say there is a moderate to heavy amount of paperwork involved while managing employee benefits. Benefits should not be overlooked, given that it’s an important tool to retain workers.

    Hiring And Recruiting

    As if all the above wasn’t hard enough, it takes a business a significant amount of time and energy to hire and recruit employees. The time it takes a business to find and hire an employee is the biggest time strain. This process could take up to 30 hours to hire one new employee.

    The most time-consuming hiring tasks include:

    • Interviewing candidates – seven hours
    • Searching for candidates – six hours
    • Reaching out to candidates – six hours
    • Vetting candidates – six hours
    • Researching best practices – five hours

    This is very time-consuming for a small business to take on this task on its own. In addition, if you hire the wrong candidate and they either leave or are fired, it costs six to nine months of that person’s salary.

    GMS Is Here To Take On These Time-Consuming Tasks

    Group Management Services specializes in payroll, HR, benefits, and risk management. Not only will GMS save your business time and money, but we will take on the additional stress and frustration of completing these tasks. This allows you to focus on growing your business while maintaining compliance. Contact GMS today.

  • As the third quarter comes to an end, that means it’s time to start thinking about open enrollment. Open enrollment is the annual period when individuals can begin enrolling in a health insurance plan for the upcoming calendar year. Your employees may choose to add or drop health insurance, allowing them to make changes to their coverage. As a small business owner, this time of year can become overwhelming. Open enrollment for 2023 runs from November 1st, 2022, to January 15th, 2023.

    Due to recent changes, signing up for benefit plans during the open enrollment period has transitioned into a more digitalized process. Not only does this help you as an employer, but it also streamlines the process, making it less stressful for your employees. As open enrollment approaches, it’s crucial to increase engagement from year to year for your program to be successful.

    Raising Engagement During Open Enrollment

    Make an impact with your employees during the open enrollment period and drive engagement to an all-time high with the following advice:

    • Clearly communicate dates to your employees
    • Create engaging benefit planning meetings for all employees
    • Ask your employees what they want
    • Provide simple and engaging resources
    • Continue the benefit conversation 
    • Put emphasis on creating goals and tracking progress

    Understanding what your employees want and need is the key to successful open enrollment. By taking a continuous and proactive approach throughout the year, you can ensure that your employees know the resources and support available.

    Stress No More

    Benefits are complex making it easy for employees to become overwhelmed by the information they need to make informed decisions. When you partner with GMS, we take on the burdens of the open enrollment period so you can focus on other aspects of your business. Your designated benefits account manager works diligently with you and your employees to provide the best benefit plans while also educating your employees. You gain access to a team of experts who can train employees on how their plan works and answer difficult coverage questions. We get it. Health insurance is complicated. Let us provide guidance on how to utilize your plans best, maintain compliance, and stay on top of the Affordable Care Act regulations. Contact us today.

  • The California legislature passed Assembly Bill (AB) 2188, which prohibits employers from discriminating against a person in hiring, termination, or any term or condition of employment based on the individual’s use of cannabis off the job and away from the workplace. This bill passed the Senate in late August, gave a concurrence vote in the Assembly, and was finally approved by California Governor Gavin Newsom on September 18th. Governor Newsom signed this bill to strengthen California’s cannabis law, expand the legal cannabis market, and redress the harms of cannabis prohibition. This law will take effect in January 2024.

    Marijuana Laws In California 

    California was the first state to allow medicinal cannabis use when voters passed the Compassionate Use Act in 1996. Medical marijuana refers to using marijuana to treat certain medical conditions, including:

    • Easing pain
    • Controlling nausea and vomiting 
    • Making a person feel like eating
    • Relieving symptoms in people who have multiple sclerosis, Crohn’s disease, inflammatory bowel disease, and epilepsy

    Today, cannabis is legal in California for medicinal and adult recreational use. Recreational marijuana refers to marijuana that is grown and sold recreationally to adults over the age of 21. The cannabis industry is strictly regulated to ensure:

    • Businesses operate safely
    • Products are contaminant-free and labeled to inform purchasers
    • Cannabis is kept away from children

    Although California has made significant progress since the legalization of cannabis, local opposition, rigid bureaucracy, and federal prohibition continue to pose challenges to the industry and consumers.

    Understanding AB 2188

    Bill AB 2188 prevents employers from discriminating against an applicant or employee who fails a drug test that detects non-psychoactive cannabis metabolites in their urine, blood, hair, or bodily fluids. It’s vital for employers to understand the new law and what the test is evaluating at a high level. Tests that are currently available don’t accurately indicate a level of intoxication from marijuana as they would for alcohol. It can be challenging for employers to determine whether someone is impaired and when the substance might have been consumed when a test returns positive.

    As an employer, you can begin implementing practices under the new law, including:

    • Ensuring you have updated policies for drug testing
    • Focusing on the person’s conduct while performing their job duties to determine if they have reasonable suspicion
    • Using the proper drug tests

    How GMS Comes Into Play

    With ever-changing rules and regulations, it’s vital as the business owner to stay up to date with changes. When you partner with GMS, our experts ensure you stay on top of the evolving legislation, so your business remains compliant with state laws. Although marijuana has been legal in California, implementing new rules and policies in the workplace can still be challenging. We work with you to create a simpler, safer, and stronger workplace for you and your employees. Contact us today to start your partnership with GMS.

  • Employee work-life balance has significantly changed since the beginning of the COVID-19 pandemic. As priorities have shifted, employees have become captivated by the idea of quiet quitting. Due to this trending phenomenon, employers have responded with quiet firing practices. By implementing this idea, employers create a hostile work environment to push employees to quit.

    Understanding The Term Quiet Firing

    Quiet firing is defined as a workplace that fails to reward an employee for their contributions to an organization, forcing them to leave their jobs. As managers react to quiet quitting, methods are being used to combat this detachment. According to a recent survey, one in three managers implements passive-aggressive tactics to make work uncomfortable for an employee in hopes that the quiet quitter will choose to leave the company. A workplace that fails to reward employees for their contributions to an organization is forcing them to leave their jobs.

    Employers that implement quiet firing are creating a culture of uncertainty. The Society for Human Resource Management (SHRM) explained four signs of quiet firing: 

    • Passing over an employee for promotions or raises despite high productivity and a strong work ethic
    • Withholding feedback from workers on submitted projects
    • Assigning projects that are beneath an employee’s skill set or job description
    • Regularly canceling one-on-one and progress meetings

    Signs Of Quiet Quitting

    Many managers and business owners notice when employees begin to disconnect from the workplace. According to Forbes, attributes of employee disengagement can be viewed as:

    • Showing up to work on time, not earlier
    • Taking a lunch break, not eating at their desk
    • Leaving exactly when the day ends
    • Turning off emails and calls outside of work hours
    • Not participating in extra activities 
    • Not volunteering for work events
    • Not helping with other’s workloads

    What Is The Cost?

    Quiet firing can be costly for your business. Employees will leave when they believe their career growth is stunted. Quiet quitting and quiet firing often go together. When employers and employees are not in sync, neither party receives any benefit.

    Support From GMS

    When an employee disengages, knowing the proper steps to follow can be challenging. GMS simplifies the process. As quiet quitting has gained traction, employers may face major consequences, including losing quality talent if not handled properly. Our HR specialists are there to step in when you need them the most. They can create policies to manage problems and protect your business. Contact us today!

  • The New Jersey Cannabis Regulatory Commission has issued guidance for workplaces, as an initial step toward formulating and approving standards for Workplace Impairment Recognition Expert certifications. The Commission establishes and enforces rules and regulations governing the licensing, cultivation, testing, selling, and purchasing of cannabis in New Jersey. According to the New Jersey Cannabis Regulatory Commission, “employees cannot be acted against solely due to the presence of cannabis in their body. However, employers have the right to drug test on reasonable suspicion of impairment.”

    Implementing Drug Tests In The Workplace

    While drug tests are still evolving and becoming more accurate, there are ways to enforce drug tests within the workplace. The beginning of recreational marijuana sales in New Jersey started earlier this year. However, before April, New Jersey only allowed cannabis for medical reasons. Employers should establish evidence-based protocols to document behaviors and physical signs of impairment. Then, if there is a reasonable cause or suspicion, utilizing a drug test to verify would be the next step.

    The new guidelines are intended as the first step toward regulations for certification standards for workplace impairment recognition experts. For the time being, employers can use their established protocols to maintain a drug-free workplace policy.

    Guidelines For Employers As States Legalize Marijuana 

    Employers face complex state laws legalizing marijuana along with conflicting federal laws when developing and implementing workplace drug policies. As more and more states legalize marijuana, a business owner needs to establish drug policies within the workplace while staying compliant. When you partner with GMS, our team helps you create an employee handbook that provides your employees with the policies and guidelines they need to adhere to. In addition, our online HR portal makes it easy for you to measure, track, and review documents. Contact us today to get started.