If you’re like most business owners, you probably didn’t go to school to learn the intricacies of human resource management. As a result, you’re either spending too much time on HR or too little. Neither is good for your bottom line.
I’m Spending Too Much Time on HR Management
According to the Society for Human Resource Management (SHRM), there are 45 components to successful HR management. Forty-five!
If you’re trying to be proactive about HR management, good for you. But if you have to manage multiple vendors who are working in “silos” while trying to make sense of everything they’re doing for you, you’re probably not spending as much time as you’d like growing your business. Either that or you’re burning the midnight oil to keep up.
Neither option seems that appealing, do they?
I’m Not Spending Enough Time on HR Management
On the other hand, if you’re not spending enough time on HR management, you’re more likely to be at risk for non-compliance fees, inefficiencies that slow down your production schedule, lower employee morale, and more. And you’re probably losing sleep at night because when it comes to HR, you don’t know what you don’t know.
HR Management is never a problem… until there is a problem and then it’s too late.
Manage HR Functions Effectively and Efficiently With a PEO
Regardless of which path you’ve chosen when it comes to HR management, a Professional Employer Organization (PEO) can be a good fit for your business.
When you partner with a PEO, you get access to a full team of HR experts that can help you:
- Maintain / obtain COBRA, ERISA, HIPAA, ADA, FMLA, EEOC, and DOL compliance
- Find and recruit top talent
- Write detailed job descriptions
- Develop employee handbooks
- Set up training and rewards programs
- Ensure that you’re compliant for employee terminations, and more
Additionally, because PEOs can also help you with risk management, payroll administration, and employee benefit administration, you can find money-saving opportunities that would have been much more difficult to spot with siloed vendors.
Best of all, you get the final say on all decisions. PEOs just make those decisions a little easier.
Stop living in fear of HR problems and get back to growing your business. Contact GMS online or give us a call at 888-823-2084 today.
A few months ago, I wrote an article about pregnancy discrimination in the workplace. Specifically, I wrote about how the EEOC ruled in favor of government regulations treating an employee’s pregnancy no differently than it treats a worker’s comp injury.
Well, the Supreme Court recently weighed in on this topic in a case between UPS and former employee Peggy Young.
Wow, that’s a lot of letters. What does this all mean?
Over the last several years, the National Labor Relations Board (NLRB) has been contending that their reach expands beyond unionized workers. On March 18th, the NLRB General Counsel, Richard Griffin, released a 30-page report providing guidance to attorneys and HR professionals on what he believes is not a legal rule for an employee handbook under the National Labor Relations Act (NLRA).
In short, Mr. Griffin’s report proposes major changes under which the NLRB believes it can apply its rules.
Human resources is a very important part of any business, but it can take a lot of time and money to properly manage. Even then, there are cashflow hurdles that you may come across simply because you aren’t an HR professional with all of the proper tools of the trade.
A Professional Employment Organization (PEO) like GMS can get over those hurdles because HR is what we do. We’ve already discussed how a PEO can improve your cashflow through loss prevention, cost containment, payroll, and unemployment claims management strategies, but there’s another major factor as to how we can save you money: economy of scale.
It’s expensive to pay employees, and I’m not just talking about salaries and benefits.
The payroll process is pricier than many business owners realize. It costs an average of $2,000 per employee per year for a small or mid-sized company to handle payroll. In addition, up to 40 percent of businesses in the United States are given an average of $845 in IRS penalties each year.
These costs add up and can really hurt a company’s cashflow. We’ve already discussed how loss prevention and cost containment can help your business, but a professional employer organization (PEO) can also save you money and time by handling your payroll.
Accidents happen, which is why workers’ compensation is a mandatory expense. Still, high rates can destroy your cashflow.
In my last post, I talked about how loss prevention strategies help prevent accidents in the first place, which can lower your rates. Today, I’d like to explain how an effective Cost Containment strategy can cut your costs, even if a claim is filed.
We have all heard the phrase, “there are two types of people in the world. Those who… and those who…” The blank spot is usually then filled in with whatever point someone is trying to make.
In the world of business, you can make a strong case that the old adage that holds truest is “those who are union and those who are not”.
Well, many “who are not” maybe counting down the days to when they will be.
In the business world, everyone is always looking to maximize profitability. It’s not because business owners are greedy trying to grab every last dime. It’s because they are working their tail off to either make the business succeed or make it grow.
In their efforts to do so, business owners look to control what they can, especially when it comes to costs. As a salesperson, I have often been the person who they tried to control costs through by either beating me up on price, extracting extra services or using what my company does to help make them more profitable. However, it often seems to come back to controlling costs.
When a business owner thinks of controllable costs, they often think of material prices, employee hours or something else on the production end. What seldom comes into play is controlling workers comp, healthcare and unemployment costs. But, how can you control those costs? Those things are completely out of a business owner’s control. Right?
Still not sure what exactly a PEO (professional employer organization) is? Need help selecting a PEO? Ever think about outsourcing payroll?
You're not alone, but you’ve come to the right place for answers! Today, we're proud to announce the launch of our new Education Center.
In our Education Center, you'll learn more about what PEO is. For example:
- A PEO offers a cost-effective and unified method for handling back-office services for small and medium sized businesses.
- PEOs provide services to help reduce business risk, manage employee benefits, process payroll, find quality employees, and more.
- PEOs exist in every state and provide services to more than 2.5 million people.
- The PEO industry is valued at $80 billion per year (and growing).
Ahhhh---feel the ocean breeze blowing through your hair, your toes digging into the sand, and the cool drink in your hand. Your computer is nowhere in sight. That’s right, you’re on vacation!
As an employee, taking time off is important. It keeps you focused, gives you a break and lets you spend some quality time with your family or friends. As a company, administering a paid time off (PTO) policy is also important, and much less relaxing than taking the time off.
With traditional PTO and sick time plans, your company is trying define and limit the liability of paying an employee for time they didn’t work. Sounds simple.
But how do you keep track of it all? Without a streamlined system it can be easy to miscalculate PTO for your employees. Miscalculations mean lost money for your company. According to a 2010 survey by Kronos conducted with Mercer, poorly planned absences cost U.S. organizations over 8% of their payroll each year.