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  • In today’s rapidly evolving business landscape, where competition is fierce and technological advancements are reshaping industries, companies face the constant challenge of staying ahead of the curve. To thrive in such an environment, organizations must foster an innovative culture that encourages employees to think and act like entrepreneurs within their existing roles. This approach, known as intrapreneurship, has gained traction as a crucial strategy for driving growth and ensuring long-term success.

    By empowering employees to take risks, explore new ideas, and drive change from within, intrapreneurship can unleash the full potential of a company’s workforce and fuel its competitive advantage. Continue reading to dive deeper into the concept of intrapreneurship and its benefits and learn how companies can integrate it into their HR strategies.

    Defining Intrapreneurship

    Intrapreneurship is a practice allowing an employee to act like an entrepreneur within a company or other organization. Intrapreneurs are self-motivated, proactive, and action-oriented individuals who take the initiative to pursue an innovative product or service. They’re empowered to challenge the status quo, propose new ideas, and execute projects that generate value and drive growth.

    The Benefits Of Intrapreneurship In HR Strategy

    1. Nurturing a culture of innovation 

    Intrapreneurship fosters a culture that encourages employees to think creatively, experiment, and bring forth innovative ideas. By integrating intrapreneurial practices into HR strategy, companies can create an environment where employees feel empowered to take ownership of their work and contribute solutions to business challenges. 

    2. Retaining top talent

    Intrapreneurship offers employees a sense of autonomy and purpose, which can significantly enhance job satisfaction and engagement. Companies can retain top talent and reduce turnover rates by providing opportunities for employees to pursue their own ideas and projects. Intrapreneurship also attracts ambitious individuals who are passionate about making a real impact. 

    3. Driving organizational agility

    In today’s fast-paced business environment, companies need to adapt quickly to changing market dynamics. Intrapreneurship equips organizations with the ability to respond swiftly to emerging trends and capitalize on new opportunities. By empowering employees to take calculated risks and experiment, companies can improve their agility and stay ahead of the competition. 

    4. Fostering continuous learning

    Intrapreneurship encourages a growth mindset by promoting continuous learning and personal development. Employees are encouraged to acquire new skills, seek knowledge, and embrace challenges. By integrating entrepreneurial practices into HR strategy, companies can create a learning culture that fuels innovation and keeps employees engaged. 

    5. Boosting employee engagement and motivation 

    Intrapreneurship allows employees to work on projects they are passionate about, providing a sense of purpose and intrinsic motivation. This increased engagement leads to higher levels of productivity and performance. By incorporating entrepreneurial opportunities into HR strategies, companies can tap into the untapped potential of their workforce. 

    Harnessing HR Expertise And Tools For Intrapreneurship

    Unlocking the potential of intrapreneurship requires more than just a leap of faith – it demands strategic support and expert guidance. That’s where a professional employer organization (PEO) like GMS steps in, transforming how business owners navigate this revolutionary approach. By partnering with GMS, companies gain access to an arsenal of HR expertise, cutting-edge tools, and tailor-made solutions that empower them to cultivate a culture of intrapreneurship.

    From comprehensive employee training programs to streamlined HR processes and invaluable advice on incentivizing and rewarding entrepreneurial endeavors, a PEO is an ally for business owners on their journey toward success. With GMS as your trusted partner, organizations can confidently embrace the limitless possibilities of intrapreneurship, revolutionizing their growth trajectory, fostering innovation, and creating an extraordinary workplace that inspires their employees to reach new heights. Contact us today to learn more!

  • As a small business owner, you understand the importance of nurturing a talented and motivated workforce. One of the key aspects of employee development is providing effective feedback. Constructive feedback improves performance and fosters a culture of continuous growth and improvement within your organization. Companies that conduct regular feedback experience 14.9% lower turnover rates.

    In this era of transformative workplace trends, recalibrating feedback strategies has never been more important. As we embark on a new year, it’s the perfect time to revisit how we’re delivering feedback. This blog aims to provide tips for employee feedback and emphasize the opportunity for organizations to reevaluate and enhance their feedback mechanisms to empower their employees and company as a whole.

    1. Establish a feedback culture

    To create a feedback-driven environment, it’s essential to establish a culture that values open and honest communication. Encourage employees to seek feedback and provide suggestions. Foster an atmosphere where feedback is seen as an opportunity for growth, not criticism.

    2. Be specific and timely

    Feedback loses its impact when it lacks specificity or is delivered too long after the event. Ensuring your feedback is timely and addresses specific behaviors or actions is essential. This allows employees to understand the context and make relevant improvements.

    3. Focus on behavior, not personality

    When giving feedback, it’s crucial to focus on observable behaviors rather than personal traits. By doing so, you ensure that the feedback is objective and actionable. Instead of saying, “You’re lazy,” say, “I noticed that you missed the deadline twice last week, which impacted the team’s progress.”

    4. Use the feedback sandwich technique

    The feedback sandwich technique involves sandwiching constructive criticism between positive comments. This approach helps balance negative and positive feedback and makes feedback more acceptable. Start with a positive remark, provide constructive feedback, and end on another positive note.

    5. Be respectful and empathetic

    Feedback should always be delivered with respect and empathy. Understand that employees may have different perspectives and emotions tied to their work. Show compassion and actively listen to their concerns. By demonstrating understanding, you create an environment where employees feel safe and supported.

    6. Encourage two-way communication

    Feedback should be a dialogue, not a monologue. Encourage employees to share their thoughts and perspectives during feedback sessions. Engage in open and honest conversations that allow for a better understanding of each other’s viewpoints. This promotes mutual trust and respect.

    7. Set clear goals and expectations

    Effective feedback should be linked to clear goals and expectations. Ensure that employees have a clear understanding of what is expected of them. Use feedback sessions to align their performance with organizational objectives and help them identify areas for improvement.

    8. Offer growth opportunities

    Feedback should not solely focus on shortcomings. Highlight areas where employees excel and recognize their strengths. Identify growth opportunities and provide resources or training to help them develop their skills further. This approach motivates employees and shows your commitment to their professional growth.

    9. Follow up and track progress

    Feedback is an ongoing process. After providing feedback, schedule follow-up sessions to discuss progress and provide additional guidance if needed. Track employees’ improvement over time and acknowledge their efforts and achievements.

    Give Feedback With The Help Of A PEO

    Giving effective feedback is an essential skill for small business owners. By establishing a culture of feedback, you can create a workplace that fosters continuous improvement and drives success in the new year and beyond. Have you considered partnering with a professional employer organization (PEO)? A PEO like GMS provides feedback on employee performance and training and development, allowing business owners to make informed decisions and improve their business operations.

    GMS’ HR Account Manager Julie Grund shared, “Giving consistent and valuable feedback to your employees is one of the most important aspects of growing and retaining your staff. Employees who receive constructive feedback on a regular basis will feel more valued by the organization, and in turn, they will likely be more productive while maintaining a greater sense of loyalty to the company. Providing feedback will increase employee performance, increase motivation, foster collaboration and teamwork, and improve organizational processes.

    Take your business to new heights with the power of feedback and the expertise of a PEO by your side. Contact us today to learn more!

  • As a business owner, you have to make difficult decisions every day. Letting an employee go is arguably one of the most unpleasant and difficult tasks you can face. Human resources challenges like this can be challenging not only for managers but also for employees and significantly impact company morale. Even if you handle everything perfectly, there will likely be hurt feelings and uncomfortable conversations to navigate. Throughout this decision, it’s crucial to comply with regulations to ensure legal coverage for your business.

    Despite many employers operating under “at-will” employment, which allows them to terminate employees without cause, there are still legal boundaries to consider. Many states enforce regulations around good faith and fair dealing, protecting employees from terminations rooted in malice. Additionally, federal and state anti-discrimination laws safeguard employees from being fired for reasons related to race, gender, age, religion, disability, sexual orientation, and other protected classes.

    If firing an employee is necessary, you need to properly prepare to safeguard your business and remain compliant with federal and state laws.

    Before Termination

    Before you decide to fire an employee, it’s crucial you’ve done your due diligence. This includes having well-defined policies and procedures in place for your team. Key policies should cover areas such as harassment and bullying, employee discipline, and termination procedures. It’s also important to have your team regularly review these policies to ensure everyone is aware and in line. This approach minimizes the risk of an employee claiming they were unaware of your standards and filing a lawsuit for wrongful termination in the future.

    In addition, set clear, achievable goals for your employees over a defined timeframe and provide consistent performance feedback. This approach ensures employees are aware of their standing and areas for improvement.

    Performance improvement plans (PIP) are an excellent tool for employees who do not consistently meet expectations. These plans should comprehensively outline the employee’s shortcomings and include documentation of expected performance. Additionally, it should lay out the potential consequences, including termination, and a corrective action plan with signatures from both the employee and their supervisor. This paper trail can help you defend your decision if a former employee files claims against you.

    Employee Termination Best Practices

    If you’ve determined that letting an employee go is the necessary course of action, it’s essential to handle the process with care, as how you handle the dismissal can affect their reaction and potential legal actions. Think about the timing and location of the conversation. It’s best to avoid public areas where other employees might overhear. Legally, a face-to-face meeting is not required (unless the employee has a disability that requires it). Termination can be conducted over the phone or via videoconference and should be in situations where:

    • The employee’s behavior could cause you or your staff harm
    • The employee cannot be located
    • The employee is a remote worker
    • The employee is unable to meet in person

    Before the termination meeting, it’s essential to be well-prepared. Aim for a concise yet informative discussion covering: 

    1. The purpose of the meeting: At the beginning of the meeting, clearly state why you are meeting
    2. Performance review: Summarize the performance issues that led to this decision
    3. Grounds for termination: Provide a straightforward explanation for the termination
    4. Effective date: Inform the employee of the date when the termination takes effect
    5. Finality of decision: Make it clear that the decision is final and not open for negotiation 
    6. Company property: Outline the process for returning any company equipment or property
    7. Next steps: Discuss any additional steps, such as final paychecks and benefits information 

    During the termination meeting, it’s vital to ensure there are at least two members from your organization to witness. This should include the employee’s immediate supervisor, who is most familiar with the employee and clearly understands the reasons behind the termination, and an HR representative. If your team doesn’t have an HR representative, include a senior member of the company or the business owner.

    They’re essential for covering the termination’s administrative and procedural aspects, including final pay, benefits, and other relevant information. In addition, an HR representative can help manage and diffuse emotional responses, ensuring the conversation remains professional and respectful.

    Communicate With Your Team

    The final step in the termination process is to inform the remaining team members. It’s essential to strike a balance between transparency and confidentiality. You should communicate internally that the employee has left the organization but avoid sharing sensitive details. Focus on discussing the transition plan, outlining how the team will adapt and move forward. Be prepared to address any concerns that arise promptly and clearly. Furthermore, dispelling rumors is crucial to maintaining a positive and productive work environment.

    Termination Compliance And Documentation

    When terminating an employee, one of your primary obligations is to provide their final paycheck. Be aware that different states have varying regulations regarding the timing and method of delivering this final payment. Ensure you understand your state’s specific laws and requirements to avoid legal penalties or complications. Compliance with these regulations guarantees a smooth and lawful termination process.

    In addition to their final paycheck, other information to provide includes the following:

    COBRA notice

    If your terminated employee is eligible for continued health coverage, you must inform them of their rights. They should receive a notice detailing their options for health coverage continuation, such as COBRA in the United States, within 30 days of their termination. This notice should clearly explain the process for electing continued coverage, the associated costs, and the coverage duration.

    Benefits

    Clarify how their benefits will be handled. This includes details about life insurance policies and compensation for accrued vacation or sick time. Many states require the employer to pay out unused paid time off (PTO), so ensure you follow the laws of your state.

    Severance

    If you have a severance agreement with your employee, follow the terms of the contract. This includes adhering to provisions regarding monetary compensation, continuation of benefits coverage, handling of company equipment, and any other aspects specified in the agreement.

    Restrictive contracts

    If your employee has signed a non-compete or non-solicitation agreement, reviewing these documents as part of the termination process is important. This review helps protect your company’s assets and confidential information.

    Maintaining proper documentation regarding employee performance and ensuring compliance with local state laws and regulations are paramount strategies for protecting your business. By having clear, documented justifications for the termination and adhering to legal requirements, you create a strong defense in case of any legal challenges. This not only demonstrates fair and lawful employment practices but also reinforces the integrity and professionalism of your business operations.

    Human Resources With GMS

    Partnering with a professional employer organization (PEO) like GMS can give you peace of mind when it comes to compliance. Not only do we offer assistance regarding laws and regulations, but we can also help you train and track your employees’ progress with our human resource information system (HRIS).
    Our HRIS is software that can collect and report all employee data in a centralized hub. It manages the entire lifecycle of an employee from their initial application through hiring, retirement, or termination. Ready to save time and grow your business through expert HR management and technology? Contact us!

  • When it comes to workplace dynamics, there’s an overlooked yet pervasive issue that transcends the walls of academia: bullying. While conversations on this topic frequently revolve around school-aged children, the stark reality is that it doesn’t disappear after graduation. It’s a common issue among many businesses. In fact, nearly 30% of employees have personally experienced bullying at work. Bullying isn’t just about interpersonal conflicts; it’s also about the overall health of your business.

    Victims of workplace bullying often suffer from increased anxiety and depression, sleep disturbances, and other emotional and psychological issues. These problems can spill over into the workplace, affecting team morale, productivity, and quality of work. In addition, businesses that become known for allowing workplace bullying can suffer reputational harm, which can be difficult to recover from and affect hiring and retention efforts for years.

    As a business owner, it’s crucial to recognize the common signs of workplace bullying and harassment so you can address them quickly. Setting the tone for a respectful and inclusive environment begins with your leadership. By creating a positive work culture and taking its maintenance seriously, you’re not only protecting your business but also establishing yourself as a responsible and compassionate employer.

    What Is Workplace Bullying? 

    Workplace bullying encompasses a range of behaviors; they’re targeted and repeated action(s) by an individual or group aimed at intimidating, offending, degrading, or humiliating another person or group.

    Examples include:

    • Verbal abuse: This involves behaviors such as excessive joking, gossiping, or mockery that can be remaining or hurtful. 
    • Work performance interference: This can include sabotaging someone’s work, unfairly blaming them, or taking credit for their efforts. 
    • Institutional bullying: Occurs when an organization implicitly or explicitly endorses behaviors such as setting unrealistic goals, enforcing unnecessary overtime, or singling out individuals who are having difficulties. 
    • Retaliation: This involves obstructing someone’s career advancement, such as blocking promotions or denying requests for time off as a form of punishment or control. 

    Bullying in the workplace can take various forms, from open harassment to more subtle, covert behavior. Regrettably, managers can also be perpetrators of bullying towards employees. Accounting for about 65% of workplace bullying cases, managers are among the most common offenders. However, it’s not limited to this dynamic; bullying can also happen between colleagues at the same level or even from employees directed towards their managers.

    Laws And Regulations

    Although there aren’t specific laws targeting workplace bullying as a standalone issue, the Civil Rights Act does protect individuals in certain classes. Suppose a situation of bullying or harassment in the workplace is motivated by factors such as race, gender, religion, disability, or other characteristics of protected classes. In that circumstance, it can be classified as discrimination. Mishandling these situations can lead to significant legal consequences.

    Common Mistakes

    One of the biggest mistakes you can make as an employer is not addressing complaints when they occur. According to the Workplace Bullying Institute, employers tend to ignore, rationalize, or outright deny instances of bullying. This approach can be detrimental as it empowers perpetrators to continue their behavior.

    Moreover, when employers respond to bullying reports, the action taken is often just a mild warning, which typically doesn’t effectively deter the negative behavior. In some cases, there’s a disparity in how individuals are disciplined – some face severe consequences while others get off with just a warning. It’s crucial to take every report seriously and ensure that your entire team is aligned with your policies and the steps for corrective action. By addressing complaints earnestly, you send a clear message to your entire workforce about the acceptable behavior and valued culture in your organization.

    Taking Action

    To prevent workplace bullying and harassment, taking a proactive approach/stance is essential. Start by setting clear policies. These should cover what counts as workplace bullying, how to report it, and what happens after a report is filed. Make sure everyone on your team is aware of these policies, and they know where to find them. Including them in your employee handbook is an excellent way to ensure they are accessible to everyone. Additionally, you can:

    • Offer anti-bullying and anti-harassment training: Training sessions can help educate your team about the nuances of bullying and harassment and how to prevent them. 
    • Educate your team on acceptable and unacceptable workplace conduct: Clearly communicate the standards of behavior expected in your workplace to help set clear boundaries for everyone. 
    • Share a statement of commitment: Include a note in your employee handbook that outlines your commitment to a bully-free and respectful work environment. Resharing this statement regularly can reinforce your stance and remind employees of the importance of maintaining a positive workplace culture. 
    • Leadership training: Leadership plays a critical role in creating and maintaining a positive workplace environment. Regularly training your managers in areas such as conflict resolution and cultural influence can help ensure they are prepared to guide their teams in a way that promotes respect, understanding, and collaboration. 
    • Create a healthy culture: Ensure your team isn’t overburdened or excessively stressed. Stress and pressure can sometimes cause individuals to act negatively towards others. By cultivating a healthy work environment and emphasizing teamwork and work-life balance, you can reduce the likelihood of stress-induced conflicts and foster a more supportive and collaborative atmosphere. 

    Workplace bullying isn’t an issue that will resolve itself; it requires effort and commitment from you as a leader and your entire team. By implementing proper policies and systems and generating buy-ins from your staff, you help build and maintain a culture where respect and professionalism are the norm and everyone feels safe and valued.

    Performance Management With GMS

    As a business owner, performance management is critical to making training, career development, compensation, transfers, promotions, and termination decisions. It allows you to set clear goals and expectations for each employee and provide feedback about their performance related to those goals.

    Partnering with a professional employer organization (PEO) like GMS can significantly ease the administrative burdens of managing employees. GMS offers a comprehensive performance review system that includes various tools, such as documentation and tracking, training and implementation, consistent feedback, and more.

    In instances of bullying or harassment reports, having a performance management system with GMS allows you to securely store documentation and create a detailed paper trail. This is crucial if you eventually need to terminate an offender. Maintaining such records not only helps make informed decisions but also protects you and your business in the event of legal actions that a disgruntled employee might pursue in the future. Contact us today, and let us help protect your business.

  • Ohio business owners – get ready! Ohio’s minimum wage is set to increase on January 1st, 2024, to $10.45 per hour for non-tipped employees and $5.25 per hour for tipped employees. The new minimum wage will apply to employees of businesses with annual gross receipts of more than $385,000 per year. Currently, the minimum wage is $10.10 per hour for non-tipped employees and $5.05 per hour for tipped employees. In addition, the 2023 Ohio minimum wage applies to employees of businesses with annual gross receipts of more than $372,000.

    History Of Minimum Wage

    The Constitutional Amendment passed by Ohio voters in November 2006 states that Ohio’s minimum wage must increase on January 1st each year based on the inflation rate. To determine this, the state minimum wage is tied to the Consumer Price Index (CPI-W) for urban wage earners and clerical workers over the 12-month period before September. This index increased by 3.7% from September 1st, 2022, to August 31st, 2023.

    What This Means For Small Business Owners

    As a small business owner, this change, which is rather small in the eyes of some, may seem like a significant increase. For employees at companies with annual gross receipts of $385,000 or less per year after January 1st, 2023, and for 14 and 15-year-olds, the minimum wage in Ohio is $7.25 an hour. This wage is tied to the federal minimum wage of $7.25 an hour, which, to change, requires an act of Congress and the President’s signature.

    Employers are required to post the most recent minimum wage poster in their business. To access the 2024 minimum wage poster, click here.

    Leverage PEO Expertise

    In the face of Ohio’s minimum wage increase in 2024, business owners find themselves at a crucial stage, seeking different ways to navigate these changes seamlessly. Have you ever heard of a professional employer organization (PEO)? A PEO gives business owners access to expertise in managing HR functions, payroll, compliance, and benefits. PEOs offer tailored solutions, from optimizing employee benefits to streamlining payroll processes, enabling businesses to adapt effectively to the new wage standards.

    Embracing the assistance of a PEO could be the key for Ohio businesses to not only weather the minimum wage increase but also to foster growth, stability, and success in the years to come. Fortunately, Group Management Services (GMS) is headquartered in Richfield, Ohio, ready to step in and help all business owners in Ohio navigate this wage increase. Get a quote from us today to kickstart your business in 2024.

  • To safeguard workers’ rights, the New York City Council recently passed a bill that promises to reshape the landscape for employees and independent contractors across the city. On December 3rd, 2023, a significant mandate was set in motion, requiring the Department of Consumer and Worker Production (DCWP) to collaborate with various agencies and organizations to publish a comprehensive workers’ bill of rights.

    A Detailed Look At The Workers’ Bill Of Rights

    This bill clarifies a spectrum of federal, state, and local labor laws designed to protect employees and independent contractors. In addition, it dives into the fundamental right to unionize, empowering workers by highlighting their collective strength and unity. One of the most noteworthy features is its stance on protecting individuals regardless of immigration status. By highlighting this point, the legislation sets a precedent for inclusivity and fairness in the workforce, promising security and support to all workers within the city’s bounds. It’s essential to note that employers who fall short of the mandated posting requirements will face a $500 penalty, with a 30-day window for correction after the first complaint.

    Implementation Timeline And Employer Obligations

    By March 1st, 2024, the finalized workers’ bill of rights will be available on the city’s website, ensuring accessibility in multiple languages. Starting July 1st, 2024, employers are obligated to provide each employee with a copy of the workers’ bill of rights. This isn’t just a legal formality, employers must prominently display this information in the workplace, ensuring visibility and accessibility to all workers.

    What Next?

    For small business owners in New York, the path forward involves embracing these changes and ensuring compliance with the workers’ bill of rights. Fortunately, this path forward can be streamlined and more efficient when you partner with a professional employer organization (PEO) like GMS. GMS’ HR experts navigate the complex employment regulations, offering tailored solutions to streamline compliance efforts. They provide comprehensive HR support, assisting with implementing necessary workplace changes. Partnering with GMS empowers small business owners to navigate these new requirements seamlessly, allowing them to focus on their core operations while ensuring they meet the standards set forth by this transformative legislation. Contact our experts today to learn more.

  • The new year signifies more than just a change in date; it’s a moment to reflect on the lessons learned, the milestones achieved, and the challenges conquered. As the new year approaches, it’s time to reflect and set intentions for a more productive, positive, and fulfilling work environment. Consider the following quick and simple resolutions to transform your workplace dynamics and foster growth and success in the coming year.

    Cultivate a culture of open communication

    Effective communication lies at the heart of any successful workplace. Make it a resolution to encourage open dialogue, active listening, and transparency among team members. Create platforms or forums where everyone feels heard and valued, fostering a culture where ideas freely flow, and collaboration thrives.

    Prioritize work-life balance

    Maintaining a healthy work-life balance often takes a backseat in pursuit of success. This year, pledge to prioritize the well-being of your employees. Encourage breaks, flexible work hours where feasible, and a supportive environment that acknowledges the importance of personal time.

    Invest in professional development

    A commitment to continuous learning not only benefits individuals but also contributes to the growth of the organization. Encourage employees to pursue professional development opportunities, whether through workshops, courses, or mentorship programs. This investment in skills pays dividends in innovation and expertise within the workplace.

    Embrace diversity and inclusion

    Diversity isn’t just a buzzword – it’s a powerful asset in any workplace. Embrace diversity not only in terms of race and gender but also in experiences, perspectives, and ideas. Foster an inclusive environment where every voice is respected, valued, and included in decision-making processes.

    Promote health and wellness

    Healthy employees are productive employees. Encourage wellness initiatives such as yoga classes, wellness seminars, or mental health support programs. You create a happier and more engaged workforce by prioritizing physical and mental well-being.

    Foster a culture of accountability

    Accountability breeds responsibility and ownership. Encourage a culture where individuals take responsibility for their actions and decisions. Set clear goals, provide necessary resources, and celebrate achievements while also learning from setbacks.

    Leads by example

    Finally, resolutions are not just for employees; they’re for leaders too. Lead by example – demonstrate the values and behaviors you wish to see in others. Your actions set the tone for the entire workplace, influencing attitudes, morale, and productivity.

    Partner with a PEO

    As 2024 approaches, these resolutions serve as a roadmap to creating a workplace that is productive, nurturing, inclusive, and empowering. The new year isn’t simply about turning a page and starting over; it’s an opportunity to turn aspirations into actions and transform your business. To navigate these resolutions, consider partnering with a professional employer organization (PEO) to set the stage for a year of remarkable progress and fulfillment. Contact us today to learn how we can kickstart the new year together. Cheers to new beginnings!

  • In the aftermath of the COVID-19 pandemic’s economic repercussions, the landscape for employees drastically shifted. Temporary layoffs became a reality for thousands, prompting questions about accrued vacation pay and immediate compensation. A recent legal case in California brought this issue to the forefront, establishing critical insights into the obligations of employers during such chaotic times. Hotel employees were entitled to payment for accrued vacation following getting laid off without a specific return date.

    The Timeline: Layoffs And Legal Battles

    In March 2020, over 7,000 employees were laid off due to the pandemic’s ripple effect on business. However, it wasn’t until June 2020 that a termination notice was issued, marking an essential distinction in the eyes of the law. The employees argued that they were entitled to immediate payment for their accrued vacation time, which sparked a legal battle with their employer.

    The Dispute: Timing Of Accrued Vacation Pay

    At the heart of the dispute lies the question of when accrued vacation pay should be disbursed. The employees argued for immediate compensation upon the March 2020 layoff, citing California Labor Code’s prompt payment provisions. However, the employer held that such payment was only due upon the formal termination in June 2020.

    Legal Intervention

    The 9th U.S. Circuit Court of Appeals stepped in, underscoring the significance of prompt payment provisions within the California Labor Code. Reversing the initial judgment, the court directed the trial to consider the employer’s willingness to neglect immediate payment obligations. It drew upon Opinion Letter 1996.05.30 from the California Division of Labor Standards Enforcement (DLSE), affirming that a temporary layoff without a specified return date constitutes a discharge, triggering immediate payment of accrued wages.

    Additional Benefits

    Beyond accrued vacation pay, the case dove into the treatment of additional benefits received by the employees, specifically the value of complimentary hotel rooms. While the Fair Labor Standards Act (FLSA) excluded these benefits from regular pay calculations, the employees argued this exclusion. The court, however, upheld the exclusion, citing Department of Labor regulations that categorized such benefits as similar to other excludable payments under 29 C.F.R. Section 778.224.

    Implications And Clarity For Employers And Employees

    This legal battle sets a significant precedent, emphasizing the importance of prompt payment provisions during temporary layoffs. It solidifies that such scenarios constitute a discharge, necessitating immediate compensation for accrued vacation time, regardless of a formal termination date.

    In addition, the distinction drawn between regular pay calculations and additional benefits provides a clear guideline for similar cases. It ensures clarity regarding compensable income under state labor laws, obligating employers to meet immediate payment requirements for accrued wages during temporary layoffs. This minimizes financial uncertainties for affected employees and sets a precedent for fair treatment during temporary employment disruptions.

    Embracing Clarity In Uncertain Times

    In a rapidly evolving work landscape, understanding labor laws becomes paramount. This legal precedent empowers employees to assert their rights to prompt compensation and establish guidelines for fair treatment during uncertain employment periods. It serves as a crucial reminder for employers and employees to grasp evolving labor laws, ensuring protection and clarity amidst economic disruptions.

    Empowering Small Businesses Through Expert Guidance

    Managing layoffs and deciphering complex labor laws can be overwhelming for small business owners, especially during uncertain times. Small business owners wearing multiple hats, meet GMS, a professional employer organization (PEO). GMS’ experts tackle HR management, offering invaluable expertise in navigating layoffs, ensuring compliance with intricate labor laws, and implementing best practices.

    When you partner with a PEO like GMS, small business owners can access professional guidance, streamlined processes, and tailored strategies, allowing them to navigate layoffs with clarity and confidence. In times of mayhem, GMS empowers businesses to make informed decisions and uphold employee rights while managing the intricacies of workforce transitions. Contact us today to learn more.

  • As the year draws to a close, it’s a common practice for businesses to celebrate the season through holiday parties, bonuses, and granting time off. These traditions, steeped in goodwill, are an excellent opportunity to foster a sense of community and appreciation within the workplace. However, it’s crucial to approach these gestures with a sense of awareness and inclusivity.

    Often, when companies plan these end-of-year celebrations, they inadvertently lean towards Christmas and New Year-centric themes. This is evident in typical decorations, such as Christmas trees and ornaments, and the imagery chosen for holiday cards. While these elements are widely recognized and appreciated, it’s important to remember that not every team member will resonate with federally recognized holidays such as Christmas or even observe the same calendar for the New Year.

    It can be a challenging season to navigate, and the last thing you want to do is alienate a staff member. We’ve put together a few ideas to help you create an inclusive environment.

    Holidays To Note

    Start with awareness. In our diverse and globalized world, the winter season carries a variety of cultural and religious celebrations. Recognizing and acknowledging these differences can transform your workplace into a more inclusive and respectful environment. Significant fall and winter holidays that your team members might observe include the following:

    • Bodhi Day: Observed by Buddhists worldwide, this day commemorates the enlightenment of Siddhartha Gautama, who became the Buddha. The day of celebrations varies from community to community; however, it has a wildly recognized fixed day each year on December 8th and is generally a time for meditation and reflection.
    • Hanukkah: An eight-day Jewish festival, Hanukkah is celebrated with the lighting of the menorah, special foods, games, and gifts.
    • Kwanzaa: A week-long celebration from December 26th through January 1st honoring African heritage in African-American culture. Kwanzaa is based on African Harvest festival traditions from various parts of West and Southeast Africa and involves music, dance, poetry, and a large traditional meal.
    • Lunar New Year: Commonly associated with Chinese New Year, this is celebrated in many Asian countries and begins with the first new moon of the lunar calendar. It’s marked with a thorough house cleaning to remove bad luck, in addition to family gatherings, traditional foods, parades, and more.

    There are many more holidays throughout the year that are equally important to note, such as Eid-al-Fitr, which marks the end of Ramadan – the holy month of fasting in Islam. Acknowledging widely celebrated and less commonly known holidays demonstrates your dedication to fostering an inclusive workplace. It also reflects your consideration of your team members’ unique needs and cultural backgrounds.

    Inclusive Ways To Celebrate

    While it’s not feasible for your business to celebrate every holiday, being aware of them and understanding how your staff honors these days can significantly contribute to creating a respectful and welcoming atmosphere.

    You can help foster a more inclusive workplace in many ways, including decorations. Try to avoid Christmas trees altogether and instead try snowflakes and other general winter décor. Offer flexible time off policies for your team to use on the days most important to them – even if they are not officially recognized public holidays.

    Consider organizing educational sessions or workshops to further enhance inclusivity and cultural awareness. Each session’s goal should be to inform and engage employees in learning about the rich tapestry of cultural celebrations their colleagues may observe.

    *Please note: when organizing these sessions, it’s crucial to ensure they are used for general educational purposes and not as a platform to single out any individual staff member inadvertently. Avoid putting any team member in an uncomfortable position where they feel compelled to be the spokesperson for a particular holiday or cultural practice. The objective is to foster a learning environment that is respectful, inclusive, and enriching for all.

    Another way to help your team stay informed is to maintain a calendar of upcoming holidays. Utilize an internal newsletter or bulletin to share information about these holidays. Each edition could highlight upcoming celebrations, providing a brief history, the significance of the holiday, and typical ways to celebrate. This approach educates and builds anticipation and respect for these diverse celebrations.

    Holidays Aren’t Always Positive

    The holiday season, often portrayed as a time of joy and celebration, can evoke many emotions, including negative ones. In 2022, around 31% of individuals experienced increased stress, anxiety, and depression during the holidays. Factors such as financial pressures, the pain of grief, and feelings of loneliness are high contributors to mental health crises this time of year.

    In light of this, taking proactive measures to support your team’s mental well-being is essential. One practical approach is to provide easy access to mental health resources or counseling services. These could include employee assistance programs (EAPs), mental health days, stress management and self-care workshops, or partnerships with mental health professionals who can offer guidance and support.

    Fostering a workplace culture where mental health is openly discussed and destigmatized can be incredibly beneficial. Encouraging open dialogues about mental health, sharing resources and information in internal communications, and training managers to recognize signs of stress and mental health struggles in their teams are all valuable steps.

    How GMS Can Help

    If you’re looking for ways to reengage your team, ‘tis the season to partner with a professional employer organization (PEO) like GMS to help. Creating an inclusive workplace starts with your internal policies and procedures.

    At GMS, we offer audits focused on compliance, best practices, strategy, and function-specific HR areas to ensure that your policies not only align with your organizational goals but are also current and effective. Contact us today, and let us help you create and maintain a compliant and inclusive workplace.

  • In a move aimed at fostering opportunities for individuals with prior convictions, New York has taken a significant step forward by enacting the Clean Slate Act, which is set to take effect on November 16th, 2024. New York joined a handful of states embracing similar legislation; this act promises to transform the lives of many by automatically sealing certain criminal records, thereby advocating for second chance hiring and reintegration into society.

    The essence of this law lies in its mission to encourage employment for those with past criminal convictions while balancing the needs of employers to safeguard their interests. Under this legislation, the records of individuals convicted of specific state crimes will be sealed from public access after meeting the outlined criteria.

    Eligibility Criteria: Clearing The Slate

    For misdemeanor convictions, a minimum of three years after release from incarceration or sentence imposition is required for automatic sealing. Felony convictions demand at least eight years post-release from incarceration, provided there are no pending charges and no supervision from probation or parole departments.

    However, it’s crucial to note that certain convictions, such as Class A felonies warranting life imprisonment and offenses mandating registration as a sex offender, remain ineligible for sealing.

    Balancing Access And Protection

    While promoting reintegration into society, the law provides access to sealed records in specific instances. Entities such as courts, law enforcement, and those maintained by law for conducting background checks will still have access to these records under defined circumstances.

    Empowering Employers And Job Seekers

    For employers navigating this change, it’s imperative to understand the implications. The law doesn’t clear employers from conducting job-related analyses before taking adverse actions based on criminal convictions. Factors ranging from the nature of the offense to rehabilitation efforts must be considered in making informed hiring decisions.

    However, with sealed records, candidates may face confusion regarding the status of their past convictions during background checks. Employers must be prepared for such scenarios and uphold compliance with the state and local hiring requirements, ensuring consistency and legal adherence in their employment practices.

    Looking Ahead

    New York’s Clean Slate Act signifies a meaningful shift towards providing equitable opportunities for individuals seeking redemption from past mistakes. It underscores the importance of rehabilitation and societal reintegration while upholding the responsibilities of employers and job seekers in navigating these changes.

    Employers are encouraged to seek legal counsel to align their practices with the evolving legal landscape and ensure fair, informed, and compliant hiring changes. Or, you could consider partnering with a professional employer organization (PEO) like GMS. Our HR experts provide small business owners with expertise in navigating nuanced employment laws, ensuring fair and compliant hiring practices, and providing crucial guidance to employers seeking to embrace the spirit of this legislation. We can pave the way for a more inclusive and equitable workforce. Contact us today to learn more.