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  • In a historic move, the state of Michigan has ushered in a new era of employment opportunities for its citizens. As of October 1st, 2023, a groundbreaking rule change has come into effect, one that has the potential to reshape the employment landscape for many prospective state workers.

    The Rule Change

    The rule, adopted by the Michigan Civil Service Commission in July, marks a significant shift in attitudes towards marijuana use and its impact on employment. Under this new rule, conditional offers of employment to new hires for positions not subject to random drug testing can no longer be rescinded solely based on marijuana positivity. This step represents a crucial stride towards ensuring fairness and equity in the workplace, particularly as the legal landscape surrounding marijuana continues to evolve.

    Acknowledging Changing Attitudes

    The Michigan Civil Service Commission’s decision reflects a growing recognition of the changing societal attitudes toward marijuana. With the legalization of recreational marijuana in the state, it’s only natural that employment policies adjust to reflect this transformation. This forward-thinking approach acknowledges that marijuana use should not automatically disqualify job candidates from employment opportunities unrelated to safety-sensitive concerns.

    Ensuring Safety

    It’s essential to emphasize that the ban on pre-employment marijuana screening does not equate to a free pass for marijuana use in the workplace. Michigan has taken a careful and measured approach, ensuring that safety-sensitive positions and critical roles remain subject to pre-employment testing for marijuana. This includes individuals operating specific vehicles, equipment, and machinery, where impairment could pose a significant risk to public safety. Law enforcement positions, health care workers, and prison employees will continue to be subject to these screenings.

    Responsibility And Consequences

    Moreover, the rule change does not give employees carte blanche to use marijuana without consequences. Workers must still adhere to responsible consumption practices, especially regarding safety-sensitive roles. If an employee is found to have impaired levels of drugs or alcohol, including marijuana, while on the job, disciplinary actions and potential termination remain valid options. This ensures that while personal freedoms are respected, workplace safety is not compromised.

    A National Trend

    Implementing this rule demonstrates Michigan’s commitment to fair and inclusive hiring practices. It acknowledges that a positive marijuana test result does not necessarily correlate with job performance or safety concerns for every role. By reevaluating its stance on pre-employment marijuana screenings, the state sets an example for the nation and paves the way for more progressive employment policies.

    The PEO Advantage

    Michigan businesses are navigating uncharted waters in this changing landscape of employment policies and regulations. This is where a professional employer organization (PEO) can play a pivotal role. PEOs like Group Management Services (GMS) offer comprehensive HR solutions that can help businesses in Michigan adapt to the evolving legal environment, including the recent ban on pre-employment marijuana screenings. They can provide guidance on compliance, offer drug testing programs tailored to safety-sensitive positions, and assist with employee relations and disciplinary matters. Partnering with GMS allows business owners to ensure they remain competitive, compliant, and focused on their core operations while leaving the complexities of HR management to the experts. Contact us today to learn more.

  • In a significant stride towards ensuring worker rights and job security, New Jersey Governor Philip Murphy signed Assembly Bill 4682 into law. This groundbreaking legislation, set to take effect on October 22nd, introduces a host of employment protections aimed at safeguarding the interests of specific “service employees” during ownership changes. This legislation is poised to bring about transformative changes in the landscape of employment rights within the state.

    Defining Service Employees

    Under the provisions of this new law, a “service employee” is clearly defined as an individual employed or assigned to a covered location for at least 60 days. It excludes managerial or professional employees and those regularly scheduled for less than 16 hours per week. The scope of the law covers various occupations, including:

    1. Care and maintenance of buildings or properties
    2. Passenger-related security services at airports
    3. Food preparation services at educational institutions 

    It also excludes individuals involved in construction projects requiring municipal permits. 

    Covered Locations

    The law applies to specific covered locations, whether publicly or privately owned. These include the following: 

    • Multifamily residential buildings with more than 50 units
    • Large commercial centers or office complexes
    • Schools and institutions
    • Cultural centers
    • Industrial sites
    • Airports
    • Hospitals
    • State courts
    • Distribution centers

    Key Provisions 

    This new law introduces several crucial changes to employment practices:

    1. Transition period: It reduces the transition period from 90 to 60 days, during which a successor employer must retain affected service employees at a covered location. 
    2. Just cause requirement: A successor employer cannot discharge a retained service employee without just cause during the 60-day transition period. 
    3. Notification: Covered entities must provide written notice to service employees, collective bargaining representatives, and affected work sites 15 days before terminating a service contract or selling/transferring property. 
    4. Successor employer obligations: Successor employers must make a written offer of employment to affected service employees, retain them for 60 days or until the service contract is terminated (whichever is earlier), and adhere to seniority-based retention and preferential hiring. 
    5. Collective bargaining agreement exception: If a successor employer agrees to the collective bargaining agreement of the awarding authority or contractor before the service contract termination, this law does not apply. 

    Enforcement And Penalties 

    Employers should take note of the significant penalties associated with non-compliance. Violations may result in fines of up to $2,500 for the first offense and up to $5,000 for subsequent violations. Each week of violation is considered a separate offense.

    Compliance And Employment Law Expertise

    For small businesses navigating the complex landscape of New Jersey’s evolving labor laws, the role of a professional employer organization (PEO) becomes increasingly vital. As the state ushers in these progressive employment protections, PEOs offer a lifeline to businesses by providing expert guidance and support in ensuring compliance. By partnering with a PEO, small businesses can leverage the collective expertise and resources to seamlessly manage the intricacies of employment law, including the newly established protections for service employees. With a PEO like GMS by your side, businesses can confidently navigate these changes while focusing on what they do best – driving growth and success in New Jersey’s dynamic business environment. Contact us today to learn more!

  • In an era of relentless job market transformations, the U.S. Equal Employment Opportunity Commission (EEOC) is expanding a roadmap for 2024-2028. Their recently unveiled Strategic Enforcement Plan (SEP) emphasizes their commitment to safeguarding the rights of American workers, particularly in the face of new challenges brought about by artificial intelligence (AI), pregnancy-related issues, and the long-lasting effects of COVID-19.

    A Fresh Perspective On Discrimination

    The updated SEP is not just business as usual; it represents a forward-thinking approach to addressing employment discrimination. The following is what you need to know about the EEOC’s strategic priorities:

    1. Tackling discrimination head-on: The EEOC will focus on discrimination, bias, and hate directed against religious minorities, racial or ethnic groups, and LGBTQ+ individuals. This commitment underscores the agency’s dedication to ensuring equal opportunities for all.
    2. Expanding the safety net: The agency aims to expand the vulnerable and underserved worker priority to encompass more categories of workers who may be unaware of their rights or historically underserved by federal employment discrimination protections. This shift promises to extend protection to those who need it most.
    3. Adapting to new challenges: The SEP recognizes the need to address emerging issues, including pregnancy, childbirth, and related medical conditions, the long-term effects of COVID-19 symptoms, and technology-related employment discrimination. As technology plays a pivotal role in hiring processes, the EEOC is poised to safeguard workers from AI-driven biases.
    4. Advancing workplace diversity: The underrepresentation of women and workers of color in specific industries remains a concern. The EEOC plans to spotlight these disparities in sectors such as construction, manufacturing, finance, and technology.
    5. Technology and the workplace: Acknowledging the increasing use of technology, especially AI and machine learning, in recruitment and hiring, the EEOC will ensure that these tools do not perpetuate discrimination but promote fairness and inclusivity.
    6. Protecting legal rights: The EEOC is committed to preserving access to the legal system. This includes addressing overly broad waivers, releases, nondisclosure agreements, or non-disparagement agreements that might restrict workers’ ability to seek remedies for civil rights violations.

    A Collaborative Approach

    The SEP isn’t just about enforcing compliance; it’s about fostering a collaborative environment. It encourages employers to proactively identify and remove barriers to equal employment opportunity. This means cultivating diverse talent pools, dismantling obstacles to progress, and creating inclusive workspaces.

    Informed By The People

    The EEOC didn’t arrive at these strategic priorities alone. They hosted three listening sessions, engaging with nearly three dozen representatives from various backgrounds, including civil rights and workers’ rights organizations, employers, HR professionals, and legal experts. This inclusive approach ensures that the SEP reflects the concerns and experiences of those directly affected by workplace discrimination.

    A Two-Pronged Approach

    The SEP works hand in hand with the EEOC’s overarching strategic plan. Together, they create a comprehensive framework for advancing the agency’s mission. This includes increasing accessibility to the public, enhancing training and resources for investigations, and focusing on key areas such as sexual harassment, pay discrimination, and the impact of AI in the workplace.

    EEOCs And PEOs

    As we navigate the complex terrain of evolving workplaces, it’s essential to recognize the pivotal role that a professional employer organization (PEO) can play in this transformative landscape. PEOs like GMS offer a strategic partnership, providing businesses with the expertise needed to navigate compliance, HR challenges, and the nuances of an ever-changing employment landscape. By leveraging the power of GMS alongside the EEOC’s vigilant efforts, we can pave the way for workplaces that are not only compliant with the law but also truly inclusive, diverse, and equitable. Together, we can march forward, ready to face the challenges of AI, pregnancy-related issues, and the long-term effects of COVID-19 with unwavering determination, knowing that the EEOC and PEOs stand as guardians of workplace equality and justice. Contact us today to learn more.

  • Let’s face it: productivity won’t see improvement through punitive measures or stricter policies; in fact, these approaches may be counterproductive to your goals. We live in an age where job-hopping and quiet quitting are the most prevalent trends among the U.S. workforce. Proactively addressing these challenges is not only necessary to maintain current productivity levels but also to enhance them.

    Research shows a direct correlation between employee well-being and productivity. This means that by nurturing a workplace culture that prioritizes the health and wellness of your employees, you can expect an enhancement of your business’s productivity levels.

    How Employee Well-Being Impacts Your Business

    Employee well-being has a direct impact on your bottom line. It impacts employee engagement, retention, and productivity and encompasses many factors within the work environment. These factors range from health and safety to work culture, work-life balance, and overall job satisfaction.

    While the primary responsibility lies with you as an employer to establish the tone and formulate policies that promote your staff’s well-being, it’s equally important that every member of your team actively contributes to creating a healthy workplace culture. Prioritizing and investing in employee happiness and health can yield substantial benefits across the board, ultimately strengthening your organization’s performance and financial outcomes.

    Guiding Principles

    If you’re aiming to create a positive impact, launching a wellness initiative, when thoughtfully implemented, can be a significant step forward. Choosing what to include and which areas to focus on can take time and effort. However, a few principles should form the foundation of whatever strategies you choose to adopt:

    • Prioritizing physical health
    • Promoting mental health
    • Addressing financial stability

    These core ideas can serve as a compass to guide your efforts in improving your team’s well-being. 

    Physical health

    Exercise has a positive impact on employee productivity, aids in fostering creative thinking, and enhances problem-solving abilities. Research shows that employees who engage in moderate exercise, such as walking or bike riding, tend to produce higher-quality work and perform better than those who don’t.

    Prioritizing physical health within your organization doesn’t mean pushing everyone to run a marathon. Instead, it involves implementing programs encouraging physical fitness and healthy eating, which can significantly contribute to your team’s overall well-being. These programs may include offerings such as gym memberships and nutrition and wellness courses.

    GMS’ metabolic wellness program offers an excellent solution for business owners seeking to support their employees in adopting a more active and healthier lifestyle. This program is rooted in science and offers personalized dietary guidance and temporary supplementation to assist individuals in cultivating healthier habits. With the added benefit of weekly one-on-one sessions with medical practitioners, tailored meal plans, access to educational resources, and a supportive community, your employees will be well-equipped to achieve their fitness objectives.

    Mental health

    More than 15% of working-age adults live with a mental health disorder. These disorders can vary in severity but substantially impact employee productivity, absenteeism, and overall capacity. According to the World Health Organization, depression and anxiety alone result in the loss of an astounding twelve billion working days every year. While addressing mental health is not solely the responsibility of employers, offering initiatives such as employee assistance programs (EAPs) or counseling services can be a valuable and supportive step toward promoting employee well-being.

    Safeguarding mental health also includes developing and executing policies that empower employees to seek assistance or report issues impacting their work, such as resource shortages, inappropriate workplace conduct, or harassment. By implementing these policies and procedures, you can directly influence the overall health of your workplace culture, which in turn greatly benefits the mental well-being of your employees. In fact, research has shown that a healthy workplace culture is associated with higher engagement and lower stress and depression levels.

    Financial health

    Employees facing financial stress are more inclined to seek alternative employment opportunities, have a higher likelihood of experiencing accidents, and tend to take more sick days. These factors can lead to financial repercussions for your organization and decrease employee morale and well-being.

    To effectively address this, it’s essential to offer competitive compensation packages that encompass salaries and benefits adequately reflecting the market value of your staff’s skills and contributions. Regularly reviewing and making necessary adjustments to these packages demonstrates your commitment to their financial stability.

    Additionally, consider tools like FinFit. FinFit provides a comprehensive suite of products, resources, and tools designed to help individuals establish financial stability within their households. Their platform offers early wage access and emergency funding options, along with a wealth of educational resources, personalized coaching, and budgeting tools. These services empower individuals to proactively prepare for the future and create a financial safety net to handle unexpected crises, ultimately reducing stress and enhancing their overall economic well-being.

    Principles In Practice

    There are many different strategies you could implement to improve your staff’s well-being. However, it’s best to gather your team’s input to pinpoint your specific company’s needs. In the meantime, the following are a few ideas to help get you started:

    • Offer manager training. Managers play a significant role in the health and wellness of your staff. Managers impact employee mental health 69% more than doctors or therapists. Providing resources to leadership development programs is essential for equipping managers with the necessary skills to effectively lead and inspire their teams. By fostering strong leadership capabilities, organizations can enhance team performance, employee engagement, and overall productivity, resulting in a more thriving and resilient workforce.
    • Offer flexible work. In light of the evolving workforce, it’s essential to acknowledge that many employees now place a high value on flexibility. Providing alternatives such as remote work, flexible scheduling, or compressed workweeks can positively impact job satisfaction and contribute to higher employee retention rates.
    • Promote work-life balance. Since the COVID-19 pandemic, many companies have adopted remote and hybrid work styles. While this marks progress toward fostering a flexible work culture, it also means more employees have access to work at home and may be tempted (or asked) to work during off hours or while they’re technically out of the office. Thus, it is equally crucial to prioritize promoting a healthy work-life balance. Encouraging employees to maximize their breaks, utilize their vacation time, and unplug from work during their off-hours not only nurtures their well-being but also cultivates lasting job satisfaction and fosters loyalty to the organization.
    • Ensure clear and manageable workloads. Similar to work-life balance, ensure your staff understands their role and responsibilities. Studies indicate that employees experiencing workplace stress often report it affecting their home life (71%) and overall well-being (64%). While occasional anxiety is inevitable, and periods of heavier workloads may necessitate adaptability and ambiguity, it’s crucial not to normalize this as an everyday aspect of your organizational culture and workflow. Striking a balance between clear expectations and the flexibility to navigate challenging times is vital to fostering a sustainable and healthy work environment.
    • Prioritize inclusivity. An inclusive culture fosters a sense of belonging among employees and taps into the collective wisdom of individuals from various backgrounds and experiences. This diversity of thought and perspective can lead to more innovative problem-solving, improved decision-making, and, ultimately, heightened productivity within your organization.

    Telemedicine Saves You Time And Money

    Healthy employees are good for every business. Telemedicine gets employees in contact with doctors for a free consultation, helping them avoid time-consuming visits to the doctor or unnecessary trips to the emergency room (ER). As part of our premier employee benefits administration services, GMS helps employers by offering telehealth services through Teladoc. Telemedicine saves you and your employees valuable time and money through prompt, convenient access to licensed physicians based right in the U.S.

    Affordable, convenient health care consultations with licensed physicians are only a phone call or mouse click away through Telehealth. Contact us today and start investing in your team!

  • In the realm of California’s employment regulations, evolution is the name of the game. As of October 1st, 2023, California employers are gearing up for a significant shift in their background check and criminal history review process, thanks to the updated Fair Chance Act (FCA) regulations. If you’re an employer in California, it’s time to prepare for these new compliance obligations that could reshape how you approach hiring and make a fairer job market for everyone.

    A Glimpse Into The Fair Chance Act

    To fully grasp the significance of these changes, let’s take a step back. The California Fair Chance Act originally took effect in 2018, aiming to level the playing field for job applicants with a criminal history. It laid down the law that employers couldn’t inquire about an applicant’s criminal history until after extending a conditional offer of employment. If an employer contemplated denying an applicant based on their criminal record, they were required to conduct an individualized assessment.

    This assessment considered several key factors:

    1. The nature and gravity of the offense of conduct: How severe was the offense or conduct in question? 
    2. Time passed since the offense: Consideration of how much time had elapsed since the offense or the completion of the sentence.
    3. Nature of the job: The specifics of the job itself – was it related to the applicant’s past offense? 

    The Winds Of Change – Effective October 1st, 2023

    However, the winds of change are blowing, and the FCA is evolving. As of October 1st, 2023, employers must adapt to several important amendments to the FCA.

    Expanding the scope: The term “applicant” no longer solely applies to those actively seeking a job within a company. It now encompasses employees undergoing background checks during significant changes such as ownership, management transitions, or shifts in policy.

    Broadening the definition: The term “employer” now encompasses not only direct employers but also those acting as agents or evaluating criminal histories on behalf of an employer. This includes staffing agencies and entities tapping into worker availability lists.

    Advertisement restrictions: Employers are now forbidden from stating in job ads, postings, or applications that individuals with criminal histories won’t be considered for hire.

    Voluntary disclosure: Even if an applicant voluntarily offers information about their criminal history before receiving a conditional offer, the new regulations emphasize that employers still cannot consider such information.

    A Deeper Dive Into The Assessment Factors

    The updated regulations provide a more extensive list of sub-factors that employers must consider as part of the individualized assessment. These factors include:

    • Degree of harm caused
    • Context of the offense
    • Impact of disability or trauma
    • Age of the applicant at the time of the offense

    Requesting information

    Recognizing that most of this information isn’t readily available, employers can request it from individuals with criminal histories. However, it’s crucial to note that you cannot require this information; it’s entirely voluntary.

    The waiting period

    After sending a pre-adverse action letter, employers must wait at least five business days before making a final decision. Be aware of varying timeframes based on the method of delivery.

    Rehabilitation and mitigating circumstances

    Under the FCA, employers must consider evidence of rehabilitation and mitigating circumstances. The new regulations outline a broad list of examples employers should consider, underscoring the importance of second chances.

    Preparing For Change

    As the clock ticks toward October 1st, California employers must prepare for these shifts in the FCA. Begin by revising your background check policies for compliance and ensuring all individuals involved in the applicant screening and background check process are educated about these changes.

    These changes aren’t just about legal compliance; they represent a significant step towards a more inclusive and equitable job market. Embracing these shifts ensures you’re on the right side of the law and fosters a culture of fairness and opportunity in your workplace.

    An Alternative Solution

    In the evolving landscape of California’s employment regulations, adapting to the FCA updates is necessary for every conscientious employer. While the law sets forth essential guidelines for fair hiring practices, it also presents challenges in terms of compliance.

    An alternative solution that businesses can consider, especially when dealing with the intricacies of background checks and criminal history assessments, is partnering with a professional employer organization (PEO). PEOs like GMS specialize in HR and employment-related matters, providing comprehensive support that includes navigating complex regulations, managing compliance, and streamlining the hiring process. Partnering with GMS allows business owners to ensure they meet the requirements of the FCA while focusing on their core operations, ultimately fostering a more inclusive and equitable workplace. Contact us today!

  • As year-end approaches, it’s vital to start thinking about how you will tackle 2024. With your employees being your biggest asset, supporting their success should always be a priority. Investing in your team starts with your employee onboarding process.

    Implementing an onboarding program can be challenging, especially if you’re building one from scratch. However, it’s well worth the time and energy, as 69% of employees are more likely to stay with a company for at least three years if they have a positive onboarding experience. Hiring is a lengthy and costly process that places a strain on your existing team, which may be stretched thin due to staff shortages. This strain puts pressure on your hiring team to fill the role(s), which can lead to a rushed hiring process and potential bad hires, costing your business in the long run.

    Taking the time to build a thorough and effective onboarding process can help with your attrition rates, boost morale, and increase engagement rates. Constructing a roadmap for at least the first three months can help your employees get acclimated to the company culture and their job responsibilities to set them up for success.

    The Importance Of 30-60-90-Day Reviews

    A 30-60-90 day plan is a set of objectives for new employees to achieve in their first 30, 60, and 90 days on the job. It entails the high-level priorities, actionable goals, and metrics you’ll use to measure success in those first three months. This plan aims to make the transition into the new role easier and gives your employees a sense of direction in a confusing and stressful time. In addition, it allows managers to set expectations and monitor progress during the first few months. In summary, the benefits of a 30-60-90 plan include:

    • Help optimize productivity
    • Set clear expectations 
    • Assist with goal-setting
    • Alleviate the new job nerves
    • Empower employees to self-manage their work
    • Serve as a reminder of priorities

    GMS’ Director of Human Resources Lisa Dassani shares, “30-60-90-day reviews allow employees to reflect on their first 90 days and give them a chance to ask questions about their position. Managers may use this time to clarify expectations and learn about the training needs of each employee. These check-ins help to set the employee up for future success at your company.”

    How To Structure Performance Reviews

    Each performance review should have clearly defined objectives communicated to your staff in advance. During the review process, fostering collaboration rather than a one-sided conversation is essential. To achieve this, you and your team should prepare a short list of questions to facilitate a constructive dialogue.

    Furthermore, your company should place a strong emphasis on reflection and future goal setting during these reviews. You should understand that employees may feel anxious about each review, as it often serves as their probationary period. Assure them that expecting them to operate at 100% capacity from day one is unrealistic. Instead, focus on providing constructive feedback regarding areas for improvement while emphasizing that the first three months are primarily about learning the role and becoming acclimated to the organizational culture.

    How To Create A 30-60-90 Plan

    If you currently conduct 30-60-90-day plans for your employees, great! By following the steps below, you can ensure that you’ve taken every possible measure to provide an efficient onboarding process. However, if your business has not yet implemented a 30-60-90 plan, use the following tips to guide you in creating your plan:

    1. Clarify short and long-term priorities

    The first step determines the expectations of your new hire. What do they have to accomplish in each phase? What will you do as their manager to help them succeed? Completing this step as early as possible is essential to set your team up for success.

    2. Set an objective for each phase

    There are three stages: the first 30 days, days 31 to 60, and days 61 to 90. The first 30 days are all about learning — which is typically very intensive and hands-on. This is the phase where you introduce the new hires to tools and projects and set small goals for them to achieve.

    The second phase focuses more on role-specific duties and eases off training. This is when your employees take on more responsibilities and implement what they learned in the first phase.

    The final stage is when employees gain more independence in their roles. As their manager, you hold them accountable for their work and encourage them to accomplish projects with limited guidance from you. Employees should be able to take what they’ve learned in the first two phases and apply it to their work.

    3. Fill in the details

    Once the main objectives are in place, and your new hire understands what they need to do within their first 90 days, determine how they will achieve these objectives. Work with your staff to create SMART goals. At each review, assess their progress and help make adjustments as needed. Offer guidance and connect them with more experienced peers to assist in their growth.

    You want your employees to succeed from the start because it not only makes you look like a suitable leader but also helps your business succeed. Creating a thorough onboarding process that includes a 30-60-90-day review allows your employees to understand their progress and integration. It also allows you to ensure each new team member is a positive addition to your staff. This structured approach not only facilitates smoother transitions for new hires but also enhances the likelihood of retaining and nurturing excellent talent, which is pivotal for your company’s growth and success.

    Get Started Today!

    As HR professionals at GMS, we understand how challenging it is to create an efficient onboarding process that benefits you and your new hires. Performance management allows you to set clear goals and expectations for each employee and provide feedback about their performance related to those goals. Furthermore, it plays a pivotal role in shaping decisions related to identifying training requirements for your team, recognizing team members deserving of promotions, and addressing any necessary personnel actions, including terminations when warranted.

    Performance management is also valuable to your employees as it can offer opportunities for them to grow within your organization and advance their careers. GMS’ performance review system provides:

    • Consistent feedback 
    • Employee development
    • Goal setting
    • Tracking and documentation 
    • Reporting
    • Customizable email templates and calendar invitations 
    • Training, implementation, and more

    Contact us today to get started!

  • To safeguard businesses from potential scams, the Internal Revenue Service (IRS) has just announced a groundbreaking decision. Effective immediately, the IRS has pressed pause on processing new claims for the coveted employee retention credit (ERC) until at least December 31st, 2023. While previously filed ERC claims will be honored, brace yourselves for slightly extended processing times to protect your hard-earned dollars from the clutches of scammers.

    IRS’s Commitment To Combat Fraud

    The IRS is not just hitting the pause button; it’s gearing up to unveil a series of initiatives to rescue businesses that were victims of aggressive ERC promoter schemes. Among these initiatives, a groundbreaking settlement program will provide you with a lifeline to repay any improperly received ERC payments. In addition, for those who may have filed ERC claims incorrectly, a special withdrawal option is in the works. Stay tuned as the IRS is promising more details on these programs.

    What Business Owners Should Know

    So, what should business owners do during this critical period? If you’ve already filed and have an ERC claim in limbo, it’s time for a thorough eligibility check. The IRS has noticed an alarming trend of businesses incorrectly citing supply chain issues as grounds for an ERC claim – a tactic that rarely aligns with the eligibility criteria. If you’re on the fence about filing a claim, it’s wise to consult the updated ERC guidelines and consider postponing your submission. The IRS recommends that businesses take advantage of the processing delay to review the ERC guidelines meticulously.

    Assistance At Your Fingertips

    To aid you in understanding your eligibility, the IRS has taken the initiative to update its ERC FAQs and crafted an eligibility checklist. These resources are available to ensure you make the most informed decisions regarding your ERC claim.

    However, during these times of change and uncertainty, it’s time to take it a step further. Have you considered partnering with a professional employer organization (PEO) like GMS? Our HR experts offer advice on ERC eligibility, ensuring compliance with IRS guidelines, and helping you make the most of available tax credits. We not only streamline your HR processes but also act as a strategic partner to ensure that your business thrives amidst these changing dynamics. Together with the IRS, GMS can be your trusted partner in pursuing financial stability and success. Contact us today to learn more.

  • Leadership and organizational culture go hand in hand, directly shaping employee engagement, performance, and long-term business success. This article explores how workplace culture and leadership influence retention, morale, and productivity, while outlining key traits of positive organizational culture such as accountability, psychological safety, and alignment with business goals. It also explains how HR audits for company culture can help businesses identify strengths, address weaknesses, and build a supportive environment where employees thrive.

    As a leader, you have to make many decisions that steer your business toward your strategic goals. However, inspiring your staff to align with your vision and perform accordingly, especially during high-pressure or stressful moments, can be challenging. While a motivational speech during an all-staff meeting can provide some inspiration, the true key to success lies in a deeper examination of your leadership and organizational culture.

    Organizational culture is not just a concept; it’s embodied by every member of your staff and guided by leadership. Though it may seem difficult to assess, several indicators, such as attrition and engagement rates, will help determine whether your work culture is positive or negative.

    What Is Organizational Culture?

    Organizational culture is the “personality” of your workplace, and effective workplace culture and leadership go hand in hand. It’s the shared set of values, beliefs, attitudes, customs, and behaviors that characterize how individuals within your organization interact with each other, as well as how they interact with external stakeholders such as customers, suppliers, and the community.

    Organizational culture heavily impacts the success of your business. Companies with positive cultures report a 72% higher employee engagement rate than companies with dysfunctional or negative cultures. This shows the powerful connection between employee engagement and organizational culture. A poor culture can lead to staffing, morale, and employee satisfaction issues, which can bleed over into productivity lapses that impact your bottom line.

    The good news is that organizational culture is not static; it can evolve and change over time due to various factors, including leadership changes, market condition shifts, mergers and acquisitions, and deliberate efforts to change the culture. Having a poor organizational culture doesn’t mean your business is doomed. There are tools you can implement that can make significant shifts throughout your business. The key is to remain vigilant.

    Why Does Organizational Culture Matter?

    Companies that prioritize workplace culture and leadership see tangible results: greater resilience, lower burnout, and reduced attrition. Beyond performance, a positive culture also saves time and money by reducing recruiting costs and improving retention. In today’s competitive job market, culture can even outweigh compensation—nearly half of the US workforce would accept a lower-paying role at a company with a healthy culture over a higher-paying job at one with a poor culture. By cultivating a supportive, values-driven environment, you enhance employee well-being, strengthen engagement, and gain a lasting strategic advantage.

    What Makes a Good Organizational Culture? 

    A strong organizational culture fosters a positive work environment, encourages collaboration and innovation, and promotes the well-being of its employees. Fundamental elements that contribute to an excellent organizational culture include:

    Respect and trust

    Respect and trust go hand in hand. You can demonstrate both by regularly recognizing employees’ efforts and actively seeking their thoughts and input. Implementing workplace flexibility, which allows employees to set their schedules, work remotely, or offer unlimited time off, is another way to demonstrate respect and trust. This empowerment not only strengthens the bond between employees and your organization but also promotes a sense of autonomy and accountability that can lead to enhanced productivity and job satisfaction.

    Accountability

    A culture of accountability is a fundamental aspect of any successful organization. It extends to everyone in your company as individuals are held responsible for meeting their commitments. This fosters a sense of responsibility and trust among employees and across teams. When everyone is accountable for their own contributions, it promotes a healthy work environment where people can rely on each other to deliver on their promises. This, in turn, leads to increased efficiency, improved teamwork, and a greater likelihood of achieving organizational goals.

    Psychological safety

    Psychological safety in the workplace is vital to fostering a culture where innovation can thrive. Employees should feel empowered to take risks and get rewarded for generating new ideas that align with company objectives. Psychological safety requires your leadership to create an environment where open and honest feedback is not only encouraged but valued, regardless of whether it’s from team member to team member, from team member to manager or leader, or vice versa. Cultivating these safe spaces enables employees to voice their concerns and share their ideas freely while fostering positive relationships. This, in turn, contributes to higher employee engagement and overall job satisfaction. 

    Alignment with business objectives

    A strong culture has a clear set of values and a well-defined mission that guides the organization’s purpose and direction. Regularly communicating your values and mission to all employees through various channels is an important leadership task. Use company meetings, internal newsletters, intranet platforms, and other communication tools to reinforce these messages.

    Empowerment and development

    A high-performing culture is achieved by making strategic investments in your team. This involves prioritizing professional development, providing training opportunities, and recognizing and rewarding employees for their valuable contributions and achievements. When your team senses that leadership is invested in their growth and well-being, it naturally boosts employee engagement and organizational culture alignment. Empowered employees who feel supported by leadership are more inclined to go the extra mile and exhibit resilience in the face of challenges. This empowerment ultimately contributes to enhanced overall performance within the organization. Creating and maintaining a good work culture requires consistent effort and attention. While some universal principles can serve as a solid foundation for a healthy and productive work culture, customization to fit your organization’s specific needs and values is crucial. Regularly assess your employees’ needs, engagement, and productivity levels to determine which areas need attention.

    How Leadership Shapes Organizational Culture

    Leaders play a crucial role in shaping the culture of your organization. They ensure your employees understand your company’s mission, vision, and purpose and how their individual roles contribute to your business’s success. In addition, leaders act as beacons during challenging times or moments of distress. How you and your managers respond in high-pressure situations will significantly influence your team’s reactions. Put simply, whatever behavior your leadership engages in, positive or negative, your staff will follow suit.

    Leaders can effectively influence organizational culture through a few core principles:

    • Integrity: Leaders must align words with actions. For instance, if you claim to trust your staff but micromanage or redo their work consistently, your words and actions don’t match, which can lead to a frustrated and disengaged staff.
    • Fair treatment: Cultivating a culture of engaged employees necessitates setting aside any favoritism. While it’s important to recognize and reward good behavior and accomplishments, it’s equally crucial to prevent the formation of exclusive cliques within your organization.
    • Approachability: When your staff recognizes you as a dependable resource for support or guidance, they will be more likely to come to you with innovative ideas. Being approachable helps your team trust that you’ll take their thoughts, concerns, or issues seriously, which can significantly impact their overall engagement and job satisfaction.
    • Humanizing employees: Humanizing your staff is not only common sense but also crucial for building the rapport critical to a positive work culture. Treat your employees as individuals with unique backgrounds and aspirations. Taking a genuine interest in their well-being demonstrates that you care about them as people.

    These core ideas should guide you and your leadership team’s actions and behaviors, which the rest of your staff will adopt.

    HR Audits

    Assessing your company culture is no easy feat. Partnering with a professional employer organization (PEO) like GMS can help.

    Through our human resource audits, we can help you identify strengths, weaknesses, and strategies to improve your organizational culture. As your company grows, HR audits for company culture ensure leadership and employees remain aligned with your strategic goals.. Contact us today, and let us help you reach your business goals! 

  • Your staff is your most vital asset when it comes to running a successful business. Investing in them is a no-brainer. However, finding the most effective ways to do so is a little more complicated. Incorporating a mentorship program as part of your employees’ professional development offers one highly effective way to help them achieve their career goals and unlock their full potential.

    Mentorship programs can come in many different forms, but to maximize the benefits, you must customize the program to align with your unique goals and the needs of your staff. There are several components to consider when building a mentorship program. However, before we delve into those aspects, let’s first explore some of the advantages.

    Why Mentorship Is Important

    Employee development programs prioritizing mentorship are some of the most effective ways of helping employees develop and achieve their goals while prepping them for the skills needed in the future. In fact, employees who have mentors are promoted five times more often than their counterparts.

    Mentorship is an incredible catalyst for personal and professional growth. It connects individuals with experienced leaders who provide invaluable knowledge and support. Through mentorship, individuals clarify their goals, gain fresh perspectives, and learn from the mistakes and triumphs of those who have walked similar paths. This transformative relationship empowers mentees and allows mentors to give back to their communities and industries, fostering a legacy of growth and development.

    Moreover, mentorship is not a short-term engagement; it often leads to long-lasting relationships. The bonds formed between mentors and mentees often extend beyond the mentorship period, providing a reliable support system and a sense of belonging.

    To determine the most suitable arrangement for your team, it’s crucial to assess their interests and individual goals and continually refine the program as you go. 

    What Makes Mentorship Effective?

    In short, mentorship helps find and unlock unused potential. Mentors can identify and nurture talents often overlooked in the day-to-day environment. In addition, they can help affirm and encourage employees, enhance their self-confidence, and enable them to take on more responsibilities or expand their comfort zones. This, in turn, assists in the overall productivity of your business; engaged employees are more efficient and likely to stay on long-term.

    Other factors that contribute to its effectiveness include the following:

    • Develop communication skills. Mentorship fosters the development of practical communication skills. Mentors provide mentees with the opportunity to articulate their thoughts, ideas, and goals. This practice in communication helps individuals express themselves more clearly and persuasively, a vital skill in any professional setting.
    • Helps employees overcome obstacles. Mentors play a crucial role in assisting mentees in overcoming obstacles. They offer advice based on their own experiences, helping mentees navigate setbacks, problem-solve, and persevere in the face of adversity.
    • Broadens perspective. Mentors often have diverse experiences and backgrounds, which can broaden mentees’ horizons and encourage them to think beyond their immediate circumstances. This broader outlook can lead to innovative solutions and more effective decision-making.
    • Accountability. Effective mentorship often includes setting goals and objectives. Mentors help mentees define clear milestones and hold them accountable for progress. This accountability encourages individuals to stay focused and motivated, driving their personal and professional growth.
    • Continuous learning opportunities. Mentorship promotes a culture of constant learning. Mentees are encouraged to seek knowledge and feedback and adapt to changing circumstances, fostering a growth mindset that benefits both individuals and your organization.

    Nine Steps To Build A Mentorship Program

    Building a mentorship program can be a rewarding and valuable endeavor for any organization. Not only will it support your staff in meeting their individual goals, but it’s also a great tool to assist with engagement and retention efforts.

    To build an effective mentorship program, consider the following steps:

    1. Define purpose and goals: Clearly outline the objectives of your mentorship program. What do you hope to achieve through the mentoring relationship? Examples include career development, skill enhancement, or fostering a sense of community.
    2. Identify stakeholders: Determine who will be involved in the program, including mentors, mentees, program coordinators, and other relevant parties.
    3. Establish structure: Decide on the program’s format, including the duration, frequency of meetings, and the number of participants.
    4. Recruit mentors and mentees: Reach out to potential mentors and mentees within your organization or community. Ensure mentors have the expertise and willingness to commit to the program.
    5. Training and orientation: Provide training and orientation sessions for mentors and mentees. This should cover program expectations, communication guidelines, and relevant skills or knowledge.
    6. Pair mentors and mentees: Carefully match them based on their goals, needs, and compatibility. Consider factors such as experience, industry, and personality.
    7. Set SMART goals: Encourage mentors and mentees to set specific, measurable, achievable, relevant, and time-bound (SMART) goals for their mentorship relationships.
    8. Track progress: Regularly check in with both mentors and mentees. Establish checkpoints where both parties can report their progress or ask for assistance.
    9. Iterate: Once you’ve established your program, collect participant feedback and use it to adjust future rounds of mentorships.

    Mentorship programs are incredible tools to engage your staff. Not only do they offer growth opportunities for each participant, but they are a great way to showcase your investment in your team. Employees who feel valued and supported tend to report higher levels of job satisfaction and are more likely to stay with your organization, contributing to higher retention rates.
    All in all, mentorship programs can be a valuable addition to your employee investment strategy.

    How GMS Can Help

    Between ongoing training and employee recruitment services, finding, hiring, and developing the right people for your organization takes time and effort. Professional employer organizations (PEOs) like GMS give you access to the tools and resources necessary to take on these responsibilities while improving your overall recruiting, hiring, and training efforts.

    Our learning management system is a web-based platform that can implement and monitor a learning process. Employee education is a tremendous opportunity for businesses trying to onboard new hires, tap into their workers’ potential, and support their teams. A learning management system allows employers to streamline and optimize the education process.

    Of course, it takes more than just software to maximize your business’ education efforts. Partnering with a PEO gives businesses access to cutting-edge technology and expert support so that your employees are set up to succeed. Contact us today to learn more about our services!

  • In the current HR landscape, one topic that’s generating substantial buzz is pay transparency. State and local governments are increasingly pushing organizations to open up about their pay practices when posting jobs and to regularly report on these practices. However, even beyond compliance requirements, many forward-thinking organizations voluntarily embrace pay transparency as a fundamental aspect of their HR strategy.

    This shift towards transparency, while commendable, poses significant challenges, especially for large organizations with intricate pay structures. Thankfully, technology is emerging as a vital ally in this endeavor, offering a range of benefits that go beyond just ensuring compliance.

    The Moral Imperative Of Pay Equity And Transparency

    In a job market characterized by fierce competition for talent, candidates hold a significant amount of power. They are not just seeking employment; they are seeking the right fit for their skills, experience, and financial expectations. When organizations are transparent about pay ranges, they empower candidates with essential information to make informed decisions.

    From a recruitment perspective, it makes sense to be transparent about pay ranges. One of the primary benefits of pay transparency during the recruitment process is the efficiency it brings. Without clear pay information, candidates may invest time and effort in pursuing job opportunities only to discover later in the process that the compensation offered falls short of their expectations. This can result in wasted resources for both the candidate and the hiring organization.

    Candidates who have access to pay ranges upfront can quickly assess whether the salary aligns with their financial goals and expectations. As a result, candidates who are genuinely interested in the position and its compensation are more likely to apply, streamlining the recruitment process.

    Furthermore, technology enables organizations to maintain internal and external pay equity effortlessly. Technology streamlines what was once a time-consuming and manual process. However, it’s not just about the numbers; it’s about the actionable insights derived from them.

    Choosing The Right Vendor

    Selecting the right technology vendor is a critical decision. It’s essential to consider a vendor’s platform robustness and expertise in the pay equity domain. A reputable vendor offers tools for evaluating pay and opportunity gaps and provides guidance on changing legislation and best practices.

    It’s critical for business owners to have a clear understanding of the problem they want the platform to solve and what kind of HR and business knowledge they’re seeking through analytics. Involving various groups within the organization, such as legal, HR, and business leaders, can help define the vision for pay equity.

    Unlocking Pay Equity With A PEO

    Partnering with a professional employer organization (PEO) can be a game-changer in navigating the complex terrain of pay transparency and equity. PEOs are well-versed in HR best practices, compliance requirements, and cutting-edge technology solutions. At GMS, a certified PEO, we provide support in implementing transparent pay practices, from crafting fair compensation structures to leveraging advanced HR technology for real-time data insights. By partnering with GMS, businesses can streamline their HR processes and ensure that they stay ahead in the quest for pay equity, ultimately fostering a culture of transparency and fairness that attracts top talent and propels their success in the competitive business landscape. Interested in learning more? Contact us today to learn more.