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  • Every company needs a strong human resources (HR) department to operate effectively. Managing HR responsibilities can quickly become overwhelming, involving audits, compliance tasks, resolving workplace issues, recruiting, and much more. Proper HR management is the key to a successful business, but it can also be complicated and overwhelming.  

    Handling HR tasks can be exhausting, especially for managers and business owners with little to no expertise or experience in the subject. The risk of improperly handling HR responsibilities can be stressful, lead to potential fines, and disgruntled employees. This risk is one of the reasons that small to midsize businesses outsource their HR tasks to third-party companies.  

    What is HR Outsourcing 

    Human resources outsourcing involves delegating some or all HR functions, such as payroll administration, benefits management, recruitment, compliance, and employee relations, to a third-party. Outsourcing enables organizations to streamline operations, reduce administrative workloads, and access specialized expertise without breaking the bank. 

    HR outsourcing can take various forms. For example, a business might choose to outsource specific tasks, like background checks or benefits administration, or partner with a full-service provider that manages all HR processes from start to finish. As a result, your team can lighten their workload and prioritize strategic initiatives such as talent development and business growth.  

    Signs It’s Time to Outsource HR 

    Payroll mistakes 

    Payroll is a complicated back-office task that takes time away from focusing on other business objectives and has a greater risk of user error. Many businesses lack the necessary software or processes to automate their payroll, forcing them to manually calculate gross pay, deductions, garnishments, and overtime for each paycheck. And for companies with multiple employees, this can quickly snowball into an array of spreadsheets, leading to a greater risk of miscalculation and incorrect filings.  

    If you frequently misfile paychecks or miss deadlines, it may be time to consider outsourcing your HR responsibilities to a third-party administrator. These companies have access to teams of experts who can properly calculate paychecks, ensure proper filing, and streamline the process by implementing automated payroll software. 

    More workplace accidents 

    Operating an unsafe workplace can have numerous consequences in the short and long-term. Working in a hazardous environment leads to a greater risk of accidents occurring. Accidents like slips, trips, falls, improper equipment use, sprains, and more are preventable with the right safety process and procedures in place. If you find yourself falling behind in inspections, failing audits, and swimming in workers’ compensation claims, it may be time to consider utilizing an outside resource like a professional employer organization (PEO).  

    PEOs like Group Management Services (GMS) can help educate your employees on proper safety procedures, help your business develop processes to ensure consistency and safety around the workplace, and conduct safety audits to help you identify potential hazards. Creating a safe work environment greatly improves productivity, employee trust, and your company’s reputation. Investing in safety improves your business efficiency, workplace culture, and saves you time and money, improving your company and its efficiencies in the long run.  

    Higher employee turnover 

    Managing, recruiting, and retaining employees is an important HR responsibility. Ensuring that employees are happy, feel cared for, and are compensated well often leads to higher retention rates. The happier employees are, the more likely they are to stay at your company. Workplace culture and everyday processes matter a great deal to your retention rates. The better your retention rate, the less you have to spend on recruitment and hiring costs.

    If your employee engagement and retention rates are tanking, it could be a sign that you can’t handle it all alone. Implementing retention strategies, interviewing potential employees, and recruiting them is a lot for one person to handle. By outsourcing these tasks, you can save time and money, allowing you to focus more of your focus and funds on business growth.  

    PEOs like GMS utilize their recruitment teams to conduct phone interviews, post job listings on top job boards, and review resumes. You still hold the power to hire or fire whoever you want, but the third-party does most of the legwork. 

    A Valuable Partnership 

    HR responsibilities are crucial for the success and efficiency of any company, but they can become increasingly complex as a business grows. When administrative tasks start consuming valuable time, increasing the risk of errors and workplace challenges, partnering with a PEO can provide a strategic advantage. 

    Outsourcing HR functions can provide the expertise and structure necessary to ensure smooth operations. An HR partnership can help organizations reduce risks, improve employee satisfaction, and enable internal teams to focus on long-term strategy and business growth. By identifying potential issues early and utilizing the support of experienced professionals, businesses can enhance their HR practices, protect their workforce, and position themselves for sustainable success.  

    GMS can assist your company in building a strong safety program, implementing employee retention strategies, and consulting on operational changes. GMS serves as a partner for your business, guiding your decisions and providing expertise across your HR and back-office responsibilities. If you would like to learn more, click here! 

  • Colorado is the first state to offer employees paid leave to care for a hospitalized infant in the neonatal intensive care unit (NICU). This law went into effect on January 1 of this year and allows eligible employees to take paid leave to support a newborn or an infant receiving intensive care. This new benefit, Neonatal Care Leave, was created through Senate Bill 25-144 and expands the state’s existing Family and Medical Leave Insurance (FAMLI) program. While this legislation is groundbreaking for parents and qualifying employees, it comes with various implications that business owners need to understand.

    Family and Medical Leave Insurance 

    FAMLI is a government program that ensures Colorado workers have access to paid leave to care for themselves or their family during certain life events. Paid leave through FAMLI has been available since January 1st of 2024. Eligible Colorado employees can take up to 12 weeks of paid leave per year in order to: 

    1. Care for themselves or a family member experiencing a serious health condition. 
    2. Make arrangements for a family member’s military deployment. 
    3. Address the safety needs and impact of domestic violence or sexual assault. 
    4. To bond or care for a new child, including fostered or adopted children. 

    FAMLI Vs. FMLA 

    FAMLI and the Family and Medical Leave Act (FMLA) are similar pieces of legislation that focus on job-protected sick leave. While they are similar, there are notable differences that Colorado business owners need to be aware of. For example, FMLA is unpaid, job-protected leave, while FAMLI is paid, job-protected leave. Employees are eligible for FAMLI from the first day of employment if they meet the wage requirement, while FMLA only allows employees who work a certain number of hours before providing leave. Finally, FMLA is a federal law, meaning it applies to the entire country, while FAMLI applies to Colorado employees only.  

    Neonatal Care Leave Overview 

    Neonatal Care Leave is a new and additional type of paid leave under the FAMLI leave law. This leave allows eligible employees to take up to 12 weeks of paid time off while their newborn is receiving inpatient treatment in a NICU or a higher level of neonatal care. This leave only lasts the duration of the child’s NICU stay. Neonatal Care Leave is available to a broad range of caregivers, including biological, adoptive, step, and foster parents. 

    Eligibility extends to parents whose infants were born before January 1, 2026, as long as the child remains hospitalized in a NICU on or after the law’s effective date. 

    How Neonatal Care Leave Fits Within FAMLI 

    Neonatal Care Leave isn’t the only type of leave parents can utilize for paid leave. Under FAMLI, eligible employees can qualify for:   

    1. 12 weeks of Neonatal Care Leave (while the infant is hospitalized) 
    2. 12 weeks of bonding leave after the child is discharged 
    3. Up to four additional weeks if the birthing parent experiences pregnancy or childbirth complications 

    As a result, some employees may be eligible for up to 24–28 weeks of paid FAMLI leave in connection with the birth of a child requiring NICU care.  

    What Employers Should Do Now 

    Employers in Colorado, or those with employees in Colorado, should take proactive steps to ensure compliance with the Neonatal Care Leave policy. These steps could include updating employee handbooks and company leave policies to reflect these regulatory changes. Employers could also provide training and education for employees, so they understand their rights, the policy details, and eligibility requirements. Colorado employers should also consider working with a third-party partner to assist and consult on Neonatal Care Leave compliance efforts. 

    A First-in-the-Nation Policy With Broader Implications 

    For families facing the stress of a NICU stay, the new law provides meaningful financial stability and time to focus on their child’s health during a critical period. Colorado’s Neonatal Care Leave underscores the state’s commitment to supporting working families during some of their most challenging moments.  

    Group Management Services (GMS) can help Colorado business owners navigate Neonatal Care Leave and FAMLI obligations by providing expert guidance, HR support, and compliance assistance. GMS acts as a partner in compliance, HR, employee management, and business efficiency by consulting on regulatory changes, updating employee handbooks, and hosting training sessions on new laws. Employers should take action now and review existing leave policies, educate their teams, and partner with a trusted HR expert like GMS to ensure they are fully compliant and prepared for this expanded leave benefit. Take your first step towards compliance with GMS. Contact us today!  

  • Running a business comes with many responsibilities. From payroll and compliance to employee benefits and risk management, every task takes time and energy. When you simplify these processes, you create space to focus on strategy growth and your core business operations. 

    A professional employer organization (PEO) like Group Management Services (GMS) can help streamline your essential business functions by centralizing administrative tasks, reducing manual work, and helping your business operate more efficiently. 

    Here are practical ways a PEO can simplify your business and why partnering with GMS gives you a competitive edge. 

    Streamline Payroll 

    Managing payroll manually with spreadsheets or disconnected tools like Excel or QuickBooks is time-consuming, error-prone, and costly. A PEO centralizes payroll using integrated software, which automates wage calculations, direct deposits, and tax filings. 

    GMS’ payroll solution processes payroll in minutes and handles all tax compliance tasks, reducing manual data entry and the risk of errors and penalties. This ensures your team is paid accurately and on time while freeing your business leaders from administrative headaches.  

    Go Paperless With an HRIS 

    Paper-based processes slow HR operations and make managing employee records and pay stubs more difficult than they need to be. With a Human Resources Information System (HRIS), you can centralize employee data, benefits enrollment, and payroll in a single online platform. 

    GMS offers GMS Connect, a secure cloud-based HRIS that consolidates payroll, HR, and benefits data into a single system, giving you real-time visibility and easy access to employee information. Moving to a digital system simplifies record keeping, reduces errors, and eliminates filing cabinets full of paperwork.  

    Reduce Workers’ Compensation Claims 

    Workplace accidents disrupt productivity and increase insurance costs. A PEO brings safety expertise and structured risk management that helps reduce claims and lower premiums. GMS supports your company with safety program development, audits, and compliance support, giving you proactive protection and a safer work environment. 

    Avoid Compliance Fines 

    Employment laws, tax codes, and workplace safety regulations change often. Staying compliant can feel overwhelming, but failing to do so can lead to costly fines. PEOs maintain compliance expertise, so you don’t have to. 

    GMS professionals monitor changing regulations, update your policies, and assist with compliance requirements, reducing your legal risk and burden.  

    Simplify Benefits and Offer Better Coverage 

    Managing employee benefits can be costly and complex. A PEO makes it easier and more affordable. 

    Access Affordable Group Health Insurance 
    GMS’ group health plan delivers customizable coverage at competitive rates, with access to an extensive national provider network. Businesses save on premiums while offering comprehensive benefits. 

    Streamline Benefits Administration 
    GMS simplifies the entire process: 

    1. Enrollment support and employee education 
    2. Claims management assistance 
    3. Consolidated billing and eligibility tracking 
    4. Online self-service tools for employees 

    This reduces HR workload and ensures quick answers for employees. 

    Offer Fortune 500-Level Benefits 
    Small businesses gain access to high-quality benefits at affordable rates that rival those of large corporations. This helps attract and retain top talent in a competitive job market. 

    Measurable Impact of PEO Partnerships 

    Working with a PEO not only simplifies your processes but also improves business outcomes. Research from the National Association of Professional Employer Organizations (NAPEO) shows that businesses using a PEO: 

    1. Grow seven to nine percent faster than those that do not grow without a PEO. 
    2. Experience 10 to 14 percent lower employee turnover. 
    3. Are 50 percent less likely to fail over time.  

    Simplifying your business processes is essential for growth and sustainability. A PEO like GMS helps you streamline payroll, go paperless, improve safety, reduce compliance risk, and offer better benefits administration, including cost-effective group health plans. 

    By partnering with GMS, you can provide high-quality benefits that attract and retain employees while freeing up your internal team to focus on your core business. Simplification leads to stronger operations, better employee experiences, and long-term success. Interested in simplifying your business in 2026? Get in contact with us today

  • Numerous government organizations are dedicated to ensuring workplace safety, maintaining proper labor standards, and overseeing business operations. Among these, the Department of Labor plays a crucial role for all businesses by prioritizing and developing laws on proper labor procedures, workplace safety, employee health benefits, workers’ compensation policies, and more. Understanding how this organization operates and the importance of complying with its laws is essential to successfully managing a growing and compliant business. 

    What is the Department of Labor?

    The Department of Labor (DOL) is a federal agency that focuses on employees by writing and enforcing policies to improve and protect employee rights and worker safety. All DOL policies are developed to improve working and employment conditions for employees and are administered by an elected leadership team on a yearly budget.  

    Importance of the DOL 

    The DOL is responsible for enforcing over 180 federal laws that are crucial to the safety and health of millions of workers. Its authority includes regulations related to labor unions, workers’ compensation, wage garnishment, and veterans’ rights. The DOL’s expertise spans the entire country and a wide range of industries, making it an essential component of the American business landscape. 

    Among the most significant laws that the DOL is tasked with creating and enforcing are the Fair Labor Standards Act (FLSA), the Occupational Safety and Health Act (OSH Act), and the Federal Employees’ Compensation Act (FECA). Without organizations like the DOL, workers would lack the rights and opportunities they enjoy today, and there would be no programs such as the Occupational Safety and Health Administration (OSHA) to protect them. 

    Ways to Ensure DOL Compliance 

    Laws are continually changing, so business owners must stay informed about any law updates or new laws. Since the DOL oversees various industries and pieces of risk management and human resources (HR) functions, it can be challenging for business owners to effectively implement changes and educate their employees about new policies. 

    Stay up to date on current law changes and regulations 

    Depending on the industry you work in, regulatory law changes can be constant or a rarity. Regardless of frequency, staying informed about updates that could affect your business, industry, or employees is essential. To keep up, consider subscribing to official government email alerts or following reliable sources online. Regular reminders about potential changes will help you stay informed, adapt quickly, and implement new policies as needed. Staying current on labor news also reduces the risk of costly penalties from noncompliance or safety issues.  

    Prioritize documentation and employee information 

    To reduce the risk of non-compliance and accompanying penalties, proper documentation should be a priority. Business owners should take great care in protecting employee information, including social security numbers, direct deposit account numbers, birthdates, and more.   

    Employers should also document past workplace injuries, disciplinary actions, or behavioral warnings; to keep a record of past discrepancies and to have them on record, just in case another incident occurs. Proper documentation also makes it easier to pull out relevant information for authorities in case of a surprise audit by OSHA or another federal agency.  

    Educate employees on policies and procedures 

    Proper education is a great way to lower the risk of accidents, injuries, and noncompliance. Schedule monthly or quarterly educational sessions to keep employees up to date on any regulatory changes that impact their employment or benefits. Employers should also hold company-wide meetings to explain any changes to company policies or procedures. This ensures that your workforce understands current procedures and can follow them.  

    Work with experts 

    Compliance isn’t an easy responsibility for business owners to tackle, but it’s imperative to the long-term success of your company and employee retention. Some weeks, there are dozens of new bills that are signed into law, which isn’t easy for a business owner to keep track of on their own. That’s why working with compliance experts or HR partners can help reduce employee risk and non-compliance fees. A third-party company like Group Management Services (GMS) can assist your employees with benefits administration, answer workers’ compensation questions, and consult on HR tasks such as employee handbook development, performance review assistance, new labor policies, and beyond.  

    A Compliance Partner 

    Ensuring company-wide compliance isn’t something that business owners can do on their own. Regulatory compliance is an intricate web that can get confusing quickly. Luckily, professional employer organizations (PEOs) like GMS can offer businesses a helping hand.  

    GMS’ team of HR experts assist you in navigating local and state laws, as well as compliance requirements. They can help you prepare essential documentation, create a communication plan to inform everyone about changes in the law, and provide guidance on best practices to ensure compliance and safety. GMS’ safety team can also conduct safety audits, develop safety plans, and conduct risk management training for your employees. Compliance with important regulatory organizations like DOL or OSHA is extremely important when it comes to running a business. Stay one step ahead of noncompliance fines with the help of GMS. Learn how GMS can help your company stay compliant here.  

  • For many business owners, partnering with a professional employer organization (PEO) can raise questions and misconceptions. Myths about control, cost, and risk often prevent businesses from exploring solutions that could actually simplify operations and support long-term growth. The reality is that a PEO is designed to strengthen your business, not replace it. 

    Let’s break down some of the most common PEO myths and uncover the facts business leaders should understand before deciding whether a PEO partnership is right for them. 

    Myth 1: A PEO Takes Control of Your Business 

    One of the most common misconceptions is that partnering with a PEO means giving up control. In reality, business owners maintain full authority over daily operations, company culture, and strategic decision-making. 

    A PEO operates under a co-employment relationship, which allows the PEO to handle administrative human resources (HR) responsibilities such as payroll processing, benefits administration, and compliance support. You remain in charge of managing your workforce and running your business. The PEO simply works behind the scenes to support those efforts. 

    Myth 2: A PEO Controls Hiring and Termination Decisions 

    Some business owners worry that a PEO will dictate who they can hire or fire. This is not the case. All hiring, promotion, and termination decisions remain solely with the business owner. 

    While a PEO may provide guidance on best practices, onboarding support, and compliance considerations, the final decisions always rest with your leadership team. The goal is to help ensure that decisions are well-documented and compliant, not to make them for you. 

    Myth 3: PEOs Are Only for Large Companies 

    PEOs are often assumed to be a solution only for large organizations, but small and midsize businesses frequently see the greatest impact from a PEO partnership. 

    Many growing businesses lack dedicated HR staff or the resources to keep up with changing employment regulations. A PEO helps level the playing field by giving smaller organizations access to experienced HR professionals, modern technology, and Fortune 500-level employee benefits that would otherwise be difficult to secure. 

    Myth 4: Partnering With a PEO Is Too Expensive 

    While partnering with a PEO does involve a service fee, the cost is often offset by savings in other areas. Businesses may reduce expenses related to benefits administration, payroll errors, compliance penalties, and workers’ compensation claims. 

    Beyond direct savings, a PEO can also deliver value by reducing administrative burdens, allowing leadership teams to focus more time on growth, productivity, and employee engagement. When viewed holistically, many businesses find that a PEO partnership delivers a strong return on investment. 

    Myth 5: A PEO Negatively Impacts Company Culture 

    Some business owners fear that outsourcing HR functions will make their company feel less personal. In practice, the opposite is often true. 

    By offering better benefits, clearer policies, and structured HR support, a PEO can enhance the employee experience. When HR processes run smoothly and employees feel supported, businesses are better positioned to build a positive and consistent workplace culture that reflects their values. 

    Myth 6: Co-Employment Creates More Risk for Employers 

    The term co-employment is often misunderstood. Rather than increasing risk, it is designed to help reduce it. 

    In a co-employment relationship, the PEO assumes responsibility for many HR related administrative and compliance functions, including payroll tax filing and benefits administration. This added layer of expertise helps businesses stay compliant with employment laws while maintaining full control over business operations and employee management. 

    Understanding the Real Value of a PEO 

    When the myths are stripped away, the benefits of a PEO become clear. PEOs offer businesses HR expertise, compliance assistance, employee benefits, and technology to manage their workforce more efficiently and minimize risks. 

    Rather than replacing internal leadership or culture, a PEO strengthens your foundation, enabling your business to grow with confidence and stability. 

    Partner With GMS  

    PEOs like GMS offer a range of benefits while saving you time and money in the long term. Over the past 25+ years, GMS has helped over 3,500 companies manage their HR functions. As HR experts, we take on the administrative burdens that companies don’t have the time or expertise to manage effectively, including: 

    1. Payroll and tax 
    2. Human resources 
    3. Employee benefits 
    4. Risk management
    5. Benefits administration 

    Contact us today to talk to one of our experts about how a PEO can support your company! 

  • As businesses look to grow in 2026, one strategic advantage that is becoming increasingly important is outsourcing human resources (HR) functions. More companies are turning to professional employer organizations (PEOs) to help streamline administrative processes, improve employee satisfaction, and support sustainable growth. By partnering with an expert HR provider like Group Management Services (GMS), business owners can focus on driving their core mission forward while we handle the rest. 

    Why HR Outsourcing Is a Growth Engine 

    Outsourcing HR through a PEO is more than a convenience. It is a proven business growth engine. Today, more than 200,000 businesses across the United States partner with a PEO for HR related services, including payroll, benefits, compliance, and risk management. 

    The numbers speak for themselves: companies that work with a PEO experience significantly better outcomes compared to those that manage HR entirely in-house. According to research from the National Association of Professional Employer Organizations (NAPEO), businesses using PEO services grow twice as fast as those that don’t, have 12% lower employee turnover, and are 50% less likely to go out of business than their non-PEO counterparts.  

    In addition to improved survival rates, PEO clients often enjoy: 

    1. More consistent and competitive benefit offerings for employees 
    2. Centralized payroll and compliance support 
    3. Cost savings and increased profitability overall  

    This support enables small and midsize companies to compete more effectively and grow confidently. 

    How Outsourcing HR Relieves Administrative Burdens 

    One of the biggest challenges for business owners is keeping up with the constant administrative workload that comes with HR. Tasks such as payroll processing, benefits management, compliance reporting, and workers’ compensation are essential but time-consuming. They also demand specialized expertise that many businesses struggle to maintain internally. 

    When a company partners with a PEO like GMS, these responsibilities are handled by experienced professionals. This allows business leaders to shift their time and energy back to high-value initiatives. HR outsourcing through GMS leads to more accurate payroll, streamlined benefits administration, consistent compliance support, and easier access to answers for employee questions. Instead of juggling paperwork or navigating complex regulations, business owners can focus on growth, innovation, and daily operations with clarity and efficiency. 

    Benefits for Employees Too 

    Outsourcing HR not only helps leaders. It also provides meaningful benefits to employees. Through a PEO partnership, employees gain access to: 

    1. Competitive benefits packages that are often similar to what larger companies offer 
    2. Easier enrollment and better benefit administration 
    3. Consistent payroll and HR support 
    4. Resources that help with questions about benefits, compensation, or workplace policies  

    These improvements help increase job satisfaction and overall retention. In a competitive talent market, the ability to offer strong benefits and dependable support can significantly improve a company’s ability to attract and keep great employees.  

    Client Success Story 

    “Having GMS administer our payroll, health care benefits, workers’ compensation, and assisting with human resources management has enabled us to focus our own resources on our core business of making quality aluminum extrusions. The contacts that I use at GMS are knowledgeable, professional, and provide accurate information in a timely manner.” 

    — Manufacturer 

    This testimonial reflects what many GMS clients experience. With HR experts managing essential functions, businesses regain time, clarity, and confidence to focus on their core mission. 

    Partner with GMS to Scale in the New Year 

    As you plan for the year ahead, consider how outsourcing HR could be a game-changer for your business. Partnering with a trusted PEO like GMS gives you the expertise, infrastructure, and peace of mind to scale without being bogged down in administrative tasks. 

    Ready to see if a PEO is right for you? 

    Schedule a 15-minute conversation and discover how we can help your business grow in 2026 and beyond. 

  • As the end of the year approaches, businesses are reviewing their balance sheets, reflecting on their growth, identifying problem areas, and developing a game plan for 2026. Among the tasks business owners should prioritize completing at the end of the year, performance reviews should be listed at the top. Employees are the lifeblood of a company; checking in with them and monitoring their progress with a performance review is vital to retaining top talent, fostering loyalty, and improving your bottom line. 

    End-of-year performance reviews are an important touchpoint for employers and employees. It’s important to understand how this process benefits your company and the best practices for conducting it. Continue reading to learn more about the benefits of end-of-year performance reviews and how to run them effectively.  

    Introducing Performance Reviews 

    An end-of-year employee performance review is an evaluation of an employee’s performance throughout the year. While the metrics for a successful year depend on the individual, the purpose of these reviews is to help the employee and employer discuss topics ranging from job performance, training, areas for improvement, and career development. These reviews are also great times for employees to discuss compensation, potential promotions or raises, and to strategize for the upcoming year. 

    Benefits of an end-of-year performance review 

    Performance reviews provide a variety of benefits to the entire company. They can: 

    • Build a workplace culture that prioritizes employee growth 
    • Clarify employee expectations and objectives 
    • Foster greater communication across management levels 
    • Improve employee engagement and productivity 
    • Provide personalized guidance on career development 
    • Clarify job expectations 
    • Improve morale 

    Best Practices for Conducting Performance Reviews 

    Prepare thoroughly

    To effectively conduct a performance review, preparation is essential. Gather data from the past year; this data can include peer feedback, the employee’s previous goals, past performance reviews, and self-evaluations. Then, based on that data, develop important talking points for the meeting and make notes on the most important points to discuss.  It’s also key to schedule time at the end of the meeting for employee questions and concerns. 

    Prioritize open communication 

    During the review, encourage your employees to share their perspectives and the challenges they’ve faced this year. Hearing their point of view can strengthen your relationship and allow you to gain a stronger understanding of their strengths, weaknesses, and future goals.  

    Set goals 

    One of the main objectives of conducting end-of-year performance reviews is to track an employee’s professional progress from the beginning to the end of the year. But an equally important objective of these reviews is to plan and set employee goals for the next year. Setting KPIs and goals for the following year acts as a benchmark for progress and professional development.  

    While professional goals differ from employee to employee, they should be specific, actionable, and measurable. By working with your employees on their goals, you can set a precedent for what they should focus on during the next year and help them build a plan for how they are going to achieve them.  

    Maintain regular check-ins

    End-of-year performance reviews are a common process throughout businesses, but you shouldn’t wait until the end of the year to check in with your workforce. By scheduling consistent reviews and check-ins, you foster a culture focused on open communication, employee development, and trust. Employees are also more likely to reach their goals by checking in with their employers and adjusting their benchmarks or KPIs as they see fit.  

    Employee Management Assistance 

    Performance reviews are about growth, communication, and organizational alignment. When approached thoughtfully, they strengthen relationships, enhance productivity, and create a thriving workplace culture. Employees are the cornerstone of a strong and successful company, and by checking in with them, your business is one step closer to overall development and growth.  

    While you may not be an expert in performance reviews, Group Management Services (GMS) can help. With our knowledgeable Human Resources (HR) team, we consult business owners on best practices for employee growth and management initiatives. We can assist with writing employee handbooks, recruitment, employee training, and more. From performance reviews and HR audits to unemployment, GMS can help your business and employees thrive. Learn more about our HR services here!  

  • As 2026 approaches, small business owners face a year of rapid change driven by technology, workforce evolution, and shifting customer expectations. Key trends include the rise of digital customer experiences, accelerated adoption of artificial intelligence and automation, and growing demand for flexible work models. Businesses must also prepare for complex regulatory updates, strengthen cybersecurity measures, and embrace sustainability initiatives to stay competitive. Explore these six critical trends and actionable tips to futureproof your business for 2026. 

    As 2026 approaches, small and midsize business owners are preparing for another year shaped by rapid innovation, evolving workforce expectations, and new economic realities. The businesses that plan ahead now will be better positioned to stay competitive, attract talent, and support long-term growth. 

    Below are the key trends shaping the year ahead and what they mean for employers. 

    1. A Shift Toward Digital Customer Experience 

    Online sales now account for 16.3% of total U.S. retail sales as of Q2 2025. More customers expect seamless online experiences, personalized communication, and a mix of both digital and in-person interaction. Small businesses that fail to meet these expectations risk losing customers to competitors who prioritize convenience, personalization, and speed. 

    Key digital experience trends include: 

    1. More businesses are launching or expanding e-commerce channels 
    2. Growth of subscription or recurring revenue models 
    3. Increased personalization in marketing and customer touchpoints 
    4. Greater integration between online and physical customer experiences 

    Action Tip: Review where your customers interact with your business online. Improving website performance, updating online booking tools, or expanding digital touchpoints can strengthen loyalty and make revenue more predictable. 

    2. Artificial Intelligence (AI) and Automation  

    Artificial intelligence adoption is accelerating across businesses of all sizes. According to the U.S. Chamber of Commerce’s 2025 report on technology adoption among U.S. small businesses, nearly 60% of small businesses now say they use some form of artificial intelligence.  

    Some of the most common uses include: 

    1. Automating repetitive administrative tasks like scheduling, payroll processing, and data entry 
    2. Enhancing customer service through chatbots and automated responses 
    3. Improving human resources (HR) processes, including recruiting, onboarding, and performance tracking 

    Small businesses that adopt AI tend to outperform peers relying on traditional methods. These businesses often report increased operational efficiency, reduced costs, and the ability to offer services and responsiveness more typically associated with larger firms.  

    Action Tip: Identify tasks in your business that are repetitive, time-consuming, or require significant manual effort. That’s often where AI or automation tools will deliver the most benefit in 2026. 

    3. Workforce Trends 

    As the labor market continues to shift, 2026 will be a pivotal year for how small and midsize businesses think about staffing, talent acquisition, and workforce development. According to Indeed, hiring trends are leaning strongly toward more inclusive, flexible, and candidate‑centered practices, making it essential for businesses not just to fill roles, but to build resilient, growth‑ready teams. 

    Key areas to watch: 

    1. Continued demand for flexible or hybrid work arrangements  
    2. Rising interest in contract, freelance, and seasonal work to manage variable workloads without overextending your team 
    3. A growing need for employee upskilling to keep up with technology and close skill gaps 
    4. Increased competition for skilled workers, particularly in tech-driven roles 

    As hiring challenges continue, small businesses will need strong benefits, consistent communication, and modern HR support to stay competitive. 

    Action Tip: Assess benefits, recruitment, and training strategies for gaps. Employees who feel supported and equipped for change are more likely to stay long term. 

    4. Regulatory Changes Will Grow More Complex 

    With new labor, tax, and benefit regulations on the horizon, compliance remains a top priority for business owners. In 2026, companies may face updates to minimum wage, payroll taxes, retirement plan rules, and workplace safety regulations. 

    Staying compliant is critical not only to avoid penalties but also to build trust with employees and maintain operational efficiency. Businesses increasingly rely on professional partners to manage these areas accurately and efficiently. 

    Key areas to watch: 

    1. Keeping up with state and federal regulatory updates 
    2. Payroll tax compliance  
    3. Pay transparency acts 
    4. Minimum wage and exempt salary thresholds 
    5. Paid leave expansions 
    6. Occupational Safety and Health Administration (OSHA) electronic injury reporting 
    7. And much more 

    Action Tip: Conduct a compliance audit and partner with experts to simplify processes and reduce risk in 2026. 

    5. Cybersecurity and Data Protection  

    As businesses adopt more technology and digital tools, cybersecurity risks increase. Small businesses are often targeted because they may not have robust defenses. Cyberattacks can disrupt operations, damage customer trust, and result in costly fines or lawsuits. In 2026, protecting data, including employee, customer, and financial information, will be essential for maintaining business continuity and reputation.  

    Key areas to watch: 

    1. Regularly update software, firewalls, and network security to stay ahead of evolving threats 
    2. Implementing secure cloud and IT solutions 
    3. Training employees on security best practices, including phishing, password security, and safe use of devices and software 

    Action Tip: Conduct a cybersecurity audit, implement employee training, and explore cyber liability insurance to reduce risk and protect your business in 2026. 

    6. Sustainability  

    Customers and employees increasingly evaluate companies based on transparency, sustainability, and ethical practices. Deloitte predicts that by 2026, sustainability will continue influencing consumer behavior, brand loyalty, and employee satisfaction. 

    Even small initiatives, such as reducing waste, sourcing responsibly, or participating in community programs, can improve brand loyalty and employee engagement.  

    Small businesses can benefit by: 

    1. Reducing waste or energy usage 
    2. Clearly communicating company values 
    3. Creating community involvement or social responsibility initiatives 
    4. Purchasing materials from vendors with responsible practices 

    Action Tip: Choose one achievable sustainability goal for 2026. Small changes can improve brand perception and strengthen customer trust. 

    How GMS Helps Business Owners Stay Ahead of 2026 Trends 

    Navigating these trends can feel overwhelming, but GMS helps businesses stay ahead in every area. We provide: 

    1. Payroll, HR, and benefits support: Simplifying complex processes so owners can focus on growth. 
    2. Compliance expertise: Ensuring your business complies with evolving labor, payroll, and benefits regulations to avoid fines and operational risks. 
    3. Workforce strategy guidance: Helping you design flexible, inclusive, and development-focused workplaces to attract and retain top talent. 
    4. Risk management and cybersecurity support: Offering guidance on protecting sensitive data and exploring solutions like cyber liability insurance. 
    5. Technology adoption and process optimization: Helping you implement tools that boost efficiency, reduce errors, and free your team to focus on strategic priorities. 

    GMS is here to help business owners adapt with confidence and stay ahead of what is coming in 2026. Contact us to learn how we can support your business’s unique needs. 

  • A new year brings the promise of fresh starts, new beginnings, and change. In 2026, there will be numerous updates to laws and regulations that California business owners need to be aware of. These changes will impact paid sick leave, labor laws, garnishments, discrimination, and more.

    California business owners need to stay informed about these changing regulations to understand how they will affect their employees and business operations. Being aware of these upcoming legal changes ensures that your business remains compliant, safe, and employee-focused.  

    California Law Changes and Updates 

    While the list below doesn’t cover all new or updated laws and regulations, the following are essential for business owners to understand because they involve changes to employee labor laws, employer procedures, and compliance. 

    California Assembly Bill (AB) 288 

    Signed into law in September of this year, California AB 288 extends greater protection to employees if the National Labor Relations Board (NLRB) doesn’t act on an unfair labor practice case. An unfair labor practice is defined as any employer action that violates the rights of employees under federal labor law. Common unfair labor practices include threatening employees with job loss if they join a union, excluding employees from meetings, discrimination, and more.  

    If the NLRB doesn’t act on a case in six months, employees can petition the Public Employment Relations Board (PERB) to step in. PERB has the authority to manage union elections, investigate complaints, and enforce labor laws. Employers who break the rules can face fines of up to $1,000 per violation. 

    California AB 406

    California Assembly Bill 406 significantly broadens employee leave protections for victims of crime and legal obligations related to a crime. Although enacted in October of 2025, this law is still relatively new and important for California employers to understand. Employees may use paid sick leave for jury duty or to testify as a witness under subpoena. 

    Beginning January 1st, 2026, the law establishes that employers provide unpaid leave for employees or their family members to attend judicial proceedings connected to certain crimes, including hearings on victim rights or sentencing. Covered crimes include violent and serious felonies, such as domestic violence, stalking, felony theft, embezzlement, and more. Employers are required to educate and notify their employees on their rights regarding AB 406.  

    California AB 692

    Under this new law, California employers cannot include contract terms that require employees to pay penalties or reimburse costs incurred by the employer if the employee leaves the company, or if the employment ends before a specified time period. These contracts are commonly referred to as “pay or stay” contracts, and these are becoming increasingly frowned upon across all industries. Assembly Bill 692, with very few exceptions, says employers will not be able to recover these funds if they paid for the employees training, for a retention bonus, or other employment-related expenses. 

    For best practice, employers should review current employment contracts to ensure compliance with this new law. Carefully review your current policies and retention strategies to ensure they focus on employee health and wellness. This can be one way to retain your top talent, instead of relying on these contract clauses to keep your team and talent at your company.  

    California SB 261

    California’s SB261 expands the authority of the Division of Labor Standards Enforcement concerning wage claims. A wage claim is a legal process that allows an employee to recover wages they believe their employer has illegally withheld. Common reasons for filing a wage claim include employee misclassification, unpaid overtime, and potential violations of minimum wage laws. This law requires that employers who fail to pay wage judgments within 180 days of the appeal period will face penalties of up to three times the outstanding amount.  

    Employers should prioritize prompt payments in all business areas, not only for wages or claims. This practice will help ensure you do not incur unnecessary costs and will safeguard your reputation as a compliant, employee-oriented company. 

    California SB 294

    Beginning in February 2026, California will require employers to provide annual written notices of labor rights to both current and new employees. These notices must include information about immigration inspections, union rights, workers’ compensation benefits, and other relevant topics. Additionally, employers will need to give existing employees the chance to provide an emergency contact in the event of an accident or workplace injury. 

    Employers should send out company-wide written notices before or on February 1st, 2026. They should also make a note to contact their employees and ask them to name an emergency contact. This should be done by March 30th, 2026.  

    California Compliance with Group Management Services 

    Staying on top of state labor laws can be a challenge for California business owners. New or updated regulations are constantly signed into law, making it difficult for businesses to be compliant and act on new standards in a timely manner. Many businesses could benefit by partnering with a third-party company like Group Management Services (GMS) to ensure their compliance with local and state laws. 

    GMS’ team of human resources (HR) experts helps you stay on top of local and state laws and compliance requirements. They can help you provide necessary documentation, develop a communication plan to share law changes, and consult on best practices to ensure compliance and safety.  

    Learn how to stay compliant and discover how you can benefit from GMS’ services here! 

  • Upcoming updates to Pittsburgh’s Paid Sick Days Act will change how employers handle sick leave, payroll, and compliance. Businesses should review policies and train managers now to avoid costly mistakes. Continue reading to learn how these changes could impact your operations.

    The Pittsburgh Paid Sick Days Act (PSDA) requires most employers to provide paid sick leave to employees who perform work within the city. This law is designed to help employees care for their own health and the health of their families without risking their income. Beginning January 1, 2026, amendments will increase the rate at which employees earn paid sick time and raise the maximum amount of leave that can be accrued each year. Because these changes affect how employers track time, update policies, and manage payroll, it is important for businesses to understand what the act requires and how it impacts daily operations. 

    Key Requirements of the PSDA 

    Under the PSDA, employees must be allowed to accrue one hour of paid sick time for every 30 hours worked within Pittsburgh city limits. The amount of leave that can be earned each year depends on the employer’s size. Businesses with 15 or more employees must allow workers to accrue up to 72 hours of paid sick leave per year, while employers with 14 or fewer employees must provide up to 48 hours annually.  

    Employees can use paid sick time for their own medical needs, for a family member’s medical care, for preventive medical appointments, or to care for a child if school or childcare closes during a public health emergency. Sick time can also be carried over to the next year if the employer uses an accrual system. Employers who front-load the full required amount at the beginning of the year may follow separate carryover rules. 

    Implications for Employers 

    These changes mean many businesses will need to review their current paid time off policies to ensure compliance with both the current ordinance and the updates that take effect in 2026. Employers may need to adjust their payroll systems to calculate the new accrual rate and to track employees who work only part of their time within the city. It may also be necessary to modify employee handbooks, train managers on when sick leave can be used, and ensure that sick time is not denied or discouraged.  

    Businesses that operate across multiple municipalities may face additional challenges if different locations follow different sick leave laws, making clear policy language especially important. Noncompliance can lead to formal complaints, investigations, and potential penalties administered by the City of Pittsburgh. 

    Posting and Reporting Requirements 

    Employers must provide employees with clear written notice of their rights under the Pittsburgh PSDA. This notice must be posted in a visible location at the workplace and communicated to employees in a way that explains how sick time is earned, what it can be used for, and how to request it.  

    Employers are also required to document sick time accrual and usage to ensure accurate reporting if a complaint is filed. The City of Pittsburgh provides an online complaint process for employees who believe their rights have been violated, which makes proper documentation especially important for employers. 

    How GMS Can Help 

    Staying compliant with local labor laws can be complex, especially as legislation evolves. Group Management Services (GMS) helps employers manage compliance through human resources (HR) support, policy development, payroll administration, and risk management services. We can review your current sick leave policies, update your handbook language, configure payroll to track accruals, and provide accurate training for managers. Our compliance experts are here to ensure your business is prepared for changes to the Pittsburgh Paid Sick Days Act and other regulations affecting your workplace. With the right support, employers can protect their business, meet legal requirements, and provide meaningful benefits to their employees. 

    If you need support reviewing your policies or ensuring full compliance with PSDA, contact GMS today!