• Despite the ongoing construction boom, the construction industry faces several challenges in today’s economy. There continues to be a shortage of building materials, paired with prices spiking significantly, which drives up project and rebuilding costs – not to mention the cost of labor due to a nationwide workforce shortage. With all those factors paired together, construction costs continue to skyrocket.

    Businesses within this industry are engaged in new construction or reconstruction activities, including the repair or renovation of existing commercial and residential structures, roadways, and bridge construction. The following are typical work activities in the construction industry:

    • Painting
    • Roofing
    • Siding
    • Sheet metal
    • Water well drilling 
    • Installation of flooring
    • Landscaping
    • Sandblasting

    How A PEO Can Help Your Business During These Challenging Times

    Despite these challenges, the construction industry is expected to grow rapidly within the coming years, driven by factors such as urbanization, population growth, and government investment in infrastructure. Businesses within this industry must adapt to these challenges to remain competitive and meet the needs of a rapidly changing economy.

    Follow along to see the additional challenges these businesses face and how a professional employer organization (PEO) can help you overcome them.

    Regulation

    Laws and regulations are constantly changing and affect many construction businesses. If you have a business operating in multiple states, you must comply with all laws in each state. Business owners often have difficulty juggling the different legalities, which leads to costly fines. It’s easy to miss an update about a change in the current laws and/or new legislation relevant to you. When you partner with a PEO, you’re provided with HR experts who ensure you comply with these ever-changing rules and regulations, so you focus on other aspects of your business.

    Minimize accidents in a high-risk industry

    It’s no surprise that this industry is prone to accidents which can lead to hefty penalties. While falls continue to be the top cause of injury on construction job sites, the Occupational Safety and Health Administration (OSHA) compiled a list of the most common violations they see within the construction industry, including:

    • Fall protection, general requirements 
    • Hazard communication 
    • Scaffolding
    • Lockout/tagout
    • Respiratory protection 
    • Ladders
    • Powered industrial trucks 
    • Fall protection, training requirements 
    • Machine guarding 
    • Personal protective and lifestyle equipment, eye, and face protection

    Failing to provide your employees with safety standards enforced by OSHA, you could face hefty penalties. In 2022, the average penalty for a willful or repeated violation was $145,027. While all of this can have detrimental effects on your business, there are ways you can mitigate these risks. It’s essential that you have safety programs for injury prevention. Without a healthy and efficient workforce, you cannot keep operations running and thriving. Partnering with a PEO takes all of this off your shoulders. A PEO takes a proactive approach to workplace safety through various services, including the following:

    • Onsite consulting 
    • Jobsite inspections 
    • Accident and injury investigations
    • Training
    • OSHA inspection and citation assistance
    • And so much more

    At the end of the day, partnering with a PEO allows you to dedicate more time to monitoring and coaching employees through safety best practices.

    Retaining and recruiting top talent

    As employees continue to leave their careers for better opportunities, it’s essential that you find ways in which you can stand out from your competition. The easiest way to do that is by offering a competitive benefits package that includes benefits your employees want and need to survive during these challenging times, ultimately helping you attract and retain top talent. Studies show businesses whose employees rated them highly on benefits saw a 56% lower attrition rate.

    Employees in this industry want access to the following benefits:

    • Health insurance 
    • Employer-matching retirement plans
    • Life and disability coverages
    • Paid time off (PTO)
    • Financial incentives and performance bonuses

    A partnership with a PEO enables you to develop and administer a comprehensive benefits package. They group small to medium-sized businesses to provide you with benefits at price points that are typically only available to larger companies. Kalynn Muha, GMS’ Recruitment Manager, expressed, “By partnering with a PEO, you’re able to utilize their experienced recruiters to stay on top of the current job market trends. This is important in the construction industry as it allows business owners to remain in  the field while HR experts dedicate their time to finding the right talent for your business.”

    Workers’ compensation coverage

    As a business owner, one of your main responsibilities is ensuring that your employees are cared for. That’s where workers’ compensation coverage comes into play. Should an accident or illness in the workplace take place, this coverage prevents you from being liable for lost wages, medical expenses, or being vulnerable to costly lawsuits. The U.S. Bureau of Labor Statistics reports 150,000 injuries annually on construction job sites. That’s exactly why you need this coverage, as accidents are bound to happen.

    PEOs understand how important your employees are. As the backbone of your business, the last thing you want is for your employees to get injured. However, should an accident occur, it’s critical to have a highly trained team to help facilitate claims management. With the construction industry being high-risk, it’s quite challenging for businesses to find an insurance carrier that gives them a reasonable price. Fortunately, PEOs offer a competitively priced solution for high-risk businesses that often helps improve long-term workers’ compensation costs in the long run.

    Reduces the burden of filing taxes

    Tax season is arguably the most dreaded time of the year for small business owners. Tax-related tasks take up so much of one’s time and are complicated, which can cause more mistakes to occur. Experts found that business owners spend nearly five hours filing and paying payroll taxes pay period. A PEO can take over payroll-related federal, state, and local tax filings. Whether during the busy tax season or year-round, PEOs are there throughout the entire process so you focus on growing your business.

    Partner With A PEO Such As GMS

    As a business owner in a high-risk industry, partnering with a PEO such as Group Management Services (GMS) could be the solution you’ve been looking for. Partnering with GMS helps businesses in the construction industry save money on HR-related expenses such as employee benefits, payroll processing, and workers’ compensation. We also help businesses comply with employment laws and regulations, reducing the risk of costly penalties and fines. Nearly a quarter of our clients are based in the construction industry. All your HR tasks are handled under one roof and taken on by our dedicated HR experts. Whether you’re a roofing or sheet metal business, we’ve got you covered. Contact us today to learn how we can help your construction business today.

     

  • As quarter one of 2023 is coming to an end, it’s never too soon to start thinking about your temporary workers coming on board in the summertime. You must familiarize yourself with child labor laws that could affect whom you hire. Over concerns that minors are being forced to work hazardous jobs, the Biden Administration is setting up a task force to vet U.S. sponsors of migrant children more thoroughly and increase efforts to investigate and prosecute child exploitation cases in workplaces across the country.

    Various investigations revealed that children are crossing the border without their parents and are being forced into punishing jobs that ignore child labor laws. The Department of Labor (DOL) stated that they will target factories and suppliers that illegally employ children and larger companies with child labor in their supply chains. These migrant children typically use false identification and find jobs through staffing agencies that don’t verify their Social Security numbers. The DOL recorded a 70% increase in children illegally employed by companies within the last five years. In 2022, they found that 3,800 children had been employed by more than 800 companies in violation of child labor laws.

    Understanding Child Labor Laws In The U.S. 

    The Fair Labor Standard Act (FLSA) established minimum wage, overtime pay, recordkeeping, and youth employment standards affecting employees in the private sector and Federal, State, and local governments. Under the FLSA, children of any age are generally permitted to work for businesses entirely owned by their parents, except those under the age of 16 may not be employed in mining or manufacturing. In addition, no one under 18 may be employed in any occupation the Secretary of Labor has declared hazardous. The following are occupations that are banned for all minors under the age of 18:

    • Manufacturing or storing explosives
    • Driving a motor vehicle or working as an outside helper on motor vehicles
    • Coal mining
    • Occupations in forest fire fighting, forest fire prevention, timber tract, forestry service, and occupations in logging and sawmilling operations
    • Power-driven woodworking machines
    • Exposure to radioactive substances and ionizing radiation
    • Power-driven hoisting apparatus
    • Power-driven metal-forming, punching, and shearing machines
    • Power-driven meat-processing machines, slaughtering, and meat-packing plants
    • Power-driven bakery machines
    • Balers, compactors, and power-driven paper-products machines
    • Manufacturing of brick, tile, and related products
    • Power-driven circular saws, band saws, guillotine shears, chain saws, reciprocating saws, woodchippers, and abrasive cutting discs
    • Wrecking, demolition, and ship-breaking operations
    • Roofing operations and work performed on or about a roof
    • Trenching and excavation operations

    In addition, children ages 14 and 15 may be employed outside of school hours in various non-manufacturing and non-hazardous jobs for limited periods of time and under specified conditions. Children under 14 cannot be employed in non-agricultural occupations covered by the FLSA. The following are the hours and times of the day that 14 and 15-year-olds may work:

    • Outside of school hours
    • No more than three hours on a school day, including Fridays
    • No more than eight hours on a non-school day
    • No more than 18 hours during a week when school is in session
    • No more than 40 hours during a week when school is not in session
    • Between 7:00 a.m. and 7:00 p.m. – except between June 1st and Labor day, when the evening hour is extended to 9:00 p.m.

    Additional information can be found here

    Your Responsibilities As A Business Owner

    As a business owner, you must comply with these labor laws, even if the child is yours. As we begin approaching a busy summer season when many businesses start hiring minors, it’s essential that you familiarize yourself with the federal and state laws relating to the employment of minors. Fortunately, when you partner with GMS, we ensure you remain compliant and hire minors correctly. We confirm they’re working the correct hours and times. In addition, we assist you with posting your state and federal labor posters throughout your business, so your employees understand their rights. Ultimately, we help your business runs simpler, safer, and stronger. Contact us today to learn how we can help you.

  • Remote work is a term that will never leave the workplace vocabulary. Now, more than ever, employees want to work from home, full-time, or part-time. As their employer, it’s essential that you listen to their needs and try your best to give them what they want. We get it. When the COVID-19 pandemic arose, the thought of having your employees work virtually was a thought we never thought possible. But it worked! 77% of those who work remotely at least a few days per month showed an increase in productivity. In addition, studies show that 30% of employees completed more work in less time.

    As a business owner, however, it’s your call at the end of the day to determine if your employees should be working remotely or if they need to work on-site. Whatever you decide, we’ve provided you with various resources to help you throughout your decision-making process. We created a guide, “The Guide To Managing A Remote Team,” that will take you step by step and show you how to manage your remote team more effectively should you choose that route. News flash! It will be challenging, but if your employees want this benefit, and studies show it actually increases productivity amongst your employees, why not give your employees what they want?

    Giving The People What They Want 

    Whether you’re ready to make that jump in providing your employees with the benefit of a more flexible work schedule or you’re still questioning it, let’s ask ourselves the following questions.

    How do my employees complete their work productively?

    You most likely have a workforce of individuals from all different age demographics. Whether they’re recent college graduates or have been in the workforce for over 30 years, they all work differently. It’s your job to hear from your employees and determine how they can be most productive at work. Some may say they prefer working in the office five days a week, while others say they’re more productive when working from home every day. Others may enjoy having the balance of working from home one or two days a week and in the office the rest of the week. 42% of individuals aged 25 to 34 prefer to work from home. You must determine what works best for each employee and accommodate their needs.

    What is the purpose of your office?

    While pandemic restrictions have spindled down and our lives are trying to return to the pre-pandemic norm, offices remain empty. As we’ve discussed, your employees enjoy the flexibility of completing their work in the comfort of their own homes. With this type of workforce, it’s essential that you take time to think about your office’s purpose. A survey showed that 82% of employees believe that having a purpose is essential for their company. Purpose shapes your company’s strategy, engages customers and community, and drives choices at moments of truth. Your company’s purpose addresses the fundamental question of “why.” How the workforce is running in today’s economy means it will take more effort to attract your employees to come into the office. Consider designing a space that fosters human connection and creates tailored, authentic experiences.

    Do you clearly define terms and roles?

    You may run a business with employees who simply cannot work remotely. You must clearly state who can work remotely. Consider creating a list of positions that can be done hybrid or fully remote and those that can’t. You must have a clear explanation as to why some employees can work remotely while others cannot. In addition, clearly define your remote workers’ expectations, when they should be working, if they need to come into the office, how often, and so much more. This step is critical as it dictates how productive your workers will be once you implement a flexible work schedule.

    What Now?

    We get it. It’s a lot to process, and it can be overwhelming. At GMS, we make this process as seamless as possible. Our role as a professional employer organization (PEO) is to take on these administrative burdens, so you no longer have to deal with them. We can help write job descriptions that clearly state if the role is hybrid, completely remote, or in the office. In addition, we can update your employee handbooks to reflect the changes to your employees’ roles in a remote setting. At GMS, we do everything from benefits and risk management to payroll and human resources. Count on us and contact us today to learn more.

  • The labor market is always shifting as employees retire, seek out new jobs, and navigate disruption. In a December 2022 poll by Monster.com, workers reported they were seeking new jobs for better pay, more growth opportunities, or the need to get out of a toxic workplace.

    Now seems to be a great time to make the change. The unemployment rate is at 3.4%, the lowest it’s been since May 1969. Right now, there are about two open jobs for every unemployed person in America. All signs say it should be easy to hop into LinkedIn and score your dream job in a matter of days – so why does it still feel so hard to get hired?

    The best way to answer that question is to understand the current labor market and what it means for job seekers.

    Key Labor Market Stats For 2023

    The U.S. Labor Department’s January report showed an increase of 517,000 jobs, far exceeding its estimate of 187,000. Leisure and hospitality added the most jobs as companies bounce back from the pandemic-related pause in tourism, but health care is expected to take the lead in job growth as the nation’s population continues to age.

    The current labor force is growing (albeit slower than in recent years), the GDP is expected to increase 2.1% annually, and the Bureau of Labor Statistics is projecting an increase of 8.3 million jobs over the next decade.
    From an economist’s or politician’s perspective, the U.S. job market certainly is booming. But an employed economist’s point of view is far different than your average job seeker’s. From an applicant’s perspective, the market may seem a little tumultuous.

    Biggest Changes In The Job Market

    The COVID-19 pandemic caused a multi-year shakeup of the global market, with many industries and organizations pivoting operations to comply with new policies and changing health regulations. Working from home became a necessity for office jobs to maintain productivity during a time of quarantining and social distancing, while essential workers took precautions and adapted to new safety rules.

    Before the pandemic, only six percent of individuals in the U.S. worked primarily from home. Now, 66% of U.S. employees work remotely, at least part-time, with up to 92% of employees working remotely at least one day per week. That’s a huge leap!

    Impressive job market numbers can give the illusion that we’ve fully recovered from quarantine. Still, it can take years, even decades, for the workforce to recover from such a significant shift – especially its impacts on mental health.

    Biggest Challenges In The Job Market

    By definition, it’s a job seekers’ market, but that doesn’t mean applicants are coasting. Many are facing their fair share of challenges.

    Economic disruption

    We’ve already mentioned the economic changes brought about by the pandemic and the novelty of remote work, but there are other reasons the fate of the economy remains uncertain. It seems there’s always a valid reason why a potential recession could be looming in the near future. And, while grappling with the fear of a recession, workers are also navigating high inflation and possible stagnation. For some people, these issues are compounding, resulting in layoffs, lower-than-expected wages, and workplace stress.

    Automation

    While it’s unlikely robots will stage a revolution or take over nearly half our jobs, as some feared, automation remains a threat to some jobs. There are already robots and artificial intelligence (AI) programs that can check inventory, fill out forms, and write articles . It’s only a matter of time before robots do more complex tasks, especially with recent developments in AI.

    Automation has the potential to shrink the number of available jobs, prompting workers to learn new skills or seek jobs in other industries. But it also means employees skilled in machine operation will be in high demand—people who understand how automation works and how machines can best be used in business settings.

    Competition

    If you want to be successfully employed in the next decade, you’re going to need to be prepared for some intense competition—both with other applicants and with existing employees. Often, there are so many qualified candidates vying for a particular role that it can feel like an uphill battle.

    Even a booming economy comes with its share of layoffs, struggling companies, and inflation challenges leading workers to seek higher wages. This increases competition, the number of candidates applying for jobs, and the demand for specialized skills, so it takes a lot more effort to stand out from the crowd.

    Recruiters are always looking for impressive resumes, and the more they see, the higher their standards climb. Job seekers can find themselves struggling to get noticed, even if the employer is looking for someone with their exact skillset. The applicant pool is large, and, because the economy is cyclical, it’s likely only going to get bigger.

    Increased desire for remote work

    The workforce has spoken – no one really wants to go into the office every day anymore. But not every available job offers that sort of flexibility. The number of available hybrid and remote roles is increasing, but applicants are running to these roles first. This creates an influx of applications for the positions that recruiters must weed through one by one, bottlenecking the hiring process . The best way to overcome this is to be on top of the pile, meaning workers must constantly seek out and pounce on hybrid or remote opportunities. The early bird gets the home office!

    How To Stand Out In An Applicant Pool

    With so many individuals applying for the same jobs, recruiters are pickier about whom they hire. They have more options than ever before and want to double down on making sure that the person they hire will be the best fit for their company.

    So how do you make yourself stand out among all these other applicants? There are several key things that recruiters look for:

    • A well-tailored resume: Include keywords related to your industry or profession on every page of your application materials—especially on your résumé. This will help recruiters easily find you when they’re searching through hundreds of applications at once.
    • Skills: Recruiters want to see that you have what it takes to do the job well, so they’ll be looking to your skills to gauge whether you’ll be successful in the role. Now is a great time to rack up a certification or two to boost your resume.
    • Personality: Recruiters want someone who will fit into their culture and work well with other employees. While your resume may reflect a small part of that, your cover letter and interviews will be what seals the deal. Be sure to mention your performance at previous jobs and how you worked within your team.
    • Engagement: Actively engaging with the recruiter shows commitment. Be sure to follow up on your application and always prepare strong questions to ask in your interview.
    • Honesty: Be honest about your achievements, gaps in your work experience, or hang-ups in the past. This will show recruiters that you’re transparent and ensure they won’t have to be the ones to voice any “red flags” they see.
    • Research: Know the job you’re applying for! This means doing some digging on the company, its structure, and values ahead of your interview. Good research will also help with formulating questions for the recruiter that are specific to the organization itself.
    • Social media: Many recruiters are using social media sites such as LinkedIn as part of their hiring process these days. Make sure that all of your social media profiles are professional and up-to-date so recruiters can get an idea of who you are before they meet with you in person.

    Although the job market has its fair share of challenges, there are still ways in which applicants can leverage their skills to ensure they are taking the most effective steps toward a dream career path.

    Remember, too, that motivation and confidence go a long way to securing a new role. With the right resume and solid interviewing skills, job seekers have the potential to reach new heights in 2023!

    GMS Helps Streamline Recruiting Efforts

    With the rise of virtual reality, remote work, and AI, recruiters must change their game in order to keep up with their candidates. This is where GMS comes in. Our human resources experts work closely with you to offer guidance on hiring and training. Additionally, our partnerships with LinkedIn and Indeed make posting job ads simple and easy, getting you in front of quality candidates faster. Let’s talk!

  • People are a fundamental aspect of any organization. They give life to the culture and make the organization what it is, which is why inclusivity matters. An inclusive culture makes people feel appreciated and as if they are working towards creating a common good for everyone. It inspires people to be more productive and to achieve levels they never thought were possible before working with an inclusive company. This kind of culture is attractive to the workforce and makes their employees more satisfied with their job, which ultimately improves the overall productivity of these businesses.

    But what does creating an inclusive culture look like, and how do you get started? First, let’s cover why inclusivity matters and some of its benefits.

    Why Inclusivity Matters

    When you think about company culture, words that pop into your head may include engagement, productivity, and innovation. But what about inclusivity? An inclusive culture is part of a healthy organizational environment that respects the value of everyone. It’s also a buzzword for many companies that want to attract diverse talent. But it’s not just about diversity. It’s about achieving an inclusive environment where all employees feel included regardless of gender, race, religion, and age.

    There’s a big difference between actively fighting for diversity and inclusivity and pretending they don’t require attention. It’s time we stop thinking of these issues as topics that exist in an imaginary, faraway land. That’s because 78% of job seekers say they want to work for diverse companies. Diversity, equality, and inclusion are business initiatives that connect with employees on a fundamental level — which is why we can’t afford to ignore them. Perks of creating an inclusive workforce include:

    • Higher job satisfaction 
    • 5.4 time higher employee retention
    • Higher employee morale
    • Increased ability to recruit a diverse talent pool
    • Higher revenue growth

    It’s no secret that employees want to feel included and valued in their workplace, however the hard truth is that many companies lack diversity despite saying they value certain qualities. The good news is many businesses are trying to achieve more inclusive workforces, but not all are doing so effectively. Whether you’re a manager or team member, it’s essential to understand the elements that contribute to hiring and retaining diverse employees and what barriers might prevent your company from creating a more inclusive environment.

    How To Build An Inclusive Culture

    Building an inclusive culture within your organization doesn’t happen by accident, it’s the result of going through specific steps and challenges. Below, we’ll look at ways you can help create a climate for everyone in your organization to be heard and accepted.

    Make inclusion a core value

    An inclusive culture isn’t just talk; it’s a core value. This means inclusion is ingrained in every part of your organization, from your employee handbook to management to everyday work life. That’s why it’s crucial to get everyone on board with what inclusive values imply and what it looks like when you have an inclusive culture.

    Hire inclusively

    It’s crucial to talk the talk and walk the walk. One of the most important things you can do is to create an inclusive hiring culture. According to a Deloitte survey, 80% of people say inclusion efforts are an important factor when choosing a company. Hiring inclusively not only shows you advocate for inclusion, but it also gives you access to a larger talent pool. Ultimately, it proves that you value and care about diversity versus only saying you do.

    Practice active listening

    Active listening plays a crucial part in communicating effectively. Listening may seem obvious, but active listening can easily take a back seat if we’re not mindful when communicating. It takes practice and discipline, especially in a work setting where everyone has big ideas and wants a voice. Ways to practice active listening are to:

    • Pay attention: Give the speaker your undivided attention and acknowledge what they’re saying. Make sure you are providing eye contact, not looking at your devices, and not getting distracted by incoming notifications or emails.
    • Show that you are listening: Mention specific parts of the conversation, ask questions, and repeat what they’re saying for clarity. This shows you heard what they said and are willing to learn more. Small verbal comments such as “yes” and gestures such as nodding can convey that you are actively listening.
    • Provide feedback: Feedback shows that you care about someone’s success and that you heard what was said. One tool to use is paraphrasing, such as “what I’m hearing is” or “it sounds like you’re saying,” to reflect on the speaker’s words.
    • Defer judgment: Making assumptions and interrupting only wastes time, plus it’s frustrating to the speaker. Allowing the speaker to finish their words saves them from feeling unheard and disappointed. This may make them feel undermined and not like they can speak up in the future.
    • Respond appropriately: Being candid, open, and honest, but also respectful, is vital when responding to the speaker. It’s best to treat individuals how you want to be treated.

    Celebrate differences

    Differences don’t have to be a barrier; they can be a learning opportunity and allow us to celebrate others. This often looks like giving your employees a platform and championing their cultures. Instead of ignoring differences, we can uplift them in the workplace and provide solutions. Ways to do this are by doing the following:

    • Encouraging educational opportunities 
    • Learning at lunch talks
    • Hosting diversity days
    • Developing a multicultural calendar
    • Paying attention to cultural nuances 
    • Addressing communication barriers
    • Supporting employee advancement

    Proactively address harassment and bullying

    Facilitating an inclusive culture means there is zero room for harassment and bullying. Being proactive in your approach to addressing these matters is vital. This means creating a system for these situations and a plan for handling them while informing your employees of the severity of these issues, so they know they’re not taken lightly. Having a means for harassed employees to express what they have experienced is also essential. For some organizations, that may be a formal email, for others, that may be a one on one with a manager to inform them of mistreatment. Regardless of how you decide to formalize your process, be sure to be considerate of your employees and be human. Hear out their concerns and provide sympathy, support, and understanding.

    Share inclusion metrics with employees

    When creating a plan that applies to your overall culture, it’s only natural to keep your employees in the loop. Be prepared to receive employee feedback and be open to growing in areas needing work. Don’t be afraid to share inclusion metrics and how you’ve developed your organization to be more diverse and focused on inclusion.

    Regularly educate your employees about diversity and inclusion

    Creating a culture that celebrates diversity is no easy feat. Some ways to continually educate your staff about diversity are to bring in experts, regularly conduct training, and provide resources for learning more. Diversity training can help prevent workplace bullying, discrimination, and harassment by promoting respect for all employees regardless of race, gender, ethnicity, age, and religion. When employees are motivated and feel their efforts are respected, they are happier with their job and more productive.

    Revisit the conversation regularly and track your progress

    Create tangible goals and stick to them. Finding opportunities for growth within your organization regarding inclusion is the key to success and adaptation. Empower your employees to speak on these topics and regularly conduct conversations where they can voice their concerns. One way you could do so is through anonymous polls and surveys.

    It will never be enough to say that your company has an inclusive culture. You must work at it over the course of time to get there. It takes effort, but it’s ultimately worth it for everyone involved. At the risk of sounding like a broken record, you will fail if you don’t get buy-in from everyone: every department, every employee, and every stakeholder.

    The key to building an inclusive culture is to focus on making people feel welcome and comfortable. It’s easy for companies to overlook this because they think of diversity mainly as an HR issue. But it’s more than that. Diversity has a lot to do with empathy, starting with you, the manager. Are you making it clear that your team is open to different points of view?

    GMS Is Here To Help 

    There are many things to consider when hiring and building an inclusive work environment. It’s easy to gloss over the minor details, but those little things ultimately add up to make a good workplace culture—inspiring employees to feel comfortable in their jobs, be productive, and stay for the long haul. These aspects of culture, both big and small, make our workplaces feel accommodating. At GMS, we can help you create a plan for bettering your culture and hiring diversely. Let’s talk!

  • On February 22nd, 2023, the U.S. Supreme Court ruled in favor of an oil rig worker for overtime exemptions under the Fair Labor Standards Act (FLSA). Under the Helix Energy Solutions Group Inc. v. Hewitt case, the Supreme Court ruled that to be exempt from the requirement of being paid overtime after working over 40 hours a week, an employer must pay the employee their full salary in any week in which they perform work. In simpler terms, the recent ruling declared that highly compensated employees could be eligible for overtime pay if they are paid on a daily basis. If the employer does not follow that, the employee is entitled to overtime compensation regardless of their job duties or position.

    Understanding The Court Case

    During the Helix Energy Solutions Group Inc. v. Hewitt court case, the Supreme Court was asked whether an overtime exemption under the FLSA applied to non-salaried high-earning employees. The distinction, in this case, is whether a high-earning employee should be compensated on a salary basis when his paycheck is based on a daily rate. The Supreme Court declared the long-standing FLSA and Department of Labor regulations to be upheld and considered a salaried, overtime-exempt employee, the employee must receive his full weekly salary in any week in which the employee performs any work.

    What You Should Know As A Business Owner

    The new ruling makes it essential for business owners to implement the criteria within their businesses properly. If you don’t, you could face hefty penalties. Let’s break down what the ruling says and what you should know.

    • Employees are exempt from overtime under the FLSA if they earn at least $107,432 per year on a salary basis (now at least $684 per week) and perform executive, administrative, professional, or outside sales work
    • The predetermined salary level cannot vary based on the quality or quantity of work
    • Business owners may use nondiscretionary bonuses, incentive payments, and commissions to meet up to 10% of the standard level salary
    • To be considered an executive, the employee must manage the business, direct the work of at least two full-time employees, and have the authority to hire or fire employees
    • An administrative employee is considered an individual who performs office or nonmanual work directly related to management or general business operations
    • A professional employee is defined as one who must do work that requires advanced knowledge, is predominantly intellectual in character, and includes exercising discretion and judgment

    Additional information can be found here.

    Additional Measures To Take

    Everchanging rules and regulations is a constant battle you face as a business owner. You didn’t start your business to become a lawyer or one who understands and implements every single law associated with your business. That’s where Group Management Services (GMS) comes in to help you. Our team of HR experts ensures you remain compliant with every new law that can affect your business. Whether it’s creating a job offer that clearly states their compensation and overtime pay or working with you to implement these new laws and regulations, we’re here to help. Ready to alleviate some of the weight you’re carrying? Contact us today.

  • The U.S. Equal Employment Opportunity Commission (EEOC) published a proposed strategic enforcement plan for fiscal years 2023-2027 on January 10th, 2023. This is important for business owners as you will most likely see a shift in enforcement by the EEOC with a larger budget, the possibility of new leadership, and revised strategic priorities. In 2022, there were six strategic priorities which included the following:

    • Eliminating barriers in recruitment and hiring
    • Preventing systemic harassment
    • Protecting vulnerable workers
    • Ensuring equal pay protection for all workers
    • Preserving access to the legal system
    • Addressing selected emerging and developing issues 

    The Strategic Enforcement Plan (SEP)

    The latest strategic enforcement plan (SEP) would modify the 2022 enforcement priorities if approved by the commission by:

    • Expanding the category of vulnerable workers to include individuals with intellectual and developmental disabilities, individuals with arrest or conviction records, LGBTQI+ individuals, elderly employees, temporary workers, individuals employed in low-wage jobs, and workers with limited literacy or English proficiency
    • Enhances the recruitment and hiring priority to include limiting access to on-the-job training, pre-apprenticeship programs, temp-to-hire positions, internships, or other job training or advancement opportunities based on protected status
    • Recognizes employers’ increasing use of artificial intelligence (AI) to target job advertisements, recruit applicants, and make or assist in hiring decisions
    • Updates the emerging and developing issues priority to include employment discrimination associated with the COVID-19 pandemic and additional threats to public health, violations of the recently enacted Pregnant Workers Fairness Act, and technology-related employment discrimination
    • Focuses on overly broad waivers, releases, non-disclosure agreements, and non-disparagement agreements

    The SEP aims to do more to combat employment discrimination, promote inclusive workplaces, and respond to the national call for racial and economic justice. It ultimately will help guide the EEOC’s work through all the agency’s activities, including outreach, public education, technical assistance, enforcement, and litigation.

    Stay Proactive, Partner With GMS

    Alongside these changes, the EEOC will most likely continue to place more scrutiny on employers’ use of technology and AI in recruiting, screening, hiring, and performance reviews. As a business owner, there are many laws and regulations you must comply with. However, mistakes are bound to happen. It’s hard to manage your daily duties as a business owner, let alone worry about the appropriate ways to recruit and hire employees. Fortunately, when you partner with GMS, our HR experts take on the administrative burdens of hiring and recruiting employees for you. We create a job description that won’t infringe on the use of AI and ensure you’re creating an inclusive workplace. Contact us today to learn more.

  • Any private employer with 100 or more employees and federal contractors with 50 or more employees are required to file an employment information report called the EEO-1 report every year. The EEO-1 Component 1 report is a mandatory data collection of demographic workforce data, including data by race/ethnicity, sex, and job categories. As a business owner that must submit this information, you must know when you should submit it. This year, it’s slightly different than usual. The EEO-1 reporting for 2022 data is scheduled to begin in mid-July.

    More updates will be made available here.

    What You Need To Know

    Employers are asked to denote the gender identity and sexual orientation of employees. With that being said, there are challenges employers might face. The form currently does not have a box for designating nonbinary individuals. However, you can manually enter the number of workers who identify as nonbinary in the comments section. Why are employers required to fill this out? The purpose of this is the following:

    • Support enforcement actions
    • Facilitate research on employment patterns 
    • Encourage self-assessment by employers

    If you fail to comply, you may be subject to fines, back pay, corrective action, or even civil suits against employers. Federal contractors could lose their contracts if they don’t submit this information.

    Additional Steps That Need To Be Taken

    For all employers who must submit the EEO-1 reports, it’s essential that you keep track of all of this data throughout the year, so it’s accurate. You must gather all up-to-date information about your employees’ gender identity and sexual orientation. Not sure where to start? When you partner with Group Management Services, our HR experts ensure you remain compliant and stay up to date. We help you meet certain deadlines so you can focus on other areas of your business. Contact us to learn more.

  • For the most part, all industries across the world have experienced disturbances within their business operations since the COVID-19 pandemic. During the pandemic, businesses had to scale back operations because of the decrease in demand, or they were forced to furlough or lay off employees. However, plumbing and heating, ventilation, and air conditioning (HVAC) companies were some of the few that experienced a spike during the pandemic because their demand increased. Even with the increase in demand for HVAC services, they still face challenges, including a labor shortage and an aging workforce.

    Labor Shortage

    Similar to most companies, many HVAC companies are struggling to attract employees. However, this has been a challenge before the COVID-19 pandemic. Every type of business is looking to retain employees while workers are quitting their jobs at record levels. Low-interest rates, government stimulus checks, and a greater emphasis on home improvement (as many individuals were forced to stay home) drove new business for HVAC companies. The increased demand has put pressure on the existing workforce, leading to a shortage of skilled technicians. In addition, this industry is facing challenges in attracting younger workers, as many students and recent graduates are unaware of career opportunities in the blue-collar market, such as HVAC or plumbing.

    An Aging Workforce

    The aging workforce has been challenging for HVAC and plumbing contractors for almost a decade. However, the pandemic and Great Resignation heightened these challenges. Many companies’ experienced technicians are retiring, and there aren’t enough younger workers entering the industry to replace them. The Air Conditioning Contractors of America estimates that the average age of an HVAC worker is 55. Experts estimate that the shortfall of qualified HVAC workers is more than 115,000 individuals.

    Have You Considered Outsourcing Your HR Functions To A PEO?

    The economic downturn has made it challenging for HVAC and plumbing companies to offer competitive salaries, alluring benefits packages, and attract and retain top employees. More and more companies have looked to outsource these administrative tasks they don’t have the time or expertise to manage effectively. Have you considered outsourcing your HR functions to a professional employer organization (PEO)?

    Let’s start by understanding what a PEO is. A PEO is an organization that enters into a joint-employment relationship with an employer by co-employing the clients’ workforce, allowing the PEO to share and manage many employee-related responsibilities and liabilities.

    While a PEO can help you combat the labor shortage and aging workforce you may be faced with, a PEO can do much more than that. Everything is under one roof, from tracking employee performance to creating a fleet management program to an online payroll service. You can finally focus on your core competencies while you leave the HR responsibilities to professionals who specialize in that area. This can improve efficiency and accuracy in HR processes such as recruitment, benefits, and compliance with labor laws. In addition, you also gain access to a wider pool of HR talent and expertise which can result in better decision-making and overall HR strategy.

    Has an employee filed a claim because of an injury on the job? 

    A PEO takes a proactive approach to workplace safety by providing you with the following:

    • Onsite consulting
    • Jobsite inspections
    • Accident and injury investigations
    • Training
    • And so much more

    In addition, if you struggle to stay ahead of the risks associated with workers’ compensation and workplace hazards, a PEO can help protect your business. You now have a partner that enables you to take a proactive approach to address immediate issues and prevent potential problems in the future.

    Are you struggling to attract and retain top talent? 

    You’re not alone if you’re struggling to attract and retain top talent. Offering a quality benefits package is one of the best ways to retain and attract top talent. However, offering a quality benefits program is becoming increasingly expensive and takes too much time. A PEO works with business owners to help them decide which benefits make the most sense for their business operations, employees, and bottom line. In a time when your workforce is beginning to retire, it’s essential that you take every step possible to ensure you are attracting the next generation of employees. However, it’s also vital that you take proactive steps to retain your talent. Offering a competitive benefits program can help you stand out from your competition and help you succeed during these unprecedented times.

    Do you spend countless hours doing payroll each payroll period?

    As an HVAC or plumbing company owner, you don’t have the time to manage the payroll process anymore, especially with your demand at an all-time high. Your partnership with a PEO saves you time and gives you peace of mind. Think about the sleep you could get if your payroll is all managed online. Payroll software streamlines the payroll process, creating less paperwork and giving users access from anywhere with an internet connection.

    Are you having trouble hiring and recruiting employees? 

    Recruiting, training, and retaining employees has never been more challenging for small and mid-sized businesses in a tightening labor market. Luckily, when you partner with a PEO, this heavyweight is carried off your shoulders. You now have access to the tools and resources necessary to take on these responsibilities while improving your overall recruiting, hiring, and training efforts. This partnership can strengthen your business and let you focus on other responsibilities. In a market where your services are in high demand, it’s a great time to partner with a PEO to find you the talent your business wants and needs to thrive.

    Consider Group Management Services (GMS)

    From creating a competitive benefits package and streamlining your payroll process to creating safety programs to ensure you have a safe work environment to hiring and recruiting top talent, Group Management Services (GMS) does it all. We make employee management simpler, safer, and stronger. We save you time and money while you retain full control over your employees and regain the opportunity to focus on growing your business.

    Andrew Szczesniak, Senior Sales Strategist, expressed, “GMS helps companies in the plumbing and HVAC industries by reducing their administrative costs regarding workers’ compensation and health care. By lowering costs in those areas, businesses are now more competitive in bidding jobs and can attract and, as importantly, retain their existing employees.”

    Leave the HR details to us. Contact us today so we can help you thrive in today’s economy.

  • Business owners in today’s economy stress over the uncertainty of what’s to come. Let’s face it, COVID-19 took a toll on just about everyone but especially small business owners. Interest rates are rising, inflation is through the roof, and talk of a recession is all at the forefront of our minds. However, small business owners continue to hire additional employees. Over the last three months, over one million jobs were added within the U.S. Alongside this, you see companies such as Zoom, Dell, PayPal, and Hubspot lay off a significant amount of their workforce. As a business owner, you may think do I add more employees, or do I need to cut back?

    What The Experts Are Saying

    Mass layoffs have been a reality for many workers worldwide, especially since the COVID-19 pandemic. The pandemic forced many businesses to shut down or scale back operations, resulting in significant job losses in all industries. While the economy is slowly working on getting back to life before the pandemic, businesses still struggle to survive, forcing business owners to lay off workers and cut costs. The major companies making layoff announcements are those within the technology, accounting, and engineering industries. More than 77,000 workers in U.S.-based technology companies have been laid off in mass job cuts in 2023.

    However, the job market remains stronger than expected despite the ongoing recession fears and constant news regarding mass layoffs. The health care industry is growing rapidly, with more than two million job openings. In addition, the following industries are increasing their hiring efforts:

    • Restaurants
    • Hotels
    • Hospitals
    • Sports
    • Civil engineering
    • Dental

    Have You Considered Partnering With A PEO? 

    The job market is complex and ever-changing, as mass layoffs and hiring booms are happening within different industries. As the economy recovers and adapts to new circumstances, consider partnering with a professional employer organization (PEO) like Group Management Services (GMS). Between recruiting and retaining employees to payroll and tracking vacation time, there are many functions we can help with. When you partner with GMS, you gain HR experts that help you attract and retain top talent, create enticing job descriptions that get you the talent you need to grow, create a competitive benefits package, and so much more. Contact us today to learn more.