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  • For an industry that serves over 2.5 million people, Professional Employer Organizations can still be a bit of a mystery for the average business owner. The industry has helped businesses manage important HR functions for decades, but one of the most common questions owners ask is “Why have I never heard of PEOs before?”

    There are a few reasons for this, starting with the fact that there’s no simple, one-sentence explanation for what PEOs do.

    It’s a Pretty Complex Industry

    So exactly what is a PEO? A PEO doesn’t provide a tangible product. Instead, it offers an array of services and solutions. The National Association of Professional Employer Organizations states that PEOs “provide comprehensive HR solutions for small businesses.” In terms of an explanation, it’s a nice start, but it doesn’t go into nearly enough detail to truly describe how a PEO can help businesses and their owners.

    Business owners recognize the various important human resource functions they need for their business, such as payroll processing, employee benefits, legal compliance, risk management, and more. A PEO is designed to manage all of these critical HR functions.

    Of course, every business is different. This means that these HR solutions can change depending on each company’s specific needs. Combine that with the differences between compliance laws and other human resource distinctions and it can take a while to describe specifically what a PEO can do to improve your business.

    You Don’t See PEOs in Ads

    If a quick chat isn’t enough to explain the complexities of the PEO industry, that means that the traditional forms of advertisements are out. Unlike fast food chains, local furniture stores, and other businesses, you’ll rarely see or hear an advertisement for a PEO on TV or the radio because a 30-second spot won’t be able to really explain what the industry is all about.

    PEOs Don’t Always Call You Directly

    Another reason you may not have heard about PEOs is that not a lot of businesses in the PEO industry have the sales force to contact business owners by phone. At Group Management Services, we have the team in place to contact business owners and help educate them about PEOs, but not all of the roughly 1,000 PEOs in the country have the capacity to reach out to prospective businesses.

    PEOs Have Grown Dramatically in Recent Years

    While the PEO industry dates back to Marvin R. Selter and the late 1960s, the PEO industry has experienced a surge over the past five years that has helped introduce PEOs to more business owners. I joined GMS six-and-a-half years ago, when the PEO industry was worth around $85 billion. Today, it’s up to around $168 billion. 

    What helped drive the industry to nearly roughly double in size? Four words: “Increased laws and regulation.” 

    Over the past five years, a combination of the Affordable Care Act and increased regulations from the Department of Labor (DoL) and the Occupational Safety and Health Administration (OSHA) have added to what owners need to do to keep their businesses compliant. This development has led to more employers turning to PEOs to manage their HR functions to keep up with these regulations.

    Learn More About PEOs

    Now that you have an introduction into why you may not have known about PEOs, it’s time to learn more about the industry and how a PEO can help your business. Check out our PEO Education Center for additional resources on PEOs and HR management and contact us today to talk to one of our experts about exactly what kind of role a PEO can play for your company.

  • If you own a small, five-person company, it might be tempting to think that you don’t need to invest any time or money into human resource functions like a big business. That’s a bad idea.

    Every company needs HR, regardless of size. Just like how you don’t build a house without a proper foundation, a small business – or any business – needs to create a solid human resource foundation to succeed.

    Why Small Companies Can Benefit from HR Management

    A common objection that a Professional Employer Organization (PEO) hears is that an owner thinks that their business is too small to invest money in HR management. Some businesses may have an office manager with HR experience, but it is difficult for one person to match all of the help a PEO can provide.

    Certain HR laws may come into play at different employee milestones, but there are still basic HR processes that need to be in place whether a company has one employee or 100 employees. A PEO can ensure that your business has those processes ready. If there is a workers’ compensation claim, a PEO can handle it. If a former employee files an unemployment claim, a PEO can manage it. No company is truly too small for critical HR functions, and you don’t want to get stuck dealing with HR laws that you never thought could or would affect you.

    Investing in the Future with HR Management

    Another major reason why it’s critical to invest in HR is that your business isn’t going to stay small forever. A five-employee company should eventually want to turn into a 10-employee company, and then a 20-employee company, and so on. 

    A PEO allows you to shift your focus to core business functions rather than HR  processes. This allows you to focus on driving revenue and growing your business instead of payroll management, benefits administration, and other time-consuming tasks. Also, a PEO can do all of this for a set fee, saving you from investing in a full-time HR representative.

    A Small Business HR Partner

    PEOs can be a huge help to businesses, large and small. According to the National Association of Professional Employers Organizations, small business that use a PEO…

    • Grow 7 to 9 percent faster
    • Have 10 to 14 percent lower employee turnover
    • Are 50 percent less likely to go out of business

    Investing in your business’ HR processes is a big step toward a more successful future. Contact us today to talk to one of our experts about how Group Management Services can build a strong HR foundation for your small business.

  • If you think it’s hard to find good talent these days, you’re not alone. The Society for Human Resource Management conducted a survey of more than 3,300 HR professionals and found that “more than two-thirds of surveyed organizations hiring full-time staff indicate[d] they are having a difficult time recruiting for job openings.”

    Thanks to a combination of factors, hiring employees that truly fit your requirements can be a tricky process. SHRM’s Jennifer Schramm cites “a low number of applicants, lack of needed work experience among those that do apply, competition from other employers, and a lack of technical skills among job applicants” as obstacles that employers face these days.

    When it comes to finding the right applicant for the job, it’s important to know where to look. Here’s where you should consider looking to find the quality talent your business needs to grow.

    Image of employee recruiting for businesses.

    Consider Employee Referrals and Networks

    Employee referrals are a way to utilize the way to utilize personal and professional networks to your company’s advantage. An internal referral program can be a very effective way to find quality employees, particularly if the referrals lead to new company leaders or management. 

    Engaged employees will have a good understanding of what it takes to fit in at a company and are more likely to want their company to succeed. Because of this, they may refer friends and colleagues who may suit your open positions. They’re also less likely to refer unqualified friends and family because their reputation may be affected by a bad suggestion. Ultimately, a 2016 Gallup study showed that “internal referrals were more than 40% more likely to interview successfully and be offered a spot in the program than candidates who applied through the company’s media channels.”

    Use Social Media

    If you’re looking for a very specific type of applicant, social media may work for you. Social media recruitment ads can help you get your open position in front of a large audience of people that match your qualifications. Facebook advertising in particular allows you to get extremely granular in your targeting. You can narrow down your search to people with certain job titles, who work in specific industries, and live in a certain area. With a well-made social media ad, you can reach a large group of targeted people.

    Another benefit of using social media is that it can allow companies to weed out bad candidates. According to a Forbes article by TalentCulture CEO Meghan M. Biro, “61% of hiring managers found something they didn’t like on a candidate’s social media account, and 55% of hiring managers reconsidered the hire based on what they found.” A little bit of detective work on social media can help you whittle down exactly who you bring in for interviews and save you and your team some valuable time.

    Hire Internally

    Internal hires are already familiar with the company, so you know where they’ll stand when it comes to your corporate culture. You also won’t need to spend nearly as much time on orientation just to get them up to speed. University of Pennsylvania Wharton School professor Matthew Bidwell has also done research indicating that external hires can “earn 18 percent to 20 percent more than existing employees promoted to similar positions.”

    If your business requires somebody with a new skill set or a fresh set of ideas, external hires make sense. If you have people in your company that you believe can step up and do the job, an internal hire can be an effective – and cheaper – solution that can lead to more immediate results.

    Find the Right People for Your Business

    A targeted recruitment approach can help you find the right employees for your business. Of course, the search is just one part of a long, and potentially costly, process. 

    A Professional Employer Organization can help you recruit, train, and retain quality employees. Our experts can help you identify the most qualified job candidates and offer them attractive benefits. Contact us today to talk with one of our experts about employee training and recruiting services that will help you grow your business. 

  • Employee training is an effective way to teach new employees and develop existing workers. However, employers may be concerned about related expenses, as employee training has been estimated to cost around $1,888 per employee for companies with fewer than 500 workers. 

    That’s quite a bit of money, but the cost of training can be well worth the investment. Here are three big reasons why a commitment to employee training is a great financial decision for your business.

    Image of employee training to keep your workforce engaged.

    Training Keeps Employees Engaged

    Employees want to feel like their boss cares for their future. Research-based consulting company Gallup reports that 87 percent of millennials find professional or career growth and development opportunities important for their jobs. 69 percent of non-millennials agreed.

    Investing in employee development can help advance your employees and show them that you value their future and contributions to your business and improve engagement. According to Gallup, improved employee engagement can have a huge impact on your business. Gallup shared the difference between companies with the best and worst rates of employee engagement. The top companies enjoyed the following benefits:

    • 37 percent less absenteeism
    • 48 percent fewer safety incidents
    • 41 percent fewer quality defects
    • 21 percent greater productivity
    • 22 percent greater profitability

    Training Lowers Staff Turnover

    Another benefit of engaging your workforce with training is that it can help you retain good employees. The initial onboarding experience can have a major impact on whether an employee stays with a company or heads off for a new opportunity. 

    The Society of Human Resource Management (SHRM) reports that “newly hired employees are 58 percent more likely to still be at the company three years later if they had completed a structured onboarding process.” That’s a huge difference since a lower turnover rate does more than just keep familiar faces around the office. Performance-based training organization Dale Carnegie reports that businesses in the U.S. collectively lose around $11 billion each year due to employee turnover.

    Training Develops Employees for the Present and the Future

    Training can better prepare your employees for their tasks, allowing them to be more efficient and effective. Ongoing training and development also allows you to groom your employees for bigger and better roles. 

    By developing talent internally, you can promote an employee who already knows the ins and outs of your business. That allows you to avoid some extra hiring costs, as SHRM reports that “external hires earn 18 percent to 20 percent more than existing employees promoted to similar positions.”

    Investing in Your Employees and Your Future

    The right employees can make a major difference for your business. We can help you invest in your current and future workers through employee training and recruiting services. Contact us today to talk to one of our experts about how we can help you recruit, train, and retain your employees and keep them engaged and effective.

  • Immigration has been a hot topic ever since President Donald Trump was elected. New changes have put a focus on new and potential laws that will impact employers all over the country, including the update to the I-9 form and potential expansion of the E-Verify program.

    The New I-9 Form

    Federal law requires that American employers have new employees complete the I-9 form to verify employment eligibility to dissuade companies from hiring people not authorized to work in the U.S. A new version of the I-9 form went into effect earlier this year, so U.S. Citizenship and Immigration Services (USCIS) requires that any employees hired after Jan. 21 must now fill out the latest version of the I-9 form within three days of their start date. Existing employees do not have to complete the new form.

    This new version of the I-9 form also comes with an increase in penalties for employers who fail to use it. According to the Society of Human Resource Management (SHRM), those fines are almost double that of past penalties, while fines for unlawful employment of immigrant workers also received a major increase.

    Mandatory E-Verify?

    The electronic verification program, also known as E-Verify, allows businesses to determine if their employees are eligible to work in the U.S. The program has been mandatory for most businesses since it was introduced in 1996. That may be about to change. 

    SHRM reports that E-Verify could become mandatory for all U.S. businesses. Trump’s proposed 2018 budget even set aside $15 million to help implement mandatory E-Verify programs. The current program still has some issues that will need to be fixed before implementation can go into full effect, but that mandatory E-Verify is closer than employers may have thought.

    Prepare for the Future

    As immigration reform continues to be a big topic in our nation’s capital, business owners need to prepare themselves. It can be hard to stay up to date on new legislation or government initiatives, which is why it can help to turn to an expert for help. 

    As a Professional Employer Organization, we can keep you up to date on how immigration reform can affect your human resource functions. We are also an enrolled E-Verify agent and can help get you prepared for the future. Contact us today to learn more. 

  • Professional HR conferences are a great opportunity for organizations to discover new ways to improve. For an HR professional, they provide a way to network with fellow experts in the field and learn about new tools, resources, and strategies. For a business owner, they offer a deeper understanding of how HR functions affect their business and provide a chance to allow their employees to find ways to strengthen the organization.

    Every year, there are several HR conferences that organizations can choose to attend, whether those attendees need to earn Society for Human Resource Management recertification credits or simply want to learn more ways to help grow their organization. Here are some notable HR events to look out for in 2018.

    Image of an HR conference. Use our 2018 HR Conference calendar to find out about new learning opportunities.

    Top HR Events in 2018

    HR Metrics and Analytics Summit

    Feb. 26-28 – Orlando, Fla.

    Hear from HR leaders and experts about how organizations can use analytics to improve employee engagement. 20 different speakers will be on hand to provide tools and resources that can allow experts to use data to help organizations handles HR needs.

    18th Annual Talent Management Strategies Conference

    Feb. 28-March 1 – New York City

    The Conference Board invites attendees to “Perform into the Future” by learning how leading organizations prepare for upcoming talent management challenges. Topics discussed will include diversity, digital talent management, and human capital analytics.

    SHRM Employment Law & Legislative Conference

    March 12-14 – Washington D.C.

    Check out more than 30 sessions about legal, legislative, and judicial decisions can impact your organization. As a Society for Human Resource Management event, this conference gives you the opportunity to learn ways to protect your organization and manage risk while earning recertification credits.

    2018 Northern OHIO Human Resource Conference

    March 22-23 – Cleveland

    The Northern OHIO Human Resource Conference is perfect for HR professionals who want to find new ways to plan, construct, and manage their profession. Speakers will be on hand to present new ideas and trends in all HR specializations so that attendees can discover new tools and methods that change the way they approach their profession.

    WorkHuman 2018

    April 2-5 – Austin, Texas

    This event touts itself as the “HR conference of the Human Decade.” WorkHuman is designed for HR leaders to learn about the business value of building human-centric workplaces that allow people to feel empowered, appreciated, and productive.

    SHRM Talent Conference & Exposition

    April 16-18 – Las Vegas

    An event designed for recruitment and talent management professionals to see more than 80 sessions about resources, innovations, and solutions that can help organizations develop successful human capital strategies and focus on quality talent.

    HR People and Strategy Annual Conference

    April 22-25 – Scottsdale, Ariz.

    This event explores the role HR plays in bringing people and technology together to create successful organizations and how those HR functions can shape and improve employee expectations and performance. 

    World at Work 2018 Total Rewards Conference and Exhibition

    May 21-23 – Dallas, Texas

    Employee engagement and rewards play a big part in engaging workers. This event hosts more than 200 speakers sharing strategies on benefits, compensation and other crucial HR functions that can impact your organization.

    SHRM Annual Conference & Exposition

    June 17-20 – Chicago

    SHRM’s main annual event is designed to offer tools and resources to help organizations implement successful HR practices and deepen attendees’ understanding of leadership and motivation. The event features over 200 concurrent sessions organized into six different tracks: Business & HR Strategy, HR Compliance, Global HR, Professional Development, Talent Management, and Total Rewards.

    Workplace Benefits Summit

    Sept. 24-26 – New Orleans

    More than 700 benefits professionals make their way to this event to learn more about recent benefits technology and what can be done to achieve greater levels of success that will help them grow their organization.

    SHRM Leadership Development Forum

    Oct. 1-3 – Boston

    Good leadership is crucial for HR experts. This SHRM event provides attendees with the knowledge and resources necessary to develop leadership capabilities that can help them develop HR functions and guide others in their organization to achieve major goals.

    SHRM Diversity & Inclusion Conference & Exposition

    Oct. 22-24 – Atlanta

    This conference is designed for HR generalists or managers to learn more about diversity & inclusion programs and initiatives. Attendees can learn how to implement these initiatives and make them a critical part of an organization’s culture and success.

    Add HR Expertise to Your Organization

    From the extensive lists of conference topics above, it is clear the scope of HR has continued to grow over the years. Improving your HR functions plays a critical role in making your organization safer and stronger for years to come, but it can be difficult for owners and HR professionals to find the time to manage everything. 

    A Professional Employer Organization can help your business manage multiple HR functions, saving your team time while strengthening your business at the same time. Contact GMS today to talk to one of our experts about how we can help your business through HR outsourcing.

  • The end of a calendar year usually causes business owners to do two things: Review the past year and learn from its successes and failures. They also start looking to the new year and set their expectations of what they want to accomplish. While a Professional Employer Organization (PEO) can’t help you with the former, it can help you tackle the latter.

    Image of a small business owner planning for 2018 HR challenges.

    HR Challenges for 2018

    Employee Benefit News recently published an online article about the 15 biggest HR challenges businesses will face in 2018. [link to https://www.benefitnews.com/slideshow/the-15-biggest-hr-challenges-in-2018]. The good news is that apart from cyber breaches and data security, a PEO can help your business with 14 of them.

    1. Republican administration and federal issues
    2. State and municipal issues
    3. Workforce planning
    4. Cyber breaches and data security
    5. Recruiting
    6. Technology
    7. Workplace violence and active shooter situations
    8. Employee leave
    9. Benefits and the Affordable Care Act
    10. Employee well-being and mental health
    11. Employee handbooks
    12. Drug testing and substance abuse
    13. Diversity and inclusion
    14. Pay equity and salary history bans
    15. Harassment

    Large companies with internal HR departments have the resources to hire people to help them navigate these minefields. How can a small business owner compete with that?

    The simplest way possible is to partner with a PEO.  A PEO works with small business owners to give them the same buying power and infrastructure as a large organization through a co-employment relationship. This relationship allows the PEO to act as a large company with the same buying power as any company with thousands of employees. It also gives small companies certified experts in payroll, taxes, benefits, risk management, and human resources, typically for less than it would cost to hire one of these people.

    Partner with a PEO to Tackle 2018’s HR Challenges

    Now, with the implementation of the federal government’s Certified PEO program, business owners can have even more confidence in the financial stability and liability assumption of a CPEO. If you have questions about how GMS can help you tackle the latest HR issues, contact us today.

  • From payroll to benefits to recruitment, human resources is an important function that keeps a business running. And like any other business function, the management and implementation of these HR responsibilities all incur costs that you’ll need to factor into your budget as you plan for the new year.

    Whether you’re basing your budget on last year’s expenditures or planning every budget item from scratch, it’s important to review your different HR needs, so you don’t come up short in the places where you need extra funds. The better you can understand these HR costs, the better you can plan what the next year will look like for your company. Done well, an HR budget will help to prevent over-hiring and understaffing and ensure you have the resources to keep your team engaged on the job. Here are some key HR components that you should consider when planning a yearly budget.

    Image of money set aside for HR budgeting items for next year.

    Recruitment

    There is one big question when it comes to employee recruitment: How many people do you expect to add next year? The answer to that question will dictate how much you’ll need to put into recruitment efforts for your business.

    Employee recruitment can be expensive. The Society for Human Resource Management (SHRM) writes that companies spend an average of $4,129 per hire in recruitment costs. These costs include attempts to find candidates and actions to help qualify those targeted recruits, such as:

    • Advertising
    • Travel and events (e.g., College job fairs)
    • Drug testing
    • Background checks
    • Agency fees
    • Relocation

    Not to mention, you’ll have to account for the time it takes to screen and interview candidates, which could take anywhere from a couple of weeks to a few months. Every hour spent during the hiring process is an hour taken away from other essential business tasks. 

    Whether you’re looking to expand your staff or work in a high turnover industry, you should create a budget for your planned recruiting efforts. If you’ve been keeping track of how much you’ve spent on recruiting in past years, extrapolate that number based on how many candidates you want to hire in the coming year so that you don’t come up short when you need to fill an important position.

    Training and Development

    Once you hire new employees, you’ll need to train them. Not only can training better prepare your new employees for their positions, “95 percent of hiring managers considered employee training as a key retention tool,” according to a study conducted by the Chartered Institute of Personnel and Development.

    Of course, training and development costs money. According to the Association for Talent Development, the average cost of training is $1,888 per employee for businesses with fewer than 500 workers. These costs can include:

    • Internal training programs
    • Event registration fees
    • Travel expenses
    • Educational materials
    • Consulting fees

    Employee Wages and Salaries

    Payroll is one of the biggest items that you’ll have in your HR budget. The Houston Chronicle estimates that the average business spends somewhere between 15 to 30 percent of its gross revenue on payroll, although companies in the service industry may be closer to the 50 percent range. Regardless of your industry, make sure to take employee salaries into account, plus any estimated costs for any new employees you expect to add on in the coming year.

    While salaries are a huge part of your compensation budget, there are other considerations as well, such as payroll management costs, potential overtime hours, and any incentive programs. This also includes any raises, whether you give employees raises that coincide with performance evaluations or annual cost of living raises to account for inflation.

    Employee Benefits

    In addition to employee pay, there’s also a wide variety of benefits, such as health insurance, 401(k) contributions, and any other ancillary benefits, that you may offer as part of your overall employee compensation package. These costs will require a portion of your HR budget, too. 

    If you offer health insurance, as many small businesses do, it will likely take up a sizable portion of that budget. According to SHRM, the “average cost of providing healthcare makes up 7.6 percent of a company’s annual operating budget.” As an employer, you can control some of these costs by electing how much of the health insurance premium you’ll contribute and how much will be your employees’ responsibility. As you go through the budgeting process, you’ll want to account for any possible increases for next year’s health insurance premium, as well as review your contribution strategy. Keep in mind, these healthcare costs don’t necessarily include other insurance benefits you may offer, such as dental, vision, and life insurance. 

    Additionally, if you contribute to your employees’ 401(k) retirement plans, you’ll need to factor these amounts in to your budget as well. Fortunately, this should be an easy line item to budget for next year. Since it’s a fixed percentage, you can estimate that all employees will receive a specific amount.

    Employee and Labor Relations

    While compensation, benefits, and training can go a long way toward improving employee morale, there are some other measures you can take to reward workers. These include:

    • Service awards
    • Recognition efforts
    • Performance and attendance incentives
    • Company events
    • Employee birthday perks and gifts

    These items may not make up a massive part of your budget compared to other key HR needs, but they can be important additions to your company culture. Also, you never want to find out that you have to cancel those service awards because you forgot to plan ahead for them in past budgeting meetings. 

    On the flip side, you may also want to consider setting aside a small portion of the budget in case you face any labor relations issues. Budgeting for outplacement or legal fees can help your business prepare in case you have any unexpected issues in the upcoming year. 

    Health, Safety, and Security

    HR budgeting also gives you a chance to invest in the well-being of your employees by making your work environment a safer, healthier place. By putting aside some of the budget for certain programs or initiatives, your business can reap the rewards of focusing on health, safety, and security.

    In terms of workplace safety, GMS’ own Jeff Costin notes that workplace safety programs can increase workplace productivity, improve retention rates, and reduce costs affiliated with injuries at work. Budgeting for safety training programs, new safety manuals, regular inspections, and other strategies can help you manage workers’ compensation claims costs and make your workplace safer in the coming year.

    Budgeting for health-related programs can also be a worthwhile expense to plan for the next year, as 75 percent of all healthcare costs are attributed to preventable conditions. A workplace wellness program can help your employees develop a healthier lifestyle through a variety of initiatives, such as:

    • Smoking cessation programs
    • The addition of a fitness facility or space
    • Health screenings
    • Lunch and learn events

    An HR Budgeting Partner

    Once you have your HR budget in place, you’ll need to have the support to move forward with all your plans and manage your HR administration needs. A Professional Employer Organization (PEO) like Group Management Services (GMS) can help businesses manage these HR functions, including payroll and benefits administration. 

    If you have any questions about how to get the most out of your HR budget or are worried about any compliance concerns associated with managing HR, contact GMS today to talk with one of our experts about how we can help your business prepare for the future.

  • When the Trump Administration took office back in January, most people believed that they were going to focus on three things:

    1. The repeal and replacement of the Affordable Care Act
    2. Tax cuts
    3. Tightening the country’s borders as it pertained to immigration

    We all know what happened with the repeal and replacement of the ACA. The Republicans have tried a couple of times, but simply do not have the votes to make it happen, even in their own party.

    Anyone who has seen attempts at tax cuts over the last 30-plus years knows how challenging the passage of that can be.

    That leaves immigration. There’s been a lot of squabbling about walls, travel bans, and the such, but some things seem to have gone under the radar.

    Image of changes in immigration regulations for businesses.

    How Changes in Immigration Regulations Can Affect Small Businesses

    Through the use of an Executive Order, President Trump has authorized the hiring of some 10,000 new immigration officers. Depending on where you stand on the immigration issue, that could be a good thing or a bad thing. As a business owner, this means an increase in the likelihood of workplace raids or immigration audits by Immigration and Customs Enforcement (ICE).

    Additionally, recent changes in immigration regulations have allowed for the extension of some foreign workers’ employment authorization. This creates a need for the re-verification of an employee’s immigrant status through an I-9 form.

    U.S. Citizenship and Immigration Services (USCIS) has released yet another new revision to the Form I-9 for employment eligibility verification. The revised Form I-9 became effective Sept. 18, 2017. If your company happens to be targeted for an audit or a raid, you will need to have your I-9 forms up to date.  

    In a rare example of government agencies working well together, the Department of Homeland Security has increased the penalties for I-9 form violations by 96 percent. That means the range of fines is now between $216 to $2,156 PER I-9 FORM.

    Find Out Where You Stand with the New I-9 Forms

    If you’re concerned about your status and which form you need (Is the old one still valid? Do I need all new ones?), you can work with an attorney or an HR consultant. Another option is to consider bringing on a Professional Employer Organization, like GMS, who does employee file audits as part of its HR services. Contact GMS today to talk to one of our experts about compliance needs for new immigration regulations.

  • As the years go by, HR administration continues to evolve. The growing need for improved operational efficiency and compliance has led more business owners to turn to HR experts for help managing crucial business functions. 

    This expansion has been so great that the Professional Employer Organization industry has nearly doubled to around $168 billion dollars in the past six-and-a-half years. The need for human resource outsourcing isn’t just a need for one or two different industries, as HR providers saw a 23 percent or greater increase in business from blue collar, white collar, and grey collar businesses. 

    While businesses often turn to PEOs for help with benefits administration and risk management services, there are other additional HR functions and benefits that have become more popular in recent years. Two of the more intriguing recent trends in human resource outsourcing is a move toward investing in online payroll and workplaces wellness programs.

     Image of a workplace wellness program, a recent human resource outsourcing trend.

    Online Payroll

    Technology is giving businesses a greater ability to track and store crucial business information. Outsourcing online payroll services to a PEO is one way businesses are taking advantage of advancing online capabilities to improve business efficiencies and save money.

    According to a survey conducted by cashflow management site Bill.com, nearly half of accounting professionals wish that they could eliminate paper checks. With online payroll services, you can. Nearly half of CEOs name sustainability as a top-three initiative for their organization, and a paperless workplace can help your business take a big step toward that goal.

    More businesses are turning to online payroll because it benefits your business, your employees, and the environment. Businesses benefit from a streamlined payroll solution that cuts down on management time and allows you to manage and access all your important information from anywhere. This easily-accessible system also makes it easier for employees to track time and access W-2s and paystubs. Finally, the lack of physical checks and files lowers your paper usage and storage, aiding the environment and allowing you to “save between $2.87 and $3.15 per pay run by paying employees electronically” according to Business News Daily.

    Workplace Wellness Programs

    These days, businesses are looking to pump up their health-related benefits offerings, especially workplace wellness programs and other related wellness perks. According to a research report by the Society for Human Resource Management, 24 percent of organizations increased wellness benefits in 2016, more than any other specific type of benefit. 

    Why are businesses gravitating toward adding wellness benefits? SHRM offers the following reasons:

    • 88 percent of organizations with a wellness program rated their initiatives as somewhat or very effective in improving employee health
    • 77 percent of organizations indicated their wellness program was somewhat or very effective in reducing health care costs
    • 53 percent of organizations wanted to create a culture that promotes health and wellness

    A workplace wellness program is a great way to benefit both your employees and your business by actively promoting a healthier lifestyle inside and outside the workplace. The CDC Foundation notes that the average productivity loss linked to absenteeism was $1,685 per employee. Promoting wellness can improve the lifestyles of your employees and help you cut down on productivity loss and rising healthcare rates.

    Take Advantage of HR Outsourcing Trends

    Whether you’re looking for help managing the latest HR trends or more traditional business functions, a PEO can be the way to go. A PEO can help you manage a wide variety of critical tasks through, offering a variety of the benefits associated with HR outsourcing, such as saving yourself time and money while protecting your business from compliance concerns or retention woes. Contact GMS today to talk to one of our experts about how we can help your business manage HR.