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  • You need to identify problems before you can fix them. Inefficiencies, non-compliance, and other issues with HR policies can hurt your business, especially when you’re not sure why they exist. Fortunately, you don’t need a private-eye to get to the bottom of this mystery. What your company could use is a good human resource audit.

    Professional Employer Organizations can perform HR audits and provide recommendations on where you can improve. Here are three reasons why it might be time for your business to undergo an HR audit.

    Image of a frustrated owner. Human resource audits can help uncover sources of stress and strengthen your business.

    You’re Worried About Compliance

    Whether you’re not sure if your business is compliant or you know that there are lingering compliance issues, an audit can help. There are dozens of HR components and non-compliance can lead to costly fines. An HR audit will help uncover any compliance issues and help you take steps to fix them.

    There’s Miscommunication Between Departments

    Since there are several HR components, it can be easy to lose track of them and develop deficiencies in certain areas. This can lead to a lack of communication with various business departments. An audit can help get your business and its employees back up to speed on the state of your company’s HR.

    I’m Spending Way Too Much Time

    HR audits help businesses uncover more than just issues within human resources. As a business owner, you may be taking the lead on managing your company’s HR. Unfortunately, you may be spending so much time on it that it’s hurting your ability to focus on other areas of your business. An HR audit can help you discover more efficient and effective ways to manage human resources so that you can work on growing your business instead.

    Schedule a Human Resources Audit

    Business owners may be experts in their fields, but they’re not always able to effectively manage HR for their companies. Group Management Services can perform HR audits to analyze your business for compliance, best practices, strategy, and other specific functions. A dedicated HR specialist will then provide you with a comprehensive report and provide any recommendations on how you can improve internal processes and strengthen your business. Contact GMS today to schedule an HR audit today.

  • Most entrepreneurs start a business based on something they are passionate about. For the majority of auto shop owners, their dream started working on cars. When that passion turns into a business venture, it quickly becomes apparent that running your own auto shop requires more than just a love of cars.

    Leading a group of people, keeping systems in place to track hours, and tracking employee history are just a few of the tasks that shop owners handle on an everyday basis. Owners have enough on their plate in handling day-to-day business, but the work is not done when the shop closes. Here are some of the most common HR issues facing these small business owners.

    Image of an auto repair employee. Contact GMS about human resources help for the auto industry.

    Employee Recruitment and Retention

    Through the combination of an aging workforce and a lack of good, young workers, an inevitable skills shortage looms near. As the industry grows with technological advancements driving consumer demand, the need for quality employees is greater than ever, but younger workers are shifting away from a career path as an auto technician.

    According to the U.S. Bureau of Labor Statistics, “more than 237,000 jobs are expected to open up in the automotive repair field between 2014-24.” With a large volume of auto techs retiring in the coming years, and a lack of skilled replacements entering the industry, there is a huge emphasis on recruiting and retaining quality workers. 

    Record Keeping

    Documentation is an often overlooked aspect of running any business. Shop owners must have detailed manuals setting the expectations of the position. These documents must be updated every year to make sure you are keeping up to date with any changes in the industry. 

    If you fail to provide this information to employees, it is difficult to hold them accountable. Throughout their employment, you must keep detailed records of their employment history, including any disciplinary actions taken throughout their time with the company. Should their actions require termination, you will have all of the information in their employee file to help protect your company from any claims of wrongful termination or other legal action. 

    According to the Hiscox Employee Lawsuit Handbook, “19% of employment charges resulted in defense and settlement costs averaging a total of $125,000.” The time and money associated with these potential lawsuits only further support the need to document everything.

    Compliance

    Automotive technicians face a much higher volume of potential workplace hazards than employees in most other industries, therefore the Department of Labor and the Occupational Safety and Health Act has stringent workplace standards for employees. 

    The use of tools and machinery, as well as toxic chemicals, creates an environment that justifies regulation. OSHA breaks down the primary risks stating, “Chemical hazards may include volatile organics from paints, fillers and solvents; diisocyanates, polyisocyanates, and hexavalent chromium from spray painting operations; silica from sandblasting operations; dusts from sanding; and metal fumes from welding and cutting. Physical hazards include repetitive stress and other ergonomic injuries, noise, lifts, cutting tools, and oil and grease on walking surfaces.”. A list of the most common citations can be found here.

    Partner with a PEO

    Many shops across the country are turning to Professional Employer Organizations to handle all of these Human Resource functions, so owners can focus on the business. No more late nights in the office running payroll, reviewing candidates, and updating handbooks. Contact GMS today to see how we can make your business simpler, safer, and stronger!

  • The trucking industry has played a significant role in the industrial development of the U.S. over the past century, providing a link from manufacturers to consumers. Over that time, there have been major advancements in everything from our interstate highway system, to governmental safety regulations, to the tractors and trailers themselves.

    Today, the transportation industry faces several challenges, many of which are related to consistent changes in the regulatory environment. The American Transportation Research Institute released a report in October of 2015 that listed the top 10 issues facing the trucking industry. The top three (in order) were Hours of Service Regulations, the Compliance, Safety, Accountability (CSA) Program, and Driver Shortage.

    Image of a truck on the highway. Contact GMS about how a PEO can help transportation companies with HR functions.

    Hours of Service

    For the third year in a row, the ATRI report has listed HOS rules as the top issue facing the transportation industry. There have been several changes and adaptations of these regulations over that time. 

    The Federal Motor Carrier Safety Administration (FMCSA) states, “You must follow three maximum duty limits at all times. They are the 14-hour “driving window” limit, 11-hour driving limit, and 60-hour/7-day and 70-hour/8-day duty limits.”

    What this means is that a driver can only drive 11 hours in a 14-hour “driving window.” The driving window includes any stops or non-driving activities in that window and must include a 30-minute break after eight consecutive hours of driving. Once that window is up, it must immediately follow with 10 consecutive hours off. 

    The second part of that equation is the 60-hour/7-day and 70-hour/8-day duty limits. If the company does not operate vehicles every day of the week, the cutoff is 60 hours driven in 7 days, and 70 hours driven in 8 days if the company operates 7 days a week. All of this information is now tracked through government mandated electronic logging devices (ELDs) for all professional truck drivers and commercial motor carriers. 

    This has caused a perceived lack of flexibility and limits the production of this already under-manned workforce. 

    Compliance, Safety, and Accountability 

    According to the FMCSA, the CSA is an “initiative to improve large truck and bus safety and ultimately reduce crashes, injuries, and fatalities that are related to commercial motor vehicles.”

    The primary tracker for this initiative is the Safety Measurement System (SMS), which measures the performance of drivers and carriers based on seven Behavioral Analysis and Safety Improvement Categories (BASICs). The seven categories are Unsafe Driving, HOS Compliance, Driver Fitness, Controlled Substances/Alcohol, Vehicle Maintenance, Hazardous Materials Compliance and Crash Indicators.

    The ATRI report disputes the effectiveness of these measurements being good predictors of crash risk. The report goes on to indicate inconsistencies in how this information is gathered and tracked from state to state, indicating a system that may need to be re-evaluated. 

    Driver Shortage

    According to a 2015 report by the American Trucking Association, the estimated driver shortage is currently 48,000. There are believed to be several factors affecting the shortage in drivers, along with the regulations discussed above. Long hours, fair compensation, high turnover rates, and time away from loved ones are just some of the factors that have made it difficult for the industry to hire and retain drivers. 

    Conclusion

    The trucking industry is not going away any time soon, as the demand of these services far outweighs the supply of current operators. Owners are facing greater challenges than ever before. Working with a PEO like GMS can take a lot of these issues off their plate and allow them to focus on the business. Contact GMS today to learn more about our HR services and how we can make your business simpler, safer and stronger. 

  • Why did you start your business? Maybe because you are good at doing something. Maybe because you can offer a service that not many others can.

    You worked hard to grow your business, to show everyone why they should use your company for their needs. You are a professional, and nobody knows your business better than you do. So why would you ever consider outsourcing back office tasks to a PEO if you can do them yourself?

    At the end of the day, we all want the same thing: to be successful. Sometimes, to succeed we need to embrace the fact that we can’t always do everything ourselves.

    Image of a human resources outsourcing company.

    Why it Can Pay to Outsource to a PEO

    PEO stands for Professional Employer Organization. Just like you are a professional in your industry, GMS is a professional in ours. If you care about your business and your employees, you want to make sure that your company is a well-oiled machine! That’s why our team of well-versed, educated, and honest specialists help small to mid-sized businesses thrive every day. 

    We believe that just because you don’t have thousands of employees doesn’t mean you shouldn’t have access to the same buying power or experts! 

    As a business owner, doing everything yourself can be overwhelming, especially when you find that some areas are getting neglected or are distracting you from the business. 

    By outsourcing basics like payroll management, workers’ compensation claims, benefits administration, and any human resource function to GMS, you can acquire better, less expensive services than if you were to go hire an individual to do that for you. 

    A PEO can help you go back to focusing on your business knowing that these things aren’t just being done, but that they’re being done right. Contact us today to talk to a GMS representative about how we can help you and your business.

  • As your business grows, so will your team. Adding new employees is a big part of any business, but it can be a problem if you hire new people when your business isn’t ready to take on more staff. Here are some things you should think about when you’re considering hiring additional employees.

    Image of a new hire. Learn about hiring tips from GMS.

    Good Timing

    Before you go and start hiring people, you should ask whether or not it’s a good time to do so. The hiring process can take weeks, so it’s important to time up new additions to the team. If you’re looking to fill a position right away, start your search now. If you want to time it up with a seasonal change or so that you aren’t training right during busy season, adjust your hiring search appropriately.

    Money

    Once you’ve determined that it’s a good time to hire new employees, you should think about how this move will affect you financially. An important factor to consider is if you can afford to hire someone. If you don’t have it in the budget to do so and there aren’t any indicators that business is trending up, it may not be in the cards to hire at that moment. However, if you can justify that bringing in additional help can drive revenue, then hiring is still an option.

    There are also some hidden costs of hiring that you may not expect, such as the time you’ll have to invest in employee interviews and training for new hires. You’re going to want to spend enough time finding and developing the right team, so make sure that you’re prepared to set some time aside to do so.

    Promote or Hire?

    Not all hires need to be done outside of the company. Depending on the opening, it may be beneficial to promote someone else at the company if they’re qualified and willing. This can lead to lower hiring costs and less time dedicated to training. However, some positions may not be easily filled without outside applicants. Consider each position and see which approach best fits your business’ needs. 

    Are Your HR Functions in Place?

    Growing a business is exciting, but it can also lead to more HR responsibilities. That’s why Professional Employer Organizations like Group Management Services offer ways to work with you to strengthen your HR functions while your business grows. Contact GMS today to talk with one of our experts about employee training and recruiting and other important services.

  • It’s common for HR professionals to field questions about compliance and discrimination concerns. One question that some small business owners ask is how LGBT and gender requirements can impact their company. There are many laws and protections in place to prevent discrimination based on gender identity or sexual orientation that employers should know about.

    LGBT and Gender Discrimination Laws and Protections

    To start, The U.S. Equal Employment Opportunity Commission (EEOC) is in charge enforcing federal laws that make discrimination illegal. This means that the EEOC “interprets and enforces Title VII’s prohibition of sex discrimination as forbidding any employment discrimination based on gender identity or sexual orientation. The protections apply regardless of any contrary state or local laws.”

    The courts have held that Section 4112 of the Ohio Revised Code does not apply to sexual orientation. However, there have been state and federal government actions that do offer Ohio employees some protections from discrimination. 

    Gov. John Kasich used Ohio Executive Order 2011-05K to declare that persons employed by the state would not be discriminated against based on their sexual orientation in matters of hiring, layoff, termination, transfer, promotion, demotion, or rate of compensation. Former Gov. Ted Strickland also issued Executive Order 2007-10S that prevented the discrimination based on gender identity. In addition, former President Barack Obama signed Executive Order 13672-2014, which prohibits federal contractors and subcontractors from discriminating against others based on both sexual orientation and gender identity.

    Additional protections against discrimination involve insurance coverage. According to HealthCare.gov, “An insurance company that offers health coverage to opposite-sex spouses must do the same for same-sex spouses.” Insurance companies can’t discriminate against same-sex couples who are legally married in a jurisdiction that can authorize the marriage. This is the case regardless of the state where the couple lives, where the insurance company is based, and where the plan is sold, renewed, or in effect.

    Potential Transgender Workplace Issues

    Aside from hiring, layoff, termination, transfer, promotion, demotion, or rate of compensation decisions, there are other potential issues that employers should consider for transgender employees. For instance, the state of Ohio allows a transgender person to change their name and employers must accept this change.

    Another issue involves company bathrooms. According to Obergefell and LGBT Employment Law, “If fellow employees do not want the transgendered person, either before her gender transformation or during it, to use their bathroom, the employer must still offer the transgendered employee a bathroom. There is no law to force employers to honor the new gender for bathroom assignment. The best practice is to have the transgendered person use the bathroom that is identified with her gender identity and tell employees who do not want to share with her to use an alternate bathroom.”

    Preventing LGBT and Gender Discrimination Claims

    Over the years, the EEOC has received “1,412 charges that included allegations of sex discrimination related to sexual orientation and/or gender identity/transgender status.” Examples of LGBT-related sex discrimination claims include failing to hire an applicant because she’s transgender or harassment of an employee because of their sexual orientation or gender identity.

    Of those 1,412 charges, the EEOC resolved 1,135 of them, leading to employers paying out $3.3 million in monetary relief for the affected workers and to make changes to prevent future discrimination.

    As discrimination laws continue to evolve, it’s crucial that business owners make sure that they are following every regulation in place to prevent discrimination in the workplace. A Professional Employer organization can provide human resource management to make sure your business is following all the necessary laws and that any important internal documents, such as your employee handbook, are updated 

    for any changes in LGBT and gender discrimination laws and protections. Contact us today to talk to one of our experts about how we can help your business today.

  • Employee retention is a significant area of focus for most  business owners. According to talent management and HR site ERE Media, “78 percent of business leaders rank employee retention as important or urgent,” showing that the average owner wants to avoid losing good talent. 

    There are many reasons why an unexpected departure can prove problematic for employers. It can disrupt workflow. It can have a negative impact on chemistry. Also, it can cost up to 50 percent of an entry-level employee’s annual salary to find someone to replace your outgoing employee. That’s a pricey goodbye.

    Retention is a big issue that many employers want to address before their company turns into a revolving door for talent. Fortunately, Professional Employer Organizations can help your business improve employee retention. Here’s how.

    Attract the Right Employees

    Excited about a new employee you just hired? There’s a chance that he or she might not stick around for too long. The Society for Human Resource Management cited a study in which one-third of new employees left their jobs within six months.

    An important part of retaining employees is to find the right people  from the start. Rushing through the hiring process or settling on a candidate can lead to personnel who just don’t fit your company. A PEO has a dedicated group of experienced recruiters on staff that can manage every step of the hiring process to ensure that you put your business in the best position to hire the right candidate. This includes the initial phone interview, background screening, and other services, while the employer still retains control of final hiring decisions. 

    Utilize Employee Training and Onboarding Programs

    Once you hire someone, you should put them in the best position to succeed. That includes proper onboarding and training. According to SHRM, “66 percent of companies with onboarding programs claimed a higher rate of successful assimilation of new hires into company culture, 62 percent had higher time-to-productivity ratios, and 54 percent reported higher employee engagement.”

    That initial amount of time spent to  integrate your new worker into the company can help them understand their roles and feel at home. A PEO can help your business set up proper training programs to ensure the employee is set up for success in their current career path.

    Make the Business More Desirable to New and Current Employees

    A well-trained employee is a great start. Now you have to make sure that they don’t get entranced by what they see as greener pastures. A SHRM survey shows that 60 percent of employees view their benefits package as a major contributor to their overall job satisfaction. 

    Without the right package in place, your business may be at risk of losing top talent. A PEO can help you institute 401k and benefits plans that can add even more value to your employees’ current positions, as well as add extra incentive for potential job candidates.

    Focus on Growth with a PEO

    Investing on employee retention strategies is an important way to keep your team strong and retain new talent. However, proper hiring, training, and benefits packages are all time-consuming endeavors, especially for people with little-to-no training in those fields. With a PEO, that isn’t a problem.

    A PEO can manage important services like employee training and recruiting and benefits administration, allowing you to focus your time on growing the business. This growth makes the employer even more desirable to current employees and potential candidates. Contact GMS today to talk to one of our experts about what we can do help your business with employee retention.

  • 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.