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  • As we enter the new year, Pennsylvania and New Jersey residents should prepare for changes in health care regulations. This 2024 legislative lineup promises new improvements ranging from coverage for donor breast milk to prescription-free hormonal birth control. The following is what you should anticipate from these pivotal new laws.

    Pennsylvania’s Owen’s Law

    Pennsylvania’s Owen’s Law underscores the benefits of breast milk over formula, particularly for newborns battling severe health conditions. Under this new law, Medicaid will now cover the cost of screened, pasteurized breast milk for mothers who are unable to meet the demand themselves, helping the fight against newborn malnutrition and gastrointestinal issues. Taking effect around January 20th, 2024, Medicaid coverage applies when breast milk is essential for infants with certain serious conditions. Most of this milk is given to newborns in hospital neonatal intensive care units, and some are sold in outpatient settings but can cost as much as $4 per ounce.

    Patients’ Rights In Pennsylvania

    Another Pennsylvania law safeguarding patients’ rights requires health care providers to receive both verbal and written consent before performing pelvic, rectal, or prostate examinations on anesthetized or sedated patients. This addition to the state’s Medical Care Availability and Reduction of Error Act promotes autonomy by ensuring that patients are informed and gave consent to such procedures. This does not apply in cases of emergencies when exams are necessary for providers to reach a diagnosis or provide treatment.

    Detecting Illicit Substances In Pennsylvania

    A new law requires health providers in Pennsylvania to test patients for xylazine and fentanyl, drugs frequently implicated in overdose deaths across the state. In addition, hospitals must now provide patients with educational materials and resources about the risks posed by these substances. Coupled with state-wide reporting of positive tests, these changes offer a dual approach to curbing drug addiction: data-driven intervention strategies and targeted patient education.

    New Jersey’s Road To Accessible Contraception

    Meanwhile, in the neighboring state of New Jersey, the contraception landscape is being transformed. An unprecedented law passed in 2023 now enables pharmacists to dispense hormonal birth control without a prescription. This radically increases accessibility for those seeking contraceptives.

    Capping Essential Medicine Prices In New Jersey

    A critical move for residents with certain health plans, New Jersey Governor Phil Murphy has introduced price caps for essential medications, including EpiPens, insulin, and asthma inhalers. With these cost-control measures, out-of-pocket expenses will be significantly lowered. Patients will only have to cover capped costs of $35, $25, and $50, respectively, for these essential medications, offering relief for individuals managing these chronic conditions.

    How PEOs Help Navigate These New Health Care Laws

    Due to these groundbreaking new laws, 2024 signifies an exciting new chapter for health care in Pennsylvania and New Jersey. The changing landscape of health care laws in these states presents challenges and business opportunities. Partnering with a professional employer organization (PEO) like GMS stands as a proactive solution. By leveraging the expertise of a PEO, business owners can navigate the complexities of these new regulations, gain access to comprehensive health care options, and streamline HR operations. This partnership with GMS ensures compliance and fosters a thriving and resilient workforce, ultimately paving the way for sustainable growth in this evolving health care landscape. So, as the new year unfolds, let us keep an eye on how these laws shape the health care landscape in your state so you can focus on growing your business. Contact us today to learn more.

  • Health care costs in the United States have been steadily climbing, and the burden on employers providing health care benefits for their workforce is intensifying year by year. A recent report by Aon forecasts a looming challenge: average costs for employers covering their employees’ health care are projected to surge by 8.5% in 2024, amounting to over $15,000 per employee. This steep rise marks a concerning trend, nearly doubling the previous year’s increase of 4.5%, setting off alarm bells for companies navigating their health care budgets.

    Driving Factors Behind Escalating Costs

    Let’s take a look at three pivotal elements that are steering this surge in health care expenses.

    Inflation: The silent aggressor

    Inflation, accounting for roughly half of the cost hikes, substantially impacts health care expenses. The health care sector experiences a delayed effect due to multi-year provider contracts. Renewals in these contracts are causing providers to demand higher fees, thereby stretching the impact of inflation over several years.

    COVID-19’s lingering impact

    The aftermath of the pandemic continues to cast a shadow over health care costs. Medical utilization, which plummeted during the peak of the pandemic, is now reverting to pre-COVID levels. This resurgence in medical usage is a driving force behind the escalating health care expenditures for employers.

    Surging prescription drug costs

    Prescription drug expenses are spiraling at an alarming rate, surpassing the growth rate of medical costs. The use of specialty drugs such as GLP-1 and medications initially designed for diabetes, which are now being utilized for weight loss, have doubled between 2022 and 2023.

    Navigating The Way Forward

    The tight labor market continues to discourage passing higher health care expenses onto workers. However, future projections indicate an inevitable shift towards significant changes in employee contribution as employers prepare for 2025. Employers are creating strategies to manage costs, including targeted plan adjustments to address expensive medications and treatments. In addition, a shift in vendors is anticipated to secure better prices and discounts on health care services. The focus on mental health services is also expected to intensify, acknowledging the importance of employee well-being.

    How PEOs Are Revolutionizing Employee Benefits

    In the face of these health care cost escalations, employers find themselves at a critical stage where innovative solutions are imperative. The strain of balancing employee well-being with financial sustainability requires a strategic approach. This makes the role of Group Management Services, a certified professional employer organization (CPEO), crucial. GMS extends a lifeline to businesses, offering access to various benefits through our master health care plan (MHP). Through pooled resources, negotiated rates, and streamlined administration, GMS enables companies to combat increasing health care expenses effectively. By leveraging GMS’ buying power and expertise, businesses can navigate these unprecedented times and provide quality health care benefits to their employees while maintaining a competitive edge in the marketplace. Get a quote from us today and end the open enrollment period on a high note.

  • As the end of the year approaches, it’s time to review your HR policies and ensure they are up-to-date and compliant. HR compliance is intricate and constantly evolving. It’s a complex issue that can’t be overlooked or hastily reviewed, as noncompliance can have severe long-term consequences.

    Noncompliance can lead to significant penalties, damage to your reputation, decreased employee retention, and lower job satisfaction – all of which can have detrimental effects on your business. It’s crucial to be proactive to mitigate these risks. Regular audits, education on legal changes, and consistent policy enforcement can safeguard your organization.

    Moreover, a culture of compliance can enhance your company’s image in the eyes of potential talent, customers, and partners, leading to better recruitment opportunities, customer trust, and strategic relationships. It also fosters a positive work environment, which is instrumental in boosting employee morale and engagement. Investing in HR compliance is not just about avoiding negative outcomes—it’s about creating a solid foundation for your business’s success and longevity.

    Maintaining compliance is complex, so we’ve gathered a few things to consider as you wrap up the year.

    What Is HR Compliance

    HR compliance is the practice of adhering to all labor laws and regulations at the federal, state, and city levels.

    • Federal laws: These broad regulations apply to all U.S. employers, covering minimum wage, anti-discrimination, and benefits. A few examples include the Fair Labor Standards Act (FLSA), Title VII of the Civil Rights Act, and the Affordable Care Act (ACA).
    • State laws: Each state has its own set of employment laws that can expand upon or differ from federal regulations. These include higher minimum wages, stricter anti-discrimination laws, or different overtime pay requirements.
    • Local laws: In some cases, local governments enact ordinances that affect employment practices within their jurisdictions. For example, some cities have their own paid sick leave requirements that are more generous than state or federal provisions.

    Businesses that operate across multiple states face a magnified challenge when it comes to compliance. You must ensure you’re not only meeting the federal baseline but also adhering to the varied requirements of each state in which you operate. 

    HR Compliance Checklist

    To set yourself up for success, wrap up the year by reviewing and ensuring your HR policies are up to date. While it can be a lot to manage, a little work now will save you time and stress later. The following is a list to get you started:

    OSHA regulations

    • Assess and update your job safety and health training programs to ensure they are current and effective.
    • Keep precise documentation of work-related injuries and illnesses using OSHA’s Form 300 log.
    • Evaluate personal protective equipment (PPE) needs to identify the required safety gear for employees.
    • Post the official OSHA Job Safety and Health poster in a prominent location where all employees can see it.
    • Establish and maintain transparent channels for employees to report workplace hazards or compliance issues without fear of retaliation.

    Workers’ compensation 

    • Ensure your business is compliant with state-level regulations for workers’ compensation. 
    • Establish and maintain correct protocols for reporting and filing workers’ compensation claims. 
    • Conduct an assessment of your workplace to confirm it’s secure and hazard-free. 

    Employee information and W-2s 

    • Check your records and ensure you have updated addresses from your team to ensure they receive their W-2s immediately.
    • Confirm you have all social security numbers or federal employer identification numbers (FEIN) to avoid penalties from the IRS.

    Benefits and leave

    • If you have 50 or more employees, you’re required to provide health care coverage under the ACA.
    • Review employee classifications to ensure accurate benefit entitlements.
    • Familiarize yourself with the Family and Medical Leave Act (FMLA), which allows up to 12 work weeks of leave annually and requires you to keep records for no less than three years.
    • Review and communicate your leave application process to ensure employees understand how to request leave and the approval process.
    • Perform a thorough examination of all benefit offerings to verify their adherence to regulatory standards.

    Hiring practices

    • Review your hiring practices and job postings. Avoid discriminatory language that would violate Title VII of the Civil Rights Act.
    • Retrain your hiring managers on appropriate interview questions to avoid any illegal questions. For example, you can’t ask if someone has a disability or a medical condition. You can, however, ask if they will be able to perform the job with or without reasonable accommodation.

    Onboarding

    • Update your employee policies and ensure employees have easy access to them via an employee handbook.
    • Review your onboarding process to ensure each new hire understands your company’s policies and how to remain compliant.

    While this checklist is comprehensive, it does not encompass everything your business needs to ensure compliance. You should revisit laws and regulations specific to your industry and location to ensure you haven’t missed anything.

    How GMS Can Help

    As a business owner, you may discover that you can no longer manage administrative tasks or keep up with the ins and outs of HR. That’s where we come in. We manage a range of responsibilities for your business. From payroll tax to employee benefits, we focus on administrative work so you can focus on what truly matters in your business.

    At GMS, we take HR off your plate. In addition, we offer four types of HR audit programs to meet your specific needs, including the following:

    • Compliance audit: This focuses on how compliant your business is with federal, state, and local laws and regulations.
    • Best practices audit: This audit reviews your competitive advantage by comparing your HR practices to proven best practices.
    • Strategic audit: This audit helps identify your strengths and weaknesses and helps ensure your HR processes align with your organization’s strategic plan.
    • Function-specific audit: Need help with something specific? We can run focused audits on areas such as payroll, hiring and onboarding, and risk management, to name a few.

    For all of your HR needs, we’re here to help. We’ll connect you with one of our dedicated HR specialists who can lighten your load so you can focus on other areas of your business. Contact us today!

  • Open enrollment is here again, and it brings the stress of navigating and enrolling in the ideal health care plan. Under the Affordable Care Act (ACA), employers with 50 or more full-time employees or the equivalent must provide health care to their team. Regardless of your team’s size, health care is a leading benefit that can assist with hiring and retention efforts due to the rising cost of personal health expenditures. Therefore, offering health care to your employees is something you should take seriously.

    Finding and evaluating multiple plans and pinpointing the best option for you and your team is no easy feat. Moreover, after making your choice, ensuring your team comprehends and successfully enrolls in their chosen plans adds another layer of complexity.

    So, how can you best prepare your workforce and ensure a seamless experience for all? Collaborating with a professional employer organization (PEO), like GMS, can effectively reduce some of the stress and complications associated with open enrollment. In the meantime, we’ve gathered some strategies to help you get started.

    Open Enrollment

    Open enrollment occurs annually, usually from November to January. During this time, employees can enroll in a new health insurance plan, tweak their existing coverage, or, if necessary, say goodbye to their current coverage.

    The significance of this period lies in the fact that any changes outside this window are restricted and limited. If you miss the enrollment season, make a mistake, or decide you want a different plan after it’s over, you’ll have to wait until the next open enrollment period to make those changes. Some exceptions include qualified life experiences such as having or adopting a child, marriage, or divorce, to name a few. Making informed decisions during this time can significantly impact your financial and overall well-being throughout the year. So, take your time, weigh your options, and ensure you’ve covered everything.

    Mistakes To Avoid

    Open enrollment is confusing enough. Preparing for the most common mistakes can help you and your team have a successful enrollment season.

    Missed deadlines

    Missing deadlines is one of the most common pitfalls because open enrollment can vary from year to year. However, open enrollment typically begins on November 1st and concludes on January 15th. To ensure your employees meet these deadlines, it’s essential to be well-prepared, maintain transparent communication with your team, and consistently send reminders about approaching cut-off dates. Timely submission of enrollment forms is necessary to secure coverage for the upcoming year.

    Defaulting to past plans

    We know you have a lot on your plate, and sticking with your previous year’s plan might seem like the most straightforward option. However, this can be detrimental in the long run. Health plans and their associated costs frequently change from year to year, and so do the health care needs of your team. Failing to reassess your coverage options can result in inadequate coverage or unexpected costs. It’s imperative to take the time to reevaluate your current plan and determine if it aligns with the evolving needs of your employees.

    Providing too many choices

    While offering various health care plan options is critical, it’s equally crucial not to overcomplicate the selection process. Limiting the choices to the most essential or popular plans is key. Providing too many options can confuse and overwhelm employees, making it difficult for them to make an informed decision. A concise selection of plans can streamline the decision-making process, making it easier for employees to choose the most suitable coverage.

    Ignoring plan details

    Another common mistake employers make is not thoroughly evaluating the details of the available plans. You should review each plan’s specifics to understand the coverage and costs. Ignoring these details can contribute to a poor plan selection, leading to discontent among your team, ultimately affecting employee satisfaction and, in turn, harming your retention and recruitment efforts. Therefore, it’s vital to take the time to thoroughly examine each plan to guarantee you’re making the best choice for your employees’ well-being and satisfaction.

    Not considering family needs

    Health insurance isn’t a one-size-fits-all solution. Failing to consider your team’s and their families’ specific health care needs can result in inadequate or too expensive coverage, which would, in turn, be noncompliant with the ACA. Assess whether the plans you choose meet the needs of your employees, their spouses, and dependents, including any special health care requirements or medications.

    Underestimating the cost-benefit analysis

    While lower monthly premiums might seem appealing, it’s essential to consider the broader cost-benefit analysis. A plan with slightly higher premiums may offer better coverage and lower out-of-pocket expenses, ultimately saving you and your team money in the long term.

    Failing to educate employees

    Proper information is the cornerstone of informed decision-making. Failing to educate your employees about the available plans and their intricacies can result in uninformed choices. To address this, providing clear and comprehensive information about each option is essential, including coverage details, costs, in-network providers, and any changes from the previous year. Consider conducting informational sessions or webinars to ensure your team has the knowledge to make well-informed decisions about their health care coverage.

    Forgetting ancillary benefits

    In addition to health care, other valuable benefits are often available during open enrollment, such as dental, vision, life insurance, and retirement plans such as a 401(k) match program. Overlooking these ancillary benefits can mean missing out on essential perks that contribute to the overall well-being of you and your team.

    By avoiding these common mistakes and investing time and effort into open enrollment, you can make informed decisions that lead to better health care coverage and financial well-being for you and your team.

    Compliance

    Maintaining compliance with the ACA requires meticulous attention to your health care plan choices. This encompasses a thorough assessment of various aspects, such as out-of-pocket maximums and the essential health benefits mandated by the ACA. These requirements are the foundation for ensuring that your health plans align with the legal framework and offer comprehensive coverage for your employees.

    In addition, fostering an inclusive environment is crucial for ACA compliance. It’s imperative that all employees, regardless of their circumstances, have an equal opportunity to engage in the benefit enrollment process.

    This commitment to inclusivity extends to employees with disabilities, who should receive the support they need through auxiliary aids, alternative formats, and other necessary accommodations. These measures guarantee regulatory compliance and cultivate a work environment that respects the diverse needs of all team members, contributing to a more equitable and welcoming workplace.

    Comprehensive Small Business Health Insurance Solutions

    Offering small business health insurance is easily one of the most complicated and costly aspects of running a business. You want to provide your employees with the best health care benefits, but you’re also dealing with rising insurance premiums, compliance, and mountains of paperwork. With a PEO like GMS, you can decrease costs while providing top-tier medical coverage and reducing administrative burdens.

    GMS represents more than 45,000 employees, which allows us to help small businesses purchase group health insurance for an average of 24% lower for employee premiums and 21% lower for family premiums than the U.S. average. GMS is the only PEO that provides an in-house master health plan that helps you avoid large swings in usage, trends, and renewal rates.

    Our experts are here and are ready to provide guidance on how to utilize your plans best. Contact us today and let us help get your team the best health care possible!

  • In a world marked by economic uncertainties, small business owners need to be attuned to their employees’ concerns and needs more than ever. As you gear up for the 2023 benefits open enrollment season, Voya Financial, a retirement, investment, and insurance company, released its consumer research survey, unveiling crucial insights that can empower you to make informed decisions.

    Inflation Concerns: A Growing Worry

    The shadow of inflation continues to loom over working Americans across the nation. Voya’s research highlights that 79% of working Americans are apprehensive that their workplace benefits will become more expensive during this open enrollment season due to inflation. This represents a significant increase from the 66% recorded in June of 2022 when inflation was at its peak.

    As a small business owner, this rise in inflation-related concerns should serve as a call to action. It’s time to consider benefits packages that help your employees navigate the financial strain caused by inflation, ensuring that their hard-earned money goes further.

    The Intersection Of Finances And Mental Health

    Voya’s research underscores the deep connection between financial stability and mental well-being. 57% of Americans surveyed agree that financial stability directly impacts their mental health. This revelation places mental health at the forefront of your employees’ concerns, particularly as they approach this year’s open enrollment season.

    In addition, the modern workforce is increasingly vocal about their expectations regarding mental health support. 55% of employed individuals believe that their employer is responsible for ensuring their mental and emotional well-being. This sentiment becomes even more apparent when 48% express their willingness to invest more in workplace benefits that offer enhanced mental health support and resources.

    Crafting Comprehensive Benefits Packages

    Traditional benefits such as medical and dental vision remain essential; however, Voya’s research illuminates the importance of evolving your benefits package. Your employees now expect a holistic approach that addresses financial and mental health needs. Employees are willing to commit to employers who offer mental health benefits, with half of employed Americans indicating they’re more likely to stay with their current employer if these resources are available.

    One positive development observed in today’s environment is that employees are becoming more thoughtful about their benefit selections, given the overarching financial concerns. 79% of employed individuals express interest in receiving support to maximize their workplace benefit dollars across retirement savings, health savings accounts (HSAs), health care insurance, and voluntary benefits.

    Prioritizing Financial And Mental Well-Being

    As you prepare for the 2023 benefits open enrollment season, you must address the concerns related to inflation, by offering comprehensive benefits that encompass financial and mental health needs. At GMS, a professional employer organization (PEO), we understand that the well-being of your employees is paramount, which is why we offer a comprehensive range of solutions to address your business needs. From employee assistance programs (EAPs) that provide crucial mental health support to a wide array of voluntary benefits and personalized guidance, we ensure that your workforce can make the most informed choices during open enrollment. With our expertise and commitment to your employees’ financial and mental well-being, we help your small business thrive while prioritizing what matters most – the health and happiness of your employees.

    Kristy Rittenour, GMS’ Benefits Account Specialist Manager, expressed, “Every year, GMS partners with our clients to enhance or change their benefit offerings, helping them recruit and maintain top talent. Based on mid-year utilization reporting, group size, and unique needs, GMS prepares the client in advance for their benefits renewal. An early evaluation of this information removes the guesswork and is critical to successful open enrollment.

    Contact us today to prepare yourself for the open enrollment season.

  • As the calendar pages turn, business owners should begin thinking ahead to the next open enrollment season, understanding the importance of bridging the benefits communication gap. With November months away, it may seem premature to focus on benefits communication, but the truth is that early preparation is key to ensuring a smooth and successful open enrollment process.

    With the open enrollment period for employees approaching, business owners face a common challenge: effectively communicating the value and details of their benefits package to their workforce. Failure to bridge this benefits communication gap can lead to the following:

    • Employee dissatisfaction 
    • Low utilization of benefits 
    • Missed opportunities for both employees and the business itself

    Continue reading to explore practical strategies that business owners can employ to close the benefits communication gap, ensuring that employees understand, appreciate, and maximize their benefits.

    Start Early And Create A Clear Timeline

    Opening the communication lines well before the open enrollment period is crucial. Develop a clear timeline that outlines key dates, milestones, and other important information. Then, communicate this timeline to employees, giving them ample time to review and understand their benefit options.

    Meg Williams, GMS’ Benefits Account Manager, emphasized, “Effective communication has always been vital to open enrollment season. For employees, it’s a time that can make them feel confused and anxious. Open communication during the open enrollment process can help streamline this process and increase participation in important benefit offerings.”

    Tailor Your Message

    You must recognize that employees have diverse needs, preferences, and levels of understanding regarding benefits. Craft your communications to cater to different employee demographics, ensuring each group receives targeted information that resonates with their specific concerns and interests. It’s essential to remember that everyone is on their own unique journey. Take, for example, a 24-year-old recent graduate, full of excitement and starting their career, compared to a 60-year-old employee who is approaching retirement while potentially dealing with health challenges. These individuals have vastly different needs and interests regarding their benefits. Recognizing and addressing these diverse life stages and personal circumstances is essential in crafting benefits offerings that resonate with employees and support them at every step.

    Simplify Complex Information

    Benefits information can often be dense and overwhelming. Simplify complex concepts by using clear, concise language. Consider using visual aids, such as infographics or videos, to break down intricate details and make them more digestible for employees.

    Utilize Multiple Communication Channels

    Let’s face it; Everyone has different communication preferences. Some prefer email, while others may be more receptive to in-person meetings or a bigger group gathering such as a town hall meeting. With that in mind, utilize a combination of channels to reach employees, ensuring that the benefits information is accessible to everyone. This may include email newsletters, intranet portals, bulletin boards, webinars, and one-on-one sessions.

    Offer Personalized Guidance

    Many employees struggle to navigate the intricacies of benefits packages and may be unsure which options best suit their needs. Consider providing access to benefits specialists who can offer personalized guidance and answer questions. This can be done through dedicated support hotlines, online chat services, or even arranging in-person consultations.

    Consider Sharing Success Stories

    Highlighting success stories of employees who have maximized their benefits can inspire others to take advantage of available options. Encourage employees to share their positive experiences, whether through testimonials, case studies, or even internal newsletters. Real-life examples can help employees see the tangible value of their benefits.

    Foster A Culture Of Wellness

    Beyond the open enrollment period, business owners can further engage employees by promoting a culture of wellness. Offer workshops, lunch-and-learns, or seminars on mental health, nutrition, and work-life balance topics. By emphasizing the connection between well-being and benefits, employees will develop a deeper appreciation for the value of their benefits.

    Get Rid Of This Process In Its Entirety By Partnering With A PEO

    Closing the benefits communication gap is vital for business owners as open enrollment approaches. We understand that the open enrollment period is stressful and time-consuming, especially for small business owners. Fortunately, there’s a solution you may not have thought of – outsourcing your benefits administration to a professional employer organization (PEO) like GMS. This is a game-changer for small business owners looking to prepare early and ensure a smooth open enrollment season. With our expertise and resources, we can assist in crafting a comprehensive benefits communication strategy.

    By simplifying complex information, tailoring messages to different employee demographics, and utilizing various communication channels, PEOs help small business owners effectively convey the necessary details and actions employees must take. From providing personalized guidance to organizing workshops and consultations, PEOs empower employees to understand and make informed decisions during open enrollment. Meg added, “GMS has Benefits Account Managers on staff that work with clients to notify employees when it’s time to enroll in their benefits, provide concise overviews of all plans being offered, and provide easy access to benefits through the GMS Self Service Portal.”

    By leveraging the support of a PEO, small business owners can confidently navigate the open enrollment process, ensuring that all employees are equipped with the knowledge they need to take full advantage of their benefits when the time comes. Contact us today to learn more.

  • In the age of “quiet quitting,” when employees silently resign without expressing their dissatisfaction, it can have detrimental effects on your business. The subsequential decreased productivity and high turnover rates further negatively impact your organization long term. However, we understand that it may not always be feasible to raise wages, provide bonuses, or offer other monetary incentives as motivators.

    In today’s competitive business landscape, it’s essential your organization understands the importance of recognizing and encouraging your employees beyond monetary rewards. While financial motivators have traditionally been the go-to method for acknowledging employee contributions and are still relevant and valuable motivators, forward-thinking companies are now exploring non-monetary ways to inspire and engage their workforce.

    Beyond a paycheck, bonus, raise, and other financial motivators, alternative approaches can tap into intrinsic influencers such as personal growth and a sense of purpose that profoundly impact employee satisfaction, productivity, and retention. By tapping into alternative methods, you, as an employer, can help foster a culture of appreciation, engagement, and loyalty, ultimately driving higher levels of productivity and employee satisfaction. If you are unsure where to begin, we’ve gathered a few strategies to help get you started.

    The Power Of Non-Monetary Rewards

    Intrinsic motivation refers to an employee’s internal drive to engage in a task or activity. Unlike extrinsic motivation, which relies on external rewards, intrinsic motivation depends on personal fulfillment, a sense of achievement, and enjoyment of the work and work environment. By understanding the power of intrinsic motivation, you can tap into a deeper level of employee engagement.

    Intrinsic motivators or non-monetary rewards have profound psychological benefits that positively impact your employees’ well-being and job satisfaction. When employees receive recognition and rewards that go beyond financial compensation, it fosters a sense of appreciation, validation, and belonging. These rewards can include verbal praise, certificates of recognition, and growth opportunities. Recognition of employees’ efforts affirms their skills and abilities, providing a sense of mastery and competence. Recognition and reward programs can also reinforce a positive work culture, fostering a sense of camaraderie and loyalty among employees. Moreover, non-monetary rewards can align with an employee’s personal and professional goals, creating a greater sense of purpose and fulfillment in their work.

    Additionally, as Gen-Z and millennials continue to bring a fresh perspective to the workplace, it’s crucial to acknowledge their unique expectations. While financial rewards and compensation remain high motivators, these generations seek companies that prioritize flexible work arrangements and provide employee perks such as gym memberships and education stipends. These offerings reflect a genuine dedication to their personal and professional development, which can assist retention efforts.

    Non-Monetary Recognition And Motivation Strategies

    Many non-monetary strategies could benefit your organization. Here are just a few:

    1. Provide meaningful feedback and appreciation: Establish a process to regularly provide constructive feedback and recognition to employees for their achievements and efforts. Offer opportunities for managers and employees to share specific feedback highlighting strengths and accomplishments.
    2. Recognize achievements publicly: Public recognition of accomplishments during team meetings or company-wide announcements can have a powerful impact. It not only boosts the morale of the recognized employee but also inspires others and sets a positive example for the entire organization.
    3. Flexible working: Granting flexibility in where and when employees can work promotes work-life balance and acknowledges employees’ diverse needs and responsibilities outside their professional roles.
    4. Additional leave: Providing bonus days off, extended lunch breaks, and offering options to leave early on Fridays or start late on Mondays are all effective motivators for employees.
    5. Professional development opportunities: Whether internally or through sponsoring professional development opportunities, you can enhance employee motivation and commitment to your business.
    6. Mentorship programs: Similarly to professional development opportunities, providing employees the chance to be mentored by internal managers, C-suite executives, or external programs can significantly impact employee motivation and enthusiasm towards their work.
    7. Team-building activities: Offer opportunities for your employees to collaborate outside of work. Through activities such as game or trivia nights, volunteer days, or team luncheons, you can help foster positive relationships between employees, which helps create a positive work culture.
    8. Wellness programs: Create a work environment that emphasizes the importance of self-care by offering incentives such as workshops, wellness retreats, or mental health days for your employees. By promoting a culture that values well-being, you demonstrate a commitment to supporting your employees beyond their professional responsibilities alone.

    Implementing Non-Monetary Recognition Programs

    In the current hybrid and remote work landscape, it’s become increasingly crucial to discover methods for motivating and acknowledging employees. However, it’s vital to tailor your approach according to your organization’s unique characteristics and needs. Recognizing the individuality of your company ensures that the motivational strategies you choose are effective and resonate with your employees.

    One effective way to tailor your approach is by actively involving your workers through regular surveys and feedback sessions. By gathering valuable insights and perspectives, you can better understand the areas where employees want to be recognized and adjust your efforts accordingly. This approach also assists in developing recognition programs that align with your business’ values and traditions.

    While implementing and iterating your strategies, setting clear and attainable goals is crucial. You can effectively track progress by defining specific objectives, such as increasing employee morale, improving team collaboration, and establishing measurable targets. This ensures that your recognition programs are purposeful and have the desired impact.

    Disadvantages Of Non-Monetary Rewards

    Though there aren’t many disadvantages to non-monetary rewards, there are a few things to consider. If you have a sizable team, your goal should be to increase productivity, and giving out non-monetary rewards may not be enough to encourage employees. Therefore, instead of replacing monetary incentives, it’s advisable to use non-monetary recognition programs in conjunction with them. Achieving a balance between the two approaches will yield the best results.

    Another potential challenge is implementing recognition and reward programs that fit within your budget but also meet the desires of your team. It can also take a substantial amount of time to implement and generate company-wide buy-in. Thus, it’s important that you’re aware of the resources needed before you get started. Partnering with a professional employer organization (PEO) or hiring an employee engagement personnel to assist your efforts can be a good place to start.

    Ensuring Success

    It’s essential to generate buy-in from both leadership and employees to ensure the success of your chosen strategies. To assist in this process, communicate the value of non-monetary recognition to your leadership team. Transparently explain the reasons behind implementing these strategies and highlight how they contribute to employee development, well-being, and job satisfaction. Clearly articulate the connection between recognition and the overall success of the organization.

    Additionally, routine and consistent communication is critical. Regularly inform employees about the specific non-monetary rewards available and provide clear guidelines for earning them. Encourage managers to discuss and promote recognition programs with their teams openly. Doing so will help create a culture that appreciates and celebrates employee accomplishments.

    Finally, you should monitor the effectiveness of non-monetary recognition strategies to ensure their success. Regularly gather employee feedback through focus groups or one-on-one conversations to assess their perception of the recognition programs. Keep track of the frequency and types of recognition utilized and evaluate their impact on employee motivation and engagement. Use this feedback to identify areas for improvement and make necessary adjustments to the strategies. Recognition programs should continually improve as you gather feedback. Thus, flexibility and adaptability are key.

    Performance Management Assistance

    At GMS, we understand that your employees are your greatest asset. However, managing them and maintaining a positive work culture can be difficult. As a business owner, performance management is critical to making training, career development, compensation, transfers, promotions, and termination decisions. It allows you to set clear goals and expectations for each employee and provide feedback about their performance related to those goals.

    With our employee performance management service, we can help you strategize ways to reengage your employees, help you define your goals, and set employee expectations. We even take on the administrative burdens associated with managing employees. Ready to get started? Contact us today to connect with one of our specialists!

  • As a small business owner, your employees are the backbone of your organization, and their well-being and satisfaction directly impact your success. In today’s rapidly evolving work landscape, companies are reevaluating traditional policies and seeking innovative ways to foster employee happiness, engagement, and productivity. One such policy that has gained popularity recently is unlimited paid time off (PTO). While the idea of unlimited PTO might seem enticing, it’s crucial for small business owners to carefully consider various factors before implementing such a policy. Let’s explore the key aspects business owners should consider before offering this perk.

    Resource And Staffing Considerations

    Small businesses often operate with limited resources and tight-knit teams. Before implementing unlimited PTO, evaluate your business’s capacity to handle potential staffing gaps when multiple employees take time off simultaneously. Consider factors such as: 

    • Customer demand
    • Workload distribution 
    • The need for cross-training to ensure uninterrupted operations 

    It may be necessary to establish guidelines and processes for scheduling time off to maintain optimal productivity. 

    Communication And Expectations

    Clear communication is essential when introducing unlimited PTO. Ensure that employees understand the purpose of the policy and the expectations regarding requesting and scheduling time off. Establish guidelines for notice periods, blackout periods, and any limitations during peak business seasons. Transparent and proactive communication will help manage expectations, reduce misunderstandings, and maintain productivity.

    Defining Boundaries And Accountability

    While unlimited PTO offers flexibility, setting boundaries to prevent abuse or misuse is crucial. Define what “unlimited” means within your organization and establish guidelines for employees to follow when requesting time off. Encourage open dialogue about workload management, emphasizing the importance of planning and ensuring employees remain accountable for their responsibilities. Regular check-ins and performance evaluations can help monitor productivity and address any concerns.

    Tracking And Record-Keeping

    Small businesses must implement a system to track and manage time off. Consider using technology tools or software that enable employees to request and track their time off, providing visibility for employees and management. Accurate record-keeping will help ensure fairness, prevent conflicts, and comply with legal requirements.

    Budget And Financial Implications

    Unlimited PTO can have financial implications for businesses. Evaluate the potential impact on payroll expenses, especially if employees receive payouts for unused PTO upon termination. Consider the financial sustainability of offering unlimited PTO, including employee benefits and compensation costs. Budgeting and forecasting will help you determine the feasibility of this policy within your financial constraints.

    Company Culture And Employee Buy-In

    Consider your company culture and whether it aligns with the principles of unlimited PTO. Assess employee attitudes and preferences regarding work-life balance. Engage in conversations with your team to gauge their expectations and ensure the policy resonates with their needs. A supportive and flexible culture will foster trust and loyalty among employees, leading to increased satisfaction and productivity.

    Don’t Make This Decision On Your Own, Partner With GMS

    While the decision to offer unlimited PTO can be complex for small businesses, it’s important to remember that you don’t have to navigate this journey alone. Partnering with a professional employer organization (PEO) like GMS can be a game-changer. We provide business owners with expertise and support in implementing and managing employee benefits, including unlimited PTO. In addition, we assist with establishing policies, ensuring compliance with legal requirements, and providing robust tracking systems.

    With a PEO, you can leverage our resources, experience, and knowledge to navigate the challenges associated with unlimited PTO, enabling you to focus on your core business objectives. Embrace the opportunity to work hand-in-hand with GMS and unlock the true potential of your business. Contact us today to learn more.

  • In the fast-paced world of startups, where every decision can make or break a company, investors constantly seek innovative strategies that give startups a competitive edge. One strategy that has caught investors’ attention is the utilization of a professional employer organization (PEO). These strategic partnerships provide startups with comprehensive HR solutions and offer a range of benefits that align with investors’ interests. What exactly is the difference between a startup utilizing a PEO and one that isn’t? That’s what we’re here to discuss. Let’s dive into the compelling reasons why investors are increasingly drawn to startups that embrace the power of PEOs, and how this partnership can lead to success.

    Streamlined HR Operations

    Investors recognize that startups must focus their time and resources on core business activities rather than getting dragged down by complex HR operations. PEOs specialize in managing HR functions such as:

    • Payroll 
    • Benefits administration
    • Risk management 
    • HR

    By leveraging the expertise of a PEO, startups can streamline their HR processes, allowing them to allocate more time and energy toward driving growth and innovation.

    Cost Efficiency And Scalability

    Investors also understand the importance of efficient resource allocation for startups. By partnering with a PEO, startups can access economies of scale that would otherwise be challenging to achieve independently. PEOs pool together multiple client companies, enabling startups to access the following:

    • Comprehensive benefits package 
    • Affordable insurance rates
    • Other cost-saving measures 

    In addition, as startups experience growth, PEOs offer scalability, seamlessly accommodating an expanding workforce and ensuring compliance with ever-changing labor laws.

    Compliance And Risk Mitigation

    In the highly regulated landscape of employment laws, startups must navigate a complex web of regulations to avoid costly legal consequences. Investors recognize the importance of adhering to these regulations and seek startups that demonstrate a commitment to legal compliance. PEOs bring specialized knowledge and experience in managing compliance and mitigating risks associated with employment practices. By partnering with a PEO, startups can access expert guidance, ensuring they comply with laws and regulations. This commitment to compliance gives investors confidence and reduces the potential for legal setbacks.

    Competitive Edge In Talent Acquisition

    Attracting top talent is a crucial component of any startup’s success. However, startups often face challenges competing with established companies when offering attractive employee benefits packages. PEOs level the playing field by granting startups access to comprehensive benefits programs, such as:

    • Health insurance 
    • Retirement plans
    • Vision and dental care
    • Life, accident, and critical illness
    • Pet insurance 
    • Short and long-term disability 
    • Telemedicine 

    These enticing benefits help attract top talent and foster employee loyalty and satisfaction. Investors recognize that startups with robust talent acquisition and retention strategies are better positioned for sustainable growth.

    Focus On Core Competencies

    Investors appreciate startups that demonstrate a laser focus on their core competencies. By offloading HR responsibilities to a PEO, startups can free up their internal resources to concentrate on what they do best – developing innovative products, acquiring customers, and scaling their business. This emphasis on core competencies enhances productivity and the startup’s chances of achieving milestones and delivering investor returns.

    GMS Has The Solution You’re Looking For

    Having explored the reasons behind investors’ preference for startups leveraging a PEO, let’s embark on the journey to find the perfect PEO for your business. Look no further than Group Management Services (GMS), a distinguished certified PEO (CPEO) that has surpassed the stringent requirements set by the Internal Revenue Service (IRS). As a CPEO, we go above and beyond by offering clients exclusive financial protections and tax benefits that set us apart from traditional PEOs. With our team of HR experts at your side, we are committed to equipping startups with the comprehensive services they need to thrive in today’s competitive labor market.

    From seamless onboarding and customized training programs to ensuring workplace safety and handling payroll administration, our end-to-end solutions cater to your needs. With the support of GMS, startups can confidently pursue their growth trajectory, capturing the attention and investment of forward-thinking stakeholders. Trust GMS to be your trusted partner in unlocking your startup’s full potential for success. Get a quote from us today!