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  • Unhappy employees can make for an unproductive company. Sometimes the key to boosting morale is to make small changes in the office. Here are four things that may upset your employees and how you can help fix it.

    Image of an unhappy employee. Here are four ways you can work to improve morale at your business.

    There’s No Flexibility in Their Schedule

    Not everything works conveniently with a set schedule. Having set work hours is great at creating a regular office routine for your employees, but it can be extremely frustrating for employees when there’s absolutely no flexibility in their work hours. Telling someone that they can’t pick up a sick child from school because they still have an hour on the clock isn’t going to make anyone happy.

    Keeping regular hours is important, but so is flexibility. Personal lives can lead to situations where someone needs to take an hour off or work a half day from home. Being open to allowing your employees to make up lost time at home or on different days can show your team that you care about their lives outside the office as well.

    They’re Burned Out

    A stressed employee is not always an effective employee. Burnout can be a real issue for people who have trouble stepping away from the office and can decrease morale.

    Sometimes a break is just what an employee needs, so don’t be afraid to encourage your workers to step away occasionally. From a quick 10-minute breather at the office to a mental health day, breaks can reenergize your employees and do wonders for stress.

    They’re Being Bombarded By Work Emails After Hours

    It can be hard for an employee to relax when they feel like they have to be ready to work at any moment. After work emails will happen, but too many late night work messages can have a negative impact on your employees.

    Just because your employees are connected to work by their smartphones doesn’t mean it’s necessary to always contact them while their at home. If an email is truly important, go ahead and send it. If it can wait until tomorrow, don’t bother your employees while they’re with their family. That way your employees will be refreshed when they enter the office and not grumbling about having to respond to emails at 9:30 p.m.  You can also let them know that should you send an email after hours, a response will not be expected.

    They’re Dealing with Meaningless Meetings

    Too many meetings can be a drag on productivity. Long, directionless get-togethers can end up being viewed as a waste of time and frustrate workers who are trying to focus on getting work done.

    A good, efficient meeting is still a vital part of many businesses’ game plans. Keep your meetings structured and actionable to cut out wasted time. Your employees will thank you for it.

    Keeping Employees Happy with GMS

    Small changes can lead to big results for your employees. The same philosophy can also apply to you. Running a business is a big job, especially if you’re struggling to manage your company’s human resources as well. 

    Group Management Services is an HR Outsourcing Company that partners with your business to save you time and money. If you want to focus on growing your company without sacrificing on HR, contact GMS today about what a PEO can do to help 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.

  • There are growing signs that the economy is improving. Perhaps the most notable marker is that more people are starting to come back to the workforce. The unemployment rate is continuing a downward trend, meaning that more employers are starting to hire again.

    Of course, finding good employees is important to a company’s growth, but keeping their best employees is vital to an employer’s productivity. Keeping your best employees ensures a smoother transition for newer employees and keeps the job environment stable with their most seasoned employees.

    Of course, with a growing job market, sometimes a company’s best employees begin looking at this as an opportunity to “test the waters” of their own value and see if there are better options. How does a small business owner retain good employees while attracting qualified candidates? By offering benefits.

    What Workers Want

    There are many benefits out there and employees put different values on each one. Which benefits should you offer? According to a Gallup poll in a recent post at Employee Benefits News, these are the 11 you should consider:

    1. Full-time flexible working locations (35%)
    2. Part-time flexible working locations (37%)
    3. Profit Sharing (40%)
    4. Paid leave for sick/medical/personal days (48%)
    5. Non-health insurance benefits like vision, dental, etc. (48%)
    6. Retirement plan/401(k) with employer matches (50%)
    7. Flex-time (51%)
    8. Retirement plan with defined benefits (51%)
    9. Paid vacation (53%)
    10. Monetary bonuses (54%)
    11. Health Insurance (61%)

    Of course, cost factors into this and not everyone can offer everything, so it becomes crucial for an employer to know which ones to offer. An employee survey can help set a course.

    Finding a trusted partner to help you set up a benefits plan and get them to you at an affordable cost becomes another issue. A Professional Employer Organization (PEO) like GMS can help create employee benefits policies and offer big company benefits at big company rates to help small business owners compete with larger companies for those great employees. Contact us today to talk with one of our benefits experts about your benefits package.

  • 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.

  • A small act of recognition can make a big difference for an employee’s morale. When Forbes reports that nearly two-thirds of employees would “likely leave their job if they didn’t feel appreciated,” these gestures can help you retain happy, talented employees.

    While recognition is a good goal, you also need to make sure that these efforts make sense for your bottom line. Fortunately, there are plenty of good rewards that won’t break the bank. Here are five low-budget ideas that small business owners can use to show employees their appreciation.

    A small business owner recognizing an employee for hard work.

    A Warm Welcome

    One of the most important times to recognize an employee is on his or her first day. According to the Society for Human Resource Management (SHRM), “Up to 20 percent of turnover takes place in the first 45 days.” Considering the average cost of replacing an employee, this can make early recognition a very cost-effective strategy.

    Fortunately, it doesn’t cost much to make new employees feel recognized on day one. There are several ways to help a new hire feel welcome right away, such as:

    • Greeting them personally on the first day
    • Giving them a tour and introduce them personally to team members
    • Sending out a welcome email
    • Creating a personalized orientation program
    • Sitting down and getting their feedback at the end of the first day

    A welcome package is also a nice first-day reward that can make workers feel like they belong. A bag with some mugs, a gift card or two, and some written welcome notes from team members is a small investment to make for a new employee who could be a long-term member of your company.

    Written Recognition

    Speaking of written messages, an employee doesn’t have to be new to appreciate a heartfelt note. Gallup cited that only three out of 10 U.S. employees feel they received recognition for their work in the past week. A handwritten note can show your workers that you not only notice what they’re doing, but also appreciate them for their hard work. 

    How can something as little as a handwritten note be so effective? Unlike a quick email, written notes can create a personal connection that electronic messages just can’t match. Former Campbell Soup Company CEO Douglas Conant found that handwritten “thank you” notes were so effective that he wrote more than 30,000 of them over the course of a decade. While you don’t need to match his productivity, the occasional note is a small, inexpensive way to motivate your workforce.

    Open Recognition

    While handwritten notes are a great way to privately thank employees, company announcements are a free way to highlight workers in front of everyone else. Highlighting achievements during company meetings or via company-wide email are a way to make sure that everyone recognizes the efforts of various employees.

    Recognition doesn’t only have to be about what your employees do for your company. Your employees may appreciate when their peers recognize them for personal accomplishments as well. Did one employee finish that marathon she trained for? Congratulate him or her on the achievement. Did a group of employees volunteer at a local animal shelter? Share that in a company email. It may seem like a small thing, but these acts show that you care about more than just your employees’ performance.

    Gift Cards

    A little money is a nice reward for just about any employee. With gift cards, you can set a budget that works for you. They also allow you to diversify your gift ideas by catering to your employees’ personal preferences. If an employee makes a coffee run before arriving at work every day, a $10 gift card to his or her coffee shop of choice is a great perk that shows you pay attention.

    It’s important to note that the IRS does view certain gifts as taxable income for an income. According to SHRM, “Although there may be limited situations when the value of a gift card or gift certificate could be excluded from an employee’s income, employers might want to take a conservative view and include the value of all gift cards and gift certificates in employee wages.” This doesn’t mean that you can’t use gift cards as a low-budget gift; you just need to plan ahead to protect yourself from any tax issues.

    The Gift of Time

    Sometimes the best way to show your employees that you appreciate them is by freeing up their calendar. The occasional day off allows workers to recharge. If an employee does well, consider giving them a “free day” pass that can be used at a future date. 

    The occasional day off isn’t the only way that the gift of time is on your side. Flexible work schedules can be an amazing gift for an employee that has to balance daycare schedules and other family responsibilities. If a good employee needs to stay home to watch the kids, work-from-home privileges shows a level of empathy that can build a strong bond between you and your employees.

    Invest in Happy, Talented Employees

    When your employees play such a huge role in your success, it makes sense to try and invest in top talent. As a Professional Employer Organization, Group Management Services offers a variety of services that help you invest in your workforce, such employee benefits administration and training programs. 

    Ready to learn more about how GMS can strengthen your business? Contact GMS today to talk to one of our experts about how we can help your company.

  • The holidays are typically a time of joy and celebration, but they also require business owners to make some additional considerations about holiday pay. This type of pay makes it possible for employees to stay home for a selection of holidays and still get paid for those days. However, this benefit isn’t always a guarantee depending on the needs of your business. 

    Are you unsure about how to handle holiday pay for your business? We broke down some common holiday pay questions to help you determine how holiday pay can affect your business and the best plan of action for your specific situation.

    A piggy bank with Christmas lights representing holiday pay. 

    Do Businesses Need to Provide Holiday Pay?

    While many businesses offer holiday pay, it is not a legal requirement. According to the Department of Labor, “The Fair Labor Standards Act (FLSA) does not require payment for time not worked, such as vacations or holidays (federal or otherwise).” In essence, a holiday is treated just like any other workday. As such, employers would only pay non-exempt workers for the time they worked (exempt employees would simply receive their normal salary regardless of whether they had the holiday off or not).

    While holiday pay isn’t required, employers may opt to provide it to employees. The terms of the holiday pay is subject to an agreement between the employer and its employees, although you aren’t required to pay a premium rate specifically for holiday pay.

    Do Businesses Need to Provide Time Off for Holidays?

    As with holiday pay, employers are not required by federal law to provide time off on the holidays and may choose to close for certain holidays on their own. Holidays are considered regular workdays, so any employee who works those days is entitled to normal pay as opposed to overtime pay. 

    The one exception in regards to time off for certain holidays is that employers are expected to provide reasonable accommodation for any employees that observe a religious holiday. One way to accommodate this would be to provide floating holidays that allow workers to use their time off for an observed holiday. Other options include allowing employees to take a vacation day or unpaid time off for a specific holiday unless the employer can show that their absence would create undue stress for the business.

    What are the Benefits of Offering Holiday Pay?

    There are a couple reasons why you may decide to provide holiday pay. One reason is to give workers a chance to celebrate various holidays with their family and friends without having to worry about how that time off will affect their paychecks. By offering some of these days off along with holiday pay, you can show your employees some appreciation for their hard work throughout the year.

    Another reason why you’d offer some holidays off with pay is to make your company appear more competitive in the hiring process. While a holiday may be the same as any other day in terms of pay, they can feel a lot more important to your employees. Offering those days off with pay can help make a difference when trying to attract and retain talented people.

    Are All Employees Entitled to Holiday Pay if It’s Offered by the Company?

    If you decide to offer holiday pay, you don’t have to provide it to all your employees. As long as the basis of choosing who gets holiday pay isn’t discriminatory, you can provide the benefit to some employees and not others. For example, you can opt to provide holiday pay to only full-time employees or office workers if you so choose. However, you can’t base your decision on a protected classification such as age or race.

    How Should I Set up a Holiday Pay Policy?

    Since you dictate the specifics of your holiday pay policy, it’s important to include that policy in your employee handbook and communicate it to your employees. This will allow you to clearly list the exact details of your policy if you decide to provide certain holidays off and if you choose to provide holiday pay. The details of this policy should include:

    • A list of dates designated as holidays (whether it follows the list of federal holidays or a modified list)
    • Which employees are eligible for holiday pay
    • The rate for holiday pay or if there are any bonuses attached to working a holiday
    • How a paid holiday works if they fall on a weekend

    What’s the Right Call for My Business?

    Ultimately, the decision of whether you want to provide holiday pay or not is up to you. Some businesses that employ multiple non-exempt employees may not have the funds to provide pay for days off, while others may require people to regularly work on holidays. Each case is different, so it’s best to find an option that makes sense for your business.

    Running a business involves making several important decisions. This responsibility requires a lot of time and effort from any business owner, but you don’t need to handle this load alone. At GMS, our HR experts can help you manage a variety of key business functions ranging from payroll to benefits administration. When you need assistance, we can provide the services and expertise necessary to keep your business prepared for the future.

    Ready to talk to an expert about holiday pay or any other business need? Contact GMS today to talk to us about how we can help your make your business simpler, safer, and stronger.

  • As a business owner, you want your employees to come into work with enthusiasm and motivation to take on the day. After all, employee engagement can be very beneficial to a business in a number of ways. Yet, it’s not often that companies prioritize it. According to Gallup’s State of the American Workforce Report, only one in three employees are engaged at work. Below, we shared some ideas to improve employee engagement within your small business as well as a few key benefits.

     A group of coworkers are enjoying a pizza together at the office during lunch.

    Why is Employee Engagement Important?

    Employee engagement equates to more than just workplace happiness. According to Willis Towers Watson, employee engagement is an “employee’s willingness and ability to contribute to company success.” By this definition, high employee engagement can mean significant growth for your business. Specifically, here are a few key benefits that high engagement can bring:

    • Increased productivity. Engaged employees have the ability and motivation to outperform those who are disengaged. According to Gallup, highly engaged workforces were 17 percent more productive than those with less engagement. 
    • Greater profitability. Inc magazine reports that increasing employee engagement investments by 10 percent can increase profits by $2,400 per employee per year.
    • Improved retention. Employees who are invested in their employers won’t want to look elsewhere for work. The same Gallup report found that companies reduced employee turnover by 90 percent when engagement increased.
    • Better customer service. A business’s employee experience can directly impact customer experience. According to research by Temkin Group, companies whose customer experience is significantly better than their competitors have more engaged employees.
    • Reduced absenteeism. Low job motivation can cause employees not to show up for work. Gallup also found that companies were indicated to experience 37 percent less absenteeism as a result of increased employee engagement.

    How to Improve Employee Engagement

    Considering the many benefits that high employee engagement can provide, there are many different approaches you can take to improve engagement within your organization. According to an article by The New York Times, employees are more engaged when four of their core needs are addressed:

    • Physical – when employees can renew and recharge at work.
    • Emotional – when employees feel valued and appreciated for their contributions.
    • Mental – when employees have the time to focus on their most important tasks and define when and where they accomplish their work.
    • Spiritual – when employees can do more of what they do best and enjoy most.

    With these core needs in mind, here are some cost-effective ideas to improve employee engagement within your small business.

    Lunch and Learn

    Consider this an upgrade from your typical meeting. As the name suggests, lunch and learn sessions are casual training or informational meetings hosted by a fellow employee during lunchtime. During a lunch and learn, an employee shares a short presentation on a business-related topic, such as how to use marketing automation software or a case study on an exceptional project they worked on. Participants bring their lunches, listen in, and ask questions while enjoying their lunch. Lunch and learn sessions are a great way for your employees to learn about different sides of your business and the types of projects their colleagues are working on.

    Innovation Days

    Innovation days can be a day, or a half day, where employees are allowed to use company hours to work on special projects that matter to them. It allows employees to be creative, learn new things, and try new ideas, and they will certainly appreciate you for that. As a result of setting aside time dedicated to innovation, your employees may uncover ways to reduce costs, streamline processes, and make your business even stronger.

    Team Outings

    Company culture is an important aspect of any employee’s life. According to Glassdoor, 58 percent of workers say that company culture is more important than salary when it comes to job satisfaction. Hosting work outings can make your employees want to stay for who you are and what you do, and not for just a paycheck. Consider creating a culture committee focused on planning regular team outings and office activities, such as team lunches, happy hours, picnics, sporting events, and volunteer opportunities.

    Work Clubs

    Shared hobbies can certainly bring people together. Consider creating work clubs, such as fantasy football leagues, running clubs, softball teams, and book clubs, for likeminded employees. Clubs can be a great way to change the conversation from work to personal life and can serve as a prime environment for co-workers to develop camaraderie. According to the Society for Human Resources Management (SHRM), the more friends an employee has at work, the more likely they are to reject another job offer.

    Wellness Programs

    For employees to be engaged on the job, mental and physical health can play a significant role. That’s where implementing a workplace wellness program can help. Consider wellness programs beyond smoking cessation and drug and alcohol abuse prevention. Additional workplace wellness activities could be stress management and workout sessions. Wellness challenges, such as a step count challenge or water drinking challenge, can also be a great way to add some friendly competition into the mix.

    Performance Reviews

    Providing regular feedback is crucial to keeping employees engaged. Research shows the value of feedback: four out of 10 workers become disengaged when they receive little to no feedback, 82 percent of employees appreciate feedback, and 43 percent of highly engaged employees receive feedback at least once a week. 

    Regular check-ins―whether weekly, monthly, or quarterly―allow management to acknowledge an employee’s efforts and discuss opportunities for development and growth. These discussions can help employees feel more connected to the business, as they will gain a better understanding of the individual role they play in meeting your business goals and develop a sense of purpose that will keep them engaged on the job. 

    Training and Mentorship Programs

    Employee training shouldn’t end after onboarding is complete. For your employees to stay engaged, it’s important not to let them fall into a rut. Without opportunities to develop and learn professionally, employees are more likely to lose motivation and start to look elsewhere for work. According to a Korn Ferry survey, the majority of those changing jobs said boredom and the need for new challenges were the top reasons they were leaving. 

    Employee training programs can be an effective way to not only teach new employees but also develop existing workers’ skillsets. Additionally, mentorship programs can serve as a great way to help young employees grow within your organization.

    Regular Breaks

    Regular breaks offer employees time to reset and refocus. The New York Times reports that employees who take a break every 90 minutes experience a 30 percent higher level of focus than those who don’t, as well as a 50 percent higher ability to think creatively. A survey by Staples echoes these findings, with 80 percent of respondents saying that breaks make them feel more productive. As these findings show, when breaks are encouraged, employees feel like they can have better work-life balance, which can lead to greater engagement.

    Employee Recognition Programs

    Research has found that employees not only want but expect to be recognized when they do good work. As a result, Glassdoor found that more than 80 percent of employees are motivated to work harder when shown appreciation. Employee recognition programs are a great way to accomplish that. Consider building recognition programs that are aligned with your purpose, values, and goals as a way to show appreciation, encourage positive behavior, and keep engagement levels high.

    Need more employee engagement ideas? Contact GMS today to learn how our employee performance management services can help.