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  • Gender diversity may seem like a passing trend; however, creating a gender-inclusive workforce has significant business advantages. Research consistently shows that diverse teams outperform homogeneous ones when it comes to problem-solving and innovation. A gender-diverse workforce creates a more inclusive and productive environment for your whole team. For example, diverse teams can experience a nearly 40% increase in productivity per worker and can increase profitability by almost 63%.

    Despite these overall benefits, women still encounter substantial inequalities in employment opportunities and promotions within the workplace. While women make up nearly half of the workforce, the proportion of women in top leadership positions falls significantly short of their overall representation. This disparity not only affects gender diversity but also hinders organizations from benefiting fully from the talents, perspectives, and experiences that women bring to the table.

    Multiple factors contribute to these disparities, including biases, stereotypes, and structural barriers perpetuating gender inequality. Women often encounter obstacles related to implicit bias in hiring and promotion decisions, limited access to mentorship and sponsorship opportunities, unequal pay, and work-life balance challenges.

    Diversifying your staff can be a real challenge and strain on your resources. Partnering with a professional employer organization (PEO) such as GMS can help. We’ve prepared some actionable strategies that you can begin implementing right away. With our support, you create a workplace that values and leverages the strengths of every individual.

    How Your Business Benefits From Gender Balance 

    A study of over 1,000 companies in 12 countries found that gender-diverse organizations are more profitable than their non-diverse counterparts. Not only are they 58% more likely to have a positive social reputation, but businesses with women in management positions experience 35% more return on equity (ROE).

    Achieving gender balance within your workforce enables a deeper understanding of your customer base. Women comprise 80% of consumers, so their buying habits significantly impact business growth. By cultivating a gender-balanced workforce, you bring together diverse perspectives, experiences, and ideas that can enhance your ability to cater to different customer segments.

    When both male and female perspectives influence decision-making, you can develop products, services, and marketing strategies that resonate with a broader audience. A diverse workforce allows you to establish stronger connections with customers, foster customer loyalty, and gain a competitive advantage in the marketplace.

    Establishing a more gender-balanced team is only one piece of the puzzle. In order to tap into these diverse insights and approaches, you must foster an inclusive environment where everyone has an equal voice. This diversity of thought leads to more robust decision-making processes, the ability to identify and address blind spots, and the development of innovative solutions.

    Hiring And Promotional Strategies 

    A common mistake many businesses make is the failure to develop long-term strategies. Like any business endeavor, implementing a strategy without ongoing evaluations and adjustments can waste valuable resources. To counter this issue, it’s essential to regularly reevaluate your diversity efforts to determine their effectiveness and make necessary improvements. To start this process, you can:

    Implement clear performance evaluation criteria

    Statistically speaking, women receive more attention and criticism for their failures than recognition for their successes. This translates to fewer promotions and raises for women compared to their male counterparts, which can negatively affect your business’s ROE. To help combat this within your promotional processes, establishing explicit performance evaluation criteria is essential to eliminate conscious and unconscious bias. The criteria for evaluating employees should encompass strategic, operational, and individual performance factors that are clear, attainable, relevant, and quantifiable. Once defined, these criteria will objectively assess your employees on a scale from “not met” to “met.” This not only assists in eliminating bias during promotion decisions, but it also helps give your whole staff a clear understanding of your expectations.

    Offer unconscious bias training

    Unconscious or implicit bias is the prejudice or unsupported judgment in favor of or against one thing, person, or group often developed in early childhood and reinforced through familial, educational, and cultural institutions. With proper training, you can help eliminate the impact unconscious bias has on your business. This bias extends beyond gender and can encompass prejudice against individuals without a high school or college education or those engaged in “blue-collar” work such as manual labor or skilled trades. Unconscious bias training can help your staff effectively interact with customers and colleagues from diverse backgrounds. This training aims to foster better understanding and communication, promoting a more inclusive environment for everyone.

    Develop transparent and inclusive job descriptions

    To promote more balanced and inclusive hiring practices, utilize less rigid language in job descriptions. For instance, by replacing terms such as “competitive” and “best of the best,” which tend to appeal more to men, with language that emphasizes qualities such as “loyalty” and “collaboration,” you can help attract a more diverse range of candidates. Additionally, limit the use of industry or company-specific terminology. This allows candidates with diverse experiences and skill sets to understand the requirements and qualifications better, making them more likely to apply. By using clear and accessible language, you open up your job post to individuals who may have been deterred by unfamiliar terminology, ensuring a broader and more diverse applicant pool.

    Foster an inclusive workplace culture 

    Create a supportive and inclusive environment that values diversity and promotes gender equality. Encourage inclusive language such as “team” or “folks” instead of “guys.” Inspire open dialogue, respect, and amplify marginalized voices in meetings. In other words, be mindful of who takes up the most space in discussions, who is being interrupted, and who isn’t speaking at all. This can benefit your whole team, not just women. Quiet and more introverted team members can have valuable insights but may not feel comfortable or don’t have the chance to share. So, ensure you’re providing equal opportunities for all employees to contribute.

    Set anti-harassment policies

    To assist with retention efforts, it’s vital to cultivate a workplace culture that fosters safety, equality, and respect. This involves developing and enforcing policies and processes that address harassment, discrimination, and any other issues that may arise. Communicating these policies to employees and providing avenues for reporting and addressing concerns are key steps in creating a safe and equitable environment where everyone feels valued and supported.

    Promote flexible work arrangements 

    By offering flexible work hours, remote work options, and family-friendly policies, you demonstrate a commitment to supporting work-life balance for all employees, fostering an inclusive workplace that acknowledges and values diverse needs. These initiatives benefit employees with caregiving responsibilities and promote employee well-being, productivity, and overall job satisfaction, leading to a more engaged and motivated workforce.

    Conduct pay equity audits

    Women, on average, still only make 82 cents compared to a man making a dollar. Through a pay equity audit, you can identify any inequities within your business related to factors such as race and gender. By regularly reviewing and analyzing compensation data, you can address any discrepancies and provide fair and transparent salary structures free from gender-based wage gaps.

    Support career development and training

    Professional development programs can include workshops, seminars, conferences, and training sessions. These programs should focus on enhancing leadership, communication, negotiation, strategic thinking, and other competencies relevant to advancing in leadership roles. These programs can benefit the women on your team and anyone interested in developing their skills.

    Maintaining An Equitable Culture 

    In addition to implementing more inclusive hiring and promotional practices, fostering a culture of respect, accountability, and compassion is crucial for creating a truly gender-diverse workplace. Regularly communicate to your staff the benefits and positive impacts of diversity and inclusion to help generate company-wide buy-in and support for these initiatives.

    Develop an anti-harassment policy clearly outlining the consequences for leaders and employees who engage in repeated harassment or create a hostile work environment. Within this policy, ensure a robust complaint system is in place where staff members can feel safe to report any misconduct. Establishing a strong complaint system empowers your team to come forward, address issues promptly, and uphold accountability within your organization. This proactive approach not only helps prevent future incidents but also showcases your dedication to developing a respectful and supportive workplace culture.

    Performance Management Assistance 

    Performance management plays a pivotal role for business owners as they make crucial decisions concerning training, career development, compensation, transfers, promotions, and termination. Through our employee performance management service, GMS can help you set clear goals and expectations for each employee and provide feedback about those goals. Employees also value performance management, as it can offer opportunities for them to grow within your organization and, ultimately, advance their careers.

    Additionally, our learning management system makes it easier for you to streamline job training, improve employee performance, and reduce costs for learning platforms and in-person training. Partnering with a PEO like GMS can elevate the burden associated with managing employees, and protect your revenue and profits from unexpected fines, all while maintaining complete control over your team. Contact us today, and let’s get started!

  • In a world rapidly shaped by technological advancements, the emergence of artificial intelligence (AI) has revolutionized various industries, including human resources (HR) and employment. Recognizing the immense potential of AI in streamlining hiring processes, New York City took a groundbreaking step by introducing a unique law that regulates employers’ use of Automated Employment Decision Tools (AEDTs). After months of anticipation and rule changes, the law officially entered its enforcement phase on July 5th, 2023, ushering in a new era of transparency, fairness, and accountability in hiring and promotions. Continue reading to explore the significance of this groundbreaking regulation and how it sets a powerful precedent for the future of AI in the workplace.

    The Evolution Of New York City’s AI Bias Regulation

    The journey towards New York City’s AI bias regulation began on January 1st, 2023 when the first-of-its-kind law took effect. However, enforcement was temporarily delayed, accommodating essential clarifications and revisions in the regulations. Each rulemaking stage brought about material changes, leaving employers and stakeholders anticipating the final outcome. The release of frequently asked questions (FAQs) by the New York City Department of Consumer and Worker Protection alongside the enforcement date aimed to provide much-needed clarity on the law’s provisions.

    Addressing AI Bias: A Step Toward Equality And Fairness

    With AI taking on a more prominent role in hiring and promotion decisions, concerns about bias and discrimination have become more prevalent. The New York City law compels employers to conduct bias audits of their HR technology systems to identify and fix any potential bias. These audits, conducted by impartial third parties, are instrumental in holding employers accountable for the fairness and impartiality of their AI-driven employment processes. While AI has undeniably streamlined hiring processes, there’s also a potential for unintended biases to perpetuate if left unchecked. New York City’s regulation is a crucial safeguard to ensure that AI enhances the hiring process without compromising equality.

    Coverage And Compliance: Who And What Is Included

    The FAQs accompanying the law provide clarity on its scope and application. Employers and employment agencies fall under the regulation if the job is located in New York City. The employer’s location is not the determining factor; rather, the job’s physical location decides applicability.

    As for automated tools covered by the law, AEDTs encompass computational processes derived from machine learning, statistical modeling, data analytics, or AI that issue simplified outputs. These outputs may include scores, classifications, or recommendations used to assist or replace discretionary decision-making in employment decisions. If an AEDT is used at any stage of hiring or promotion to assess candidates, the employers and agencies must comply with the law’s requirements. Notably, the regulation only applies to AEDTs directed towards actual job seekers or employees, not those used for sourcing candidates or conducting outreach.

    Transparency And Bias Audits

    Transparency is a cornerstone of the law, and employers must publish a summary of the results of their most recent bias audit. The audit’s purpose is to evaluate AI tools’ potential disparate impact on sex, race, and ethnicity. To maintain impartiality, the audit must be conducted by third-party entities with no vested financial interests in the employer. The results of the bias audit must include relevant data, demographic information, and selection or scoring rates, all with a focus on upholding non-discriminatory practices.

    Collaboration And Compliance

    As businesses adapt to this regulation, they can expect the New York City Department of Consumer and Worker Protection to work alongside them in a spirit of collaboration rather than punitive action. This approach acknowledges that regulating AI-driven employment activities requires a nuanced understanding and is best achieved through collaboration between stakeholders.

    What Employers Should Know

    New York City’s law regulating employers’ use of AEDTs in hiring and promotions marks a momentous milestone in the journey towards fair and bias-free AI integration in the workplace. Amidst the complexities of New York City’s groundbreaking AI bias regulation, businesses should be aware of the support and expertise of a professional employer organization (PEO). PEOs like GMS offer comprehensive HR solutions, including AI compliance services, that ensure seamless integration of automated employment decision tools while adhering to the law’s requirements. By partnering with GMS, businesses can access the latest auditing practices, unbiased third-party assessments, and tailored guidance to ensure transparency and fairness in their hiring and promotion processes.

    As businesses face the challenges of this ever-evolving landscape, GMS serves as a trusted partner, helping them harness the full potential of AI while protecting against bias, discrimination, and compliance issues. With GMS by your side, businesses can confidently embrace the future of AI in New York City while prioritizing diversity, equity, and a thriving workforce. Contact us today to learn more.

  • In today’s hyper-competitive job market, employers are racing to secure the best talent swiftly. As a result, the need for speed in every aspect of the hiring process has become more pronounced, including background screening. However, this relentless pursuit of speed may inadvertently overshadow the vital aspect of accuracy. Let’s explore the challenges and consequences of prioritizing speed over accuracy when choosing a background-screening provider and why striking the right balance is crucial for the long-term success of any organization.

    The Need For Speed: A Pressing Imperative

    In a rapidly evolving business landscape, time is of the essence. Employers face mounting pressure to fill positions, stay ahead of competitors, and keep pace with changing market demands. Consequently, background-screening providers are increasingly marketed based on the promise of rapid turnaround times, promising quick results that can expedite the hiring process.

    The Hidden Dangers Of Prioritizing Speed Over Accuracy 

    1. Incomplete information: Opting for a background-screening provider solely based on speed may lead to incomplete information about potential candidates. Crucial details might be overlooked, leaving employers exposed to unforeseen risks.
    2. Legal and reputational risks: Relying on quick background checks can increase the likelihood of overlooking red flags in a candidate’s history, such as criminal records or false credentials. This leaves companies vulnerable to legal liabilities and damages their reputation.
    3. High employee turnover: By prioritizing speed over accuracy, employers might hire candidates who are not a good fit for the role or the company culture. This can lead to high employee turnover rates, hampering organizational growth and productivity.

    The Quest For Balance: Redefining Priorities 

    1. Reevaluating criteria: Employers should reassess their screening criteria and identify critical information for decision-making. This way, they can streamline the screening process while ensuring that essential details are not missed.
    2. Partnering with reliable providers: Instead of blindly opting for the fastest provider, employers should prioritize working with reputable screening agencies with a track record of accuracy. A trusted partner will deliver timely results without compromising quality.
    3. Leveraging technology: Embrace technology-driven solutions that combine speed and accuracy. Automated systems can expedite the process without sacrificing the thoroughness of the investigation.
    4. Conducting comprehensive interviews: Supplement background checks with in-depth interviews to gain insights into candidates’ personalities, values, and work ethics. This holistic approach ensures a more thorough evaluation of potential hires.

    Embracing The Long-Term Vision

    While the desire for speedy results is understandable, employers must recognize that hasty decisions may have far-reaching consequences. Investing time and effort in choosing the right background-screening provider can lead to better hiring choices, improved retention rates, and a stronger organizational culture.

    A PEO May Be The Solution

    As employers navigate the ever-changing landscape of talent acquisition, it’s essential to strike the right balance between speed and accuracy in background screenings. While quick results may seem attractive in the short term, the long-term benefits of thorough and accurate background checks cannot be underestimated.

    In the quest for accurate background checks that relieve business owners of their responsibility, a professional employer organization (PEO) like GMS stands as a valuable partner. By partnering with GMS, businesses can confidently delegate the responsibility of conducting meticulous background screenings to experts who specialize in the field. A PEO’s wealth of experience, access to advanced screening technology, and compliance with evolving regulations ensure that the hiring process remains swift and precise.

    Amber Mora, GMS’ HR Account Manager, explains, “When partnering with GMS, our clients save a significant amount of time because all they have to do is send over the candidate information, and our recruiters handle the rest. They securely input the information into the software we use for background checks called CrimCheck. The completed results are then sent back to the client. Should the client decide not to move forward with a candidate, we can submit the adverse action process on their behalf so they don’t have to worry about it. Ultimately, we make it easy for our clients to have background checks completed.”

    Embracing a PEO empowers business owners to focus on their core objectives, securing the knowledge that reliable professionals bolster their workforce. In the dynamic landscape of modern business, GMS’ support can be the key to building a thriving and ethically responsible organization. Get a quote from us today!

  • In an unprecedented move, the New York Legislature has ushered in a groundbreaking era with the passage of the highly anticipated Clean Slate Act. Awaiting the final stamp of approval from Governor Kathy Hochul, this transformative legislation aims to enhance the employment prospects of individuals with prior criminal histories, provided they have maintained a clean record in recent years.

    Once Governor Hochul signs this bill into law, the records of certain convictions will be automatically sealed after specific timeframes. This approach not only grants a fresh start to deserving individuals but also opens up a world of new employment avenues.

    Understanding The Act

    Let’s start with the basics. What does sealing a record mean? Sealing removes a person’s criminal record from public view though it can still be accessed through a court order.

    Once the act goes into effect, it would immediately seal the records of criminal convictions under state law as follows:

    • Misdemeanors: If there was no sentence of incarceration, these offenses would be sealed three years from the individual’s release from prison or the imposition of a non-custodial sentence. 
    • Felonies: Eight years following the individual’s release from prison, the records of these more serious offenses will be sealed. 

    It’s important to note that Class A-I felonies, which encompass crimes such as aggravated murder, terrorism, and certain sexual offenses, are not eligible for sealing. These exceptions ensure public safety while providing redemption for less severe offenses.

    Sealing records will become an automatic process, sparing individuals from navigating complex legal procedures. However, it’s crucial to highlight that automatic sealing will not occur if the convicted individual has pending criminal charges, is on probation, or remains under parole supervision when the stipulated time period elapses.

    Additional Actions That Come With The Act

    The Clean Slate Act goes above and beyond by extending its protective shield against discrimination. Employers will be prohibited from inquiring about sealed conviction records or discriminating against candidates or employees based on such records. This monumental amendment to the New York State Human Rights Law paves the way for a fairer and more inclusive job market, where individuals can be considered based on their present merits rather than past transgressions.

    While the sealed records will largely remain confidential, exceptions do exist in certain circumstances. For instance, entities mandated by state or federal law to conduct fingerprint-based background checks will still have access to these records. Similarly, organizations involved in child protection, elderly care, or working with vulnerable adults will be authorized to examine sealed records for the safety of those they serve.

    In addition, law enforcement officers conducting investigations and licensing officers processing firearm license applications may also access these records as necessary. It’s essential to recognize that the Clean Slate Act exclusively pertains to convictions under New York’s penal law and does not extend to federal or out-of-state criminal convictions.

    What This Means For Small Business Owners

    As a small business owner, the Clean Slate Act will empower you to consider candidates on their current qualifications and abilities, unburdened by the weight of past mistakes. By participating in this transformative movement, you can contribute to a society that values compassion, rehabilitation, and growth.

    While we await the final decision, you must prepare your business to ensure you remain compliant with all rules and regulations. Have you considered partnering with a professional employer organization (PEO)? A PEO like Group Management Services (GMS) can serve as a guiding hand through this transition. Our experts provide crucial compliance guidance, ensuring businesses adhere to the act’s regulations and develop non-discriminatory hiring practices. In addition, we can help you establish fair screening processes, help with HR support and training, and ensure accurate recordkeeping and compliance audits.

    By partnering with GMS, you can confidently navigate the complexities of the Clean Slate Act. Contact us today to learn how we can streamline your business operations while ensuring you remain compliant with evolving laws and regulations.

  • As we discussed in our last blog, employee turnover rates and expenses are rising; it’s challenging for business owners to hire hourly workers. Ultimately, this crisis stems from the idea of individuals being fed up with what they perceive to be “dead-end” jobs. This means that they see no future or promotion within the company. Not seeing a future or promotion within a business is a trend for hourly workers because of the following factors:

    • Limited opportunities – Many hourly workers are in jobs that don’t necessarily offer a clear career path or opportunities for advancement. In some cases, these jobs typically don’t require specialized training or education, making it challenging for workers to move up the ladder.
    • Low pay – Hourly workers often earn lower wages than salaried employees, which can create a perception that their work is not valued or that they are not being compensated fairly.
    • Lack of training – Without access to training and development programs, hourly workers may not have the skills or experience necessary to move into higher-level positions within a company.
    • Inequality – In some instances, hourly workers may feel that they are not given the same opportunities as salaried employees or that their work is not recognized or rewarded in the same way. This can create a sense of unfairness and limit workers’ motivation to pursue career growth within a company.

    What Companies Are Doing

    As a business owner, it’s time to start thinking about combatting these challenges and giving your employees what they deserve. For example, Amazon began offering a $1,000 sign-on bonus for hourly workers, and McDonald’s increased their hourly wages to $15 an hour. In addition, states have started implementing higher wages for all hourly workers. Illinois raised its minimum wage to $15 an hour.

    However, we understand that raising pay rates may not be within your budget. So, another option is investing in your leaders. While offering higher pay could bring new talent through your doors, it may not keep them for the long haul. Despite this, employers have begun investing in their leaders because a good boss can make all the difference and will likely make your employees want to stay. Studies show that if a leader engages in employees they trust, it can take a pay raise of more than 20% to poach them. When your leaders build a highly trusted workplace, the following are the benefits you’ll receive:

    • Enhances teamwork and collaboration
    • Improves organizational alignment 
    • Enhances decision-making
    • Decreases stress and burnout in the workplace 
    • Increases employee loyalty and retention
    • Overcomes resistance to change 
    • Improves innovation and creativity 

    When employees have a boss they feel they can go to when they’re struggling or need help, it makes them want to stay with the company. In addition, you could provide your leaders with HR technology that allows them to offer confident solutions to their employees’ concerns. Imagine how impactful it can be if your employees feel valued by their leaders. It plays a significant role in the success of your organization.

    While trust is the main driver in retaining your hourly workers, your employees also want more than just pay increases. Consider looking at your employee benefits. What can you add or change to create a more competitive benefits package? Providing your employees with a work-life balance, surrounding them with positive work culture, giving them learning opportunities, and training and career advancement opportunities all aid in the retention of your employees.

    In addition, have you considered the possibility that the way you hire your hourly workers could lead to your employees leaving shortly after hiring them? Determining whether you’re hiring the right hourly employees from the start can be a challenging task. However, consider implementing the following steps when hiring employees to increase the likelihood of making successful hires:

    • Define the job requirements clearly – It’s essential to clearly define the job requirements and qualifications necessary for the position. This includes skills, education, experience, and any other essential criteria that the employee should possess. Having a clear understanding of the job requirements can help ensure that candidates are evaluated against relevant criteria.
    • Conduct thorough interviews – Employers should conduct thorough interviews that assess candidates’ skills, experience, and fit for the job. Asking behavior-based questions and assessing candidates’ problem-solving abilities and communication skills can significantly help identify candidates who are a good fit for the position.
    • Check references – Checking references can provide valuable insights into a candidate’s work experience and performance. Employers should contact previous employers and other references to confirm the candidate’s qualifications and suitability for the job.
    • Utilize pre-employment assessments – Pre-employment assessments, such as skills tests and personality assessments, can provide objective information regarding a candidate’s abilities and fit for the job. Employers should use assessments that are relevant to the job requirements and ensure that they are administered consistently to all candidates.

    Utilizing these strategies, employers can increase the likelihood of hiring the right hourly employees from the start. However, it’s also important to remember that no hiring process is foolproof, and it’s always possible an employee may not be the right fit for the job, despite the employer’s best efforts.

    GMS Is Here To Help

    So, we’ve discussed the challenges hourly workers face along with business owners trying to hire them and how you can combat the challenges. The next segment we will discuss is what exactly your hourly workers want. Once you have a team together, it’s time to find ways to retain them, so you don’t have to go through this never-ending hiring cycle. When you partner with GMS, we provide you with the resources to help you attract and retain quality talent. Contact us today to learn more.

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

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

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

    Key Labor Market Stats For 2023

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

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

    Biggest Changes In The Job Market

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

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

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

    Biggest Challenges In The Job Market

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

    Economic disruption

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

    Automation

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

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

    Competition

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

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

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

    Increased desire for remote work

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

    How To Stand Out In An Applicant Pool

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

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

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

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

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

    GMS Helps Streamline Recruiting Efforts

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

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

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

    The Strategic Enforcement Plan (SEP)

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

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

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

    Stay Proactive, Partner With GMS

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

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

    What The Experts Are Saying

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

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

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

    Have You Considered Partnering With A PEO? 

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

  • Recently, pay transparency has become one of the hottest topics for businesses. Before we jump into the reasoning behind it, let’s discuss what pay transparency is. Pay transparency is the practice of openly and proactively sharing information on organizational compensation practices, including the following:

    • Pay rates for specific positions 
    • Pay increases
    • Bonuses or commission structures 
    • Benefits 
    • Retirement plans
    • Or any other specifics about pay

    It’s essentially viewed as a way for employers to build trust with employees and ultimately boost engagement and productivity. Companies have different degrees of pay transparency ranging from providing pay grades for job titles to offering a full list of salaries for everyone at the company. While this topic can be controversial to some individuals, many desire transparency within their organizations.

    Benefits Of Pay Transparency

    Typically, many employees and employers believe that sharing how much you make is off-limits. However, with the current labor market, pay transparency could be your best friend. Pay transparency and listing salaries on job postings have become increasingly popular amongst businesses that are struggling to find and retain top talent. Glassdoor found that 63% of employees prefer to work at a company that discloses pay information over a business that does not. The following are the benefits of pay transparency:

    • Closes pay gaps
    • Creates happier and healthier employees
    • Increases employee retention
    • Vets out those with different salary expectations immediately from the recruiting process
    • Fewer salary negotiations will be needed
    • Access a wider pool of quality talent
    • Higher productivity 
    • Streamlines your hiring process

    The Disadvantages

    While there are many benefits of pay transparency, this topic can be quite controversial by raising unnecessary concerns and creating problems among team members. However, there is something to be said about the transparency of employees who perform the same job, and they should be compensated equally. In addition, you must consider the length of employment, levels of training, and overall experience. Ultimately, it’s challenging to apply a standard pay rate and maintain fairness while attempting to showcase equality.

    The following are disadvantages/challenges business owners could face when implementing pay transparency:

    • Comparing pay to other employees
    • Pay difference could be taken out of context
    • You may end up paying unnecessarily higher salaries
    • The potential loss of qualified job candidates whose salary requirements differed from yours
    • Employees may have privacy concerns
    • The work environment could suffer
    • This could make the pay gaps even more obvious since it will be open to the public

    Current Pay Transparency Laws

    Equal pay laws exist in nearly every state; however, laws requiring businesses to provide pay transparency are still a trending topic. The following states/cities have pay transparency laws:

    • California
    • Colorado
    • Maryland
    • Nevada
    • Jersey City, NJ
    • Ithaca, NY
    • New York City
    • Westchester County, NY
    • Cincinnati, OH
    • Toledo, OH
    • Rhode Island
    • Washington

    In addition, each state has different laws that employers must comply with. The following states require employers to provide salary ranges:

    • California
    • Colorado
    • Connecticut
    • Maryland
    • Nevada
    • Rhode Island
    • Washington

    Additional information can be found for each state here. 

    Is It Worth It?

    When you weigh the advantages and disadvantages of pay transparency, you’ll see that both are significant. There are still many questions that need to be answered about whether this is the right way to handle pay transparency or not. We understand how complex it can be. As more and more states begin implementing pay transparency laws, it’s essential that you stay up-to-date on the latest laws and regulations. When you partner with GMS, we make it easy for you. If you choose to list salaries on your job postings, our HR experts work with you to ensure they’re accurate and gaining attention from top talent. 

    Angelina Santiago, GMS’ Recruitment Specialist, explained, “There are a handful of reasons why companies should implement pay transparency. It exhibits pay equality and closes pay gaps, ensuring that employees are being paid appropriately. In addition, it creates happier employees that are being compensated fairly, which makes them feel appreciated. It also increases employee retention while creating a high-trust organization. Finally, it creates a better recruitment process for the company to attract high-level candidates.” 

    Contact us today to learn more.

  • During the rush of the holiday season, employers often turn to additional help – seasonal workers. However, as employers are feverishly hiring, they often make a variety of mistakes. According to the U.S. Department of Labor (DOL), employers who are unaccustomed to seasonal hiring may not be aware of the rules and regulations. Are you ready to focus on making your business thrive this holiday season? Continue reading to find out how to accurately add to your employee count.

    The Hiring Process

    Before you begin the hiring process, establish a well-planned strategy to comply with employment laws. Building a strategy will allow you to protect your business. It’s essential to ensure that new hires are aware that they are hired on a temporary basis. Furthermore, you should require any seasonal employee to acknowledge, in writing, that they will only be guaranteed employment for the specified duration. Another consideration is to utilize “at-will” employees. This type of employee gives employers the legal right to terminate the employee with or without cause.

    Employee Classification

    When classifying your employees, you want to ensure that the classification is appropriately documented. It might be easy to assume that due to the length of employment, these employees should be classified as independent contractors; however, this is not the case. Employers considering their seasonal workers as independent contractors should ensure that the classification meets the legal requirements.

    Wage And Exemption Pitfalls

    Common pitfalls employers often see when hiring seasonal workers are due to incorrect pay. Employers make the mistake of paying employees less than minimum wage or failing to comply with overtime requirements. The Fair Labor Standards Act (FSLA) requires seasonal employees to be paid one-and-a-half times the regular pay rate for any additional hour worked over the 40-hour week. However, under FLSA, seasonal workers may be exempt from receiving overtime pay working in establishments such as:

    • Recreational establishments
    • Organized camps
    • Religious groups
    • Non-profits
    • Educational institutions

    Company Size

    The size of your organization can create a barrier to the talent you need; however, employee thresholds often vary by state. Additional employees can put small business owners into a new size classification. Employers should determine whether additional workers will convert them into large employers under the Affordable Care Act (ACA).  However, if a company is already a large employer, health benefits are required to be provided to seasonal employees.  Failure to provide the required benefits can lead to expensive consequences for employers. Consider reviewing your benefits policies and health plans to establish whether these offerings are required.

    Simplify Seasonal Hiring With GMS

    With the holiday season in full swing, it’s vital for employers to properly hire their seasonal workers. With GMS as a partner, our team of HR professionals can ease the administrative burdens that come along with seasonal hiring. GMS will ensure you remain compliant, so you can focus on growing your bottom line. Contact us today to learn more.