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  • The wait is finally over. It’s time for segment three of understanding hourly workers in today’s economy, in which we will discuss what your employees want. To attract and retain hourly workers, you need to consider what they want and how you can provide it. Continue reading to learn how you can provide your employees with the desired benefits.

    Click to read parts one and two. 

    Flexible Schedules

    Flexibility with one’s work schedule has become essential for employees as workplace expectations shift. While organizations that employ mainly office and white-collar employees have adopted more flexible work schedules, “gray-collar” businesses have slowly changed their practices. When you add the Great Resignation to the mixture and businesses see staffing shortages and burnt-out employees, it’s essential that you determine how you can stop this from happening within your business.

    Industries such as manufacturing, health care, and retail rely heavily on hourly employees, so these businesses need to get creative and provide their workers with greater flexibility and control. Consider the following when implementing a more flexible schedule:

    • Give workers the ability to provide input on their schedules – including schedule preferences, start and end times, break times, and overtime
    • Provide work schedules in advance and keep schedule changes to a minimum
    • Offer workers a consistent number of hours and let them know in advance how many hours they’ll be assigned each week, and which shifts they’re scheduled for

    According to a recent study, 43% of respondents said flexible working hours helped them achieve more productivity. In another survey, 73% of employees said that flexible work arrangements increased their satisfaction at work.

    At the end of the day, your employees want to enjoy the balance of work and life outside of work. A survey showed that 59% of workers quit their jobs due to scheduling issues. What will you do to provide your employees with a flexible schedule?

    Access To Pay Earlier

    Another technique that has become increasingly popular is providing employees their pay more frequently or earlier than usual. It’s also another thing your hourly workers want! As we’ve seen for quite some time now, your employees simply cannot keep up with inflation. Many individuals live paycheck to paycheck, which causes financial distress in your employees, ultimately leading to less productive workers. The Financial Health Network indicates that one in five families has less than two weeks of liquid savings. Your employees want financial security.

    So how can you begin implementing this within your business? Typically, your workers are paid every two weeks or, in some cases, once a month. During these unprecedented times, that’s not cutting it for most of your hourly workers. Consider earned wage access which is the ability for an employee to access a portion of their paycheck in advance of their regularly scheduled payday. If you currently pay monthly, consider moving it to bi-weekly. If you pay your employees bi-weekly, maybe you move it to weekly pay.

    Career Advancement

    In today’s economy, most hourly workers aren’t provided with the opportunity for career advancement or promotions. In addition, skills-based and hourly workers lack career growth opportunities in the form of training or education. Careers aren’t just for the leaders of your organization. Any employee is destined for a managerial role, you just need to set them up to achieve that. Create a career path where your hourly employees can hit benchmarks and grow.

    Providing your employees with a training and development program can help them learn new skills and improve their existing ones. For many hourly employees, the goal is to find a job that provides stability and a comfortable wage. However, this only sometimes allows for career growth which leaves employees feeling stuck in low-paying jobs with little opportunity for advancement. The following are ways in which you can provide your employees with opportunities to grow within your organization:

    • Offer opportunities to learn new skills
    • Provide training – including online courses, on-the-job training, and formal training programs
    • Reward your employees for their hard work and dedication
    • Encourage networking and mentorship

    Benefits

    Any hourly worker who is classified as a full-time employee (works at least 30 hours a week) typically receives the same benefits as employees who receive a salary. However, companies vary in their benefits packages. Common benefits packages for eligible hourly workers include the following:

    • Health and dental insurance 
    • Life insurance 
    • Paid time off (PTO)
    • Retirement plans

    The Affordable Care Act (ACA) mandates employers with 50 or more employers to offer health benefits to those who work at least 30 hours per week. However, have you considered the hourly workers that just miss the hour requirements? Consider offering them benefits. Perhaps it’s as simple as offering a few days of PTO for these employees so they can take time away from work for themselves. 73% of hourly workers would trade an increase of $1 per hour for an extra five days of time off. This could help you retain current employees and attract top talent.

    Where GMS Comes Into Play

    Your hourly employees are the backbone of your business and provide the manpower to keep operations running smoothly and efficiently. The last thing you want is to lose them because you couldn’t give them what they wanted and/or needed. When you partner with GMS, we provide you with the resources to ensure your employees can thrive in their roles at your company. From creating a competitive benefits package to attracting and retaining top talent, we’ve got you covered. Allow us to take on the administrative burdens you don’t have the time or expertise to manage effectively. During these challenging times, that’s the last thing you should be worried about. Contact us today to get started.

  • 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.

  • There’s no question that many business owners are facing great economic uncertainty in today’s economy. In recent years, employees have become more specific about the types of jobs they want and the perks they expect from their employers. This trend can be attributed to several factors, including increased competition for top talent, a desire for work-life balance, and a growing awareness of the importance of job satisfaction. As a result, employers must be more flexible and creative in their hiring efforts to attract and retain employees. They may need to offer more competitive salaries, flexible work arrangements, and a wider range of benefits and perks to meet the expectations of their prospective employees. With that said, employers have run into new hiring challenges, including the following:

    Ultimately, employers that can effectively meet the needs and desires of their employees are more likely to attract top talent and build a strong and engaged workforce.

     

    Who Are Hourly Workers? 

    Unfortunately, the job market has impacted hourly workers more than salaried employees. Let’s start by understanding who an hourly employee is. An hourly employee is an employee who is paid a set wage for each hour and are generally entitled to overtime pay, if applicable.

    While the hourly wage rose 0.5%, an increase of 5.2% over the past year, it’s still not enough to keep up with inflation. In addition, it has never been more challenging to hire hourly workers. However, there are ways in which you can combat these challenges and hire the hourly workers you want and need for your business. Consider the following to help attract hourly workers:

    • Increase wages
    • Hire good leaders that your employees trust
    • Give your employees more control over their lives – offer a work/life balance 
    • Provide them with a clear path to their future within your business

    Additional Efforts You Can Take

    At the end of the day, your employees are your biggest asset. In a tight labor market, you need to stand out from your competition, especially when hiring hourly employees. At GMS, not only do we help create enticing job descriptions that grab the attention of candidates, but we also help you throughout the interview process to find the workers you need. In addition, we help you create a competitive benefits package that your hourly workers want and deserve. Come back later this week to check out additional information that will be beneficial in your search for hourly workers. Contact us today to learn more.