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We’ve experienced devastating loss of life and livelihoods due to COVID-19, but thankfully there seems to be a light at the end of this pandemic tunnel. The economy is beginning to thrive again, and that means more companies are hiring and focused on retaining top talent. This should be good news to you—and also encourage you to think more deeply about your hiring strategy. Is it timely or out of date?

If you want to attract top talent you’ve got to pay attention to three things:

1. What that top talent is looking for
2. The trends and new best practices for hiring
3. How to design a hiring plan that will produce optimum results

OUR NEW REALITY

A rebounding economy means that there is a war for attracting talent. Maybe your small business did what it had to do in 2020.  That could have meant getting things done with fewer employees who shouldered more of the workload. But now that your business has picked up, you’re on the hunt for new employees.

Guess what? So are your competitors.

And not just for new employees: Recruiters are hounding your best employees.

That’s why we believe that great hiring strategies begin with great retention efforts.

Have your employees enjoyed working from home? It’s not for everyone. But the truth is, many people do thrive working remotely. It’s meant more time to concentrate on their work (versus interruptions by co-workers stopping by desks and cubicles). It’s also allowed your employees to really hone their work/life balance. (Ask a parent with little kids how great it is to be able to do a load of laundry at 10 AM versus waiting until after dinner to start washing clothes.)

So, are you telling your employees they all need to return to the office and deal with the commute again? That might be a no-go for some of your best talent. So really consider if you want employees who have been thriving working at home to give up that autonomy.

We’re advising our small business clients to have a more flexible approach to work: for example, encouraging team members to work in the office one or two days a week so everyone benefits from the “face-time”, while also retaining the benefits of working from home.

WHAT MOTIVATES PEOPLE TO LOOK FOR OTHER JOBS RIGHT NOW?

Contrary to popular opinion, money isn’t the primary driver for an employee making a job change. But it does get their attention. And that’s what recruiters are using to get the attention of prospective employees.

Recruiters all over the country are asking their clients: “Can this job you’re trying to fill be remote?” That’s because working remotely is very attractive to many people right now, including your top employees and likely the top talent you’re trying to hire.

FLEXIBILITY IS THE NEW CARROT TO DANGLE PROSPECTIVE EMPLOYEES

Beyond remote and your ability to offer that, start thinking bigger about flexibility and how you might be able to offer that if remote is not possible, or not possible full-time. Make sure you’re checking in with your employees regularly to identify how satisfied they are with their jobs. And really lean into cultivating a flexible work environment. When your employees feel like they have autonomy in how they structure their work day, they’ll be less likely to take that recruiter’s call.

LET’S TALK ABOUT YOUR HIRING STRATEGY

When we advise clients on their hiring strategy, we always ask: What does the best result look like?

That seems obvious, but you’d be surprised at how often owners and leaders feel the need to react instead of being more intentional about their hiring strategies.

That’s why we advise clients to refer to their business plans. Are they up-to-date? What are the documented needs of the business? If you’re a business owner or leader, you got to where you got to because you’re smart, talented, and know how to hustle. If your grand vision is “in your head” but not on paper, you’re going to run into hiring problems later. Document what you want and where your business is headed. Then execute your hiring strategy.

WHAT ARE YOUR COMPLETE HIRING NEEDS?

We advise our clients to lay all the cards out on the table. This includes the complete picture of your hiring needs: what’s essential to hire for today, and what you expect to hire in the future.

This is not a solo exercise. Get the right people on your team in the room and brainstorm.

STARTER QUESTIONS TO PLAN YOUR HIRING STRATEGY

• What are the gaps in your Org Chart? What are the roles you need to fill?
• Are job descriptions current? If the past 14+ months has taught us anything, it’s that change is constant. Your company’s job descriptions should be reviewed frequently. The skills that you may have needed a year ago may have changed. If so, update those job descriptions AND create new ones for the new roles – the ones you put a title to because of a gap you identified.
• What are the “mission critical” roles to fill? And do you have consensus on these critical roles?

YOUR HIRING PLAN KEY INGREDIENTS

• Is your org chart up-to-date?
• Are your job descriptions up-to-date? (And do they align with your org chart?)
• Is your compensation and pay structure on par with market/industry benchmarks?
• Does the compensation and pay structure align with your company’s overall budget?
• Are you exercising pay transparency? Not all states require this (yet), but this is a trend that isn’t going away. We recommend a publicly known pay range on all job descriptions.
• Is your standard operating procedure (SOP) for recruiting and hiring up-to-date and understood by all? (Including HR and hiring managers.)

GREAT HIRING STRATEGIES ARE EFFICIENT

Top talent isn’t sitting around waiting for the phone to ring. As the cliché goes, you have to strike while the iron is hot. That’s why we encourage our clients to have SOPs for ensuring that you move quickly and efficiently in hiring talent. If it takes you two weeks to get back to a job candidate, then guess what? That’s two weeks that recruiters are likely leveraging to lure your job candidate elsewhere.

JOB POSTINGS: ARE YOU CREATING A WINNING MESSAGE?

Job postings are often the first exposure your prospective employees have with your company and brand. Are you effectively selling the position and your company? In a rebounding economy, first impressions are essential.

While you are at it, take a critical look at what you’re saying publicly about your open job positions, your company, and the internal realities. Do they align?

JOB SHADOWING IS A WIN-WIN FOR YOU AND YOUR JOB CANDIDATE

One of the biggest trends we see with hiring is offering a job shadowing experience for candidates (aka a realistic job preview.) This gives the candidate a clearer view into what it would be like to work for your firm. If your culture is on point, this should really give you the upper hand in wooing top talent to join your company. (And if not … well, it’s time to address!)

EMPOWER THE HIRING MANAGER

We like to say that HR is not there to do the job of the hiring manager. Of course, HR should help remove some of the administrative burden from the hiring manager, as a partner in the process. But the hiring manager should be empowered (and coached as needed) to follow the hiring plan’s SOPS, checklists, interview procedures, and onboarding.

That’s why your hiring strategy should account for spotting training gaps: areas where your hiring managers should be coached and trained so that they thrive and flourish in their management roles.

HIRING STRATEGY PITFALLS TO AVOID

• Job descriptions that are out-to-date. Again, we see this all too often. In the rush to hire a new employee, the job description hasn’t been fully vetted and updated. Trying to hire without a well-defined job description is like trying to play tennis without a racquet.
• Job descriptions that are not helpful to the hiring manager. A good job description should inform hiring managers who has the right experience, the key skills to recruit for, and how to evaluate candidates for a good fit. They also inform the employee on their essential duties.
• Job descriptions masquerading as job postings. Job postings are written to sell the opportunity and provide just enough context for who is a great fit for the role. Don’t confuse job descriptions with job postings.
• Applicant overload. If you’re inundated and overwhelmed with applications, you may not have set clear enough parameters for who should apply.
• Applicant “deserts.” If you’re getting crickets for your job postings, your pay range might not be commensurate with the skills you’re hiring for.
• Employee “ghosting.” We see this in two forms. One is when a job applicant who is interested in your company and confirms the interview appointment, then doesn’t show. The other form of employee ghosting is when you make the offer, the candidate accepts, and then … doesn’t show up for work. You may think this is rare, but unfortunately, we’re seeing this in markets across the country. The take-home message here is: stay connected! Employee retention begins the day of the job offer acceptance.

HIRING STRATEGIES REQUIRE ONGOING CHECK-INS AND PLANNING

Hiring Plans

We recommend updating your hiring plan at least once a year. And in fast-growing economies, you might want to consider reviewing your hiring plan twice a year.

Job Descriptions

Job descriptions should be updated at least yearly, and used during annual reviews. But better yet, use the job description as a tool for the manager and employee to discuss during ongoing check-ins. Real-time, continuous feedback between managers and employees provides the best opportunity for all parties to check-in and ensure expectations are set and being met on both sides.

Expansion Planning

How often are you inviting team members to participate in your company’s expansion planning? Your team is better poised to proactively tackle your expansion goals when they know in real-time where the company is headed. Another incentive for engaging your team in expansion planning is that they can prepare and advise when those expansion plans include states with complex labor laws. You might not think this is a big deal, but it is! Labor laws change constantly. A key to business growth is being agile: staying on top of labor laws is essential to achieve your company’s long-term growth.

Cultural Champion

As the saying goes, culture trumps strategy. As you work to leverage the upsides of a roaring economy, don’t neglect what got your company great in the first place: the people and the culture. Make sure you’re setting the example and championing your team to maintain a great culture.

Competitive Pay

Thriving economies usually mean increases in compensation. Watch for trends and indications that you may need to adjust compensation to stay competitive.

“Up Training”

Many of our clients are looking within their companies for their next great leaders. Are there skills you can help to “up train” your employees so you can get better performance and outcomes?

Seeking the Right Employee Mindset

To thrive in this economy, you need employees who have great aptitude, resilience and are open to change. Is your hiring strategy accounting for these necessary skills?

Hiring Efficiently

When it comes to hiring top talent, time is of the essence. Job candidates have plenty of options right now. Make sure you have an efficient hiring strategy and stay in constant communication with those employee candidates!

Get Creative

Many of our clients are hosting virtual roundtables with job candidates as part of the hiring process. This allows the employer and job candidates a chance to conduct an open dialogue about the company and skills required for success.

We also recommend that clients create short videos that describe the job positions and qualifications, and posting on the company website and other social sites that candidates are using to search for their next opportunity.

FINAL THOUGHTS

We are as happy as we are sure you are that our economy is rebounding. But in reality it just means a new set of challenges. Hiring top talent is one of the biggest challenges facing our clients. It’s certainly a good problem to have, but a problem, nonetheless: unless you have an up-to-date hiring strategy.

Interested in other current employment trends? Click the link to view the recent blog: Don’t Fear Change at Work: Drive the Change or check back for more on human resources, payroll, insurance, and benefits.

INFINITI HR is happy to provide Monthly State Law Updates as a service to our subscribers. These briefs provide a general description and are not meant to be all inclusive of compliance requirements. This list is not inclusive of all legislative changes for employers across the U.S. Changes may have been addressed in previous updates, which can be accessed from our blog.

This list is not inclusive of all legislative changes for employers across the U.S. Other changes may have been addressed in previous updates, which can be accessed online on our partner website inspiringhr.com.

Employers are encouraged to work with their Inspiring HR Consultant before making policy changes to capture the full requirements of these laws.

Some of the notable upcoming State Changes in this issue are as follows:

CALIFORNIA

CA – OSHA updates – Effective 6/17/2021

The California Department of Occupational Safety and Health (DOSH) has issued updated rules for employers regarding employee vaccination status, record-keeping, facial coverings and physical distancing that closely align with CDC recommendations.  https://www.dir.ca.gov/dosh/coronavirus/Revisions-FAQ.html

DELAWARE

DE – CROWN Act – Effective 4/13/21

The state of Delaware joins other states in adding a prohibition of discrimination based on “protective hairstyle” – primarily those associated with race, such as texture, braids, locs and twists.  The new legislation includes a synopsis of a 2019 study showing disparate treatment of Black women in the workplace based on hairstyle.

NEVADA

NV Paid Leave & Covid Leave Changes – Effective Immediately

Affects private employers with 50 or more employees in NV and who have been in operation for at least 2 years.

Amends Paid Leave and adds Paid COVID 19 Vaccination Leave. Leave laws already prohibit retaliation or adverse action against employees using covered leave. The purpose of these changes is to ensure that specific circumstances receive protection under existing Paid Leave laws.

Paid Leave, amended – Requires covered employers to allow employees to use paid leave for any use, and now specifically including:

• Treatment of a medical or physical illness, injury or health condition;
• Receiving a medical diagnosis or medical care;
• Participating in caregiving; or
• Addressing other personal needs related to the health of the employee.
• Receiving or participating in preventative care;

Paid COVID-19 Vaccination Leave, new – Requires covered employers to provide:

• For a one-dose vaccine, 2 consecutive hours of leave.
• For a two-dose vaccine, 2 consecutive hours of leave per injection.

Expiration: Paid COVID-19 Vaccination Leave expires December 31, 2023.

NV Race Non-Discrimination – Effective Immediately

Affects all private employers.  Existing law already prohibits employers from discriminating on the basis of race.

New law clearly defines “race” to mean “traits associated with race, including, without limitation, hair texture and protective hairstyles.” “Protective hairstyles” includes, “without limitation, hairstyles such as natural hairstyles, afros, bantu knots, curls, braids, locks and twists.”

NV Compensation Disclosures – Effective October 1, 2021

Affects all private employers.

What’s included in the law:

New restrictions on when employers and employment agencies may request and use an applicant or employee’s wage or salary history, and requirements for disclosure of the wage range or rate for a position. Under the law, employers may not:

• Seek applicants’ “wage or salary history”;
• Use applicants’ wage or salary history to determine whether to hire them or determine their rate of pay; or
• Discriminate or retaliate (e.g., refuse to interview, hire, promote, or employ) against applicants for refusing to provide their wage or salary history.

The law also requires that employers disclose the wage or salary range or rate for a position to applicants for employment who have interviewed for the position. Further, employers must disclose the wage or salary range or rate for a position to existing employees seeking promotion or transfer to that position if the employee has:

• Applied for promotion or transfer to the position;
• Completed an interview for or been offered the promotion or transfer; and
• Requested the wage or salary range or rate for the position.

NV Required Posting – Effective October 1, 2021.

Affects all employers regardless of size. The required workplace poster is in development.  Details on the upcoming requirement can be found here.

What’s required:

1. An official notice must be posted in the workplace concerning the Department of Employment, Training and Rehabilitation’s Career Enhancement Program (CEP) and Nevada JobConnect programs.
2. The posting describes the functions and services provided by CEP and provides web addresses for CEP and the JobConnect program.

Non-Competition Restrictions – Effective October 1, 2021.

Affects all employers regardless of size. Under existing law, a non-competition covenant must meet certain requirements to be enforceable, and is prohibited from restricting a former employee from providing service to a former customer or client under certain circumstances.

What’s new:

The amendment stipulates that employers are explicitly prohibited from bringing an action to restrict a former employee from providing service to a former customer or client if:

• The former employee did not solicit the former customer or client;
• The customer or client voluntarily chose to leave and seek services from the former employee; and
• The former employee is otherwise complying with the limitations in the covenant as to time, geographical area and scope of activity to be restrained, other than any limitation on providing services to a former customer or client who seeks the services of the former employee without any contact instigated by the former employee.

The amended law now prohibits non-competes for any “employee who is paid solely on an hourly wage basis, exclusive of any tips or gratuities.”  If a court finds that a non-compete applies to an employee “paid solely on an hourly wage basis,” the court will award the employee reasonable attorney’s fees and costs, regardless of whether it was the employer or the employee who brought forward the challenge to the covenant.

NORTH CAROLINA

NC – Payroll Practice Changes – Effective Immediately

Recent legislative changes to the North Carolina Wage and Hour Act (NCWHA) affect how employers address certain payroll practices. Employers must provide to a newly hired employee written notification of promised wages, payday, and place of payment. Thus, an employer no longer has the option of orally notifying employees of promised wages. Employers must provide a written notice at least an entire pay period before making any changes in promised wages. Separated employees must submit a request in writing if they want their final paycheck mailed to them, and the paycheck must be sent using trackable mail.

NEW JERSEY

NJ WARN Act Amendment – Effective July 19, 2020

The New Jersey WARN Act has new employer eligibility and requirements.  The following changes will apply to NJ employers:

• A Covered Employer – NJ WARN will apply to all employers with 100 employees or more regardless of their length of services or hours work and has been in operation for a minimum of three years.
• Layoff Triggers – NJ WARN is triggered by the termination or layoff of a minimum of 50 employees, regardless of the length of service or hours worked by the employee. The layoff amount is the total number of employees across the state, not just in one location.  Layoffs are only counted if they are all within a single 30-day period, or within a 90-day period if it cannot be proved the terminates are for separate and distinct reasons.  The layoff of seasonal employees is not considered termination of employment under the law.  Also, transferring employees to another state or transferring employees more than 50 miles from the original location of employment is considered termination of employment if the employee does not accept the transfer.
• Notification Requirement – Employers are now required to provide 90 days advance notice to all affected employees. If 90 days advance notice is provided, the total severance amount increases by four weeks.
• Severance Pay – Employers are now required to provide severance pay to all terminated employees.  Severance pay is equal to one week of pay for every year of service.  If proper notification is not provided, the employee will receive an additional four weeks of severance pay.

Interested in other current employment trends? Click the link to view the recent blog: Will Your New Employee “Ghost” You? or check back for more on human resources, payroll, insurance, and benefits.

This article does not constitute legal advice and there are subtle variations in employment law as it pertains to this topic, depending on where your business operates. It is strongly suggested that you seek consultation or legal counsel before making decisions about policies.

How can you spot an engaged employee? An emotionally engaged employee is more motivated, content, passionate, and committed to their job and their employer. Per a recent Gallup poll, in January 2021, the engagement rate was at 39%, which is higher than it was at the end of 2019 (pre-pandemic), of 35%.

All this despite what a difficult year 2020 turned out to be. It was arguably one of hardest years many of us have faced, for a variety of reasons. The impact on our emotional, physical and mental health has affected nearly every area of our lives. It stands to reason that the pandemic, racial unrest and polarizing political events of last year had an impact on the emotional health of your employees.

Speaking of the term “workplace”, that changed too, didn’t it? Pre-pandemic, most employees got into a car, drove to a destination, and carried out their work responsibilities there. The pandemic necessitated a dramatic change to how many people work, and where they work. Dining rooms, guest rooms, and basements, (and in some cases, a closet), became more common workplaces.

In addition to the upheaval of the working environment, people worried about their health; the health of their friends and loved ones; faced financial uncertainty; dealt with childcare obstacles as schools closed; and missed on many aspects of their lives they took for granted. The disruption to our lives has taken its toll. Many employees ended last year feeling overwhelmed, stressed out, and emotionally depleted.

But let’s focus on the positive for a minute:

• The stress and financial drain of a daily commute has been reduced or eliminated entirely for some; and
• Many people have reported that they enjoyed the extra time with their families and pets as a result of commuting time, social obligations, and errands being removed from their lives.

Why is it important for employees to be emotionally engaged?

• When employees are happy, it helps to create and sustain a positive work culture and environment. (Positivity is contagious!)
• Emotionally engaged employees are more productive; their contentment with their role motivates them to exceed their goals.
• Due to all of this contentment, working relationships will likely thrive.
• When people are engaged, they are committed to their company’s vision, mission and goals.
• All of the extra effort and passion of these happy employees leads to higher levels of customer and client satisfaction, which often results in stronger profits for your organization.
• When an employee is motivated and happy to work, absenteeism is lower and so is turnover, which is fantastic for the business and morale.

How can I tell if my employees are emotionally engaged?

There are ways to learn how engaged your team is, and the key is being proactive, not reactive!

• Observe their job performance and productivity patterns. If there is a sustained dip in either of these, it is an indicator that people may not be happy in their jobs.
• Take a look at your turnover and absenteeism rates. If these are high, that is often a sign that people are not as motivated in their jobs.
• Ask them! While you can use surveys for this purpose, open and on-going dialogue is best. Ideally, regularly scheduled one to one “check-ins” between managers and their employees will facilitate some honest discussions about how things are going.
• Professional development interest can indicate how engaged an employee is with their employer. If they are striving to take on new projects, are interested in advancement opportunities, and enjoy learning and new challenges, it is a great sign that they are committed to your organization.
• “Stay” interviews are a fantastic tool! The employer can learn more about why their employee likes their job, what they are not as happy about, and will often provide valuable information and insights into what makes your organization a great place to work, and what areas need improvement.

Even with the increase from 2019-2021, 39% is still on the low side of employee engagement.

Let’s work to get that number higher this year!

Here are some ways to help your employees become more emotionally engaged and happier at work:

• If you do not already have one in place, consider a Mentoring Program for your employees.
• Put together a thoughtful onboarding program. The introductory period can be difficult for many people. It also sets the tone for their experience at the company. A program with careful planning, training, strong communication and availability of support can go a long way. First impressions matter!
• Prioritize wellness! This can include flexible work schedules, generous PTO offerings, an EAP program, and fostering work/life balance.
• Invest in your employees by offering professional development support. This can include reimbursement of learning expenses, and paid time off for study and attending professional events and classes.
• Frequent one to ones with employees, initiated by the employee or the manager. Listen to concerns with an open mind. If you promise to make an improvement, follow through.
• Recognize employee contributions. This includes the smaller, everyday tasks that can be taken for granted. If someone compliments an employee, make sure you pass it along to them! Praise people in a public way, as long as they are comfortable with it.
• Encourage and embrace innovation. When a team member has a new idea, be receptive to it. Many younger members of the workforce, in particular, love an opportunity to make an impact.

While an employer cannot change the events going on in the world, they can work to create and sustain a more positive work environment.  If your goal is a workplace with happier employees, let’s work on making them as content and engaged as possible!

Interested in other current employment trends? Click the link to view the recent blog: The Value of a Mentor Program for Your Employees – and Business! or check back for more on human resources, payroll, insurance, and benefits.

The words “Annual Review”  or “Performance Appraisal” often bring on a shudder or a sense of dread. Do you actually know anyone that starts their day or week by boasting about how much they are looking forward to writing out and conducting these?

The idea of weeks of meetings with employees going over months of performance and tying that performance to compensation increase is enough to make even the most seasoned HR professional run screaming. Small business owners? Well, they would actually rather not do them at all, but somewhere in their mind, they know they should do something. What is that best option, most reasonable, something?

The first question is: Do you need to do an annual review with your employees? Yes, BUT. It doesn’t have to be as scary, complex, or overwhelming as it may sound.

The second question is: Do I have to give an employee a pay raise when I conduct an annual review? NO. In fact, there should be a policy in your Handbook that states a review and a compensation increase are two separate processes, and that a review does not automatically trigger a compensation increase.

Are you the type of leader who periodically meets with their employees, sets written goals, and provides feedback on what has been done well versus what needs to be improved on?

Yes? Fabulous! This is in essence an Annual Review, with a Development Plan layered in. How does a quick summary and only focusing on a Development Plan each 12 months sound?

No? Now is the time to start. Why? Your employees need to hear from you. And you need documentation, ideally signed by you and your employee(s). We’re not talking about the 10-page document full of corporate buzz-words like “KPI” that make your eyes cross.

To make the Annual Review process as simple as possible, be intentional with how to build a collaborative relationship with those that report to you. The path forward is one-to-one Meetings. These standing, recurring meetings keep both the manager and the employee focused on feedback, removing obstacles, seeking clarity, and taking all the steps and actions necessary to achieve or even exceed goals set and agreed to at the start of each employment year (every 12 months).

After a full year of one-to-one meetings, both manager and employee should be ready to put a summary of their thoughts, ideas, concerns, and new goals, to paper. That is the basis for the Four-Step Annual Review/Annual Development Plan process.

1.    Employee Self- Evaluation

Set the table for having a two-sided summary conversation with your employees. Start with a self-evaluation and give them a week or two to fill it out. You’re telling them, “You tell me how you think you did the last twelve months, I’ll take that into consideration, and we’ll have a two-sided conversation about it.” There is no way you can write everything down or remember every achievement of every employee. Self-evaluation is an important opportunity for the employee to tell you things they find important.

2.    Summarize Overall Job Performance

Consider this the “draft” Annual Review in short summary form. It looks like this: You did this well – congratulations! These are the areas of improvement we need to focus on, as we have discussed  Attached I have proposed goals to be discussed.

Aside from the employee self-evaluation, your annual review should only be one or two pages long. Briefly recap the last 12 months and work with them to align their work and personal goals for the next 12 months. Or, you can do away with the annual review entirely and move to an annual development plan.

3.    Draft the Development Plan

Based on what the employee has put on their self-evaluation, goals perhaps not yet attained in the prior 12 months, and your desires for continued employee growth, what are the goals that you believe make sense for these next 12 months? Try and get them to align with department goals, which should align with company goals.

4.    Schedule a Collaborative Meeting – Finalize Agreed to Goals

This is the meeting of the minds. Manager and employee spend less time going over the details of the year prior and instead focus on celebrating major accomplishments and collaborating on how to overcome concerns and keep growing and developing, by agreeing to a set of goals.

5.    Follow New Development Plan

For as many one-to-one meetings as possible, during the next 12 months, make the development plan a major focus. It helps keep both the manager and employee collaborating regularly on what needs to happen by when to reach those goals.

Rinse, repeat, every 12 months. Annual reviews need not be dreaded or feared, when you already know what to say and how to summarize, since you have been meeting with your employees throughout the year and everyone is already on the same page.

Interested in other current employment trends? Click the link to view the recent blog: Small Business Leaders: It’s Time to Bring Joy Back to Work or check back for more on human resources, payroll, insurance, and benefits.