Archive for category: Blog

If you have an Employee Handbook already in place, fabulous! If you don’t and you wonder if you need one, the answer is yes.  Refer to “The ROI of an Employee Handbook.”

We are always pleased to hear that a company has what they call an employee “manual”. We prefer “Handbook” for a variety of reasons.  Whatever you call it, it may be slightly frustrating to learn that it will never actually be “finished”.  Sorry.

A finalized Handbook that has been distributed to staff still needs an update from time to time. Companies grow and mature and so must their policies.  Labor laws will change from time to time, and internal policies are affected by those changes.  Hopefully you operate in a state that does not have complex, ever changing laws, so you can extend what we call the shelf life.

Reflect on the last time your company’s handbook was updated. If your Handbook hasn’t been revised since 2012, it is growing very out of date in at least these areas: American’s with Disabilities Act, Fair Labor Standards Act (FLSA) Categories – Safe Harbor, Social Media/Blogging and Family and Medical Leave (for 50+).

If you aren’t already sold on updating your Handbook, here are our top 10 reasons to reconsider:

1. Be clear(er) on “employment at will” and business rights.  Worried your Handbook might be construed as a contract? An effective Handbook clearly defines what employment at will means and includes disclaimers that give the company the right to change pay, policy and practices according to what state or federal law allows. There should be no doubt throughout the handbook that it is not a contract and the company is not guaranteeing anything.
2. Remove language the National Labor Relations Board considers unlawful.  The NLRB is on a mission as of late to pick at this. There is a 30 page memo that was released by them to clarify. Good grief who will read that? A good HR Consultant has a handbook template that has been legally vetted and can easily spot language that could make your Handbook illegal. In general remember that employees have a right to discuss and voice complaints regarding working conditions, including pay. Biggest mistake we see? A policy that states if an employee discusses their pay they will be disciplined or fired. Remove that. Immediately.
3. Minimize the risk of harassment or discrimination claims.  We strongly encourage a statement of zero tolerance and a clearly marked sub section that cover “How to Report a Claim”, which identifies multiple choices of persons to report a claim to. Consider adding an additional policy in the Handbook that makes Personal Relationships in the Workplace standards very clear.
4. Expand the American’s with Disabilities Act (ADA) policy.  Did you know there were signature changes to the ADA in 2012? A current Handbook will include language related to the ADAAA and include direction on how to request an accommodation.
5. Update Employee Categories.  Are you AND your employee clear on the difference between Exempt and Non-Exempt? Does your Handbook cover what Exempt employees should do if there is an improper deduction from their pay? If offering a group health plan, is this section clear on the definition of full-time, part-time and benefit plan eligibility requirements for hours worked?
6. Confidentiality & Non-Disclosure protections.  Are you asking employees to sign what is called a CNDA at the time of hire? A Handbook policy that covers these standards and the company’s right to use legal means available to recover lost property, including intellectual property is a great re-enforcer.
7. Commit to Federal/State/Local Wage & Hour law compliance.  Ever worry about what a retaliatory ex-employee might attempt to complaint to the Department of Labor about? Handbook policies that cover what a company is legally obligated to do goes a long way in establishing processes employees and leaders should be following, such as: Breaks & Meals, Non-Exempt Overtime, Jury Duty, Paid Sick Leave, Final Paycheck.
8. Attendance, Attendance, Attendance.  The number one reason that employees are involuntarily terminated and a very hard unemployment claim for a company to “win”. Why? Attendance policy wasn’t specific enough in terms of rules and standards to follow, including how many hours (reasonably), in advance, an employee must notify their manager if they are going to be unexpectedly late or absent. We also encourage a clear definition of Job Abandonment – categorizing it as voluntary resignation.
9. Evolve from Cellular Phones to Mobile Devices.  First step is to be sure you have a policy that covers rules surrounding use of company issued cellular phones or personal cellular phones used while working. Within that there should be ZERO tolerance for any type of manual phone use while working. ADD to that, all other kinds of rules and protections you need for other types of company issued or personal, used for business, mobile devices.
10. Employee Conduct Standards.  Can you prove to a current or ex complaining employee, or an outside party inquiring in, that the employee “should have known” that was a policy or performance violation? That doesn’t mean have a 30 item list! But do include statements that cover the obvious – yes, the obvious. No dishonesty, theft, insubordination, harassment, discrimination and engaging in an act that deliberately causes a safety concern, including violation of the Substance Abuse policy.

Signed Handbook Acknowledgements, on file, for everyone!

Sadly, anyone can sue or complain at any time. It is how the company can defend itself that makes a difference.  How will the company prove, if challenged, that the employee “should have known”?  A signed Acknowledgement can be used to defend employment actions related to discipline and termination, including protesting or appealing an unemployment claim related to the termination of an employee for poor performance or a policy violation – if that policy was clear in the handbook.  See attendance above.

Don’t wait to update!

Labor laws are only going to keep changing. Put a maintenance plan in place this time around.  Delegate and get it done.  The reward of a current Handbook will far outweigh the risk and cost.

Click the link to view the recent Hard Conversations Take Leader Courage or check back for more on human resources, payroll, insurance and benefits.

 

Did you have a good start up year?  Ready to hire in 2017?  About to open a new franchise?

Don’t let anyone tell you hiring isn’t worth it or having employees is like having more children. When you make the right hiring decisions, and you are considering a “builder” – one who enjoys developing and motivator others, you will find joy in having the right team in place.

Even so, a new business owner may feel overwhelmed. Everything is new and there is a lot to take on: state and federal paperwork, business plans, contracting vendors, finding and maybe even renovating a space, and then… (yikes!) hiring employees.

 “Do I even NEED employees?”

Owners may wonder if it makes sense to hire employees right away.  Independent Contractors, they may think, would be easier; no employment law hassles; they won’t expect benefits or perks; can’t negotiate pay once a contract is signed; and can just be paid through an accounting system.  They take care of their own taxes and if they don’t work out, a contract can just be ended.

A true Independent Contractor (“IC”) should ideally only be brought on due to his or her expertise for a specific project or initiative.  He or she is a vendor.  ICs should not take direction from the business in terms of day-to-day tasks and can set their own hours.  They can have multiple clients and have their own equipment: laptops, cell phones, etc.

You can hire an IC who has expertise in call center setup to help you setup a call center; however, someone you contract to cover the phones and take customer orders isn’t an IC – they are an employee. 

An Independent Contractor disguised as an employee can lead to trouble with the IRS as well as with the Fair Labor Standards Act.  If what you need are employees, you should start by hiring employees.

Considering hiring “green”? Anxious to hire, without a real plan?

THE RISKS:

There are so many employment laws.

There are laws around every step of the employment process, from candidate selection and interviews, wage payments and work schedules through termination, and they can change quickly.  Not only are there federal laws, but there are state and local laws as well.  Having a legal resource and strong HR support can help you navigate the laws and keep you in compliance.

How can I be sure I’m hiring the right people?

It’s more than filling the desks as quickly as possible.  Hiring the right employees can help move a business forward while hiring the wrong ones can set you back. It’s important to get help – at least at the beginning – with finding potential candidates who have the right mix of experience, attitude and knowledge to be a part of your new organization and a thorough, legal vetting process will help narrow them down in order to build a strong team.

What if they ask for more money once they start?

When you give candidates an offer and they accept it (in writing is always best), they are agreeing to the salary or hourly rate and any commission program that you have set for the position.  You can set the expectation as to how often compensation will be reviewed and what performance and financial factors will trigger or otherwise affect raises and bonuses so there are no surprises.

What if they sue me?

The key is to be familiar with the employment laws for your state and industry (this is where HR can be very helpful). Have a legally reviewed, current employee handbook in place… and stick to it. Be consistent in your treatment of employees.  Take all harassment and disparate treatment claims seriously. Respect employee privacy when it pertains to their health or other personal issues. Document and take prompt action with struggling performers, as well as all occurrences of insubordination and employee conflict. A terminated employee that is angry may try to sue but if you have a documented history of performance issues and insubordination, it will be harder for them to build a case for disparate treatment when it was not the reason for his or her dismissal.

THE REWARDS:

Knowledge and experience – with you.

When hired on from the beginning of a new venture, your employees will have invaluable homegrown knowledge going forward. Your first employees will help you work out the bugs and they’ll be your future managers, trainers, recruiters and advocates. Employees who take pride in their work and feel good about what they do spread the word about the company they are working for.

A loyal team. 

When treated fairly and recognized for hard work, employees will probably stick with you through any storm and can even help lighten your load.  Imagine the feeling of one day being able to take a step away from the day-to-day duties and start to strategize for the future, knowing you have a strong workforce in place to carry out the transactional work.

It is worth stating again: Don’t let anyone tell you hiring isn’t worth it or having employees is like having more children!

When you make the right hiring decisions, and you are considering a “builder” – one who enjoys developing and motivator others, you will find joy in having the right team in place.

Click the link to view the recent Mobile Recruiting – The Latest and Greatest or check back for more on human resources, payroll, insurance and benefits.

Is it annual review time at your company?  Do you have leaders scrambling for “content” on those they may have not provided feedback to throughout the year?

Think Annual Reviews aren’t worth it?  While there is a movement to do away with them, that only works in a company where employees are given feedback, often; from their leaders and from each other.

Annual Reviews commit leaders, who might otherwise overlook providing feedback, to reflecting – summarizing – planning, at least once per year.

What do Performance Reviews have to do with Peer to Peer recognition?

See reflecting above.  

It is one thing for a leader to have an opinion on performance.  But a credible, well rounded opinion, should include how employees are interacting and being productive with each other; to make sure their team and your company can prosper.

We are a part of and have advised many companies on the value of a great workplace culture.  If you are a service company, happy employees generally yields happy and long term clients.

Peer to Peer recognition, formal or informal, is invaluable to maintaining and maturing a great place to work culture.

Imagine getting a sincere, heartfelt kudos from someone you respect…  Someone who appreciates your professionalism, your leadership and teamwork.  Someone who does not HAVE to recognize you as a part of the annual performance cycle and isn’t your supervisor.

Recognition from a manager is great, but recognition from a peer, a co-worker, can be an unexpected boost.

Co-workers see the good, the bad and the ugly of their fellow employees’ working lives and when they see a reason to call attention to someone for a job well done, it can be a great thing.

A Peer Recognition Program, when done properly, can be great for morale.  Done poorly, it can feel like an administrative burden with little meaning.  Employees who are forced into the process won’t ever be truly willing participants and it defeats the purpose of the program.

If you are considering implementing a peer recognition program:

• Make a plan. If it’s a brand new idea, be sure to set aside a small slice of the budget.  Starting small will give you something to build on should the program take off in future years and help you gain buy-in if someone else is approving the budget.  Next, dig into the details.  How will the nominations be handled?  What can employees nominate their co-workers for?  Who will decide on the awards?  How often will awards happen?

• Don’t force it. When soliciting employees to recognize their peers, it’s important to not force the issue.  Mandating that they recognize one co-worker a month or putting too strict, or too detailed, of rules in place takes the sincerity out of the sentiment and eventually, will probably cause the program to fail.  A few simple guidelines will set the tone for a streamlined program employees will be more apt to use.

• Be inclusive. Not only should all employees be included in the program, but they should be included regardless of current performance ratings or whether they are on a Corrective Action Plan.  An employee who is struggling to regain a foothold at work might get a real boost if recognized for something positive.

• Make it meaningful. An e-mail announcement or certificate, while a nice gesture, may not be enough.   A small trinket sporting the company logo will probably go unused and eventually be discarded.  Employee rewards don’t have to be expensive:  Consider adding a PTO day to an employee’s balance, a pair of movie tickets to the local theater, or a gift certificate for a local eatery.  Managers of award recipients should be involved as well – they should be notified if they are not aware of the nomination in order to give some insight on what kind of award might be the most meaningful.

• Celebrate as a team. When a team member is the subject of deserved peer recognition, it’s an occasion.  Encouraging managers to bring in a continental breakfast, lunch or afternoon snack will mark it without breaking the budget and will may encourage employees to continue with the nominations.  While some award recipients may be uncomfortable with the focused team attention (this will need to be gauged individually by employee), it’s important that it not go uncelebrated.

• Keep a record. Peer recognition is something that should be recorded, added to employee files and to the list accomplishments in a performance assessment.   It’s validation of a job well done and employees should know that it is as meaningful to the company as it is to them.

An effective Peer-to-Peer Recognition program can help employees look for ways to appreciate their co-workers, give a boost to those employees who receive the awards and could encourage further teamwork and a collaborative working environment.  Time spent at work – which is the majority of the week – should be time well spent.

If you are getting ready to do an Annual Performance Review for the first time, here is a good read.

Click the link to view the recent INFINITI HR blog: Fluctuating Workweek and FLSA Compliance or check back for more on human resources, payroll, insurance and benefits.

Today’s blog is brought to you by our friend Sara at Venngage.

Do you ever feel like there are too many things to remember at work? This may be especially true if you’re working at small company where processes are always changing and growing. This may also be the case if you’re working in a rapidly growing workplace where new talent is regularly incoming.

That’s why it’s helpful to have documents that act as quick reminders for processes that you might find yourself forgetting.

Let’s face it, nobody remembers everything, right?

I work at a SaaS company that rapidly moved from startup status to small business status in about a year. Since joining the company a year ago, our team has doubled in size, and we’re still hiring. We’re always looking for ways to improve and implement new processes to suit our scaling user base and project goals.

Because of that, we need to make sure that new hires get on the same page as quickly as possible. We also need to make sure that current team members don’t fall behind.

Here’s my suggestion: create HR process posters.

Process posters introduce the process and break down the steps in the process. They typically use minimal text and, instead, use visuals to communicate information in a quick and easily digestible way.

After all, 65% of people are visual learners. So why not appeal to that learning style by using visual learning modes?

Plus, posters are also nice to look at, so you don’t feel bad about pinning them up in your workspace.

So how do you create a process poster? Even if you’re not a designer by vocation, it doesn’t have to be difficult. All you need is an understanding of some basic design principles. This infographic walks you through the steps for how to create a process poster.

Click the link to view the recent INFINITI HR blog: Five Common Overtime Mistakes or check back for more on human resources, payroll, insurance and benefits.

— Sara McGuire is a Content Editor at Venngage infographics. When she isn’t writing for a number of business and marketing sites, she enjoys reading graphic novels and writing music reviews.

Did you know the average credit card debt in the U.S. is more than $15,000? That debt costs us money and prevents us from doing things we want to do. Perhaps more importantly, debt creates too much worry, fear and stress.

At INFINITI HR, we like to be a go to resource for our employees, clients, and social media followers. This blog is brought to you by our friends at The Simple Dollar. One of their missions is to help people break free from debt and get on the road to financial independence. Whether it’s medical bills, student loans, or credit card debt, they have some suggestions and a cool calculator tool that can help you eliminate your debt quickly.

The Debt Calculator Tool – Create a Payoff Plan

See how making a few extra payments will get you debt-free faster than you think.

How to Use This Debt Calculator

This calculator is set up to help you get a handle on all of your debt. There are three main parts:

Understand Your Total Debt

First, enter your debt balances, interest rates, and the monthly payments you’re making, and hit “calculate.” Add as many accounts as you need by clicking “add debt” below each module. The calculator will show you how much interest you’ll pay overall and when you’ll pay off each account if you stick to your current payment plan.

Use the Sliders to See What Happens When You Pay a Little Extra

Next is where you can play around a bit and create a plan to tackle your debt. Use the sliders to see how paying even a little extra each month can drastically hasten your payoff date and reduce the total interest you’ll pay over time. You can also select a desired payoff date and see what kind of monthly payments you’d need to make to be debt-free by that time.

Compare Your Current Approach to Your Accelerated Debt Payoff Plan

When you’re done tweaking numbers, check out the two summary tables below each debt, which give you a side-by-side comparison of the approaches. The table on the left tells you how much your debt will cost you and when you will pay it off if you stay on your current payment schedule. The table on the right takes into consideration the extra payments you used with the slider tool to show you how much your accelerated payoff plan can save you, and when you can realistically be free from that debt.

When Does a Balance Transfer Credit Card Make Sense?

A powerful tool that some people may be able take advantage of is a 0% balance transfer credit card. This type of credit card lets you transfer a portion of your high-interest balance and take advantage of a 0% interest offer for a specific period of time, usually 12 to 18 months. If you qualify, you can eliminate interest while paying off your debt, which can help you make progress more quickly.

If you primarily have credit card debt, use the calculator above to see if you could feasibly pay off your balance in 18 months or less if the interest rate were zero — as it would be during an 18-month introductory period. If you can make those payments without adding new charges to your card in that time, you won’t incur any interest charges and you’ll eliminate that high-interest debt! But once that introductory period is over, the interest rate will shoot upward again.

What Are My Other Options for Getting Out of Debt?

If your debt is too overwhelming to take on without outside help, you have other options. Some common options are below, but keep in mind that these methods have downsides — sometimes significant ones — that should make them a last resort for most people.

Debt Consolidation

With debt consolidation, you take out a single, bigger loan at a lower interest rate and use it to pay off your existing smaller debts. This has several advantages. Chief among them: A longer-term, lower-rate loan can dramatically lower the total amount you pay each month, giving you some financial breathing room. It’s also easier to stay on top of one payment instead of several, keeping you organized and more likely to pay on time. Finally, you’ll still be paying everything you owe, so your credit won’t take a hit.

Unfortunately, you’ll be able to get a lower payment because you’re simply spreading out the pain of paying off your debt for a long time — sometimes a very long time. That means more time for interest to accumulate, leaving you with a bigger total bill. Debt consolidation can also be especially risky for those who overspent their way into debt in the first place. If you suddenly have extra room in your budget, it’s tempting to fall back into bad habits and start accumulating more debt.

Debt Management

With debt management, you sign up with a company that pays off your debts for you with money you deposit into a special account. The company attempts to negotiate lower interest rates or payments with your creditors, but you’ll still ultimately owe the same amount.

The chief benefits here are the same as with debt consolidation: You pay less every month and you’re better able to stay organized. Also, signing on for debt management may give you some relief from constant calls and letters from creditors.

Debt management plans can take several years to finish, however, and it’s common for participants to drop out. You’re also trusting a company in a very precarious financial situation, and your credit can suffer if they ever flub a payment. You’ll usually be prohibited from opening any new credit accounts while you’re signed up. Finally, perhaps the biggest downside is that you’re paying someone to do something you can do yourself — there’s nothing to stop you from trying to negotiate with your creditors on your own.

Debt Settlement

With debt settlement, you also sign up with a company that negotiates with your creditors on your behalf, and pays back your debt with money you deposit into a special account. The major difference is that the debt settlement company tries to reduce the principal, or overall amount you owe, instead of simply trying to lower your payments or interest rate. You’ll need to show significant financial hardship to qualify for a settlement program.

Debt settlement has one main advantage (ultimately paying back less than you owe) but a whole lot of disadvantages. First, you will pay a significant percentage of the money the company saves you in fees — and you’ll probably be on the hook for taxes on forgiven debt, too. Next, you will need to save enough money to begin settlement, which could take away from money you need to stay afloat with your debts. Finally, if your debt is marked as “settled” on your credit report, that can make future creditors less likely to take a chance on you.

Bankruptcy

If you’re considering something as drastic as debt settlement, bankruptcy may be on your radar, too. There are two main options: Chapter 7, which essentially blasts away your unsecured debts, and Chapter 13, which puts you on a payment plan for several years. Your assets and income will dictate which kind of bankruptcy you can file. To learn more about the difference, see the article on Seven Things to Know When Filing for Bankruptcy.

The biggest advantage of bankruptcy is that it can mean a fresh start. In the case of Chapter 7, you can even be free of crushing debts in as little as a few months. Collection calls and letters will stop. And depending on your situation and the type of bankruptcy you file, you may not lose property or other significant assets.

However, bankruptcy exacts a high toll: It will stay on your credit report for up to a decade, which can make it very hard to get a loan, buy a house, or simply get a new credit card. Landlords and future employers may consider bankruptcy a black mark when you’re looking for an apartment or a job. And bankruptcy may not wipe your slate completely clean if you owe student loans, back taxes, or other non-dischargeable debts.

Click the link to view the recent INFINITI HR blog: The Gift of Work Life Balance or check back for more on human resources, payroll, insurance and benefits.