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How Do I Conduct a Training Needs Analysis?

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How to conduct Training Needs Analysis
HR Question:

My company is focusing on team member training for next year. To get this started, I have been tasked with carrying out a training needs analysis for all team members. What are the steps I need to take to accomplish this successfully?

HR Answer:

To begin with, let’s first understand what a training needs analysis is and how it can be crucial to the success of a training program. Consider a training needs analysis as a way to investigate and determine what your team members need to be effective in their roles, or what skills they might need to take their career to the next level.

Leadership may have some common training exercises in mind, or perhaps there may be training around compliance that’s required for your industry, but keep in mind that each team member will come to the table with a unique set of skills and experiences. It’s important not to assume that all team members will need the same training. So how do you effectively investigate specific needs?

How to Begin a Training Needs Analysis

To best determine what type of additional training exercises would be beneficial, all you need to do is ask! Create and launch an employee survey or a self-assessment. You can create an online survey or go the pen and paper route.

Questions to include in an employee survey:

  1. What kinds of training have you received in your current position?
  2. What type of additional training would be useful to create more value to the company?
  3. Are there any duties in your job description that you struggle with or feel unprepared for?
  4. Where do you see yourself in 5 years? What tools or training will help you get there?
  5. What are your learning preferences (large group training lectures, small group training discussions, hands-on learning opportunities)?

Finding out the answers to these questions is an important first step. However, there are other methods you can use including the suggestions below.

Additional ways to identify training needs:

  1. Talk to your supervisors and managers. What training are they currently conducting and how are they doing it? What training needs do they see?
  2. If a personal touch may generate more accurate results, consider meeting one-on-one with your team members or creating a focus group. Ask them what they need to be successful at their job and what training would help them elevate their careers.
  3. Review performance evaluations. Do not automatically concentrate on negative performance areas, consider additional learning events to help high performers keep excelling.
  4. If you conduct exit interviews, take some time to review them. Former members of your team may have given you excellent insight into training needs.
  5. Look for customer feedback. Have any customers made complaints? Do you have negative reviews online? Look for patterns in the comments that lead to gaps in training.
  6. Evaluate any new process or system at your workplace. Do you have a new phone system? Are you upgrading to new software or updating a current software version where technical training would be needed?
  7. Check to see if supervisors have made critical incident reports. Are there any written notes about employees who have either done outstanding work on an assignment or had a problem with an assignment or customer? Critical incident reports aren’t official performance evaluations, but they could be helpful to point out areas of weakness that need improvement.

Conducting a training needs analysis can lay a strong foundation for developing or revising your training programs. Conducting this analysis allows an organization to focus its efforts on areas of training that are necessary for employees to successfully carry out the organization’s goals, make optimum use of the company’s training dollars, and motivate employees by contributing to their career development.

Special thanks to Sherri Hume, SHRM-CP, HR Business Advisor, for contributing to this edition of our HR Question of the Week!

Training and Development of your employees is a key factor in remaining competitive. Not only does it keep you up to speed with your competitors, but it also gives you the edge when recruiting or retaining employees. Strategic HR has experience in training needs analyses and developing training programs to keep you on the leading edge. Visit our Training and Development page to learn how we can assist you with your training and development.

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What Are Employee Pulse Surveys And How Can They Increase Retention?

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HR Question:

We are exploring ways to increase our employee retention and engagement, and someone suggested doing an employee pulse survey. Can you explain what that is and how to best use it to drive engagement?

HR Answer:

It is not surprising to employers that The Great Resignation and a tight labor market have posed formidable challenges to the retention of valued employees. To add to this concern, Gallup reports that only 32% of employees are actively engaged, and an additional 17% of employees are actively disengaged. This begs the question: how can employers work proactively to retain valued employees and spur employee engagement?

One answer may be deceptively simple: ask your employees through a survey! Employee Pulse Surveys can serve as an excellent tool to garner actionable feedback from your employees regarding key issues such as leadership, total rewards, culture, and engagement. Not to be confused with a standard engagement survey, a pulse survey is distinct in a few key ways:

  • Pulse surveys are shorter. Typically only one to five questions, the shorter survey length can help to combat survey fatigue and result in a higher response rate from employees.
  • They’re more frequent. Pulse surveys can be sent out on a weekly, monthly, or quarterly basis. The frequency of data collection makes it easier to see trends develop in real-time and respond accordingly.
  • There’s only one focus. Pulse surveys typically focus on one specific topic. The narrow scope of pulse surveys helps you to collect feedback on critical items in between larger, more complex engagement surveys. Action plans can be developed in a timely manner to tackle any pressing concerns before the feedback becomes outdated.

Creating Pulse Surveys

To implement a pulse survey, first, decide on a topic. Consider focusing on a new initiative rollout or a topic that has been of critical interest to your employees (i.e., compensation, benefit offerings, workplace culture, etc.). Next, choose one to five questions that are tailored to this topic. The questions may primarily entail quick, structured questions (such as a Likert scale, multiple choice, or drop-down), which allow for a more quantitative, structured analysis. You may also want to include one or two open-ended questions, which can provide additional customized insight into your data.

Once the content of the survey is established, you will want to choose a survey tool by which to collect the data. Survey Methods is one of Strategic HR’s favorite tools for data collection, although many platforms serve these purposes. By leveraging a third-party survey administrator, you can ensure that your pulse surveys are administered anonymously to gather the most genuine (and valuable) feedback.

Understanding Your Results and Taking Action

The next step may arguably be the most important: creating an action plan to address the feedback that your employees have provided. Do you see common themes? Are there concerns that are identified across the board? These items should be identified, prioritized, and addressed individually. Finally, a timeline should be established to include ownership of each task and a target fulfillment date.

Don’t Forget to Follow Up!

If your employees gave their time to share their thoughts, be sure to return the favor by communicating the results of your pulse survey and the corresponding action plan(s) to your employees. This ensures that your employees know that their feedback is informing actionable changes to improve their experience.

By following these steps for thoughtful implementation of pulse surveys, you can show your employees that your organization cares about their experience and is committed to improving it. While labor market woes remain, pulse surveys can help mitigate these challenges to spur employee engagement and commitment to your organization.

Special thanks to Christine McLaughlin for contributing to this edition of our HR Question of the Week! 

Connecting with your workforce can be difficult – factor in multiple shifts, various locations, off-site employees, and a multi-generational workforce, and you quickly learn that checking in with everyone on your team isn’t easy. Clark Schaefer Strategic HR have years of experience formulating engaging and impactful engagement surveys to better understand your employees’ perspectives, needs, and preferences. Visit our Employee Relations page to learn more.

Four Tips for a Successful Coaching Session

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HR Question:

I’m a new supervisor, and one of my team members has been having some performance issues on the job. It’s up to me to coach them, but this is new territory for me. How can I make sure that we both have a successful coaching session?

HR Answer:

Coaching, when delivered poorly, can be uncomfortable and result in more conflict than necessary. But effective coaching, when delivered in a thoughtful and professional way, can improve job performance as well as job satisfaction and commitment – feelings that are crucial to retaining talent in today’s market.

Coaching is important for a number of reasons including:

  • It allows you to improve or correct behavior. Good and effective coaching allows you to steer employees in the right direction before they get too far off track.
  • It can build positive rapport between leaders and team members. Studies show that poor leaders are one of the most common reasons employees leave an organization. Engaging with your team members, building rapport, and showing a genuine commitment to their growth, development, and overall success can go a long way in retaining your talent.
  • It is a teaching opportunity. Coaching should not be approached as a punitive experience, rather it should be driven by the goal of helping employees to learn and develop skills or behaviors that result in positive outcomes. If you create a team environment that values and rewards individual growth and development, your employees are more likely to be growth-focused and open to coaching opportunities.
  • Coaching one employee can help to retain many. Providing effective coaching for one employee not only helps them to improve, but it can also help your whole team. For example, if you help one employee to modify their approach or behavior that impacts others on the team, your efforts can result in better team relations and a more productive work environment overall.

Your ability to lead effective coaching sessions can be integral to the success and retention of your team, so you will want to take the right approach. Below are four tips on how to facilitate a successful coaching session.

1. Deliver Coaching One-on-One

For the best results and individual growth, coaching should be delivered one-on-one. Coaching to the individual, rather than a group, can help the employee feel respected and valued. We also recommend addressing opportunities for growth or behavior modification in a timely fashion so you can help to set the employee on a better course as soon as possible. This also allows you to strengthen individual employee engagement and morale. One-on-one conversations can give you an opportunity to get to know employees better – such as their styles of work, their goals, or what motivates them.

2. Make it a Conversation

Coaching should not be an intimidating, formal process of criticism. Rather, it can (and many times, should) be an informal process that can happen naturally in the moment. If the issue continues without improvement, then you can implement a more formal process to address it.

Successful coaching should be motivational and in the best instances, lay the foundation for a positive relationship if the feedback is delivered with concern, care, and the person’s best interests at heart. Approaching coaching as a conversation can improve relationships as it feels more collaborative and more open for discussions rather than telling and demanding.

A common mistake some supervisors and managers make in coaching is assuming that they know what the problem is. For example, what if you have a team member who has consistently been late? Rather than assuming the person is too lazy to get up on time, try sitting down together to understand the root of the issue. By having a conversation, you might find out that it’s not a matter of motivation. Instead, it’s because the first bus of the day gets them to work 5 minutes early – but only if it is running on time. Through this conversation, you can understand the root cause of the problem and then set reasonable goals together.

3. Set Attainable Goals

You might associate goal setting with formal performance reviews or other milestones throughout the year. But coaching conversations provide opportunities to set smaller, attainable goals together to show the impact that small changes can make throughout the year. During your coaching conversation, review the playing field and find small goals that could make a positive impact toward a larger, positive change. For example, as in the situation above, perhaps you could consider pushing the person’s start time back by half an hour (making allowances for the bus schedule) to increase on-time attendance for the rest of the month.

Have the conversation together, agree on the desired outcome, and once those goals are set, encourage and provide positive feedback. Don’t just “set it and forget it,” but help the team member problem solve and adjust if necessary.

4. Celebrate!

Review the progress regularly and CELEBRATE. Progress made toward goals often goes uncelebrated and unrecognized. Bringing positive attention toward positive steps forward can encourage and motivate team members.

Coaching takes time and effort. While it would be easier to just let things slide – immediately recognizing and addressing a coaching moment can make a positive impact on an individual and a team’s overall performance.

Thanks to Cecilia Vocke, MS, SHRM-SCP, SPHR for contributing to this edition of our HR Question of the Week. 

Are you looking for a retention method that will also bolster your productivity levels and bottom line? Let Clark Schaefer Strategic HR help create and implement your ideal retention strategy via training and development. Visit our Training and Development page to learn how we can help you implement a successful training session.

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As Open Enrollment Season Approaches, What Are Best Practices to Improve Benefits and Remain Compliant?

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HR Question:

It’s almost that time again – open enrollment season is quickly approaching! I want to be prepared this year and avoid any last-minute decisions or chaos. Can you recommend any best practices for reviewing, improving, and staying compliant with our employees’ health and well-being?

HR Answer:

It can be an intimidating feeling to see Open Enrollment season coming up on the calendar. Health insurance carriers typically provide an annual renewal timeframe and a deadline for brokers and employers to decide on which health insurance carrier will be utilized for the following year. Mapping out your strategy with this deadline in mind guarantees you have ample time to review your options and make effective decisions. In this article, we will walk you through key considerations you should consider as you review your employee benefits package to ensure you are well prepared and compliant with your open enrollment.

Timing of Open Enrollment

For those employer groups that renew their health insurance on January 1, 2023, the beginning of September is the time to start the review process. If you are a smaller employer, important questions to ask yourself are:

  • How will my employees complete the application process?
  • Could they use an online application program like Survey Methods, Google Forms, FormFire, or Easy Apps Online?
  • When can employees start the process of completing their applications?

Some insurers allow for applications to be dated within 120 days of their renewal date. That means employees could begin the application process as early as September 1, 2022. If your employees are not filling out applications, now is the time to do a quick survey. Getting a pulse from your employees will help to determine what options you need to keep in place and what adjustments you need to make to the health and well-being package.

Cost of Benefits

Cost for the employer and the employee can be a major deciding factor. The type of program may provide discounts, returns of claim funds, or additional benefits. For example, chambers of commerce or associations may offer discounts or additional plan benefits for smaller businesses that can’t afford the discounts that larger organizations have access to. Some plans offer savings to employees for participating in wellness programs. These are all options that you should inquire about at your renewal.

The health insurance plan design you select is as important as the insurance company you choose to provide your benefits. Consider plans that may meet your employees’ immediate needs more readily, such as split-dollar co-payments for office visits, personal nurse benefits, or plans that offer telemedicine at no cost. Carefully review the prescription drug plans available to you, as well. Implementing a tiered deductible network, deductible for brand-name prescriptions, a $0 copayment for emergency room visits (subject to the deductible), or selecting a plan with higher copayments for brand-name drugs and specialty medications can all result in a reduction in premium. Bundling your ancillary benefits like dental, vision, life, LTD, and STD insurance may result in more favorable pricing and/or a multi-year rate guarantee without sacrificing quality.

Maintaining Compliance

Make time to review any compliance requirements. The DOL has a self-compliance tool for employers to use as a guide. Keep in mind the IRS updates guidelines as well, such as HSA contributions limits and the ACA affordability requirement. Therefore, before determining the contribution breakdown between you and your employees, do a quick calculation to ensure the amounts will be within the published guidelines.

There are a lot of factors to consider as you review your health and well-being offerings in your open enrollment process. Setting a timeline for a complete review will help keep the renewal process on track. Considering all your different options will ensure your employees receive the best possible benefits at the best possible price. Educating your employees on their new benefits will give them time to prepare. Wishing you well in this renewal season!

Thank you to Gina Kocevar with LS Benefits Group for contributing to this edition of our HR Question of the Week!

Clark Schaefer Strategic HR have the answers to all of your tough Benefits and Compensation related questions. Whether you need an analysis of your current benefit offerings or are looking to create a cost-effective recognition and rewards program, Strategic HR can do the job. Please visit our Benefits & Compensation page for more information.

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Tips For How To Have Difficult Conversations With Employees

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HR Question:

Each time I take on a new role managing staff, I find myself needing to have difficult conversations with employees about sensitive issues. I’ve had to deal with hygiene issues, someone who wore too much perfume, and even someone who wore an unsightly shirt every single day. What is the best way to deal with these issues and talk with employees about these sensitive topics that are impacting others?

HR Answer:

Most business leaders will tell you that having difficult conversations with employees is one of the most challenging aspects of their leadership position. Whether it’s a team member with a notable hygiene issue or a co-worker with an exceptionally sensitive sense of smell, these interpersonal issues are disruptive to business, and we all wish they would just disappear!

It’s human nature to want to avoid that which we find unpleasant, and most of us would rather have a root canal than have a discussion about another person’s body odor. Great leaders understand that avoidance fosters a culture where issues are allowed to become toxic and spread, potentially impacting the entire team. To truly create change, it is important to be sensitive to the concerns of the individuals involved and handle the difficult conversation with a calm professional demeanor.

Build Trust From the Beginning

The best preparation begins long before the sensitive problem even occurs! Building trusting relationships with your team members early on will make difficult conversations less awkward and more productive.

One way to build trust and establish open lines of communication with your employees is to hold frequent and regularly scheduled one-on-one conversations with them. As an additional benefit, maintaining regular communication with your team members may allow you an opportunity to identify potential areas for concern and proactively address these situations before they escalate into a more serious problem.

How to Prepare for Difficult Conversations with Employees

When a sensitive problem does occur and a tough conversation is warranted, you should address the issue promptly, yet also take the time to fully evaluate the situation and properly prepare for the conversation. Review the details and facts as you are aware of them with the understanding that there is likely more to the story that you will need to uncover in your discussion with the employee.

Also, find the right words to tactfully address the concerns that have been raised and brainstorm potential responses and solutions ahead of the meeting. Approach the conversation from a place of empathy and avoid making assumptions as to the root of the problem.

Suggestions on how to have a respectful and productive discussion:

  1. Make sure the employee knows it is not a disciplinary meeting but rather a coaching conversation.
  2. Meet with the employee in a private location without interruptions where you can explain the problem and how it affects the workplace. Have items such as water and facial tissues available if needed.
  3. Allow the employee to lead the conversation which may result in an apology, learning they were not aware of the situation, or possibly a personal discussion as to why the person is having the issue.
  4. Be open to the possibility that the employee may have a disability or religious or cultural factors that are impacting the situation at hand (hygiene, for example).
  5. If they aren’t readily forthcoming in your conversation, try to understand the root of the issue by gently guiding them and allowing them plenty of time to open up.
  6. Holding the meeting at the end of the day may be best as it will allow the employee to leave immediately afterward.
  7. Be compassionate and focus on the company’s future expectations.
  8. Emotions may run high. If it seems the employee is struggling with the information, allow the employee time to process the information on their own. Offer to have a follow up meeting to continue the discussion once they have had time to think about it.

Don’t Fall Into These Complaint Pitfalls

While it is vital for managers to proactively address these issues, it is also important to do so without jumping to conclusions. It must be noted that it is not always the subject of the complaint that needs to be addressed. Be careful when handling issues to ensure that there is validity to the complaint and that it wasn’t a result of one overly sensitive employee, or worse yet – a bully.

Additionally, don’t allow employees to play what Marlene Chism calls “Power of Attorney” by bringing complaints on behalf of others. Ensure that complaints are brought to you by the party involved and avoid falling into secret conversations and gossip with complainers.

You may also find that negative employees can spread negativity resulting in a detrimental impact on the morale, productivity, and profitability of your team. Sometimes the difficult conversation needs to be with the chronic complainer who may allow their own personality flaws to lead to frequent complaints about their co-workers.

Although having difficult conversations with your employees is not likely to be your favorite part of your job, they can be critical to ensure the productivity, health, and well-being of your team. If you can go into the uncomfortable discussions with a professional and development-focused approach, often you can solve issues while also building trust and respect with your employees.

Thank you to Colleen Mahoney, PHR for contributing to this HR Question of the Week.

 

Communication often seems like a “no-brainer,” until you have a difficult or complex message to deliver. HOW you communicate is often as important as WHAT you communicate when it comes to getting results! Strategic HR has years of experience preparing HR communications for a variety of audiences and topics. Visit our HR Communications page to learn how we can assist you with your HR communications needs.

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What Are Non-Qualified Bonus Grant Programs?

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HR Question:

Like any organization, I have a handful of key employees – my “rockstars,” for lack of a better term. If any of them left, it would be difficult to replace them – not to mention the impact it would have on our company’s success. But I’m struggling to keep up with the pay increases that other companies can afford. I need to find a way to retain and compensate these key employees and someone suggested non-qualified bonus grant programs. What are those?

HR Answer:

This is a great question. Not every company can afford to meet the wage increases of 10, 15, or even 20% that seem to be commonplace in today’s competition for talent. It might even seem like competitors are able to pay whatever it takes to recruit key employees away from their current employer. Or if employees are willing to forego a higher salary for other benefits, like stocks or buying into company ownership, but that’s not an available option, what are employers to do? One way that employers can financially reward essential employees over a longer time period (and thus, encourage retention) is through Non-Qualified Bonus Grant Programs.

What are Non-Qualified Bonus Grant Programs?

Non-Qualified Bonus Grant (NQBG) programs were specifically built for employers in need of long-term incentives for key employees when other financial benefits (like stocks, ownership, or commissions) aren’t available. By establishing a vesting period, employers are able to set up key employees to receive additional compensation should they stay employed and perform well over that period of time.

At the end of each year, the employer reviews how the company and employees have performed. From there, a bonus amount for the employee is determined. The amount that is credited is fully discretionary and controlled by the employer, meaning that should an employee not perform as agreed upon during a given year, the bonus amount can reflect that.

What are the Benefits of an NQBG Program?

This can be a fantastic retention tool in more ways than one. First, this program allows employees to defer compensation, creating guaranteed income for the future.

Second, this gives employers an opportunity to reward those can’t-do-without employees for their loyalty. The year-end review also provides employers a chance to review this benefit with the employee and have a tangible result of the employer’s appreciation. NQBGs provide additional benefits to employers in that they are:

  • Simple to execute
  • Inexpensive
  • Flexible based on the business’s needs

Additionally, these programs, along with other non-qualified deferred compensation plans, aren’t covered under the Employee Retirement Income Security Act, meaning that there are no regulations when it comes to who the employer can or has to include in the program’s benefits.

NQBG plans can benefit the bottom line, as the compensation that employees are earning now isn’t payable until the future. The only drawback for the employer is that the funds aren’t tax-deductible for the organization until they are paid out.

It is no secret that employers are having to navigate through a competitive labor market making it even harder to retain their most critical talent. There’s no better time to look for creative and financially viable ways to reward and retain your essential employees. It may be worth exploring if a Non-Qualified Bonus Grant Program could be a valuable retention tool for your organization.

Special thanks to Brian Leen of LS Benefits for sharing his expertise on popular retention tools like NQBG programs!

Strategic HR offers assistance with a variety of Benefits and Compensation needs, including understanding how recruitment trends affect your business and helping you to craft competitive compensation plans. Please visit our Benefits and Compensation page for more information.

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How Can We Make DE&I Programs More Effective?

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Diversity, Equity, & Inclusion programs (DE&I programs) that create a culture of inclusivity are key to attracting top talent, retaining employees, and developing an engaged and highly productive workforce.

The significance of Diversity, Equity, & Inclusion within the workplace is not a new concept. However, a growing number of businesses are researching and implementing these programs in an attempt to fix a multitude of issues, many of which have become more visible and prevalent in a post-COVID world. But not all programs have been received with equal enthusiasm. In fact, some DE&I programs have lacked the necessary support, failing from the start or long before positive impacts could come about.

Research from McKinsey and Co. has shown that companies with a more diverse workforce and leadership team are overall more profitable than their peers that are not. There are many factors that lead to this growth in revenue. Applicants are looking for a strong company culture to work in that values people and how employees contribute to a company’s success. This drives top talent to companies with well-developed inclusive cultures and improves retention amongst current staff. An engaged workforce tends to be more productive, and higher productivity generally means higher profitability. So, how have these organizations created such engaging and impactful DE&I programs, and how can you achieve similar results? In this article, we will highlight a few key foundational components that are critical to the success of any DE&I program.

Don’t Say It If You Don’t Mean It

Sincerity of purpose of a DE&I program from top leadership down is imperative for positive outcomes to occur. DE&I initiatives and the meaning and integrity behind them can be considered deeply personal, especially for employees that have been impacted by discrimination or microaggressions in the past. Employees expect leadership to be leading meaningful change by cultivating a culture of inclusivity, and not just bringing up the topic as a talking point.

This requires a certain level of participation by leadership and can be manifested in many different ways including:

  • Developing, distributing, and living inclusive cultural values
  • Updating policies to be more inclusive (e.g., Juneteenth as a holiday, adding paid parental leave, updating anti-harassment policies)
  • Confronting unconscious bias
  • Holding people accountable for poor behavior
  • Creating a mentorship program specifically for underserved groups
  • Leading by example in words and action
  • Giving positive recognition when successes are achieved

Put Your Money Where Your Programs Are

No corporate program can succeed without business leaders’ and departments’ time, effort, and funding. This means consistent efforts, such as monthly speakers, regular workshops, community partnerships, and more. The most engaging DE&I initiatives with long-term positive impacts do cost time and money – time for your employees to coordinate and/or go through planned experiences; money to support training, marketing efforts, and partnerships; and time off to volunteer and make an impact in the community around your organization. With these efforts working to strengthen your organizational culture, it is time and money well spent.

Move Forward with Purpose and Measureable Outcomes

As with any strategic level project, having a well-defined implementation plan is key. To do so requires careful planning and the development of strategic goals that are clearly defined with measurable outcomes and target achievement dates. Once these goals have been agreed upon, assign specific objectives to groups within the organization. Leadership will be responsible for the overall direction of the DE&I roadmap of goals; however, everyone in the company can have a task assigned to meet specific aspects and have it tied to their performance metrics (e.g.,  Setting goals for hiring managers to interview diverse talent pools).

Also, ensure that the appropriate measurement tools are in place to track the progress to date. Many HRIS platforms allow for several important DE&I metrics to be recorded.

Leadership should communicate the goals to all employees within the organization, as well as the progress that is made every quarter. This communication and commitment to achieving the goals can increase engagement levels. In addition, having leaders advocating for diversity will assist in achieving these organization-wide goals – especially regarding recruiting and retention.

Ultimately, sincerity of purpose and strategic implementation are imperative to a successful DE&I program. Creating a culture of inclusivity takes time and consistent effort in order to have a meaningful, long-term, and sustained impact. By continuing to educate others and developing a psychologically safe space for everyone to work in, a business can feel the positive effects of higher productivity, retention, growth, and engagement.

Special thanks to Mary Mitchell, MBA, SPHR, CHRS for contributing to this edition of our Emerging Issues in HR!

Maintaining a productive, inclusive, and safe workplace is critical to the success of any organization, and incorporating effective Diversity, Equity, and Inclusion programs and initiatives is a necessary component.  Learn more about how we can help you with DEIB programming to nurture your organization’s culture by visiting our DEIB Consulting Services page or Contact Us for help today.

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How Can I Prevent Unethical Behavior On My Team?

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HR Question:

I’m a new supervisor. Now that I have oversight of my team, I know it’s my responsibility to keep an eye out for unethical behavior. But what does that behavior look like? How can I prevent unethical conduct on my team?

HR Answer:

Ethics in the workplace can be a broad and, at times, intangible concept. At its root, unethical business practices include any behavior that violates the law, such as theft or violence, but can also include areas that are broader and more nebulous. According to The HR Digest, the five most common examples of unethical behaviors are:

  • Employee theft. In 2012, one out of every forty employees was caught stealing from the workplace.
  • Misusing company time. This may include an employee who spends the entire morning placing orders on Cyber Monday or a co-worker who clocks in for an employee who shows up late.
  • Verbal abuse. This can include bullying co-workers or subordinates or harassing employees.
  • Lying in the workplace. An example could be a sales employee who tells customers that a defective product has a flawless reliability record.
  • Taking credit for someone else’s work. This could be an employee who takes credit for a co-worker’s idea for a process improvement and receives a bonus for a job well done.

Is Unethical Behavior Really That Common?

Studies suggest that unethical behavior is something that all managers must confront at some point in their careers. To illustrate this point, in HR Ethical Dilemmas by the Society for Human Resources Management, 30% of surveyed U.S. employees said they felt pressured to compromise their workplace’s ethics, a 14% increase from three years earlier. Almost half of those employees surveyed said they observed misconduct that violated their organization’s ethics standards.

The risks of unethical behavior in business can be devastating. For instance, bad corporate behavior can lead to the loss of valued employees and can discourage new recruits from applying. Employees want to work for a company that has values that align with their own personal values. They’re even willing to take a pay cut for it, as evidenced by MetLife’s recent study that found 89% of employees are willing to trade some of their salary (an average of a 21% pay cut) to work at a company whose values match their own.

But the impact isn’t just felt internally, as customers’ decisions can also be impacted by unethical behavior. According to Accenture’s Global Consumer Pulse Research, 62% of consumers consider a company’s ethical values and authenticity before making their purchasing decisions. Finally, unethical behavior can carry with it legal risk, resulting in fines, penalties, and even incarceration.

How Can a Company Prevent Unethical Behavior?

Companies can take steps to prevent unethical and unlawful behavior. This includes the following steps:

  • Establish a Code of Conduct. Business leaders, including HR, must establish clear statements that define a company’s values, principles, and conduct.
  • Train every employee on the company’s values, principles, and code of conduct. Training should be done in a way that helps each employee to see how their work and behavior support these principles.
  • Establish a means for reporting unethical behavior. One of the most effective ways of enabling employees to report workplace ethics violations is to establish a 24/7 hotline that allows employees to report concerns anonymously and without retaliation. Those staffing the hotline should be a third-party, or employees who are removed from operational management. Concerns should be reported directly and confidentially to a senior executive or, in some cases, to a designated Board member.
  • Include a question on business ethics in your employee engagement surveys. If employees respond less than favorably to this question, find out why through focus groups or department meetings.
  • Share your Code of Conduct with your clients and suppliers. Let them know the company will abide by the Code while working with them. Provide them with a means to share feedback on any concerns regarding business ethics while working with the company.

As a supervisor, it goes without saying that your team is likely to emulate the behavior that you model. Therefore, it is important that you uphold the company’s values and Code of Conduct in your own behavior and ensure that your team members receive the appropriate training and understand the ethical standards they are expected to maintain.

 

Special thanks to Terry Wilson, SHRM, SPHR-SCP for writing this edition of our HR Question of the Week!  

Have a new supervisor on your team? Put them on the road to success by signing them up for our Supervisor Training Series! Visit our Training and Development page to learn how we can help your management team to get off to the right start.

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How Do I Write and Deliver a Written Warning?

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HR Question:

I have an employee who is not following company policy. I have given them several verbal warnings, and I know my next step is a written warning. How do I write and deliver a written warning?

HR Answer:

Disciplining employees can be uncomfortable. That’s why most companies have a Progressive Disciplinary Policy, clearly stating the steps employees need to take to modify unacceptable behavior and achieve the expectations of their role within the company. This can take the burden of deciding the next steps or consequences off of the manager and help them maintain an unbiased disciplinary process.

In order for the Progressive Disciplinary Policy to work as designed, it’s important that managers and supervisors document incidents appropriately. By following this policy and documenting incidents accordingly, companies can make a case for discipline or termination. However, without the appropriate documentation, taking disciplinary action can be potentially risky.

How Do Progressive Disciplinary Policies Start?

Most Progressive Disciplinary Policies start with a verbal warning. It’s important to make sure the employee is aware of what policy they are not following, as sometimes it’s simply a case of not being aware. It’s the “human” part of “human resources” – sometimes, employees make honest mistakes when they aren’t aware that they’re not in compliance. A verbal warning here can do the trick. However, sometimes it takes more than a verbal warning. That is when a written warning comes into play.

What’s Next? A Written Warning.

A written warning is a more formal step in the disciplinary process. A written warning should include:

  • Employee Name
  • Position
  • Expectations
  • Details of failed expectations
  • Consequences of failing to improve
  • Employee comment section
  • Manager signature/date
  • Employee acknowledgment

It’s important to include factual information should the process or the disciplinary action ever be called into question. Additionally, any emotion or opinions should be kept out of the written warning and subsequent documentation.

The Do’s and Don’ts of Writing a Warning

Susan Heathfield, a writer for Balanced Careers, shares the following excellent examples of the right and wrong ways to document an attendance issue in The Importance of Documentation in Human Resources:

Wrong:

“Mark is usually late for work. Mark misses too much work.”

In this example, the documentation lacks specific examples, dates, and times, and includes the supervisor’s opinion, making a poor case against the employee and a strong case for discrimination or targeting by the supervisor.

Right:

“April 1: Mark called in sick and missed eight hours of work.”
“April 4: Mark arrived at work at 10 a.m., two hours late from his scheduled start time.”
“April 6: Mark scheduled a doctor’s appointment and then, stayed home to have a new furnace installed.”
“April 12: Mark called in sick and missed eight hours of work.”

See how the documentation relies on dates, times, and the amount of work missed? It also details the specific reasons the employee was missing work, rather than letting those facts be forgotten or muddled when recalled later.

Best Practices for Written Warnings

Like most processes in business, there are best practices when it comes to delivering written warnings. First, it’s important to be consistent and timely. Avoid waiting days or weeks to write up an employee for an issue, as the impact of the warning (as well as the clarity of each person’s memory) can fade with time. Additionally, if you write up one employee for an attendance issue, be prepared to write up others who have the same issue. This consistency can help prevent claims of discrimination or favoritism.

At the end of the day, it’s important to provide feedback to your team members to help them succeed. If the employee has improved, be sure to acknowledge their effort. If the employee has not improved in the time allowed, continue to follow your Progressive Disciplinary Policy.

Special thanks to Sherri Hume, SHRM-CP and Samantha Kelly for contributing to this HR Question of the Week. 

Employment recordkeeping does not rank high on the list of favorite human resources responsibilities, but it can get you into hot water if not done properly. Keeping appropriate disciplinary documentation is vital to proving your processes are compliant.  Avoid the fines and minimize your stress level by having Strategic HR assist with your recordkeeping compliance. Visit our HR Compliance and Recordkeeping page to learn more about our services.

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How Can I Improve My Recruitment Processes?

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HR Question:

We’re in desperate need of the right talent, but I can’t seem to attract or engage the number of candidates I need! How can I improve my recruitment processes to attract more candidates?

HR Answer:

You’re not alone! Recruiting the right talent is a challenge in almost every industry and market right now. Because the competition for candidates is incredibly tight, employers everywhere are looking internally to find ways to improve their recruitment processes to catch more prospective employees. By eliminating barriers for candidates and making the job search and application process engaging, efficient, and user-friendly, employers can see an increase in their candidate flow, further increasing the likelihood of finding the right candidates for their organization.

So, let’s dive in to identify what employers can do to attract more candidates – without losing them during the application process.

Optimize Your Job Ad

First, make sure your job ad is designed to show off your company by highlighting the areas that candidates want to know more about – the culture, the day-to-day, what success looks like, and why they would want to join your organization. What makes you stand out against your competition? Take note of these reasons and work them into the ad, as just placing your job description on your company’s career page is not likely to attract many candidates. Paint the picture of your company and the open role with clear and concise language, limited bullet points, and the key requirements of the position.

Consider researching similar positions in your area for popular job titles to make sure you are not reducing your audience by titling your position something unfamiliar to your target applicant pool. For example, don’t name your Customer Service Representative a “Client Wizard” or “People Pleasing Person.” While the titles may bring a smile to your face, they won’t show up in basic keyword searches.

Although it may cause some hesitation, it is also recommended to include the salary range in your job post, even if it is a broad range. Research has proven that candidates are more likely to apply if they know the compensation range, and it eliminates time down the line by not considering candidates significantly out of range.

Cast a Wide Net to Attract More Candidates

Now that your job ad is written, it is time to get the right eyes on it! In order to make sure you’re spending your time and money to optimize your return on investment, take some time to do a brief search of where similar positions are being advertised. Check out any applicant stats that the job board may highlight about those roles. How many people have applied? How long has it been posted? Are there other similar positions posted on the site? This will help you understand if this is where your desired audience might be found.

If you have the budget to advertise your job, use it. If not, there are also online recruitment platforms where you can post your positions for free, most of which take little time to use and can help with visibility. You can also look for local, county, or state job networks where you can share your position for free. You may want to consider joining some professional associations or alumni groups on LinkedIn and Facebook that align with your organization so that you can share your open positions. You can also use your involvement in these organizations and groups to build a network from which you can source current and future candidates.

Keep It Simple

Once you have a candidate interested, it is important to make your application process as simple as possible. Keeping the process short and simple will help convert the number of views of your job into completed applications. Mobile-friendly application processes are now “a must,” rather than considered “nice to have.” In fact, almost 60% of job seekers apply via a mobile device, so having a long application results in fewer completed applications.

Several job posting platforms allow candidates to apply with one click, which has become an increasingly popular option for applicants and recruiters alike. If you do require an application, first make sure it is mobile-friendly and that your system can auto-populate employment history from the applicant’s resume. Any additional screening questions should be yes or no questions and only those things that are essential to the position at the application stage in your process (i.e., age requirements or required certifications). Save any other questions for later in the recruitment and hiring process.

If you want to improve your recruitment processes, it won’t necessarily require a full overhaul of your entire department. Particularly when departments might feel stretched thin or understaffed, simplifying the steps required and creating targeted materials can make the process easier on both the recruiter and the candidates. Consider taking some time today to review your processes and find ways to simplify your steps!

Special thanks to Lisa Johnson, CIR, and Samantha Osborne Kelly for contributing to this HR Question of the Week.

Recruitment is more than just posting a job ad. It takes a targeted message, the right sources, and lots of follow-up. But recruiting doesn’t have to take up all of your time and money! Our team at Strategic HR knows what it takes to attract, hire, and retain the best employees. Check out our Outsourced Recruitment page to learn more or contact us for recruiting help! 

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Do Our Remote, Out-of-State Employees Qualify for FMLA?

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HR Question:

Our company has employees located in Ohio who all qualify for the protections covered under the Family Medical Leave Act (FMLA), but we also have employees working remotely in other states. Do our remote, out-of-state employees qualify for our FMLA policy?

HR Answer:

Great question. Even if the employees don’t fall within the 75-mile radius that the FMLA takes into account when counting employees towards the requirements, employers are still required to provide FMLA benefits to their employees who work remotely and out-of-state.

Why Does FMLA Compliance Matter?

What happens if those same benefits aren’t extended properly? Well, a lack of FMLA compliance can result in impressive fines. For example, not completing the notice can cost several hundred dollars alone, not to mention the millions in fines that can result from a mishandled claim or wrongful termination, such as the situation this Massachusetts company found itself in.

Even before the COVID-19 pandemic struck, some companies were beginning to branch out of their home states and hire individuals with the necessary talent, but not necessarily the ideal location. Many of these organizations were pioneering the process, working through the requirements and laws as they could. Now that remote work has become such a staple in the business community, it’s easier for any organization to run into this issue, as it’s often the case that many remote employees may be the first or only employee in a particular state.

How to Determine if Remote Employees Qualify for FMLA

There have been no changes to what is defined as “covered employers” as defined by the Department of Labor (DOL), as a “covered employer may be a private-sector employer (with 50+ employees within a 75-mile radius in 20 or more workweeks in the current or previous calendar year), a public agency, or a school.” Employers that fall under this category are required to provide FMLA benefits and protections to eligible employees while also complying with additional responsibilities required under the FMLA.

An eligible employee is one who:

  1. Works for a covered employer,
  2. Has worked for the employer for at least 12 months as of the date the FMLA leave is to start,
  3. Has at least 1,250 hours of service for the employer during the 12-month period immediately before the date the FMLA leave is to start (a different hours of service requirement applies to airline flight crew employees), and
  4. Works at a location where the employer employs at least 50 employees within 75 miles of that worksite as of the date when the employee gives notice of the need for leave.

So why does this rule extend to those employees who fall outside of the 75-mile radius and the 50+ employee count? It’s because the DOL determines their FMLA status based on the office or location that delivers their assignments or that they report to. The purpose of this is to protect the employees’ jobs should they have the need to focus on their own or their family’s health.

If you assume that you don’t have to meet FMLA guidelines for a remote employee, be sure to double-check the Department of Labor’s regulations, as well as your own internal reporting system, before skipping this important requirement.

Special thanks to Alisa Fedders, MA, SPHR, and Samantha Kelly for contributing to this edition of our HR Question of the Week!

FMLA, ADA, and other labor laws can be difficult to understand – let alone enforce. That’s where Strategic HR has you covered. We bring years of experience and know-how to the table. We can assist you with your tough compliance issues and help you sleep more soundly at night. Visit our HR Compliance & Recordkeeping page to learn more.

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Making the Most of Job Interviews

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When interviewing candidates for a job, time is critical.

The time you spend talking to candidates adds up quickly, especially if you have a lot of great candidates. That has a cost—you’re not getting other important work done. That time also goes by incredibly fast. Within the span of a brief discussion, you have to gather the information you need to make an informed hiring decision and sell the role to a potential hire. And don’t forget you’re competing with other employers eager to snatch up talent. Every minute counts.

Wasting time also amounts to a bad experience for candidates. It’s important to remember that their time is valuable too, therefore you want to show them the mutual respect that you expect by being prepared, welcoming, and optimizing the time that you have together.

Let’s look at some basic practices that will enable you and your job candidates to make the best use of this time.

Have a Roadmap for the Job Interview

Before you conduct any interviews, document what the job entails and what core competencies will be needed to do it. Interviews are not the time to clarify what you want the job to be. If you go into interviews fuzzy about the functions of the job, you won’t be able to assess whether and how well candidates can perform.

Be Specific!

Include questions about specific occasions when candidates used those competencies and what the outcome was. For example, if the job you’re hiring for will involve regularly de-escalating tense situations with irate customers, you might ask candidates to tell you about a time in which they were able to calm an irate customer. This method of questioning—called behavioral interviewing—cuts to the chase. You not only get an affirmative or negative answer as to whether the candidate possesses the competencies you need, but you also obtain verifiable evidence (or not) that they’ve previously done what they say they can do. For behavioral questions to be most effective, pose the same questions to each candidate and evaluate their responses using the same criteria.

Assemble Your Team

Put your interview team together (assuming that you have more than one person involved in the selection process) and coordinate who’s asking what. If the person you hire will be working with multiple people, each with a unique stake in the work being done, it may be prudent to involve some of these employees in the interview process. If several employees will be participating in the interviews, meet with them ahead of time to formulate a plan so there’s no unnecessary overlap in the questions you’ll each be asking.

How Does This Connect?

Connect each response to what’s needed for the job. After a candidate has answered each question, take a brief moment to explain how this new job may be both similar to and different from what the candidate did previously. For example, if a previous role of theirs required them to complete five projects per week, and the new role would require them to complete a greater or fewer number of similar projects, mention that.

The purpose of doing this is to give the candidate a clear picture of the tasks and challenges they can expect in the role so they know what to anticipate if they ultimately accept a job offer. There’s also a reason why now is an opportune time to make this connection. When a candidate is reflecting on a previous instance that required the competencies you need, they’re likely remembering how they felt at the time. Maybe they were energized. Maybe they hated the experience and vowed to not do that type of work again. Whatever the case, eliciting these feelings serves your interests and theirs—yes, even if it prompts their immediate departure from the candidate pool. The last thing you want is to hire someone who either can’t do the job or finds themselves unhappy doing it. You’re not just filling a role. You’re seeking the person who can be the most successful in it.

Don’t Be Cute

Don’t ask cute or clever questions. They’re a waste of everyone’s time. You’re almost certainly not going to learn anything useful by asking candidates what dessert they would be, how they’d plan a trip to the moon, or whether they prefer cats or dogs. Asking candidates to solve a made-up problem on the spot might yield interesting information, but unless the job involves a lot of unprompted problem-solving with no time to prepare, you’re better off asking candidates something that will give you insight into their ability to do the job well.

Stay Focused and Legally Compliant

Keep questions job-related. Okay, we said earlier that the last thing you want to do is to hire the wrong person, but that’s not necessarily the worst thing that can happen. A bigger mistake than a bad hire is a hiring decision that nets you a costly discrimination claim. For example, if the job has a legitimate age requirement (such as operating machinery or serving alcohol), asking “How old are you?” will likely give rise to an age discrimination claim. Instead, just ask if they’re at least 18 years old (or whatever the required minimum age is).

Thank you to the HR Support Center for contributing to the content of this Emerging Issues in HR. The Virtual HR Support Center is a do-it-yourself, always ready, at-your-fingertips resource for everything Human Resources. Contact us to learn how the Virtual HR Support Center can put all the DIY HR tools you need at your fingertips.

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Should We Abolish Performance Improvement Plans?

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What is a PIP?

A performance improvement plan (or PIP), as defined by the Society for Human Resource Management (SHRM), is a tool utilized specifically to provide employees with an “opportunity to succeed,” rather than lose their job. PIPs provide two important features: first, to provide a timeline for improvement; and second, to create documentation of performance-related discussions. This means PIPs can be for anyone in the organization – strong performers, over-achievers, under-achievers, executives, or entry-level employees.

Organizations utilize PIPs in order to provide a clear path to success in partnership with an employee’s manager. Particularly in a difficult or limited candidate market, PIPs are best utilized as a retention tool to re-engage and improve an employee’s performance before the relationship between the employee and employer is beyond repair. However, that’s not always the case.

In early 2022, LinkedIn News published an article encouraging a revolution or reevaluation of performance improvement plans. Many employees identified the negative connotation that they associate with PIPs, arguing that they saw PIPs being used to “manage an employee out” of an organization, rather than being used to provide developmental opportunities to address goals or performance. In fact, some volunteered their own experiences of meeting or exceeding expectations, only to be placed on a PIP when there were internal disagreements or frustrations, encouraging the employee to look elsewhere for a job.

So should organizations abolish the use of performance improvement plans altogether? Or are there ways that we as HR professionals can improve the PIP process to utilize the process correctly and better serve our employees?

Ask Yourself “Why?”

As mentioned earlier, the goal of a PIP is to be used for developmental reasons (i.e. should there be performance goals to meet or behaviors that need to be changed for a successful and harmonious workplace).

As organizations take a closer look at how they utilize a PIP, it’s important to first ask why it may be necessary. Is the employee in question failing to meet performance goals? Or is there a behavior-related concern that’s impacting the workplace? A performance improvement plan may be appropriate here, as long as the intended result is an achievable improvement in a reasonable about of time.

If the answer to “why” is to eliminate a person from the organization, or encourage their resignation, then the PIP is being misused. Sometimes, organizations may utilize PIPs if they don’t have other ways or disciplining or managing poorly improving employees who aren’t a fit for the company. If that’s the case, the solution isn’t a performance improvement plan, but a clearly laid-out warning/discipline process instead.

Clearly Define Your Plans and Language

Some managers use the PIP because it doesn’t sound disciplinary when they’re really trying to manage someone out. As a result, the term has gained a negative connotation because it’s been used as a way to punish instead of encouraging to improve. The term “PIP” has even gained such a negative connotation that employees may immediately start looking at other roles for fear that termination is right around the corner.

To alleviate employee concerns and refocus employees on the real goal of a performance improvement plan, consider changing the language around the PIP. Maybe, instead of a “performance improvement plan”, consider calling it an “individual development plan.” After all, the goal is to refocus both the manager and the employee on the person and their individual success, rather than focusing solely on performance. This allows the tool to be used for anyone at any time – not just when there needs to be a marked performance improvement. By asking questions such as “how do you want to improve, how do you want to grow, how do you want to better yourself?”, managers can turn the implication of performance improvement plans around from “impending termination” to “invested growth.”

But, suppose the goal is truly to encourage an employee to consider another career path or to cut ties. In that case, it’s important to clearly define the language you plan to use while having an honest conversation with the employee and implementing a disciplinary form. Being sure to include an escalating path of written and verbal warnings, performance meetings, and deadlines will make terminations easier from a documentation and expectations perspective.

Timing (Implementation)

We owe it to people to coach and develop them before it’s too late. It’s uncomfortable to have frank conversations about performance, and most people prefer to look away until it’s too bad to ignore. But it shouldn’t be negative – feedback is a gift. There are so many people who don’t give feedback and expect them to read minds.

As in any coaching instance, it’s important to deliver the feedback – good or bad – as close to the instance the action happened as possible. But how you deliver it in the moment can be key. If the message comes from a place of truly caring about the person and wanting them to improve – be it their performance, approach, or level in the company – that should come across. And by being sure to use a coaching tone in the conversation rather than a disciplinary one, encourages employees to become invested in their own improvement rather than fearing being “caught doing something wrong.” In the end, it’s about assessing and respecting the difference between corrective action (which doesn’t have to be negative) and disciplinary procedures.

In this candidate-driven market, it’s difficult to find the talent that you need to continue to grow your business. Retention tools, such as performance improvement plans, can help you fully utilize and elevate your employees to greater heights (when used correctly). As you continue to assess your employee relations and development tools, consider re-evaluating how you might use performance improvement plans and disciplinary action to best support your employees and your company’s strategic goals.

Thank you to Cecilia Vocke, MS, SHRM-SCP, SPHR for contributing to this Emerging Issues in HR. 

Strategic HR understands the value of retaining your workforce through good Employee Relations. We’ve helped companies nurture their cultures by designing/updating employee handbooks, creating reward and recognition programs, providing training for safe and productive workplaces, gathering feedback through employee surveys, pulse surveys, focus groups, and more. Learn more about our Employee Relations Services, or contact us.

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How Can You Teach a Manager to be a Good Listener?

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HR Question:

I’ve received a couple of complaints about one of our managers because he is quick to jump to conclusions and doesn’t listen well to his team. I want to provide him with some coaching on active listening. Can you offer suggestions on how to teach him to be a good listener?

HR Answer:

How many times have you walked away from a conversation with someone, whether it was your boss, co-worker, friend, or family member, saying “they just don’t listen to what I am saying!”? This is a common frustration for many, and it happens for a variety of reasons. Whatever the reason, it causes dissatisfaction and can lead to hurt feelings or feelings of distrust.

Listening is a leadership skill that is rarely taught, yet it is a critical one for managers. And listening is getting more challenging in the world of remote employees, remote customers, and remote meetings. In more than thirty leadership and HR articles published on our website alone, listening is cited as an important component in the advice, training, or program being recommended. So, as you look to provide active listening coaching, you want to help the manager to understand both why it is important and how to become a better listener.

Why Listening Skills Matter

The ability to make others feel valued for their contributions to a project, a team, or an organization as a whole is a reflection of an effective leader. Being a good listener and ensuring that employees feel heard is essential in developing trust, respect, and loyalty.

In a recent Fast Company article discussing the science behind how to become a better listener, Dr. Tomas Chamorro-Premuzic, professor of business psychology at Columbia University, shared that “how well and frequently you listen to others is a better predictor of your leadership potential than your actual intelligence or personality.” He also shared that people who are good at listening are better performers, have a high level of well-being, and have more meaningful and fulfilling relationships.

So, it doesn’t matter if someone is the smartest person in the room… if they’re not a good listener, they will struggle to develop the relationships that are necessary to be a great leader and manager.

How to Improve Listening Skills

How can someone become a better listener? Both Fast Company and the Harvard Business Review dive into science-based, specific steps on how to become a better listener. To break down their suggestions to the barest components, both sources recommend these basic essential steps:

  1. Be Quiet
  2. Listen
  3. Repeat

Sounds easy, right? But what do each of those steps really entail? To implement them correctly, you must:

  • Focus all of your attention on the other person. Stop what you are doing with your computer, phone, or even distracting thoughts from a previous conversation running through your head. Use all of your senses to focus on what the person in front of you (in person or on-screen) is saying.
  • Use non-verbal cues to communicate that you are listening, like making eye contact and nodding your head. Also, pay attention to the speaker’s non-verbal clues to see if they are congruent with the words they are saying.
  • Remain calm and control any emotional response you have to what they are saying. Allow them to finish their statements before you say anything in response, and do not plan your response in your head while they are still talking. Listen to everything they have to say first.
  • Restate the last few words they said, and clarify what you believe they were saying. Ask follow-up questions. If the person’s words do not match the non-verbal signs the speaker is giving, carefully inquire about the differences.
  • Finally, make sure you understand why they shared this message with you, and if you do not, then ask. A good listener seeks to understand the speaker’s intent, i.e., were they just venting, were they sharing an accomplishment and they need praise, or do they expect you to take some action as a result of what they shared?

Active Listening Enhances Your Professional and Personal Life

It takes practice to be a good listener. It may come more naturally for some than others, but it is a skill that everyone can develop. As you work on finetuning the skill, ask for feedback about how well you listen… and listen to the response! Listening is a skill that will not only enhance your communication and leadership at work, but it’s valuable in your personal life as well. Working on your active listening skills will be time well spent – your employees, friends, and family will appreciate your efforts.

Thank you to Lorrie Diaz, MS, for contributing to this HR Question of the Week.

Carefully choosing the right words and the best approach can make the difference between achieving your goals or having your efforts go awry. Managing your HR Communications doesn’t have to be hard – as long as you have the right tools and training. Learn more about how Strategic HR can help with your HR Communications or contact us about your needs.

 

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What are the Essentials of a Good Employee Relations Plan?

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What are the Newest Benefit Trends?

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HR Question:

We’re trying to review our benefit offerings to make sure that we’re meeting each of our employees’ needs. We’re able to offer the basics – health, dental, vision – but are there offerings we haven’t considered yet to keep up with benefit trends?

HR Answer:

In today’s market, it’s as important to retain the talent that you have as it is to recruit the right talent. The conversation around retention has offered employees a greater opportunity to be more vocal about their individual needs. So, what innovative employee benefits trends are employers implementing to retain their workforce and catch the eye of necessary talent? How can employers structure their benefits package with offerings that are appealing and beneficial to each employee?

Now more than ever, employees consider benefit offerings as an essential part of their compensation packages. While it’s obvious that employers can’t offer the sun, moon, and stars, employers can survey their teams to understand the benefits that would truly make a positive impact in their lives (and hopefully retain these employees longer). The results may surprise you, as it’s possible only a few adjustments need to be made to meet the wants and needs of your workforce.

For example, consider these four trending areas to enhance benefits and voluntary options to accommodate employee wants and needs: mental health, policies to support neurodiverse employees, support for life-changing diagnoses, and financial assistance.

Mental Health

Mental health remains one of the most talked-about and pressing benefit trends of this year. Even though the COVID-19 pandemic has receded to levels that allow for a partial return to normal, the impact on mental health remains. Many employers are turning to partnerships with apps like Calm or Headspace, while others (such as Clark Schaefer Hackett) have taken the opportunity to extend their Employee Assistance Programs (EAPs) to cover their employees’ extended family members, such as siblings and in-laws.

Policies to Support Neurodiverse Employees

It has been proven that diverse workforces naturally perform better. But diversity goes beyond race, gender, or age – it can also apply to thinking styles, abilities, and problem-solving practices (also known as neurodiversity). By creating inclusive policies and benefits for neurodiverse individuals – such as people with autism – organizations can open their doors to additional talent, unique perspectives, and innovative individuals, creating even greater diversity and inclusion in their workplace.

Support for Life-Changing Moments

As the conversation around work/life balance ebbs and flows between a balance and an integration, many would agree that personal life priorities impact performance, focus, and success at work. Offering support for moments such as cancer diagnoses and care programs (such as cancer insurance or critical illness insurance) or addressing the needs of female health (such as time and flexible work hours to deal with symptoms of menopause or fertility needs), miscarriages, or adoption needs can go a long way in addressing the work/life needs of your employees.

Financial Assistance

According to Schwab Retirement Plan Service’s annual survey, 48% of participants found themselves more likely to save more in general due to the pandemic, with over 85% listing a 401(k) plan as a “must-have” benefit. If 401(k) plans fall outside of what your organization can provide, consider offering smaller but still impactful benefits such as reimbursements for work-at-home expenses, stipends for child-care support, or programs to support emergency savings, debt management, and budgeting.

While healthcare costs continue to rise amongst the “Great Resignation” waves, employers are not without ways to attract and retain a larger percentage of their employees – starting with their benefit offerings.

Thanks to Janine Cummings, SPHR, SHRM-SCP for contributing to this edition of our HR Question of the Week. 

Strategic HR has the answers to all of your tough Benefits and Compensation-related questions. Please visit our Benefits & Compensation page for more information or contact us to troubleshoot today.

Three Ways HR Can Serve as Cybersecurity Defenders

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HR Question:

Why should cybersecurity be a priority for HR professionals? Isn’t that IT’s job?

HR Answer:

Hackers look for more than just passwords and bank information. They can hold personal information hostage like social security numbers, share private health information, or share the results of someone’s less-than-satisfactory performance review with the public.

Human error is often one of the key weaknesses that hackers and cybersecurity criminals will try to exploit in their assaults. As HR professionals and business leaders, it’s up to you to build in defenses amongst your team members to protect the business and the sensitive information it has on your employees.

Implement a Clear Cybersecurity Policy

One of the first lines of defense that HR professionals can put in place is a strong cybersecurity policy. Policies that cover topics such as information sharing and the appropriate use of social media, remote devices, wi-fi, and VPNs can help educate your team members on safe technology practices and put definable consequences (beyond the potential danger of information exposure and distribution) around the misuse of company technology and information.

By partnering with your organization’s IT department, HR can include policies that support employee privacy and the company’s security, such as regularly updating passwords, guidelines to follow in the case of suspected security breaches, reporting procedures, and more.

Foster a Cybersecurity Savvy Culture

You know the phrase, “you have to walk the walk to talk the talk”? Or better yet – “leading by example.” The same concepts apply to how your HR department approaches cybersecurity when fostering your company culture. Without HR putting the same emphasis and care behind IT policies and priorities, these goals may fall flat before reaching the finish line.

As such, there are four ways to help encourage your employees to be aware of potential security risks:

  • Check phishing reports quarterly to see what’s trending and what’s changing with how the common scams operate.
  • Always be sure to double- and triple-check who’s asking you for information. Attackers are becoming more and more intuitive in how they reach out to you. It doesn’t matter whether it’s your mother, your boss, or your best friend who emailed you, check where the email came from and be certain before you respond.
  • Ensure that common behaviors, such as reusing passwords or using unprotected wi-fi networks, aren’t encouraged, practiced, or overlooked.
  • Never let your guard down. This is probably one of the most important things to remember. It’s not easy to do, but phishing is only a problem if it succeeds. And phishing will succeed. We’re all human and we will make mistakes. It’s these mistakes that attackers capitalize on.

Remember these four rules, and you’ll be much safer and prepared to deal with any phishing scams that come your way.

Include Cybersecurity in Regular HR Audits

As a part of your HR audits, which should be conducted on a regular basis, it’s important to include cybersecurity features in your regular process. Double-checking things such as password security, ensuring all software is updated, and making sure that policies are up-to-date based on popular apps and technology trends can help to keep your company’s and your employees’ information safe and secure.

Special thanks to Samantha Kelly for contributing to this edition of our HR Question of the Week. 

Visit our colleagues at Clark Schaefer Hackett to learn how they can support your cybersecurity needs, or check out our Health, Safety, and Security page to see how we can help develop processes, procedures, and programs to protect your team. 

Four Ways to Improve New Hire Onboarding and Training

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HR Question:

Currently, our onboarding includes completing new hire paperwork, going over our company history and policies, ensuring they have the necessary technology tools, and having them meet with select employees to learn what they need to learn to hit the ground running. What else should we incorporate to improve our new hire onboarding and training?

HR Answer:

It sounds like you’re off to a great start. Just to be sure that you’re covering the basics, you should check out these key components of an onboarding plan. To move beyond the basics, I’m going to offer four additional, yet sometimes overlooked, ingredients that can greatly improve the effectiveness of your new employee onboarding:

1. Plan the Right Duration for Onboarding

Developing a solid understanding of how an organization operates, as well as understanding the significance of an individual’s role within it (all while building long-term work relationships), takes time. In some organizations, employees are provided one to three full days of onboarding during their first week. In these situations, they typically review and complete new-hire paperwork and benefit plan enrollment forms, review the safety, health, and security components of the job, and complete any other critical training to be able to hit the ground running. However, is this sufficient onboarding to create a long-term employee? Adult learning research would suggest that it isn’t enough.

Effective adult learning practices must provide opportunities for observation, asking questions, and putting facts, ideas, and experiences together to derive new meaning. This can take time, especially when your goal is to develop a clear understanding of company values, culture, and team cohesiveness and effectiveness. So, if you’re looking for ways to improve your onboarding process, be sure you allocate an appropriate amount of time to the process.

We recommend breaking the new employee learning process into two phases: 1) Employee Orientation and 2) Employee Onboarding.

Employee orientation may take place during the first week of employment and include a company tour, introductions to key staff, new hire paperwork, and cover the basics of the new worker’s job, payroll, benefits, company policies, and safety.

Employee onboarding may start within the employee’s first week and take place over several weeks or months, depending on your goals.  In the course of onboarding, you may focus on company culture, values, and team development by having the new hire meet one-on-one with team members to learn about various functions within your organization and how they will play a role in them. You may provide additional specialized training to ensure your new employee is set up for success in their position.

Keep in mind that the volume of new information can be overwhelming for new employees, so you should prioritize and plan appropriately for what information, training, and experiences they need to have from the beginning versus the weeks or months down the road.

2. Design Training for Different Learning Styles

Adults have different preferences on how they learn known as learning styles. Although you might be inclined to develop training based on how you learn best, a valuable way to improve your onboarding and new employee training is to keep your employees’ needs and learning preferences top of mind. A common model for learning styles is the VARK Learning Model which illustrates four key ways that people prefer to learn:

Visual Learners – Prefer to see information. They learn best if they are shown pictures, charts, graphs, or videos to learn important information and details.

Auditory Learners – Prefer to hear the information rather than see it. They prefer to ask questions and repeat back what they have learned.

Reading/Writing Learners – Prefer detailed, written instructions with opportunities to add notes and highlights. They learn best by writing things down to process the information.

Kinesthetic Learners – Prefer to learn by doing. They learn best when they can do “hands-on” work or try to complete a project or task even if it involves trial and error.

Many people actually prefer a combination of these learning styles to meet their learning objectives. Recognizing this can help HR and/or supervisors to tailor their training to each individual. Training Magazine recommends using a differentiated training approach designed to accommodate the different ways that employees learn – ensuring that everyone has an equal opportunity to learn. HR professionals or supervisors can discover employee learning styles by simply asking them how they prefer to learn new information. If you’re providing training for a group, be sure to incorporate a multi-faceted approach.

3. Incorporate Coaching and Mentoring

A supervisor must provide ongoing and frequent coaching to ensure that knowledge and skills are transferred effectively following training. In addition, assigning a “mentor” or “buddy” can provide a huge boost to a new hire’s onboarding and long-term experience in your organization.

Generally, the role of a mentor is to offer the new employee a connection to someone who can guide him or her but is not in a position of direct authority over the new hire. The Business Journals touts the importance of mentors recognizing how they help new employees to quickly apply their new skills while also relieving some of the new employee’s anxiety.

Mentors may be paired with a new employee for as little as a day or as long as a year, depending on the length of the onboarding program. Their responsibilities may range from providing practical information such as directions to the restrooms, cafeteria, or parking places, to helping the employee understand the nuances of working in the organization. Mentors can also help to make meaningful connections within your organization and answer questions that the new employee may not feel comfortable asking of their supervisor.

4. Evaluate the Effectiveness of the Onboarding Experience

The best way to know whether your onboarding experience is truly meeting the needs of your new hires and your organization’s goals is to ask those who were involved. At a minimum, the new employee should be asked how their onboarding experience is going and whether there are components that should be added, removed, or tweaked. They are likely to provide great ideas for how to improve the onboarding process.

Verbal evaluations can be accomplished between the new hire and their supervisor during our recommended touch bases after 1 week and at 30-60-90 days from the new hire’s start date, or you can choose to ask for feedback via email or other internal communication software/tools. You should also solicit feedback from anyone who was involved with facilitating training and/or serving as a mentor.

No matter what method you choose, it will be important to get feedback from those who are involved in your onboarding process to ensure that it is meeting the employees’ needs and expectations as well as organizational goals.

Thank you to Terry Wilson, SPHR, SHRM-SCP for contributing to this HR Question of the Week.

You need your new hire’s onboarding and training to be an excellent experience. Because let’s face it, in this labor market, you can’t afford for it not to be. Strategic HR can provide the support you need with all of your Training and Development goals. Contact us to see how we can help.

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What’s the Most Effective Way to Use Panel Interviews?

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HR Question:

As a retention and growth opportunity, we have decided to shift to panel interviews to engage our team members in the hiring process. What’s the most effective way to use panel interviews?

HR Answer:

Panel interviews, when planned properly, can greatly exceed the effectiveness of single interviewer methods.

Why Single Interviewer Methods Can Be Difficult

From the perspective of an interviewer, conducting an effective interview can be a challenging task.  The interviewer must concentrate on asking good questions and listening to the candidate’s responses.  At the same time, the interviewer has to formulate an appropriate follow-up question, monitor how much time is left, jot down interview notes and, most importantly, pay close attention to both verbal and non-verbal responses of the interviewee. These tasks altogether create distractions that cause an interviewer to miss important cues from the candidate.

Panel interviewing addresses the shortcomings of the single interviewer method. As the Society of Human Resources shares, panel interviews allow interviewers to get a broader picture of the candidate and their experience while observing the candidate’s verbal and non-verbal responses and taking good notes. From the candidate’s perspective, it can significantly reduce the amount of time that they must spend interviewing with the employer as compared to interviewing with several employees separately.

How to Build an Effective Interviewing Panel

The interview panel generally should consist of three to five members with one of those individuals playing the role of panel facilitator. Whenever possible, the panel should represent the diversity of your organization. Although the specific individuals selected to participate on an interview panel will most likely change based on the positions you are seeking to fill, once a panel is selected for a particular role, the members of that panel should stay consistent until the position is filled. Panel members should receive training on effective interviewing techniques and be briefed in advance regarding their role in meeting with the candidates.

Before each interview, the panel facilitator will be responsible for a few tasks, such as assigning questions to each panel member, establishing the expectations of the panel, briefing the panel on certain areas for more emphasis or depth of questioning depending on the candidate’s situation, as well as distributing the materials to be used by the panel — candidate resume, application, interview guide, job description, etc. Ideally, these materials should be provided ahead of time for each panel member to review in advance.

During the interview, the facilitator will introduce the candidate to the panel, monitor time and, after the candidate has departed, lead the evaluation and consensus rating of the candidate.  Preferably, panel facilitators should have good leadership skills, interviewing experience, and consensus-building skills.

The “Flow” of an Effective Panel Interview

The best panel interviews follow a sequence that allows panel members to get the most information from the candidate.  Effective panel interviews will naturally follow the same steps.

First, introductions are made by the main facilitator, who will also detail the process for the candidate. The facilitator should let the candidate know there will be time for their questions at the end, so the candidate can feel at ease.

Using the same interview guide, the facilitator and other panel members will take turns asking questions of the candidate. It’s important that other panel members remain silent and take note of the candidate’s responses when it isn’t their turn to allow the candidate to focus on responding to only one person, as well as to make sure they’ve accurately captured the candidate’s thoughts. Once the panel members’ and candidate’s questions are answered, the facilitator will tell the candidate what to expect next and will escort the candidate from the interview room.

Afterward, the facilitator will lead the discussion on the candidate’s responses, qualifications, and ratings for each area questioned during the interview. Panel members will discuss their ratings, point out the basis for their evaluations, compare their decisions, and support their observations. Finally, a consensus on next steps should be reached.

The Importance of Reducing Candidate Stress

The most effective interviews provide candidate responses that are candid and thorough.  Candidate stress can inhibit straightforward responses and reduce the effectiveness of the interview.  Therefore, a genuine attempt should be made to put the interviewee at ease. This can be done in several ways, such as:

  • Giving the candidate enough warning that this will be a panel interview, along with background information on each panelist to help the candidate have a better idea of who they will be meeting with.
  • Avoid seating panel members behind a massive table or facing the applicant as if it were an interrogation or a trial by jury.
  • Make sure that each interviewer finishes asking all of their assigned questions before others ask follow-up questions. Without this, the candidate may feel interrogated rather than engaging in an open dialogue.

Special thanks to Terry Wilson, SPHR, SHRM-SCP, Senior HR Business Advisor for contributing to this edition of our HR Question of the Week!

Could you use some help in recruiting the best talent for your organization? Learn about our Recruitment Services, or better yet, Contact Us to find out how we can help. 

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Three Ways Employers Can Promote Work-Life Balance

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In the midst of a pandemic and a labor “shortage,” followed by an extremely tight labor market, it has become more important than ever that employers listen to and understand the motivations of their employees in order to best attract and retain them. Over the past two years, many employees have made changes that better support family life, financial security, and their lifestyle through remote or hybrid work situations. Many are realizing that work-life balance is not a “nice to have,” but rather it is a necessity.

In fact, in our “Generations at Work: Insights from our Survey of the Generations” report, our team at Strategic HR discovered that the ability to enjoy a work-life balance closely tied as the top reason employees across all generations both join and stay at a company. When combined with the finding that at least 56% of all workers (regardless of generation) preferred a hybrid work situation, employers are trying to strike the perfect work-life balance to attract and retain desperately needed talent.

During a major cultural shift due to the pandemic, many found they were enjoying the “hallway commute,” the additional time with family, and the lessened stress that came from spending more time at home. But for some, there was no clear boundary between when “work” ended, and “life” began. With employees making themselves accessible by email, text, or phone 24/7, it was (and still is) extremely easy to lose sight of that balance. If an employer chooses to ignore the work-life balance expectations of the current workforce, employees will simply move on to a job that suits their needs better.

Three Ways to Promote Work-Life Balance

Each person has his or her own idea of work-life balance or work-life integration, which is another term that some use for the concept of the give and take, tug and pull between work and personal life. So how can employers meet the diverse needs and desires of their employees and achieve work-life balance, particularly if it means something different to each person? Here are three potential solutions:

1) Offer Hybrid or Remote Work Options

To be competitive in today’s market, consider offering hybrid and/or remote work models to employees, in addition to flexible hours. While this may be a complete shift in culture for many organizations, we have seen just how productive and successful employees (and organizations) can be while working virtually some or all of the time.

Some employers may be concerned that remote work could lead to a decrease in productivity and quality of team collaboration. When comparing the collaboration effectiveness of teams working remotely versus in-person, our Survey on the Generations revealed that well over half (55% – 60%) of all generations reported high or somewhat high collaboration effectiveness, followed by 26% – 31% reporting no change as compared to in-person work, and 12% – 19% saw remote collaboration as highly or somewhat ineffective. So what can you do for those who might struggle with remote work?

Steps to ensure success with remote work

Working remotely can present unique challenges to individual and team productivity, collaboration, and success. We recommend that employers:

  • Plan for and build internal supports for those who are working remotely to ensure they have the appropriate support (people and tools) and clear direction to optimally perform.
  • Have frequent check-ins with employees to ensure that they are on the right track to meet their objectives, have questions answered, and have the resources that they need to be successful. You might discover that there are easy solutions to ensure that everyone on your team is working optimally.
  • Ask for employee input to make sure that you are providing the right tools to help them be productive. Be sure that your employees are also properly trained to use the tools. For some, it may also be a matter of creating new, purposeful habits to collaborate in new ways.

Employers should also ensure that their policies and practices are updated to align with their efforts of supporting employee work-life balance. For example, if you offer remote work situations, you should formalize this through a Remote Work Policy that both supports the need for employees’ work-life balance and meets the demands of the business.

A new term for this balance is called “strategic flexibility,” a concept that allows employees and their employers to view the work-life balance holistically and offers insight into how employers can build trust and empowerment within their employee groups while still maintaining fair expectations of employees in remote or hybrid work environments. By offering the option of (at least) a hybrid work environment, employees can reduce the high levels of stress they’ve carried in the past around personal and family obligations and seek a better balance without long commutes.

2) Encourage Employees to Protect Their “Me Time”

Personal time is extremely important for a healthy balance. We are able to be more productive at work when we infuse our daily schedules with some downtime. However, working where we live can lead to blurred lines between work and homelife causing some to find it hard to turn off the workday knowing that there might be one more email/text/phone call that awaits their attention. Employees can start to feel that they need to be available 24/7… falling down the slippery slope that leads to burnout.

Employers can help employees to protect their “me time” by fostering a culture that supports that behavior. For example, it can help to set expectations and encourage employees to “turn off work” by a certain time each day. If an email request happens to be sent during a time when an employee should be “off duty,” instill the habit of noting when something isn’t urgent and can wait until their next workday. This can help employees to set healthy boundaries between work and personal life.

Encourage team members to set time aside each day by doing something for them, whether it’s for 10 minutes or for an hour. The goal is for this time to be set aside for something that truly calms their mind. It could be anything from exercising, meditating, reading, watching TV, etc.

Another way to encourage employees to protect their time is by maintaining a sense of structure throughout the day, whether employees are virtual, in-person, or hybrid. Be sure that you are continuing to host regular staff meetings, group meetings, and social gatherings to make time for some fun together as well.

3) Work Smarter, Not Harder

Help team members stay in the loop through weekly “huddles” or calls to keep everyone accountable and connected. Regular one-on-one meetings allow managers and employees to continue to touch base and uphold the objectives and goals set for the year.

Evaluate processes already in place. Don’t look for places to cut corners, but rather look for steps in the process that may not be necessary to complete the same high-quality work. It’s easy to get into the daily habit of following processes when there may in fact be an easier way.

Work-Life Balance Benefits for Employers

Whether you call it work-life balance, work-life integration, or strategic flexibility, employers who embrace it will not only thrive in terms of attracting, engaging, and keeping valuable employees, they will help to prevent burnout, increase productivity across the board, and ultimately become employers of choice with a reputation for supporting work-life balance. If an employer chooses to ignore the work-life balance expectations of the current workforce, they run the double risk of losing great employees who leave for opportunities that better meet their needs and the impossible task of attracting new talent into a less-than-desirable work environment.

 

Thank you to Cassie Whitehouse, M.Ed., Senior HR Business Advisor for contributing to this Emerging Issues in HR.

 

Creating an organizational culture that is supportive of the diverse needs of employees is imperative to attracting and retaining the talent you need – not to mention critical to your bottom line. Strategic HR can support your culture strategy through employee surveys, establishing remote and hybrid work policies, identifying retention solutions, developing employee recognition programs, and more. Contact us today!

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The Top Seven Handbook Policies to Include This Year

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Do I Have to Give Performance Bonuses to Employees on FMLA Leave?

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HR Question:

It’s almost time for quarterly performance bonuses, but one of my employees has been out on approved FMLA leave for the past six weeks. I don’t want to penalize the employee for being out, but it doesn’t seem fair to my other employees if I give this individual their full bonus even if they weren’t here. What should I do?

HR Answer:

It’s understandable that you don’t want to negatively impact your present employees or punish the team member out on leave. That being said, it’s important that however you approach this situation, you do so in a fair, equitable, and repeatable manner. You’re correct that the Family Medical Leave Act (FMLA) does provide benefit and job leave protection for leaves. However, there are some areas of total compensation that can be impacted as long as the reduction is due to the quantity of work and not the quality of work being done. That means that performance-based bonuses can potentially be impacted (i.e., reduced or not paid at all) according to the Department of Labor.

The FMLA is a federal leave law that applies to all companies with 50 or more employees; public agencies; and all public and private elementary and secondary schools. Under the FMLA, eligible employees can receive up to twelve (12) workweeks of unpaid leave during a 12-month period. It also requires group health benefits to be maintained during the leave as if employees continued to work instead of taking leave. Employees are entitled to return to their same or an equivalent job at the end of their FMLA leave. To be safe, many employers lean on the side of “no changes” when their employees return, but in this instance, you do have a right to adjust the bonus the employee would typically be eligible to receive.

According to the Department of Labor, an employer may deny a bonus that is based upon productivity goals as long as the calculation is applied equally to those who would be taking a non-FMLA-protected leave. For example, if you have an employee who is on a leave of absence for approved personal reasons and you prorate their bonus based on actual “time at work,” you could do the same for the employee on FMLA-approved leave.

The Department of Labor goes on to clarify that an employer could deny (or reduce) any bonus based on achieving a goal as long as they are treating employees in similar situations the same. That could be due to attendance, safety, and even productivity. A recent article from the Society for Human Resource Management (SHRM) cited a Second Circuit Court ruling that affirmed that such a proration was “allowed,” so long as employees on FMLA-approved leave are treated like others and not penalized in ways that others are not.

As an employer, you can create policies and precedent that would clear up any potential confusion in the future. For example, you could create a policy that specifies employees must actively be working for the entire month to be eligible for performance bonuses. Another option would be to create a policy that allows for partial payments prorated on the number of days an employee worked in the month. These are two very different options that could be used, as long as FMLA-qualified and non-FMLA-qualified individuals on leave are treated the same.

Finally, be sure that you understand that you cannot discipline an employee for non-performance or for not meeting established productivity goals while out on leave. As an employer, you can maintain work standards, but the quantity of the standard may need to be adjusted as it is directly impacted by the employee’s ability to be present at work – which is protected under FMLA.

Strategic HR has the answers to all of your tough Benefits and Compensation-related questions. Please visit our Benefits & Compensation page for more information or contact us to troubleshoot today.

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Top 3 Reasons Why New Hires Leave… And How to Turn Around Your Turnover!

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Specific Ways HR Can Cultivate an Inclusive Workplace

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HR Question:

We’re celebrating the last full week of Black History month, and we want to keep the conversation going. How can our HR department cultivate a more inclusive environment beyond Black History Month?

HR Answer:

While the month of February inspires us to celebrate the successes and recognize the struggles of Black and African American individuals across the US, this focus and spotlight do not have to (and we’d argue should not) be limited to four weeks out of the year. In “The Diversity and Inclusion Revolution,” one of the eight truths the Deloitte Review focuses on is that to create a diverse and welcoming workplace, organizations have to “perform a culture reset, not a tick-the-box program.” Celebrating the work and contributions of Black Americans during one month is not enough to build a diverse culture – rather, it can contribute to a continuous, inclusive facet of a larger and ongoing conversation; one that includes a wide range of abilities, identities, ethnicities, races, and genders.

Studies have shown that increasing the diversity of teams and leadership leads to increased innovation. Additionally, it’s no secret that diverse, inclusive, and equitable workplaces see higher than average financial performance as well. It is easy to see why cultivating an inclusive workplace is not only the right thing to do; it is also a smart business decision. So as you look for ways for HR to continue to nurture and grow a more inclusive environment beyond February, we offer the following suggestions.

Embrace 3 Pillars of Diversity and Inclusion

After studying the most productive workplaces around the world, Gallup identified three requirements for a diverse and inclusive workplace culture:

  1. Employees are treated with respect
  2. Employees are valued for their strengths
  3. Leaders do what is right

By viewing diversity and inclusion through a broader lens as Gallup has, it opens the door for everyone to see how they can play a role. It’s naturally HR’s role to facilitate open conversations amongst employees, managers, and executives, including facilitating eye-opening and bridge-building conversations about how to understand and respect one another’s differences and the value that these differences can bring to our professional and personal lives.

In addition to having meaningful conversations that foster a respectful and inclusive environment, we recommend that you review your employee handbook to ensure that your policies and practices fully support diversity and inclusion in your organization. For example, do you have a clear path for employees to go to HR should they have concerns about the inclusivity of their workplace?

Provide Training that Meets Employees Where They are in the Journey

As your organization continues to foster a culture of inclusion and belonging for everyone, it’s important that your employees have the tools and common language to talk through related topics and issues together. When it comes to understanding diversity and how we can learn from one another, there is not a lack of potential training and development experiences. No matter where your employees are on this journey, it is important to continue to provide education and opportunities for growth.  If you don’t feel that you are best equipped to educate employees on the subject matter, you may feel inclined to bring in a reputable speaker or training facilitator to optimize the experience.

Look for Ways to Foster a Sense of Belonging

There are many ways that HR can be purposeful in cultivating an inclusive culture. You can look for opportunities throughout the year to recognize important dates or impactful cultural events and help employees to celebrate them. For example, Juneteenth was recognized as a federal holiday beginning in 2021 – does your organization have plans to celebrate, recognize, or highlight the holiday? Can your employees take time off through established or floating holidays without utilizing their PTO in order to celebrate?

With the goal of creating an inclusive environment, consider providing forums and welcoming spaces for members of various affinity communities to exchange ideas, find mentorships, encourage a sense of belonging, and network. These groups could range from different ethnic and cultural backgrounds to LGBTQIA2S+, women, young and emerging professionals, and more. For example, look to GE’s Employee Resource Groups, which exist for the purpose of welcoming “all employees to learn, connect, advocate, and foster a sense of belonging.”

Get Involved in Your Local Community

As the Deloitte Review emphasized, “match the inside and the outside.” Internal efforts to continue the conversations emphasized during Black History month or other diversity and inclusion initiatives can be more effective when matched with external efforts to make a difference in your local community. Look for outside opportunities through community action groups or nonprofit organizations. You could also consider paying employees for their time and efforts contributing to a more inclusive and welcoming society.

As we mentioned, there are countless ways that HR can cultivate an inclusive workplace, so we hope that these suggestions inspire even more ideas for how you can nurture diversity, equity, inclusion, and belonging in your organization.

Thank you to Mary Mitchell, MBA, SPHR, CHRS; Melinda Canino, MS; and Samantha Osborne Kelly for contributing to this edition of our HR Question of the Week.

Having an inclusive organizational culture that contributes to your organization’s overall success doesn’t happen by accident. It needs to be nurtured. Learn how we can help you to nurture your culture through our DEIB Consulting Services, or contact us today.

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Essential Leadership Attributes For Success

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The demand for stellar leadership is at the forefront of every business across all industries. The workplace climate has drastically changed requiring leaders to not only focus their time and attention on the success of their core business but also to provide strategic leadership and support to their employees. Leaders must be positioned with the right leader attributes and competencies to lead in an environment that requires constant re-evaluation and change. They must also meet the needs of employees who have new expectations for personal needs, development, inclusion, and more. In this article, we discuss the demand for new mindsets and how leadership must adapt to drive organizational success in the coming year.

Developing a Culture by Design

Leaders drive culture. Creating a positive culture by design is paramount versus allowing a culture to be formed at the water cooler. This includes living out a true mission, vision, and values with integrity as a central component of your business ethos. In Deloitte’s annual study of human capital trends, culture is consistently ranked among the top three most important issues for senior leadership. Bottom line, leaders must drive a well-planned culture in order to cultivate critically essential high-performance teams.

There are multiple books written on the subject of organizational culture, but one that I’ve found to be helpful with practical advice and direction is Culture by Design: 8 simple steps to drive better individual and organizational performance by David Friedman.

How Do Leaders Impact the Bottom Line?

Leadership drives engagement and retention rates. According to The Employee Engagement Group, 60% of disengaged employees are open to new jobs; but even more alarming, about 40% of non-engaged employees will actually STAY! Much of the disengagement is attributed to poor management and/or a toxic work environment. Turnover costs may accumulate to as much as 20%-40% of an employee’s annual salary. In reality, one employee making $80,000 per year can cost employers $16,000-$32,000 to replace. Leaders must have the ability and foresight to assess engagement on an ongoing basis and to make course corrections if/when needed.

What are the Key Attributes for Success?

Leadership starts with caring and empathy – seeing employees as people first and as employees second. Showing genuine care and commitment to your employees’ well-being builds trust and establishes mutual relationships. The need for servant leadership has not diminished, and leaders must ensure that leading with their heart as well as their head is the normal practice.

Humility can be a superpower in leadership. Authentic leaders admit mistakes, give credit where it’s due, and remain coachable. They provide inclusion and ensure all voices are heard knowing that while they are at the top of the hierarchy, those on the ground often have relevant knowledge and innovative ideas unknown at the management level.

Curiosity, emotional intelligence, and effective collaboration can’t be omitted from the list of key leader attributes. Asking why, how, and what-if questions urge employees to think deeper and speculate about possibilities. Holding people accountable, yet doing so without harsh condemnation, ensures employees are supported if they try and fail. And lastly, collaboration must be fostered to ensure each individual, regardless of their style/personality, are comfortable bringing their input to the table.

Tactics for Developing Leader Attributes

The 70-20-10 rule reveals that individuals tend to learn 70% of their knowledge from challenging experiences and assignments, 20% from developmental relationships, and 10% from coursework and training. If you’re building leaders, stretch assignments provide opportunities for new leaders to learn and grow to help them to experience firsthand what works and what needs further improvement.

Job rotations are effective in growing knowledge and perspective. Rotating a potential leader into a different department or job function can expand their practical and context knowledge of your business. It can help them to further hone their strengths while also providing them with a different perspective that benefits them now and in the future.

Situational-based questions can be designed to push potential leaders outside their comfort zone and to promote more extensive strategic thinking. It may also allow them an opportunity to insert or leverage their own personal style.

Use your most efficacious team members to serve as mentors. Select someone within the organization that can help the prospective leader to see the company and its employees from a different angle. Remember, your leaders are human too and often require the same support they are providing their teams.

What Leaders Need to Unlearn/Change

Strategic planning continues to be a business essential and best practice. However, with uncertainty in economics, politics, pandemic impacts, etc., scenario planning provides an alternative contingency. Annual plans are typically rather concrete. Scenario planning is when employers make plans that enable them to be prepared in many scenarios. “If this happens, then that” planning. This serves as a live and ongoing process of checking the operating plans for current relevancy.

Leaders should consider long-term business shifts to determine which changes that are in place now will transition into being permanent and how to adapt. Examples are remote work and the discovery that an office facility is no longer a necessity to run an organization.

Another significant change for leaders is operating in an environment that drives decisions with the use of artificial intelligence and technology. Data-driven decisions are based on factual statistics as long as the “data in” is credible. Automated tasks can make decision-making easier and also free up leaders to focus on other aspects of human capital and the overall business. The most effective leaders will ensure they are optimizing their use of technology so they can focus more of their time on areas that require a human touch.

Future Forward

Navigating toward future success may require leaders to make bold moves. Combat old habits; banish outdated and ill-informed ways of thinking; drive disengaging and toxic behavior from your business. Even if that means displacing a top leader who is not willing to represent the best interests of the organization both excellently, empathetically, and unselfishly. But it doesn’t stop there. Remember that people are human. Leaders must over-communicate, develop strong and lasting relationships built on trust and transparency, and provide recognition. Always catch individuals and teams “doing something right.” The best leaders of tomorrow will be those who help their businesses thrive while helping their employees to do the same.

 

Thank you to Angela Dunaway, SPHR-SHRM-CP for contributing to this edition of Emerging Issues in HR.

 

Are challenges with leadership or organizational culture getting in the way of your company’s success? We can help you to identify your strengths and areas for potential improvement as well as provide the support, coaching, and training needed to ensure that you are positioned for success. Learn more about our Training & Development Services or Contact Us to discuss how we can help you.

 

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How Can I Use Salary Benchmarking As a Recruitment Strategy?

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HR Question:

Like many companies, we’re struggling with recruiting right now. I’ve been tasked with doing salary benchmarking to see if compensation is part of the problem, but I’m not sure how to go about doing it. Can you advise me on how to tackle the benchmarking process?

HR Answer:

Attracting and hiring talent is one of the most challenging yet critical processes for any organization. Descriptions of a welcoming work environment, rich benefit offerings, and career growth are frequently at the top of the most attractive attributes that organizations tout in their job ads, but one feature stands out among the rest – salary. If you are struggling to hire the talent that you need and your organization has not assessed the market pay rates for your positions, or if it has been a while since you’ve done this analysis, then it will be very beneficial to gather salary benchmarking data to ensure that you’re offering a competitive and attractive salary, particularly in a candidate’s market.

What is Salary Benchmarking?

Salary benchmarking is a process in which companies compare their internal salaries to those of other competitive companies to understand the market average. This allows them to create compensation structures and programs that can meet (if not beat) other competitors in the industry and attract top talent.

But beyond attracting talent, salary benchmarking can also take steps towards reducing costs, rather than just increasing them. Consider the average amount of time and money that goes into hiring, onboarding, training, and equipping new employees. Then, picture your bottom line should a candidate leave soon after joining the team for a higher, more competitive salary – one you had the ability to offer in the first place. And now, the process has to start all over again due to a more competitive offer. So how can organizations reduce the frequency of these situations through salary benchmarking?

How to Begin Salary Benchmarking

First, determine the roles you want to benchmark and create descriptions for each of them. The descriptions should include key job responsibilities, skills, education, and experience criteria. Next, determine the market criteria you want to compare against. Factors to consider are companies within the same industry, geography, organizations of similar size, and cost of living.

After you have established your criteria, conduct external research and compile salary data by comparing your roles against similar roles in the market(s) you’ve identified. Salary data can be found through several sources including the U.S. Bureau of Labor Statistics (BLS), online salary surveys, job posting websites, compensation reports, and third-party providers. Keep in mind, when using free online resources, be sure to reference several sources as the data may not be up to date or completely accurate.

Once you’ve compiled external salary data for each job, establish an internal pay range that aligns closely with the external market. Salary ranges should include a minimum and maximum pay range, and a mid-point that lies within 50% of the range. Once you understand what your organization is able to pay, use the salary range to create a compensation and recruitment strategy for your organization. For example, are you able to pay “at market”, meaning your pay is at a level that matches the market average salary for a specific job? Alternatively, you may opt to pay ‘above market’ and offer a higher rate of pay than other companies in the market. Company and employee performance, the company’s financial ability to pay, and overall business strategy should drive the compensation philosophy you adopt.

I Have My Compensation Strategy… Now What?

Adhere to your compensation strategy and salary ranges to maintain both internal and external salary equity for your employees. In other words, internal employees within the same job classification and similar experience levels should be paid similarly to their internal counterparts. New hires should be paid within the established pay range of the position and their pay should be commensurate with their level of experience. An employee’s placement in the salary range should align with their overall experience level and tenure. Entry-level hires should be paid toward the lower 25% percentile of the range while more experienced employees should be paid between the 50% mid-point or 75% percentile of the range.

What About My Current Staff?

What happens when the candidates you’re recruiting for all have higher salary demands than the salaries of your current staff? It could mean your salary structure is out of date and lagging behind what the market is offering. Or, there may be dynamic forces in place which have drastically shifted salaries – such as inflation, increased competition, or a major market event.

In either case – it’s best to research, validate, and adjust the starting salaries for the positions you’re recruiting for rather than continue to offer below-market wages. These lower wages can not only hurt your recruitment efforts but also compound any “below-market” compensation issue you’re experiencing. Instead, conduct an internal analysis of positions and/or employees who are being underpaid and develop a strategy to bring pay up in line with the marketplace.  This may require an immediate adjustment to salaries or, a long-term plan which brings salaries up over time.

Lastly, in addition to starting rates and salaries, hiring managers and HR professionals should also benchmark what other perks are being offered to attract talent. Sign-on bonuses, flexible work hours, and enhanced time-off benefits are just a few of the perks offered by employers today to help attract staff and retain staff.

Special thanks to Terry Salo for contributing to this HR Question of the Week. 

Need assistance in benchmarking your organization’s salaries? Strategic HR can help! Contact us to get started.

How Do We Create An Emergency Preparedness Plan?

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HR Question:

We don’t have a formalized emergency preparedness plan, and I think we should probably have one, right? What should we include?

HR Answer:

You’re right. Every employer needs an emergency action plan for many reasons, including to be compliant with the Occupational Safety & Health Administration (OSHA) 29 CFR 1020.38(a) requirement. Beyond the mandate, every employer should want to protect their employees from harm to the best of their ability, as emergencies can be unpredictable, scary, and have impacts beyond your business to the community around you – such as the recent explosion at a Northern Kentucky chemical plant. And finally, if you do not protect employees and they are harmed, they may come back with a lawsuit, as was the case after the recent tornados destroyed a local factory in Mayfield, Kentucky.

Emergency action planning doesn’t have to be hard. You should have a written policy to address a variety of potential emergency situations such as a fire, tornado, hurricane, chemical spill or explosion, active shooter, and major illness or pandemic. When prepping Emergency Response Plans, it’s important that you anticipate the variety of emergencies you might face. Consider the risks that your organization may be exposed to, even if they’ve never happened before, and make a list. Create a separate plan for each separate emergency. After all, how you respond to a flood may be very different than how you would respond to a tornado.

From there, it’s important that you prepare your teams. Clearly communicate these plans to all employees at all locations annually and be sure to practice them on a regular basis. At a minimum, the strongest emergency response plans should include:

  • A way of making an immediate announcement of an emergency to employees (e.g., PA system, phones, text, etc.)
  • Response procedures including emergency escape routes and safe shelter-in-place designated areas (post these routes/locations at common points in the building)
  • Identification of a safety officer and/or employees who may remain to perform critical operations before they evacuate/shelter-in-place (depending on the severity of the emergency) and what those operations are
  • Accounting for all employees after evacuating or emergency has concluded
  • Rescue and medical duties for employees
  • Names or job titles of persons who should be notified of the situation

The beginning of a new year is a great time to remind your employees of your emergency action plans and practice them for a variety of situations. Some resources available to assist in developing plans include:

Special thanks to Lorrie Diaz, MS, for contributing to this HR Question of the Week! 

It’s not negative thinking to plan for a devastating event that could harm employees or impact your company’s ability to function – in fact, it’s a good business practice. Bad things happen, but it’s how we prepare for and recover from a disastrous event that often leads to success or failure. Visit our Health, Safety & Security page to learn more about how we can help you with your emergency preparedness needs.

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Bonus Grants: A Creative Way to Retain and Reward Key Employees

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HR Question:

I’ve been asked to look into how we can use bonus grants as part of our retention strategy. Can you help?

HR Answer:

Changes in the economy – as well as clashing generations in the workforce – have altered the employment landscape. Gone are the days of someone retiring after 40 years with the same company. Job hopping has become the norm, and in the war for talent, top performers are regularly being courted by the competition.

Organizations need to implement new and creative ways to keep their key employees – and keep them happy. While salaries are generally staying level, more employers are focusing on bonuses as a way of rewarding employees. But traditional bonus programs may not be good enough anymore. Enter: The bonus grant.

Bonus grants are different than conventional bonuses in that they are a commitment that the company makes to key employees. Instead of earning raises and/or bonuses that are paid out annually, key employees accrue larger bonuses over a longer period of time. The company also has the option of tailoring the program to the individual employee to provide the most appropriate benefit.

While there are many advantages associated with implementing a bonus grant program, the following are the three most significant:

Retention

Most bonus programs are paid in the year they are earned. While this may immediately inspire feelings of gratitude and loyalty, the effect quickly wears off. With bonus grants, key employees are credited a certain bonus amount each year, but they are not fully vested until a specific date determined by the employer (usually 5-10 years). This is a terrific way to help ensure retention because if an employee leaves the company, they are walking away from the bonus account that was set up for them.

Flexibility

Unlike salary raises that commit employers to funds that they may not be able to spare in the future, bonus grants provide companies the flexibility to determine how much – if any – money is given to a specific employee based on their individual performance, as well as the company’s performance that year. Employers can set a different percentage or flat rate for each employee in the program, and these numbers can vary from year to year at the employer’s discretion.

Simplicity

There are different types of retention tools and tactics in the marketplace, but most are complicated and difficult to understand – for both employers and employees. A bonus grant program can be very straightforward. By keeping it simple, key employees will easily understand the value of the benefit being offered, and the company leadership will understand what they are committing to.

Is a bonus grant program right for your company?

Here are some questions to ask when deciding whether a bonus plan is right for your company:

  • Are you having issues recruiting and retaining key employees, or competing with larger companies for employees at the executive level?
  • Do you wish to provide specialized forms of compensation to key executives or employees in lieu of making them partners or part owners in the business?
  • Is your ability to offer a more robust benefits package to high-performing employees hindered by your business’ lack of free cash flow?

If you answered “yes” to any of these questions, a bonus grant program is worth exploring.

Thank you to our CSH colleagues, Bill Edwards and Lance Drummond, for contributing to this HR Question of the Week.

There is some strategic planning involved in setting up a bonus grant program, but our skilled colleagues at Clark Schaefer Hackett can help your organization set up and administer one. If you’re looking for a creative way to hold onto your best employees, a bonus grant program may be something that sets your company apart from the competition. For more information, please contact us.

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How can internships address your talent shortage?

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HR Question:

We’re having a hard time meeting our business goals as we’re understaffed and finding it difficult to fill our open positions. The idea of using interns came up in a brainstorming session. Should my company consider creating an internship program to address our talent shortage?

HR Answer:

You are not alone as many companies are currently struggling to find the talent that they need. It is smart to be thinking about various ways to address your talent gaps, and internships can be a great way to help lighten your current workloads while providing helpful work experience to college students. They also give you the chance to groom potential future employees.

How a lack of internships has impacted college students, aka your future employees

In 2020, the number of internships that were completely removed or scaled back was significant. It’s understandable that internships, which by design are temporary and transitional in nature, were affected by the pandemic. However, it’s important to recognize the impact of the reduction of available internships on college students, aka your future employees.

First, college students depend on internships to solidify their field of choice and receive relevant work experience.  With fewer internships, many students are graduating unsure and unprepared.  According to Forbes, “About three out of four students said losing their internship has caused significant disruption to their future.”

Secondly, 2020 and 2021 college graduates who couldn’t complete internships are finding it difficult to secure full-time positions in their fields. Their resumes are lacking the robust one or two internships experiences that employers, like you, are typically looking for.

When companies are recruiting to fill full-time positions, they often look for candidates who can bring some relevant experience. Previous experience, particularly through internships and co-ops for new college grads, can provide relevant work experience to help them hit the ground running in a full-time post-graduation role. It’s difficult to get experience if internships are not offered. Hence, the argument for the value of internships for both the students and employers.

 

How internships can address labor shortages, fill your talent pipeline, and create brand awareness

As you’ve likely experienced, the hiring landscape is challenging for many positions. With labor shortages created by fewer available workers than open jobs (.7 person for every open job according to BLS), coupled with the Great Resignation, employers are struggling to fill many of their open positions. As the Society for Human Resource Management (SHRM) reported, internships have “proved advantageous for companies that need some extra help but can’t afford to take on new staff or hire a temp.” We encourage you to look at how you can leverage internships to get meaningful work done that helps you to meet your business goals.

In addition to addressing immediate needs, training college students for your future employment is a forward-thinking recruiting strategy.  Hiring an intern is one of the best ways to “try before buying” your next employee. It also gives interns an insider’s perspective on what it’s like to work in your organization which can lead to increased new hire retention rates as they have a realistic view of what it’s like to work at your company.

Offering a meaningful internship program also shines a positive light and message to the community.  It helps to increase brand awareness among upcoming college grads, which is particularly important for small to mid-sized companies who may not be household names, yet excellent places to work.

 

How to create an internship program

If you don’t already have an internship program in place or a former one that you can dust off, it can feel overwhelming to get started. There are many resources available to help create or revise an internship program such as these employer internship resources. You may also want to review the 15 best practices for internship programs according to the National Association of Colleges and Employers (NACE). In general, it is important to provide a meaningful experience where the intern is introduced and welcomed into your company culture,  gains valuable work experience, and helps your organization to meet your goals.

One of the benefits of having experienced a year or more of learning online, today’s college students are highly adept at working remotely. Typical summer internships can now be offered year-round, remote, or hybrid.  As Forbes points out, “A virtual internship today might be pretty good preparation for the remote work of tomorrow.”  In addition, students can continue remote learning and have an internship concurrently, if needed. It can be a win-win for the student and your company.

Offering paid internships will not only make the positions easier to fill, but depending on the school(s) they attend and/or local, state, or federal laws, you may be required to provide compensation. Be sure to understand the law(s) around paid versus unpaid internships in determining compensation.

Bottom line, now is a great time to consider offering an internship program.  There are many benefits for college students and for you, their future employer.

Special thanks to Cindy Eldred, Talent Acquisition Consultant, for contributing to this HR Question of the Week.

Are you wondering whether an internship program could help to meet your talent needs? Would you like to start an internship program but just don’t have the time to do it? Our talent acquisition experts are happy to help! Contact us today.

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What is an Employee Dashboard? Why is it Important?

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HR Question:

What is an Employee Dashboard, why is it important, and what should be included in its design?

HR Answer:

When it comes to keeping employees involved in the dynamics of a company and their own status as team members, the Employee Dashboard plays a vital role. Employee Dashboards are centralized electronic checkpoints where each employee can start their day.  Employee Dashboards, also known as Employee Self-Service (or ESS) portals, typically provide the following features:

  • Updates on company news and developments
  • Links for employees to perform tasks such as personal data changes, benefits enrollment changes, and performance evaluations
  • A way for employees to share ideas and feedback
  • A place to provide recognition for the achievement of individual employee milestones, team accomplishments, and company feats

Many HR professionals use electronic dashboards for tasks such as employee information filing, tracking, and reporting.  However, it is important to think about Employee Dashboards from the employees’ perspective as a resource that helps them each day.

Employee Dashboards can be a powerful resource for workforce communication. Before smartphones and self-service apps became commonplace, employees relied upon low-tech ways to get updates on important information about their jobs, their employment, and their organizations. Companies posted important information in break rooms or beside the time-card clock, or they announced timely updates in daily or weekly huddles or sync-ups.

However, consider all the changes that have been driven by broad and powerful business forces – the COVID pandemic, labor shortages, and supply shortages to name a few. Many employees now work remotely, either full-time or part-time, so using onsite bulletin boards or huddles may not provide employees with the ongoing supply of information needed to keep them engaged.

Why is an Employee Dashboard an Important Resource?

First, think about an Employee Dashboard as a funnel for an employee’s attention.  Today, many employees are not on-site to hear in-person messages.  And even if they are, how well does information get communicated? Is email an effective way to keep information in front of every employee? Unfortunately, it may work for some but not all. According to the Society for Human Resource Management (SHRM), “Self-service tools applied in the right scenarios are paying dividends for HR functions, industry vendors and employees who use the applications.” A place to “check in” every day to see what is going on is a great option for communicating important information. Hence, the Employee Dashboard.

What Should Be Included on an Employee Dashboard?

If you want to have an actively used Employee Dashboard, include the following:

  • Reminders – holidays, deadlines (i.e., deadlines for benefits enrollment, employee surveys, etc.)
  • News updates – quarterly sales or production results, customer testimonials, and organizational changes
  • Recognition – broadly: company or team accomplishments and individually: personal milestones
  • Payroll information – links to the Payroll site for pay stubs, W2’s, personal data changes, etc.
  • Benefits information – links to websites for health insurance carriers, 401k/retirement plan recordkeepers, and other benefits providers
  • Wellness resources – links to sites to provide employee assistance for wellness and perhaps financial, legal, and social and emotional well-being

Employee Dashboard Caveats

To be most effective, the following “design considerations” must be reviewed when building an Employee Dashboard:

  • Security. Employee Dashboards must incorporate security features first and foremost. A careful review to ensure safeguards on electronically stored information and prevention of loss of sensitive personal information must be completed. Thoughtful consideration of identity theft risks and other cyber-crimes is paramount.
  • Ease of access. How easy is it for employees, especially new employees, to log in to this site? Does the Employee Dashboard platform or system allow access by smartphones and home PCs? Make sure that the instructions and, just as important, the “help desk” resources are readily available to assist.
  • Ease of use. Is the Employee Dashboard well organized? When employees arrive on the Home Page, how easy is it to navigate? Are important/critical messages easy to see?  Are links to the most-used data sites easily spotted?
  • Timeliness and Relevance. Is the information current? Information MUST be current and relevant to keep employees engaged. Who will update the dashboard? How will messages be prioritized and sequenced?

Finding an Employee Dashboard System

If your company is using a third-party payroll provider, chances are that they have an Employee Self-Service portal built into their platform, including a pre-designed Employee Dashboard feature.  It may require that you add access to this module to your current services, but sometimes this can be done at little or no additional cost, depending upon the richness of the services that you wish to offer.

Thank you to Terry Wilson, SPHR, SHRM-SCP, Senior HR Consultant, for contributing to this edition of our HR Question of the Week! 

Communication often seems like a “no-brainer.” HOW you communicate is often as important as WHAT you communicate when it comes to getting results! Strategic HR has years of experience preparing communications for a variety of audiences and topics. Visit our Communications page to learn how we can assist you with various communication-based projects.

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What to do if the IRS notifies you of Affordable Care Act (ACA) penalty fees

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HR Question:

How do I know if my company needs to submit Affordable Care Act (ACA) reporting to the IRS? What are the potential ACA penalty fees if we do it wrong?

HR Answer:

Any employer with self-insured medical benefits or with 50 total Full-Time and Full-Time Equivalent employees is required to report to the IRS. (Not sure if you have 50 Full-Time Equivalent employees? Here’s a guide to do the math.) Failure to report to the IRS could result in two different types of penalty notices, Section 4980H(a) and Section 4980H(b) penalties.

Employers have reported receiving two types of penalty notices

The first type of penalty notice assesses penalty fees for employers who filed in an audited year, but based on the information provided, the IRS does not believe that the employer offered the minimum essential coverage with minimum value to all full-time employees. This could mean that the smallest benefit plan offered to employees was too expensive when compared to their pay. If employers fail to meet this threshold of minimum essential coverage, they could be assessed penalty fees.

The second type of penalty notice that employers have received is a notification that they should have filed as an Applicable Large Employer (ALE), based on their W2s of that year. This means that the company reached the threshold of 50 (or the equivalent of) full-time employees, which triggers a new level of required filings and regulations. This most likely means they should have filed specific forms (the 1094-C and 1095-C), and if they failed to do so, they are being assessed large penalties.

So, what can employers do to potentially reduce the assessed penalties and stop further ACA penalty fees from piling up?

Respond Immediately to ACA Penalty Fees Notifications

The first step – respond without delay! As soon as any notices are received, immediately reach out to the operations manager listed on the notice to let them know that you are actively researching the issue. It is imperative that you do not set this concern to the side. There is nothing more important to take care of in that given moment in terms of cost to your company.

The reason for the urgency in your response time is because the fees will increase exponentially the longer you wait, and they can increase day by day, incurring an astronomical fee. Some employers have seen fees up to $20,000 for missing one form for three years. These fees are typically estimated in the penalty letters, which can be alarming for small employers.

Gather Your Team & Take Action

The second step is to connect with your tax department, tax attorney, and your HR team to begin to gather the information necessary to file any 1094-C and 1095-C forms. If you do believe you should have filed and did not, ask for an extension as soon as possible. This will reduce the ongoing daily penalties. If you don’t respond and ask for an extension, it’s possible that a levy may be filed against your organization after thirty days.

If you did not have an HRIS provider filing for you at the time, it can be convoluted to pull the information necessary. These forms often require enrollment data, benefit waivers, and historical work hours, which is why it’s best to include your HR department while tackling this process.

It’s worth noting that if your organization crossed over the fifty-employee threshold mid-year and filed appropriately in the years following, we would encourage you to work with your tax department or attorney to determine if you qualify for transition relief. It is possible to reduce fees if you qualify and file for the missed year.

As organizations continue to implement and interpret the Affordable Care Act, there may be bumps in the road. Be sure to partner with your HR department and attorney to ensure your organization is following guidelines, filing appropriately, and quickly addressing any notices from the IRS.

Special thanks to Mary Mitchell, Sr. HR Business Advisor and Certified Healthcare Reform Specialist, for sharing her ACA expertise and contributing to this HR Question of the Week.

Keeping up with ever-changing ACA regulations can feel like an insurmountable task when you have so many other things on your HR plate. If you are unsure if your company should be reporting for ACA, Strategic HR can help to assess your employee calculations to determine if it is needed. We can also help you to stay on top of regulations relevant to your company, assist with your recordkeeping, and advise you on when to seek legal counsel. Learn more about our HR Compliance & Recordkeeping Services or contact us today!

 

This article does not, and is not intended to, constitute legal advice. Information and content presented herein is for general informational purposes only and readers are strongly encouraged to contact their attorney to obtain advice with respect to any legal matter. Only your individual attorney can provide assurances that the information contained herein is applicable or appropriate to your particular situation or legal jurisdiction.

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What Role Should HR Play in Benefits Open Enrollment to Ensure Success?

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HR Question:

I recently took on the responsibility of overseeing our company’s benefits. Can you offer advice on the role HR should play in benefits open enrollment to ensure its success?

HR Answer:

As many employers, like yourself, are in the midst of planning for benefits open enrollment, it takes me back to the early days in my HR career. During one of my first HR positions, I assumed that my employee benefits broker could effortlessly pull off a stellar enrollment while I worked on other HR priorities. That’s when I learned – the hard way – that a broker cannot work autonomously to assemble and communicate your benefits program.

There’s no doubt that employee benefits brokers play a vital role in any benefits enrollment process. They know what benefits programs are available, which vendors can provide them, and how benefits are priced. An experienced employee benefits broker will also take the time to understand your organization and develop a customized employee benefits plan to meet your workforce’s needs. However, they cannot operate effectively without an HR professional taking a leadership role in the process. Having learned this lesson firsthand, I can share the following suggestions on the role HR should play in making your benefits open enrollment successful.

Identify benefits that give your company a competitive advantage.

Can a well-stocked benefits plan make your company the lead horse in the race for talent or help improve your retention? You bet! In their August 2021 survey, PwC revealed that employers underestimate the value of benefits in retaining employees despite the fact that benefits were identified as the number two reason employees were looking for new jobs. Employers who present both employees and candidates with a mix of competitive pay AND an enticing selection of health, retirement, and financial benefits can put themselves on the “employer of choice” A-list.

Plan for benefits that fit with workplace changes.

You may have more employees who now work remotely, either full-time or for some days of the week. Their family members are likely also dealing with workplace, school, or daycare changes. Consider benefits plan enhancements that address their needs, such as supplemental child care or elder care support. In addition, a recent SHRM article shared insight from Doug Ramsthel, executive vice president and partner at Burnham Benefits, explaining that employers “are likely to see an increase in spouse enrollment, as labor statistics indicate more spouses have elected to stay at home instead of work and will need coverage now, through the working spouse.”

Additional considerations for your benefits plan design include:

  • Many employees may have a greater awareness of the need for both short-term and long-term disability benefits and mental health support.
  • The use of telemedicine has increased significantly as a result of the pandemic. More employees are now comfortable with receiving virtual care.
  • Some employees may want help with financial concerns, like how to best preserve their retirement benefits while balancing financial cash flow needs.

If you’re not sure of what benefits your employees would value most – ask them! Taking the pulse of your employees’ preferences will help you to identify the benefits that they value the most, and perhaps shine a light on benefits that may no longer hold the value they once did.

Leverage the most effective ways to communicate with employees.

You know how to best deliver important messages to your employee audience. Differences in employee ages and life stages, locations (office, manufacturing facility, remote, etc.), and comfort levels with technology have likely driven different communications approaches. Handing out a benefits enrollment form and brochure or mailing it to employees’ homes may be useful for some, but it is only the start of the communications process. HR can play a critical role in making your benefits open enrollment successful by using additional communication tools that speak to broader communication preferences including:

  • Text messages. Although email is universally used, could text messaging be a helpful tool for your employees? You know that many of your employees, regardless of age, use texting as a way to get updates. It can also be a great communication tool for employees who work on the road or don’t have consistent access to a computer in their work day. You can use texts to provide prompters, deadlines, or answer questions. You can also use texts to remind employees about underutilized benefits to drive participation.
  • Website / Mobile App. Consider providing employees with enrollment information through an online benefits website or mobile app that can be accessed 24/7. This site can be updated throughout the enrollment period with FAQ’s, details of new benefit offerings, and deadline reminders. Contact information may include a chat feature or texting options for questions. You can also add events to make the enrollment process both fun and enlightening, such as quizzes, benefit enrollment scavenger hunts, polls, videos, and infographics.
  • Webinars and virtual meetings. Video-based webinars, town hall meetings, and “ask me anything” sessions with members of the benefits team or broker can be effective approaches. Employees may have varying shifts or conflicting schedules, or they may want a family member or significant other to attend a meeting, so you may want to host multiple sessions over different time zones to maximize the number of participants who can participate in a live session. These webinars should also be recorded, posted on the company employee site, and include the opportunity to email or text in questions for employees who cannot attend a live event.

Take it from me. Your active participation in the benefits enrollment planning and communication process is a vital part for success!

 

Thank you to Strategic HR’s Terry Wilson, SPHR, SHRM-SCP, Senior HR Consultant, for contributing to this HR Question of the Week.

Do you need help in determining the benefits that best fit your organization? Or could you use help in developing Total Compensation Statements? Learn more about our Benefits and Compensation Services or contact us today. 

 

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How Can Managers Assess Their Impact on Retention?

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HR Question:

I’ve heard the saying – “people don’t leave companies, they leave managers.” I recognize my managers can play a key role in the success of my organization, but how do we assess our manager’s impact on retention in our organization?

HR Answer:

As employers continue to wrestle with the challenges of attracting and hiring staff amid low unemployment numbers and continued COVID concerns, many organizations may feel the pressure to re-invigorate and re-evaluate their engagement and retention strategies in order to keep the talent they have on staff. To do so, companies are looking inward to assess their managers first and foremost.

In her article, 20 Employee Engagement Ideas That Work, Kiely Kuligowski explains that “today’s employees are no longer interested in just showing up, performing their tasks and going home – they want to be invested in and enthusiastic about their work, and to feel connected to and valued by their company.” Unfortunately, further research from Gallup has shown that only 36% of employees feel that sense of “engagement” at work. And to take it a step further, managers can account for up to 70% of the variance in employee engagement and can adversely or positively impact employees’ commitment to their work and the company.

You’re right…we do often hear the saying, “people don’t leave companies, they leave managers.” So, in this period of heightened focus on retention, how can companies empower their individual managers to boost employee engagement?

One simple action is to consider incorporating an Engagement Self-Assessment and Action Planning worksheet. By guiding managers through a self-assessment of high-impact engagement drivers, managers have the opportunity to reflect on their contributions to the retention of their employees, while sharing additional ideas and strategies that they may not have incorporated in their management style in the past.

Want a copy of our Manager’s Engagement Self-Assessment Worksheet?

Download it here!

Managers can consider incorporating these high-impact engagement drivers into their management approaches in order to further improve their team’s retention.

Clarify performance expectations

By identifying key performance expectations for individuals, team members can feel confident in knowing how their performance will be assessed. Further, by communicating and reaching an agreement on expectations, employees will feel empowered that they have a say in how their role is measured.

Provide fair and accurate informal feedback

Ongoing feedback, particularly in an informal setting, can help correct and reinforce the behaviors managers need from their employees, without the stress and pressure of a formal review. Keeping it fair and in line with the agreed-upon performance expectations can help remove feelings of discontent or inequity across team members.

Emphasize employee strengths in discussions and performance reviews

For many employees, hearing their individual strengths recognized and emphasized in conversation can be an uplifting and encouraging moment. By consciously identifying and communicating those strengths, it can improve morale while both correcting and reinforcing behavior.

Leverage employee “fit” and motivation

Create an environment that motivates and finds the intersection between what the business needs and the employee’s strengths and interests.

Help build problem-solving capacity and provide solutions to day-to-day challenges

Challenge and coach employees to solve problems. By empowering employees to meet future challenges, managers can help to break down barriers that could prevent success.

Amplify the good and filter the bad

Emotions and tensions are running high. Managers can help to manage the employees’ perception of the company by focusing on what is going right and the positive aspects of the culture. That doesn’t mean ignoring the “bad,” however. Honestly communicate challenges and discuss possible solutions to lean into transparency for your employees.

Connect employees with the organization and its success

Provide context and help communicate how an employee’s work connects to the company goals, and how their hard work contributes to the success of the business.

Instill a performance culture

Hold employees accountable to meet performance expectations; follow up and address any performance issues quickly and fairly.

Connect employees with talented co-workers

Help employees get exposure to other talented employees and build internal networks that help them to learn new skills and perspectives, complete projects, stay informed, and develop new ideas.

Demonstrate a “credible commitment” to employee development

Be sure to follow through on development plans intentions. Use stretch assignments to encourage growth and new skills in your team members – emphasize that growth and development occurs every day, not just through formal training.  Encourage participation in webinars and brown bag sessions.

For more support, download our Manager’s Engagement Self-Assessment Worksheet today!

Do you need more information or training on the strategies outlined in the engagement assessment? We’re happy to help! We can partner with you to bolster your Employee Relations efforts, developing an engagement and retention strategy to help you maintain your most important resource – your people.

The information provided on this website does not, and is not intended to, constitute legal advice; instead, all information, content, and materials available on this site are for general informational purposes only. Readers of this website should contact their attorney to obtain advice about their particular situation and relevant jurisdiction. This website contains links to other third-party websites. These links are only for the convenience of the reader, user or browser; Strategic HR does not recommend or endorse the contents of the third-party sites.

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Can I Ask if My Employees Are Vaccinated?

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Can we ask if our employees are vaccinated? Isn’t this a HIPAA violation or an illegal inquiry under the ADA or somehow confidential information?

Employers can ask for proof of vaccination unless there is a state or local law or order to the contrary.*

When an employer is requesting or reviewing medical information in its capacity as an employer, as it would be when asking about an employee’s vaccination status, it is considered to be an employment record. In such cases, HIPAA would not apply to the employer. The Americans with Disabilities Act (ADA) will govern the collection and storage of this information.

The Equal Employment Opportunity Commission (EEOC), which enforces the ADA, has stated that asking about vaccination is not a disability-related inquiry, though it could turn into one if you ask follow-up questions about why the employee is not vaccinated. Asking a yes or no question, or requesting to see the employee’s vaccination card, does not violate any federal laws or require proof that the inquiry is job-related.

Finally, just because employees think that something is or should be private or confidential doesn’t mean they can’t be required to share it with their employer. Social Security numbers, birth dates, and home addresses are all pieces of information an employee may not want to advertise, but sharing is necessary and required for work. Vaccination status is similar. However, all of this information, once gathered, should not be shared by the employer with third parties, except on a need-to-know basis.

*It appears that some governors may attempt to prevent certain entities from requiring “immunity passports” (e.g., proof of vaccination) through an executive order (EO), though as of July 31, none of the EOs already issued appear to apply to private businesses and their employees. Also note that if there is a law in place that prevents treating vaccinated and unvaccinated employees differently (like in Montana), you may be able to ask, but not take any action based on the response.

Should we keep a record of who is vaccinated or make copies of vaccination cards? If we do, how long should we keep that information?

If you’re asking about vaccination status, you’ll want to keep some kind of record (so you don’t have to ask multiple times), but how you do this is up to you, unless state or local law has imposed specific recordkeeping requirements. You may want to keep something simple like a spreadsheet with the employee’s name and a simple “yes” or “no” in the vaccination column. If you’d prefer to make a copy of their vaccination card, that should be kept with other employee medical information, separate from their personnel file. Per OSHA, these records should be kept for 30 years.

If we keep a record of who is vaccinated, can we share it with managers who will be required to enforce policies based on that information, such as masking and social distancing?

Yes. We recommend not sharing this information any more widely than necessary. While anonymized information is okay to share (e.g., “80% of our employees are vaccinated”), each employee’s vaccination status should be treated as confidential, even if the fact that they are wearing a mask to work seems to reveal their status publicly. Obviously, managers will need this information if they are expected to enforce vaccination-dependent policies, and employers should train them on how they should be enforcing the policies and how and when to escalate issues to HR or a higher level of management.

Special thanks to the HR Support Center for providing this edition of our HR Question of the Week. 

For further COVID-19-related resources, check out our COVID-19 Employer Resources page or contact us for direct assistance. 

This article does not, and is not intended to, constitute legal advice.  Information and content presented herein is for general informational purposes only and readers are strongly encouraged to contact their attorney to obtain advice with respect to any legal matter.  Only your individual attorney can provide assurances that the information contained herein is applicable or appropriate to your particular situation or legal jurisdiction.

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Why Employee Retention is More Important Now Than Ever

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We’ve all been hearing the same thing: we’re in the Post-Pandemic War for Talent. Some have called it the Turnover Tsunami or the Great Resignation. No matter what it’s called, the reality remains the same: businesses are in a talent crisis. The Bureau of Labor Statistics reported 9.2 million job openings in May 2021 – yet there are only 1.2 available workers per job opening, according to the US Chamber of Commerce’s Worker Availability Ratio. Add to that, roughly 48% of Americans are considering a role change, with 53% contemplating changing industries altogether. And roughly 50% of employees say the pandemic has led them to question their current career goals.

All of these numbers are startling. For many employers, their best resource for talent is the talent that’s already on the team, which makes employee retention more important now than ever. But what are employers actively doing to keep them? While managers may say, “fine, let them go,” the reality is it may be extremely difficult to replace them.

The good news is there are actions that can be taken to improve employee retention. It takes some effort, but in the current climate, businesses can’t afford not to.

A first step to winning the “war for talent” is to lose the intention to return to pre-pandemic business. The workforce has drastically changed since March 2020. Organizations that automatically return to what was “status quo” may find themselves receiving pushback from employees who have enjoyed some elements of COVID work life.

The pandemic forced many businesses into a remote work environment. As the duration of the pandemic continued, employees and leaders had mixed feelings about remote work. Some loved it, while others longed to be back in the office. Many felt the biggest casualties of remote work were communication, collaboration, and relationships. Despite claims of increased productivity thanks to fewer interruptions, the impromptu chats and meetings fell off, eliminating the opportunity to communicate casually, collaborate creatively, and build relationships. So, where do employers go from here?

The Great Debate: Office vs. Remote

Employers who never offered remote work may experience struggles and pushback with deciding what the post-pandemic workplace looks like. A recent Korn Ferry survey found that nearly half of workers would turn down work if it mandated an in-person office presence. For employers, it’s important to be intentional in this decision as it can have a direct impact on employee retention and your ability to attract new talent. Just because in-person was the work norm pre-pandemic, does not mean that it’s right for post-pandemic. With the mixed feelings of employees and leaders, employers might consider a hybrid work environment, with some remote time and some in-office time. Many are finding this can serve as a compromise and still be an effective business model. Talk to your employees. What worked, and what didn’t? Employees want to know that their preferences were considered instead of being handed a mandate. Where possible, offer tangible business reasons for the decision.

Strategies to Improve Employee Engagement

Whether employers choose to be in-person, remote, or a hybrid of the two, it’s critical to maintain an engaged workforce. This can be more challenging with a remote or hybrid work arrangement, but it’s no less important.

Engagement starts with strong lines of communication. The need for communication is often overlooked or not seen to be of value, but choosing to remain silent can be to the detriment of the organization. Some key pointers to keep in mind:

  • Share key goals and KPIs with the team, and update status on them regularly. Employers can guide employees’ focus by sharing goals and the progress toward meeting them. All too often, leaders create KPIs and then put them aside until performance review season. By keeping them top of mind and visible, the message is clear: their work is critical to the organizational goals.
  • Help employees see where they fit into meeting those goals and KPIs. Engagement is achieved when employees understand how what they do impacts the organization. Every employee needs to know how their role contributes to the success of the organization. The quality of their work, the timeliness in which it is completed, even their attitudes in doing the work are all critical components to success. The best way to ensure employees care about their work is to help them see how they fit in.
  • Don’t underestimate the value of morning huddles. A morning team huddle can be brief – no more than ten or fifteen minutes – but it sets the tone and expectations for the day. A huddle can celebrate accomplishments of the day before, provide updates on open issues, and establish the focus for the day. The time spent can minimize issues later. The key is to make the most of the time and adopt a structure to keep it concise.
  • Demonstrate transparency. Focus on what is going well and the positive aspects, but don’t gloss over challenges. Honestly communicate issues and concerns and be open to discussing possible solutions. One of the best ways to build engagement is to ask the opinion of those that directly impact the end result.

On an individual basis, set clearly communicated performance expectations, and revisit those often. Managers must provide ongoing feedback to correct and reinforce behaviors. An engaged culture encourages employees to be problem solvers and to take ownership for finding solutions. Use problems and challenges as learning opportunities to demonstrate the troubleshooting thought process to employees. This encourages an environment of constant ongoing learning.

What are your individual employee’s strengths, and how can those be leveraged? This can be a great opportunity to recognize an employee and advance the goals of the business while also impacting employee retention.

Renew Your Focus on Professional Development

Another key contributor to employee engagement is professional development. A recent Bamboo HR survey found that 78% of employers working remotely felt their professional development was negatively affected by COVID, averaging a loss of $9,800 in promotional income. During COVID, many businesses found themselves in survival mode, where professional development was well down in the list of priorities. As we emerge from the pandemic, it is essential that employers return the focus to employee development. If it has lapsed, take the opportunity to restart the conversation with employees – revisit previous career goals. Are these still relevant or do they need to be revised?

Don’t forget that the pandemic work environment may have provided some unique learning opportunities. Are there ways to capitalize on these? A returned focus on professional development shows employees that you are committed to them and their success, and it can contribute to increased employee retention as well.

As the business world looks beyond the pandemic and begins to address the challenges that are being presented, wise leaders will recognize this opportunity to re-evaluate the culture, identify lessons learned, make the most of the talent they already have.

 

Special thanks to Cathleen Snyder, SPHR, SHRM-SCP, for contributing to this edition of our Emerging Issues in HR!

Would you like to find out how engaged your employees are? Strategic HR can help. We will create a custom survey to mirror your work environment and goals for the business, administer the survey as a neutral third party, and summarize the findings with recommendations for improvement. You can learn more on our employee surveys page or contact us now.

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How Do I Manage a Disrespectful Employee?

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Strategies for Managing Change in Your Organization

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Change – it impacts us at work and in our personal lives. Sometimes it happens suddenly and swiftly where no pre-planning can occur. We find ourselves scrambling to process what’s happened, what it means, and how it will affect us. We are forced to pivot and determine what to do differently so “the change” becomes the “new normal.”  Sometimes change is planned for; individuals and organizations create change to improve something. Whether big or small, planned change is enacted because there is a belief that it will produce a positive outcome.  Unfortunately, all too often, individual reactions to change or the level of effort needed for change to be embraced is underestimated or overlooked altogether.  Managing change can be difficult!

What is Change Management?

According to the Society of Human Resource Management, change management is “the systematic approach and application of knowledge, tools, and resources to deal with change. It involves defining and adopting corporate strategies, structures, procedures, and technologies to handle changes in external conditions and the business environment.”

There are a variety of models for managing change that can be applied when facing a change initiative. Some models focus on an organizational response to change, while others focus on individuals and how people respond and react to change differently. No matter the model you chose to follow, consider these tools and recommendations to smooth anticipated bumps in the road.

Organizational Response to Change

When change occurs within an organization, it’s not unusual for there to be a decline in performance, morale, or overall productivity. Employees tend to enjoy and expect a certain level of status quo. When a major change is introduced, performance drops as individuals react to the change. Even in the best of circumstances, productivity levels aren’t typically perfect right out of the gate. There may be glitches, unforeseen challenges, and learning curves that must be overcome. It takes time for the organization to adapt to the change.

Adaptation Strategies

What can be done to help an organization ‘adapt’ faster?  Research shows that organizations can move from ‘adapting’ to ‘thriving’ quicker if the following occurs:

  • There is regular communication and understanding of the changes occurring and desired outcomes & benefits.
  • Managers are working closely with their teams and aiding throughout the change process.
  • There is a focus on employee training and development; individuals are provided with the tools, knowledge, and materials to operate in the new environment.
  • Individuals are given time to work through the emotional ‘roller-coaster’ that can be part of a major change.

Leadership’s Responsibility When Managing Change

According to a study conducted by the Center for Creative Leadership, they identified 9 critical leadership competencies of successful change efforts and change-capable leaders, later divided into “the 3 C’s of Change.”

  • Communicate: including the “why” behind the change, rather than focusing only on “what” is changing, creates stronger buy-in and urgency for the change.
  • Collaboration: leaders can increase their employees’ interest and investment in the change by including them in the decision-making process early on.
  • Commit: Change can be scary but waffling back and forth on change can intimidate and confuse employees even more. By remaining resilient and dedicating themselves to change, leaders found themselves more successful during the adaptation process.

Individual Response to Change

Charlie Baker, former Vice President at Honda R&D Americas, described how individuals experience change is similar to how people experience grieving.  Many are familiar with Elizabeth Kubler Ross’s stages of grief: denial, anger, bargaining, depression, and acceptance. For anyone who has gone through grief, most will tell you it’s not a linear process. The same concept applies to the change curve, which includes: denial, resistance, commitment, exploration, and commitment. For some, it may be a quick process; for others, they may linger in one stage longer than another. It’s also possible for some to travel backward through the curve if the change isn’t managed well.

Strategies to Move Toward Acceptance

What can be done to help move people to the acceptance stage of change? There are multiple activities to consider:

  • If employees are in the Denial phase, supervisors should be in information mode – providing as much information as possible about the change and communicate a clear business case for why change is occurring. Management needs to “own” the change themselves and reinforce the company’s (or their own) vision for the change.
  • In the Resistance phase, supervisors should be in empathy mode. To help their employees overcome resistance, supervisors need to be active listeners while allowing employees to express their feelings and thoughts and acknowledge/normalize them.
  • In the Exploration phase, supervisors should be in facilitation mode. Employees need to see some specific, concrete changes – particularly those that will affect them. This may include providing new organizational charts, new tools, new metrics, or setting short-term goals to allow employees to practice operating under the changed environment and seeing immediate results & benefits. It’s important for supervisors to provide support and clear direction so employees understand what is expected of them in the future. Training, as needed, is most applicable in this phase since employees are over denial and resistance and can concentrate on learning new things.
  • In the Commitment phase, employees have overcome most of the obstacles and supervisors should begin setting longer-term goals. Employees should continue to be provided with support and encouragement, but supervisors should continue to eliminate barriers and opportunities for learning. It’s important to promote and celebrate the successes that have been achieved, as well as identify and communicate any additional benefits that were not anticipated.

Throughout the change process, supervisors should be doing their best to actively support their employees in potentially difficult times. It’s also important to reinforce the “what’s in it for me” – the benefits of the change for the employees, as well as to the team and organization.

Effectively dealing with change is a critical skill area for all employees at all levels – whether you are an employee who needs to embrace change, a manager who needs to embrace and manage change, or a leader who must embrace, manage, and lead change! Having a better understanding of the challenges and using a variety of strategies to address them can greatly improve your success at managing change in your organization.

Special thanks to Terry Salo, Senior HR Consultant with Strategic HR for contributing to this edition of Emerging Issues in HR.

Now more than ever, managing change in your organization requires a coordinated, strategic approach. Strategic HR can help with your leadership and HR strategy through organizational changes – no matter how big or small. For more information, please visit our HR Strategy page, or simply contact us today!

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What is the Employee Retention Tax Credit (ERTC)?

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HR Question:

What is the Employee Retention Tax Credit (ERTC) and how can I take advantage of this program?

HR Answer:

As an incentive to employers of all sizes to keep employees on payroll, the Employee Retention Tax Credit (ERTC) was created to help employers navigate the unprecedented impact of COVID-19.  The ERTC is a refundable tax credit formed within the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), and further extended/expanded under the Consolidated Appropriations Act (CAA) and American Rescue Plan Act (ARPA).

Originally, to be eligible for the credit as of March 2020, an employer must actively carry on a trade or business during the calendar year 2020 and meet either of the following:

  1. Full/Partial Suspension Test: If an eligible employer experiences a calendar quarter in which trade or business is fully or partially suspended due to an order of government authority restricting commerce, travel or group meetings (this includes but is not limited to commercial, social and religious purposes) due to the COVID-19 pandemic.
  2. Gross Receipts Test: If an eligible employer experiences a significant decrease in gross receipts (AKA revenue) resulting in more than a 50% drop when compared to the same quarter in the previous year. (Until gross receipts exceed 80% of gross receipts in the prior quarter).

Originally, the credit was worth 50% of “qualified wages” – including health care benefits – up to $10,000 per eligible employee from March 13, 2020 – December 31, 2020. In other words, the maximum benefit for 2020 resulted in credit of up to $5,000 per employee.  Companies can STILL do this today.

CAA Changes

In December 2020, Congress revised the provision resulting in the Consolidated Appropriations Act (CAA), extending the credit for eligible employers that continue to pay wages during COVID-19 closures or recorded reduced revenue through June 30, 2021. The CCA also:

  • Increased the amount of the credit to 70% of qualified wages, beginning January 1, 2021, and raised the limit on per-employee qualified wages from $10,000 per year to $10,000 per quarter. In other words, you can obtain a credit as high as $7,000 per quarter per employee.
  • Expanded eligibility by reducing the requisite year-over-year gross receipt reduction from 50% to only 20%. And it raised the threshold for determining whether a business is a “large employer” — and therefore subject to a stricter standard when computing the qualified wage base — from 100 to 500 employees.
  • Provided that employers who receive PPP loans still qualify for the ERTC for qualified wages not paid with forgiven PPP funds. (This provides an incentive for PPP borrowers to maximize the nonpayroll costs for which they claim loan forgiveness.)

ARPA Changes

The American Rescue Plan Act (ARPA) was created to increase the speed of recovery to the economic and health struggles faced by COVID-19. The new law extended the ERTC through the end of 2021 and expands the pool of employers who can take advantage of the credit by including so-called “recovery startup businesses.” A recovery startup business generally is an employer that:

  • Began operating after February 15, 2020, and
  • Has average annual gross receipts of less than or equal to $1 million.

While these employers can claim the credit without suspended operations or reduced receipts, it’s limited to $50,000 total per quarter.

The ARPA also targets extra relief at “severely financially distressed employers,” meaning those with less than 10% of gross receipts for 2021 when compared to the same period in 2019. Such employers can count as qualified wages any wages paid to an employee during any calendar quarter — regardless of employer size. Otherwise, the ARPA continues to distinguish between large employers and small employers for purposes of determining qualified wages.

Note that the ARPA extends the statute of limitations for the IRS to evaluate ERC claims. The IRS will have five years, as opposed to the typical three years, from the date the original return for the calendar quarter for which the credit is computed is deemed filed.

Additional IRS Guidance

Prior to the passage of the ARPA, the IRS issued additional guidance on the ERTC that helps determine whether operations were partially suspended because of a COVID-19 related government order.

The IRS has previously stated that “more than a nominal portion” of operations had to be suspended, meaning:

  • Gross receipts from the suspended operations are 10% or more of total gross receipts,
  • Hours of service performed by employees in the suspended operations are 10% or more of total hours of service, or
  • Modifications to operations result in a reduction of 10% or more of the employer’s ability to provide goods or services.

How can my company claim the ERTC?

The ERTC is a payroll tax credit to be reported on Form 941 and may be up to a total of $33,000 per employee for 2020/2021 depending on facts. Any eligible employer can claim ERTC in either/both 2020 and 2021. Special care should be taken when calculating and claiming the credit, especially if the business also received a PPP loan, or other government funding since COVID-19, as IRS rules required an analysis to avoid any “double-dipping.”

Every business is unique and the amount of your ERTC will vary depending on the time period, number of employees, and other factors. To effectively position your business with the benefits of the ERTC, it is encouraged to partner with a tax consultant who knows your industry and the tax laws. To have a discussion about the potential of ERTC during calendar years 2020 and 2021, reach out to Clark Schaefer Hackett consultant Phil Hurak (pshurak@cshco.com) today.

Special thanks to Phil Hurak for writing this edition of our HR Question of the Week!

For additional information regarding the ERTC, please visit the CSH COVID Resource Center containing articles on ERTC, PPP, FFCRA, and other benefits potentially available to your business.

Strategic HR knows that keeping abreast of HR Compliance issues can be daunting, especially when the laws keep changing. We can help you stay compliant by fielding your questions and offering resources to help you identify and mitigate compliance issues. Visit our HR Compliance page to learn about our auditing services which can help you identify trouble spots in your HR function.

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How Can We Support Our LGBTQ+ Employees?

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HR Question:

As June is Pride Month, many organizations are taking this opportunity to demonstrate their commitment to the LGBTQ+ community. But is it enough? How can we support our LGBTQ+ employees?

HR Answer:

A year ago, the Supreme Court of the United States ruled that employers may not discriminate based on sexual orientation or gender identity in employment. The decision was a response to three separate cases, all of which were about employment discrimination based on “sex” under Title VII of the Civil Rights Act of 1964, which applies to all employers with 15 or more employees.

Prior to this ruling, there had been debate for decades about the definition of sex under Title VII. Originally, many believed that it meant only that men and women could not be treated differently, based solely on their biological sex. But over the years, the Supreme Court had broadened its interpretation to include certain characteristics or expectations related to sex. During that same time, several circuit courts of appeal ruled that sex did include sexual orientation and gender identity, while others ruled that it did not. The conflict between circuit courts is the primary reason that the Supreme Court decided to hear and rule on these three cases. Many states and localities protected sexual orientation and gender identity before the Supreme Court’s ruling as well.

For a year now we’ve had a definitive answer to this question, but then only for employees of organizations with 15 or more employees. And what those protections actually entail remains somewhat an open question. The Supreme Court’s decision in June 2022 said nothing of restroom use or healthcare benefits for transgender employees, for example.

For LGBTQ employees, discrimination and exclusion persist in the workplace. Pay disparities, harassment, and abusive language are common. It is still rare to find openly LGBTQ+ people in executive leadership positions. According to a Glassdoor study, 43% of LGTBQ employees feel that they are not fully out at work, and 47% believe that being out could hurt their career. In many workplaces, these employees are compelled to spend time, energy, and productivity presenting themselves as straight or cis. Hiding their identities is additional work.

Expectations continue to evolve, however. Almost half of employed Americans say they would not apply to work at a company that does not support its LGBTQ+ employees, and many feel that their own employer could be more supportive.

When LGTBQ+ employees are free to be fully themselves in the workplace, and have the support of their employer and colleagues, they’re better able to do their best work, contribute to their team’s and organization’s success, and thrive in their careers. But when they have to edit their identity in the workplace to avoid abuse, harassment, and adverse employment decisions, their time, energy, and productivity are wasted.

Additional Resources:

If you’re looking to educate yourself and your team during Pride Month (and beyond), consider the following links:

10 Ways to Support LGBTQ Rights During Pride Month.

Pride is More Than a Month: The Role of LGBTQ+ Allies in Business

Five Ways to Create a Culture of Belonging

Special thanks to the HR Support Center for providing this edition of our HR Question of the Week. 

Creating a welcoming and positive organizational culture is imperative to attracting and retaining the talent you need – not to mention critical to your bottom line. Strategic HR can support your culture strategy through employee surveys, identifying retention solutions, developing employee recognition programs, and more. Contact us today!

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How To Conduct A Workplace Harassment Investigation

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In 2020, the EEOC reported over 24,000 claims of harassment and over 11,000 claims of sexual harassment. Harassment in the workplace impacts more than just the individuals in the situation – these conflicts (and how leadership responds) can negatively impact both the culture and the reputation of the company. You must be prepared to quickly respond to harassment claims in order to protect both your employees and the company as a whole. In order to do so, you must have well-known reporting policies and easily implemented workplace harassment investigation procedures.

The first element to consider is to ensure policies and procedures are in place, clearly communicated to employees, and are consistently applied across your organization. When a situation escalates out of an employee’s control, it’s key for them to know how to react, how to report, and who to call.

It can be challenging to uncover the details, key players, and facts in a workplace harassment investigation.  It requires an experienced and savvy interviewer to avoid risk and to provide fair and just outcomes. So what steps are important when conducting internal investigations?

Separate the Employees

When HR receives a complaint of harassment, the parties involved should be immediately separated from further contact. This may cause work disruption; however, it’s prudent to prevent any further exposure to what may be harmful interaction. Additionally, it’s important to emphasize that retaliation will not be tolerated under any circumstances.

Conduct Thorough Interviews to Understand the Facts

Conducing the workplace harassment interviews may be the most difficult part of the investigation puzzle. It takes strategic planning and a conscious effort to conduct the investigation without leading the participants in any way.  Interviewers should start with basic facts such as details of the incident, when it took place, where it took place, how often the interaction occurred, with whom, how the incident made the employee feel, and the names of witnesses or any evidence such as texts, emails, photos, etc.  If the complaining employee is willing to prepare a written statement, the statement can be used to compare interview notes and to ensure nothing was omitted and miscommunicated.

How to approach interviewing the complainant:

When interviewing the complainant, interviewers should explain that every effort will be made to protect the conversations and the individual’s privacy.  However, they must also be made aware that in order to properly conduct the investigation, the alleged harasser and other members of leadership may need to be informed.  Employees, at times, report an incident, but state that they “don’t want to get anyone in trouble” or “don’t want to get anyone fired.”  If you (the employer) are made aware of a potential situation of misconduct, the employee reporting the incident must be informed that you will investigate and take appropriate action in line with organizational policy, integrity, and federal and state laws.

The last part of the interviews should include the timeline for when you plan to conclude the investigation and share outcomes.  A best practice is to investigate and return results in no more than two weeks.  Rapid closure is the goal.

How to approach interviewing the accused harasser and witnesses:

When interviewing the alleged harasser, interviewers should provide necessary facts about the complaint and ask questions in an effort to provide the employee with an opportunity to share their perspective and/or to provide witnesses and evidence in their favor.  Keep in mind, witnesses are not always cooperative.  They may wish to stay uninvolved or attempt to protect a friend.  The interviewer must gently persuade witnesses, focusing on the importance of their role in the process.  Again, the interviewer must ask questions without leading or making any assumptions until all statements and evidence are heard and collected.  Impartiality must be maintained for the entire investigation process.

Review the Evidence

Once the investigation is complete, the interviewer should thoughtfully and completely review all notes, materials, and evidence to determine if any company policies have been violated or laws broken. This step can have wide-reaching implications – a flawed investigation can lead to poor morale and discourage employees from reporting future situations.  Therefore, the investigator’s role is imperative.

Prepare a Written Report and Concluding Actions

As the investigation wraps up, the investigator should prepare a written report, outlining the facts and violations (if any), used to determine if other action is warranted. If policy or legal violations did take place, management must decide on discipline or corrective action, keeping in mind that this action will set a precedent for future violations.

The final step in the process is to meet with the employee who reported their concerns.  The manager or investigator should inform the employee that action was taken to address the problem or that the investigation could not corroborate that company policy was violated.  It’s important to note if disciplinary action was taken, the company should not share details about the action with the accusing employee.

If there are concerns with privacy, neutrality, or experienced investigators, outside resources such as HR Consultants or law firms may be engaged to conduct the investigation.

Special thanks to Angela Dunaway, SPHR-SHRM-CP, for contributing to this edition of our Emerging Issues in HR. 

Need a neutral third party to conduct internal investigations? Strategic HR can help! Visit our Workplace Investigations page to learn more. 

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Do I Have to Pay Taxes On My Unemployment Benefits?

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HR Question:

It’s tax season, and I’m a little confused about how to handle the unemployment benefits I received in 2020 – do I have to pay Federal and State taxes on this income?

HR Answer:

Millions of people impacted by the COVID-19 pandemic were able to receive some relief through unemployment benefits. As the nation navigates our annual tax season (a little later than normal, as the tax deadline was delayed until May 17), many are surprised to learn that income is actually taxable!

When it comes to federal income taxes, unemployment benefits are taxed as if they were wages. The American Rescue Plan, signed into law on March 11, 2021, includes a provision that makes the first $10,200 of unemployment nontaxable for each taxpayer who made less than $150,000 in 2020. If you are married, and your spouse also received unemployment, both of you can exclude $10,200.

However, when it comes to state income taxes, it depends on where you live.  Some don’t tax them at all, while others are making exceptions for 2020 and 2021 as a result of the pandemic. To help taxpayers understand how unemployment benefits are taxed on a state-by-state basis, Kiplinger created a comprehensive guide. Let’s take a look at the guidance for Ohio, Kentucky, and Indiana:

Ohio

Ohio remains aligned with the federal government exemption guidelines for unemployment income in 2020, meaning the individuals are not required to pay taxes on unemployment benefits up to $10,200. The IRS is expected to issue a refund for anyone who filed prior to the American Rescue Plan being enacted. More details to come.

Kentucky

Kentucky will not provide an exemption for up to $10,200 of unemployment compensation received in 2020. Kiplinger provided further guidance by highlighting that “[any] unemployment compensation excluded on a Kentucky resident’s federal income tax return must be added back on his or her Kentucky individual income tax return on Schedule M, Line 5, as an ‘Other Addition.’”

Indiana

Indiana is not currently allowing for an exemption for unemployment compensation, which means that “an amount excluded for federal income tax purposes has to be added back when filing your Indiana income tax return.” As Kiplinger pointed out, this could change depending on what the Indiana General Assembly decides in the coming months.

But a key point to note here is that there may be a part of unemployment benefits that are deductible (as Indiana considers unemployment benefits taxable). “The deductible amount depends on your federal adjusted gross income, how much unemployment compensation you receive, and your filing status,” Kiplinger reports. In order to calculate the exact amount of your deductions, Kiplinger also recommends completing the “Unemployment Compensation Worksheet” in the Form IT-40 instruction booklet.

For additional guidance on how unemployment benefits are taxed in your state, contact your tax advisor or get in touch with your state’s Tax and Information Assistance contact.

 

Thank you to Strategic HR’s Terry Salo, Senior HR Consultant, for contributing to this HR Question of the Week.

Strategic HR knows that keeping abreast of HR Compliance issues can be daunting, especially when the laws keep changing. We can help you stay compliant by fielding your questions and offering resources to help you identify and mitigate compliance issues. Visit our HR Compliance and Recordkeeping page to learn about our auditing services which can help you identify trouble spots in your HR function.

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Are Employee Gift Cards Considered Taxable Benefits?

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An excited employee holding up a gift card.HR Question:

To thank my employees for their extra efforts, I have provided them with a $50 gift card.  Accounting is telling me I have to report the value of the gift cards as taxable benefits.  Is that true?

HR Answer:

Yes, it’s true! According to the IRS, cash, gift certificates, and gift cards are considered taxable fringe benefits and must be reported as wages. But you may be relieved to know that this rule doesn’t apply to all gifts or perks that you may give to employees.

The IRS tells us that we can exclude the value of a “de minimis” benefit from an employee’s wages.  For those unfamiliar with a “de minimis” benefit, the IRS defines it as “any property or service you provide to an employee that has so little value (taking into account how frequently you provide similar benefits to your employees) that accounting for it would be unreasonable or administratively impracticable.” Most employers tend to categorize de minimis gifts in the under $50 range, but for some, it can go upward of $100.

In comparison to cash or cash equivalents which are always considered taxable benefits, small gifts have much more flexibility when it comes to tax responsibilities according to the IRS. But how organizations denote “small” is still up for negotiation. When deciding on a gift or fringe benefit for an employee, consider the value and the frequency of the gift or benefit. For example, purchasing a book for an employee for their birthday would be excluded. Purchasing a book every month for an employee would not be excluded due to the frequency of the gift, regardless of the value of the book.

Additional Examples of Tax-Exempt Benefits

Other examples of de minimis benefits include such things as some meals, occasional parties, occasional tickets for events (not season tickets), holiday or birthday gifts (other than cash or cash equivalents). Essentially, occasional gifts that can’t be redeemed for cash value can be considered as these exempted benefits.

There is also an exemption for achievement awards, which come with additional rules of their own. Examples of these gifts include gifts for achievements such as safety milestones or length of service or anniversary milestones. Certain achievement awards can be excluded from the employee’s wages if the awards are tangible personal property and meet certain requirements. Notable exceptions from The Tax Cuts and Jobs Act prohibit certain property as an employee achievement award, including vacations, lodging, stocks, bonds, and securities. Limitations are further detailed in the Act, including $400 maximum for non-plan awards and up to $1600 if you have a documented, non-discriminatory program surrounding the awards.

Additional requirements exist for these achievement awards. For example, length-of-service awards can’t be received during the employee’s first five years of employment or more often than every five years. Also, safety awards can’t be given to more than 10 percent of eligible employees during the same year.

Employee awards are an important part of employee engagement.  It is important, however, to make sure you don’t turn that $100 thank you gift card into a much more expensive “gift” by assuring you are properly handling the taxes accompanying such a gift.

Strategic HR knows that keeping abreast of HR Compliance issues can be daunting, especially when the laws keep changing. We can help you stay compliant by fielding your questions and offering resources to help you identify and mitigate compliance issues. Visit our HR Compliance Services to learn more.

Preparing For a Potential Active Shooter Incident

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Active shooter incidents are an unfortunate reality facing us all. Active shooter situations are unpredictable and can evolve quickly. It is important to provide your employees with the information needed to help prevent and prepare for the unthinkable.

How to Prepare – create an Emergency Action Plan:

  • Clearly identify possible evacuation routes – have at least two.
  • Maintain up-to-date emergency contact information for all employees to provide to local authorities.
  • Practice your evacuation and response plan annually.

How to Respond – it is important that you act swiftly as an active shooter situation often evolves quickly:

  1. Run: Safely evacuate the area when possible to do so and call 911 when out of the line of fire. Help others evacuate when possible and stop anyone from entering the active shooter zone. It is important to keep your hands visible so that responders on the scene do not view you as a threat and follow all instructions given by the police responding.
  2. Hide: If you cannot evacuate safely, barricade yourself as best as possible and stay quiet. Lock the door or block an entrance with a heavy object. Remember to silence your phone, including vibration, and dim your screen if possible.
  3. Fight: Lastly, if you are unable to escape or hide, be prepared to fight and to act decisively. Improvise weapons from your surroundings and throw things at the shooter. For example, a fire extinguisher makes an excellent defense tool both in weight and to spray at the shooter. Work as a team to disable the shooter and remember that you are fighting for your life.

Call and Text 911 for Help – provide as many details as possible, including:

  • Location of the shooter.
  • Your current location.
  • Context of the situation.
  • Number of shooters.
  • Describe the shooter as accurately as possible.
  • Number and types of weapons.
  • Number of people in the locations.
  • Any actions taken.

How to Interact with Law Enforcement on Scene:

  • Remain calm, follow instructions and keep your hands visible at all times.
  • Put down anything in your hands; raise your hands and spread your fingers.
  • Avoid pointing, screaming, or yelling.
  • Do not stop an officer for help during evacuation.
  • Do not share anything on social media.

Law enforcement will be on the scene to stop the active shooter as quickly as possible. Any injured victims will not be helped until the shooter has been neutralized and the area is safe.

For a more customized approach, visit our Active Shooter Training to learn more about how Strategic HR’s team can create a plan for your organization.

In 2019, Strategic HR and MYCA Learning partnered together to support organizations in their search for essential training in accessible ways, resulting in the creation of our Active Shooter Preparation e-Learning Course. Geared toward preparing and protecting our communities should they face the unthinkable, this fifteen-minute course seeks to educate participants on how to be aware, how to assess their surroundings, and how to make a plan. 

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How to Handle Unemployment Fraud?

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HR Question:

Our company is getting unemployment notices for people that have never worked here, or in some cases, people who are still employed.  How should I handle this unemployment fraud?

HR Answer:

The increasing level of unemployment fraud has been a source of frustration for states, employers, and individual employees.  Various US congressional packages providing supplement unemployment relief have provided not only relief for the unemployed, but also an opportunity for criminals to seek ways to attempt to benefit. The US Department of Labor has reported “a surge in fraudulent unemployment claims filed by organized crime rings using stolen identities that were accessed or purchased from past data breaches.”

States that were already overwhelmed by the unexpectedly high levels of unemployment insurance (UI) claims are now having to pursue fraudulent claims to recover benefits that should not have been paid.  Employers’ unemployment rates may increase as a result, and employees find themselves dealing with identity theft concerns.

In this article, we’ll share information and resources that employers and employees can use to understand who are the most likely victims and what to do should they suspect or fall victim to unemployment fraud.

What Can Employers Do?

There are some measures that employers can take to address unemployment fraud. HR professionals should be on alert to scrutinize any notices that they receive from state unemployment administrators to ensure their accuracy. If fraud is suspected, be sure to follow your state’s reporting instructions. Note that some states require both the employee and employer to file reports.

In addition, it’s important to inform your employees about the prevalence of identity theft and unemployment fraud scams that are occurring across the United States. As a proactive measure, consider sharing the information below regarding what employees can do to understand if they might be at risk for unemployment fraud and what to do if they become a victim.

What Can Employees Do?

Employees who have had a fraudulent unemployment claim filed in their name are recommended to refer to the Unemployment Insurance Fraud Consumer Protection Guide from the U.S. Department of Justice’s National Unemployment Insurance Fraud Task Force. This guide explains:

  • Who might be more at risk of becoming a victim
  • Signs that you might have been a victim of a crime
  • Steps to take if you believe you’re an unemployment fraud victim
  • How to protect yourself from becoming a victim
  • Unemployment insurance fraud resources and links for each state

According to the UI Fraud Consumer Protection Guide, if a UI claim has been filed in your name that you did not file, you should:

  1. Report it to your state workforce agency immediately.
  2. If you’re currently working, notify your employer of the fraudulent claim as they may also need to file documentation.
  3. File a complaint using the National Center for Disaster Fraud form or by calling the Disaster Fraud Hotline at (866) 720-5721.

Additionally, employees are encouraged to go to annualcreditreport.com to ensure they have not been a victim of identity theft.  Employees may also want to place a free one-year freeze on their credit by contacting any one of the three nationwide credit reporting bureaus listed below.  When one bureau is notified, they must notify the other two.

Review Cybersecurity Practices

With the rise of unemployment fraud cases using information that was obtained from previous data breaches, it’s important that employers and employees implement good cybersecurity practices. This presents an opportune moment to review how your organization protects personally identifiable information (PII), such as name, address, birth date, social security number, etc. Do you encourage employees to create unique and strong passwords? Do you require two-factor authentication or alternate solutions to increase your cybersecurity? Whatever safety measures you have in place, we recommend that you continue to review them to ensure that you are covering all of the necessary areas and that your employees are following cybersecurity practices consistently.

Special thanks to Cathleen Snyder, SPHR, SHRM-SCP, and Melinda Canino for contributing to this edition of our HR Question of the Week.

Still have questions? Contact our HR experts! Give us a call at 513.697.9855 or email us at Info@strategicHRinc.com. 

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How to Re-Energize Your Team Through Training & Development

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HR Question:

I’m concerned that our employee morale and engagement are waning. How can we re-energize our team through training and development with a limited budget?

HR Answer:

We’ve seen it all around, and you’ve likely felt it yourself – COVID fatigue, Zoom fatigue, general fatigue. Let’s face it – we’re all tired in some way, and we could use a rejuvenation! Your employees are no different. Now is the time for HR professionals to grab their favorite caffeinated beverage and get back to dusting off the basics to re-invigorate employees through training, development, and engagement initiatives.

In its first several months, the pandemic required all organizations to go into crisis management mode quickly developing and implementing training to address the crisis at hand. Now that organizations have completed the critical just-in-time training of new COVID procedures and protocol, leaders can shift their focus back to key activities that may have fallen by the wayside – namely, training and development opportunities for the purpose of enrichment.

How Training and Development Can Help with Retention

Well-designed training and development activities can help employees:

  • Learn and grow in their current role to maximize their performance
  • Develop the skills necessary to prepare for the next level of their career
  • Stay engaged and invested in your company

It’s not surprising that LinkedIn’s recent Workplace Learning Report found 94% of employees say they would stay at a company longer if it invested in their learning and development. In order to attract and retain key talent – particularly during times like this when many are feeling tired and disengaged – savvy business leaders will continue to invest in their employees’ training and development. Reaching out and making sure that your employees know that your organization cares about and is committed to fostering their skills and career development can be a valuable retention tool.

Include Your Employees From the Start

If you haven’t already done so, we recommend that you conduct a Training Needs Analysis to identify what types of training would be beneficial for your organization as a whole, in addition to assessing development options for individual employees.

When considering new or unique training and development opportunities, you may find a greater return on investment by asking the employees who will participate in those programs to share their thoughts on what training is needed. Connecting with your team and considering their suggestions for training and development content, as well as their preferred ways to learn, can be a great way to ensure that the training will be on target for what employees want and need. Plus, it can re-engage them in their current positions and stimulate their career growth interests.

Refresh Your Training Messaging

In most cases, much of the training messaging employees have heard over the last several months has been focused on how to get their work accomplished amidst the pandemic – i.e., how to work effectively from home, how to protect yourself should you come into the office, etc. As a result, it’s possible that employees have become desensitized to the tone and messaging surrounding training information. It may feel like something they simply “have to do” rather than something they might actually want to do.

Take this opportunity to re-adjust employee expectations and priorities by shifting your training focus and communication. By placing emphasis on their own growth and development, your new training messaging can offer employees the opportunity to re-engage with your employer brand, help them re-align their goals in a COVID world, and refocus their attention on their own growth and development.

Low-Cost Training and Development Opportunities

A tight budget doesn’t have to be a barrier to ensuring that your employees get the training and development they need to grow and to feel valued. Once you understand the necessary training and development programs to offer, start your search for training resources by reviewing your internal talent. Is there an opportunity for one of your high-performing employees to train their peers on a certain task? Could you further develop an individual’s presentation and leadership skills by empowering them to train others? By tapping your own team members on the shoulder, you may discover opportunities to further both training and development without the need for external sources.

Another opportunity can be using an internal mentoring program. Mentoring is a cost-effective way to develop your workforce by pairing your more experienced employees with the newer, less experienced individuals. This can provide a meaningful learning experience for both regardless if they’re working remotely or on-site. The newer employee can learn job-related skills and strategies, while further immersing themselves in the company culture. The more experienced team member may benefit from the fresh knowledge from a recent graduate or a peer who brings experience from a different organization. Both employees have an opportunity to understand what the other’s goals and aspirations are, building stronger relationships within the team.

For additional low-cost training and development ideas, check out our previous article for suggestions that work well for both remote workers and those on-site.

Employee Rewards That Don’t Break the Bank

Particularly at a time when employee morale and engagement is down, it’s important to look for ways to help employees feel good about the work that they do and the valuable role that they play in your organization. If part of your employee engagement strategy is to offer meaningful training and development opportunities, consider linking those with rewards for those who either step up to provide training or mentoring as well as those who complete training or development milestones.

Obviously, your employee rewards can reach far beyond recognizing those who are involved with training and development. To continue to support and boost morale, explore ways to recognize your staff who go above and beyond. It’s amazing what a difference you can make in someone’s life by simply showing appreciation for their hard work and effort.

As with training, there are plenty of no-cost or low-cost reward options. For example, you could share shout-outs during virtual meetings or in company newsletters, award an extra hour or day of PTO, give gift cards to local businesses, restaurants, or delivery services – all of which can be awarded to shine a spotlight on the good that employees are doing in your organization. Even something as simple as a public “thank you” during team meetings can show an employee that their efforts are noticed, valued, and not merely expected. Better yet – ask your employees how they would like to be rewarded. You can set cost parameters on this if needed, but employees will appreciate the chance to choose rewards that are individualized for them.

Many employees could use a boost right now, and there are no better folks to lead the charge than HR. If you can help to re-energize your employees, not only will they feel better about themselves and the work they’re doing, but you will too.

 

Thank you to Jeff Rouse, MSOL and Melinda Canino, MS for contributing to this edition of our HR Question of the Week!

Is training your employees a goal for 2021? Get your Training and Development program off to the right start by asking Strategic HR to help. We have the expertise to conduct a Needs Assessment and/or to recommend training options for your staff. Visit our Training & Development page to learn how we can help you implement a successful training session.