Tag: small business
New Laws for New Moms in the Workplace
by admin on Mar.14, 2011, under Health Care, HR, Human Resources
Is your small business reasonably accommodating the needs of its new and expectant mothers? You may have heard the horror story of a new mom who returned from maternity leave, only to have her employer criticize everything from the frequency she pumped her breast milk to the number of weeks she pumped. When the employer decreed the new mom had to stop pumping when her baby turned a year old, the new mom refused and was fired. How can you prevent this unfortunate—and avoidable—dilemma from happening in your workplace?
The answer may lie in the health care reform law. One revision to the Fair Labor Standards Act requires employers to provide unpaid, “reasonable break time” and a place, other than a restroom, that is “shielded from view and free from intrusion” to allow new moms to pump breast milk. This provision covers all workers subject to overtime-pay requirements and lasts up to one year after the baby is born. It also provides reasonable workplace policies beyond maternity leave to help new mothers balance career and family.
Remember, except for the 12 weeks of unpaid maternity leave mandated by federal law, many new mothers either can’t afford to take more time off or aren’t permitted to by their employers. Reasonably accommodating nursing mothers meets them in the middle by allowing them to work without giving up breastfeeding. Not to mention, mom-friendly HR policies are sure to increase employee morale and retention after maternity leave!
In Facebook Case, Fired Employee: 1, Former Employer: 0
by admin on Feb.16, 2011, under Employee Lawsuits
The recent settlement in the National Labor Relations Board’s wrongful termination complaint against American Medical Response of Connecticut heralds positive news for employee free speech on Facebook. The news is decidedly less positive for employers trying to enforce social-networking and computer-use policies.
In the complaint, the board alleged that American Medical Response violated federal labor law when it discharged a former ambulance service employee. The employee had posted negative comments about her supervisor on her own Facebook profile. The complaint alleged that American Medical Response’s employee handbook posed excessive rules regarding blogging, internet posting, and employee communications. The complaint also alleged the company had illegally withheld union representation from the employee.
As part of the settlement, the company agreed to several changes. First, it agreed to rewrite its social-networking and computer-use policies to remove the ban on employees discussing wages, hours, or working conditions with each other. Second, it agreed to grant future employee requests for union representation.
This case makes history as the board’s first complaint against an employer for firing a worker over critical Facebook comments.
Unemployment Taxes on the Rise
by admin on Feb.10, 2011, under Unemployment Benefits
Higher health insurance costs, new 1099 regulations, and now increased payroll taxes?
That’s the latest expectation from President Obama’s proposed budget, set for unveiling next week. The big news for small businesses: the budget is expected to replenish states’ dwindling unemployment funds by increasing payroll taxes. This will happen by raising the amount of unemployment-taxable wages to $15,000—more than double the $7,000 which has held steady since 1983. This plan, which would take effect with other new tax laws in 2014, stands to increase payroll taxes by over $100 billion over the next decade.
But is this plan merely borrowing from Peter to pay Paul, at a time when the Obama administration is trying to improve relations with business groups? Keep in mind, unemployment insurance is a joint federal-state program. State governments must pay the first 26 weeks of unemployment benefits and have had to borrow heavily from the feds to meet this requirement. To bridge last year’s gap, more than 40 states had to increase their unemployment-insurance payroll taxes. What will happen to the tax rates under the new plan is up to the individual states and is anyone’s guess. One thing is for certain—it appears rebuilding the unemployment fund will fall squarely on the backs of businesses.
The Dreaded “P” Word: The Benefits of Outsourcing Payroll
by jillcook on Oct.29, 2010, under Uncategorized
As a small business owner, how much do you enjoy thinking about payroll management? Let’s face it—getting payroll just right requires time and effort. Upcoming federal health care reform is about to create more payroll work while you’ll already be worried about W-2 distribution and year-end figures. That leaves less time to stay on top of other changing regulations and to make sure your numbers are accurate. Whether you think payroll isn’t so bad or whether you call it the dreaded P word, wouldn’t you rather concentrate on your already busy schedule and let GHRO take care of your payroll needs?
Here’s a look at the many ways your small business can benefit from outsourcing payroll management.
Cost Reduction
Does your small business pay a premium for an in-house payroll service? Perhaps you have one employee saddled with all your business’ payroll operations. However you manage your payroll, is that method the most efficient and cost-effective choice? If your business has fewer than 20 employees, outsourcing your payroll operations could likely save you money. Crunch the numbers for yourself. Calculate the wages dedicated to payroll-related activities and be sure to include time and money spent on paycheck printing, paycheck distribution, and tax document preparation. Compare your business’ numbers to the payroll service packages offered by GHRO. You might be surprised!
Accuracy
Payroll errors can wreak havoc on your books, anger your employees, or worse—cause you to receive a certified letter from the government. With over one hundred years of combined HR experience, GHRO’s experts will keep your payroll error free and will help your business avoid costly IRS penalties caused by late or incorrect filings.
Consistency
Government forms, regulations, and withholding rates are changing at a pace that makes it tough to keep up! Something as simple as using outdated tax tables can mean hefty penalties for your business. GHRO’s staff works to stay on top of the latest federal, state, and local requirements. You can feel confident the latest knowledge will always be at hand; it won’t rotate out with your business’ bookkeeper or payroll officer.
Cost reduction, accuracy, and consistency are just a few ways that outsourcing can improve your business’ payroll management. Most important, outsourcing with GHRO provides peace of mind that your payroll services are in good hands. If you’re ready to spend less time worrying about the dreaded P word, contact GHRO today.
Small Businesses Experience Growth
by jillcook on Oct.13, 2010, under Small Businesses
The economy is a constant topic of discussion and any growth is considered a good sign. Recently, statistics have shown a spike in small business employment.
Small Businesses See Growth in September
Intuit Inc., a Mountain View, California-based company, reported that small-business employment grew 0.14 percent in September which meant a 1.6 percent annual growth rate. 27,000 news jobs were created nationwide in September, which is great news for those looking for employment from a small company; opportunity is there and employees have room to grow with a small business.
Positive Economic Outlook
While small-business jobs increased at a slow, but steady pace, monthly pay for small-business employees did not see an increase in September; there was a decrease in average monthly pay by $4. Thankfully, losing $4 per paycheck is a minimal loss when compared to the pay lost by having hours cut back or losing a job altogether.
Opportunities Abound
Small-business are an ideal workplace for some job seekers. You have the advantage of working with a small, close knit team and the opportunity for promotion and added responsibility as the company expands. Employees are typically happier because of the potential for growth, friendly atmosphere, and lack of corporate red tape.
Even in an economy that is struggling to get back on its feet, small businesses provide a financial opportunity for job seekers. Employment is increasing at a steady pace and employees will have a chance to stretch themselves and see what’s they’re made of.
Employee Productivity: How Happy Employees Can Boost Business
by Donna Steffy on Oct.04, 2010, under benefits, Employee Lawsuits, employment, GHRO Workshops, HR, Mission Statement
Our society is becoming so inundated with tasks and work-related duties that unhappiness at the office is encroaching on employee health. We all know that having happy workers limits turn-over and the higher the job satisfaction, the more likely employees are to put forth their best effort. By creating a fun and home-like working atmosphere, you’ll make work fun, enjoyable, and ease stress at the same time!
Google was voted the number one company to work for in 2007. It’s no surprise considering life at the search engine giant is very relaxed and stress free; employee benefits abound. While some companies stress time lines and attire, Google emphasizes recreating the home experience at work. Employees can do laundry, work out at the gym, receive a massage and learn a new language. Feeling a little under the weather? Visit Google’s on-site doctor. Buying a hybrid? Google will give you $5,000 towards the purchase price. Expecting a child? They’ll reimburse you up to $500 in take-out food. If you ask any employee what they do at Google they’ll typically respond a personal embodiment of the company’s mission statement- “to organize the world’s information and make it universally accessible and useful.” This kind of motivation by employees is rarely seen, but envied by most.
Google’s goal, as often recited by employees, is ambitious (to say the least). Thankfully, Google just happened to find the right people to take it on. By creating a comfortable work environment, employees are not burdened with stress. Instead, employees are motivated to collectively achieve a similar goal; indexing information and making it useful. Google wouldn’t be the tech giant it is today without its bevy of happy employees. The appeal of a work environment that mimics their homes stimulates productivity and increases employee moral, making Google one of the most sought-after employers in the world.
Even if you don’t have the resources of a Silicon Valley titan, you can easily follow Google’s ideology, making your employees happy too. The first step may just be rethinking how you see your company. Simply making the mission statement more accessible and personal will help employees insert more of themselves in to their work and ease stress levels. Extend the home experience to work and rethink the office; would you want to live in it? If you wouldn’t mind spending an evening or weekend at the office because it’s hospitable and welcoming, you’re on the right track. Make the office a place your employees love to be, rather than the place they dread to go.
Employees need to come first in a company, as they are the heart and soul of your business. Creating a comfortable work environment that mimics a home eases stress, raises morale and increases productivity. Even simple changes can greatly affect employee health and happiness in a positive way, which will certainly lead to long-term growth for your business.
What a PEO Provides for Small Businesses in a Down Economy
by Donna Steffy on Sep.24, 2010, under Small Businesses
It is not Wall Street, the large multi-national corporations or even the vast banking institutions that are the driving force behind the American economy. Small businesses remain the dominating factor that figure into the continuing success of the U.S. Economy. Small businesses with less than 500 employees support more than half of the private sector American workforce. By hiring a Professional Employer Organization (PEO) to help stay profitable in turbulent financial times, small businesses are able to reduce their operating costs, raise the efficiency of their management and stay competitive in the marketplace, thus keeping them playing a successful role in U.S. economy.
Small businesses do the following:
- Employ over half of America’s private sector workforce.
- Are responsible for hiring at least 40 percent of workers in the technological fields such as science, engineering and computer programming.
- Include over 50 percent of home-based businesses.
- Make up nearly all of the firms dedicated to employment.
- Generate the majority of new inventions and innovative breakthroughs in science and technology.
Despite the fact that banks and other lending institutions are currently creating more barriers than providing assistance to small businesses relying on loans to establish credit lines for commercial mortgages, vehicles, equipment and leases; as well as the fact that government regulations are making it increasingly difficult and more expensive per employee to stay in compliance, it has never been more crucial for small businesses to survive in the down economy.
Your PEO to the Rescue
For the reasons above, Professional Employer Organizations are coming to the aid of small business and providing hope for the future to many small business owners.
Why use a PEO? To help small businesses survive in a down economy, a PEO will offer the following solutions:
- Establish an employer relationship by contractually assuming many employer risks by becoming the employer of record for government compliance, safety and worker’s compensation and employee/labor relations.
- Incorporate optional health benefits, 401k administration, general liability coverage, background checks, recruitment services and payroll services.
- Provide relief from the burden of HR management, employee benefits, employee leasing and HR audits.
- Improve employment practices, compliance and risk management in order to reduce a business’s liabilities.
- Allow access to a comprehensive administrative service, employee benefits and HR Consulting.
The High Cost of Employee Benefits: Why Small Businesses are Finding Solutions in HR Outsourcing
by Donna Steffy on Sep.17, 2010, under benefits
The astronomical cost of health insurance and related benefits is forcing small and mid-size businesses to cut back on full-time employees. However, in order for companies to continue meeting productivity goals, stay competitive in today’s marketplace and remain profitable, they are turning to Human Resources Outsourcing as a solution to offset the rising cost of employee benefits.
Due to soaring medical costs, it is now estimated that employee benefits make up approximately 30 percent of the total employee compensation dollar. As a result, the days of employers offering first dollar health coverage are long gone.
Presently it is more likely that employers will offer options such as employee contribution, co-pays, deductibles and co-insurance as part of their benefits packages. Yet during these troubled economic times the price tag of these measures is still too high for many small and mid-size companies.
When a company turns to human resources outsourcing as a solution and hires a Professional Employer Organization (PEO) to assume the responsibility of employee benefits, they are able to provide competitive benefits packages while saving a substantial amount of money. This is because many insurance carriers offer PEO reduced prices for employee benefits while offering a full range of healthcare plan options.
By offering comprehensive employee benefits packages, smaller companies are better able to attract, recruit and maintain more qualified employees.
PEO’s not only help small businesses with employee benefits but also assume many other HR responsibilities including:
- Employee/Labor Relations
- Employee Leasing
- Government Compliance
- HR Audits
- HR Consulting
- Safety and Worker’s Compensation
Many small and mid-size companies are finding that by outsourcing their recruitment, HR management and other services that a PEO provides they can expand their core business with greater success.
By leaving the HR management to experts who have years of experience in not only finding a skilled labor force, but also in training and maintaining them, small and mid-sized companies can focus on productivity and growth while cutting costs at the same time.
Saving Your Small Business: How a PEO Can Help
by Donna Steffy on Sep.05, 2010, under Small Businesses
Smaller companies affected by the present economic climate face more challenges than their larger counterparts. Studies have found that small business suffer more in a bad economy and show lower overall sales than the bigger and more widely recognized companies who rely on their brand name to get them through the tough times.
The fact that lenders have also tightened their purse strings where small businesses are concerned does nothing to help matters. So if it’s sink or swim, how does a small business stay afloat?
The answer to this question is to apply some sound business strategies that entrepreneurs have used during eras of great prosperity as well as throughout the leaner years.
Sound Business Strategies for Small Businesses:
Market like a pro
By taking advantage of mainstream media, which today includes popular communication platforms such as the Internet, mobile marketing and social media, small business can compete with larger brands.
Manage your time and money effectively
By hiring a Professional Employer Organization small businesses are able to cut cost as well as free up their time to focus on the productivity and expansion of their core business.
Keep a staff of well qualified employees
By utilizing a PEO to recruit and manage a sufficiently skilled work force small business can compete in today’s highly technical and quickly evolving marketplace.
Streamline
By reducing waste, multi-tasking and raising efficiency small businesses can step up productivity while slashing their overhead down to a fraction of previous operating costs.
Forecast
By researching trends and focusing on what the marketplace will be responding to in the near future companies can get in on the ground floor and stake their claim to innovative new products and services.
Deliver
By producing and delivering the best products and services possible a small business will build their brand as well as develop something there is still no substitute for; a reputation for excellence.
Turning things around for small businesses and making them more competitive in a difficult marketplace is what outsourcing HR services is all about. Hiring a PEO will provide a small business with the ability to implement the sound strategies that have been the cornerstones of success for many savvy entrepreneurs during both good and bad economic times.
PEO Services Include:
• Benefits Outsourcing
• Employee benefits
• Employee/Labor Relations
• Employee Leasing
• Government Compliance
• HR Audits
• HR Consulting
• HR Management
• HR Outsourcing
• Payroll Services
• Recruitment Services
• Safety and Worker’s Compensation
Saving a small business that is in trouble is not an easy endeavor. However, with the help of a team of experienced professionals most small businesses can find success even in an ailing economy.
Small Business Critical to Keep Middle Class Alive and Well
by Donna Steffy on Aug.16, 2010, under Small Businesses
Small businesses need to continue to grow in order to for the middle class to flourish and remain a stabilizing economic force. It is often said the middle class is the backbone of the American economy. This is certainly true when considering the combined contributions small businesses have made to their communities as well as to the nation’s economy as a whole.
Large corporations are considered too big to fail and the damage brought about by their demise is a topic widely debated. However, the impact of loosing a good portion of the small businesses responsible for significantly raising the standard of living and being one of the most effective driving forces of the affluence enjoyed throughout the 1980s and well into the 2000s is grossly underestimated.
Small business is vital to keep the opportunities open for hard working individuals with an entrepreneurial spirit to positively contribute to the economy.
It is not only important for banks to keep loaning money and ensuring that small businesses have the capitol they need to expand and help nourish the sickly economy back to health, but also for small business owners to take advantage of all the resources that are available to them.
These resources include human resources outsourcing to cut costs, stay competitive and have access to a more skilled and reliable work force.
Small businesses are critical to economic recovery. Over the past ten years small businesses were reportedly responsible for nearly 80 percent of the new jobs created annually. This is why it is so vital for them to not only be supported by our government, banks and other financial institutions, but it is also necessary for small business owners to utilize all of the tools in today’s tool shed, which includes human resources outsourcing as a valid cost cutting and time saving business solution.