For small to medium-sized businesses, it can be a challenge to implement effective HR policies and procedures when the focus is solely on building your business. Keeping a safe, fair, and comfortable work environment is crucial to retain your top employees and avoid lawsuits. Mistakes are made in the workplace though. RTR Consulting reviews the common human resources mistakes businesses make and what you can do to prevent them from happening.
Keeping up with Changes
Not keeping up with changes in employment law is a common mistake businesses make. As court decisions are made, examine your policies and make changes as needed. This year, there have been decisions that affect how overtime is calculated, de minimis work, and independent contractors. These rulings take place immediately and have a direct effect on your pay practices.
Classifications are a key factor in hiring employees. These classifications include: regular vs. temporary, full-time vs. part-time, and exempt vs. non-exempt. Positions must meet certain guidelines to be considered exempt positions. Exemption status also affects the ability to earn overtime if an employee works over 40 hours per week. These guidelines are governed by the Fair Labor Standards Act (FLSA).
It is also important to be upfront with employees about their classification, as candidates are usually seeking a specific type of work schedule that meets their needs. For instance, someone looking for part-time work may waste their time interviewing for a position that requires 40 hours of work per week. If they are unaware of the classification, then you waste both your time and theirs during your candidate search.
Not Providing Ample Training
Some employers throw employees into their roles and expect them to figure everything out by themselves. Sometimes, there is minor training, but it does not give the employee a fair chance in their new position. Ensure you have the proper team and resources in place to effectively train new hires. Their success depends on communication and a proper introduction to your company.
Forgetting About Performance Reviews
How can you measure success if you do not document your progress? The truth is: you can’t. It is difficult to base an employee’s success off memory and sometimes opinions get in the way. When employers make the mistake of ignoring performance reviews, then they do not give their employees a chance to flourish in their position. Performance reviews typically take place after an employee completes their probationary period. After that, conducting an annual review will help your employees understand theirs strengthens and where there is room for improvement. After all, your employees cannot fix what they don’t know is broken.
Do you need help avoiding the most common human resources mistakes to ensure your business is positioned for growth? RTR Consulting has more than 20 years devoted to developing effective and efficient Human Resources policies, procedures, and best practices for small to medium-sized businesses. Contact us today to learn more.