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Challenges facing HR and Payroll Managers in 2014

24 Mar

Woman Working Using Flex HoursHuman Resources is an ever-changing industry, and HR professionals know they need to remaining constantly alert for new regulations and issues to arise. This year has already shaped up to be a challenging one for many HR departments across the U.S. From keeping key workers at the company to implementing effective payroll management, HR professionals and payroll managers are facing numerous challenges during 2014.

Here are the top three issues HR departments are coming up against this year:

Compliance with the ACA and Its Results
Much has been said about the Affordable Care Act (ACA) within the past few years-especially within the last couple months. This is because the ACA is not only going to impact how companies provide healthcare to employees, but there will be legal compliance standards that will occur as a result. These include employee litigation and audits from the U.S. Department of Labor and the Internal Revenue Service.

According to the ADP Research Institute, the ACA presents one of the most complex HR compliance challenges of all time. The lack of preparations on the part of employers has escalated the impact the ACA is having on the business community as a whole. For example, ADP wrote one-fifth to one-third of companies did not even have a clue how much of an effect the ACA’s health insurance exchanges would have on their businesses this past January. In addition, more ACA regulations are coming, and employers are just as unprepared for potential penalties and the Excise Tax Assessment as they have been for other aspects of the healthcare reform law. Even though the healthcare landscape continues to shift and evolve, HR and payroll professionals need to get on steady ground when it comes to understanding their compliance requirements and mitigating their own legal risks.

Retaining Top Talent
The recession remains in many people’s minds, but employees are beginning to feel more confident about their employment options. As the labor market shows signs of improvement, many employees who have waited on the sidelines for better career opportunities may decide to jump ship before the year is out. While this is a good sign for the job market, HR professionals are looking to lose some of their best performers this year if they don’t implement new employee engagement ideas.

According to a late 2013 poll by Right Management, 83 percent of 871 surveyed U.S. and Canadian employees said they will look for a new job this year. In 2009, only 6 in 10 employees said they intended to “actively seek a new position” in the coming year, but that number jumped to 84 percent the following year and has stayed about the same ever since. More top workers used to network to feel out their employment opportunities, but now the majority are becoming active job seekers instead. Twenty-one percent of employees said they were networking to keep their options open in 2009, but that number remained at 8 or 9 percent between 2010 and 2013.

Being able to provide competitive compensation is going to be an essential employee engagement strategy for not only 2014 but into the long term, as Right Management’s numbers suggests retaining top talent is going to be a struggle for a while. Human resource planning will be a go-to solution for many in the industry because of this, and more HR professionals will need to seek out additional employee engagement techniques if they want to acquire and keep key performers.

According to Human Resource Executive (HRE) Online, employee engagement may be its own challenge throughout 2014. Offering employees growth opportunities through effective talent management, tracking worker satisfaction, and maintaining collaboration in the workplace are all going to be important strategies to keep employees engaged this year, HRE Online suggested. According to Forbes, it is going to take recognizing where dissatisfaction comes from for HR professionals to entice workers to remain at the company.

Complying with the OFCCP Mandate
The Office of Federal Contract Compliance Programs’ (OFCCP) mandate pertaining to the hiring and employment of individuals with disabilities will be another key challenge this year, specifically Section 503. According to Business and Legal Resource, hiring managers must now reference Section 503 rules that require contractors to invite job seekers to voluntarily self-identify as disabled at the preoffer and postoffer phases of the hiring process.

BLR states “OFCCP’s final regulations implementing Section 503 of the Rehabilitation Act of 1973 (Section 503), require that employers invite job applicants and employees to self-identify as being an individual with a disability. On Jan. 22, 2014, the Office of Management and Budget (OMB) approved the final Voluntary Self-Identification of Disability form for use by covered federal contractors, beginning with contractors’ new plan year following the effective date of the final Section 503 regulation on March 24, 2014.”

The OFCCP does have training materials available on its website to help recruiters and HR professionals comply with the mandate.

 

Stop Talking and Listen For a Change

13 Jan

Positive and Constructive CriticismWhat do you look for in a good candidate?  That’s the magic question.  There is an easy answer.  It’s the candidate who is the best qualified candidate to do the job, right?  Well, yes in that respect but, there are other factors to consider.  Aside from the legal-type considerations, and believe me there are plenty, there is something called behavioral interviewing that you should really consider.

So, what is behavioral interviewing?  Long story short, it’s getting the candidate to talk about their previous (work related) experiences and describe past projects, success stories, failures, reflections and how they may have handled their failures differently with a more favorable outcome.  What does all this mean to the interviewer?  It means you need to SHUSHHHHHHH…listen to the candidate talk.  One of the most interesting things that occur during interviews is that the interviewers talk more than the candidates do.

Stop for a minute and think back to every job you’ve ever interviewed for.  How many times has that happened to you?  My guess is that it’s happened a lot of time throughout your career.  Why does this phenomenon occur?  Well, the easy answer is that most people don’t like long gaps of silence. It falls outside of their conversational comfort zone.  They like to “fill up” the dead air space.  Additionally, listening is not the same as hearing.  You can hear a lot of things but, are you really listening?  Have you really honed the skill of being able to filter out all external stimuli thus being able to focus on only one thing solely?  Most people would probably not admit to being able to do that though.  Let’s face it, we are told continuously by our teachers, peers, mentors and supervisors that being able to multi-task adds great value to our job and works well for meeting overall objectives.  In the interview though, not only could your multi-tasking be mis-interpreted by the candidate as being rude (for example looking at your email, sending a quick text or answering a call), you are also missing out on actually listening to the candidate talk about their experiences.

Bottom line, ask your question.  Hopefully, its open ended and behavioral based.  Then, listen to the candidate’s response.  Process their response, and then ask another probing question to their response.  Do this until you are satisfied that you have a good feel for the fit in matching the candidate’s professional experiences to your company’s mission and where you want that candidate to add the most value for you.

After all, you want to feel extremely comfortable that you know this person will grow to be your star top performer!

How Far Do You Reach in Your Outreach Programs?

6 Jan

Have you ever heard someone say, “It’s all cannon-150x150about the journey, not the destination”?  Sure you have.

If you’ve never heard the term “outreach program”, it’s all about seeking to hire qualified women, minorities and veterans into your open positions.  Mostly, government contractors and others doing business with the Federal Government are required to create Affirmative Action Plans as part of their ongoing recruitment efforts.  As part of those plans, there are some components that deal with outreach.  As part of their compliance efforts, that’s how some companies try to fill positions with qualified candidates from specific sectors within the labor market.  So, how does that saying fit into a company’s outreach program?  It’s all about setting out to do what you say you are going to do with respect to informing segmented groups about your company and “reaching out” to them with your job opportunities.  It’s as simple as that.  If you create and follow a comprehensive plan or program that branches out to these specific sectors and you aren’t successful (through no fault of your own) on attaining your goals it may go a long way in assisting you during an audit by demonstrating to the auditor that you put forth your best effort in trying or at the very least, demonstrate how far you were willing to “reach out” to the various groups in your program.  But, how far do you reach?  That’s what’s up for debate currently in the legislation.

If you earnestly go about creating a solid outreach plan, attend diversity job fairs, volunteer to speak at various diversity group meetings and/or training sessions, partner with your local department of labor office and take the time to meet the reps at your local veteran’s office, you should be on track to a great plan.

For more information on how you can track your progress in support of your goals, check out www.sagehrms.com and see how the Sage HRMS system can generate the reports you need to get the job done!


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