The Society for Human Resources (SHRM) conducted a survey among human resource (HR) professionals to discover the challenges that employers expect to face in the next 10 years.
Three Biggest HR Challenges
The top three issues that HR professionals are concerned about:
- Retaining and rewarding the exemplary employees: In order to compensate, HR professionals are implementing strategies so that they can attract the best workforce possible. According to SHRM's survey, the most popular tactic at 40% is to provide a flexible work schedule. While 37% of HR managers feel that promoting a company culture of trust and fairness came in a close second. This should not be a surprise because of the increasing amount of Millennial employees engaged in the labor market. According to Fast Company, by 2025 Millennials will account for 75% of the workforce. This large group of workers want to work with a purpose (not just for a paycheck) and they have a desire for the company's goals to be aligning with their own.
- Encouraging the next generation of C-Suite leaders: SHRM's survey found that HR managers will prefer hiring leaders who are strong in business acumen, organizational leadership, and relationship management. To develop these qualities in managers, more and more companies will implement on-going HR training and education programs in the coming years.
- Developing a culture in the workplace that will attract the best and brightest employees: The days of solely top-down management are disappearing in the office. Millennials value open communication and collaboration. This is a generation that does not want to sit on the sidelines and watch. They want to be involved and part of decision making. An article from Forbes pointed out that this generation grew up in a school system that rewarded team activity rather than individuality in sports with ribbons that supported participation, not winning. HR professionals are taking note and creating corporate structures around this idea.
HR Investment Challenges
Most HR managers are most concerned with how to obtain human capital and optimize human capital investments. Acquiring financial capital came in second.
The HR Takeaway
HR departments are worried about attracting not just competent employees, but also exceptional ones. HR managers believe that retaining the best and brightest will ensure organizational success.
The lesson from SHRM's findings are simple. With an aging workforce and Millennials growing in numbers, it is imperative for small business owners and HR professionals to constantly evaluate and update HR policies and procedures to retain their ever-evolving talent.
Read the full study from SHRM here.
Over the past few years, small businesses have been making a comeback that has initiated an increased need for Professional Employment Organizations (PEOs). As a result, the PEO industry has grown.
PEO Industry Overview
Precise numbers are difficult to calculate because the U.S. Bureau of Labor Statistics and Hoovers provide conflicting definitions of what constitutes a PEO. However, the National Association of Professional Organizations (NAPEO) estimates the current PEO industry size to be between $136 and $156 billion in gross revenues. Additionally, NAPEO approximates that the PEO industry serves 156,000 to 180,000 companies, which adds up to about 3.4 million workers that gain benefits from a PEO.
These numbers indicate that the PEO industry has grown significantly since the concept was introduced about 30 years ago. NAPEO found that in each of the last 30 years, the industry has added about 100,000 work site employees or in other words 6,000 new clients every year.
PEOs provide human resource (HR) services typically for small to mid-size organizations. StaffScapes, a reputable PEO company in the Denver area provides many essential HR solutions for companies, including:
- Employee Recruitment and Retention Support
- Benefits Plan Design, Administration and ACA Compliance
- Employer Risk Management
For a detailed list of the specific HR services that StaffScapes can provide, click here.
What's in it for you?
Giving companies the ability to outsource their HR duties will free up business owners so they can focus on their core operations, strategies, and revenue-generating activities.
Also, high growth for the industry can translate into high growth for clients. As evident, NAPEO reported that since 2010, employment growth among PEO clients has been 9% higher than small businesses that take on their HR related tasks. Even more impressive, businesses that use a PEO employ a 4% higher growth rate than the overall U.S. economy.
In essence, by partnering with a PEO, you will improve your work environment by making it more efficient, compliant, and safer.
Want to partner with a PEO today? Connect with StaffScapes, to get started.
Are you concerned about sky-rocketing health insurance costs? A new poll reveals some findings that may quell your fears.
Health Insurance Coverage Study Overview
In August 2015, Harris Poll conducted a survey for Transamerica Center for Health Studies on 1,500 business executives across the United States. The study found that after the Patient Protection and Affordable Care Act, coverage is up overall by 21%. Moreover, almost all firms with more than 50 employees are now providing full benefits for workers, whereas 61% of organizations employing less than 50 are doing so. It must be noted that these numbers are due in part to the Affordable Care Act mandating that companies employing more than 50 people must either offer qualified and affordable health benefits or pay a tax penalty.
Projected View of Health Benefits Costs
The Transamerica study went on to discover that half of business executives believe that the cost of health care benefits will remain constant over the next few years. Only 5% thought that it is possible for costs of insurance to go down. With this information, it is intuitive to surmise that most employers are hopeful and will plan to keep health costs constant. For employees this translates into not foreseeing increases in premiums, deductibles or co-pays. This is, of course, good news for our pocketbooks.
There was more enlightening news from Transamerica Center's survey. Thirty percent of employers said that because of stable numbers, they plan to maximize employee contributions to premiums. Furthermore, employers are currently offering more choices of health plans and benefits to employees, such as adding a high-deductible plans and consumer-driven options in addition to the traditional PPO or HMO options.
Small Business Perceptions on Health Care
Even though, the glass is half full for large organizations offering benefits; there is still some trepidation among small businesses. Small business employers are less likely to offer high-deductible, consumer-driven plans and health savings accounts (HSA) than their larger counterparts. Only 28% of small employers currently offer HSAs and only 17% offer consumer-driven health plans.
Still, with Transamerica Center's new information, it is clear that overall employer health coverage is at an all-time high.
Read the full article and study at Benefits Pro.
Recently, CareerBuilder surveyed about 2,300 hiring and human resources (HR) managers and 3,300 of their employees to learn about calling-in-sick behavior. The survey found that almost 4 in 10 employees called in sick when they were healthy.
The Work Excuses
CareerBuilder's study also collected the actual excuses that went along with calling in sick. The survey discovered that 27% of employees who called in said they had a doctor's appointment, about the same amount said they just did not feel like coming in, 26% wanted to relax for the day, 21% needed to catch up on sleep, and 12% blamed the bad weather. Some of the other excuses were very creative and entertaining for any HR manager to peruse. See the list below:
- Grandmother poisoned me with a ham
- Stuck under the bed
- Broke an arm by reaching for a falling sandwich
- The universe was telling me to take the day off
- Wife was cheating on me so I need to collect my belongings from the dumpster
- Poked myself in the eye while combing my hair
- Ran out of underwear because my wife put it all in the washer
- Was ashamed of the meal that was cooked for the employee potluck
- The doctor recommended that I get more vitamin D
- Cat was stuck inside the dashboard of the car
Investigate Questionable Work Excuses
Even though most employers tend to trust their employees, CareerBuilder found that of the ones who required proof and wanted to see a doctor's note, called their employee or checked their social media. Going online is proving to be a sufficient way to catch liars. Thirty-three percent of all employers were able to catch an employee lying red handed by checking their social media accounts and of those 26% were consequently fired.
How To Mitigate Work Excuses
If you are finding that employees at your company are taking advantage of your sick leave policy, then it may be time to update your Paid Time Off (PTO) program. A professional employment organization (PEO), such as StaffScapes can help you do that. Contact StaffScapes for more information.
To read the rest of the findings in CareerBuilder's study, visit the link.